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In discussing the return to China by Japan of a metaphysical sovereignty while economic rights are retained, I shall not repeat the details of German treaty rights as to the railway and the mines. The reader is assumed to be familiar with those facts. The German seizure was outrageous. It was a flagrant case of Might making Right. As von Buelow cynically but frankly told the Reichstag, while Germany did not intend to partition China, she also did not intend to be the passenger left behind in the station when the train started. Germany had the excuse of prior European aggressions, and in turn her usurpation was the precedent for further foreign rape. If judgments are made on a comparative basis, Japan is entitled to all of the white-washing that can be derived from the provocations of European imperialistic powers, including those countries that in domestic policy are democratic. And every fairminded person will recognize that, leaving China out of the reckoning, Japan’s proximity to China gives her aggressions the color of self-defence in a way that cannot be urged in behalf of any European power.

It is possible to look at European aggressions in, say, Africa as incidents of a colonization movement. But no foreign policy in Asia can shelter itself behind any colonization plea. For continental Asia is, for practical purposes, India and China, representing two of the oldest civilizations of the globe and presenting two of its densest populations. If there is any such thing in truth as a philosophy of history with its own inner and inevitable logic, one may well shudder to think of what the closing acts of the drama of the intercourse of the West and East are to be. In any case, and with whatever comfort may be derived from the fact that the American continents have not taken part in the aggression and hence may act as a mediator to avert the final tragedy, residence in China forces upon one the realization that Asia is, after all, a large figure in the future reckoning of history. Asia is really here after all. It is not simply a symbol in western algebraic balances of trade. And in the future, so to speak, it is going to be even more here, with its awakened national consciousness of about half the population of the whole globe.

Let the agreements of France and Great Britain made with Japan during the war stand for the measure of western consciousness of the reality of only a small part of Asia, a consciousness generated by the patriotism of Japan backed by its powerful army and navy. The same agreement measures western unconsciousness of the reality of that part of Asia which lies within the confines of China. An even better measure of western unconsciousness may be found perhaps in such a trifling incident as this:—An English friend long resident in Shantung told me of writing indignantly home concerning the British part in the Shantung settlement. The reply came, complacently stating that Japanese ships did so much in the war that the Allies could not properly refuse to recognize Japan’s claims. The secret agreements themselves hardly speak as eloquently for the absence of China from the average western consciousness. In saying that China and Asia are to be enormously significant figures in future reckonings, the spectre of a military Yellow Peril is not meant nor even the more credible spectre of an industrial Yellow Peril. But Asia has come to consciousness, and her consciousness of herself will soon be such a massive and persistent thing that it will force itself upon the reluctant consciousness of the west, and lie heavily upon its conscience. And for this fact, China and the western world are indebted to Japan.

These remarks are more relevant to a consideration of the relationship of economic and political rights in Shantung than they perhaps seem. For a moment’s reflection will call to mind that all political foreign aggression in China has been carried out for commercial and financial ends, and usually upon some economic pretext. As to the immediate part played by Japan in bringing about a consciousness which will from the present time completely change the relations of the western powers to China, let one little story testify. Some representatives of an English missionary board were making a tour of inspection through China. They went into an interior town in Shantung. They were received with extraordinary cordiality by the entire population. Some time afterwards some of their accompanying friends returned to the village and were received with equally surprising coldness. It came out upon inquiry that the inhabitants had first been moved by the rumor that these people were sent by the British government to secure the removal of the Japanese. Later they were moved by indignation that they had been disappointed.

It takes no forcing to see a symbol in this incident. Part of it stands for the almost incredible ignorance which has rendered China so impotent nationally speaking. The other part of it stands for the new spirit which has been aroused even among the common people in remote districts. Those who fear, or who pretend to fear, a new Boxer movement, or a definite general anti-foreign movement, are, I think, mistaken. The new consciousness goes much deeper. Foreign policies that fail to take it into account and that think that relations with China can be conducted upon the old basis will find this new consciousness obtruding in the most unexpected and perplexing ways.

One might fairly say, still speaking comparatively, that it is part of the bad luck of Japan that her proximity to China, and the opportunity the war gave her to outdo the aggressions of European powers, have made her the first victim of this disconcerting change. Whatever the motives of the American Senators in completely disassociating the United States from the peace settlement as regards China, their action is a permanent asset to China, not only in respect to Japan but with respect to all Chinese foreign relations. Just before our visit to Tsinan, the Shantung Provincial Assembly had passed a resolution of thanks to the American Senate. More significant is the fact that they passed another resolution to be cabled to the English Parliament, calling attention to the action of the American Senate and inviting similar action. China in general and Shantung in particular feels the reinforcement of an external approval. With this duplication, its national consciousness has as it were solidified. Japan is simply the first object to be affected.

The concrete working out of economic rights in Shantung will be illustrated by a single case which will have to stand as typical. Po-shan is an interior mining village. The mines were not part of the German booty; they were Chinese owned. The Germans, whatever their ulterior aims, had made no attempt at dispossessing the Chinese. The mines, however, are at the end of a branch line of the new Japanese owned railway—owned by the government, not by a private corporation, and guarded by Japanese soldiers. Of the forty mines, the Japanese have worked their way, in only four years, into all but four. Different methods are used. The simplest is, of course, discrimination in the use of the railway for shipping. Downright refusal to furnish cars while competitors who accepted Japanese partners got them, is one method. Another more elaborate method is to send but one car when a large number is asked for, and then when it is too late to use cars, send the whole number asked for or even more, and then charge a large sum for demurrage in spite of the fact the mine no longer wants them or has cancelled the order. Redress there is none.

Tsinan has no special foreign concessions. It is, however, a “treaty port” where nationals of all friendly powers can do business. But Po-shan is not even a treaty port. Legally speaking no foreigners can lease land or carry on any business there. Yet the Japanese have forced a settlement as large in area as the entire foreign settlement in the much larger town of Tsinan. A Chinese refused to lease land where the Japanese wished to relocate their railway station. Nothing happened to him directly. But merchants could not get shipping space, or receive goods by rail. Some of them were beaten up by thugs. After a time, they used their influence with their compatriot to lease his land. Immediately the persecutions ceased. Not all the land has been secured by threats or coercion; some has been leased directly by Chinese moved by high prices, in spite of the absence of any legal sanction. In addition, the Japanese have obtained control of the electric light works and some pottery factories, etc.

Now even admitting that this is typical of the methods by which the Japanese plant themselves, a natural American reaction would be to say that, after all, the country is built up industrially by these enterprises, and that though the rights of some individuals may have been violated, there is nothing to make a national, much less an international fuss about. More or less unconsciously we translate foreign incidents into terms of our own experience and environment, and thus miss the entire point. Since America was largely developed by foreign capital to our own economic benefit and without political encroachments, we lazily suppose some such separation of the economic and political to be possible in China. But it must be remembered that China is not an open country. Foreigners can lease land, carry on business, and manufacture only in accord with express treaty agreements. There are no such agreements in the cases typified by the Po-shan incident. We may profoundly disagree with the closed economic policy of China, or we may believe that under existing circumstances it represents the part of prudence for her. That makes no difference. Given the frequent occurrence of such economic invasions, with the backing of soldiers of the Imperial Army, with the overt aid of the Imperial Railway, and with the refusal of Imperial officials to intervene, there is clear evidence of the attitude and intention of the Japanese government in Shantung.

Because the population of Shantung is directly confronted with an immense amount of just such evidence, it cannot take seriously the professions of vague diplomatic utterances. What foreign nation is going to intervene to enforce Chinese rights in such a case as Po-shan? Which one is going effectively to call the attention of Japan to such evidences of its failure to carry out its promise? Yet the accumulation of precisely such seemingly petty incidents, and not any single dramatic great wrong, will secure Japan’s economic and political domination of Shantung. It is for this reason that foreigners resident in Shantung, no matter in what part, say that they see no sign whatever that Japan is going to get out; that, on the contrary, everything points to a determination to consolidate her position. How long ago was the Portsmouth treaty signed, and what were its nominal pledges about evacuation of Manchurian territory?

Not a month will pass without something happening which will give a pretext for delay, and for making the surrender of Shantung conditional upon this, that and the other thing. Meantime the penetration of Shantung by means of railway discrimination, railway military guards, continual nibblings here and there, will be going on. It would make the chapter too long to speak of the part played by manipulation of finance in achieving this process of attrition of sovereignty. Two incidents must suffice. During the war, Japanese traders with the connivance of their government gathered up immense amounts of copper cash from Shantung and shipped it to Japan against the protests of the Chinese government. What does sovereignty amount to when a country cannot control even its own currency system? In Manchuria the Japanese have forced the introduction of several hundred million dollars of paper currency, nominally, of course, based on a gold reserve. These notes are redeemable, however, only in Japan proper. And there is a law in Japan forbidding the exportation of gold. And there you are.

Japan itself has recently afforded an object lesson in the actual connection of economic and political rights in China. It is so beautifully complete a demonstration that it was surely unconscious. Within the last two weeks, Mr. Obata, the Japanese minister in Peking, has waited upon the government with a memorandum saying that the Foochow incident was the culminating result of the boycott; that if the boycott continues, a series of such incidents is to be apprehended, saying that the situation has become “intolerable” for Japan, and disavowing all responsibility for further consequences unless the government makes a serious effort to stop the boycott. Japan then immediately makes certain specific demands. China must stop the circulation of handbills, the holding of meetings to urge the boycott, the destruction of Japanese goods that have become Chinese property—none have been destroyed that are Japanese owned. Volumes could not say more as to the real conception of Japan of the connection between the economic and the political relations of the two countries. Surely the pale ghost of “Sovereignty” smiled ironically as he read this official note. President Wilson after having made in the case of Shantung a sharp and complete separation of economic and political rights, also said that a nation boycotted is within sight of surrender. Disassociation of words from acts has gone so far in his case that he will hardly be able to see the meaning of Mr. Obata’s communication. The American sense of humor and fair-play may however be counted upon to get its point.

January, 1920.

China, Japan and U.S.A: The Geopolitical Analysis

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