893.24/654: Telegram
The Counselor of Embassy in China (Peck) to the Secretary of State
[Received December 3—9 a.m.]
624. The French Ambassador informed Major McHugh during a long and frank conversation on December 2 that he believed the Japanese invasion of Kwangsi primarily to be a political attempt to [Page 767] intimidate the Indochina Government into closing its border and stopping the transit of all supplies for the Chinese. He vehemently denounced as Japanese propaganda all rumors that France is lukewarm to China, denying the alleged presence of one of his staff at a reception given by the Ta Tao Government88 in Shanghai this fall, asserting that he had refused Wang Ching Wei89 haven in the French Concession at Shanghai, disclaiming any ulterior motive in the withdrawal of the French military mission and explaining the misunderstanding which arose in September over the report that the Indochina border had been closed. In rebuttal he cited the commitment of his Government to a fresh capital investment of 80 million francs for the expansion of the traffic facilities of the railway to Yunnanfu and further stated that he had just received approval of an additional outlay of 16 million francs for the construction of a new motor road from Haiphong to Laokay as alternate route due to the interruption of the Nanning road.
Doctor Hollington Tong90 was present during the latter part of the conversation when the Ambassador pointed out that it would be useless to build this road if the Chungking government failed to supplement it with a suitable extension. Monsieur Cosme further urged Tong to impress upon the Generalissimo91 the need for China to place strong guards at all vulnerable points along the railway within Chinese territory in keeping with similar precautions already taken by the French on their side in order to ward off bombing attacks or forestall sabotage. He asserted that his government is prepared to continue to assist China in every possible way despite its serious responsibilities in Europe provided the Chinese do their part. He warned him, however, that if the Japanese were permitted to occupy and hold the territory adjacent to the Indochina border, France could not be blamed if she were forced later to meet such a position by appropriate conciliation in order to safeguard her interests.
The Ambassador stated that he himself expected to put the foregoing very bluntly to the Generalissimo on December 3 and added that he expected to remain in Chungking until the Kwangsi crisis had passed.
A memorandum of the complete details of the foregoing conversation is being forwarded by air mail. McHugh requests that the above information be made available to the Naval Attaché and Navy Department.
Repeated to Peiping and Shanghai. Peiping please mail to Tokyo.