New-York tribune., 1922-01-31
China and Japan Reach Il
Formal Agreement ON
Shantr'ng; Treaty Flow
Ready for Signature
Nipponese Rejoice
At End of Boycott
Declare Strong Neighbor
Means Better Market
for Their Industries
By Thomas Steep

agreement on the Shantung controversy
was reached by the Chinese and Japan
csc delegates late tonight
A treaty providing for the return to
China of all properties in the province
taken by Japan from Germany in 1914,
ircluding the Tsingtao-Tsinan Railway
mines, salt fields, the Kiaochau lease
hold. cables and customs. was drawn
up ready for signature on behalf of
the two powers. Secretary of State
Hughes and Arthur J. Balfour, head of
the British delegation, have been asked
to present the agreement before a plen-
ary session of the armament limitation
conference
Thus one Of .he most difficult prob
lens threatening peace in the Far East
has been removed. China regains a
province the most densely populated
and lndustrally one of the most i'm
portant in her domain. and the national
Indignation which arose among the
Chinese people when Germany seized
kioachau in 1898 and which intens
fed when Japan succeeded to it. it is
hoped. will be appcascd
Japan Welcomes Adjustment
Japan. through her delegates. an
nounced that she was pleased with the
adjustment, since the controversy for
the last seven years had caused an
anti-JapaneSe OOVcOtt through OF t
China. which. it was said had more
than offset any advantage which Shan
tung gaFc to the Toxic government
We hope no~ that friendship be-
tween China and Japan will be en-
hanced.' said a spokesman for the Jap
anese delegation. Japan has only the
best wishes for her neighbor, because
strong, progressive China means the
opening of more markets for Japanese
products and the furnishing of more
raw materials for Japanese industries.
We are sure that no other nation would
have done more under the circum
stances than We have done"
The three Chinese delegates, DR.. AL
fred Sze. Dr. Wellington Koo and DR.
Wang Chung Hui, professed to be graf
fled with the agreement. but contended
that China had made great concessions
in order that the question could be set
tied before the conference adjourned.
They declared that China's attitude
throughout the direct negotiations had
been chat Shantung vas an integral
part of China and that the Chinese Re
public rested its claim to the province s
restoration on the promise made oy
Japan when she took it from Germany
At Tho outset, the Chinese delegates
asserted, the restitution should be with
out bargaining, but no sooner were the
direct negotiations begun on December
than bargaining was proposed by the
Japanese delegates.
Railway Chief Contention
Almost two months we're devoted to
discussing the question Of control
over the Tsingtao-Tsinan Railway.
Japan wanted to retain half of the con
troll. China retcrted that such a bar
gain would be a mockery. because even
80 per cent OF Japanese control of the
railway would give the Mikado's gov
ernment complete economic control of
the whole province.
AS finally agreed upon. the terms
are the same as those detailed in The
Tribune last Saturday. All properties
IN Shantung province other than the
railway are to be turned back to China
on reimbursement for Japanese invest
mcnts. Chinese treasury notes are to
be issued for the railway. amounting to
53.000000 gold marks. the German val
uaion Of the property plus the cost Of
improvements made by Japan. The
notes are to be redeemed by China at
her option in five years or are to ex-
pirc in fifteen years. Until the notes
arc PAID China is to assume control
Of the railway under Chinese general
~ t..t.
ordinates. The cable lines running
from Tsingtao to Chefoo and Shanghai
arc to be restored to China without
reservation.
Every item other than the railway
had beer agreed upon several weeks
ago. The proceedings of the whole
conf' renee therefore had been delayed
while two Oriental powers argued over
the fate of railway only 23O miles
long. That railway became for the
time the cruN Of the whole eastern
situation.
How intensely the Shantung situa-
tlon affected tho Chinese public was
shown shorty after the direct negotia-
tons began. Anti-Japancse demonstra-
tions were held in all the important
Chinese cities. The Chinese people,
looking upon Shantung as the Chinese
end the cradle of Chinese civilization.
vented the fate Of the province to be
decided hy all the powers represented
in he Washington conferences
As all the big powers. except the
United States. were committed by the
Versailles treaty to awarding Shantung
TO Jacan, this plan was not found
feasible. Mr.. Hughes and Mr.. Balfour
suggested the direct negotiations
which were agreed to on condition that
America and Great Britain each main
tain two "observers" present during all
the deliberations. Another conditio,
was that whatever decision was reache ed
should be reported back to the full con-
ference and entered in the official rec
ord. Accordingly. Mr.. Hughes and Mr..
Balfour have been asked to present TO
the world the treaty which has been
drawn up.
FLORlDA--sT. PETERSBURG BELLE
-, AR: Tanpa and Sarasota rhru 1,. r Sleep,
FLORIDA LIN MiyED--6 20 P. NJ ssaboa rd