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CHINA MEASURES TAKEN BY THE UNITED STATES FOR THE PROTECTION OF AMERICAN

LIVES AND PROPERTY IN CHINA-Continued

Date and number

Subject

Page

1931 Dec. 24

979

Dec. 27 (1133)

979

From the Vice Consul at Foochow (tel.)

Report of the capture of Harriet J. Halverstadt, American
missionary, and advice that Provincial Government is being
urged to take prompt action for her release.
From the Minister in China (tel.)

From Nanking: Information that the kidnaping of Miss
Halverstadt has been taken up with the Foreign Office.

From Foochow: Information that the Provincial Govern-
ment is half-hearted in its efforts to obtain Miss Halver-
stadt's release, and that prospects of release are uncertain.
To the Minister in China (tel.)

Instructions to advise the Foreign Ministry of the Depart-
ment's concern over the capture of Miss Halverstadt; also of
its great anxiety with regard to the safety of American citizens
in China.
From the Minister in China (tel.)

From Nanking: Representations made to the Foreign Office
over the capture of Miss Halverstadt.

(Footnote: Miss Halverstadt's release, January 3, 1932.)

980

Dec. 30

(473)

980

Dec. 31 (1160)

EFFORTS OF THE UNITED STATES TO MEET SITUATION CREATED BY IMPOSITION

IN CHINA OF TAXES CONSIDERED UNFAIR TO AMERICAN TRADE

981

982

1931
Jan. 21 From the Minister in China
(757) Report of the collection from American firms of a further

duty at Shanghai after their payment of regular duties at the
original port of shipment; information that the Foreign
Ministry, in reply to the Legation's representations, made no
attempt to justify or regularize the double collection of taxes;

request for instructions on further action.
Jan. 26 To the Minister in China
(380) Department's observations, based on provisions of Sino-

American treaty of 1844 and others, with respect to reported
attempts of the Chinese military authorities in northern Honan
to extort forced loans from Chinese agents of an American

company engaged in the sale of kerosene.
Jan. 29 To the Minister in China
(388) Comments concerning excessive fees charged by Shanghai

authorities in licensing American plumbing contractors, and
advice that the principles set forth in Department's instruction

No. 546 of June 2, 1927, should be applied.
Feb. 4 From the American Minister in China to the Chinese Minister
(244) for Foreign Affairs

Information of the collection of a military surtax at Hsiakwan on certain products imported into Kwangsi by the Standard Oil Company of New York; request that action be taken to discontinue the tax as it is in contravention of the decision of the National Government to abolish likin and similar taxes as from January 1, 1931.

983

985

CHINA EFFORTS OF THE UNITED STATES TO MEET SITUATION CREATED BY IMPOSITION IN CHINA OF TAXES CONSIDERED UNFAIR TO AMERICAN TRADE-Continued

Date and number

Subject

Page

986

987

987

988

1931
Feb. 16 From the Minister in China (tel.)
(71) From Hankow: Summary of provisional regulations govern-

ing the imposition of a business tax in Hupeh which is intended
to be applicable to American firms.

To Hankow: Information that provisional regulations are in
violation of treaty rights, but that American firms should be
informed and that any attempt to enforce the measures against
them should be reported.

Information that the Japanese have declined to comply

with similar regulations at Hunan. Request for instructions. Feb. 20 To the Minister in China (tel.) (62) Instructions to authorize Hankow to inform the Chairman

of the Hupeh Provincial Government that the regulations

cannot be considered applicable to American firms. Feb. 23 From the Consul General at Canton to the Minister in China (26) Information that the Hsiakwan tax has been ordered dis

continued and that the Standard Oil Company has been in

formed.
Feb. 24 | From the Minister in China (tel.)
(83) Information regarding a tentative agreement between the

consular body and the Consolidated Tax Administration of the
Ministry of Finance for the application of rolled tobacco tax
regulations in the International Settlement of Shanghai,
applicable only to Chinese residents. Request for Depart-
ment's instructions as to the desirability of the Legation's

concurring in the agreement. Feb. 27 To the Minister in China (tel.) (70)

Advice that Department perceives no objection to the agreement set forth in the Minister's telegram No. 83,

February 24.
Mar. 1 From the Minister in China (tel.)
(93) Report from Hankow of possible strong efforts by authorities

to collect business tax from foreign firms; efforts of authorities
at Foochow and Chefoo to enforce a similar tax; British
position that the tax is in violation of treaty rights. Inquiry
as to what policy the Department desires to follow in this

regard.
Mar. 6 To the Minister in China (tel.)
(85) Instructions to use Department's telegram No. 62, February

20, as a guide in answering inquiries concerning the business tax;
authorization to make representations to Nanking in the event

the Chinese attempt to enforce the tax.
Mar. 6 From the Minister in China (tel.)
(107) From Nanking: Information that procedure for collection

of business tax has not yet been promulgated. Mar. 24

To the Minister in China (434)

Instructions, in connection with the double collection of export dues from American firms at Shanghai, to make further representations to the Chinese Government, basing the request for refund of duties on general principles of international law and U. S.-Chinese treaties.

(Footnote: Information that Minister sent a note to the

Foreign Minister dated May 8.) 587122-46-VOL. IN-7

988

989

990

990

991

CHINA EFFORTS OF THE UNITED STATES TO MEET SITUATION CREATED BY IMPOSITION

IN CHINA OF TAXES CONSIDERED UNFAIR TO AMERICAN TRADE-Continued

Date and number

Subject

Page

1931 Apr. 11

(932)

992

993

May 19

(494)

993

June 25

(367)

993

June 30

(380)

July 3

(220)

From the Minister in China

Information concerning the collection from American
citizens in Tsinanfu of a Chinese house tax, considered non-
discriminatory by the American Consul at Tsinan, who has
suggested its payment as a voluntary contribution toward the
support of municipal services and has secured exemption for
American missionary residences. Recommendation that the
Consul's action be approved.
To the Minister in China

Approval of the action taken by the Consul at Tsinan in
regard to the Chinese house tax.
From the Minister in China (tel.)

Information that the new business tax law has been passed
by the Legislative Yuan but not promulgated by the State
Council; that the Foreign Ministry states that it does not
contravene the principles of taxation and requests that
American merchants be instructed to pay it.
From the Minister in China (tel.)

Information of proposed 25 percent surtax on customs
duties at Foochow and of a products tax at Hankow, reported
in telegrams from the respective Consuls (texts printed);
transmittal for Department's approval of a proposed reply to
Foochow (text printed), and inquiry as to Department's
attitude toward a protest against the Hankow tax on the
grounds of lack of notice to American firms concerned.
To the Minister in China (tel.)

Advice that the Department is studying the taxation ques-
tions raised in the Minister's telegram No. 380, June 30, but,
pending further instructions, approves the proposed reply to
Foochow.
To the Minister in China (tel.)

Instructions to oppose any attempt of Chinese municipal
authorities at Shanghai to enforce new foreshore-property regu-
lations against American nationals.
From the Minister in China (tel.)

Information concerning consular body's proposal with re-
spect to extending the agreement concerning the application
of the rolled tobacco consolidated tax to non-extraterritorial
foreigners in the Shanghai International Settlement. Request
for instructions.
To the Minister in China (tel.)

Approval of protest against surtax at Foochow, and outline
of bases for representations in case authorities attempt to col-
lect the surtax; opinion that Hunan and Hopei taxes appear
to be objectionable on the same grounds.
To the Minister in China (tel.)

Concurrence in Legation's views that any change in the
existing agreement for the application of the rolled tobacco
consolidated tax should be made by following the same pro-
cedure which brought about the agreement. Instructions to
refer any proposed modification to the Department for ap-
proval.

994

995

July 15

(230)

996

July 23

(456)

998

July 27

(249)

July 31

1000

(256)

3 To

CHINA
EFFORTS OF THE UNITED STATES TO MEET SITUATION CREATED BY IMPOSITION
IN CHINA OF TAXES CONSIDERED UNFAIR TO AMERICAN TRADE—Continued

Date and
Dut ber

Subject

Page

1000

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1001

1004

(278)

1005

1931
Aug. 11 From the Minister in China (tel.)
(508) Proposed note to the Chinese Foreign Ministry (text printed)

requesting that the new foreshore-property regulations be
canceled or modified so as to ensure American rights. In-

formation that the British have made a similar request.
Aug. 17 From the Minister in China
(1123) Formal note to the Chinese Foreign Minister (text printed)

pointing out the objectionable features of the new Chinese
National Business Tax Law and requesting that the whole

question be given careful consideration. Aug. 17 To the Minister in China (tel.)

Approval of proposed note transmitted in the Minister's telegram No. 508, August 11, with deletion of one sentence and

appropriate change in another. Sept. 15 | From the Minister in China (tel.) (583) From Shanghai: Information that foreshore regulations have

been revised and that the Standard Oil Company has been

approached again for permit fee. Sept. 25 From the American Minister in China to the Chinese Minister (364) for Foreign Affairs

Protest against certain taxes in Hunan collected in the form of surtax, and request that instructions be issued to stop col

lection of these imposts on American shipments.
Oct. 3 From the Minister in China (tel.)
(694) Information from Shanghai that in revised foreshore regula-

tions two points are involved: (1) application for a permit
from Land Bureau and (2) payment of a license fee. Sugges-
tion by Consul General at Shanghai and Minister's concur-
rence, that this be accepted as a compromise and American
firms be advised that there is no objection to paying the fee.
To the Minister in China (tel.)

1005

1006

1007

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Oct. 20

(795)

1008

foreshore regulations has been received, (2) whether a reply
has been received from the Foreign Ministry to the Legation's
note of August 20 (authorized by Department's telegram No.
278, August 17), and (3) as to the British attitude.
From the Minister in China (tel.)

Information that formal notification of the revised foreshore
regulations was received in reply to Legation's note of August
20, and that the British believe that acceptance of the regula-
tions is advisable if owners of riparian property are pressed by
Chinese authorities.
From the Minister in China (tel.)

Information from the Japanese Legation that the Japanese
Government is not in a position to accept the revised fore-
shore regulations.
From the American Minister in China to the Chinese Acting

Minister for Foreign Affairs
Protest against a "Production-Consumption Tax” in
Hunan, which is indistinguishable from likin, and request that
instructions be issued to the proper authorities to effect the
abolition of this tax.

Nor. 9

(895)

1008

1009

Dec. 4

(376)

CHINA
APPLICATION OF CHINESE JURISDICTION TO AMERICAN MISSIONARY, EDUCATIONAL,

AND MEDICAL ENTERPRISES AND PERSONNEL IN CHINA

Date and number

Subject

Page

1931 June 3

(309)

1010

1011

June 16

(198)

From the Minister in China (tel.)

Reports from Chefoo and Picntsin (texts printed) concern-
ing new regulations requiring the registration of foreign
physicians with Consuls; opinion that such registration would
result in further encroachment by Chinese authorities upon
extraterritorial privileges and in unfair pressure being brought
to bear upon nonregistered physicians.
To the Minister in China (tel.)

Department's opinion that American physicians practicing
in China are under American jurisdiction and not subject to
Chinese authorities, but that in the absence of appropriate
American laws, consular officers may properly comply with the
Chinese request, subject to the understanding that juris-
diction over American citizens in China must be retained by
appropriate American officials.
Memorandum by the American Consul General at Nanking of a

Conversation With the Chinese Acting Minister of Education
Discussion of American interest in education in China;
Consul General's reference to the registration with the
Chinese authorities of many American institutions in China.

July 10

1012

RETENTION OF UNITED STATES ARMY FORCES IN CHINA

1931 Apr. 24

(26)

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Apr. 27

1014

To the Consul General at Nanking (tel.)

For the Minister: Information that the War Department
has raised the question as to retaining further U.S. Army forces
at Tientsin and has been informed by the Department that it
would not be opportune at present to consider the question in
view of the extraterritoriality negotiations. Request for
opinion as to the withdrawal and as to the value of this Gov-
ernment's indicating its willingness in principle to take such
action.
From the Minister in China (tel.)

Opinion that the time will soon arise when the question of
voluntarily withdrawing U. S. Army forces from Tientsin will
arise, but that any mention now would be unwise and should be
delayed until the conclusion of the extraterritoriality agree-
ment.
To the Secretary of War

Opinion that American forces should not be removed from
Tientsin without consulting other powers concerned, and that
such action should not be taken until the situation in China has
changed somewhat and certain questions under negotiation
have been disposed of. Nonobjection to a gradual and incon-
spicuous reduction in the number of the force.
Memorandum by the Assistant Chief of the Division of Far

Eastern Affairs of a Conversation With Major Hayes A.
Kroner of the Military Intelligence Division, War Depart-

ment
Discussion regarding a Washington press despatch released
in Peiping reporting a reduction in American forces at Tientsin,
to be effective September 1.

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May 20

1015

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June 29

1015

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