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CHINA

MEASURES TAKEN BY THE UNITED STATES FOR THE PROTECTION OF AMERICAN LIVES AND PROPERTY IN CHINA-Continued

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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.

Dec. 27 (1133)

From the Minister in China (tel.)

979

Dec. 30 (473)

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.

980

Dec. 31 (1160)

From the Minister in China (tel.)

980

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

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

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

1931 Jan. 21 (757)

Jan. 26 (380)

Jan. 29 (388)

Feb. 4 (244)

From the Minister in China

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.

To the Minister in China

Department's observations, based on provisions of SinoAmerican 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.

To the Minister in China

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.

From the American Minister in China to the Chinese Minister
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.

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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 Feb. 16 (71)

From the Minister in China (tel.)

Feb. 20 (62)

Feb. 23

(26)

Feb. 24 (83)

Feb. 27 (70)

Mar. 1 (93)

Mar. 6 (85)

Mar. 6 (107)

Mar. 24 (434)

From Hankow: Summary of provisional regulations governing 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. To the Minister in China (tel.)

Instructions to authorize Hankow to inform the Chairman of the Hupeh Provincial Government that the regulations cannot be considered applicable to American firms.

From the Consul General at Canton to the Minister in China

Information that the Hsiakwan tax has been ordered discontinued and that the Standard Oil Company has been informed.

From the Minister in China (tel.)

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 Department's instructions as to the desirability of the Legation's concurring in the agreement.

To the Minister in China (tel.)

Advice that Department perceives no objection to the agreement set forth in the Minister's telegram No. 83, February 24.

From the Minister in China (tel.)

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.

To the Minister in China (tel.)

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.

From the Minister in China (tel.)

From Nanking: Information that procedure for collection of business tax has not yet been promulgated.

To the Minister in China

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. III- -7

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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

1931 Apr. 11 (932)

From the Minister in China

Subject

Page

992

May 19 (494)

June 25 (367)

June 30 (380)

July 3 (220)

Information concerning the collection from American citizens in Tsinanfu of a Chinese house tax, considered nondiscriminatory 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 questions raised in the Minister's telegram No. 380, June 30, but, pending further instructions, approves the proposed reply to Foochow.

993

993

993

994

July 15 (230)

To the Minister in China (tel.)

995

Instructions to oppose any attempt of Chinese municipal authorities at Shanghai to enforce new foreshore-property regulations against American nationals.

July 23 (456)

From the Minister in China (tel.)

996

July 27 (249)

July 31 (256)

Information concerning consular body's proposal with respect 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 collect 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 procedure which brought about the agreement. Instructions to refer any proposed modification to the Department for approval.

998

1000

CHINA

EFFORTS OF THE United States To Meet SITUATION CREATED BY IMPOSITION
IN CHINA OF TAXES CONSIDERED UNFAIR TO AMERICAN TRADE-Continued

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1931

Aug. 11 (508)

Aug. 17 (1123)

From the Minister in China (tel.)

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. Information that the British have made a similar request.

From the Minister in China

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.

Page

1000

1001

Aug. 17 (278)

To the Minister in China (tel.)

1004

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 (583)

From the Minister in China (tel.)

1005

From Shanghai: Information that foreshore regulations have been revised and that the Standard Oil Company has been approached again for permit fee.

Sept. 25 (364)

From the American Minister in China to the Chinese Minister
for Foreign Affairs

1005

Protest against certain taxes in Hunan collected in the form of surtax, and request that instructions be issued to stop collection of these imposts on American shipments.

1006

Oct. 3 (694)

Oct. 9 (373)

Oct. 20 (795)

From the Minister in China (tel.)

Information from Shanghai that in revised foreshore regulations two points are involved: (1) application for a permit from Land Bureau and (2) payment of a license fee. Suggestion by Consul General at Shanghai and Minister's concurrence, 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.)

Inquiry (1) as to whether official notification of the revised 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 regulations is advisable if owners of riparian property are pressed by Chinese authorities.

1007

1008

Nor. 9 (895)

From the Minister in China (tel.)

1008

Information from the Japanese Legation that the Japanese Government is not in a position to accept the revised foreshore regulations.

Dec. 4

(376)

From the American Minister in China to the Chinese Acting
Minister for Foreign Affairs

1009

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.

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)

June 16 (198)

July 10

1931 Apr. 24 (26)

Apr. 27

May 20

June 29

From the Minister in China (tel.)

Reports from Chefoo and Tientsin (texts printed) concerning 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 jurisdiction 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.

RETENTION OF UNITED STATES ARMY FORCES IN CHINA

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 Government'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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