The Birmingham age-herald., 1913-03-19

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the Chinese and to the use Of the world
the almost untouched and perhaps un-
divided resources of China.
'"rhe government OF the United States
is earnestly desirous of promoting the
most extended and intimate trade re-
lationship between this country and the
Chinese republic The present admin
istration will urge and support the
legislative measures necessary to give
American merchants, manufacturers,
contractors and engineers, the banking
and other financial facilities which they
now lack and without which they are
at a serious disadvantage as compared
with their industrial and commercial
rivals This Is it's duty. This is the
main material interest of its citizens in
the development of China.
"Our interests are those of the open
door-a door of friendship and mutual
advantage. This is the only door we
care to enter
The statement came as a consequence
of the visit to washington last week OF
representatives of New York banking
firms, headed by willard d. Straight
They had a conference with Secretary
Bryan, who took the situation up with
the President Officials of the Chinese
embassy also discussed the subject with
Secretary Bryan and the President. Mr..
Bryan was not present at today's cabi-
net meeting, but was consulted about
the statement before his departure for
the west.
1t was authoritatively stated tonight
that the same policy would apply through
out the Wilson administration to parallel
situations in Central America and else
where In which the United States was
concerned.
The policy of protecting through the
influence of the government loan enter
prises of American banking firms abroad
was part of what was often referred
to as dollar diplomacy during the Taft
administration.
To Have Voice in Election
During the last administration Secre-
tary Knox urged the passage of two loan
conventions seeking to rehabilitate the
finances of Nicaragua and Honduras, re-
spectiveiy. The United States was to
have had voice in the selection of
inspectors of customs. through which me-
dunn the interests of the American bank
ing firms were to be protected. The bank
ing firms were to submit for the ar-
prova1 of the President of the United
States and the Central American gov
ernments in question list of customs
inspectors. The loan conventions We're
not ratified by the Senate and the Taft
administration closed without determin-
ing how far the American administra-
ton should go in protecting its financial
firms abroad
In Santo Domingo a somewhat similar
process is in actual operation. but it will
continue to exist by virtue of the treaty
between this country and the Dominican
republic ratified during the Roosevelt ad-
ministration, Here the United States ap-
pointed receiver general of customs to
collect duties which constituted the guar
antee for the payment by the Dominican
republic of its foreign debt.
Brings Activity to End
The withdra wal today of the aid of
this government to what has been pop-
ularly known as the six power loan"
brings to an end, so far as can be fore
cast at present, the diplomatic activity
of the United States In that connection.
Negotiations for the floating of big
loan have been in progress for more than
two years during which time the amount
of the loan rose from $25, COG, 900, desired
at first, to $3.50. 100000 subsequently sug
gested. Finally. upon the request of the
Chinese government. it was reduced to
SIZE, 600, as 1t was announced that the
proposed internal Improvements We're not
to be as extensive as at first planned.
The loan originally was desired by China
when in the throes of reconstruction after
the fall OF the Manchu dynasty. A Bel
gian syndicate was at first approached,
but later England. France. Germany.
Russia, Japan and the United States
sought share in the flotation Of the
loan.
While today statement means the end
of governmental support to the loan prof.
ects as at present advanced, it is pointed
out in official circles here that American
banking firms still can share a part of
the loan Independently and without the
guarantee of support from this govern-
Irent.
Conferences Held
1t became known that Uan Shi Kai,
president of the Chinese re-