793.94112/362: Telegram
The Consul General at Canton (Myers) to the Secretary of State
[Received April 26—2:53 p.m.]
43. Referring to my telegram Number 34, April 12, 6 p.m. Japanese plans for a restricted cargo service by the vessels carrying passengers between Hong Kong and Canton envisaged in the memorandum addressed to the British Consul General which was mentioned in my telegram under reference have not as yet been put into effect.
Conditions subsequently advanced by the Japanese for the alleged purpose of preventing smuggling of cargo into unoccupied areas and considered particularly objectionable by the British are: (1) that lighterage at Canton shall be restricted to members of the recently organized Canton Stevedore and Godown Association (which third power shipping concerns have been invited to join) and (2) that Japanese be permitted to station a small unit of soldiers at the British company’s godowns to watch the removal of cargo from steamers to godown and from godown to lighters. With regard to the latter condition the Japanese authorities have stated that until it is accepted the memorandum referred to above cannot be put in put [effect].
The British Consulate General regards the new conditions relating to British shipping as unacceptable and holds that the bilateral agreement under which British and Japanese ships have been operating between those ports cannot be unilaterally abrogated and is therefore still in effect.
The British shipping company has announced that for the time being the steamship Fatshan will carry only passengers and their personal effects.
Repeated to Peiping, Chungking, Shanghai, Hong Kong.