740.0011 P. W./372: Telegram

The Ambassador in France (Leahy) to the Secretary of State

966. We learn from Ostrorog that the military concessions to Japan for the present involve the stationing of some 40,000 Japanese troops in the south, principally in the region of Saigon and Camranh Bay and the utilization of 8 new air bases (in addition to the 3 in Tonkin which they have under previous agreements).

He said that there are no indications that the Japanese are at the present time enthusiastic at the idea of attacking Vladivostok, though troop concentrations in the north continue; there were likewise no indications of any move to the south. “After all, if the Japanese are not convinced of a German victory,” he said, “they will of course endeavor to capitalize after the war on the fact that they have remained neutral or at least inactive in the military sense to retain what they can if the allies are victorious; their bargaining position will be that much stronger.” He feels that the Japanese will devote themselves now to stirring up nationalist movements in Annam and Cochin-China with a view to destroying French authority there and looking toward the establishment of Japanese dominated puppet provinces.

Another Foreign Office official frankly expressed to us last evening what seems to be the basis of French policy in Indochina: “If the [Page 245] Japanese win or keep out of the war we may be able to save something by cooperating with them now; if the allies are victorious we feel confident that the United States will see that we get the colony back again.”

Leahy