He would not, Mr, Eden declared, answer. a question based on the hypothesis of Sino-Japanese hostllexcept ito say that every effort would be made to keep the International Settlement at Shanghai free Jot all hostilities.
'Mr, A. C. Moreing, Conservative member for Preston, put a question concerning the injurious effect, on British trade in Shanghai, Hankow jand the Yangtze Valley by' the competition of goods smuggled into north China through East Hopel.
Captain D. Euan Wallace, Secretary Jot the Overseas Department of the [Board of Trade, said he had received report from the British Commercial [Counsellor at Shanghai (Mr. Louis Beale) comparing the Chinese Cus-orna figures for the first four months of 1896 with the same period in 1035.
Generally speaking, the report indicated that the direct effect of smuggling on British trade had hitherto fet been substantial because the goods smuggled were, generally, not of the type usually obtained from Britain. The position, however, was being closely watched, Mr, R. H. Morgan, Conservative member for the Stourbridge division of Worcestershire, asked whether the British Government now recognized East Hopel as autonomous, and whether the Chinese Customs func tioned there.
Mr, Eden replied: "East Hopel is part of China and, therefore, in the view of H. Mf, Government, under the Central Chinese Government. There has been no recent change as regards the Customs position."—Reuter.
Text read from the printed page and cleaned; old type leaves the occasional error.