nsference to the Japanese of much trade with China now in British
hands, inevitably hampered by the menace of German commerce-destroyers.
Nevertheless, Count Okuma's Cabinet came to a bold and loyal decision.
Baron Kato, the Foreign Minister, reassured Great Britain of active
Japanese aid, and on August 15 sent an ultimatum to Germany. The latter
was requested to withdraw at once all German armed vessels from Eastern
waters, and to deliver to Japan before September 15 the entire leased
territory of Kiao-chau, with a view to its eventual restoration to
China. The ultimatum was timed to expire at noon on August 23. That day
arrived without satisfaction having been given to Japan. Within a few
hours the 2nd Japanese squadron steamed off towards Tsing-tao.

[Sidenote: German Pacific squadron sails.]

[Sidenote: Tsing-tao's importance.]

[Sidenote: Germans prepare defense.]

[Sidenote: Japanese warships approach.]

Before the outbreak of hostilities with Great Britain, Vice-Admiral the
Graf von Spee, who commanded the German Pacific squadron, had steamed
away from Tsing-tao with most of his ships. To use Tsing-tao as a naval
base while engaging in commerce-raiding seemed a sound and a practicable
plan, since the British and Australian naval forces, though superior,
were hardly strong enough simultaneously to blockade the harbour and to
search the seas. The plan was, however, rendered impossible by the
Japanese ultimatum, and the Admiral, after having lingered for some
weeks in the Western Pacific, departed for other seas and other
adventures. Such was the result of Japan's action, and thus dangerous
were the tactics that Japan's action had frustrated. For Tsing-tao,
situated upon one of the two peninsulas, divided by two miles of
waterway, enclosing the bay of Kiao-chau, with its safe and spacious
anchorage for vessels of any size, constituted one of the most important
naval bases on the Chinese coast. It had, indeed, been described as the
key to Northern China. Dominating the eastern coast of the Shantung
peninsula, the port formed the centre of the semicircular area known as
Kiao-chau, extending on a radius of 32 miles around the shores of the
bay, with a population of 60,000. This area was, under the Chinese
German agreement as to Tsing-tao, influenced and controlled by Germany,
though not strictly subject to her, and regarded as neutral territory.
Its surface was mainly mountainous and bare, though the lowlands were