OIL MONOPOLY

Manawatu Standard, Volume LIV, Issue 283, 27 October 1934, Page 7

OIL MONOPOLY

SITUATION IN MANCHUKUO. ATTITUDE OF JAPAN. NO OBLIGATIONS RECOGNISED. (United Press Association—By Electric Telegraph. —Copyright.) Received October 27, 8.5 a.m. TOKIO, Oct. 26. The foreign spokesman declared in regard to the Anglo-American representations concerning the Manchukuo petroleum monopoly that, as the Powers do not recognise Manchukuo as an independent State, which is regarded as part of China, the Japanese attitude is that they had much better address such communications to Nanking. Moreover, Japan is unaware that Japan lias any treaty obligations to maintain the “open door” in Manchukuo with foreign Powers, whereof Japan herself is one.

The Mukden correspondent of the Times reports that the Manchukuo Government has informed British and American oil companies operating in Manchuria that for reasons of national defence and economic development and in the interests of tho inhabitants it has decided to create a State oil monopoly. British officials hold that this violates Article 30 of the Nine Power Treaty. The companies concerned are protesting to the British and American Governments, asserting that the Japanese Government is seeking a monopoly for itself, thus depriving nationals of other Powers of the right to legitimate trade.