The Sino-Japanese Conflict The Manchurian- situation is still extremely disquieting.
The Japanese claim to have withdrawn some of their troops from Kirin,- but they have moved considerable detachments into other areas of- Manchuria, ostensibly to guard railways or repair bridges, and there are signs -that- they are playing off one local Chinese general against another. China has made further representations to the League, Council, alleging in particular that Japan has seized_ in many. places the salt gabelle, which is ear- marked for the service of various foreign loans. If the League . Council when it meets on November 16th is faced with a _situation in any way corresponding to that now existing it will be called on to take grave decisions. The seriousness of the outlook is substantially increased by the possibility of Russian intervention, though gratuitous aggression by the Soviet Government is improbable. No war anywhere can help the Five Year Plan. It is increasingly plain that the only hope of achieving anything like a permanent settlement in Manchuria lies in the active participation of some neutral body like the League in the negotiations between China and Japan. That participation China not merely approves but invites. Japan, however, continues to refuse it flatly. Meanwhile some local fracas may precipitate open hostilities at any moment.
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