Evening star., 1932-01-24
SHANGHAI THREAT
IS HELD ALARMING
Japanese Chinese Clash May
Bring Serious Interna-
tionaI Crisis.
BY CONSTANTINE BROWN.

lIUIldl vi ISlSs
BY CONSTANTINE BROWN.
The situation in the Far East where
Japan is at present reported trying to
put the utmost pressure any powerful
military nation can put on a weaker
nation, is considered alarming and
dangerous.
Aside from press reports, the Depart
ment of State seems to have no in
formation whatsoever about what is
going on in Shanghai According to
high officials who were questioned yes
terdey by newspaper men, our c0nSuls
have sent no reports whatsoever.
Omcially, the State Department is un-
aware Of the crisis which has broken
out anew between China and japan.
Consuls in China and Japan, who
have always been quick in sending de-
tailed cable reports every time some
small American boat got stranded on the
Ysngtze River. are remarkably silent,
according TO Washington officials, now
that Japanese men OF war, carrying
landing parties, have anchored in the
Whangpoo River and have landed
troops in the largest treaty city In
China.
Occupation Seen, Inevitable.
According to those who observe and
follow closely the Sino-Japanese con-
f7ict. the eventual occupation Of the
Chinese military establishments in
Shanghai appears inevitable.
The Chinese boycott is creating a
very serious economic situation in
Japan. China is the best and the big
gest customer of ia pan. Since the
Manchurian affair the Chinese boy
colt has laid idle a large number Of
factories throughout Japan. 1t is true
that the Chinese cannot live entirely
without japanese trade and good
deal of bootleg trade between China
and Japan is being carried on today
through British, Italian Fsnch and
American traders. Japanese goods
are sent to Hongkong, where the trade
markers are changed into made in
Britain" or made in United States"
and then are sold to the Chinese. But
this bootleg trade is not enough for
Japan.
The japanese factories are planning
their production largely in accordance
with the orders they receive from their
Chinese customers. They cannot manu-
facture goods on a large scale on the
chance that they may be Smuggled
into China. Besides. those who in
dulge in this kind of trade are taking
unduly high profits, which must come
out of the pockets of the JcFanese
manufacturers. Consequently after
having completed the military opera
tionS in ManChuria the japanese are
confronted with the very difficult
problem Of forcing the Chinese to call
of the boycott which is threatening
TO ruin JapanS entire economic struc-
tUre.
Resistance Encouraged.
The Jspanese have been hoping
that the Marking government would
be willing to come to terms with the
Tckio government when it realized that
no help could be expected from the
League of Nations or the United
States. Marking was at one time,
some four weeks ago, ready to capitu-
late, but the note sent by Secretary
StimSon TO Japan early this month
encouraged their resistance.
Now Japan is endeavOring to force
the hands of the Marking authorities
by threatening to occupy Shanghai.
The Importance Of the occupation of
that international port is that most of
tic SlIlllGSC ICNGIluc WHICH, hSEES IIIC
Marking government alive comes from
or through Shanghai. If the japanese
obtain control Of that city, the Chi
nese government will have to Starve.
The Japanese destroyerS and the au-
thorities on land will be in a position
to search and confiscate all goods and
moneys sent from Shanghai to Nan
king. The Toxic leaders hope thus to
force into Su5miSsion the Chinese gov
ernment.
The apparent reason the japanese
give to justify their intention of oc-
cupying more Chinese territory is that
the Chinese government does not stop
the anti-Japanese movement in China.
This argument is in striking contra
diCtiOn with the previous statements Of
responsible japanese Statesmen. 1t has
been asserted by Japanese who have
been speaking on behalf of their gov
ernment that there is no such thing
as a responsible Chinese government.
The expression the Nanking admins
tration" is considered by Toxic and its
representatives abroad as misnomer.
Weapon of People.
Now the same japanese government
Is endeavoring to force the allegedly
irresponsible" Nanking government to
stop the antiJapanese movement and
the boycott throughout the country.
According to well informed quarters
that is impossible. The anti-JapaneSe
or the anti-tOreign boycott is not a
weapon of the Chinese government, but
of the Chinese people. Governments
come and go in China They are really
Of little consequence as far as the great
mass Of the Chinese people is con-
ccrned. but there is one bond that
keeps the Chinese together and that is
the great power and authority of the
Chinese guilds. When they order a
boycott, their order is much more law
than any ediCt the official admins
traitors Of a region or a province may
issue. The entire Chinese population,
regardless as to their political SYM
pathieS, Cbeys the orders of the guilds
Consequently, the japanese, who
know full well the situation have no
idea that the Marking government can
be made responsible for the boycott or
that that phantom government can
actually have enough influence to call
OF the present anti-Japancse boycott
But if the Marking government can
be induced to recognize the occupation
of ManChuria and come to terms with
the Japanese there is a fair chance
that the guilds may re!ent and begin
making less effective the present boy
colt.
Complications Possible.
OF course the occupation of Shang-
hal could produce very important in
ternational complications. Shanghai
is a city Of scme 3,5OO.O00 inhabitants.
It is divided into three distinct sec
tions-tha international settlement,
where all the foreigners, with the ex-
oeption of the French, live; th.e French
concession, which is regarded by the
French as French territory and ruled
IN accordance, and the Chinese city
proper There are some $500 900 men
living in these foreign concessions.
The international settlement is gov
erned by an international municipal