WAR EXTENDING

Grey River Argus, 25 August 1937, Page 5

WAR EXTENDING

MORE JAPS ARRIVE MAJOR BATTLE Expected at Shanghai FIGHTING IN THE NORTH AMERICAN PLEA FOR PEACE. fAust. & N.Z. Cable Assn.] (Received August 24, 7.55 p.m.) WASHINGTON, August 24. The Secretary of State, Senator Hull, has formally appealed to China and Japan to refrain from resorting to war for the settlement of their differences. In so doing, he called attention to his statement of July 16th. He pointed out that China and Japan were included among the nations who had expressed approval of it. THE JAP. REINFORCEMENTS. LANDING CONTESTED. NEWCOMERS TAKE FRONTIERS.

SHANGHAI, August 23. An intense artillery duel marked the successful landing of 50,000 Japanese reinforcements. The Chinese determinedly withstood the Japanese after the landings at Liuho and Woosung, which the Japanese warships covered, firing five hundred heavy shells. The Chinese awaited the invaders at a dozen different points on the riverside, and engaged them at close quarters, fighting for hours before falling, back After this, the Japanese established field headquarters at Wenchaopang railway station, with the intention of relieving the hard-pressed sailors and marines in the front line. The Japanese suffered severely at Liuho and Woosung, but captured the terminus of the military highway, from Woosung to Yangtsepoo.

Several Attacks NEW CHINESE MOVE. JAPANESE HOPE TO FOIL IT. SHANGHAI, August 23. The Chinese announce a strategic retirement to defensive positions, for a decisive battle to relieve the Japanese pressure on Shanghai. The Japanese, on the other hand, hope to smash the Chinese before they can 'perform this strategic withdrawal. A Japanese spokesman said: “In view of the provocative Chinese attitude, we will chance now a real de-j cisive blow before there is any possibility of their strategic withdrawal. We hope that the Shanghai area will be cleared of hostilities shortly.” The Japanese assert that they faced seven Chinese divisions, four of which were first-line units, in this morning’s general attack. It is claimed that the attack has not affected the Japanese lines anywhere. The Idzumo has returned from Woosung and taken up a new position half a mile downstream from the Japanese Consulate. The Japanese Military Spokesman announces that the Japanese are contemplating a mass attack. LONDON, August 23. Shanghai’s ordeal of apprehension continues for the citizens, while the opposing Chinese and Japanese forces assemble for the decisive encounter. Bombs Hit British Store OVER 300 KILLED. SHANGHAI, August 23. It is estimated that 250 were killed when two shells of unknown origin struck the seven-storey British department store, known as “Sinceres. ’ There was terrible havoc and mangled bodies were everywhere All windows for a radius of a mild were shattered. Ambulances, police, troops, and boy scouts are recovering the dead and succouring the injured.

A third shell struck the United States Navy warehouse, but fortunately it did not explode. Those injured included Messrs Bellingham and Abend, two correspondents of the New York “Times.” LATER. '. Official: The Sinceres’ casualties were 300 to 500 killed and injured The total would have been worse, but the attack occurred during the luncheon spell. Another bomb fell close to the British Consulate. TOKIO, August 23. The Domei Agency quotes a Japanese Naval communique affirming that the disaster to Sinceres was due to bombs from Chinese ’planes. Officials at the Shanghai Municipal Council also declare that the damage was caused by a bomb and not a shell Three hundred bodies were conveyed in ten motor lorries. LONDON, August 23. The authorities established that it was an air bomb and not a shell which caused havoc in the Interna* tional Settlement, in wrecking Sin-< ceres. ANOTHER BOMB INCIDENT. SHANGHAI, August 23. Incidents at Shanghai include a bomb striking the roof next door to Hamilton House, a temporary headquarters of the British Consulate? tearing through three floors, and starting a fire, which was extinguished.

Jap Warship Sunk ANOTHER DISABLED. (Received August 24, 7.55 p.m.) SHANGHAI, August 24. A Japanese destroyer is reported to have been sunk, and a Japanese gunboat disabled by Chinese projectiles during yesterday’s landing of Japanese troops at Woosung. The Chinese claim that they largely prevented the landing. JAPANESE FEELING. CHINA TO BE GIVEN A LESSON ! (Received August 24, 10.5 p.m.) TOKIO, August 24. “Japan will not be satisfied until real punishment is given China, and until China recognises her wrong, apologises for it,” says “The Japan Times” in a leading article. It adds

that if the fighting lasts for two years, it will obviously tax Japan’s man-power and economic strength to the utmost. JAPS. KILL PRISONERS. SHANGHAI, August 23. Passengers aboard the Shanghai Maru, saw Japanese soldiers on the riverside wharf shoot, bayonet and toss into the Whangpoo River, four trussed kneeling Chinese, probably captured snipers. ON OTHER FRONTS. JAPANESE CLAIM SUCCESS. LONDON, August 23. The Tokio correspondent of “The Times” says that Japanese troops’ operations along the Suiyan railway, porth-west of Pekin, are now almost successful. The menace from Kalgan to the Japanese right flank has been averted. The Japanese who crossed the Great Wall occupied Wanchuan, a strategic town, ten miles west of Kalgan, and hold Nankow. SHANGHAI, August 23. 'Japanese daylong unavailingly attacked Hankow Pass. The Japanese claim to have captured all strategic points north of the Yungting River,, and also the occupation of Kalgan. Japanese nationals have been with drawn from central and southern China, with the exception of a force at Tsingtao, where there are nine Japanese cotton mills. The Japanese reinforcements are already in action seizing the terminus of the military highway from Wo’osung : as a flanking move against Pekin. HANKOW PASS BATTLE.

• SHANGHAI. August 23. : The Japanese in North China are ! hurling forces into the great battle for Hankow Pass, the Chinese possession of which cuts off the Japanese troops in Pekin from their Manchukuo army. - • All day the Japanese failed in an attack on the Pass. CHINESE MENACE TSINGTAO. SHANGHAI, August 23. The Chinese troops are reported to be closing in on Tsingtao, where there are Japanese forces protecting nine Japanese cotton mills. LATER; A large party of Chinese marines landed at Tsingtao and occupied positions in order to resist a possible Japanese landing. Mixed Chinese forces, estimated at twenty-five thousand, are enclosing the city and constructing fortifications. JAPAN’S FORCES. GROWING IN THE NORTH. (Received August 24, 10 p.m.) LONDON, August 24. A Tientsin message says that foreign observers estimate that there are now between eighty and one hundred thousand Japanese troops in North China. MANCHUKUO DEVELOPMENT. TOKIO, Augut 23. The Manchukuo Development and South Manchuria Railway Companies have jointly organised the Manchuria Cattle Company, with a capital of five million yen, of which the Manchukuo Government is subscribing half, for the purpose of establishing the cattle industry in Manchukuo. JAPANESE LOAN. TOKIO, August 23. The Minister for Finance (Mr Okinubu Kaya) has assured business people that they are not compelled to underwrite the defence. bonds. Capital would not be unnecessarily con- ' trolled, but merely readjusted to expand the production, of the munition ■ and export industries. Cholera Spreading i 162 DEATHS IN HONG KONG HONG KONK, August 24. . The Cholera epidemic here has seriously increased. During the past week there have been 369 cases, and 162 deaths have resulted. This is nearly twice the total for the previ- , ous weeks.

BRITISH INTERESTS. LIST OF WARSHIPS. JAPAN IGNORES REPRESENTATIONS. RUGBY, August 23. The Admiralty announce that British warships in Chinese waters are as follows:—At Shanghai, cruiser Danae, escort vessel Falmouth; at Woosung, flotilla-leader Duncan, destroyer Duchess, escort vessel Grimsby; at Butu Island, cruisers Cumberland and Suffolk, destroyer Delight; at Tsingtao, aircraft-carrier Eagle, destroyer Dainty; at Wei-Hai-Wei, submarine depot ship Medway, minelayer Adventure, destroyer Westcott, escort vessel Folkestone; at Chefoo, destroyer Diana; at Chinwangzao, destroyer Defender; at Taku, escort vessel Sandwich; at Nanking, cruiser Cape Town. The British Government is still without any reply from the Japanese and Chinese Governments, to the suggestion made for the restoration of the situation at Shanghai, which, according to to-day’s news telegrams, continues to deteriorate. The reactions to the British proposals in semiofficial circles in Tokio appear to have been unsympathetic, which has caused disappointment here. On the Japanese side, it has been strongly emphasised that Japan will not tolerate foreign intervention, but it is pointed out that the British project does not in any sense imply intervention, and is merely a request to both sides to withdraw from the area in which foreign interests are heavily involved. In Nanking, although there has been no official reply, the reaction is understood to have been, on the whole, favourable, and this fact has been noted with satisfaction.

The proposals for the mutuallyagreed withdrawal of forces not in conflict, from the Shanghai zone, were made with a view to securing the isolation from war-like operations of the International Settlement, where many countries, and Britain in an outstanding measure, have very large financial, commercial and industrial interests, and where a large foreign population resides. The British authorities are providing protection for their nationals against attack, but so long as hostilities are actively pursued around the Concessions, there can be no assurance against accidental death or, injury. The precaution is being taken, therefore, of evacuating women

and children, whose temporary absence will not cause great inconvenience, but the author of a story which has received some circulation, that there is discussion of the evacuation of all British civilians from Shanghai, would seem to have overlooked the categorical statement by the Ministers, after their meeting last Thursday, that they had decided to take all possible measures to protect the safety of the British in the International Settlement, and to protect British interests there. BRITISH TRADE HIT HARD. VIEW OF CAPITALISTS. [Aust. & N.Z. Cable Assn.] LONDON, August 22. _ “Not since the ' sanctions crisis in September,. 1935, has the market, taken a threat of undeclared war so seriously,” declares the “Economist. The bombardment of Shanghai has caused general dismay owing to the considerable number of British interests involved. Business has fallen away to a trickle, and almost every 1 class of security has tended to sag. The brunt of the decline has naturally fallen on Far Eastern bonds. Unfortunately the European situation, in view of Mediterranean and Czechoslovakian tension, does not offer anything to offset the pessimism over the Far East, wher<s a long war is possible. It is pointed out, however, that Japan is less financially equipped to stand the strain of prolonged hostilities than when she occupied Manchukuo in 1931. Optimists searching for comfort contend that the war may be an advantage to Lancashire and lessen competition from Japanese textiles. Shipping companies may also benefit as freights rise and Japanese competition is reduced. But for the depressing news in the Far East, markets must have been stimulated by the July trade returns, which show British markets expanding with almost sensational rapidity. Commodity prices have tended downward, notably wheat and cotton. Metals show little change. Bradford is closely watching events in the Far East, and shipments df textiles to Shanghai have, ceased. Manufacturers are also anxious lest supplies of camel hair from China are interrupted. Opinions differ as to how the crisis will affect the Australian wool sales. One view is that Japan will need more wool to keep pace with military requirements, but another is that owing to the expene of war she will not be able to afford her usual purchases. CABLES KEPT BUSY. p[Per Press Association]. AUCKLAND, August 23. Since the opening of hostilities between China and Japan the cables which link Australia with China have been overburdened with messages from anxious relatives and friends who have people in the war zone, according to Mr E. G. Brook, managei of the Australasian division of Cables and Wireless, Ltd. who was a through passenger on the “Monterey,” for America. Mr Brook said that the normal radio channels between North China and the European capitals had been so interrupted in the last week or so that messages from China to Europe had been sent by way of Singapore, Sydnejq Auckland and Vancouver, across Canada, and thence to their destinations. Previously they went by way of Singapore, Madras, Bombay, and Aden, or through Singapore to Aden, Cocos Island and the Cape. When Mr Brook left Australia on Friday the cable offices at Sydney had their lines congested with urgent inquiries from various parts of the United States, ’since America had very large interests in China, and apparently there were many American firms anxious to know how their staffs were faring, and whether their business headquarters and merchandise at Shanghai had suffered any damage.