893.512 Flour/33: Telegram
The Minister in China (MacMurray) to the Secretary of State
[Received October 3—1 p.m.]
743. Department’s 327, September 25, 7 p.m.
1. Jenkins reports that the tax has been in force since August 16th.
Cunningham reports that the Commissioner of Foreign Affairs has replied to his protest as follows:
“I would observe that the collection of a special tax on flour is a measure adopted to pave the way for increase of taxes and abolition of likin. As this tax supersedes miscellaneous impositions, it affords the advantage of free movement once the goods are thus taxed. There is no longer any reason for granting immunity to foreign flour in the matter of taxation, and, although customs duty was not collected in old days, foreign flour was not entirely free of miscellaneous impositions. As it is now treated on the same basis as Chinese-made flour so that it may share the benefit of free circulation after the payment of a single tax, it is believed that importers should be only too glad to comply with the present requirement.”