TERMS FOR PEACE

New Zealand Herald, Volume LXXV, Issue 23230, 27 December 1938, Page 9

TERMS FOR PEACE

CHINA'S REJECTION "ENTIRELY INSINCERE" JAPANESE AND FAR EAST NEW ORDER HERALDED By Telegraph—Press Association —Copyright (Received December 26, 6.5 p.m.) LONDON, Dec. 25 The Chinese Foreign Office has rejected Prince Konoye's peace terms as being "entirely insincere," says a message from Chunking. In announcing his terms the Japanese Prime Minister said that China must recognise Manchukuo, says a message from Tokio. He added that Japan would undertake not to limit the interests of those third Powers "who grasp the meaning of the new East Asia and are willing to act accordingly."

The press of Jitpan praises Prince Konoye's terms to China as heralding a new order in East Asia. The Kokumin Shimbun says the terms are designed to save China from the influences of Western Powers, which is the keynote of Japan's Far East diplomacy. .

The Nichi Nichi Shimbun says it hopes the terms will deliver the coup de grace to Western intrigues which are alienating Japan and China. China's Failing Strength

Although the tone of Prince Konoye's announcement was painstakingly moderate, China has obviously 'been told again that she must assume the role of subordinate partner in the East Asian bloc, says the Tokio correspondent of the Times. Neither the Japanese nor foreign observers find the statement at present adequate as the basis s for foreign mediation, but the situation has changed, and, since Marshal Chiang Kai-shek rejected the German overtures in January, China's military position has become enormously worse. Marshal Chiang Kai-shek commands a considerable army, but it lacks aggressiveness. He has lost his air force and much artillery. China's choice is the best peace obtainable or long years of devastating guerilla warfare. Envoy from Chinese

The Shanghai correspondent of .the British United Press says reliable British informants state that Mr. Wang Ching-wei, former Premier of Nation-

alist China, is due at Hongkong from Hanoi in order to discuss peace terms suggested by Marshal Chiang Kai-shek. A spokesman, at the central headquarters of the Japanese Army at Nanking, commenting on the report, said: "We are always glad to shake hands with anyone, even if affiliated with the Kuoinintang, who desires to participate in the reconstruction of the new China." Another despatch frgjn Tokio' says that Emperor Hirohito ceremoniously opened Parliament and gave a brief address summoning the nation to unitied support in establishing a "new order and permanent peace in East Asia." Both Houses then went into recess until January 20. GERMAN COMMENT OBJECTIVE OF JAPAN BERLIN, Dec. 23 The Berlijier Tageblatt says Japan is seeking to create a community of Far Eastern nations politically, economically and racially stronger than the Monroe Doctrine. The Voelkischer Beobachter supports the abolition of all foreign concessions in China. It admits that the most difficult obstacle is the attitude of the Chinese population to Japan, which the war has not changed.

SMALLPOX EPIDEMIC SHANGHAI'S VISITATION SHANGHAI, Dec. 23 A smallpox epidemic, the worst in 74 years, caused tho deaths in December of 331 Chinese and 23 foreigners, including an artificer in the British cruiser Suffolk, in which there aro eight cases at present. There are 1100 cases in the International Settlement.