893.512/491: Telegram

The Chinese Acting Minister of Foreign Affairs at Hankow (Chen) to the Secretary of State

My Government learn that [it] is the intention United States Government to agree to British proposal regarding immediate enforcement so-called Washington surtaxes and payment proceeds to local authorities at ports collection.

In spite elaborately worded sentiments in British declaration, real meaning this proposal is that two-thirds new revenues will go to our political enemies who, with war chests replenished, will be able continue civil war that bleeds nation, delays liberation China from present international control known as foreign imperialism.

Specifically, British proposal means: (a) not only that Chang Tso-lin will receive new and substantial revenues but gilt-edge security will be created enabling him float loan, save his inflated currency from collapse, inseparable from reckless prosecution wars of revenge and feudal ambition; (b) not alone Peking (whose receipt of customs surpluses has made it hitherto object of loot) but every treaty port will become fresh object militarist plunder and added incentive to perpetuation feudalism civil war in China; and (c) Shanghai, which has been passing to Nationalist control without much fighting, must now become theatre bloody struggle (involving maybe permanent injury foreign trade), since the millions to be [Page 936] collected there is [sic] 40 percent of the surtaxes—are to San Chuanfang8 and Chang Tsung-eh’ang9 raw meat to beasts of prey.

If views, sentiments expressed in British declaration leave Nationalist mind unmoved it’s because they cloak policy objectively a menace, danger speedy advancement cause Chinese nationalism. But those who support that cause are strong enough to meet this danger.

Chen Yu-yen
  1. Military overlord of the Provinces of Kiangsu, Kiangsi, Chekiang, Fukien, and Anhwei.
  2. Military Governor of Shantung.