LONG-TERM PEACE HOPE NOW ABANDONED

Auckland Star, Volume LXXII, Issue 281, 27 November 1941, Page 7

LONG-TERM PEACE HOPE NOW ABANDONED

US-JAPANESE TALKS

Acceptance Of Terms Would " Incite Revolution "

United Tress Association.—Copyright.

Rec. 1 p.m. WASHINGTON, Nov. 26.

It can now be authoritatively stated that ail hope of a long-term peace agreement between the United States and Japan has been abandoned. It is believed that Japan will not, or cannot, accept the conditions for such an agreement— virtual withdrawal from the Asian mainland, abandonment of the Axis Pact and a complete return to the ways of peace.

The present instability of Japanese domestic conditions is believed to be such that any Japanese Government's acceptance of such conditions would lead to an internal revolution.

The New York Herald-Tribune Washington correspondent says that Mr. Cordell Hull continued his efforts to win the approval of the A.B.C.D. nations for a limited agreement. Differences of opinion among the A.B.C.D. envoys regarding the proposed terms constituted an obstacle to the difficult negotiations. China, in particular, opposed a limited accord which, it was feared, would impair her position.

At one stage, when it was apparent that the general Pacific settlement was impossible, the Japanese threatened to return home, and to save a rupture Mr. Hull turned to the idea of a limited settlement.

The Domei (Japanese) news agency predicts that the next few days wiil reveal whether the Washington discussions end in success or failure. Japan was not in a position to waste time in conducting negotiations with the United States.

The United States Embassy at Tokyo renewed its advice to Americans to evacuate the Japanese Empire, occupied China and Indochina as soon as possible. The sailing of the Tatuta Maru to America has been postponed to December 2 to accommodate Americans.

A message from Tokyo says the newspaper Niehi Nichi gives prominence to a special dispatch from Washington which is headed: "Japanese-American Talks Approach Denouement. Both Sides' Terms Exhausted." The message asserts that the Washington atmosphere is more pessimistic.

The same journal also gives prominence to an article from its London correspondent. This is headed: "Britain Frantically Prepares for War With Japan."

A message from Hanoi says the Government has apologised to the United States for the bombing of the Saigon Consulate. The authorities are doing their utmost to apprehend those responsible. SERIOUS REACTION ECONOMIC BLOCKADE OF JAPAN SINGAPORE, Nov. 25. According to reports from Japan, department store business there is being seriously affected by the democracies' economic blockade. Already many medium and small businesses have been closed because of a shortage of goods. This is now affecting the large stores. One of Tokyo's largest has leased a whole floor rent free to the Sea Transportation Corporation, a recentlyformed policy company.

Commenting on the drift in retail business in Japan generally, the Japanese edition of the Oriental Economist says: "The aggravated political relations between Japan and the democratic nations in recent years, and the stoppage or commerce, culminating in the enforcement of asset freezing measures, are two factors which are causing the department stores' merchandise to dwindle rapidly.

"The stock of the Mitsukoshi department store last August showed a 15 per cent drop compared with the stock in August, 1040."

The journal says also that the shortage of employees is felt hy every department store in Japan. The difficulty of obtaining sales girls and salesmen became serious soon after the China war began. It is expected that this will become worse in the future.