Reports -that the critical situation in Europe was causing Chinese mer-"chants to place large orders with foreign importers for European goods were discredited by leading foreign importers and business men in Shanghai yesterday, says Domei.
It was reported that Chinese mer-Chants feared that in case another European war broke out the supply Of principal goods from that part of the world might be cut off.
According to the reports, European goods in great demand by Chinese merchants at this time include woollens, dyestuffs, hardware and rubber goods, About a dozen of the leading British and German importing firms and agencies in Shanghai, whose products have been sold widely in China for many years, were interviewed. The executives, without a single exception, stated that there has been no big boom in business recently.
"There has not even been anything near a boom," one of them told the interviewer.
A leading member of a large British] firm importing dyestuffs, metals, industrial chemicals and sundry goods stated that in the first place he did not believe there would be a war in Europe and even if there would be, the business reaction to it here would be much smaller than was the case in 1914 because business already has been impaired by the hostilities in China.
Furthermore due to the unfavourable exchange rate Chinese merchants would like to wait a little while before placing their orders with foreign importers, he continued. There was an increase in business for his firm near the end of March this year, but that was because of the favourable exchange rate, he declared.
The head of a leading German firm importing woollen goods, hardware, machinery, optical instruments and other principal necessities in China, emphasized that there had been no upswing in business for his firm recently, and to the: best of his knowledge there had been none experienced by others either, This was repeated, by the manager of another big German firm handling imports of electrical manufactures.
"Business of my firm is in fact worse than last month on account of the exchange rate, There is no improvement in business," the manager of another large German firm told the interviewer, This frm handles imports of German dyestuffs which have been in great demand in China for many years, A leading member of the British Chamber of Commerce said he had not heard anything about the reported revival in business from any of his colleagues, He expressed doubt regarding the reported rush of orders, Inquiries at a British firm importing piece goods and sundries -elicíted similar views, According to information from the Customs yesterday, the quantity of bonded goods of European origin cleared from the godowns during the past ten days was almost normal and there had been no increase, These cleared goods consisted mostly of chemicals, paper, kerosene and motor cars.
Text read from the printed page and cleaned; old type leaves the occasional error.