25 JUNE 1927, Page 2

It is reported from China that Feng Yu hsiann, the

Christian General, has met Chiang Kai-shek, the roll' Communist National leader. If this be true it seems that Feng is really breaking away- from the Hankow Coo munists. At the same time the Peking correspondent d the Times reports that Chiang Kai-shek has resumed dir.3' cussions with the Northern authorities. He ma). °` trying to persuade Feng to join in a.compromise, but not many days ago Feng was vowing at Hankow that he would fight Chang Tso-lin to a finish. If he means that seriously, a finish is evidently some way off, as Cluing Tso- lin, who was thought to be contemplating a retirement to Manchuria, has just established himself as Dictator at Peking. Chiang Kai-shek is still perhaps trying for peace and moderation, but his Government at Nanking is taking a reckless course in its proposal to abolish the foreign salt Inspectorate and to reconstitute the gabelle as a national monopoly. The better informed Nationalists are believed to be entirely opposed to this plan, but it is not unnatural that a great many others should be in favour of it, as whoever is in control of the revenue may hope to borrow extensively. The revenue, of course, will dwindle if Chinese administration takes the place of the present perfectly impartial and honest control, but un- happily every Chinese leader succumbs to what seems to be the most attractive suggestion at the moment.