861.77 Chinese Eastern/421: Telegram

The Minister in China (MacMurray) to the Secretary of State

934. Legation’s 911, October 15 [19], 8 p.m. In a despatch dated October 26th the American Consul at Mukden refers to steps taken with a view to bringing about opening of negotiations with the Soviet and states the British Legation was approached in the matter but that nothing eventuated as the British Government was disinclined to take any action owing to the absence of diplomatic relations between the two countries and the existence of negotiations through Berlin. Myers also comments as follows on situation:

“A few days ago the Mukden Government received another [message?] from President Chiang Kai-shek to the effect that nothing further can be done through Berlin and that he is unable to render any assistance in bringing the two countries together for negotiation.

[Page 339]

In view of the approaching winter and the heavy financial burden of maintaining large forces along the border, not to mention the danger of the outbreak of hostilities which is always present, this Government is anxious to reach a settlement with Russia in regard to the Chinese Eastern Railway.

It is apparently realized in high quarters that the seizure of the railway was without sufficient justification and was a mistake. Now that an opportunity exists for Mukden to handle the negotiations without the interference of Nanking, which has been accused of using the incident for political purposes, it is possible that an agreement may be reached for the holding of a conference.

The Mukden Government is ready to open negotiations on the basis of the Soviet-Mukden agreement of 1924 subject to the Soviet personnel being persona grata to the Chinese Government. This Government apparently only objects to the reinstatement of the Soviet general manager and assistant general manager because of alleged connection with subversive activities in Manchuria. In view of conditions in China and the attitude of this Government the prospects of reaching an early settlement of existing difficulties seems brighter than ever before.”

MacMurray
  1. Telegram in two sections.