File No. 5315/226b.
The Secretary of State to Ambassador Reid.1
Washington, June 9, 1909.
Mr. Knox directs Mr. Reid to see the minister for foreign affairs at the earliest possible moment and to personally and informally discuss the present situation in China. Tells him to point out the menace to foreign trade likely to ensue from the lack of proper sympathy between the powers most vitally interested in the preservation of the principle of equality of commercial opportunity, and to add that the Government of the United States regards full and frank cooperation as best calculated to maintain the open door and the integrity of China, and to state that the formation of a powerful American, British, French, and German financial group would further that end. Directs him to state that this Government holds that the understanding with China of 1904 insures to American and British capital prior consideration in the flotation of a loan for the Hankow-Szechuen Railway, but that, notwithstanding this fact, the United States deems that an understanding between the American, British, French, and German groups would create a highly desirable community of interests. Adds that it is understood that the loan recently contracted embraces only the Hupeh portion of the proposed Hankow-Szechuen line, and suggests therefore that to include the entire road in the loan agreement and admit equal American participation would afford a satisfactory solution of this question.
- Same to American embassies at Paris and Berlin.↩