No progress is likely to be made in the new peace move initiated between the Japanese and Chinese for the settlement of the Shanghai incident until a clarification has been' obtained of the "understanding" miéntioned in the Chinese reply.
ling the scope of the negotia~ tions, it was learnt last night, The Chinese reply to the communication of Mr. HI, Shigemiteu, Japanese Minister, expressed rea hess to enter into negotiations on the understanding that the "negotintions are limited to matters pertain. ing only to the definite cessation of hostilities and the complete. withdrawal of Japanese forces" and "no condition is to be attached to such withdrawal."
Tt is understood that Japan is pre.
only on the basis of the terms laid pared to discuss peace in Shanghai down in the League's resolution March 4, As the Chinese rep! to. the League's ditions are heinz they are compatible with the resolution, but it is unlikely' that negotiations will be continued if they are found incompatible, It is pointed out that in the Chily mention is made of the phrase "the complete withdrawal" Whereas no mention. gf the word "complete" isto be found in the League resolution. "Inquiry is also being made regarding the meaning of "'no condition" in the passage re-'Yering to the Chinese understand-
"fe is further understood that phasis placed "on the neces tan for an immedi te arrangement to ensure. the cessation of hostilities and Japan is. willing to withdraw her forees but. insists that. there will be no return of the sitychn which existed prior to January and. which resulted in action being. taken against the Chinese.
Text read from the printed page and cleaned; old type leaves the occasional error.