Officials of both the "Provisional Government" in Peiping: and the "Reformed Government" in Nanking are reported to be holding a joint meeting in the former city for the purpose of discussing a further in-Grease of the Customs duty on foreign goods. Other important questions, including the strengthening of the two Chinese governments by giving more power to the new joint committee created by the two governments, will also be discussed.
Officials of the new Nanking regime occupying the key positions, including Mr. Liang Hung-chih, president of the Executive Yuan, are reported by the Chinese press to have already flown to Peiping where preliminary discussions are supposed to have taken place yesterday.
General Kita of the Japanese Special Service Section and General Doihara are stated to be participate ing in the discussions, offering whatever help they can in order to increase the strength of the two Chinese governments, as they have failed to organize a strong central Chinese government, Divergence of Opinion On this question there is a reported divergence of opinion among the Japanese and Chinese officials, the latter being strongly opposed to a proposal asking the Emperor of Manchoukuo to come over to Peiping. It would appear, it is stated, that since the Chinese officials are opposed to the move, Japanese authorities will have to be contented with the newly created joint committee of the two existing governments in the occupied territory.
As to the impending increase of the Customs duty, especially in northern ports, the matter has been much publicized by the Ciinese press. An all-round increase of the tariff will be effected but in doing so particular attention will be paid to luxuries exported to this country by foreign countries excepting Japan, it is stated. Tobacco and wine will receive the most serious attention.
The two Chinese governments will increase the Customs duty at the alleged instigation of the Japanese, who wish to retaliate against the recent British and American loans granted to China. Foreign traders in China are said to be paying most serious attention to the question and Customs authorities are stated to be opposing the new move.
Text read from the printed page and cleaned; old type leaves the occasional error.