The China Incident, it asserts, has reached a stage at which Japan has fully to establish a most vital conerete policy, namely, what relations Japan Should establish with a new central or demand reparations, but will re-Spect China's sovereignty and sock China's healthy recovery.
Tt expects "Japan merely to request any new central government to affirm the special nature of the North China region and Inner Mongolia,"
Any decision reached today regard: ing ce-operation with a new central regime is likely to be submitted to the Cabinet tomorrow for approval, though, according to the "Asahi, some circles consider that the Board's decision need not be submitted to the Cabinet for approval.
Important circles, with strong views, have influenced the Government to aurae 10 the establishment of 'a new central regime in China as a prerequisite condition for the opening, of negotiations with third Powers for the regulation of Japan's relations in China with those powers, declares the Kokumin Shimbun."
For the time being, it. adds, any contact with Britain and. the United States will be confined to informal talks on pending issues, postponing formal negotiations until after the establishment of a new regime.
Text read from the printed page and cleaned; old type leaves the occasional error.