Foreign Relations of the United States Diplomatic Papers, 1935, The Far East, Volume III

893.6363 Manchuria/253: Telegram

The Secretary of State to the Ambassador in China (Johnson)

Washington, October 17, 1935—5 p.m.

28. Your 64, October 15, 5 p.m.

1. Based upon such information as is now available, Department is inclined to approve of your instructions to the Consul General at Mukden as outlined in the second paragraph of your telegram under reference. However, Department desires that you repeat to Tokyo your telegram under reference with a request that Tokyo forward to you and to Department by telegram its views and recommendations.

2. Department assumes that if the procedure under contemplation is followed by the American oil interests and consular authorities similar action will be taken, with the approval of the British Embassy, by British oil interests and consular authorities.

3. You will of course realize that the Department is not in position to judge in advance whether the situation resulting from an oral discussion between Manchukuo officials and representatives of the Consulate General and American oil interests will warrant an advancing of a diplomatic claim. It is suggested that you review carefully enclosures to Department’s mail instruction No. 1673 of June 3²⁵ and your copies of Tokyo’s despatches to Department in regard to this subject, particularly first paragraph, page 4, of Tokyo’s despatch No. 1303 of May 15.²⁶

Hull

25. Not printed; the enclosures referred to were memoranda of conversations between officials of the Division of Far Eastern Affairs, Department of State, and officials of various oil companies and with the British Ambassador on the subject of the oil monopoly in Manchuria.
26. Not printed; this paragraph discussed the attitude of the oil companies and stated “that if they attempted to claim against the authorities in Manchuria without having enlisted the influence of the Japanese Government through the Embassies, they would have little or no chance of success and, moreover, would be going counter to their previous policy of avoiding direct dealings with the Manchurian authorities and endeavoring to maintain the whole question on a plane of international policy.” (893.6363 Manchuria/212)