§ 2. Sir KINGSLEY WOODasked the Secretary of State for Foreign Affairs whether he will make a statement on the present situation in China; and what is the present position of the negotiations in relation to extra-territorial rights?
Mr. A. HENDERSONHis Majesty's Minister at Peking reports that the National Government forces, after an initial success, have retreated before the Northern coalition, who are pushing forward in Shantung. In the South, the rebel forces, abandoning their attack on Canton, have made a rapid advance northward, the Government's forces having been withdrawn to a point only some 40 miles south of Hankow. Fighting between the Government and rebel forces near Foochow appears to have resulted in the defeat of the rebels. Disturbances have occurred in Amoy, but my latest report is that all is now quiet there. There have been no further communications with the Chinese Government on the subject of extra-territoriality since I answered the right hon. Gentleman's question on the 28th May.
§ Sir K. WOODCan the right hon. Gentleman say anything about the seizure of the Customs?
Mr. HENDERSONI think a question has been answered on that point. There has been a statement in the Press, which has been confirmed, that there has been a seizure of the Customs.
§ Sir K. WOODIs the right hon. Gentleman proposing to go on with his negotiations as to territorial rights, in view of the unsettled state of the country?
Mr. HENDERSONYes, but I have left the matter very largely in the hands of the Minister on the spot, Sir Miles Lampson.
§ Mr. ARTHUR MICHAEL SAMUELIs the right hon. Gentleman aware that every delay in this matter reacts unfavourably on our trade in Lancashire?