Austria-Hungary and of the arrival of the wife and family of the deceased minister at New York, in order that the customary customs courtesies might be extended. SIR: I have to inclose herewith a copy of a memorandum expressing the views of the United States in regard to the proposed convention and arrangement between the Chinese and Russian Governments respecting Manchuria, which has been cabled to the American missions at Pekin and St. Petersburg. You will take early occasion to acquaint the Government to which you are accredited with the text of this memorandum. I am, etc., JOHN HAY. [Inclosure.] Memorandum respecting Manchuria. DEPARTMENT OF STATE, Washington, February 1, 1902. An agreement by which China cedes to any corporation or company the exclusive right and privilege of opening mines, establishing railroads, or in any other way industrially developing Manchuria, can but be viewed with the gravest concern by the United States. It constitutes a monopoly, which is a distinct breach of the stipulations of treaties concluded between China and foreign powers, and thereby seriously affects the rights of American citizens; it restricts their rightful trade and exposes it to being discriminated against, interfered with, or otherwise jeopardized, and strongly tends toward permanently impairing the sovereign rights of China in this part of the Empire, and seriously interferes with her ability to meet her international obligations. Furthermore, such concession on the part of China will undoubtedly be followed by demands from other powers for similar and equal exclusive advantages in other parts of the Chinese Empire, and the inevitable result must be the complete wreck of the policy of absolute equality of treatment of all nations in regard to trade, navigation, and commerce within the confines of the Empire. On the other hand, the attainment by one power of such exclusive privileges for a commercial organization of its nationality conflicts with the assurances repeatedly conveyed to this Government by the imperial Russian ministry of foreign affairs of the Imperial Government's intention to follow the policy of the open door in China, as advocated by the Government of the United States and accepted by all the treaty powers having commercial interests in that Empire. It is for these reasons that the Government of the United States, animated now as in the past with the sincerest desire of insuring to the whole world the benefits of full and fair intercourse between China and the nations on a footing of equal rights and advantages to all, submits the above to the earnest consideration of the Imperial Governments of China and Russia, confident that they will give due weight to its importance, and adopt such measures as will relieve the just and natural anxiety of the United States. a Identical instruction sent to United States representatives to Belgium, China, France, Germany, Great Britain, Italy, Japan, the Netherlands, Russia, and Spain. (Completely covered under China, p. 271, and Russia, p. 926, this volume.) RAISING OF UNITED STATES LEGATION TO AUSTRIA-HUNGARY AND AUSTRO-HUNGARIAN LEGATION TO THE UNITED STATES TO EMBASSIES. Mr. McCormick to Mr. Hay. [Telegram.-Paraphrase.] LEGATION OF THE UNITED STATES, Vienna, March 6, 1902. (Mr. McCormick reports that he has been officially notified that the Austro-Hungarian legation in the United States will be raised to an embassy so soon as the Delegations, which meet in May, vote the necessarily increased subventions for its support; that this step is dictated by the wish, on the part of Austria-Hungary, to manifest its friendship and recognition of the high position as a world power attained by the United States.) Mr. McCormick to Mr. Hay. No. 71.] UNITED STATES LEGATION, Vienna, March 7, 1902. SIR: I have the honor to transmit herewith copy of telegram" of the 6th instant sent to the Department. It conveys the announcement of the purpose of the Austro-Hungarian Government to raise its mission to ambassadorial rank, as made to me personally by His Excellency Count Lützow, first chief of section, who emphasized the desire on the part of his Government to express its friendship for, and its recognition of, the high position attained by the United States as a world power. He added that his Government considered it necessary to increase the appropriation for its mission in Washington that it might be maintained on a footing in keeping with its new rank, and for this reason it was not prepared to make the change until after the meeting of the Delegations in May, when the necessary formal proposals would be laid before the two bodies. Count Lützow repeated the assurances given on a former occasion that the Austro-Hungarian Government had maintained an attitude of strict neutrality during the Spanish-American war, to which I replied that, aside from the facts as stated by him, the United States Government harbored no rancor on this score, and recognized the strong ties which bound Austria-Hungary to Spain, and the natural sympathy which existed between the reigning houses of the two monarchies. He expressed his gratification at this and the hope that the relations between this monarchy and the United States of America might grow closer as time went on, in which I joined him. He also intimated a wish that I cable the announcement with the sentiments which he had expressed in behalf of his Government. I will state here, in explanation of the fact that the first information to reach the Department on the subject was through the press, that the statement as cabled was given out in advance of any official communication, with my knowledge a Printed, ante. and assent, to be sent to the United States, and not given to the Vienna press, which only published the announcement this morning. Count Lützow further informed me that the present Austro-Hungarian minister at Washington, Mr. Hengelmüller von Hengervár, would remain in Washington and become the first Austro-Hungarian ambassador to the United States. I have, etc., ROBERT S. MCCORMICK. Mr. McCormick to Mr. Hay. No. 72.] UNITED STATES LEGATION, SIR: For the information of the Department, I have the honor to inclose herewith, with its translation, a cutting from the Vienna Fremdenblatt, the semiofficial organ of this Government, with reference to the proposed raising of the Austro-Hungarian mission at Washington to ambassadorial rank. 66 I would especially call the Department's attention to the "question arising out of the emigration movement" which may have to be settled between this Monarchy and the United States "-a reference to the naturalization treaty and the difficulties growing out of the treatment accorded to naturalized citizens of Austro-Hungarian birth returning to the Monarchy for any purpose, involving at times a disregard of the character of passports of which such naturalized citizens may be the bearers. I have, etc., ROBERT S. MCCORMICK. [Inclosure-Translation.] Leading article of the semiofficial Fremdenblatt of Friday, March 7, 1902. In the estimates for the common expenses for 1903 the Delegations will find that the Imperial and Royal legation in Washington has been raised to the rank of an embassy, and that an increased amount is to be appropriated to meet the expenses. We are convinced that the Delegations will pass the sum without hesitation as it will enable our representative in the United States to maintain himself on an equal footing with those of other European powers and Mexico. As it is to be supposed that the Americans will reciprocate this action and make the Vienna legation an embassy, the relations existing between Austria-Hungary and the trans-Atlantic Republic will also in its outer forms bear witness to the importance which these relations have gradually assumed, and which it is hoped will be further developed as time goes on. It would be a solecism if we were to remain behind the other great powers in regard to the rank which our representative at Washington holds; not alone France and England but also Russia, Germany, and Italy attach importance to being fitly represented, which clearly shows that the cultivation of good relations with this growing power is not to be neglected, and Austria-Hungary is now following this lead. To-day, no country can remain isolated or pretend to ignore what is transpiring beyond its borders, the more so as "beyond its borders" has become a mere geographical expression. Points heretofore widely separated have been brought closer together to such an extent that one can no longer speak of distances, but rather of varying degrees of proximity. The consequence of this annihilation of distance and the increase of production and consequent competition is a continual, and rapid, and intense movement and countermovement among the innumerable bodies within this network, and therefore a continued conflict of interests at stake. The intercourse thus created, and the consequent development of political relations and growth of political aspirations, bring together states separated from each other by vast dis tances, and a commonwealth, such especially a one as the North American Republic with its ever active community of 75,000,000 people must occupy an ever-increasing space within this circle. A strong proof of this is the journey of Prince Henry and the enthusiastic reception with which he has met at the hands of the American people. The fact that Europe and America are called upon to act in the future more in common than heretofore has been made evident in the past few days. Austria-Hungary has only a small coast line, and our political interest does not reach beyond the Mediterranean. This, however, does not prevent that questions arising out of the emigration movement may have to be settled between this Monarch and the United States. Few have been the cases which might have led to political animosity between the two countries, nor will there be any in the future as far as the human mind can foresee. We have no ground to interfere in its disputes and they have none to interfere in ours. But it becomes every day more important that we should cultivate friendly sentiments in order to facilitate the exchange of views when political questions do arise. Austria-Hungary has no wish and pursues no policy of expansion and has only commercial interests on the ocean, the waters of which wash the shores of the United States. Nevertheless, every power, even if determined not to trespass the limits within which it has moved heretofore, must come in contact with all the great powers and although it is true that at the present time even the smallest civilized nations have an economic policy of their own, it is because they are forced to do so, otherwise they would be driven ashore by the current while the others flourish. If we are desirous of developing our industry we must carefully watch every movement and keep in touch with all commercial nations. This is the more necessary at the present time in view of the impending change in the mercantile and political relations between Europe and the United States. No. 40.] Mr. Hay to Mr. McCormick. DEPARTMENT OF STATE, SIR: Referring to your telegram of the 6th ultimo, and to your confirmatory dispatch of the following day's date, reporting the intention of the Austro-Hungarian Government to raise its mission at Washington to the rank of an embassy, you are instructed to express to the minister of foreign affairs the gratification with which the President has heard of this new proof of the Emperor's friendly disposition toward the United States, and to say that in due time it will give him pleasure to reciprocate by appointing, in token of his high regard and esteem for the person of the Emperor and of his good wishes for the people of Austro-Hungary, as ambassador to Vienna a gentleman who he is sure will be agreeable to His Majesty. I am, etc., JOHN HAY. Mr. McCormick to Mr. Hay. UNITED STATES LEGATION, SIR: I have the honor to acknowledge the receipt of your dispatch No. 40 of the 7th ultimo regarding the intention of the AustroHungarian Government to raise its mission at Washington to the rank of an embassy, and beg to inform you that I have, as per instructions therein contained, expressed to the minister of foreign affairs the gratification with which the President has heard of this new proof of the Emperor's friendly disposition toward the United States, and to say that in due time it will give him pleasure to reciprocate by appointing, in token of his high regard and esteem for the person of the Emperor and of his good wishes for the people of Austria-Hungary, as embassador to Vienna a gentleman who he is sure will be agreeable to His Majesty. I have, etc., ROBERT S. MCCORMICK. Mr. Hay to Mr. McCormick. [Telegram.-Paraphrase.] DEPARTMENT OF STATE, (Mr. Hay informs Mr. McCormick of his nomination and confirmation as ambassador of the United States to Austria-Hungary.) No. 85.] Mr. McCormick to Mr. Hay. UNITED STATES LEGATION, Vienna, May 30, 1902. SIR: I have the honor to acknowledge your cable dispatch announcing my nomination and confirmation by the Senate as American ambassador at this court. I appreciate most highly the confidence evinced in and the honor conferred upon me by this act, to merit which will be my constant endeavor. I will add for the information of the Department that I have been able to elicit no information from the Austro-Hungarian foreign office with regard to a similar step on the part of this Government, beyond the extract from the speech of the foreign minister, Count Goluchowski, before the Delegations, under cover of my unnumbered dispatch of May 9, announcing that in the budget for the year 1903 provision was made for the elevation of their mission in Washington to ambassadorial rank. There would appear to be some reason for withholding this information until the change shall have become an accomplished fact. I have, etc., ROBERT S. MCCORMICK. No. 46.] Mr. Hay to Mr. McCormick. DEPARTMENT OF STATE, SIR: The President having been advised that the Government of Austria-Hungary is about to be represented in the United States by an ambassador extraordinary and plenipotentiary, he has, under authority conferred upon him by the Congress of the United States |