Evening star., 1938-11-18

early Inauguration and progress Of
work having for its object this
restora ton development, for the sake
of realization of a new order in East
Asia, and are doing all in their power
in that direction. The North China
Development Co. and Central China
Development Co. were established
with a view to giving China neces-
sary assistance toward said restora-
ton and also with the aim OF con-
tributing toward the development Of
China's natural resources. 1t is far
from the thoughts of the japanese
government to impair the rights and
interests of American citizens in
China or discriminate against their
enterprises.
The japanese government, there
fore. do not oppose, but heartily well
come, participation of third powers
on the basis of the new situation
which has arisen.
Tele communication companies in
North and Central China and the in
land navigation steamship COM
pany at Shanghai and the wharfage
company at Tsingto also have been
established to meet the imperative
need of an early restoration of COM
munications, transportation and
harbor facilities.
Denies Determination.
With the exception of tele-com-
munication enterprises which, be-
cause of its obvious relation to the
maintenance of peace and order and
to national defense, as we'll as be-
cause of its public character, has
been placed in the hands of special
companies. all these enterprises are
turned over to concerns that are Or
dinary Chinese or Japanese juridical
persons, without any intention of
allowing them to reap monopolistic
profits by discriminating against
America or any other power.
AS regards the wool trade, while
control of purchasing agencies was
enforced for time in the Mongo-
liam region, it since has been dis
continued.
There is no plan at present Of any
sort for establishing a tobacco mo-
nopoly.
Fourthly. concerning the return Of
American citizens to occupied areas,
your eXcellency is aware that in
North China there is no restriction.
excepting very special cases where
the personal safety of those who re-
turn would be endangered, while in
the YangtZe alley large numbers of
Americans have already returned.
The reason that permission to return
not yet has been made general
is. As has repeatedly been commu-
nicated to Your Excellency, due to
danger that persists because of i'm
perfect restoration of order and also
to the impossibility of admitting ma
tionals OF a third power on account
of strategic necessities such as the
preservation of military secrets.
Minimum Regulations.
Again. the various restrictions en-
forced in the occupied areas con-
cerning residence, travel. enterprise
and trade of American citizens con-
stitute the minimum regulations
consistent with military necessities
and local conditions of peace and
order.
1t is the intention of the Japanese
government to restore the situation
to normal as soon as circumstances
permit.
The Japanese government is sur
prised at the allegation that there
exists a fundamental difference be-
tween the treatment accorded jap
anese in America and the treat
ment accorded Americans in Japan.
While it is true that in these
days of emergency Americans resid-
ing in this country are subject to
various economic restrictions, yet
these are, needless to say, restric-
tions imposed not upon Americans
alone but also on all foreigners of
all nationalities as we'll as upon
subjects of Japan. I beg to re-
serve for another occasion a state
ment of views of the japanese
government concerning the treat
ment of japanese subjects, referred
to in your excellency's note.
As has been explained above, the
japanese government, with every
intention of fully respecting Ameri-
can rights and interests in China,
have been doing all that could pos
sibly be done in that behalf.
However, since there are at pre-
ent in China military operations on
q scale unprecedented in our history,
it may we'll be recognized by the
Government of the United States
that it is unavoidable that these
military operations should OCCASION
ally present obstacles to giving full
effect to our intention or respecting
the rights and interests OF American
citizens.
Establishing New Order.
Japan at present is devoting her
energy to establishment of a new
order based on genuine tnterna-
tional justice throughout East Asia,
attainment of which end is not only
an indispensable condition of the
very existence of Japan, but also
constitutes the very foundation Of
enduring peace and stability in East
Asia.
It is the firm conviction of the
japanese government that in face
of the new situation, fast develop
ing in East Asia. any attempt to
apply to the conditions of today and
tomorrow inapplicable ideas and
principles Of the past would neither
contribute toward establishment Of