611.9331/11–945: Telegram

The Secretary of State to the Chargé in China (Robertson)41

1828. Washington agent American President Lines has brought to attention Dept cable received from Henry Kay Company’s general agent Shanghai, reading as follows:

“Foreign exchange control and special Government export permits cover nearly all important exports from China; negotiations for new regulations may prevent shipments indefinitely; working here through customs and Central Bank. American Consulate radioed Bland Calder,42 Arthur Young,43 Chungking. Recommend your pressing Washington for necessary action prevent any holdup of cargo ready for shipment.”

[Page 1356]

Dept has repeatedly emphasized in statements to press and in contacts with business that prompt resumption of business operations in Pacific area is expected and particularly that it is Dept’s policy to encourage and facilitate reestablishment American business in China. Dept assumes therefore that Embassy is overlooking no opportunity to stress to appropriate Chinese authorities and local officials its concern in this connection. Dept anticipates forwarding Embassy shortly statement outlining its concern regarding early removal trade restrictions and controls tending retard early resumption normal trading activity.

Byrnes
  1. Repeated as No. 145 to the Consul General at Shanghai.
  2. Alonzo Bland Calder, Commercial Attaché in China.
  3. American Adviser to the Chinese Ministry of Finance.