Japan's policy towards China is prompted by the necessity: for hor own self-preservation. Manchuria is regarded by Japan as her first. me of defence. The plans of the Japanese General Staf in the event a war on a large scale have taken this into full consideration and the campaign strategy is based on this assumption. It is absurd, to say that Japan will surrender liber rights and privileges in Manchuria for some years to come. Then, there are other important aspects in the relations of Japan and China that have a very vital Searing on the Island Kingdom of the Far East, not the least. being: the question of economic relations.
It is not likely that Japan will over consent to China levying duties fon Japanese goods at rates arbittarily and one-sidedly fixed—for trade is Japan's lifeblood. Should China think that here is the weapon wherewith to be labour Japan, she might discover the boycott in future to be a new kind of two-edged sword, that is to say a sword with the edge nearest to her far sharper id with the weapon inflicting: more injury on China than on Japan, for Japan has a new conception of the boycott. If this is persisted in regardless "of treaties and agree-nts, regardless of the rights and interests trading nations have with one another and regardless of the fundamentals of international law, and if such tactics result or threaten to upset the economic life of her people, Japan will regard Such tactics as an aet of unfriend: Uiness. that aims at injuring her as A nation, and will take whatever stops she deems necessary to break the boycott effectively on the Eround that such threatens the life. of her people.
Japan's policy towards Chin: thus, while it aims at making friend of China, is not based unduly' on sentiment, but keeps ever before ft the stern realities and cold facts of situation that is constantly in flux, There is nothing that Japan desires more than to iron out her differences with China and to solve the questions pending between the two countries through fair and impartial adjustments and through fan understanding and sympathy consideration' of the special stand-
Point of the other.
The Hand of Friendship This feeling, endorsed heartily by press and public, wax repeated by the Premier, Dr. Hamaguchi, on July 9 when'he issued a statement in regard to the policy of the New Ministry, "It im the ardent dose of the, cornment," said the, Premier, "tot Wislotlive™ Polley' for both and China)
Text read from the printed page and cleaned; old type leaves the occasional error.