Evening star., 1938-10-27
Early Answer on
Trade Rights Is
Demanded.
TOXIC ACCUSED
OF MONOPOLIES
Currency Manipulation
and Alteration of
Tariffs Charged.
fTert OF U. S. Note, Page A-10J

(Tert OF U. S. Note, Page A-10.)
Oy the Associated Press.
The United States Government has
told Japan in strongly worded note
to stop "unwarranted interference"
with American rights in China.
The 3,O00-word statement, presented
by Ambassador Joseph c. Grew in
Toxic October 6, but made public only
to-day, demanded continuance of the
"open door" policy in the Orient
An early reply was requested The
unofncial Interpretation here was that
II favorable answer did not arrive
soon, relations between the two coun-
tries would become strained.
The United States accused Japan of
seeking to make another Manchukuo
out Of the portions of China she has
occupied, and listed a long series of
violations of American business and
property rights.
Monopolies Charged.
The note charged Japan with trying
10 monopolize all trade in China
through setting up of pseudo Chinese
monopolies; with manipulating the
currency in North China; with alter
ing the tariffs: with keeping American
businessmen from their properties;
with censoring and interfering with
American mail and kilograms at
Shanghai.
1t called Japan's changes in the
customs offices arbitrary and illegal
assumptions of authority for which
the japanese government has an in
escapable responsibility
All these violations said the note
indicate clearly that the Japanese
authorities are seeking to establish in
areas which have come under Japan
csc military occupation general prefer
ences for, and superiority of, Japanese
interests an inevitable effect of which
will be to frustrate the practical ap-
plication Of the principle of the open
door and deprive American nationals
a equal opportunity"
Discrimination Seen.
Saying Americans already have suf-
ASASo So 6ASolAy ANVIL tiAV
ese conflict that IAN early rehabili-
tation Of American enterprise in China
and of American trade with China can
not be expected" the note added:
THE American Government. there
fore, finds it all the more difficult to
reconcile itself to a situation in which
American nationals must contend with
continuing unwarranted interference
With their rights at the hands Of the
japanese authorities in China and
with Japanese actions and policies
which operate to deprive American
trade and enterprise of equality of
opportunity in China
Your excellency cannot fail to
recognize the existence of a great and
growing disparity between the treat
ment accorded American nationals and
their trade and enterprise by japanese
authorities in China and Japan and
the treatment accorded japanese ma
tNonals and their trade and enterprise
by the Government of the United
States in areas within its jurisdiction"
Some students of Far Eastern affairs
professed to see in this statement
veiled threat that if Japan did not ac-
cord Americans better treatment.
japanese merchants dealing in or with
The United States soon might en-
counter restrictions.
Word "Manchuria" Used.
I'm the opinion of my Government"
Ambassador Grew wrote, equality of
or the open door has vir-
tually ceased to exist in Manchuria,
notwithstanding the assurances of the
Japanese government that it would be
maintained in that area"
(The word "Manchuria" was used
rather than "Manchukuo," Japanese
term for the puppet state it made of
Manchuria in 1882. The inference
was that the United States has no in
tention of recognizing Manchukuo.)
/The United States made three spe-
sif1c demands in the message:
Il. The diScontinuance of discrimi-
hatory exchange control and of other
measures imposed in areas in China
Under japanese control which operate
either directly or indirectly to dis
criminate against American trade and
enterprise.
20. The discontinuance of any
monopoly or of any preference which
would deprive American nationals of
the right of undertaking any legiti-
mate trade or industry in China, or
Of any arrangement which might pur-
pbrt to establish in favor of japanese
interests any general superiority of
rights with regard to commercial or
economic development in any region
Of China.
"3. The discontinuance of interfer-
snce by japanese authorities in China
with American property and other
rights, including such forms of inter-
ference as censorship Of American
mail and kilograms, and restrictions
upon residence and travel by Amer
'icans and upon American, trade and
shipping"
Japan Suppresses Note.
TOXIC, Oct. AZ R.-The United
states note demanding that "un-
warranted interference" with Ameri-
can rights in China be stopped will
noC De published in Japan.
Ihe note was delivered to the jana
nese government by United States
AMBASSADOR Joseph c. Grew October