JAPANESE IN CHINA

Evening Post, Volume CXXV, Issue 19, 24 January 1938, Page 9

JAPANESE IN CHINA

NO EXCLUSION OF OTHER NATIONS

SPEECH:BY PREMIER

END OF WAR FAR DISTANT

(United Pros? Association—By Blcetrip C«pyri«(it,» (Received January 24; noon.) TOKIO, January 22. Speaking in the Diet and replying to a deputy who criticised the Finance Minister's failure to encourage exports and ensure the mooth distribution of war material, especially wool, the Prime Minister, Prince Konoye, declared that Japan has no intention of conquering China or of closing the door to other nations, China's natural resources would be opened up, whatever foreign investments were essen? tial for the development of the coinv try. He added, in reply Lto another deputy, thai he would never talk peace lo General Chiang Kai-shek again. ■ Japan would declare war if necessary, but the inclusion of General Chiang Kai-shek's Government in future administration. wa» entirely a Chinese affair. "Far distant is the end of the conflict. It will be a long time before settlement is reached, Ours js indeed a momentous task," declared Prince Konoye, in appealing for a.dauntlew spirit to meet still greater sacrifice* and achieve permanent peace in East Asia, based on close co-operation be» tween Japan and Manchukuo. WESTERN CO-OPERATION. The Minister of Foreign Affairs... 5% K. Hirota, after expressing wmup ytterances, rejoiced in the calmness «nd fair-mindedness of Britain'and America regarding the Panay and Ladybird incidents. This had averted alienation of good feelings. He hoped that the Government and people of Britain would comprehend correctly. Japan* popitipn in East Asia and co-operata with her in the furtherance of pence Bi)d good understanding. Mr. Hirola revealpd that Japan's peace. terms included demiHUriied vones, payment of an indemnity, and an economic agreement between China* Japan, and JVlanehukuo. '' The Minister of War, General G. Sugiyama, told the Diet that Chin* originally had J ,750,000 men in the field. half of whom had since been killed or wounded. The Minister of Finance, Mr. Kaya, said that Japan was progressing in fppite of the war. Exchange would be maintained at I4d. The_ Government planned to promote exports and gold produclon, regulate imports, control consumption and rising prices, utilUe raw material substitutes, and cheek speculation. It is reported from Shanghai that General Liv Shih, Governor of Honan, hitherto one of General Chiang Kaishek's supporters, has been arrested for dereliction of military duties.