2 APRIL 1927, Page 2

Refugees are arriving at Shanghai from Hankow as well as

from Nanking. They say that in Hankow there is a reign of terror ; that the Communist Government is supreme and that it is unsafe for foreigners to appear in the streets. Much uneasiness has been caused in Shanghai by the inadequate defences of the French Concession. On Tuesday night a mob broke down the gates of the Concession. The Tokyo correspondent of the Times records a Japanese opinion about the future of Chinese politics which we hope is as well-founded as it is interesting. It is suggested that the most important point just now is the trial of strength between Chiang Kai- shek, the Cantonese Commander-in-Chief, and the Com- munists. Japanese observers think that Chiang is only biding his time and they regard him as the only Nationalist who is in a position to save China from Red rule. They consider, therefore, that if the Powers treated Chiang with unnecessary harshness the effect might be to drive him into the arms of the Communists.

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