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in any way with the operation of the act of Congress known as the passenger act," approved August 2, 1882, the requirements of which are almost exclusively hygienic.

Accept, etc.,

VISCOUNT S. AOKI.

The Acting Secretary of State to the Japanese Ambassador.

No. 17.]

DEPARTMENT OF STATE, Washington, November 23, 1906. EXCELLENCY: I have the honor to acknowledge the receipt of your note, No. 60, of the 22d instant, inclosing the translation of an ordinance issued by the Japanese minister of state for communications exempting American vessels trading to Japan, from and after the 26th instant, from any further survey as regards hull, boilers, machinery, and equipments than is necessary to satisfy the inspection officers that these matters are as stated in the vessel's current certificate of inspection, on condition that such exemption is not to extend to the inspection required, for sanitary reasons, in respect to the accommodations provided for passengers.

In behalf of your Government you apply for similar exemption from inspection for Japanese vessels trading to the ports of the United States, upon the understanding that such exemption would not interfere in any way with the operation of the act of Congress, known as the "passenger act," approved August 2, 1882.

In reply I have the honor to say that copies of your note and of its inclosure have been sent to the Secretary of Commerce and Labor for his consideration and appropriate action.

Accept, etc.,

No. 106.]

ROBERT BACON.

Ambassador Wright to the Secretary of State.

AMERICAN EMBASSY, Tokyo, November 26, 1906.

SIR: I have the honor to transmit herewith translation of order No. 49 of the department of communications, which was promulgated in to-day's Official Gazette, announcing that arrangements have been made by the Governments of Japan and the United States for the mutual recognition of shipping certificates issued by either Government.

I have, etc.,

[Inclosure. Translation.]

LUKE E. WRIGHT.

ORDER NO. 49, DEPARTMENT OF COMMUNICATIONS.

The regulations relating to the inspection of vessels of the United States of America have been determined as follows, and the same shall take effect on November 26, 1906:

NOVEMBER 21, 1906.

ISABURO YAMAGATA, Minister of Communications.

ARTICLE 1. A vessel of the United States of America in possession of a certificate of inspection issued by the Government of the said country may, only during the period of time during which the said certificate is valid, be navigated

without being subject to the inspection prescribed in the laws and regulations of the Empire of Japan.

ART. 2. When an owner or charterer of a vessel, a captain or any other agent desires to navigate his vessel in accordance with the provisions of the preceding article, he shall apply for permission to the competent authorities having jurisdiction over the place where the vessel is.

ART. 3. On receipt of the application mentioned in the preceding article, the competent authorities shall dispatch an inspector to the said vessel and cause· him to investigate whether or not the actual condition of the hull, engine, and accessories agrees with the statement in the certificate of inspection.

ART. 4. When, after inspecting the vessel as prescribed in the preceding article, the competent authorities have found that the actual condition of the hull, engine, and accessories agrees with the statement in the certificate of inspection, a certificate similar in form to that which is attached herewith shall be issued to the said vessel.

The validity of the certificate to be issued in accordance with the provisions of the preceding paragraph shall be determined according to the period of time during which the certificate of inspection issued by the United States Government is valid.

ART. 5. Unless otherwise provided for, the certificate to be issued in accordance with the provisions of the preceding article shall be governed by the provisions of the detailed regulations for the operation of the law relating to the inspection of vessels.

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This certificate is hereby issued in accordance with article 4 of order No. 49 of the department of communications, November, 1906.

This certificate shall cease to be valid on

(Date of issue.)

(Name and seal of the official in charge.)

The Secretary of State to the Japanese Ambassador. No. 18.]

DEPARTMENT OF STATE, Washington, November 30, 1906. EXCELLENCY: Referring to the department's note No. 17, of the 23d instant, on the subject of the proposed arrangement between the Governments of the United States and Japan regarding the reciprocal exemption from inspection in either country of the merchant vessels of the other, I have the honor to inclose herewith, for your information, a copy of a letter from the Secretary of Commerce and Labor, inclosing a copy of an order, issued by him, exempting vessels of the Empire of Japan from all inspection made under the Steamboat-Inspection Service, except such as is necessary to satisfy the local inspectors that the condition of the vessel, her boilers, and life

59605-FR 1906-63

saving equipments are as stated in the current Japanese certificate of inspection, in accordance with the provisions of section 4400 of the Revised Statutes of the United States.

Accept, etc.,

ELIHU ROOT.

[Inclosure.]

The Secretary of Commerce and Labor to the Secretary of State.

DEPARTMENT OF COMMERCE AND LABOR,
Washington, November 24, 1906.

SIR: Receipt is acknowledged of your letter of November 23, 1906, relative to the proposed reciprocal arrangement between the United States and the Empire of Japan as to the inspection of steamships and of the accompanying copy of a note from the Japanese ambassador transmitting the translation of an ordinance issued by the Japanese minister of state for communications, exempting vessels of the United States from inspection as stated therein.

In response thereto I have the honor to state that necessary measures have been taken by this department to insure to vessels of Japan a similar exemption from the operation of the steamboat-inspection laws of the United States, and I inclose herewith copy of an order," in the usual form, to be issued by this department November 26, 1906, exempting vessels of the Empire of Japan from all inspection made under the Steamboat-Inspection Service, except such as is necessary to satisfy the local inspectors that the condition of the vessel, her boilers and life-saving equipments are as stated in the current Japanese certificate of inspection, in accordance with the provisions of section 4400 of the Revised Statutes of the United States.

I may add that telegraphic notice of this order will be sent to the officers of the Steamboat-Inspection Service on the Pacific coast simultaneously with the issuance of the order.

Very respectfully,

V. H. METCALF.

No. 432.]

CUSTOMS TARIFF LAW OF JAPAN.

Chargé Wilson to the Secretary of State.

AMERICAN LEGATION, Tokyo, April 9, 1906. SIR: Referring to my telegram of March 27, as confirmed in the legation's dispatch No. 429 of the 5th instant, I have the honor to transmit herewith this legation's translation in duplicate of the revised customs tariff law as passed at the recent session of the Japanese Parliament. For convenience of comparison I have added parallel columns showing the rates of duty under the old import tariff, which include the war taxes indefinitely continued and now in force. This new law was approved by the Emperor March 30, 1906, was published in the Official Gazette on the following day, and will go into effect on the 1st of next October. Its effects will of course be felt only by goods not now provided for in the conventional tariffs in force.

On March 7, having obtained an advance copy of the law as then proposed by the cabinet, I immediately communicated with the leading American business houses at Yokohama and with the executive committee of the American Asiatic Association of Japan, requesting from them an expression of their opinions as to the effect the proposed changes in duties would probably have upon American trade. I also requested promptness in advising me in the matter, in order that I

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might report to you by telegraph if serious injury to our importations to Japan seemed threatened.

In answer to my inquiries I received numerous letters and had many interviews with our merchants. The general impression that I gather therefrom is that, while a considerable increase in duty will be levied upon our manufactures, yet, with a few exceptions, they are not of a character vitally to affect our commercial interests. Satisfaction was expressed that many of the new duties would be changed from ad valorem to specific, thus insuring greater uniformity in the levy of customs duties.

Changes in the rates on locomotives and railway supplies will, it is believed, make little difference in our sales, the largest purchaser of these products being the Japanese Government. The same comment is also applicable to leather, which is largely consumed in army and navy supplies. On printing paper, in consequence of the vigorous action of the newspaper and publishing interests, a reduction of the old duty has been made. Under the head of petroleum and its products no change has been made in the duty on illuminating oil. There is a 5 per cent increase on light oil, but this article is not largely imported from the United States. On lubricating oil there is an increase from 85 yen ($0.4233) to 1.23 yen ($0.61254) per 100 kin (132.51 pounds avoirdupois). The increase in the duty on higher grades of watches, it is believed, will give less expensive Swiss watches an advantage over the American articles. The increase in the duty on sewing machines, I am advised, should not seriously affect American sales. Manufactured tobacco remains subject to a duty of 250 per cent.

The duty on wheat flour is increased from 1.196 yen ($0.595608) to 1.45 yen ($0.7221) per 100 kin (132.51 pounds). This increase is the one that has caused most objection from our merchants, who apprehend that it will tend to check the demand for a food product that is rapidly coming into wide use in this country. It is expected that the protection to be given by this enhancement will result in the construction of flour mills in Japan or at Dalny to utilize the wheat of Manchuria, and that this may eventually enable the Japanese to obtain flour cheaper even than now. Of course, as a consequence, there would be an increased demand for American mill machinery.

The new tariff law is interesting, owing to its tendency in the direction of protection, from which one may draw some inferences as to Japan's probable tariff policy when, in 1911, the present conventional rates will be replaced.

I have, etc.,

HUNTINGTON WILSON.

TREATY AND ADDITIONAL AGREEMENT BETWEEN CHINA AND

No. 370.]

JAPAN.

Chargé Wilson to the Secretary of State.

AMERICAN LEGATION, Tokyo, January 12, 1906. SIR: I have the honor to transmit herewith a copy of the foreign office's English translation of the treaty and additional agreement between Japan and China relative to Manchuria, which were signed at Peking on the 22d ultimo. This treaty and agreement were done

in the Chinese and Japanese languages only, and it is not provided which text shall govern. This is interesting as a departure from Japan's former practice in making treaties to have the governing text in a western language, rather than one in the relatively ambiguous Japanese or Chinese.

Yesterday Mr. Takaaki Kato, the minister for foreign affairs, told me that these documents were not to have been published until after the exchange of ratifications, but that since much of their contents had in some way become known, it had been decided to give them out informally. I was also informed that the treaty and agreement had already been communicated to you by telegraph through the Japanese legation at Washington. For that reason no telegram on the subject was dispatched by this legation.

It will be seen that the treaty itself deals only with China's transfer to Japan of territory in the Liaotung Peninsula which had been held under lease by Russia and the railway between Port Arthur and Changchung, with all its branches, together with all the rights, privileges, and accessories appertaining to the lease and to the railway concession.

The agreement is much longer. The first article secures the opening of 16 cities throughout Manchuria as places of international residence and trade, and is therefore of great commercial importance.

Under Article VI Japan acquires the right to perfect and build a railway line between Antung and Mukden, the term of the concession to expire in eighteen years from the present time. The Governments of Japan and China further agree to arrange by a separate convention for connecting services between railway lines in south Manchuria and all the other lines in China.

Under Article IX Japan is to have settlements at Yingkow, Antung, and Mukden.

Finally, Article X provides for the formation of a joint stock company composed of Chinese and Japanese subjects to work the timber lands on the right bank of the Yalu River. The profits are to be equally shared by the Chinese and Japanese shareholders, the details of the concession to be concluded later. It is expected that this will be an exceedingly lucrative undertaking since the forests of the Yalu are reputed to be immensely rich, being drawn upon for timber to be used in important constructions at Peking and other distant cities.

Certain protocols, containing further arrangements of no small importance, were drawn up in conjunction with the treaty and agreement; but, as I was informed at the foreign office, these protocols are being kept secret for the present in accordance with an understanding with China.

I have, etc.,

HUNTINGTON WILSON.

[Inclosure 1.-Translation.]

TEXT OF THE TREATY.

His Majesty the Emperor of Japan and His Majesty the Emperor of China, desiring to adjust certain matters of common concern growing out of the treaty of peace between Japan and Russia of September 5, 1905, have resolved to conclude a treaty with that object in view and have for that purpose named their plenipotentiaries-that is to say, His Majesty the Emperor of Japan: Baron Komura Jutaro, Jusammi, grand cordon of the Imperial Order of the

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