793.94/8654: Telegram

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

164. Embassy’s 134, May 12, 7 p.m. and 145, May 24, 1 p.m.24

1.
Sung Che Yuan continues in retirement in Western Shantung.
2.
Japanese in North China regard his lengthening absence as due to Sung’s desire (a) to avoid Japanese representations for economic collaboration and perhaps, (b) to avoid pressure by the National Government for increase of its influence in this area. Japanese opinion is that pro-National Government elements are taking advantage of Sung’s absence to increase the Government’s influence.
3.
Some Chinese also express the above views. Others think that Sung is agreeable to increased influence of the National Government because he realizes that he cannot go against the general trend in China toward unity.
4.
Sung is probably staying in retirement in the hope that time will solve some of very material difficulties before he resumes his duties. Sung is meeting with Chinese leaders who visit his place of retirement from time to time.
5.
Japanese and Chinese are agreed that the National Government is making efforts to increase its influence in Hopei. Recent evidence is as follows:
(a)
Physical (military) summer training for Peiping students, which was suspended last summer because of Japanese displeasure, is allegedly being reinstituted.
(b)
Peiping students have been forbidden to parade or lecture, the purpose being apparently to avoid students’ activities directed against Japan and the National Government.
(c)
Chinese are attempting to prevent Japanese from obtaining leases of land in Hopei, even when done through the names of complacent Chinese.
(d)
Allegedly the local authorities intend to prepare for elections of delegates for the approaching Peoples’ National Assembly.
(e)
Sung is avoiding discussion with Japanese of construction of the Shihkiachwang–Tientsin Railway.
(f)
Evidently the Hopei authorities have decided not to cooperate economically with the Japanese unless East Hopei is returned.
6.
It is apparent that Sino-Japanese relations are deadlocked. Chinese and Japanese informants agree that the Hopei authorities there offered to cooperate, including the building of the Shihkiachwang-Tientsin Railway, if East Hopei is returned. There is little or no prospect of its being returned, partly because Japanese in Manchuria feel that the existence of this buffer régime has played an important part in the recent developments of subversive activities in Manchuria. From statement of Japanese, it is evident that the Japanese desire the situation to continue to be quiet but that they fear the deadlock will evidently be broken by some too forward movement on the part of the Chinese which will precipitate serious trouble.

By mail to Tokyo.

Johnson
  1. Neither printed.