793.94/9320: Telegram

The Ambassador in China (Johnson) to the Secretary of State

408. My 403 [August 11, midnight]. Colleagues mentioned met with me today to consider latest developments. We explored situation from all angles and reached the conclusion that there is nothing we can do here beyond what has already been done. We feel that initiative lies with Japanese. We understand Japanese have or intend to present a demand at Shanghai for withdrawal of Paoantui from that area. We believe that this demand will not be met by Chinese and that if Japanese attempt to enforce it hostilities are inevitable. We believe that only possibility of avoiding repetition of disastrous situation which existed in 1932 is for interested powers to approach Tokyo urging Japanese not to attempt to enforce such a demand at that place.

Repeated to Tokyo, Shanghai.

Johnson