893.00/10476

Memorandum by the Assistant Secretary of State (Johnson)

The French Ambassador came in this morning and asked me about the status of the question of the raising of our Legation to an Embassy in China42 and the question of extraterritoriality. I told the Ambassador that there had been no change in the question of the [Page 159] status of the Legation as the matter was just where it had been when he had a conversation with Secretary Kellogg at which time we were sympathetically inclined but no decision had been made. I said similarly at the present time no decision with regard to the question had been reached.

He said that their information was that the Japanese had decided to raise their Legation to an Embassy in connection with the settlement of certain questions with China. He said he could not understand what was moving the Japanese in the matter as he knew of no reason for urgency in the question.

The Ambassador asked me whether we had any late information about conditions in China. He said he understood there was some danger of a new outbreak of war with great loss of life and increased destitution. I told him that we had no information of any immediate hostility except telegrams reported a small outbreak in Yunnan and some trouble at Hankow.

The Ambassador stated that he was very much worried about the situation in China and he wondered whether it would not be possible for someone to do something about it. He reminded me that the position of the middle man in China was a very honorable one and furthermore a very necessary one as the Chinese were always sticklers on the subject of “face” and a middle man could always serve the two parties without loss of face on either side. He felt that China was of great importance to the world as a whole and of great importance to the United States because it furnished a large market to the products of the United States. It was necessary to us to keep our economic situation at a balance and a peaceful China at the present time would offer a convenient market for our surplus wheat. Disorders in China at the present time made such a situation difficult and perhaps caused trouble. He wondered whether it would not be possible for us to step in and offer the Chinese help as a middleman in their difficulty, to urge upon them, perhaps, the making of a Kellogg pact for China whereby the various parties in China would agree to cease their conflicts and to refer their differences to the United States as an arbitrator for their troubles. He said, of course, it might be that such a proposal would amount to merely a gesture but he pointed out that no one had ever pointed out to the Chinese the error of their ways. He felt that this would serve to bring to the attention of the world and to the attention of the Chinese themselves the mistakes that they were making.

I stated that I felt that this was a very important and very interesting suggestion that he made, but that I was somewhat skeptical of the ability of anyone to step into China at the present time and accomplish anything in the interest of peace, because of the lack of any desire or will on the part of the Chinese to have confidence or [Page 160] trust in one another. I felt that the work of an arbitrator or peacemaker in China would be an extremely difficult one because he would not have the support of the armed parties behind him. The people might support him but would be helpless because they were without arms. Banditry and fighting was the most profitable business in China today.

The Ambassador stated that it was possible, of course, that such a move might amount only to a gesture; on the other hand, it might result in some means of success. It might bring about peaceful conditions for a year or two years, but that whatever happened it would be a gesture you were making and would result in benefit. It could do no harm. He asked me to discuss this with the Secretary and I promised him that I would.

N[elson] T. J[ohnson]