The Washington times., 1901-07-28
HARMONY REIGNS In PEKIN
Negotiations Regarding Indemnity
% Finally Adjusted.
Representatives of the Powers
Reach satisfactory Conclusion-
Russia Refrains From Pressing
for an Increased Customs Duty.

1
for an Increased Customs Duty.
Commissioner W. W. Rockhill has in
! formed the State Department that all the
principal points of negotiation upon the
| Chinese indemnity question have been
| harmoniously adjusted by the representa-
tives of the various Powers in Pekin.
| This settlement avoids diplomatic crisis
| which was feared and it is expected that
! the result will be summarized In a final
| protocol within two weeks. All of the
Powers viii doubtless become signers
| to 1t.
The deadlock among the foreign repre-
sentatives was broken, Mr.. Rockhills s ad-
vices show, by the action of the Russian
Government in signifyfng its intention of
| not pressing further at this time the ques-
tion--of an eventual increase of the i'm
port customs duty beyond per cent.
The other points of agreement of which
the department has been notified by Mr..
Rockhill in his despatch are summarized
as follows:
1t is agreed that. In case the revenues
of China are not sufficient for the pay
| ment of interest and installments of prin-
| cipal, the Powers are to examine the
| revenues and determine what changes are
necessary in order to supply the deicien-
| cy.
| The imperial maritime customs are to
be included in this examination.
The British Minister is satisfied with
this arrangement and the whole question
of financial measures is, therefore, settled.
The $50, 900, 900 taels, constituting the in
demnity, is to be converted into gold at
the equivalent of the tael value on April
| l, of the present year.
! In case the import dues are subsequent
| ~ increased the free list must be abol
ished, excepting for cereals; but it is un-
derstood that compensation in that case
will be asked for, particularly the finan-
cial participation of China in improving
| the water approaches at Shanghai and
| Tientsin.
| 1t is evident from Mr.. Rockhilrs de-
spatch that the Russian Government, be-
fore proposing the eventual increase of
| the maritime customs duty, abandoned it's
efforts to secure an immediate increase
to 10 per cent. That was Russia's first
proposal. She was combated in that by
Great Britain and Germany, which held
out for an immediate increase of only 5
per cent.
| The United States Government, while
| favorable to the position of Great Brit
diiA ohN N'ti PiOPoSId eio a NOiii-
promise that there should be an immedi-
ate increase of 5 per cent, with the un-
derstanding that, if the revenue derived
iherefrom did not prove sufficient to en-
able China to pay interest and INSTALL
| ments of principal the duties should
| be increased an additional per cent or
| 10 per cent in all. This Is the eventual
increase proposition Russia, apparently,
when she found that there was no pros
pect of the adoption of her 10 per cent
increase proposal, abandoned that and
Joined the United States in attempting to
secure the acceptance of the suggestion
for an eventual increase of the duties.
The question recently arose as to wheth-
er the United States Government would
take its portion of the indemnity bonds in
American gold or English pounds ster-
ling. The disposition of the Government
is to take them in the form least burden
some to China, and it is probable that in
the interest of uniformity the bonds will
be expressed in terms of pounds sterling.