The Foreign Sezretary added that Britain desired to see China united fand peaceful under a stable administration. He believed that when that was achieved the inter-fests of peaceful traders, like the British would te served no less than the interests of the Chinese.
He expressed the opinion that when the Nanking Government accepted responsibility for the Nanking incident, "and I de not think necessary or desirable to behind their acceptance of that responsibility," they should make a settlement as friendly with Britain as they had made with the United he added, was quite prepared to' negotiate a commercial treaty to take the place of the present system of restriction upon the tariff-freedom of China. "We fare prepared—as their own progress allows, as life and property become more secure and as their authority to discharge the ordinary obligations of a civilized government becomes strong enough for the task—to enter into friendly negotiations with them in the transition from the old treaty system to a new system which liberally meets their new aspirations and generally recognizes the changed circumstances of the time, and I think we are entitled to expect, being animated by these liberal sentiments ourselves, go meet an equally friendly attitude on the art of the Chinese Government,"
Manchuria Part of China The Foreign Secretary stated that Britain did not recognize Man anything but a part of Britain recognized that Japan had great interests in Manchuria and might well be anxious regarding the protection of her people there, but the British inter-jest was in a'united China under one government which could take and keep their obligations: a China with which Britain could negotiate and maintain a friendly settlement, Britain, he added, did not desire troops in China longer wry but there were still 10 be taken if the Brit fsh Government was to discharge the duty it owed to the Britisa Jcommunities in China.
Mr, Lloyd George (Liberal) said that Sir Austen had adhered honourably to his previous declaration of policy with regard to China and he was delighted to hear Sir Austen's declaration about Manchuria, He hoped that there was not going to be a practical annexation of Manchuria by Japan.
Mr. Arthur Ponsonby (Labour) said that once the Nanking Government had been recognized by His Majesty's Government they xould bbe in a position, if they found themselves in difficulties in Manchuria, to bring their grievances before the League of Nations and to allow the League to settle any dispute whea might arise between them and Peking, July 31.
After flatly denying the report that the British Minister to Peking, 5 a result of his consultation with the British Consul-General Shanghai, is shortly to open negotiations with the Nationalist Government regarding the revision the existing Anglo-Chinese treaty on condition that China's statutory tariff be enforced throughout the country, that equal treatment be accorded to nationals of all the Powers and that surtaxes of all kinds be abolished, the British authorities made the following statement to the: Toho News Agency "As the Nanking incident has not yet been settled, Great Britain, at resent, has no intention of entering into negotiations with the Nationalist Government over the question.
treaty revision, "The conditions for the opening of such negotiations are no more than what has been stated in the announcements Great Britain has issued ju the past that she is, and has always been, sympathetic towards China's restoration of tariff Jautonomy and that she has no objection to the conclusion of a new treaty on an equal basis whenever such is. possible."
"On the Treaty question, Britain, unlike some other nations, is in the same position as Japan, It is true that negotiations om the Nanking incident are proceeding between the British and Nationalist. Governments, but no remarkable progress has so far been made in this respect."—Toho,
Text read from the printed page and cleaned; old type leaves the occasional error.