The New York herald., 1921-11-23
GOVERNMENT IN CHINA

pLdle5 assumed tle INITIATIVE III AAcii-
tioning specific features based on the
statement of general principles pro-
posed by China, Japan and the United
States.
The most definite development was
in the form of an announcement from
the two hour session of the committee
on Far Eastern affairs. The four dele
gates OF the United States, Secretary
Hughes, Mr.. Root, Senators Lodge and
Underwood. brought up the subject of
China and il was generally discussed,
special attention being devoted to the
tangled finances OF the Pelxin Govern
ment.
Senator Underwood made the sug-
gestion that a subcommittee OF which
he was made chairman be appointed to
take up China's proposal for a restora-
ton of tariff autonomy which will re-
move the present restrictions limited
to per cent. on Chinese imports.
Under the existing arrangement of
many years standing and joined in by
nineteen nations, an agreement based
on the favored nations" principle has
regulated the customs policy of China
This agreement, which is subject to
revision every ten years. is based on
pre-war conditions. The present rate
OF tariff imports is 80 per cent.
ad valorem of the value of importa-
tons at the last revision of the treaty.
Would Study Chinese Revenues.
Since the treaty was last revised
prices have gone up. but the Chinese
tariff imposts have remained the same.
A few weeks ago the United States ne
soiate0 a treaty with China provid-
ing for a revision upward of tariff
duties. British interests do not view
this policy with favor. for the reason
that it may provide China with pro-
tective tariff and enable her to estab-
lish her independence of English
traders in the matter Of cheap cotton
goods.
Mr.. Underwood is said to have urged
a special study OF Chinese revenues,
both as to taxes and tariff levies,
suggestion which was heartily in
dorsed by the representatives of
China, France and Italy, and not
openly opposed by those Of Great
Britain, Japan, Holland, Belgium and
Portugal
The main interest in the four pro-
posals contained Mr.. Roots resolution
revolved around the last. which de-
clared it to be the intention Of the
representatives Of the nine Powers
participating in the conference ito re-
frain from taking advantage CT the
present conditions in order to seek spe-
Icial rights or privileges which would
.abridge the rights of the subjects or
the citizens OF friendly States and
from countenancing action inimical to
the security of such States"
Baron Kato declined to interpret the
meaning Of this clause. The one con-
session he made was that Japan re-
garded Manchuria as a part of China,
but he would not admit or deny that
his own country asserted special priv
ileges In Mongolia. Nt
When Senator Root was informed of
the division of opinion regarding the
exact meaning of the clause he said
II was as clear as words could make II
An unofficial Interpretation of the
clause is that IL is to prevent the
Chinese Government from barterine
valuable concessions with more profit
to themselves than to China. It is de-
clared by these authorities that it
would be Automatically impolitic" To
put it just this way.
Checks Predatory Tuchuns,
Another view is that one effect of
the clause win be to put an end to the
promotion Of provincial revolutions
in the Pekin Government zone, which
are sporadically launched by preda-
tory Tuchuns provincial military
governors). whose activities are sus-
pected Of having been financed by
japan, IN order to prevent the stabil- |
izing OF conditions by the central gov
ernment
The opinion prevails among Ameri-
can officials that the principal reform
Senator Root has in view is the fur
ther prohibition of the practices of
friendly States in seeking special
rights and privileges from China with
out adequate compensation.
No public announcements were
Forthcoming regarding the actual de-
liberations of the committee of Ad-
mirals headed by Assistant Secretary
of the Navy Roosevelt, who are an
alyzing the claims of Great Britain
and Japan for special consideration
held to be justified by actual necessi- |
ties OF a defensive character. The |
technical experts OF Great Britain and |
Japan have directed their efforts |
toward convincing the United States |
OF these necessities. Opposition to the
naval plan is not confined to Japan
by any means. The fact Is that It is |
rather general among the naval Off |
GERS Of all governments. including the |
United States
Tho French army experts working |
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