Severe fighting was also oportod near the vicinity of Paoshan yesterday when the Chinese launched a counter-offensive following the arrival of reinforcements. Tt was reported Jast night that, the Chinese troops were within one kilometre of the walled city.
'The fighting at Paoshan was preceded the previous night by a Japanese bombardment. In order to avoid heavy loss, the Chinese defends decided to withdraw from the city. One battalion was determined '¢'remain in their positions and' nothing had been heard of them when the Japanese surrounded the city Lion Forts were also sub ted to heavy bombardment. The report that the place had also jen nto the Japanese hands could not be confirmed yesterday.
Fighting also broke out in the Lotien sector. According to a Chinese report, the position remained changed, The Woosung sector mained comparatively quiet. Heavy artillery pieces were brought ashore by the Japanese, In describing the fighting in the in Yangtszepoo sector, a Chinese communique last night said that, reinforced by 3,000 men including an artillery unit, the Japanese in that sector launched a fierce attack on the Chinese positions on the Military Road and Yinghsiangkong.
Several Japanese planes 2 the land troops in their onslau which was stated to have been of tively withstood by the Chinese defence forces.
More than twenty Japanese warships, the Chinese said, attempted to cover the landing operations of a part of the troops, who tried to effect flank movement on the Chinese positions in the Yangtszepoo sector, thereby hoping to make a link with their comrades in Changhwayans Japanese aeroplanes _yesterday morning also bombed Taichang and Kiating, destroying a number of residence. In the immediate Shanghai vicinity, Japanese "war birds" again wrought havoc in Peihsinching shortly after 7 o'clock in the morning. Several bombs were dropped. One of them exploded on Pierce Road, killing six persons and wounding two, all being refugees proceeding at the time to the Settlement.
Text read from the printed page and cleaned; old type leaves the occasional error.