§ 8. Sir K. WOODasked the Secretary of State for Foreign Affairs whether he can make any statement as to the position of affairs on the Yangtse, and the revolt of the Communist forces; and whether the authority of the Chinese Government has yet been restored?
§ Mr. DALTONHis Majesty's Minister in China reports that the situation on the Middle Yangtse is still unsettled. He is, however, continually urging upon the Chinese Government the need to clear the banks of bandits, who attempt to interfere with shipping, particularly between Ichang and Hankow.
§ 11. Captain P. MACDONALDasked the Secretary of State for Foreign Affairs what is the present position in China; and whether there is any recent evidence of attempts at political and military penetration by agents of the Union of Socialist Soviet Republics?
§ Mr. DALTONThere has been no material alteration in the position since my reply to the hon. and gallant Member on 21st January. As regards the second part of the question, my right hon. Friend has no information to this effect.
§ 13. Mr. SHAKESPEAREasked the Secretary of State for Foreign Affairs whether he is in consultation with the Powers concerned with a view to supporting, by economic or financial means, the Nationalist Government in China for the restoration of its trade, internal and external?
§ Mr. DALTONThe answer is in the negative.
§ Mr. SHAKESPEAREDoes the hon. Gentleman think conditions in China can be established without the concerted help of the great Powers?
§ Mr. DALTONThat is a difficult question to answer across the Floor of the House, but we are very much encouraged by the evidence of increased stability 2107 and increased control by the Nationalist Government over large areas of the country, and the House has recently approved the proposals of His Majesty's Government to encourage further economic development by passing the China Indemnity (Application) Bill. Beyond that we do not feel at the moment that it is possible for us to take action.
§ Mr. MANDERIs it not a fact that Sir Arthur Salter is paying a visit to China on behalf of the League of Nations?
§ Mr. DALTONI am glad to say that is so, but Sir Arthur Salter goes on behalf of the League of Nations and not on behalf of any particular country.
§ Captain CAZALETIs not the question bound up with the question of the stabilisation of silver?
§ Mr. DALTONI have no doubt that has a certain bearing upon it, like a number of other factors.