EIGENTUM DES INSTITUTS FÜR /WELTWIRTSCHAFT KIEL BIBLIOTHEK % 977 1924 THE TRADE AND ADMINISTRATION OF THE CHINESE EMPIRE » / H ï' Moukden ¿P \ f i V. * K ^. ** -f- , V Vv*" * f + / /r ». .*• V + + + # Lanchow <*• / + + i t i-* Co J e Uj 3: co r>. '* + iTaiyuanfu + < co \ PEKING »Paotingfu% *-Talien (Dalny) *ort Arthur t L> 9 i/ a,</sr^ i / f{ SHANTUNG " Cl Chefoo« a TTT •! • Weihaiwei ^pn^Weihsien Tsingtau •Chengtu - ^ <? " t ‘Kaifengy K Ï- — A N/ H O N * Sianfu’y^’™ % W t ^ A» ^ 7a l /}»Nsog* oV ' "■ / Vuhîfî^îr 1 Shanghai iHankow'Anking^, Tatung / 'X Wuchang * Hangchow® / »VVusueh _ _ \ • Ningpo At* / 4 / V. 1® .# /'f '••» 0. 4 4 V T »Tengyueh X yj ' '' J ^ »-X I ^ », '*/ * ; / ®Kweiyang ,-i t \ 1 N Kweilin # unnanfu J f.. —t—►• X A** s\ KVN + G N A T kMengtsz ?■"* \ / % 1 Vt f' I % Ai-5 Wanhsien# J o u . * Wuhu yang¿¿e Ri'ver** c "a.ng "Hankow’Anking^y« Tatung < .Hanyang-» Wuchang * Hangel *»,. ,» Shasi / ayusuph , ,. k __ _'i •Chungking'* + ' "Kiukiang* / / Chang,hf%^T Vy] S I Nanchang® \ % ^ i Changsha^/ W enchow l t ^ / y %/ ^«.nuavj ® Foochow / V i ^/•Santuao C) + i y- •■*■•■ "Amoy ►Szemao ***»-4..-* + 7^ Hokow ^ „.gf „ bamshui«-/ • AÎ ^ v*Lungchow' + ^ > />3 L.-4-x — SaÈsWlL^r^nton ^ Swatow 't.N°r\ TuNG « ^ Hongkong Pakhoi • Kwangchow-wan *Kiungchow HAINAN MAP OF ©Capital of Province. • Other places connected with Foreign trade. Railways in operation. Railways under construction. \1 THE TRADE AND ADMINISTRATION OF THE CHINESE EMPIRE By HOSEA BALLOU MORSE \ A.B., Harvard Member of the Royal Asiatic Society, England ; Commissioner of Customs and Statistical Secretary, Inspectorate-General of Customs, China mm ILLUSTRATIONS, MAPS AND DIAGRAMS LONGMANS, GREEN, AND CO. 39 PATERNOSTER ROW, LONDON NEW YORK, BOMBAY, AND CALCUTTA 1908 [■Right of translation reserved] PRINTED BY HAZELL, WATSON AND VINEY, LD LONDON AND AYLESBURY. /V /*-> \ « W« *1. u.iiit HA DEDICATION THIRTY-THREE YEARS AGO FOUR YOUNG MEN CAME TO CHINA DIRECT FROM THE HALLS OF FAIR HARVARD. TO THE OTHER THREE THE FOURTH DEDICATES THIS WORK. PREFACE This book is intended to portray the present state of the Chinese Empire, with such record of the past as will show by what process of evolution the existing state has been reached. No attempt is made to forecast the future, or even to refer to the revolution which, under the name of Reform, has been begun. The development of many centuries is to be recast, and within a year or a generation, according as the pace is forced or not, it will assume an unaccustomed garb ; and the China of that future day, near or distant, will not be the China of to-day. Whether this revolution will follow the precedent of the English Revolution or of the French, whether it will proceed by logical development from step to step, or will rush on a headlong course, will depend upon the wisdom and selfrestraint of the leaders in the government, and in the last resort upon the nature of that public opinion which will be created in the Chinese people. But, just as the history of the England of the Georges cannot be well understood without some knowledge of the Stuart period, and as an acquaintance with the France of the Kingdom and the Empire is necessary to a comprehension of the France of the Third Republic, so also, to understand the China which the student of the future will know, he must be able to study its past. The China of to-day is, with minor differences, the China of the past ; and in this book it is hoped that the future student will find, within the limits of the dozen subjects treated, a succinct account of the foundation on which the China of the future will be erected. I have written also for the reader of to-day. . I can add VÜ VIH PREFACE little to the knowledge of the sinologue ; but the great majority of the men of Western countries living in China know little of the people among whom their lives are spent, or of the Empire within whose borders they pursue their avocations. Much interest, too, has been aroused of late in the home lands in the study of Chinese affairs, and we have seen members of Parliament and of Congress manifesting ­ an intelligent interest and some adequacy of knowledge ­ in matters connected with the Orient. American Consuls, too, have shown a desire to acquire information on the country in which they expect to spend at least four years of their lives. All those classes will, I hope, find in these pages some information on subjects on which they may seek knowledge. My thirty-three years in China debar me from presenting ­ those first impressions which are always the most vivid. That same length of experience has, however, enabled me, where my own knowledge has failed, to know where to look for authentic information by standard authorities. ­ To discriminate between these authorities would be to set up an Index Expurgatorius ; but I may be permitted to say that statements of fact in general, and deductions in the main, in the books of Dr. Arthur Smith, Mr. E. H. Parker and Mr. Alexander Hosie, may be accepted as sound and based on full information. The first two chapters on Chinese History have been written by the Rev. F. L. Hawks Pott, D.D., President of St. John’s College at Shanghai, and author of the useful Sketch of Chinese History. His task of condensing the history of forty centuries into as many pages has been performed in a very judicious way. Something of the chapter on “ Extraterritoriality ” was incorporated in an article, entitled " Foreign Privilege in China,” which appeared in the Atlantic Monthly for November ­ 1906 ; and which is permitted to be used by the courtesy of the editor. The chapter on Currency is condensed from a paper which I read in November 1906, before the China Branch of .the Royal Asiatic Society ; even in its present PREFACE ix form it is rather long, but I give it, because I do not know of any other work in which the information is to be found in a readily accessible form. The chapter on the Post Office is compiled chiefly from the excellent official reports on the working, during the years 1904 and 1905, of the department of which he is the working head, by the Postal Secretary, Mr. T. Piry. Excuses must be made to American readers for giving the equivalence of Chinese currency values in English currency only. The statements of value go back over half a century, and readers must remember the state of the American currency from 1861 to 1879. To the number of works on China I venture to add this one, and to commit it to the kindly attention of the reading public, in the hope that in its pages they will find information not readily accessible in other works. H. B. M. Shanghai, December, 1907. & CONTENTS ■ CHAP. ' ~ PAGE I SKETCH OF CHINESE HISTORY FROM ANCIENT TIMES TO BEGINNING OF FOREIGN RELATIONS ­ I II. SKETCH OF CHINESE HISTORY FROM THE BEGINNING ­ OF FOREIGN RELATIONS IQ III. THE GOVERNMENT 4^ IV. REVENUE AND EXPENDITURE . . . . 8o V. THE CURRENCY 119 VI. WEIGHTS AND MEASURES 17° VII. EXTRATERRITORIALITY 175 VIII. THE PROVINCES AND THE TREATY PORTS . . 203 IX. FOREIGN TRADE V o X. INTERNAL TRADE 3 02 XI. OPIUM 3 2 3 XII. THE INSPECTORATE OF CUSTOMS . . . 35 2 XIII. THE POST OFFICE 377 APPENDICES 395 INDEX 443 xi ILLUSTRATIONS Map of China ......... facing title-page FACING PAGE Map showing Gradual Extension of Chinese Empire . . 8 Diagram illustrating Provincial Administration ... 67 Illustration, Sword Cash 119 „ Early Cash 120 „ Later Cash 122 „ Token Coins 127 „ Ming Government Note 141 „ Shanghai Shoe of Sycee 147 Diagram illustrating Foreign Trade, 1864-1904 . . . 270 Illustration, The West River at Lungchow .... 304 „ Monumental Arch at Wusih on Grand Canal . 312 „ Pagoda at Wusih on Grand Canal . . .312 „ Bridge over Grand Canal at Wusih. . . 313 Grand Canal passing through Wusih . . 313 o Types of Bridges on and near Grand Canal . 314 Shanghai Custom House, 1854-1893 . . . 352 Shanghai Custom House, 1894 .... 3 6 3 NOTE Currency.—In the following pages the value of commodities ­ is expressed in taels of silver as accepted at the Custom House. The gold exchange value of these Haikwan or Customs taels (symbol Tls.) has been as follows : In 1864 .. „ 1874 •• „ 1884 .. „ 1894 .. „ 1904 80 pence English currency (6s. 8d.) 76 „ „ „ (6s. 4 d.) 67 „ „ „ (5 s - 7 d -) 38 „ „ „ (3 s - 3d.) 34 „ „ „ (2S- iod.) Weight.—Weights are expressed in piculs, catties, and taels. One picul — 133^ lb. av. = 60-453 kilogrammes. \ cwt. English. (i£ cwt. American. 16-8 piculs = i long ton. 15- 0 ,, = I short ton. 16- 54 ,, = i metric ton. One catty = lb. av. = 604 53 grammes. One tael = i£ oz. av. = 583*3 grains. „ = 37783 grammes. I THE CHINESE EMPIRE CHAPTER I * SKETCH OF CHINESE HISTORY FROM ANCIENT TIMES TO BEGINNING OF FOREIGN RELATIONS In this and the following chapter we shall attempt to take a brief survey of the entire field of Chinese history, so as to enable our readers to fix in their minds the salient points of the long story. As in the case of the history of all ancient nations the beginnings are shrouded in obscurity, and we must be content to look upon the early records as made-up matter that is largely legendary. The Chinese are not the native race of China, but migrated into the country from Western Asia somewhere about B.c. 2500. They were originally a nomad people, and with their herds and flocks made a settlement in the valley of the Yellow River, in a part of what is now the province of Shensi. They displaced the aborigines of the country and drove them to the south and west. Many traces of the original inhabitants may still be found, for they were never on the one hand completely conquered or exterminated, nor on the other entirely absorbed. The modern Tolos, Shans, and Miaotze are their descendants, and still live apart by themselves in the islands of Formosa and Hainan, and in the provinces of Kweichow, Szechwan, Yunnan, Kwangtung, and Kwangsi. The Chinese gradually spread themselves over a more * Written by the Rev. F. L. Hawks Pott, D.D. 2 THE CHINESE EMPIRE extended area, and in so doing followed the line of least resistance. Their first great advance was westward up the River Wei into Szechwan, and later they passed by way of the Kan River into Kiangsi, and by the Yuan and Hsiang Rivers, through what is now Hunan, into the regions about Canton. A glance at the historical map will show the extent of the territory occupied in the successive periods. It is convenient to divide Chinese history into the following three periods : I. The period of the gradual extension and consolidation of the Empire (b.c. 2852-206). II. The period of the struggles with the Northern Tartars (b.c. 206-A.D. 1644). III. The period of the reshaping of the old civilisation through intercourse with Western nations (a.d. 1644 to the present time). THE FIRST PERIOD (b.c. 2852-206) The Age of the Five Rulers The first Period may be said to begin with what is known as the Age of the Five Rulers. The Chinese regard Fu Hsi, a mythical ruler, as the founder of their history (b.c. 2852). He is said to have resided near the modern Kaifeng in Honan, and to have taught the people to fish with nets, to rear domestic animals, and to use the lute and lyre ; to have instituted laws of marriage, and to have invented a system of writing by using picture symbols. He was succeeded by Shen Nung, another mythical ruler (b.c. 2737), who instructed the people in the art of agriculture, and in the use of herbs for medicine. Later, Hwang Ti (b.c. 2697) became ruler, and to him is ascribed the formation of the Chinese calendar, and the introduction of the rearing of the silkworm. The great ruler, Yao (b.c. 2356), is regarded as the fourth of the Five Rulers, and he with the two following rulers, Shun and Yü, formed a trio immortalised in the writings CHINESE HISTORY: FIRST PERIOD 3 of Confucius and Mencius. The time in which they lived is regarded by the Chinese as the Golden Age of their history, and they have been held up to succeeding generations as models of wisdom and virtue. During the reign of Yao occurred a serious national calamity. This was the great flood caused by the overflow ­ of the Yellow River. A large tract of country was submerged, and the people were reduced to great misery. Yao appointed Shun as his associate in the government, and the latter recommended Yü as the one man capable of devising some means for saving the country from the disaster. Yü, by constructing a system of canals, finally succeeded in draining off the waters and reclaiming the soil for cultivation. For this achievement his memory has always been held in the highest esteem. Yao handed down the government to Shun (b.c. 2255-2205), and he, in turn, to Yü, who founded the first of the regular Chinese dynasties, known as the Hsia. These early rulers of China were chieftains of a tribe rather than rulers of a kingdom. It was only as their territory became more extensive that their functions became regal in character, and the system of government more highly organised. At first the succession to the throne was not necessarily hereditary, but the sceptre was passed on to the one deemed best fitted to wield it. The Hsia Dynasty (b.c. 2205-1766) The Hsia Dynasty is the first of the long line of dynasties which have succeeded one after the other for nearly four thousand years. In the West a change of dynasty is generally caused by a line becoming extinct, through the failure of direct descendants to the throne. Not so is the case in China. Here the change comes as the result of the overthrow of a dynasty whose rulers have become effete and incapable of giving the country a firm and vigorous rule. In no other country have rebellions been more frequent than in China. A superficial view of its history might lead us to suppose 4 THE CHINESE EMPIRÉ that it was a monotonous repetition of dynasties rising to the zenith of their power, then entering upon a period of decline, and finally succumbing to some successful conqueror. There is more, however, in Chinese history than this, and we shall be able to note certain steps of advance and development ­ as the years roll on. The Hsia Dynasty was unfortunate in its later rulers, and was finally overthrown by the first successful rebellion in China, headed by Tang, the Prince of Shang, who established ­ the Second Dynasty, known as The Shang or Yin Dynasty (b.c. 1766-1122) Tang was one of the most illustrious rulers of China, and his virtues are commemorated in the ancient books. The best known story in regard to him is that which describes his offering himself as a sacrifice on behalf of his people. During his reign a great drought occurred, and, as is the case with all natural calamities in China, it was regarded as a visitation of Heaven for the transgressions of the people. The Emperor clad himself in the garb of a penitent, and proceeding ­ to the place of sacrifice, confessed his shortcomings, and besought Heaven to visit upon him, “ the solitary man,” the punishment due to those over whom he ruled. According ­ to tradition his death was not required, for no sooner had he offered his supplications than copious rain began to fall, refreshing the parched land, and bringing joy to the hearts of the people. Owing to laxity of life on the part of his successors his dynasty was overthrown by Wu Wang, the Duke of Chow, who founded the Chow Dynasty (b.c. 1122-255) In the Chow Dynasty we come to the development of the feudal system of government in China. The founder of the dynasty rewarded those who assisted him in his conquest by assigning to them portions of his territory to rule over, and conferring upon them titles corresponding CHINESE HISTORY: FIRST PERIOD 5 to Duke, Marquis, Count, Earl, and Baron. In course of time these subordinate rulers became powerful feudatory princes, and assumed the rank of Kings. Throughout the whole of this period the vassal chieftains encroached upon the rights and prerogatives of the chief ruler, and we have a condition of affairs corresponding to that which existed in Europe in the Middle Ages. During the Chow Dynasty lived the three famous teachers, Laotze, Confucius, and Mencius, their appearance synchronising fairly closely with that of Socrates, Plato, and Aristotle in the West. Laotze was the first in point of time, being born about B.c. 604 in the eastern part of the modern province of Honan. His name literally means “ the old teacher,” and is derived from the fact that, according to tradition, he had the appearance ­ of an old man at his birth. His system of philosophy is mystical in nature, his aim being to lead men to live in harmony ­ with “ Tao,” the great absolute, impersonal principle which is the source of all things and immanent in all things. The authorship of the philosophical treatise known as the “ Tao-te-king ” is generally ascribed to him, and one of the religious cults in China, Taoism, claims him as its founder. Confucius, the greatest of the three, was born b.c. 551, in the feudal state of Lu, situated in the southern part of the modern province of Shantung. He was employed in various capacities in the government by the Duke of Lu, but spent a large part of his time in collecting and editing the writings of the ancients, and in imparting a knowledge of them to his pupils. We really owe to his labors all we know about the ancient history of China. Because the Duke of Lu would not put his precepts into practice, he left his native state and wandered about for a long period, visiting the courts of the various feudal rulers, seeking some one who would follow his teaching, which he believed could alone lead a kingdom to prosperity. He died b.c. 479, and about two centuries afterwards became recognised as the great sage of China. The books edited by him became the text-books used in all the schools, and 6 THE CHINESE EMPIRE his influence in moulding the present civilisation of China has been enormous. For over two thousand years he has exercised the supreme control over the minds and hearts of his countrymen. Mencius was also a native of the state of Lu, being born B.c. 372. He did much to raise the teachings of Confucius to a position of honor. In some ways he was a more daring and original thinker than the one he delighted to call his master, for Confucius only claimed to be a transmitter ­ and not an originator. Nevertheless Mencius has never superseded the great sage in the estimation of his countrymen, but has always been relegated to the second place of honor. To return to the political history : in the latter part of the Chow Dynasty, the state of Tsin became powerful enough to obtain complete control over the other feudatory states, and then one of its dukes seized the throne and established the dynasty known as The Tsin (b.c. 221) The word China is probably derived from the name of this dynasty. The first Westerners to become acquainted with the Chinese spoke of them as the people of the land of Tsin, and this was later corrupted into “ China.” The Chinese themselves generally refer to their country as “ the Middle Kingdom.” The great ruler of the Tsin Dynasty was Shih Hwangti (b.c. 221-209), often called Tsin Shih-hwang. He was the first sovereign in China to assume the title Hwang-ti, or Emperor, which has always been used since his time to designate the chief ruler. The important task accomplished by him was the consolidation ­ of China, the centralisation of its government, and the reform of the currency and measures. He abolished the feudal system, and brought all parts of the country under his own rule. After effecting this change he divided the Empire into thirty-six provinces, setting over each three CHINESE HISTORY : FIRST PERIOD 7 officers who were directly responsible to himself for the way in which they conducted their government. The extent of his Empire was from Chihli in the north to the Yangtze River in the south, and from the Yellow Sea on the east to Szechwan on the west. In broad outlines the government of China at the present day is similar to that instituted by Tsin Shih-hwang. During his reign an attempt was made to destroy the classical literature, all the books that could be found being gathered together and burnt. On account of this highhanded ­ measure, his name has ever since been execrated by the Chinese scholars. The motive prompting him to such a course was his desire that a new régime should begin with himself. He wished to obliterate the feudal system from the memory of his people, and to counteract the conservative tendencies fostered by the teachings of the classics. The attempt was only partially successful, and after a short lapse of time the ancient literature was restored to the place of honor it has held ever since. It was also during his reign that the enormous wall on the northern frontiers of the Empire was greatly extended. It stretches now from 120 0 to ioo° E. longitude, for a distance of over 1,500 miles, and is one of the most astonishing engineering feats accomplished by human labor during antiquity. Much of the wall still remains in good condition, and all who visit it are surprised by its massiveness, and marvel at the difficulties surmounted in its construction. It was erected to serve as a barrier against the marauding raids of the wild Tartar tribes on the north, now becoming a constant menace to the Empire. THE SECOND PERIOD (b.c. 206-A.D. 1644) The Tsin Dynasty passed away after a short existence of some fifteen years, owing to a civil rebellion that resulted in giving the throne to Liu Pang, the Prince of Han, who established the fifth of the Chinese dynasties. 8 THE CHINESE EMPIRE The Han (b.c. 2o6-a.d. 25) This, in a sense, may be considered as the first national dynasty, for even to the present day the Chinese, with the exception of the Cantonese, frequently refer to themselves as " the sons of Han.” It was at this period that the wild tribes in the north began to make more frequent incursions into the Empire, and the long conflict between them and the Chinese began. The struggle, as we shall see, was carried on with various intervals of peace, and with alternate success and disaster to the Chinese, for eighteen centuries, until finally China was conquered by the Manchus in a.d. 1644. The first tribe to disturb the peace of the Empire was the Hiung-nu, whose home was in Mongolia. They were of the same stock as the Huns, who later, under the leadership of Attila in a.d. 445, became the scourge of Europe. The Chinese Emperors were obliged to purchase immunity from their attack by agreeing to pay an annual subsidy of silks, rice, and wine. During the Han Dynasty the boundaries of the Empire were further enlarged (see Map). On the west was added the territory now comprised in the province of Kansu, and on the south that comprised in Hunan, Kiangsi, Kweichow, Kwangsi, and Kwangtung. The northern part of Korea was subjugated, the expedition ­ into that country being undertaken for the purpose of erecting a buffer state on the north-east, to prevent the Hiung-nu from finding an entrance into China from that quarter. This extension of territory brought China into communication ­ with Western countries, and at that time some intercourse was held between China and Parthia, Mesopotamia, ­ Bactria, Afghanistan, and India. The Roman Empire seems to have been known to the Chinese, being referred to by the name of Tsin. During the latter part of the Han Dynasty the country was plunged into civil war. This was due to the weakness 130 135 D g’ / V Y SSá À* ¥ <? . ■j ) Mever K^¡¿ ò kfor e Yl NfjíSFíÍga .TffiSJS _of-S« ? --" \ “ **« i*' f-*>. 126( ^ A MAP TO SHOW THE ^»¿«»UAL EXTENSION at all l »ie x OF THE ®B£ 6 ««¿er no>n ‘nal 4 oiling ¡ESE EMPIRE ’ fluence , .-,k ** »: /V % •f, ■if. ukfei^K « i loo 180 135 125 105 T -X An leæajjons in Aifciei t Times ; often re _ f Nomads k/ Em Ha Extensions f o ns % C) OHILEN taJ ! I ^ LT l *k*i J \JIan / "JT C;--./ -^'4 teusions\ S> ** *o /¿ $ HIHLI er S H A N S gm D/7"^' \ % A I S H A N T U N 0-L Mo Tu Y C N' and Tib atan rtb Ã* Ns l &ed —^ I X'sHENS, ÜMd [Territory in i&rporated by 4 lirst Emperor \A , ' L L H O N A N V ¡ SI V \ “\ ;'anhwe i/ enii Tnd, 0‘ ' Tt6et <tn TribÀ nt lANHWEl/ h " % / HUPEH Pc H I \ Z KlAK A N <? G«, /—"fr#' - ¡L / ffkadinat C K,iNasi f " u !f*a<ÿual y absorbe, since A. JJ J r l,: Í. su ( L—/ *,r KWEICHOW • T arts ; *** i,«,., / w Tribes C I Territory 25 va Al CA, - lia If «are “ ever strolled ? YUNNAN I TROMOOr.S«? 6 --" re Sfïfeïî;.: known KLANGS, ^ 1260 M'ES. KWA N G T U N T 1400 A.D. "''%. % r/ "K s» A MAP TO SHOW THE GRADUAL EXTENSION OF THE _ 20 CHINESE EMPIRE i a Z" %~^ij<nríeL¿ L/¿ ines Àr^/d ‘me* but under China ■*V Notjcnown. beforpléÔOÀ.D. 120 105 J s 100 , , . *A ^ kl ? Tj i ! Based upon a map in “ China, Her History, Diplomacy and Commerce,” by E. H. Parker. London, 1901, John Murray. With permission of the publisher. 1 ? <■/ / r . — —- CHINESE HISTORY : SECOND PERIOD 9 of the last Emperors, and to the consequent seizing of the Imperial power successively by the three great traitors of Chinese history, Wang Mang, Tung Cho, and Tsao Tsao. It resulted in the disintegration of the Empire, and the period is known in history as that of The Three Kingdoms (a.d. 221-265) The Three Kingdoms were Wei, comprising the central and northern provinces ; the Kingdom of Wu, consisting of the provinces south of the Yangtze River (modern Hunan, Hupeh, Kiangsi, Kiangsu, and Chekiang) ; and the Kingdom of Shu, including the western part of the Empire, the modern province of Szechwan. These kingdoms waged incessant war with one another, the ruler of each claiming to be the rightful heir to the throne. Finally, the Kingdom of Wei proved victorious, and one of the successful generals established a new dynasty known as the Western Tsin (a.d. 265-317). This dynasty was, however, but of short duration, owing to the fact that the Tartars, taking advantage of the disturbed condition of the country, made themselves masters of all the northern part of China, carrying the Emperor away into captivity. An attempt was made to carry on the dynasty in the south, where it assumed the title of the Eastern Tsin (a.d. 317-420) ; but at last the Tsin Emperor was deposed by Liu Yu, one of the generals of the Imperial army, who founded a new dynasty called the Sung (a.d. 420-479). This brings us to the first division of the Empire between the Chinese and the Tartars, and is known as The Epoch of the Division between the North and the South (a.d. 420-589) The Yangtze River formed the dividing line, all to the north being in the possession of the Tartar chieftains. The Chinese were obliged to make their capital at Nanking, and a constant struggle was carried on between them and the Tartars. IO THE CHINESE EMPIRE The history of the Sung, and the succeeding short-lived dynasties—the Tsi (a.d. 479-502), the Liang (a.d. 502-557). the Chen (a.d. 557-589), and the Sui (a.d. 589-619)—is chiefly occupied with this conflict, and the whole Empire was not again under the rule of a Chinese Emperor until the establishment of the Tang Dynasty (a.d. 618-907) This was one of the most illustrious periods in Chinese history. Its great Emperor, Tai-tsung, did much to enhance the prestige of the Empire. He remodelled his army, so that he had a force at his command powerful enough to defeat and hold in check the northern barbarians. He encouraged literature and learning, and built an enormous library at his capital in Changan in Shensi, consisting of 200,000 volumes. He was devoted to the Confucian classics, and to him is ascribed the saying, “ that Confucius is to the Chinese what the water is to the fish.” The boundaries of the Empire were further extended to the south, and it was divided up anew into ten provinces. In the year 630 embassies from a large number of vassal states presented themselves at the capital to offer tribute, and the variety of languages spoken by these envoys, and the diversity of their costumes, attested to the growing power of the Chinese Empire. During the Tang Dynasty, for a time, a woman of exceptional ability and force of character exercised the imperial prerogatives. This was the Empress Wu Hou, one of the wives of the Emperor Kao-tsung. She ruled conjointly ­ with him, and after his death, as Empress Dowager during the reign of his son Chung-tsung, completely dominated ­ the Empire (a.d. 684-705). She invested herself in the Imperial robes, and offered the sacrifices that of right could only be offered by the Emperor. Even after she was forced to retire on account of old age, she was still regarded with awe, and retained the title of “ the great and sacred Empress.” ­ The Chinese have strict ideas in regard to the impropriety of a woman ruling the Empire, and future CHINESE HISTORY: SECOND PERIOD ii generations have vied with one another in heaping obloquy on the name of the Empress Wu Hou. During her reign occurred an invasion of a Tartar tribe, the Khitan, who lived in the north of Shensi. This was a precursor of expeditions that were to become more and more frequent as time passed on. After the retirement of the Empress Wu Hou, the Tang Dynasty began to decline, the succeeding Emperors being, for the most part, weak in character, and the peace of the Empire being, in consequence, frequently disturbed by internal rebellions. The Tang Dynasty lasted altogether for 289 years, and, as many celebrated historians and poets lived during that period, may be regarded as the Augustan Age of Chinese literature. Among the noteworthy events that took place while it held sway over China, may be mentioned the further conquest ­ of Korea in a.d. 667. The King of Korea was forced to become a vassal of China, and his territory was divided up into five provinces, Chinese and native officials being appointed to rule over them conjointly. Korea remained a vassal state of China until the recent China-Japan war in 1894. The Nestorian missionaries from Persia carried on their propaganda in China during this period. They seem to have met at first with success, and to have been regarded with considerable favor. By imperial sanction a tablet recording the tenets of their Church was erected near the city of Sianfu. As an evidence that the Chinese have always regarded the Tang Dynasty with feelings of pride is the fact that one °f the names by which they call themselves, especially in the South, is “ the men of Tang.” After the Tang Dynasty, we come to what in Chinese history is called The Epoch of the Five Dynasties (a.d. 907-960) Five brief dynasties, the Later Liang, the Later Tang, the Later Tsin, the Later Han, and the Later Chow, followed 12 THE CHINESE EMPIRE one another in rapid succession. It was really a period of military despotism. The generals prominent in the struggles with the northern tribes became the most powerful men in the Empire, and, like the Roman generals during the later period of the Roman Empire, used their power to usurp the throne and to invest themselves in the Imperial robes. With the establishment of The Sung Dynasty (a.d. 960-1280) the period of disunion was temporarily brought to a close, but before long a more formidable danger threatened the Empire. This was the growing power of the Kin or Nii-Chen Tartars. From the meaning of the word Kin, they are sometimes referred to as “ the Golden Horde.” They began their attacks upon the Empire in a.d. 1125, and succeeded in gaining possession of the capital, at that time situated at Kaifeng in Honan, and in forcing the Emperor to pay tribute. Before long the whole of the northern part of the Empire had passed into their hands, and just as before in a.d. 424 there had been a division of the Imperial territory between the Chinese and the Tartars, so now the Empire was broken up into two parts, the Sung Dynasty only retaining ­ the south. The capital was removed to Nanking and afterwards to Hangchow, and incessant war was waged between the North and South. The Kin were never able to effect a complete conquest of the Empire, but they reduced ­ the Southern Empire to the direst extremities. In the year 1135, the Mongols, destined to accomplish that which the Kin attempted but failed to do, made their appearance on the northern frontiers. Their original home was a strip of territory between the Onon and Kerulon Rivers in the district south-east of Lake Baikal. Under Genghis Khan (a.d. 1162) they began their marvellous career of conquest. This remarkable man first consolidated the Mongol Confederacy, and then proceeded to overrun the north of China, completely defeating the Kin and the other Tartar tribes who opposed his progress. In 1213 three expeditions were dispatched for the purpose CHINESE HISTORY : SECOND PERIOD 13 of conquering Eastern Asia, the first being under the command ­ of Genghis himself. All three were successful, and the territory as far as the Shantung peninsula was entirely subjugated. Next, expeditions were sent out for the conquest of Western Asia. They overran the territory to the south-east of China, pierced the mountain passes of the Himalayas, won a great victory on the banks of the Indus, and penetrated into Eastern Europe, destroying many of the cities of Russia. All the places conquered by the armies of Genghis Khan were razed to the ground and the inhabitants put to the sword. Genghis Khan was succeeded in 1229 by his son Ogotai, who continued his father’s glorious career of conquest. He conducted an expedition into the heart of Europe, overrunning ­ Russia, Hungary, and Poland. Upon the rise of the Mongols, the Emperor of the Southern Sung Dynasty, Li-tsung (a.d. 1225-1265), entered into an alliance with their chief, offering his assistance against the much hated Kin. The offer was accepted, and when the Kin had been subdued, the Chinese naturally considered they were entitled to a part of the spoils, and proposed to reoccupy their old capital at Kaifeng. The Mongols, who had only made use of the Chinese as long as it suited their own convenience, objected to this course, and ordered them to evacuate Honan. Upon the Chinese refusing to comply with this command, war was declared, and the conquest of China was begun. The chief part in the conquest of China was played by Kublai Khan, the grandson of Genghis. His armies overran all the territory in the south occupied by the Sungs, and the last Emperor was obliged to flee to the Island of Yaishan, south of Canton. The harbor of the town to which he had retreated was blockaded by the Mongol fleet, and finally, to avoid falling into the hands of his enemies, the Emperor and the Imperial family committed suicide by throwing themselves into the sea. Thus, for the first time in Chinese history, China was 14 THE CHINESE EMPIRE wholly conquered by the Northerners, and brought under a Tartar Emperor. The Yuan Dynasty (a.d. 1260-1368) When Kublai Khan (a.d. 1260-1295) became ruler of the whole of China, he established the Yuan Dynasty. The word Yuan means " original,” and was chosen by him as the designation of his dynasty to indicate that he instituted a fresh beginning. The Mongols were politic in their treatment of the conquered, ­ and conformed to their civilisation. This has always been characteristic in regard to the Tartar conquests of China. As has been said, China is “ a sea that salts all waters that flow into it.” The Tartars have never imposed their inferior civilisation on the Chinese, but have assimilated ­ themselves to those they conquered until it became difficult to distinguish between the two peoples. Kublai Khan's thirst for conquest was not sated by his annexation of China. An attempt was made against Japan, which failed ignominiously, the Mongols being no match for the seafaring people of the Island Empire. In the south, Annam was forced to become a tributary state, and remained nominally a vassal of China until, in our own day, it became a dependency of France (Annam in 1864, Tonkin in 1885). A campaign against Burma proved successful, and the Burmese were forced to pay tribute. It was during the reign of Kublai Khan that the celebrated ­ Venetian traveller, Marco Polo, visited China (1271). By his long sojourn in the country he learnt much about Chinese civilisation, and upon his return to Europe he enlightened the people of the West in regard to what had been to them, up to that time, a sealed country. One of the great public works carried out under the instructions of Kublai was the improvement of the Grand Canal between Hangchow and Tientsin. It is about a thousand miles long, and still forms one of the chief waterways ­ of the Empire. It was begun as long ago as b.c. 489. CHINESE HISTORY: SECOND PERIOD 15 The extent of the Empire at this time was greater than ever before. The Mongol Emperors ruled over the vast population occupying the territory between the shores of the Black Sea and the Yellow Sea, and between Northern Mongolia and the frontiers of Annam. During the latter part of the Yuan Dynasty rebellions became frequent, and numerous secret societies sprang into existence, having as their chief object the overthrow of the Mongol government. Chu Yuan-chang (born a.d. 1355), who had spent his early life in a Buddhist monastery, inspired by the spirit of patriotism, put off his priest’s robes and became the leader of a successful band of insurgents. He finally managed to overthrow the Yuan Dynasty and establish himself upon the throne. He inaugurated the Ming Dynasty, and thus China once again came under the rule of a native sovereign. We can only account for the decline of the power of the Mongols on the ground that, as they adopted Chinese civilisation, they lost much of their martial spirit, and became more or less enervated and demoralised. The Ming Dynasty (a.d. 1368-1644) The first part of this period was occupied with struggles with the Mongols, who naturally made desperate attempts to regain what they had lost. The Mings, however, were able to make their possession sure, and gained control over the whole of the country. In 1511 the first European traders made their appearance in China. A Portuguese trader, Raphael Perestrello, with a small fleet of ships, arrived off the coast of Canton, and six years later Fernando Peres de Andrade entered the Canton River with his vessels, and asked for the privilege of opening commercial intercourse. He was favorably received by the Chinese officials, and was allowed to proceed to Peking and reside at the Court. This auspicious beginning ­ was doomed to a speedy eclipse, for a short time afterwards a second Portuguese fleet, under the command of de Andrade’s brother Simon, arrived in Chinese waters ; i6 THE CHINESE EMPIRE and when he did not obtain the freedom of commercial intercourse that he expected, his followers committed many acts of depredation along the coast from Foochow to Ningpo. This roused the animosity of the Chinese, and led to acts of retaliation on their part, many of the Portuguese being massacred, and Fernando de Andrade being put to death. These Portuguese adventurers did but little to promote amicable relations between the Chinese and the Western world. The Chinese regarded them with suspicion and fear, and they, in turn, resorted to force to obtain what they wanted (see Chapter IX. “Foreign Trade”). These first impressions of foreign merchants were not calculated to make the Chinese desirous of entering into closer commercial relations with the West. During the reign of Wanli (a.d. 1573-1620) the Spaniards made their appearance in the East. They made a settlement in the Philippine Islands, which they held until the recent Spanish-American War. The Chinese emigrated in large numbers to Manila, the capital of the islands. The Spaniards became fearful lest these colonists should become too numerous, and instituted a massacre of them in which some 20,000 were slain. This barbarous action doubtless had the effect of lowering the prestige of the Westerner many degrees in the estimation of the Chinese. In 1622 the Dutch made an unsuccessful attempt to gain a footing on the Pescadores Islands. They were driven out by the Chinese and retired to Formosa, where they erected two trading forts, one at the north and one at the south end of the island. Here they carried on trade with China until they were expelled by the famous pirate chief, Koshinga. During the Ming Dynasty, the great Jesuit missionary, St. Francis Xavier, attempted to gain an entrance for the preaching of Christianity into China. He himself was never permitted to take up his residence on the mainland, but his successors, Michael Roger and Matteo Ricci, were allowed to settle in the Kwangtung province. Later on, these Jesuits, through their knowledge of Mathematics, Astronomy, 2 CHINESE HISTORY: SECOND PERIOD 17 and Mechanics, gained considerable influence at the Court of Peking. Altogether the Ming Dynasty lasted nearly three hundred years, and then fell before the inroads of the Manchus. The latter were a clan of Tartars, living to the east of the city of Moukden. They were incited to attack the Chinese because the Emperor, Wanli, espoused the cause of a certain chieftain, ­ named Nikan, the principal adversary of the Manchu ruler, Nurhachu. In 1618 Nurhachu invaded the Liaotung Peninsula with a large force, and put to rout the Chinese army sent to oppose his progress. When the Manchus took the city of Liaoyang they forced the Chinese inhabitants to shave the front part of their heads and to adopt the queue. This is the first instance of the adoption of this style of head-dress in China. The Manchus were unable to take the city of Ningyuan, which they attacked on their march towards the Great Wall. It was ably defended by the Chinese, who made good use of cannon brought from Macao. While this dreaded foe was attacking China from the north, the country was, unfortunately, rent by civil dissension. ­ Two rebels, Li Tze-ching and Chang Hsienchung, starting from Shansi and Shensi, overran a large part of the Empire, and the former, elated by his success, assumed the title of Emperor and advanced on Peking. The last Emperor of the Mings, Chwang Lieh-ti, in despair, committed suicide, and the city fell into the hands of the rebels. Li Tze-ching’s triumph was, however, but of short duration, for a Chinese General, Wu San-kwei, determined to avenge the death of his Sovereign and to prevent the country’s coming under the rule of the rebels. To effect this object he entered into an alliance with the Manchus, who were only too glad to obtain an opportunity of interfering ­ in the affairs of China. Wu San-kwei, with the assistance of the Manchus, gained a decisive victory over the forces of the rebels. While he was absent from Peking on the pursuit of the rebel army, the Manchu Regent, i8 THË CHINESE EMPIRÉ Durgan, entered Peking in triumph, and in accordance with the agreement entered into with Wu San-kwei, placed his nephew on the Imperial throne of China, thus inaugurating the present dynasty, the Tsing, in 1644. Although the Chinese in the north submitted to the Manchus, those of the south for fifteen years maintained a desperate struggle to continue the Ming Dynasty. At last, however, they were compelled to bow to the inevitable, and the whole Empire for a second time passed under the rule of the Northerners, in whose hands it has remained up to the present time. The Manchus made but few changes in the government of the country, and soon adapted themselves to the civilisation ­ of China. They compelled the Chinese all over the Empire to adopt the queue as a badge of subjection, and they were careful to station garrisons of Manchu troops at various important centres to guard against any sudden uprising. In Peking they kept up the organisation of the eight great Banner corps of Manchu troops. In a few decades the new régime was thoroughly established, ­ and the Chinese seemed to forget they were under a foreign rule. 19 CHAPTER II* SKETCH OF CHINESE HISTORY FROM THE BEGINNING OF FOREIGN RELATIONS In the last chapter we gave a brief review of the first two periods of Chinese history. The Tsing Dynasty introduces a new element and brings us to the THIRD PERIOD (a.d. 1644 to the present time) The reshaping of the old civilisation through intercourse with Western nations It has been customary to refer to China as the “ fixed type,” and to prophesy that change in her government or form of civilisation was an impossibility. Recent events have once more proved how unsafe it is to indulge in political forecasts respecting the future of nations. Radical changes have already been effected in China, as the result of the pressure brought to bear upon her by outside influences. In order to preserve her national integrity, she has been forced to adopt important reforms, and to introduce many foreign elements into her civilisation. This, however, has only been accomplished slowly, and has come about through a long series of frictions and contests ­ with Western nations. The Reign of Kanghi (1662-1723) As early as the reign of Kanghi, the second of the Manchu Emperors, two European embassies arrived at Peking for the purpose of opening up commercial relations * Written by the Rev. F. L. Hawks Pott, D.D. 20 THE CHINESE EMPIRE with China. One came overland from Russia by way of Siberia, and the other by sea from Holland. Neither was successful in obtaining the privileges sought, for the Chinese, largely on account of their long isolation from the rest of the world, considered themselves superior to all other nations, and would not consent to treat on terms of equality with their representatives. This for a long time was the source of many misunderstandings. For instance, when the Chinese demanded from foreign envoys, who one after another made their appearance at Peking, the performance of the ceremony of the Kotow, all, with the exception of the Dutch, resolutely refused to comply with the request, on the ground that it would imply that the countries from which they came stood to China in the relation of tributary or vassal nations. Although the Dutch yielded the point and performed the ceremony, they derived but little benefit from their obsequiousness. In 1689 the Chinese came into collision with the Russians. The latter had built a fort at Albazin, on the upper course of the Amur River, and the Chinese regarded this as an encroachment upon their territory. The fort was destroyed, and some of the Russian garrison were carried off as prisoners to Peking. By the treaty of Nerchinsk, made in 1689 (the first treaty entered into between China and a European nation), it was agreed that the Amur River should be regarded as the boundary line between the two adjacent Empires, and that the Russians should have the right of erecting a fort at Nerchinsk. In 1719 Peter the Great of Russia sent a second embassy to China. This was received more favorably than the first, the ceremony of the kotow not being insisted upon. When, however, a few years later, a caravan arrived for the purpose of opening up trade between the two nations, a change had taken place in the temper of the court, and it was declared that all trade relations between the two countries must be confined to the frontiers. In the early part of his reign, Kanghi had treated the CHINESE HISTORY: THIRD PERIOD 21 Roman Catholic missionaries with considerable favor, but later, owing to a dispute that arose concerning the Chinese translation for the word “ God, and the adoption by the missionaries of the term approved by the Pope, in opposition to the one favored by the Emperor, the good will of the latter was forfeited. The Chinese jealously resented the appeal to an authority outside their own nation. The literary activity during the reign of Kanghi was very great, for during this time were published the standard dictionary of the Chinese characters, compiled by a commission ­ of scholars appointed by the Emperor, and also a huge encyclopedia, consisting of 6,026 volumes. The famous sixteen maxims, known as the Sacred Edict, were composed by the Emperor ; these were afterwards expanded and annotated by his son Yung Cheng, and from that time to this have been expounded monthly in the city temples to the common people. The Reigns of Yung Cheng and Kienlung (1723-1796) Kanghi was succeeded by his son Yung Cheng (1723), during whose reign Russian and Portuguese embassies visited the capital, and were granted an Audience. In 1736 Kienlung ascended the throne. Although, during his reign, there was much disorder in the Empire, yet there were also many conquests of importance. Frequent rebellions broke out and were put down with considerable difficulty. A serious outbreak, leading to the annexation of Eastern Turkestan, occurred in Mongolia. A war was carried on with Burma, resulting in the Burmese entering into an agreement to pay a triennial tribute to the Court at Peking. This was henceforth regularly paid until Burma was annexed by the British Government. Trouble also arose in Tibet, due to the Gurkhas from Nipal interfering ­ in the government of the country. An army was dispatched into Tibet, and the Gurkhas were driven out and forced to acknowledge the sovereignty of China. 22 THE CHINESE EMPIRE In 1763 occurred the return to the Chinese Empire of a Tartar tribe called the Turgut, an event graphically described ­ by the English writer De Quincy. During the outbreak ­ in Mongolia this tribe had migrated from their original home and settled in Russian territory near the Volga River. Owing to the harsh treatment to which they were subjected by the Russians they determined to make their escape. On their flight back they experienced untold hardships, being pursued by the Cossacks and attacked by the wild tribes through whose territory they had to pass. Out of 160,000 who started on the expedition only a very small remnant finally reached their destination. Beginnings of Commercial Relations between England and China As early as 1635, during the reign of Charles I., a charter had been granted to some English merchants to form a company to promote commerce with China, and as the result of the royal grant Captain Weddell sailed for the East with a small fleet of vessels. The Portuguese, who had made a settlement at Macao, and who were anxious to keep the trade with China for themselves, did all they could to place obstacles in the way of this expedition. They so misrepresented ­ matters to the Chinese authorities that, when the English fleet was passing the Bogue Forts, on the way up the Canton River, a Chinese battery suddenly opened fire upon it. The British ships retaliated, and after silencing the guns of the battery, landed a party of sailors, took possession of the forts, and hoisted their flag. This display of force induced the Chinese to grant the right to trade, and a cargo was obtained by the English ships. After this, trade was gradually developed between China and England, but it was hampered by many restrictions, very heavy import and export duties being charged. r During the reign of the Emperor Kienlung, in 1793, while George III. was King of England, Lord Macartney was sent to visit the Emperor in Peking. He was received with CHINESE HISTORY: THIRD PERIOD 23 courtesy, but the real attitude of the Chinese was shown by the fact that the boat upon which he was conveyed to Peking bore an inscription on its flag signifying that he was a tributebearer from England. On his journey from Tientsin to Peking the question was raised as to his willingness to perform ­ the kotow. This he positively refused to do unless a Chinese official of equal rank with himself would perform a similar obeisance to a portrait of George III. Finally the point was waived, and he was permitted to have two interviews ­ with the Emperor, not however at Peking, but in the garden of the palace at Jehol. Consent was given to the English to carry on trade at Canton, on condition that they submitted to the regulations imposed by the provincial officials. In the reign of the following Emperor, Kia King (1796-1820), the English Government sent another embassy to China under Lord Amherst (1816). When he arrived at Tungchow, on his way to the capital, he received word that the Emperor would see him in the Summer Palace outside of Peking, and that he was to hasten there with all dispatch. As soon as he had completed the journey he was summoned to an audience. Lord Amherst rather impolitically pleaded fatigue, and the non-arrival of his baggage containing his court dress, and begged to have the audience postponed. This roused the resentment of the Emperor, who immediately refused to hold any further negotiations with him, and curtly ordered him to return to Canton. Thus the mission ended in a humiliating failure. From the reign of Charles L, trade with China on the part of England had been in the hands of the East India Company. This monopoly came to an end in 1834, and then the British Government decided to put the trade with China on a different footing. Accordingly, Lord Napier was appointed as commercial representative of the British Government in China. Hitherto all commercial transactions had been carried on by the English through a committee of native merchants known as the Co-Hong, and with the Hoppo, a commissioner THE CHINESE EMPIRE 24 appointed from Peking as superintendent of foreign customs. When Lord Napier arrived at Canton, the Chinese refused ­ to recognise him. They preferred for many reasons to carry on trade in the old way, and they were unwilling to permit Lord Napier to begin a new course of procedure by dealing directly with the Viceroy of Kwangtung and Kwangsi, whose capital was at Shiuhing, instead of with the Co-Hong. This brought matters to a deadlock between the Chinese and British merchants, and for a time an embargo ­ was placed upon all foreign trade. After the foreigners had been confined in their factories and relations had become most strained, two British men-of-war were sent up the river, to protect the factories, and secure the safety of English lives and property. Lord Napier soon afterwards retired to Macao, where, his health having been seriously impaired by the anxiety through which he had passed, he shortly afterwards expired. As soon as he left Canton, the Chinese, deeming they had carried their point, immediately resumed trade with the English through the old channel of the Co-Hong. In 1836 Captain Charles Elliot was commissioned by the British Government to take up the work of Lord Napier, but in his attempted negotiations with the Chinese authorities ­ he met with no greater success than his predecessor. About this time the Chinese became seriously alarmed at what they considered one of the serious evils of foreign trade, namely, the seeming outflow of silver from the country. This was especially noticed in connection with the large sums spent on opium. The commerce in this drug had never been legalised by the Chinese Government, and increasing quantities were surreptitiously smuggled into the country. In the reign of Tao Kwang, the question of legalising or prohibiting the trade in opium was warmly debated at Peking, and it was finally decided to make determined ­ efforts to abolish it, and to suppress the smuggling of the commodity into the country. CHINESE HISTORY: THIRD PERIOD 25 First War with Great Britain (1840-1843) In 1839 Commissioner Lin Tze-sü was appointed to carry out the prohibition policy. He was a man of considerable force of character and of superior integrity, but at the same time very conservative in his views and opposed to the extension of foreign trade. Shortly after his arrival at Canton he demanded that all the opium in the possession of foreign merchants should be delivered up to him, without compensation, on the ground that it was contraband. In accordance with this request, at the direction of Captain Elliot, 20,291 chests of opium were handed over to the Chinese authorities, all of which was completely destroyed. The tension between the Chinese officials and the foreign merchants had now become so great that a collision became unavoidable. The giving up of the opium led to further demands, and the conditions imposed upon the foreigners became unbearable. This led to the first war between China and Great Britain, in 1840, which unfortunately is generally referred to by the Chinese as the Opium War. Although it is true that the British Government made the destruction of the opium a casus belli, yet, even if this had not occurred, the avoidance of hostilities would have been impossible. The real cause of the war was that the Chinese refused to treat on terms of equality, either diplomatically or commercially, with foreigners, and the latter insisted on the right to be so treated. The war lasted for three years. The Chinese were worsted both on sea and land, but hostilities ­ dragged on until after the arrival of Sir Henry Pöttinger, who had been appointed to succeed Captain Charles Elliot. He had received instructions from the Home Government that he was not to make terms with the provincial ­ authorities, but directly with the Imperial Government. ­ At the same time Sir William Parker was appointed to command the British fleet. By Sir Henry Pottinger’s command the war was carried to the north. Amoy, Chinhai, Chapu, Ningpo, Wusung, and Shanghai were taken in quick succession, and then the British fleet sailed up the 26 THE CHINESE EMPIRE Yangtze and bombarded Chinkiang, an important city at the junction of the Yangtze and the Grand Canal. After some resistance this place was taken, and the fleet proceeded ­ to Nanking. When this city was reached, the Chinese submitted, and two Imperial Commissioners, Ilipu and Kiying, were instructed to enter into negotiations for peace. The first treaty between China and Great Britain, known as the Treaty of Nanking, was concluded on August 29, 1842. Among the terms agreed to were the following ­ : (1) Canton, Amoy, Foochow, Ningpo, and Shanghai were to be opened as Treaty Ports, where foreigners could reside and carry on trade ; (2) The island of Hongkong was to be ceded to Great Britain ; (3) An indemnity of $21,000,000 was to be paid, $6,000,000 of which was for the opium destroyed ; (4) Fair tariff rates were to be imposed at the Treaty Ports ; and (5) Official correspondence was to be carried on upon equal terms between the two nations. Shortly after this treaty had been ratified at Peking, similar treaties were made with China, first by the United States and then by France. The Taiping Rebellion (First Stage, 1850-1860) In 1851 the Emperor Hienfeng ascended the Dragon Throne. During his reign broke out one of the greatest rebellions China has ever experienced. This was the Taiping Rebellion. The leader, Hung Hsiu-chuen, having obtained some knowledge of the Christian religion, had become a zealous opponent of idolatry. He established a society called the Shang Ti-hui—that is, the society for the worship of “ the Almighty.” At first the movement was of the nature of a religious crusade, and his followers went about the province of Kwangsi breaking down idols and destroying temples. The rising soon assumed a political aspect, and the members of the society declared open rebellion ­ against the reigning dynasty, taking as their rallying cry “ the extermination of the Manchus.” After some successes in Kwangsi, the rebels advanced into Hunan, and CHINESE HISTORY: THIRD PERIOD 27 striking the Siang River, followed its course northward, sacking the cities along its banks. At Changsha, the capital of the province, they met with their first serious repulse, for this city was so ably defended by Tseng Kwo-fan that they were unable to take it even after a long siege. Abandoning the attempt they skirted the Tungting Lake, and entered the valley of the Yangtze. On the banks of the Great River they seized the cities Hanyang, Wuchang, Hankow, Anking, Kiukiang, and Nanking. The latter city was selected as the capital of a new dynasty to be known as the Taiping, a word signifying that their leader intended to establish the reign of peace on earth. Hung Hsiu-chuen himself assumed the title of Emperor, being called Tien Wang, or “ Heavenly Monarch.” Four assistant kings were appointed to aid in governing the Empire, known respectively ­ as the Kings of the North, South, East, and West. After this Hung himself no longer acted as the energetic leader of his hosts, but gave himself up to a life of ease and licence. In 1853 an expedition was dispatched to the north in the hope of taking Peking. In their attack on Tientsin the rebels were repulsed by the Manchu General, Sankolinsin, and, disheartened by their defeat, began to withdraw to the south. At this juncture Li Hung-chang came into public notice. He raised an army in his own province of Anhwei, and began a series of vigorous attacks upon the rebels. Gradually the Imperial forces made headway against the rebels, and succeeded in hemming them in on that part of the Yangtze between Nanking and Anking. Second War with Great Britain (1856-1860) In the meantime relations between the Chinese and the British merchants in the south had not become any smoother. The British resented the way in which they were treated by the Chinese authorities, and the Chinese thought they had just cause of offence because, although the opium trade had been declared illicit, smuggling still 28 THE CHINESE EMPIRE continued, and was often carried on by ships called lorchas,* which secured the right of flying the British flag, by taking out licences in Hongkong. The immediate cause leading to hostilities was the case of the lorcha Arrow. This vessel, flying the British flag, during the absence of its captain, an Irishman, was boarded by some Chinese officials by order of the Viceroy Yeh, while lying at anchor off Whampoa. The flag was hauled down, and twelve of the Chinese crew were taken prisoners. Mr. Harry Parkes, who was then English Consul at Canton, demanded an apology for the insult to the flag, and the immediate return of the men. The Chinese authorities refused to comply with these demands. At first they gave as their reasons that the flag was not flying when the vessel was boarded, and that they had seized these men because they were noted criminals wanted by the Chinese Government. ­ Later they stated that the ship had no right to be flying the British flag, as the time of its license had expired. This last statement was true, but it is generally believed that the expiry of the time of the license could not have been known to the Chinese at the time of the seizure of the crew. A series of altercations grew out of the incident, and as neither party was willing to agree to a compromise, both prepared for war. In 1857 Lord Elgin was appointed High Commissioner for Great Britain, and transports, with 5,000 troops, were dispatched to China. This force was, however, diverted to India to assist in the suppression of the Sepoy Mutiny in that country, and it was not until some months later that a British force arrived on the scene. The French Government, induced partly by a desire to obtain reparation for the massacre of a French missionary in Kwangsi, and partly by the spirit of Imperial aggrandisement ­ that manifested itself so strongly when Napoleon III. was Emperor, decided to join forces with the British in * A lorcha is a light Chinese sailing-vessel, built somewhat after a European model, but rigged like a junk. CHINESE HISTORY: THIRD PERIOD 29 bringing China to terms. When the forces of both nations had arrived, an attack was made on the city of Canton. It was taken, and for a time held by the foreign forces. The war was then carried to the north, and the allied fleets sailed to the month of the Peiho River. After the taking of the Taku Forts, there was nothing to hinder the advance on Tientsin. This led the Chinese to sue for terms of peace, and the Treaty of Tientsin was signed on June 26, 1858. According to the terms of this treaty, (1) The British were to be allowed the right of appointing a Minister to reside at Peking ; (2) Newchwang, Formosa, Swatow, and Kiungchow were to be opened as additional Treaty Ports ; (3) The British were to have the privilege of trading on the Yangtze ; (4) An indemnity of 2,000,000 taels was to be paid ; and (5) The tariff was to be revised. At the same time a treaty was made between China and France, and the Chinese Government was obliged to agree to pay the same amount of indemnity to France as to England. In the following year, the question arose as to the place where the ratifications of these treaties were to be exchanged. ­ The British and French insisted upon Peking, as being named in the treaties, but the Chinese resolutely persisted in offering opposition. The British and French fleets proceeded to Tientsin, and finding the entrance to the river blocked by barriers consisting of long stakes bound together with heavy chains, decided to force an entrance. ­ While attempting to do this, they were fired upon by the Taku Forts, and compelled to retire after suffering considerable loss. The British and French were not long in seeking reparation ­ for what they considered an act of treachery on the part of the Chinese, and a formidable expedition was fitted out, consisting of 20,000 men, of whom 13,000 were British and 7,000 French. This expedition landed to the north of the Taku Forts, and, to the surprise and consternation of the Chinese, delivered their attack from the land side. Although the Chinese made a desperate defence the forts were finally obliged to capitulate. The way being opened THE CHINESE EMPIRE 30 to Tientsin the fleet advanced up the river, and when no satisfactory terms could be arrived at, the allied forces set out for Peking. On the march, a message was received from the Manchu Prince, Tsai, proposing a conference at Tungchow. Parkes and Loch, with some other Englishmen and some Frenchmen, were sent to Tungchow to complete the final arrangements for the conference. While on this mission they were seized by the Chinese and sent as prisoners to Peking. Parkes and Loch were for a time confined in the prison used for the worst criminals, and subjected to much ill-treatment. The others were imprisoned within the precincts of the Summer Palace outside of Peking. The allied forces, as soon as they discovered that they had been duped by the Chinese, advanced on Peking. O11 the way two engagements were fought, one at Changkiawan, and one at Palikiao, in both of which the Chinese were put to flight. Before Peking was reached the Emperor fled to Jehol, leaving Prince Rung to enter into negotiations with the invaders. The British and French would consider no terms of peace until the prisoners had been returned. Finally, Parkes and Loch, and all who had survived their tortures, were set free. By way of reparation for the death of the others, the British and French envoys authorised the commanders to permit the destruction of the Summer Palace, which had already been looted by the French. In justification of this act they said, “ the punishment was one which would fall not on the people, who were comparatively innocent, but exclusively on the Emperor, whose direct responsibility for the crime committed is established.” The Treaty of Peking was signed October 22, i860, and the following terms were agreed to : (1) An indemnity of 8,000,000 taels was to be paid in lieu of the sum mentioned in the treaty of 1858 ; (2) Kowloon was to be ceded to the British Government ; and (3) Tientsin was to be opened as a Treaty Port. The French also demanded an indemnity of 8,000,000 taels, and a special article provided for the restoration to CHINESE HISTORY : THIRD PERIOD 31 the missions, through the intermediary of the French Minister, of the property for religious and philanthropic work which had been confiscated during the persecutions. To the Chinese text of the article was added a clause : It shall also be permitted to French missionaries to buy or rent land and build houses in any of the provinces at their pleasure.” This clause is not found in the French text, which is authoritative, but the Chinese Government has allowed it to pass by default (see Chapter VII., “ Extraterritoriality ­ ”). Upon the death of the Emperor Hienfeng, his only son, a child of six years, became his successor. The Court being then at Jehol, the government fell into the hands of a coterie bent on renewing the war and resisting foreign aggression at all costs, the reign title Kisiang (Favoring Fortune) being adopted. To carry out their policy and maintain their power, they planned to seize the Empresses Regent and their adherents ; but they, with the support of Prince Rung, brother of Hienfeng, effected a counter coup d’état, put to death some and banished others of the leaders of the government, seized the reins, and changed the reign title to Tungchih (Peace and Order). The Empress ­ Consort and Empress Mother exercised the regency, and Prince Rung became the principal Minister and the most powerful of those engaged in the administration. The foreign envoys took up their residence in Peking, the first to do so being Sir Frederick Bruce for Great Britain, the Hon. Anson Burlinghame for the United States of America, Monsieur de Bourboulon for France, and General Vlangaly for Russia. Second Stage of Taiping Rebellion (1862-1864) The Taiping forces, though driven back from the immediate ­ vicinity of Shanghai and restricted to the Yangtze valley above Chinkiang, soon felt the relief given by the defeat of the Imperial forces at the hands of the foreign allied powers, and again occupied the whole of the triangle THE CHINESE EMPIRE 32 between the Yangtze and Hangchow Bay, with the exception ­ of Shanghai. This city was protected by the troops left by the allies for protection of the foreign settlements. The Chinese in Shanghai formed a patriotic league for the defence of the city, and at the suggestion of Li Hungchang, who had been appointed Governor of Kiangsu Province, engaged the services of two Americans, Ward and Burge vine, to organise a force of Europeans and Manila men to fight the rebels. Ward, with a force two hundred strong, consisting mainly of adventurers, in conjunction with the Imperial army, succeeded in taking the city of Sungkiang. In August i860 Chung Wang advanced on Shanghai. Although he was able to occupy the native city, he failed to take the foreign settlements, as they were defended by a foreign garrison. After a time he retired from Shanghai, burning and destroying all the villages and hamlets in the outlying country. When Admiral Hope, the British Commander of the fleet that had carried on the expedition in the north, returned ­ to Shanghai, he went up to Nanking to pay a visit to the Taiping Emperor, Tien Wang, and entered into an agreement with him, by which the safety of Shanghai was assured from attacks by the rebels, provided the English and Europeans remained neutral. In consequence of this arrangement Ward was compelled to disband his force, but in place of it he organised a small army composed of Chinese troops. This afterward became known as “ The Ever Victorious Army." With this he gained many victories over the rebels. When the rebels had taken Ningpo and Soochow, and threatened to attack Shanghai again, Admiral Hope saw that no reliance could be placed upon Tien Wang’s assur anees, and, for the sake of helping to restore peace, decided to assist the Imperial forces. The British and French then proceeded to clear the country of rebels within & thirty-miles radius of Shanghai. Acting in conjunction with Ward this was successfully accomplished ; but during the campaign the brave American leader lost his life. He CHINESE HISTORY: THIRD PERIOD 33 was succeeded for a time by Burgevine, but the latter soon came into difficulties with the Chinese authorities, and was dismissed from their service. Then Captain Holland of the British Army was placed in command, but under his leadership the forces suffered defeat at Taitsang. Finally, Captain C. E. Gordon was loaned by the British Government to assist the Imperial forces. Gordon's chief object was the taking of Soochow, the stronghold of the rebels in Kiangsu. This city was closely invested, but held out for many months. At last a dissension broke out between two factions in the city, and the party in favor of capitulation having gained the upper hand, the rebels surrendered, on the understanding that the lives of their leaders (the so-called Wangs) were to be spared. Li Hung-chang, however, much to the indignation of Gordon, broke faith with the rebels, and, after getting their leaders into his power, put them all to death. Nanking, which had been besieged for eleven years by the Imperial forces, was the only place still left in the hands of the rebels. When the city was about to fall, Tien Wang ended his life by taking poison. Chung Wang and the son of Tien Wang attempted to escape, but were captured and put to death. With the fall of Nanking the rebellion collapsed. Over twenty millions of lives had been sacrificed, ­ and many of the fairest districts of the Empire had been devastated. To this day, in many of the cities, heaps o rums and rubbish may be found, witnessing to the havoc wrought by the rebels. Mohammedan Uprisings In 1867, during the reign of Tungchih, the Mohammedans m Yunnan revolted against the Chinese Government on account of the harsh treatment received at the hands of the officials, and attempted to establish a government of their own. A similar uprising broke out in Shensi and Kansu. These revolts were suppressed with much difficulty by the Imperial Government. 34 THE CHINESE EMPIRE First Embassy to Foreign Countries (1867) In 1867 the Chinese -Government sent its first embassy to foreign countries. This consisted of three envoys, two Chinese and one foreign, the latter being the Hon. Anson Burlinghame, who had been U.S. Minister to Peking. The object of the mission was to win for China more favorable treatment from Western nations, and to represent the Chinese Government as desirous of entering upon a course of reform. Unfortunately Mr. Burlinghame died in St. Petersburg before the mission had been completed. The Tientsin Massacre (1870) In 1870 occurred what is known as the Tientsin Massacre. For some time previous anti-foreign and anti-Christian literature had been circulated among the masses, with the result that their minds had been highly inflamed against the missionaries. The trouble in Tientsin arose out of rumors spread in regard to the Roman Catholic Orphanage, such as that the Sisters in charge were in the habit of kidnapping children, and of taking out their hearts and eyes to serve as medicine. A committee of five Chinese gentlemen were permitted to examine the premises, that they might be convinced of the absurdity of such stories and help to correct the false impression. The French Consul, who looked upon this investigation as an unwarranted intrusion, very unceremoniously ­ drove these visitors into the street. This angered the populace, and resulted in the burning down of the Orphanage and the Cathedral, and the massacre of many of the Sisters and their native assistants. The French Minister demanded the punishment of the officials who had been remiss in not quelling the riot, the decapitation of the ringleaders, ­ and an indemnity of 400,000 taels. First Public Audience (1873) Shortly after the marriage of the Emperor, when the regency of the Empress Dowager for a time came to an end, CHINESE HISTORY : THIRD PERIOD 35 the first Imperial Audience for foreign ambassadors was held on June 29, 1873. This appeared to be a step in advance on the part of China, but the fact that the audience took place in the “ Pavilion of Purple Light, a hall used for receiving tributary nations, showed that the pride of China was as strong as ever. Succession of Kwanghsü (1875) In 1875, Kwanghsü, the present Emperor, was placed upon the throne. He is the son of Prince Chun, the youngest brother of Hienfeng. His elevation to the Imperial dignity was brought about by a coup d'état on the part of his aunt, the mother of the Emperor Tungchih, the present Empress Dowager. As he was a mere child at the time of his accession, ­ the power once more fell into the hands of the Empress Dowager, and she became the virtual ruler of the Empire, a position which she has held, with short intervals of retirement, ­ up to the present time. The Chefoo Convention (1876) After the British Government had annexed Burma, an attempt was made to open up a trade route through Yunnan. Mr. A. R. Margary, of H.B.M.’s Consular service, was commissioned ­ to travel overland through China to meet at Bhamo an expedition sent out by the Indian Government, and to act as interpreter and guide through Yunnan and Central China to Hankow. After meeting the expedition, Margary started on ahead to Manwyne, the first city within Chinese territory, to prepare the way for those who were to follow. Upon arriving there he was made away with, and then the expedition was attacked, and driven back by bands of armed natives. Sir Thomas Wade was at that time British Minister at Peking. After prolonged negotiations between him and the Chinese Government, the Chefoo Convention was finally agreed to, the principal articles of which are as follows : (1) A compensation of 200,000 taels was to be paid , (2) An 3 6 THE CHINESE EMPIRE embassy expressing regret for the murder of Margary was to be dispatched to Great Britain ; (3) Further arrangements ­ for the better regulation of the opium traffic were to be put in force ; and (4) Four new Treaty Ports—Ichang, Wuhu, Wenchow, and Pakhoi—were to be open to foreign trade and residence, and six ports of call on the Yangtze for the landing of foreign goods. Dispute between China and Russia A dispute arose between China and Russia in regard to the city of Kuldja, that had fallen into the hands of the Russians during the Mohammedan rebellion in the northwestern ­ part of the Empire. When China demanded the return of the city, they were met with a direct refusal. For a time it looked as if the friction would lead to a war between the two countries. Finally, however, in 1881, the Treaty of St. Petersburg was agreed to, by which China regained Kuldja and the most of Ili, and paid nine million roubles to Russia in compensation for her claims. Trouble in Korea As far back as 1592 the Japanese had founded a settlement ­ at Fusan in Korea. In 1876, in retaliation for an unprovoked attack upon one of their gunboats off the coast of Korea, the Japanese dispatched an expedition to that country, and compelled the Korean Government to pay an indemnity, to open the ports of Chemulpo, Gensan, and Fusan, and to allow Japanese to reside in Korea on the same terms as Europeans resided in Japan. The Chinese Government, ­ regarding Korea as a vassal kingdom, determined to neutralise Japanese influence by throwing open the country to the whole world under treaty. Thus Korea, hitherto known as the Hermit Nation, emerged from her position of seclusion, and entered into treaty relations with foreign powers. The opening of Korea led to many troubles. There was soon formed a Party of Progress, and this was in constant strife with the Conservatives. In order to main- CHINESE HISTORY : THIRD PERIOD 37 tain orderthe Chinese appointed a Resident, after the pattern of British Residents in India, to live in the capital at Seoul. In one of the quarrels between the Reformers and the Conservatives, ­ the Japanese Legation was burnt to the ground, and the Japanese Minister and his staff were forced to flee for safety to Chemulpo. This led to the landing of a Japanese force at Chemulpo, and the dispatch of Chinese troops to Seoul. It seemed for a time as if war was imminent between the two countries, but Li Hung-chang and Count Ito, acting for their respective governments, were able to arrive at an understanding. Both countries agreed to withdraw ­ their troops from Korea within four months, and promised that, in case any serious disturbance arose in the future, before either country landed troops, notice should be previously given to the other. At this time Russia, taking as a pretext the disturbed condition of the country, moved her troops towards the northern frontiers of Korea. As a counter-movement, the British fleet seized Port Hamilton, an island off the southern coast, and threatened to take permanent possession of it if the Russian occupation lasted in the north. In 1887 the British Government withdrew ­ her forces from Port Hamilton, with the stipulation that the island was never to be ceded to any other power. War with France (1884-5) As protectors of Roman Catholic Missions in the Far East, the French Government obtained a pretext for interfering ­ in the affairs of Annam, and in 1864 the King of that country was obliged to cede Cochin China to France. After the Franco-Prussian War, when the French Government entered on a policy of extending its colonial possessions, it became desirous of annexing Tonkin, lying to the north of Annam, as in that way it would be able to tap the resources of Yunnan. Tonkin, which for centuries had been a vassal kingdom of China, appealed to the latter for protection. In 1884 the French troops threatened Sontay and Bacninh, and notwithstanding the protests THE CHINESE EMPIRE 3« made by the Chinese, proceeded to occupy them. As neither country was anxious for war, negotiations followed, as the result of which it was agreed that China was to cede Langson and some other places to France, and that, in return, France would respect China’s southern boundary. Owing to a misunderstanding, when the French troops came to take possession of these places, the Chinese garrison refused to evacuate. Thus hostilities broke out. As there had been no formal declaration of war, Admiral Courbet, of the French Navy, sailed with his fleet unopposed past the Chinese fleet and forts into the mouth of the Min River at Foochow. Then, without warning, he suddenly opened fire on the forts and the Chinese ships as they lay at anchor. As the Chinese were taken completely by surprise, ­ they were unable to make resistance. Their forts were much injured, and a large number of their ships were destroyed. The French fleet then sailed away, and seized Kelung in Formosa by a similar stratagem to that used at Foochow. The Pescadores Islands were also taken. The war dragged on in a desultory manner, and on land the Chinese gained some successes over the French troops. At length peace was declared on June 9, 1885, by the terms of which China gave up all claim to Tonkin, while the French promised to respect China’s southern frontier. The Riots of 1891 China was next involved in difficulties with foreign powers by the riots of 1891 on the Yangtze River. The passions of the populace had been stirred up by the circulation ­ of libellous literature scattered broadcast throughout this region of the country. It is generally supposed that it emanated from the literati, who were bitterly opposed to all the changes taking place in the Empire. The prime instigator was a scholar named Chow Han, who composed many diatribes against the Christian religion. The soldiers who had been disbanded after the suppression of the Taiping Rebellion, and who had formed a society known as the CHINESE HISTORY : THIRD PERIOD 39 Ko-lao-hui, were only too ready to take this opportunity of creating a disturbance, and of looting Christian churches and missionary residences. Riots occurred in Wuhu, Wusueh, Tanyang, Wusih, Chinkiang, Yangchow, and Kiangyin. At Wusueh two British subjects, one a member of the Maritime Customs and one a missionary, were murdered. ­ Upon strong representations being made by the foreign powers, the Chinese Government was forced to grant monetary compensation for all the damage wrought by the rioters. The War with Japan (1894-5) In 1894 occurred the war between China and Japan. The Chinese, disregarding the agreement entered into with Japan, sent troops into Korea to quell a disturbance, and the Japanese, as a counter-move, landed a corps of their army consisting of 10,000 men. After some parleying, it was arranged that the forces of both countries should be withdrawn. ­ While negotiations were still in progress, some Japanese cruisers sighted a British steamer, the Kowshing, transporting troops to Korea. Looking upon this as a breach of faith, the Japanese commander ordered the captain of the Kowshing to surrender, and demanded the Chinese troops as prisoners. Although those in command of the Kowshing were willing to surrender, they were unable to do so owing to a mutiny of the Chinese soldiers. Accordingly ­ the Japanese ships opened fire, and in a few minutes sunk the Kowshing. This led to a declaration of war on both sides. China claimed that, as Korea was a vassal state, she had a right to interfere in her political affairs. The Japanese reasons for going to war were their resentment at the supercilious way in which they had always been regarded ­ by the Chinese, their desire to gain control over Korea so as to check the further advance of Russia to the south, and the wish to find some vent for the ebullition of military spirit in Japan. The war soon revealed the utter lack of preparation on the part of China. Her forces on THE CHINESE EMPIRE 40 land were miserably armed, and badly officered. China had made but little progress in the art of modern warfare, whereas Japan had a most efficient army. On land, the Chinese troops were defeated in every engagement, and were driven out of Korea. In the Naval battle at the month of the Yalu, the Chinese fleet fought with determination, but were at a great disadvantage on account of the want of proper ammunition. Five of their vessels were sunk and the rest were put to flight. Port Arthur, strongly fortified by the Chinese and deemed impregnable, was next assaulted by the Japanese, under General Oyama, from the land side. The Japanese surmounted all obstacles, and, owing to the poor defence made by the Chinese, soon succeeded in taking possession of the fortress. After the capture of Port Arthur, the Japanese fleet attacked Weihaiwei. Although Admiral Ting of the Chinese fleet, who had fled thither after the battle of the Yalu, offered a determined resistance, he was finally forced to surrender all the forts to the Japanese. After this China was powerless to continue the war, and accordingly Li Hung-chang was sent to Japan to sue for terms of peace. The treaty of Shimonoseki was signed on April 17, 1895. By it (1) The independence of Korea was to be recognised ; (2) The Liaotung Peninsula (including Port Arthur), Formosa, ­ and the Pescadores Islands were to be ceded to Japan ; (3) An indemnity of 200,000,000 taels was to be paid in seven years ; and (4) Shasi, Chungking, Soochow, and Hangchow were to be opened as Treaty Ports to foreign trade and residence. A large part of the fruits of Japan’s victory was wrested from her by Russia, Germany, and France uniting to compel her to waive her claims to the Liaotung Peninsula in exchange for a payment of 30,000,000 taels. The result of the war was disastrous to China in many ways. It dispelled the idea from the minds of Westerners that China had really entered on the path of reform, and CHINESE HISTORY : THIRD PERIOD 41 the belief became prevalent that China was so weak that she must yield to whatever demands were made of her, provided a sufficient show of force was displayed. Acts of Foreign Aggression In 1897 Germany seized Kiaochow, on the south of the Shantung Peninsula. Her pretext for so doing was the murder of two German Roman Catholic missionaries in the southern part of Shantung. Russia forced the Chinese Government to lease Port Arthur, one of the strongest naval bases in the world, and Talienwan, thus strengthening her position in Manchuria. Great Britain put in a claim for the lease of Weihaiwei, and China granted this in return for the help received in financing the indemnity owed to Japan. France claimed and obtained the lease of Kwangchowwan, in Kwangtung, so as to “ restore the balance of power in the Far East." In 1899 Italy demanded, but was refused, the cession of Sanmen Bay in Chekiang. The people of China began to realise that, if this process of granting leases went on longer, the integrity of the Empire was doomed, and a strong antiforeign feeling began to manifest itself. The Reforms of 1898 In 1898 the Emperor Kwanghsii, strongly influenced by a band of ardent young reformers, the chief of whom was Kang Yu-wei, attempted to introduce radical reforms in the Empire, believing that only thus could the ship of state be saved from foundering. The Empress Dowager, as well as the conservative officials of Peking, regarded these innovations ­ with dread, and an attempt was made to depose the Emperor. She began a vigorous crusade against the Reform Party, and did not hesitate to put to death all who fell into her hands. 42 THE CHINESE EMPIRE The Boxer Outbreak (1900) The anti-foreign spirit in China, roused by the acts of aggression on the part of foreign powers, found expression in the Boxer movement of 1900. The Boxers were a semireligious ­ fanatical secret society, the members of which were banded together to drive out all foreigners from China, and to rid the Empire of foreign domination. Those who joined it believed they were under the special protection of the gods, and that by the use of magical charms they could make themselves invulnerable in battle. They began their operations in Shantung, where they proceeded to burn down churches and missionary residences, and to murder Christian converts. From Shantung the movement extended into Chihli, and soon all the northern part of China was in confusion. The Chinese officials, many of whom openly sympathised with the aims of the Boxers, did little to oppose their progress, and the Empress Dowager took no strong measures against them. As alarm was felt for the safety of the Legations at Peking, guards were sent up from the men-of-war anchored off Taku for their protection. Peking was surrounded by the Boxers and cut off from all communication with the outside world. Admiral Seymour of the British fleet and Captain McCalla of the American fleet, with a force of 2,000 men, consisting of British, Americans, Germans, and others, undertook to march from Tientsin to Peking to relieve the Legations. This expedition was steadily opposed, and upon reaching Langfang met with a determined resistance, news having reached the Chinese of the taking of the Taku Forts by the fleets of the European powers. The relief force was compelled ­ to retreat, and on the way back experienced much hardship, and came near to being annihilated. Owing to the disturbed conditions in China a large number of vessels of the various foreign powers had assembled ­ off Taku. It was from these that the relief expedition to Peking had been sent. After it had started, on June 16, the commanders of the fleets, with the ex- CHINESE HISTORY: THIRD PERIOD 43 ception of the American commander, joined in summoning the Taku Forts to surrender. Upon the refusal of the Chinese, fire was opened on the forts, and after a severe bombardment they were taken. This led the Chinese Government to declare war on foreign nations, and the Imperial troops began to make common cause with the Boxers. The foreign settlement at Tientsin was besieged by the Chinese, and was only saved from destruction by an expedition sent to its relief from Taku. During the summer of 1900 massacres of Christian missionaries and their converts took place throughout North China. A secret edict to exterminate all foreigners was issued by the Empress Dowager, and was obeyed in Paotingfu, and in Taiyuanfu. As soon as the gravity of the situation was realised troops of the foreign powers were dispatched to China. Upon the arrival of these the native city of lientsin was attacked and, after severe fighting, was taken by the allied forces. Then a relief expedition set out for Peking. The foreigners in Peking had, in the meantime, taken refuge in the British, American, and adjoining Legations, where they were subjected to a long and trying siege. With splendid determination they held out against overwhelming odds, and managed to maintain their position. The Chinese were afraid of proceeding to extremities, and never put forth all the force at their disposal against the beleaguered. It is probable they suffered from divided counsels in their own midst, one party wishing to destroy the foreigners, and one holding back from fear of the consequences. If Tientsin had been able to hold out against the foreigners, the fate of the Legations would have been sealed. When, however, it was learnt that Tientsin had been taken, the attack on the Legations was no longer carried on with much real spirit. The allied army arrived at Peking on August 14, and the city was taken on the following day. The Emperor and Empress Dowager fled as the foreign troops entered the city, and established the Court at Sianfu in Shensi. During the outbreak in the north, the Viceroys, Liu Kun-i, THE CHINESE EMPIRE 44 and Chang Chih-tung—governing the provinces Kiangsu, Anhwei, Kiangsi, Hupeh, and Hunan—succeeded in keeping the part of the Empire over which they ruled from taking part in the mad uprising ; and an agreement was made by them with the various Consuls of the Western powers, by which they promised to preserve order in their jurisdictions, provided the military operations of the invading forces were confined to the north. When the Boxer movement had been suppressed there followed a long period of negotiations ­ between the representatives of the Chinese Government and of the Western powers. The Chinese were forced to yield to the following terms : (i) China was to erect a monument to the memory of Baron von Kettlet, the German Minister who had been murdered in the streets of Peking at the outbreak of hostilities, and to send an Imperial Prince to Germany to convey the Emperor's apology for the sad occurrence ; (2) The death penalty was to be meted out to the leaders in the uprising, and to the officials responsible for the murder of the foreigners ! (3) An indemnity, £67,500,000, was to be paid in annual instalments extending over forty years ; (4) The Taku Forts were to be demolished ; and (5) Permanent garrisons were to be stationed at the various Legations in Peking» and on the route to the sea. Recent Events Since the Boxer uprising many important events hav e taken place. The war between Russia and Japan, although strictly speaking not an event in Chinese history, has been one in which China was deeply concerned. The long' pursued policy of Russia to gain absolute control °^ Manchuria has been checked. The prowess of Japan» displayed on the battle-field, at the siege of Port Arthur and at the naval engagement of the Straits of Tsushima, has led the Chinese to look with respect upon Japan, and to follow her example in introducing reforms into her own army. CHINESE HISTORY: THIRD PERIOD 45 Much has been recently accomplished in the way of organising a system of enlightened education, and the old literary examination system has been entirely discarded. Much activity is shown in the building of railroads. A national spirit is growing, taking as its motto, “ China for the Chinese.” The government is undergoing modification, and the promise has been held out of the grant of a constitution ­ in the near future. Indeed, reform edicts follow one another so quickly that each seems to tread on the heels of the one going before. The influence of Japan is paramount, and it seems probable that the world may witness an alliance of the Yellow Race that will bring about astounding results. Indeed, our attention is directed to China as it has never been before, and we naturally are led to speculate upon the future possibilities of this remarkable people, and the part they may play in the unfolding drama of the great world process. 46 CHAPTER III THE GOVERNMENT The government of China is an autocratic rule superposed on a democracy ; but “ the East is East and the West is West,” and, having applied Occidental terminology to an Oriental system, it becomes necessary to define the terms-When the Mongols under Kublai Khan in the thirteenth century invaded and conquered the country, they became the dominant power and de facto rulers of the Empire ; but the daily life of their subjects went on as before, they made no change in domestic and local institutions, and their refusal to be absorbed in the sturdy organisation of the Chinese people, combined with the pressure of heavy tribute and the evils of an irredeemable paper currency, led to their expulsion within a century from the first accession of Kublai to the throne. The native dynasty of the Ming» which then succeeded in the fourteenth century, introduced a better system of government, based on learning and statesmanship, ­ but made no change in its external form ; and the relations between ruler and subject remained unaltered. The Manchu Dynasty of the Tsing, coming to power in the seventeenth century, was based primarily on force of arms i but even their conquests were effected by armies composed as much of Chinese troops, stiffened by Manchu battalions and led by Manchu officers, as of the all-conquering Manchu bowmen. In their civil government the Tsing Emperors and their Manchu advisers had the wisdom to recognise that their own people, unlettered and without the training of generations in the science of governing, were unequal t° the task of providing an administration which could stand THE GOVERNMENT 47 by its own strength ; and from the very beginning, before the ruins which marked their military progress ceased smoking and were cold, they not only continued the system and forms of their predecessors, but associated with themselves, ­ in the administration, the literate class of their Chinese subjects, and the mode of living and customs of the people remained unchanged. Garrisons were established at certain strategic points to maintain the conquest ; certain posts in the central government were reserved for Manchu nobles and leaders ; certain “ milking ” posts were created to tap the wealth of the provinces ; and the Court, the Manchu nobles, and the Manchu garrisons at Peking and elsewhere were maintained by tribute drawn from the provinces. Apart from this the government of the country has been more in the hands of the Chinese than of their conquerors, and the Civil Service has been a carrière ouverte aux talents. Some allowance must be made for the predilection of the ruling powers for men of their own race, and it is only natural that, in the exercise of patronage, Manchus should be somewhat preferred. This preference is now shown less frequently than in the past, as the Manchus have become more and more assimilated in thought and in training to the Chinese, and of late years the proportion of Manchus holding Imperial appointments in the provinces has not exceeded one-fifth, while the numerous and important extra-official posts created by modern conditions are seldom held by Manchus. To apply American terminology to things Chinese, the Municipal and State (provincial) government ­ is almost entirely in the hands of the Chinese, while the Federal (Imperial) administration is influenced and controlled as much by Chinese as by Manchu minds, with the further proviso that full weight is given in the Emperor’s Council Hall to the shrewd brains of his Chinese counsellors. ­ The American simile may be carried even further, but the Western reader must be cautioned not to apply it except as specifically indicated. American government stands firmbased on the town meeting. This was generally true in 48 THE CHINESE EMPIRE De Tocqueville’s time (except for the county system of the Southern States), was passably true at the time of Bryce’s inquiry, and is true to-day of the country village communities. ­ It is also true, mutatis mutandis, of village communities ­ in China to-day, following the precedent of many centuries. The village elder, Tipao, is appointed “ with and by the advice and consent” of the villagers, and represents ­ them in all official and governmental matters, being also the ordinary channel of communication of official wishes or orders to his fellow villagers. The American citizen has few direct dealings with any but his township officials, so long as he pays his taxes and is law-abiding, and, officially, hardly knows of the existence of the Federal Government, unless he has to deal with the Custom House, or wishes to distil whisky. This may be said also of the Chinese villager, and, moreover, few civil suits are brought before the official tribunals in China, while the government exercises no control over distillation. The American federal system finds its counterpart, too, in some respects, in the semi-interindependence of the central and provincial administrations ­ ; but the means of providing for the maintenance ­ of the Imperial Government resemble much more closely the German system, based on a combination of Imperial taxes and matriculations assessed on the federated states. The civil government of China may be considered under four divisions : (i) The Emperor and his Court, and the Manchu nobles-(ii) The Central Metropolitan Government. (iii) The Provincial Administration. (iv) The Township and Village. To explain clearly the system of Chinese administration» it would be wise to begin with the foundation and trace # up to the top ; but in many ways it is more convenient t° trace the stream from its mouth through its many ram 1 ' fixations to its sources. 4 THE GOVERNMENT 49 I. The Court The Emperor rules by divine right. He is no empty " Dei gratia,” based on a parliamentary title, or on election by a Diet, or by allied kings and princes. He is himself the Son of Heaven, and, when he dies, he “mounts the Dragon chariot to be a guest on high.” He is the Divus Augustus of his Empire, reverenced, in letter and in spirit, by his subjects. He worships only at the Altar of Heaven and the Altar of Earth, apart from his reverential worship of the shades of his ancestors ; but he commands his Ministers to propitiate the Guardian Dragon of the River in times of flood, and the Spirits of the Air in times of drought, and leaves to his subjects their worship of Buddhist deities and their adhesion to Taoist tenets, or even to Christian and Mussulman practices, so long as they remain a matter of religion only. Apart from the result of military usurpation, he is selected by his predecessor or by the Imperial family acting under such inspiration as moves a Papal Conclave. He is usually a son of his predecessor, but is seldom the eldest, the Asiatic practice of selecting the fittest among certain qualified princes of the blood being followed. Not one of the Emperors of the present dynasty (except Tungchih, an only son) was the eldest son of his predecessor : Kanghi was the third son of Shunchih ; Yungcheng (1723-1735) was the fourth son of Kanghi, and was driven to imprison some of his brothers, and to banish others,because they rebelled against him on his accession ; Kienlung was the fourth son of Yungcheng. Among the sons of the Emperor, one of those by the Empress Consort might, other things being equal, be preferred ; next in order of choice come the sons of the Secondary Consorts, and next the sons of concubines ; but the son of a concubine might be preferred to others, and all are equally recognised as the sons of their father. Failing a son, the choice would be among the other princes of the Imperial family, but restricted ­ by the necessity, if possible, of going a generation lower in order that the selected prince might be adopted as THE CHINESE EMPIRE 50 the son of the decedent Emperor, and so be qualified to perform the due ceremonies before the ancestral tablets. This principle was violated on the death of Tungchih in January 1875, the present Emperor—adopted as his son and successor—being natally his father’s brother’s son ; and the coup d’état manqué of 1898 was based upon the alleged necessity of providing an Emperor of the next generation below, to carry on fitly the ancestral worship, and so to avert disaster from the Empire. Princes of the blood of the same generation have their first given name the same (as Albert Edward, Albert Henry, Albert Charles) ; the Emperor Tungchih was “ christened ” Tsai-shun, and his successor, the present Emperor, Tsai-tien ; in the next generation we have the heir presumptive, selected in 1898, Pu-chun, and the prince who went to St. Louis in 1903, Pu-lun. To his people the sovereign is “The Emperor,” “ His Sacred Majesty,” “ Lord of a myriad years,” “The Son of Heaven ” ; his personal name is never mentioned from the moment of his accession, and even its distinctive initial word must be avoided for ever thereafter, a synonym or a modified form being used : just as, for example, with a King Harry, now or at some past time during the present dynasty on the throne, it would not be permissible to “ harry ” the enemy, but some synonym, if possible one having a similar sound, would be used instead. Each Emperor selects a “ year indicator ” or “ reign title,” by which to indicate the years of his reign, 1906 being the thirty-second year of the period Kwanghsii (Continuation of Glory), and foreigners, from indolence, commonly use this reign title as if it were the personal name of the sovereign, ­ speaking ordinarily of His Majesty Kwanghsii. Under previous dynasties the Emperors frequently changed their reign title, but this has happened only once under Mancho rule—in 1861, when the first reign title of the infant Emperor ­ was changed, concurrently with a coup d’état, from Kisiang (Favoring Fortune), to Tungchih (Peace and Order). On his death the Emperor is canonised, and receives ­ a temple name, by which he is known in history ; the THE GOVERNMENT 5% temple name of the Emperor we know as Tungchih is Mu-tsung Yi Hwang-ti, “ Our Reverent Ancestor the Bold Emperor." The Emperor’s writ runs throughout the extent ­ of his dominions, and his edicts and rescripts are the law of the Empire ; this is true also of the writs and Orders in Council of the King of Great Britain and Ireland, and the restrictions on the acts of the two sovereigns differ only in degree and kind. The Emperor is bound, in the first place, by the unwritten constitution of the Empire, the customs which have come down from time immemorial, through generations of both rulers and ruled, and further by established precedent as defined in the edicts of his predecessors, even those of previous dynasties. Then he is bound by the opinions and decisions of his Ministers, whose position and weight differ from those of Ministers of constitutional monarchies only in the mode of their selection and retention in office. Finally, shut up within the walls of his palace, he is more sensible of the daily pressure brought to bear upon him by his personal entourage ­ than his brother sovereigns in the West ; but it must be said of the Manchu rulers that eunuchs have had less influence at Court than under previous dynasties. A strong Emperor may assert his own will, and, given a suitable opportunity and a justifying emergency, may override the constitution as Abraham Lincoln did under similar circumstances ­ ; but when an ordinary ruler tries it, the result is what happened in 1898, when the present Emperor undertook ­ to modify in a few months the development of many centuries, and impetuously instituted reforms for which the Empire was not then ready. The Emperor is also the source of honors and of office ; but this is no more literally true in China than in any other country where patronage is exercised ­ from above. The Empress Consort is chosen by the Emperor (with perhaps some forcing of the cards) from a bevy of candidates ­ selected by his Ministers from the families of Manchu nobles ; and from the same selection, then or later, he chooses Secondary Empresses, not commonly exceeding 52 THE CHINESE EMPIRE four in number. The concubines are not limited in number by any law or custom, and are selected from the daughters of Manchu nobles and freemen. The Dragon is the armorial emblem of the Emperor, and the Phoenix of the Empress Consort, and her title of respect is “ Mother of the State." When the Emperor Hienfeng (properly Wentsung Hien Hwangti) died in 1861, he left only one son, five years old, to succeed him, born, not of the Empress Consort, but of the Secondary Empress, the present Empress Dowager. Motherhood is divine in China, and it was quite in accordance ­ with law and custom that the Regency over the infant Emperor should be exercised jointly by the Dowager Empress Consort (the “ Eastern Palace,” the east or left being the side of honor), and the Empress Mother (the “ Western Palace ”). Only one of the two, however, had capacity for government, and the Semiramis of the Far East, the Empress Mother, exercised alone the real power, even before the death in 1881 of her colleague in the regency, supported then and after by the counsel of Prince Rung, brother of Hienfeng. The regency was determined in 1873» when the young Emperor, Tungchih, then seventeen years old, was declared of age, and was again resumed in 1875 (January), on the death of Tungchih and the accession of the infant Kwanghsii ; it was again determined in 1889, and again resumed in 1898 ; and the rule of this woman of seventy-one over the youth of thirty-five, her nepheW' adopted-grandson, is strengthened by the capacity of the ruler, the necessity of the state, and the devoted reverence due to parents and grandparents. The Imperial Clansmen are those who can trace their descent back directly to the founder of the dynasty, Hien' tsu, 1583-1615, and are distinguished by the privilege of wearing a yellow girdle : collateral relatives of the Imperial house are privileged to wear a red girdle. The titles of nobility conferred on members of the Imperial house are of twelve degrees. Sons of an Emperor are created Tsifl' wang or Kiin-wang, Prince of the first or second order ) their sons descend to Bei-leh, Prince of the third order ; and THE GOVERNMENT 53 their sons to Bei-tze, Prince oí the fourth order (Prince Pu-lun is of this rank) ; then come four grades of Duke and four of Commanders, until, in the thirteenth generation, the descendants of Emperors are merged in the ranks of commoners, distinguished only by their privilege of the yellow girdle. The Hereditary Nobility do not descend in rank with each succeeding generation. Chief among them are the eight “ Iron-capped ” (or helmeted) Princes, direct descendants ­ by rule of primogeniture of the eight princes who cooperated ­ in the Conquest of China ; to them is added the descendant of the thirteenth son of Kanghi. Certain Chinese families also enjoy hereditary titles of nobility, chief among them the Holy Duke of Yen (the descendant of Rung Fu-tze or Confucius), Marquis Tseng (from Tseng Kwo-fan), Earl Li (from Li Hung-chang) : none of these titles carry with them any special privileges. II. Metropolitan Administration Of the central government of China, Mayers * says : “ The central government of China, so far as a system of this nature is recognised in the existing institutions, is arranged with the object rather of registering and checking the action of the various provincial administrations, than with that of assuming a direct initiative in the conduct of affairs. . . . Regulations, indeed, of the most minute and comprehensive character, are on record for the guidance of every conceivable act of administration ; and the principal ­ function of the central government consists in watching over the execution of this system of rules. The bestowal of the higher appointments of the civil and military services, and the distribution of the superior literary degrees as rewards for proficiency in the studies upon which the entire polity of the Empire is based, comprise the remainder of * “The Chinese Government,” by W. F. Mayers, 1878. 54 THE CHINESE EMPIRE the attributes reserved to the government established at Peking. The central government may be said to criticise rather than to control the action of the twenty-one provincial ­ administrations, wielding, however, at all times the power of immediate removal from his post of any official whose conduct may be found irregular, or considered dangerous to the stability of the State.” These words strike the keynote for the part played by the Emperor’s Ministers at the capital ; but, written in 1877, they take too little account of the centralising policy forced upon the government by the importance of its foreign relations, and facilitated by the improvement in the means of communication. In its pristine form the government was, a generation only back, as Mayers describes it. When Lord Napier first introduced the element of national sovereignty into China’s foreign relations, he found no member of the central administration or envoy of the Emperor to deal with ; he was not even allowed to come in touch with the Viceroy or the Governor at Shiuhing, but was ordered to communicate through the authorities at Canton, the Co-Hong and the Hoppo. The British treaty of 1842 was signed by the Tartar General of Canton and the Lieutenant-General of Chapoo, who, being responsible for resistance to aggression on the coasts of Kwangtung and Chekiang, transferred their headquarters to Nanking to settle matters with the aggressor ; and to them was joined in the signature, though not mentioned as plenipotentiary in the preamble, the Viceroy at Nanking, within whose jurisdiction the negotiations for peace were conducted ; no envoy was sent direct from the central government. The American treaty of 1844 was negotiated and signed by the Viceroy at Canton (who alone was named in the preamble) and the Tartar General ; and the French treaty, later in the same year, was signed by the Viceroy alone, the Mancfin Commandant having meantime died. Then ensued & period of foreign friction ending in the second war ; and the four treaties negotiated in 1858—the British, French, American, and Russian—were signed by two members of the THE GOVERNMENT 55 central administration, both Presidents of Boards, and one of them a Grand Secretary of State. The hammering of twenty years had welded the Empire together, and the Imperial Government was compelled, in its foreign relations, to act as ruler and not as mere supervisor, and to adopt a more centralised policy. This policy was made the more necessary from the disorganisation ­ into which the provincial administration was thrown by the Taiping rebellion ; and the tendency was increased by the practice of the foreign envoys in demanding that all important questions, in the settlement of which by the Consuls and the local authorities any difficulty presented itself, should be referred to the capital, and there settled between themselves and the Imperial Ministers ; and the decisions based on such settlements went down to the provinces as orders from Peking. By degrees, as the result of this innovation, the Tsungli Yâmen, which had been organised in 1861 as a Ministry of Foreign Affairs, tended more and more to become a body of Cabinet Ministers and to displace the Grand Council. The first members, in 1861, were Prince Rung, uncle of the Emperor ; Kwei Liang, Grand Secretary, who had negotiated the treaties of 1858 ; and Wen Siang, then Vice-President of the Board of War. This number was increased, until, in 1876, there were eleven members, including Prince Rung, as President, including also all the members of the Grand Council, and including none who were not of the Grand Council or were not President or Vice-President of a Board. Thus was developed a Cabinet, in the sense common ­ to the British, American, and French systems ; and the compulsory substitution, in 1901,0t a Board of Foreign Affairs and abolition of the Tsungli Yâmen, leaving the government without a corporate head, caused the resumption by the Grand Council of its active functions as the deliberating ­ and deciding Cabinet of the Emperor, and the executive head of the government. The Grand Council, however, inherited the centralised power of the old Tsungli Yâmen, and the orders emanating from Peking were more direct THE CHINESE EMPIRE than of old. In the old days, too, communication was slow, and two or three months might elapse before the authorities at Canton could receive a reply to their request for instructions, ­ with the result that much must be left to the man on the spot. The introduction of steamers brought Canton, Nanking, and Hankow, the seats of the most important ­ Viceroyalties, within a week of the capital ; and the extension of the telegraphs, which directly resulted from the Russian difficulty of 1880, brought the most remote of the high provincial authorities into immediate touch with the central administration, and furthered the centralisation which had already become established ; and now the Empire is ruled from Peking to an extent unknown while China still played the hermit. The powers of the central administration are distributed among several Ministries and numerous minor departments ; but here, only those having a direct influence in shaping the policy of the Empire will be described. Moreover, as this book is a record of the past and present, and does not forecast the future, it is right, in these days of rapid transformation of a hitherto immovable Empire, to state that this chapter was written in October 1906. In the Imperial administration ­ there are two superior Councils. The Nui-Ko, Inner Cabinet, commonly called Grand Secretariat, was the Supreme Council of the Empire under the Ming Dynasty, but since the middle of the eighteenth century has degenerated into a Court of Archives. Active membership is limited to six, and confers the highest distinction ­ attainable by Chinese officials. The Grand Secretaries ­ have the title of Chung-tang, “ Central Hall ” (of the Palace), the best known in recent years being Li Hungchang ; under the Ming Dynasty they were designated Ko-lao, “ Elders of the Cabinet " (the Colao of the old Jesuit narratives). Six honorary titles were once attached to the Grand Secretariat—Grand and Junior Preceptor, Tutor, and Guardian ; but of these the last only is now conferred as Junior Guardian of the Heir Apparent, and that not limited to one incumbent or to Grand Secretaries. THE GOVERNMENT 57 One of the latest to receive the distinction is Sir Robert Hart, who is thereby entitled to be addressed as Kung-pao, “ Guardian of the Palace.” ,, The Kün-Ki-chu, “ Committee of National Defence or “ Board of Strategy,” commonly called the Grand Council, is the actual Privy Council of the sovereign, in whose presence its members, not usually exceeding five in number, daily discuss and decide questions of Imperial policy. Its members usually hold other high offices, generally ­ that of President of a Board. The Tsungli Yâmen, described before, was organised in 1861 and abolished in 1901. The posts of Imperial Superintendents of Trade for the Northern Seas (the Viceroy at Tientsin), and for the Southern Seas (the Viceroy at Nanking), created also in 1861, have continued to be held and their functions exercised by those officials. The actual administration of Imperial affairs is in the hands of the “ Six Boards,” now nine in number *— viz. : i. Li Pu, Board of Civil Office, the dispenser of patronage, controlling appointments to all posts in the regular hierarchy from District Magistrate (Hsien) up. K 2. Hu Pu, Board of Revenue, controls the receipt and expenditure of that portion of the revenue and tribute which comes to Peking, or is under the control of the central administration. ! 3. Lee Pu, Board of Ceremonies, an important Ministry at an Asiatic Court. 4. Ping Pu, Board of War, controls the provincial \ forces only. The Manchu military forces are controlled ­ by their own organisation attached to the Palace. This Board also controls the courier service. : 5. Hing Pu, Board of Punishments, a department of Justice for the criminal law only, and dealing especially with the punishment of officials guilty of malpractices. * See Appendix A. 58 THE CHINESE EMPIRE 6. Rung Pu, Board of Works, controlling the construction and repair of official residences throughout ­ the Empire, but having no concern with canals or conservancy, roads or bridges. The new Ministries additional to the old “ Six Boards " are the following : 7. Wai-wu Pu, Board of Foreign Affairs, instituted in 1901 in succession to the Tsungli Yâmen. 8. Shang Pu, Board of Commerce, instituted in 1903. 9. Hioh Pu, Board of Education, instituted in 1903. These Boards are organised on the same plan. Each has two Presidents—Shang-shu, addressed as Pu-tang, “ Hall of the Board ”—of whom one is by law Manchu and one Chinese. (An edict issued in 1906 directed that this limitation ­ should no longer be observed.) Viceroys have, & officio, the honorary title of President of a Board, usually of the Board of War. Each Board has also four Vice-Presidents—Shih-lang, addressed as Pu-yuan, “ Court-yard of the Board "—two being Manchu and two Chinese (subject to the edict). Governors of provinces have, ex officio, the honorary title of Vice-President of a Board, usually of the Board of War. They all have an equipment of Secretaries, Overseers, Assistants, etc., quant, suff., and are divided into sub-departments according to their needs. Other departments of the Government exist at Peking, with functions not limited to any one Board or one branch of the affairs of State ; but only the more important need be mentioned. Tu-cha Yuan,“ Court of Investigation,” commonly called the Court of Censors. Viceroys have the honorary title of President, and Governors of Vice-President, of the Censorate. The “ Censors ” remind one somewhat of the Censors and somewhat of the Tribunes of Ancient Rome ; their duty is to criticise, and this duty they exercise without fear, though not always without favor, THE GOVERNMENT 59 Tung-cheng Sze, “ Office of Transmission,” deals with memorials to the Throne. Ta-li Sze, “ Court of Revision,” exercises a general supervision over the administration of the criminal law. Han-lin Yuan, “ College of Literature,” exercised control over the education of the Empire until superseded ­ by the Board of Education, and continues to exist as a memorial of a glorious past. It is also charged with the custody and preparation of the historical archives of the dynasty, but many of its records were burnt in 1900. III. The Provincial Administration It has been explained that the provinces, in actual practice in the past and in theory to-day, occupy a semiautonomous position vis-à-vis the Imperial Government \ m some aspects they may be said to be satrapies, in others to resemble the constituent states of a federation. Either comparison is too sweeping, however, without careful study of the differences. The comparison with states would be more exact if for “ state ” were substituted “ territory,” such as those of the American Union, which have their executive ­ and judicial officers appointed by the central power and removable at its pleasure, but have local autonomy for the levy of taxes and the administration of the law ; but in this comparison the difference must always be remembered between the Occident, which insists on local self-government, ­ and the Orient, which is always governed by the strong hand. The provinces are satrapies to the extent at (speaking of the past), so long as the tribute and matriculations are duly paid and the general policy of the central administration followed, they are free to administer en own affairs in detail as may seem best to their own provincial authorities. But no satrap has existed under the present dynasty since its first half-century, when Wu San-kwei was given the satrapy of Hunan and Kwangsi 6o THE CHINESE EMPIRE as a reward for his services in the conquest, and in the end had to be brought to subjection as a rebel against the sovereign power. With much latitude in the exercise of their power, many restrictions are imposed on the individual officials. All officials in the provinces, down to District Magistrate, are appointed from Peking ; for the lower posts the high provincial authorities may, and do, recommend ; but it is Peking which appoints, and it is only the central government ­ which can promote, transfer, or cashier. This keeps the provincial officials, from the highest to the lowest, in a proper state of discipline. Appointment to one post is made for a term of three years ; for Viceroys and Governors this limitation is often, even usually, disregarded, as when we see Li Hung-chang holding the Viceroyalty at Tientsin for nearly thirty years continuously ; but this exception is explained by the desire to utilise to the utmost the great experience of these high officials, and by the strong party backing which put them in their high positions, and which is strengthened by the patronage which is then at their disposal. For officials lower in rank the rule is almost universally followed ; they may be reappointed once, but at the end of their second triennial term at latest they must strike root afresh in new surroundings, and, incidentally» must again contribute to the maintenance of their superiors, as is explained in the next chapter. Another restriction is peculiar to China, and is never relaxed ; no official is ever appointed to a post in the province of his birth. The military are an exception, but they exercise little influence, and Manchuria is governed by Manchus ; otherwise the rule is invariable. The Chinese never voluntarily abandon the homestead, or surrender their interest in the ancestral shrine ; and every official is aU alien to the people he rules, often unable to understand the dialect they speak. He brings his family connections with him as secretaries and purveyors, and, if he is a Viceroy ° r Governor, he brings a bodyguard of his co-provincials, loyal to his person ; but otherwise he is surrounded by aliens. THE GOVERNMENT 6i No Hupeh man may hold an official post in Hupeh, nor Kiangsu man in Kiangsu. When Li Hung-chang left the Viceroyalty at Tientsin, the post to which he would naturally have gone was the other great Viceroyalty, that at Nanking ; but his native province, Anhwei, is in the Nanking Viceroyalty, ­ and he went to Canton instead. Tsen Chun-siian, a man of great force of character, native of Kwangsi, made a name as provincial Treasurer of Kwangtung, and was promoted to be acting Viceroy of Szechwan ; in 1903 he was the obviously indicated man to restore order in the Canton Viceroyalty, and was sent back there ; but though, as a Kwangsi man, he could rule at Canton as provincial Treasurer of Kwangtung, he could not be substantive incumbent at Canton of the Viceroyalty of which Kwangsi forms part, and went therefore as acting Viceroy ; in 1906 he was appointed substantive Viceroy to Yunnan. Another practice is a matter of policy rather than of rule, and is only possible in a country where all appointments are made by a central authority. Parties exist in China as in other countries, and as in other countries are as often the following of a man as of a principle. In the exercise of patronage at Peking the principle of divide et impera in the provinces is followed in this as in other ways The principle is that which animated Washington in the selection of his first cabinet, and may be understood if we suppose that in the United States the federal government appointed to any state a Republican as Governor, a Democrat as Lieutenant-Governor, a Republican as State Secretary, a Democrat as State Treasurer, and so on. For three decades from i860 there were two great parties in China, the Hunan men and their adherents, following Tseng Kwo-fan, and later Tso Tsung-tang, and the Anhwei men and their adherents, following ­ Li Hung-chang and Li Han-chang ; the former were generally conservative, and the latter generally, but moder-&tely, progressive, and the men of other provinces, disregarding ­ provincial lines, ranged themselves with one or other of these parties. Latterly the Canton party, ultraprogressive, ­ after a check in 1898, has again come to the Ó2 THE CHINESE EMPIRE front. In making provincial appointments care is always taken to balance these parties ; and in the general administration, ­ exercising their functions at the provincial capital, an official will seldom be of the same party as his immediate superior or his immediate subordinate, while the appointments to prefectures and magistracies will be fairly divided between the parties. This, of course, implies that the Emperor is able to maintain the same balance of influence in his Ministries, apart from the equilibrium maintained ­ between Manchu and Chinese. In the provinces further equilibrium is maintained by the occasional appointment ­ of Manchus, who are above party, and who number usually about a fifth of the official hierarchy. With all these balances and checks much more may be left to the local authority, and, so long as the province furnishes its quota towards the maintenance of the Imperial Government and preserves a semblance of order, or settles its disturbances with the means at its disposal, it is left to go its own way and to have a quasi-autonomy. But, whik these rights are granted and direct governance is reduced to a minimum, there is also an absence of direct oversight and of holding the provinces responsible for the due pet' formance of their duties. If a breach of the Yellow Rivet occurs in Honan, the Honan authorities must attend to it > but it is no part of their duty to so direct the work of re' storation that the adjoining province of Shantung shall not suffer ; that is the concern of the Shantung authorities If a rebellion in Kwangsi is held in check, and the rebels cornered, escape across the Hunan border, “ e’en let hi# go, and thank God you are rid of a knave ” ; they are the# the affair of the Hunan authorities. Salt smugglers on the border between Kiangsu and Chekiang have a merry tin# dodging back and forth across the border, and are brought to book only on the rare occasions when the two provinces loyally join forces. This will be remedied with the further centralisation of power ; but we are dealing with China as it has been and is. The administrative organisation of each of the provinces THE GOVERNMENT 63 is much the same, and the duties of each of the officials will now be described. Tsung-tu, commonly called Chihtai, Governor-General, ordinarily styled Viceroy, though there is nothing in the office or its title of the viceregal idea. As ex officio President ­ of a Board, he styles himself and is addressed as Putang. He is the highest in rank of the civilian officials of the provincial administration, but in theory ranks after, though he is not subordinated to, the Tartar General, when one is stationed within his viceroyalty ; and he has control over the military forces, other than the Manchu garrison, within his jurisdiction. In some cases he is actually Governor, ­ though with the power and rank of Governor-General, of one province only ; in others he has jurisdiction over two or three provinces, each of which has (by the old theory), its own Governor ; and still other provinces, each with its Governor, are subordinated to no Governor-General. The distribution is shown by the following table, in which “ ex~ Governor ” indicates that a Governor was installed up to 1905, in which year an Imperial edict abolished the Governorship ­ of those provinces in which a Viceroy had his seat. Metropolitan Province :— Chihli .. no Governor Chihli (Tientsin) Viceroy. Three adjoining Provinces :— Shantung .. Governor Shansi .. Governor J under no Viceroy. ­ Honan .. Governor Outlying Provinces :— Kiangsu .. Governor* Governor* Governor Governor Governor Shensi .. Governor ) Shen-Kan Vic Kansu .. no Governor J roy. * Not abolished, because the provincial capital, seat of 1 Governor, is Soochow, while the Viceregal residence is Nanking. Anhwei Kiangsi Shensi Kansu roy. capital, seat of the Viceroy. Shen-Kan Vice- 6 4 THE CHINESE EMPIRE Fukien Chekiang Hupeh Hunan Szechwan Kwangtung Kwangsi Yunnan Kweichow ex-Governor ) Governor j ex-Governor ) Governor f no Governor ex-Governor ) Governor | ex-Governor ) Governor J Min-Che Viceroy. ­ Hu - Kwang Viceroy. Szechwan Viceroy. ­ Liang - Kwang Viceroy. Yun-Kwei Viceroy. ­ For the Eighteen Provinces there are thus eight Viceroys, and originally fifteen Governors, now reduced to eleven-The Viceroy, though of higher rank and looming larger in the eyes of the world, is in the provincial administration a superior colleague to the Governor, and in all matters, orders to subordinates or memorials to the Throne, the two act conjointly. SÜN-FU, commonly called Futai, the “ Inspector " or Governor ; addressed as Pu-yuan by virtue of his Vice-Presidency of the Board of War. He is the supreme head of the province, except in so far as his action is restricted by the presence of a Viceroy. The post has been abolished (in 1905) in those provinces in which a Viceroy resides. Pu-cheng Shih-sze, commonly called Fantai, Provincial Treasurer, with some of the functions of a Lieutenant-Governor. ­ He is the nominal head of the civil service in each province, in whose name all patronage is dispensed, eve# when directly bestowed by the Governor, and is treasurer ^ the provincial exchequer, in this capacity providing th e Imperial Government with a check on his nominal superior the Governor. An-cha Shih-sze, commonly called Niehtai, Provincial Judge. He is charged with the supervision over the criminal law, and acts as a final (provincial) court of app ea in criminal cases, and has jurisdiction over offences by p 1 ' 0 ' vincial officials. He also supervises in a general way Imperial courier service. THE GOVERNMENT 65 Yen-yün Shih-sze, Salt Comptroller, in some provinces, and Yen-yün Tao, Salt Intendant, in other provinces, control ­ the manufacture, movement, and sale of salt under the provincial gabelle, and the revenue derived from it. Liang Taó, Grain Intendant, in twelve of the eighteen provinces, controls the collection of the grain tribute, in kind or commuted. The last four officials, the Sze-Tao (or as many of them as maybe found in the province) next below the Governor, constitute ex officio the Shan-how Kü, “ Committee of Reorganisation,” ­ a deliberating and executive Board of provincial ­ government ; and the six enumerated above form the general provincial administration, residing at the capital, except that the Chihli Viceroy now (since 1861) resides at Tientsin, and the Liang-Kiang Viceroy has his seat at Nanking. Below the Fantai in rank and above the Niehtai is the Ti-hioh Sze, Commissioner of Education, a new post created on the institution of the Hioh Pu in 1903. This is not an administrative post, and its incumbent is not a member of the Shan-how Kü. The unit for administrative purposes within the province is the Hsien, or district, as will be explained below ; two or three or more (up to five or six) districts collectively form a Fu or prefecture ; and two or more prefectures are placed under the jurisdiction of a Taotai. There are also two other classes, the Chow and Ting, each of two kinds ; the Chow and Ting proper are a superior kind of Hsien, being component parts of a Fu ; the Chihli-chow and Chihli-ting are an inferior kind of Fu, both having as direct a relation to the provincial government as a Fu, but the latter distinguished ­ from the Fu by having no Hsien subordinated to it. Fen-sün Tao, the “ Sub-Inspector,” commonly translated ­ Intendant of Circuit, and usually called Taotai ; has administrative control over a circuit comprising two or three Fu, or sometimes one or two Fu and a Chihli-chow or a Chihli-ting, and is in certain matters the intermediary 5 66 THE CHINESE EMPIRE of communication between them and the provincial government ­ ; but the circuit is not an official division of the province, and is nowhere marked on any map. He is the civil authority in control of the military forces within his jurisdiction, and as such is distinguished from Salt and Grain Taotais by the title Ping-pei Tao, “ the Taotai (in charge of) military preparation." He is usually the Superintendent ­ (colleague of the Commissioner) of the Custom House, if any, within his circuit, and is then styled Kwan Tao, “ Customs Taotai ” ; but this is not the case in the Kwangtung ports, where formerly the Hoppo, and since 1904 the Viceroy, is Superintendent, nor in the Fukien ports, of which the Tartar General holds the post. At Tientsin there is a special Customs Taotai in addition to the territorial Taotai. Chih-Fu, the “ Knower of a Prefecture," commonly translated Prefect. He is supervising officer of the largest political division within a province, the Fu, of which each province has from seven to thirteen, with a total of 183 for the Eighteen Provinces. He deals more with the external relations of his Fu than with its internal administration, and is more a channel of communication than an executive officer, but acts as a court of appeal from the Hsien' 5 court. He has no separate Fu city, but the Hsien city in which he resides is known generally by the Fu name, though on Chinese maps both the Fu and Hsien name 5 are printed. Tung-Chih, the “ Joint Knower " or Deputy Prefect, i 5 either in charge of a Chow or Chihli-ting, or exercises the delegated power of a Prefect in a branch of his functions, such as maritime defence, water communications, control of aboriginal tribes, etc. Tung-pan, Assistant Deputy Prefect, holds office under the Prefect, in charge of police matters, revenue, etc. Chih-Chow, “ Knower of a Chow," is either in charge of a Chihli or independent Chow, with prefectural functions, and subordinated to no Prefect but reporting direct to the provincial government ; or is, like a Tung-chih of the first KM Æ P üü < O O 5 THE GOVERNMENT 67 class, in charge of a subordinated Chow. Under this grade are also Chow-tung and Chow-pan. Chih-Hsien, “ Knower of the Hsien,” or District Magistrate, whose functions will be described below. In the Eighteen Provinces there are 1,443 Hsien and 27 in Manchuria, making 1,470 in all. Below the Chih-hsien are subordinate officials—Deputy Magistrate, Sub-Deputy Magistrate, Superintendent of Police, Jail Warden, etc., etc., but they have no independent status. The “ Fu Chow Hsien ” constitute the general administrative ­ body of the provincial civil service. They are charged in varying degrees with the collection of revenue, the maintenance of order, and the dispensation of justice, as well as with the conduct of literary examinations and of the government courier service, and in general with the exercise of all the direct functions of public administration. A specimen proclamation, given by Mr. Parker,* well illustrates the gradations of rank of the provincial officials from highest to lowest. “ The Magistrate has had the honour to receive instructions from the Prefect, who cites the directions of the Taotai, moved by the Treasurer and the Judge, recipients of the commands of their Excellencies the Viceroy and Governor, acting at the instance of the Foreign Board, who have been honoured with His Majesty’s commands. . . . [commands end.] Respect this. Duly communicated to the Yard, or Yards [end of line], who command the sze [end of line], who move the tao [end], who instructs the fu (end), who sends down to The Hsien, etc. [Note how the Hsien, as imperial agent, gives himself capital letters.] We therefore enjoin qnd command all and several, etc.” The same gradation is also exemplified in the accompanying ­ diagram, in which, however, the exigencies of space require the apparent subordination of the Taotai to the Sze, while he is actually “ with but after ” the Sze. His-* “China, Her History, etc.,” by E. H. Parker, 1901. 68 THE CHINESE EMPIRE torically the Governor is an interloper, dating back only to the Ming Dynasty, being originally a visiting inspector delegated by the Imperial Government to supervise and report on the working of the provincial administration, but tending by degrees to become a fixture ; in some important functions of government the Pu-cheng Shih-sze, the original Governor, the present Provincial Treasurer, still in theory remains the chief. The Viceroy dates back only to the last century of Ming rule. The Taotai is still more modern, dating from the beginnings of the present dynasty. So is the Fu, but historically he is the modern representative of the thirty-six provincial rulers of the Tsin dynasty (b.c. 221) and of the Han which followed it. The Chow is also a modem revival, representing the rulers of provincial areas (Chow) instituted b.c. 140. The Hsien is perhaps the oldest. A few words must be said on the functions of government in the provinces which are not provided by the official hierarchy. Every Chinese official is supposed to be qualified to undertake every branch of human enterprise, from railway engineering to street scavenging, from the interpretation ­ of the law to the execution of criminals, and to accept full responsibility for the consequences of his acts or the acts of his subordinates. In effect, however, this Jack-of-all-trades attitude is offset by the natural wish fof expert aid, and by the equally natural tendency to create a gainful office whenever possible. Extra-official functions are delegated by the responsible officials, just as in Massachusetts ­ the elected executive delegates certain of his functions to police, railway, insurance and charity commissions ­ nominated by himself—i.e. by the exercise of patronage. In China this delegated employment is actually so-called, chai-shih ; and the Director of an arsenal controlling ­ the expenditure of millions, the officials of the likin collectorate, the Viceroy’s adviser on international or on railway matters, and a deputy who does little mor e than carry messages, are alike in theory only the delegates ad hoc of the appointing power. These unofficial official 5 THE GOVERNMENT 69 are selected from the official class, the class known as “ expectant ” Hsien, Fu, or Tao men qualified to serve in the posts for which they are expectant, inscribed on the register of the Board of Civil Office, but not yet nominated to a substantive post. Entry to this state of expectancy is in theory the result of examination in literature ; this is a glorious tradition ; a hundred years ago it was in the main probably true, but to-day money and political influence are the keys which open the gates of political preferment. IV. The Township and Village The Hsien is the civic, political, judicial and fiscal unit of Chinese life ; it comprises one walled city,* or in the case of many of the provincial capitals the half of a walled city (in the case of Soochow the third of the city), with the country immediately around it. In it every Chinese subject is inscribed, and this inscription he does not willingly forfeit or abandon, no matter to what part of the Empire or of the outer world his vocation may call him. Here is his ancestral temple if he is of the gentry, his ancestral home in any case ; here will he return, if permitted, in the evening of his life, and here will his bones be sent should he die abroad. During the whole of his life he is identified with his Hsien ; it may be convenient, and may elucidate his political policy, to speak of Li Hung-chang as an Anhwei man, but to his fellow-countryman he is the Hofei (hsien) man. The official head of this district is the Chih-hsien, who may be called Mayor, if it be understood that the municipal limits extend until they meet the territory of the adjoining municipalities. His official salary may be from Tls. 100 to Tls. 300 (£15 to £50) a year, with an allowance “ for the encouragement of integrity among officials ” amounting to three or four times his salary ; the emoluments of his * The cases of cities without walls, in outlying corners of the Empire, are so very few as not to affect the general statement. THE CHINESE EMPIRE 70 office, however, may be from a hundred to a thousand times his nominal salary, but from them he has to provide for the maintenance of his subordinates and his superiors, as is explained in the next chapter. He is appointed to his post generally from the list of expectants, either because he is the son of his father, or because of a sufficient contribution to what in Western countries would be the party campaign fund, or because of good work done in a Chai-shih ; occasionally, ­ even now, a high scholar is appointed because of his scholarship, but it is seldom to a lucrative post. To the different districts of the Empire are applied, according to the facts of the case, none or one or two or three or all of the four qualifying adjectives, “ busy, troublesome, wearisome, difficult.” * The Hsien is duly equipped with Treasurers, Collectors, Secretaries, Clerks, Jailers, Runners, Constables, etc., many of whom hold their position by hereditary right or custom ; but an official in China, though he may delegate his functions, can never delegate or absolve himself from responsibility, and the Hsien is personally responsible for every act of what we may call the municipal government. He is everything in the municipality, and some of the most important of his functions must be described. The judicial function is the most important. He is Police Magistrate, and decides ordinary police cases. He is Court of First Instance in all civil cases ; the penalty foi taking a case first to a higher court is fifty blows with the bamboo on the naked thigh ; appeal from his court lies to the Fu, and by that time the resources of the litigants a# usually exhausted. Civil cases are usually settled by the guilds in towns, and by village elders or by arbitration of friends in the country ; but they may come before the official tribunal, when the plaintiff wishes his pound of flesh and the blood of his victim as well. The Hsien is also Court of First Instance in criminal cases, though a first hearing may for convenience be held by an Assistant MagiS' * “ The Office of District Magistrate in China,” by Byron Brenafl* Journal, China Branch of the Royal Asiatic Society, 1898. THE GOVERNMENT 71 trate ; appeal lies to the Fu and cases involving the death penalty are reviewed by him ; death warrants are signed by the Niehtai, except in case of rebellion or of riot capable of being stigmatised as such, when summary justice is inflicted. Appeal from the death penalty may also, and in the case of officials does, go to the Hing Pu at Peking. The Hsien is also coroner, with all the duties of that office, and hears suits for divorce and breach of promise ; he is also prosecuting attorney, while a defendant may employ a lawyer only to draw up his plea, but not to conduct his defence ; he is also sheriff to execute all judgments of his own or a superior court ; and is jail warden, responsible for the custody and maintenance of prisoners before and after trial. If there is any part of the judicial function which has been omitted, he is responsible for that too. The fiscal function comes next in importance. As is explained in the next chapter, the Hsien is the agent of the provincial and of the Imperial administrations in collecting the land tax and the grain tribute, but he has no concern with the special tributes or with the salt gabelle or likin ; with them his sole connection is the duty of protecting the collectors. He is also Registrar of Land, and the system of verification ­ is so thorough that a deed of sale certified by his seal may be accepted as a warranty of title. He is Famine Commissioner for his district. It is his duty to see that the public granaries are kept full, and to distribute relief in time of distress. He is also Moth and Locust Commissioner to combat those plagues, and, except along the Yellow River, is solely responsible for the prevention ­ of floods and reparation of their damage. He is the local representative of the Rung Pu, and the Provincial Treasurer in the custody of official buildings, and sees to the maintenance in order of city walls,* prisons, official temples, and all other public buildings ; • and must * In cities like Soochow, divided between two or three Hsien, the maintenance of the walls is not also divided, but is entrusted to the superior officer, the Fu. THE CHINESE EMPIRE 72 maintain the efficiency and provide for the expenses of the Government courier service from border to border of his district. From his own funds he must execute such repairs as are ever effected to bridges and the things called roads, must see that schools are maintained, and must call upon the wealthy to contribute for public and philanthropic purposes. He maintains order, sees to the physical wellbeing ­ of his district, and is the guardian of the people’s morals. These are the principal functions of the Mayor of the Chinese municipium, and under the paternal government of this “ Father and Mother of the People ” the ruled might be expected to be a body of abject slaves. This is far from being the case. In most countries the people may be divided into the law-abiding and the lawless ; in China a third division must be noted—those who, though innocent of offence, come within the meshes of the law through the machinations of enemies. This, however, only serves to redress the balance, since the Chinese are essentially a law-abiding people, and in the country, at least, are guilty of few crimes below their common recreations of rebellion and brigandage. These they indulge in periodically when the harvest is in, if for any reason, such as flood or drought, the crops have been deficient ; but, apart from this and apart from the regular visits of the tax-collector, it ft doubtful if the actual existence of a government is brought tangibly to the notice of a tenth, certainly not to a fifth, of the population. The remaining eighty or more per centlive their daily life under their customs, the common laW of the land, interpreted and executed by themselves. Each village is the unit for this common-law government, the fathers of the village exercising the authority vested m age, but acting under no official warrant, and interpreting the customs of their fathers as they learned them in theft youth. The criminal law is national ; but, with a more or less general uniformity, each circumscription has its own local customs in civil matters. Questions of land tenure» of water rights, of corvées (when not Imperial), of tempft THE GOVERNMENT 73 privileges, of prescriptive rights in crops, may, in details, differ from district to district, will probably differ from En to Fu, and will certainly differ from province to province. Such differences are, however, immaterial ; the man of the country knows possibly only his own village and is not concerned with any district other than his own. That local custom in an adjoining district would alienate from him the foreshore accretion to his own farm concerns him but little, if the custom of his own district grants it to himself ; while the resident in the former does not think of claiming rights which were never claimed by his fathers. In matters of taxation, too, custom is the guiding principle. The government and the tax-collector are always trying to get more ; this is understood ; but the people, strongbased on custom, maintain an unending struggle to pay this year no more than they paid last year, and increment is wrung from them only after an annually renewed contest. In case of a general and marked increase the struggle is more pronounced, and may lead to riot and arson in the case of villagers, and in the case of traders to the peculiarly Chiuese method of resistance, the “ cessation of business,” a combination of lock-out, strike, and boycott—a strong weapon against the magistrate, whose one aim is to serve his term without a disturbance sufficiently grave to come to the notice of his superiors. The official head of the village is the Tipao, “ Land Warden,” nominated by the magistrate from the village elders, but dependent upon the good will of his constituents. Several small villages may be joined under one Tipao, and a large village will be divided into two or three wards, each with its Tipao ; while a village which, as is often the case, consists of the branches of one family holding its property in undivided commonalty, will have naturally as its Tipao the head of the family. The Tipao acts as constable, and is responsible for the good conduct and moral behavior of every one of his constituents ; he is also responsible for the due payment of land tax and tribute. He is the official land-surveyor of his village, and has the duty of verifying 74 THE CHINESE EMPIRE titles and boundaries on every transfer of land ; and the fees and gratuities from this, and the power over his fellowvillagers given by the other duties of the post, endow the Tipao with so much local importance, that the old communal ­ theory is lost to a great extent, and the appointment is often in practice a matter of purchase. The town is considered a collection of villages, being divided into chia, “ wards,” each with its Tipao, whose duties are the same as those of his country colleague. The town has, however, its commercial questions, but these are almost, if not quite, invariably settled by the Guild concerned, in accordance with guild rules, and are seldom brought to the cognisance of the officials. Of the relations between town and country it may D® said that the interests of the countryman, peaceful and law-abiding, are sacrificed to those of the town dweller 5 rowdy and competitive. The direct taxes, land tax and tribute, are assessed on rental value for farming land, and town property is subjected to no great increase from thi 5 rating. The movement of food supplies, too, is prohibited or sanctioned, not according to the interests of the producing farmer, but to meet the needs of the consuming townsman The Army The military organisation of the Chinese Empire 15 divided into two branches, the Manchu and the Chinese. MANCHU MILITARY ORGANISATION Dating from the time of the Manchu conquest during the first half of the seventeenth century, the Mand^ " nation in arms ” has been divided into eight “ Banners» three superior and five inferior. The three Superior Banne fS are : (i) The Bordered Y ellow (yellow being the color 0 the Imperial family) ; (ii) The Plain Yellow ; and (iii) T^ e Plain White. The five Inferior Banners are : (iv) T^j Bordered White ; (v) The Plain Red ; (vi) The Bordeé THE GOVERNMENT 75 Red ; (vii) The Plain Blue ; and (viii) The Bordered Blue. Each of the eight Banners is further divided into three “ nations "—viz., (a) Manchu, (6) Mongol, and (c) Chinese, the last consisting of the descendants of the natives of North China who joined the Manchu invaders during the time of the conquest. Just as every Chinese is inscribed in his native district, in which he is liable (in theory) to tribute while living, and to which his bones are taken when dead, so all living Manchus and all descendants of the Mongol and Chinese soldiery of the conquest are inscribed in their proper Banners, under which they (are supposed to) fight to maintain the conquest and receive their quota of the tribute and other (theoretic) benefits of the conquest. Each Banner (Ki) has for each of its nations (Kusai) a Lieutenant-General (Tutung), a Deputy Lieutenant-General (or Brigadier), and Adjutant-Generals, two each for the Manchu and Chinese, and one for the Mongol nation of the Banner. Each Banner is divided into regiments (chala), five Manchu, five Chinese and two Mongol, each with its Colonel (Tsanling), Lieutenant-Colonel, and Adjutant. Under them are Captains (Tsoling), each charged with command and supervision over 70 to 100 households of the Banner, Lieutenants, and Corporals. The main force of the eight Banners is “ encamped ” in Manchuria and in and around Peking, and is provided in the capital with rations drawn from the tribute rice, of which some two million piculs (125,000 tons) are received annually. Outside Peking is the “ military cordon " of twenty-five cities of Chihli, at which are settled military colonies drawn from the eight Banners. Outside these, again, are the provincial garrisons. When the conquest was completed, the Manchus had the good sense to associate the Chinese with themselves in the government of the empire, and to hold the country by garrisons stationed at a few strategic points ; and, in the original scheme, the garrisons in the provinces made a total of half the garrison of the capital. Of the provincial garrisons about half were in a northern belt, designed partly 76 THE CHINESE EMPIRE as an outer defence to the capital, partly to look out on Mongolia ; these are at the following places :— Shantung : Tsingchow and Tehchow. Honan : Kaifeng. Shansi : Kweihwa, Suiyuan, and Taiyuanfu. Shensi : Sianfu. Kansu : Ninghia, Liangchow, and Chwangliang. The garrisons designed primarily to hold down the conquered Chinese were stationed at the following places : Szechwan : Chengtu. Hupeh : Kingchow (guarding the outlet of the Yangtze Gorge). Kiangsu : Nanking, with sub-garrison at Chinkiang-Chekiang : Hangchow, with sub-garrison at Chapu, once its seaport, now silted up. Fukien : Foochow. Kwangtung : Canton. In six provinces there are no garrisons—five of them # the air strategically, Kiangsi, Hunan, Kweichow, Yunna* 1 and Kwangsi, and the sixth, Anhwei, being until Kangh* 5 time administratively part of Kiangsu. In each of the eleven provinces thus constituting th e Marches of the Manchu Empire is stationed a Warden 0 the Marches, the Manchu Generalissimo or Field MarsW (Tsiang Kiin), commonly called Tartar-General, rankñté with, but before the Viceroy or Civil Governor-General, generally interfering with the civil government, but, though now innocuous, originally able to impose his will upon b 1 * civilian colleague. Notwithstanding his high rank, he h&* now no more power or influence in the defence of the Emp ire than the Warden of the Cinque Ports has in that of England CHINESE MILITARY ORGANISATION Apart from the effete Manchu army, the military force* of the Empire may be divided into two classes : (a) tb e ineffective official army under military command ; (b) tb e effective unofficial army under civilian command. Tb e THE GOVERNMENT 77 official army, constituting the provincial militia, is designated the Army of the Green Standard, and in the coast and riverine provinces is divided into land and water forces. The greater part constitutes the Ti-piao or Commander-in-Chief’s force, being under his direct command ; a small body constitutes the Fu-piao, or Governor’s command ; and, where there is a Governor-General, there is also a Viceroy’s command, Tu-piao. The army divisions are territorial, the province being the highest unit. The provincial Commander-in-Chief is the Titu, commonly styled Titai and addressed as Kimmen (“ Gate to the Camp ”). The forces under his command are divided into brigades, chen-piao, under the command of a Brigadier, Tsungping, commonly styled Chentai. The brigades are divided into territorial regiments, hieh, under a Colonel, Futsiang, commonly styled Hiehtai ; and these again into battalions, ying (or “ camps ”). Under the Hiehtai are Lieutenant-Colonel (Tsantsiang), Major (Yuki), Senior Captain (Tusze), Junior Captain (Showpei), Lieutenant (Tsientsung), Sergeant (Patsung). The official hierarchy of this army exists solely for the purpose of personal profit and self-maintenance, the last thing they desire being to lead their brave followers into action, even against an unarmed mob ; while the rank and file exist mainly on paper, but partly in the shape of gaudy uniforms to be filled, for inspection purposes, by temporary recruits enlisted ­ for the day. Only at some places, such as the Kwangsi-Tonkin frontier, the provincial Commander-in-Chief is associated in the command of effective troops, outside his own official organisation, for the preservation of peace and order and the protection of his district. The effective army is entirely, except for the possible intervention of the Titai alone, outside the official military organisation of the Empire or of the province. In this too the unit is the province, and the effective armed forces of the provinces are under the direct command of the civil authority, the Viceroys and Governors, who themselves lead them in chief for the suppression of serious rebellion. 78 THE CHINESE EMPIRE This force dates from the Taiping rebellion (1850-64), when the official organisation was found ineffective and unwarlike, and the provincial rulers, such as Tseng Kwo-fan in the west and Li Hung-chang in the east, were driven to raise bodies of irregulars or volunteers, styled yung (brave), after the fashion of the volunteers of the French Revolution or of the year of Leipzig. In these the highest unit of organisation was the battalion, ying (camp), nominally ­ of five hundred men, commanded by a battalion-chief, ying-kwan, divided into five companies, shao, commanded by a Shao-kwan. For combined action any number of battalions from two to ten or more formed a command, with no distinctive name, under a Tung-ling. This constituted ­ the fighting army of China, such as it was, until, forty years after its first formation, its best representative, the “ foreign drilled ” army of the north, went down before the Japanese in 1894 ; and on this foundation is erected the “ New Model ” army now in process of organisation. Note The devolution of responsibility in the repression disorder is shown in the following item of news : Peking, December 14th, 1906. On December nth, the Grand Councillors personally received an Imperial Decree to the effect that the rioters on the bordeé of Kiangsi and Hunan are furiously raging and that Tuan Faog (Viceroy at Nanking), Chang Chih-tung (Viceroy at Hankow), and Tsen Chun-ming (Governor of Kiangsi) are ordered t0 despatch troops to the scene of the troubles in order to suppress the same and capture the culprits and at the same time to gi ve protection for the railway between Pingsiang and Tiling # well as the mines at Pingsiang and all the foreigners there. l n case of failure the said Viceroys and Governors will be held responsible. On December 12th the Provincial Judge of Kiangsi, Chiné Ping-chih is ordered to take command of the armies from th e THE GOVERNMENT 79 three provinces to settle the troubles in the districts affected by rioters. Nanchang, December 14th. Ching Ping-chi, Provincial Judge of Kiangsi, left Nanchang on December 14th for Pingsiang at the order of the Peking Government, and General Liu who is the commander of the Nanchang Brigade of the Standing Army and Admiral Hung Wei-lin with their forces followed the Provincial Judge. 80 CHAPTER IV REVENUE AND EXPENDITURE China is an Asiatic country. It seems absurd to re-state this truism, but in nothing is the fact more clearly marked than in its system of taxation, and its methods of providing for the expenses of administration. The Western mind is accustomed to the system of the common purse for one administrative area, into which all receipts are covered without being ear-marked for a definite purpose, and fro# which all payments are made irrespective of the source from which the funds are derived ; it is also accustomed to a complete severance of the budgets of the different administrative areas—national, state and municipal * n America, national and municipal in Great Britain, Imperial Royal, and municipal in Germany—with some exceptionssuch as educational expenditure in Great Britain, and those due to more centralised forms of government, as & France. This makes it difficult for the Occidental project his mind into the system which prevails in Chinaand still more difficult for him to distinguish, in the mas 5 of what appears to him gross irregularity, what is due to the system and what to administrative and financial cof' ruption. The student of history will recall the admin*' strative system of Europe of, say five centuries ago, andif he has any knowledge of China, will find many points resemblance in matters which we to-day have come to reprobate ; but any comparison is vitiated by the r ea j difference between the feudal organisation of Europe ot that time, and the consolidated government of China, wh* 1 the Son of Heaven at the top and the mass of the peop* e REVENUE AND EXPENDITURE 81 at the bottom, the Emperor’s representatives, the officials appointed by his centralised power, forming the link between ­ the two. It is a matter of common knowledge that the income of the Chinese official is not in any degree measured by his official salary, that the annual profit of his office may be Tls.100,000, with an official salary not exceeding Tls.1,000. This sounds terrible to us ; and yet we do not have to go very far back to find a condition similar in kind, though perhaps not in degree, existing in Western countries. The Chinese official is nowadays less an administrator than a tax-collector ; but an infinitesimal portion of his revenues is wasted on such heads of expenditure as police, justice, roads, education, fire prevention, sanitation, or others of the numerous expenses falling on the official purse in the West ; so far as we, with our limited Occidental ­ mind, can see, he exists solely for his own maintenance ­ and that of his fellow-officials, his superiors and his subordinates. This principle he, with his superior innate capacity, has developed further than was ever done in the West ; but the West can furnish, within comparatively modern times, some similitudes which will enable present-day readers to understand more clearly the system as it is to-day in China. The revenue returnable from each administrative area in China, town, county, or province, is assessed at a certain fixed sum, which, more or less, is the minimum which must be accounted for, and in practice this minimum constitutes the maximum sum which is returned : what is this but the system which, in the seventeenth and eighteenth centuries, furnished the bloated fortunes of the farmers-general of France ? The administration of justice in China creates no charge upon the official revenues, but maintains itself from fees and exactions : Judge Jeffreys is infamous in history, but he furnished no exception to the practice of his day in swelling the revenues of his King and his country from the fees and fines of his court, and in augmenting his official income from the same source. Every Chinese official takes for 6 82 THE CHINESE EMPIRE himself, without question,the interest on his official balances, so did the English Paymasters of the Forces up to the time of Pitt, and probably for many years after his time ; certainly ­ until after Fox was appointed to the post. Even modern America, with the foundations of its government freed from all feudal substructure, in some of its legitimate and legalised practices, furnishes a moderate example ot what in China is immoderate. Up to a very few y earS ago, the office of the Sheriff of the County of New York was maintained on principles inherited from the England of the eighteenth century ; he received a salary ($5> o0 °) and fees (averaging $60,000), and himself paid the salaries of his deputies, and provided for the expenses of his office • this is the Chinese system, except that, in China, the f eeS are taken and the work not done. The American consular system, up to the year of Grace 1906, furnished another illustration : the income, perfectly legitimate and legal' of the Consul to Mesopotamia, let us say, would consist of his salary, $3,000, and fees ranging from $1,000 t0 $10,000. These instances are adduced, not in any waY to belittle the (what we, with our twentieth-century views» call) administrative corruption of the Chinese Empire but to bring home to the Western mind the underlying principle upon which the Chinese system is based. Another distinction between the fiscal systems of East and the West is in the “ common purse.” In Engla* all national official revenue is covered into the Exchequer« in America into the Treasury. In China, theory and practi ce are divergent ; in theory, everything is subject to the E#' peror, land, property and revenue ; in practice, the reveo* is assigned piecemeal from certain sources of collect!** to certain defined heads of Imperial expenditure, afl must be remitted independently for the purposes assign**' One province, for example, may be assessed Tls.5O°’ 00 ° as the Likin collection for the year ; instead of remitió^ this to the Imperial Treasury, or holding it subject to th* order of the Treasury, Tls. 100,000 will be remitted dh eC to the Shanghai Taotai for the service of the foreig* REVENUE AND EXPENDITURE 83 debt, Tls.50,000 will be remitted to the same officer for account of legations abroad, Tls.200,000 will be sent to Honan for Yellow River Flood Prevention account, Tls.50,000 will be retained for renewal of the provincial coast defences, Tls.50,000 will be sent to Peking for the Imperial Household, and Tls.50,000 will be assigned for the upkeep of the Imperial Mausolea. From some other source of revenue grants may be made to supplement the revenues of a poorer province ; of the eighteen provinces, ­ thirteen forward such grants in aid, and nine receive them, five both granting and receiving. We may even have province A remitting to B, B in turn to C, and C remitting to A, but each one of the three will remit in full ; no attempt is ever made to strike a balance and receive or remit the difference ; to do this would deprive some hard-working official of the fruits of his industry, in the profit derivable from the mere act of remitting. To prepare a national budget of revenue and expenditure would, in Parker’s phrase,* “ puzzle the shrewdest firm of chartered accountants.” Another element of perplexity, sufficient to prevent the ordinary mind from penetrating the mysteries of taxation in China, is found in the question of exchange. As will be seen in a later chapter, China has no coinage except the copper “ cash,” of which to-day it takes about 10,000 to equal a pound sterling and 2,000 an American dollar. Her silver currency has no one uniform standard, and the hundreds ­ of standards known in the empire, or the dozen known in one place, vary within a range of over 10 per cent. Even the Imperial Treasury tael is an actuality only at the Imperial Treasury itself, and elsewhere in China is only a money of account. A typical case will be referred to later, where, on the tax-note, Treasury taels were converted into cash at 2,600 and converted back at 1,105, whereby a tax of Tls.70-66 was converted into a payment of Tls.166 20. But let us take an ordinary everyday incident of revenue collected in Kiangsu and remitted as a grant * “ China, Past and Present,” by E. H. Parker, 1903. 84 ' THE CHINESE EMPIRE in aid to Kansu. The tax-note will be in Treasury taels, it will be paid in local taels ; the proceeds converted int° Tsaoping taels for remittance to Shanghai, where it lS converted into Shanghai taels ; again converted int° Tsaoping taels for remittance to Kansu (assuming that it is remitted by draft), where it is received in local taels, these are converted into Treasury taels for accounting with Kiangsu, and back again into local taels for deposit i% a bank, and again into Treasury taels for accounting with the Imperial Treasury, and again into local taels or int° cash for disbursement. This is no burlesque, but an exact account of what happens, and we have a series of n ine exchange transactions, each of which will yield a profit of at least a quarter of one per cent, on the turn-oveb apart from the rate of exchange on actual transfer fro^j place to place, and altogether outside any question 0 “ squeezing ” the taxpayer. Moreover, as we are deaW with the past more than with the future, it is right t° record that, regularly in the past and frequently in th e present, the remittance is made by actually sending th e silver from Kiangsu to Kansu, not reducing the exchange operations noted above by a single step, but adding eno f ' mously to the cost by the expense of transport and esco f for a journey which must be counted by months and V o b? days- , All these considerations must be borne in mind in aw study of figures * purporting to represent the revenue al1 expenditure of the Chinese Empire. In Western budg et5 the receipt side includes the entire sum taken from ® taxpayer for the maintenance of the fabric of govern#^ and the payment side gives the entire amount expend^ for administrative purposes. In China this is not so. few heads of revenue may be regarded as strictly Imp er such as the tribute and the receipts of that new and se* 1 ® foreign institution, the Maritime Customs. Other receip * The principal authorities for the taxation and expenditure^ China are E. H. Parker and George Jamieson, and any figures fi u ° will generally be from their writings. REVENUE AND EXPENDITURE 85 of the Imperial Treasury consist rather of surpluses handed over after providing for all costs of collection and all expenses ­ of local administration ; they correspond somewhat to the matriculations of the German Empire ; they correspond ­ more closely, perhaps, to the surplus remitted from Cyprus to Constantinople, after providing for the administrative ­ expenses of the island. There are no figures available to show the enormous sums taken from the taxpayer and devoted to the maintenance of the army of officials engaged in collecting the revenue—sums the larger for being left, in the collecting, to the unregulated and uncontrolled discretion of the collectors. Revenue The heads of revenue collection may be divided into old and new. The old comprise : 1, Land Tax ; 2, Tribute ; 3, Customs ; 4, Salt ; and 5, Miscellaneous (taxes, fees, tenures and licenses) ; the new are : 6, Foreign Customs ; and 7, Likin ; with some new license fees which will fall under 5. I. Land Tax The foundation of Asiatic government is conquest, not the consent of the governed. When the various dynasties who have ruled China came into possession of the throne, they held the country in the hollow of their hand—Dieu et mon droit their motto—and the land and the fruit thereof became their property. Even an Asiatic government, however, does not carry all its theories into full practice, and the usufruct of the land of China is left to its occupiers, with full rights of transfer of possession ; but the rights of overlordship are recognised by the payment of land tax proportioned to the (original) rental value of the land. This revenue was formerly the main dependence of the Government in providing for its own needs, the amount remitted to Peking constituting, a hundred years ago, probably two-thirds of the cash receipts of the Imperial Treasury ; but a hundred years ago China had no urgent 86 THE CHINESE EMPIRE northern frontier question and no navy, and the remittances to the capital were required only for the maintenance of the Court and garrison and for the metropolitan administration. ­ Two hundred years ago, in 1713, the Emperor, quite in keeping with the Manchu practice of considering and conciliating their Chinese subjects in every way, decreed that the land tax throughout the Empire, as shown by the records of that year, was to be fixed and immutable for all time, no increase being permitted under any circumstances. This permanent settlement endures, in theory, to this day. the tax-note for each lot of land to-day gives the rate of assessment of 1713, and the returns of the total collection are based upon the permanent settlement, subject to authorised reductions for the effects of rebellion, drought, and flood, and to re-augmentation on recovery when reported ­ by the provincial authorities. The primary unit in China for fiscal, as for administrative and judicial, matters is the hsien or township, commonly called district, constituting what in America would he called an incorporated city with the surrounding country and its villages. The Chih-hsien or Magistrate (ofteU called simply the Hsien), in addition to his other numerous functions, is registrar of deeds and assessor and collector of taxes. All ownership and all transfers of land are, in theory, registered in his office, against a fee (see under 5, Miscelhv neous taxes), and validated by his seal affixed to the deeds > the seal being impressed in vermilion ; these regularised deeds are called “ red deeds." In practice this obligation is often evaded, and the deeds, not being sealed, are then called “ white deeds." This evasion is so common that the Hs# and his officers ordinarily disregard the register of titles and go direct to the occupant ; and so much is the payment land tax an incident of possession, especially in the case oi farm lands, that holding land-tax receipts for three successive years is, in the absence of deeds, accepted as prima fa ciß proof of ownership. The, tax-collector goes to the taxpay ef and delivers the tax-note itemised in accordance with 1&^ (the permanent settlement) and precedent (the accretion 5 REVENUE AND EXPENDITURE 87 resulting from many a battle and sanctioned by the custom of years). The amount shown as the total on the note is the amount which must be turned into the Hsien s treasury, and takes no account of the actual cost of collection, though an amount is always included for it ; for the Hsien, more sínico, pays his subordinates little or nothing as salary, but compels them to scratch around for their maintenance , and even a tax-collector must live. The Hsien, however, arms his collectors with power, and thus armed they are enabled to extract their “ costs of collection ” from the taxpayer. ­ The amount to be exacted is indeterminate, and forms the subject of a battle annually renewed between payer and payee ; but on an average it is quite safe to put it, at the very lowest estimate, at ten per cent, on the sum officially demanded. The official accretion is the accumulated ­ result of repeated battles. As Jamieson puts it : “ The fixing of these surcharges and the rates of commutation appears to be left mainly with the district magistrates, with the consent probably of the provincial treasurer. The Imperial Government does not, so far as I know, attempt to regulate such matters. The magistrates are mainly bound by old custom ; what has been done before is tolerated, but there is always a tendency to seize on every occasion to try to obtain a little more. This, if too much, provokes a riot, the magistrate gets into trouble with the people, and a haggling ensues until either the extra impost is abandoned or a modus vivendi is arrived at on some middle ground.” In one district, as shown in the cases given below, 44 per cent, is added for meltage fee, and 26 per cent, for an illusory “cost of collection ” : in another the amount in taels is converted into cash at 2,600 to the tael, and converted back into taels at 1,105, being an addition of 135 per cent, and then 50 per cent, is added for “ cost of collection.” The latter method is the more usual, and cases are common and well known where the conversion into cash was at the rate of between 5,000 and 6,000, with the effect of increasing the land tax to over five times the statutory amount. For the province of Honan we have an illuminating 88 THE CHINESE EMPIRE statement * by Mr. George Jamieson giving the amounts levied on land acquired for the railway with which he was officially connected. Land was bought in six different hsiens through which the line ran, to the amount of Q,2l6 mows (the mow is roughly a sixth of an English acre). Regular deeds of transfer were obtained and in due course tax-notes were presented, the correctness of the charges being vouched for by the deputy of the Governor specially appointed to manage, from the Chinese side, the affairs of the railway. The tax-notes included land tax and commuted ­ grain tax, and they are so informing that two of them are given in full. In Hsun Hsien the syndicate bought :— Land held on ordinary tenure (“ min t’ien ”) .. ,, „ ,, military tenure (" tun t’ien ”) Total Mows. 1,493753 91-870 1,585 623 The taxes account presented by the magistrate of this district translates as follows :— Land tax proper on 1,585-623 mow at 0 0368355 tael per mow * * » # « * « » •• •• •• For inferior touch or meltage fee, 44 per cent, on the above Expenses of collection at the rate of 300 copper cash on every tael of land tax. Cash, 17,520 Grain tax at the rate of 0-005468 " shih " per mow on L49375 mow (no levy on military land), equal to 8-169 “ shih ” or piculs at 6,400 copper cash per picul. Cash, 52,282 *. . » •• *. .. .. ,, Amount. Kuping tads-58-407 25-690 15-587 46-316 Total .. 146 The Kuping tael being a theoretical tael, the above wa s paid by converting it into local currency at the rate of 10371 local taels to 100 Kuping, giving 151-43 local taels as the equivalent. * “Land Taxation in the Province of Honan,” 1905. REVENUE AND EXPENDITURE 89 Here we have the land tax as settled, “ fixed and immutable,” ­ in 1713, increased by accretions, as legal and as regular as any tax in any country, from T s.5 4°7 Tls.99684, an addition of 71 per cent. ; and the commuted grain tribute, if we take the market price of gram at the very high rate of 2,000 cash a picul, increased from Tls.14 474 to Tls.46316, an addition of 220 per cent. In Hsin Hsiang the syndicate bought :— Land on ordinary tenure „ „ military tenure Total Mows. 1,203-512 105-845 i.309'357 The taxes account was presented as follows Land tax proper on 1,203-512 mow of common land at 0-0548392 tael per mow Land tax proper on 105-845 mow of military land at 0-044 tael per mow .. .. • • • • Total . * .. •• • • •• •• Amount. Taels. 65-9996 4-6574 70-657 Amount. Payable at the rate of 2,600 copper cash per tael. Cash, 183,7^^ .. .. .. .. .. .. .. Expenses of collection at the rate of 30 copper cash per mow on common land and 25 cash on military land. Total copper cash, 38,752, equal to Grain tax at the rate of o 01255 piculs on common land (nothing on military land), total 15-1075 piculs, payable ­ at the rate of 6,000 copper cash per picul. Total cash, 90,645, equal to Total .. .. .. .. •• •• Kuping taels. 16620 35-06 82-02 28328 Note.—Equivalent in local currency to Tls.293 82. Here we have this fixed and immutable land tax increased ­ from Tls.70-657 to Tls.20126, an addition of 186 THE CHINESE EMPIRE 90 per cent., and the grain tribute increased from a legal maximum ­ of Tls.2734 to Tls.82-02, an addition of 200 per cent. The extreme accuracy of calculation also is to be noted to seven places of decimals of a unit of currency with a present value of three shillings. The two accounts give an average addition to the land tax of 128 per cent., and to the grain tribute of 210 per cent. Mr. Jamieson goes on to show that these six districts in which land was bought are fairly representative of the soil of the whole of Honan ; and after noting that the average taxation (land tax and grain tribute together) was Tls.01882 per mow, he proceeds to apply this average to the province. The area of Honan province is about 60,000 square miles-Assuming that two-thirds of this is under cultivation, the taxable area would be over 25,000,000 acres, or at 6 mo# to the acre, say 150,000,000 mow of ground. In the Hwei Tien, the standard, though a somewhat antiquated statistical record of the Empire, the area actually registered as culti' vated is given as 63,986,185 mow. This was on the authority of the returns of the 17th year of Chia Ching (1812). Tl^ amount is likely to have increased since, and may now he approximately 150,000,000 mow. But take it on the Ch# Ching returns, and supposing the taxation levied on the lands held by the syndicate is general, the yield of the land tax for the whole province should be Tls.12,042,200. Or if we suppose, as seems more probable, that approximately 150,000,000 mow pay taxes, the sum levied from the people would be well over Tls.28,000,000, a sum which is not very far short of what is now returned for the whole Empire China. Compared with the insignificant sum of less than Tls.3,000,000 now returned by the province of Honan, these figures may well seem incredible, but I simply state facts as I find them. It will be well to proceed in another way in which ^ e shall be on safer ground. It must be assumed that the railway corporation, a financially strong body, extraterri' REVENUE AND EXPENDITURE 91 torialised, and officially supported by the Government, pays its taxes by cheques direct to the Hsien, and is not compelled to submit to the mediation of the tax-collectors and pay them their expenses. It may further be safely assumed that the total collection reported for the province, even less in amount now than half a century ago, represents the tax of the permanent settlement. On these assumptions the land and grain tax collected in Honan may be calculated as follows :— Legal land tax, return of collection for year Taels. 1900 .. • • .. .. .. 2,380,000 Accretion at the rate of 128 per cent 3,046,400 Collectors’ expenses at assumed rate of 10 per 542,640 6,969,040 480,000 .. 1,008,000 148,800 1,636,800 .. 8,605,840 cent. Grain tribute commuted, return of 1900 Accretion at the rate of 210 per cent. Collectors’ expenses at 10 per cent. Total land and grain taxes against Mr. Jamieson’s minimum estimate of Tls.12,000,000, and a possible collection of Tls.28,000,000. Every student of things Chinese knows that Mr. Jamieson’s minimum estimate is well within the mark, and that, to get at the amount paid by the taxpayer, the official return of the amount collected must be at least quadrupled ; what can be said seriously is that it can be proved that the amount is trebled. In applying the Honan figures to the rest of the Empire we are confronted by a difficulty. The permanent settlement ­ was decreed by the second Tsing Emperor, Kanghi, and it is a matter of general knowledge that the earlier Manchu Emperors governed China with a light hand, and 92 THE CHINESE EMPIRE applied far less stringent rules to the remoter provinces than to those within easy reach of the capital. Chihli, the metropolitan province, has nearly half its area outside the Wall, under the Mongolian system, and nearly half the area within the Wall was granted in military tenure to Manchu princes and nobles, exempt from land tax ; and yet this province is third in the amount of land tax r e ' turned, collected from less than a third of its area. The three provinces (Shansi, Shantung, and Honan) immediately adjoining Chihli, and within the more direct reach of the Peking garrison, are respectively first, second and fourth on the list ; Shansi, rated above all other provinces, is poor and exposed to climatic vicissitudes, but is attackable from Peking and from Mongolia as well. Of the remoter pr°' vinces it is sufficient to mention Kwangtung, one of the richest provinces of the Empire, rated tenth among the eighteen provinces ; and Hupeh, with great agricultural wealth, rated thirteenth. It is not for a moment to he supposed that the self-denying magnanimity of the Em' peror, seated on his throne at Peking, is imitated by his representatives to-day, far removed from the control of their overlord. Of Szechwan, Mr. Parker says : “I spe#t a year in that province, and found that customary rating 5 ' allowances, etc., practically made the land tax in som e districts ten times its nominal charge.” In Kwangtung we have regularly applied to three districts in the vicinity of Canton the phrase shui shui, iso shui, tsou shui, literally " sleeping in-come, sitting in-come, walking in-come,” which may be thus explained : the incumbent of the first may go sleep, while his emoluments come rolling in ; in the second he may sit still, and his emoluments come rolling in ; h 1 the third he must trot around, but his emoluments com e rolling in. It is difficult to know just what allowance t° make for this diversity of treatment in applying the Ilona# figures to the rest of the Empire, but we shall be well with# 1 the mark if we take the reported return for the four neaf el provinces, and twice the reported return for the remoter provinces, as the basis from which to calculate the amou#^ REVENUE AND EXPENDITURE 93 paid by the taxpayer ; and for this purpose Mr. Parker s figures * will be taken, except for Honan, where they are increased by Tls.80,000. Province. Basic Collection. Accretion 128 per cent. Collectors’ Expenses 10 per cent. Total paid by Taxpayers. Chihli Shantung Honan Shansi Shensi Kansu Szechwan Kweichow Hunan Hupeh Kiangsi Anhwei Kiangsu Chekiang Fukien Kwangtung Kwangsi Yunnan Tls. 2,600,000 2,800,000 2.380.000 3.300.000 3,300,000 440,000 4,600,000 220,000 2,400,000 2,000,000 2,600,000 2.614.000 3.000. 000 2.800.000 2.000. 000 2,600,000 700,000 500,000 Tls. 3,328,000 3,584,000 3,046,400 4,224,000 4,224,000 563,200 5,888,000 281,600 3,072,000 2,560,000 3,328,000 3,345,920 3,840,000 3.584.000 2.560.000 3,328,000 896.000 640.000 Tls. 592,800 638.400 542,640 752.400 752,400 100,320 1,048,800 50,160 547,200 456.000 592,800 595,992 684.000 638,400 456.000 592,800 159,600 114.000 Tls. 6,520,800 7,022,400 5,969,040 8,276,400 8,276,400 1,103,520 11,536,800 551,760 6,019,200 5,016,000 6,520,800 6,555,912 7,524,000 7,022,400 5,016,000 6,520,800 1,755,600 1,254,000 Total 40,854,000t 52,293,120 9,3i4,7i2 102,461,832 Mr. Jamieson, applying the Honan average to the whole of China, says :— “ In nay revenue and expenditure report of 1897, I calculated there should be 650,000 square miles of cultivated ­ land in China, equivalent to (in round numbers, 400.000. 000 English acres or, at 6 mow per acre, 2.400.000. 000 mow. If the average which I consider good for Honan holds good generally for the Empire, the whole amount levied from the people as land tax would amount to Tls.451,000,000. % In the paper addressed by Sir * “ China : Past and Present.” t Amount returned, Tls.25,887,000. i Mr. Jamieson’s “ average taxation ” includes both land tax and commuted grain tribute. His land tax alone for the Empire would work out to Tls.375,000,000. 94 THE CHINESE EMPIRE Robert Hart to the Chinese Government (printed in the North China Herald of April 15, 1904), recommending certain reforms in taxation, he calculated that the whole taxable land in China might amount to 4,000,000,000 mow, which, on the basis of 200 cash per mow, and taking a tael as equal to 2,000 cash, should yield a revenue of Tls.400,000,000. Sir Robert’s estimate of the area under cultivation is greater than mine, but on the other hand his proposed levy of 200 cash or 10 tael cents per mow is, I should consider, much under the average actually levied. The experience of the syndicate's railway in Honan shows an average of 0'i88% tael, or nearly double the sum at which Sir Robert Hart puts it, so that if the present levy is only continued there should be Tls.400,000,000 forthcoming for Imperial purposes, and yet a very large sum left over for costs of administration and other provincial purposes.” Many good authorities, other than these two, are iU" dined to consider their figures as quite possible ; and a good illustration of the obscurity which veils the finances of China is furnished by the difference between the reported collection, Tls.26,000,000, the almost provable actual collection, Tls.102,000,000, and the possible collection ­ estimated by high authorities at Tls.375,000,000 to Tls.400,000,000. 2. Tribute Tribute is another invariable incident of an Asiatic form of government, and has formed a considerable part of the revenues of the State under all the successive dynasties which have ruled China. In the earlier dynasties the taxation took mainly the form of tribute—i.e. payment iu kind, and generally of silk and grain, a roll of silk and a picul of grain having approximately the same value. Under the Sung Dynasty, in a.d. 1004, the tribute amounted to 49,169,900 pieces and piculs ; in 1049 it was increased to 53,588,565, and in 1064 to 67,767,929 pieces and piculs-* “ Banking and Prices in China,” by J. Edkins, 1905. REVENUE AND EXPENDITURE 95 In 1148 the grain tribute from Chekiang, Kiangsu, and Hukwang, was 2,395,0°° piculs. I 3 2 4> under the Mongol Dynasty, the grain tribute amounted to 12,114,7°^ piculs, of which Chihli contributed 2,271,449 : Honan, 2,591,269 ; Kiangsu and Chekiang, 4,494,783 ; and Kiangsi, 1,157,448 piculs ; of this about 3,000,000 piculs were sent to Peking, the rest being retained in the provinces for the maintenance of the Government and the support of the Mongol garrisons. The tribute in kind required by the ruling Manchu Dynasty takes many forms, including silks from Hangchow, Soochow, and Nanking, porcelain from Kingtehchen, timber from Kiangsu, fruits from the southern coast, wax from Szechwan, etc. It also includes copper from Yunnan, the quantity required annually for coinage, before the introduction of foreign supplies, being calculated to be 85,000 piculs, of a value, by the market rates of 1906, of Tls.2,500,000. The principal tribute under the Tsing, however, as under previous dynasties, is grain. Before the disorganisation caused by foreign wars and rebellion, during the early years of Taokwang (1821-50), the stipulated quantity required in an ordinary year to be sent to Peking was 2,930,000 piculs of rice and 300,000 piculs of millet. Since the Taiping rebellion, of the eight provinces liable to grain tribute, Honan, Kiangsi, Hupeh, and Hunan have commuted it for an annual money payment, leaving Kiangsu, Chekiang, Anhwei, and Shantung still to pay in kind. It is estimated that from these four provinces about 400,000 piculs continue to go by the Grand Canal, and the annual average of shipments by sea for the years 1902-05 was 1,626,000 piculs. Besides this is the amount retained for the maintenance of the provincial forces. An illustration of the conservatism which rules Chinese finances is afforded by the continued payment by the commuting provinces to Chihli for cargo boats to convey from Tientsin to Peking the grain which they do not send : “A year or two ago (3:895) ninety-seven cargo-boats were destroyed by a tidal wave, and Chihli has just reconstructed them at a cost of Tls.39,800 ; Hunan, Hupeh, and Kiangsi have to repay g6 THE CHINESE EMPIRE this sum between them.” * There are, besides, recurring payments for “ repairs ” to imaginary cargo-boats. To get at the sum received by the Government fro# tribute is not easy, and it is still more difficult to conjecture the amounts paid by the taxpayer. One thing seems certain, that the “ accretions ” to the tribute payable m kind must approximate closely to those on the tribute commuted ; otherwise, with the weakness of the central government fifty years ago, it would have been to the advantage of the officials, metropolitan and provincial alike, to commute in all the provinces. We may, therefore, take Mr. Parker’s figures f for the revenue from tribute and apply to them the same principle of accretion as f° r the land tax, but with no allowance for remoteness fro# the capital. Province. Basic Collection. aio per cent. Accretion Collection Expenses io per cent. Total paid by Taxpayers-Tls. Tls. Tls. Shantung Honan \ Hunan f Hupeh X Kiangsi f Anhwei.. Kiangsu Chekiang Kansu §.. Kwangsi § 2.500.000 5,250,000 775,000 1.100.000 2,310,000 342,000 500.000 1,050,000 155,000 300.000 630,000 93,000 175.000 367,500 54,250 420.000 882,000 130,200 800.000 1,680,000 248,000 900.000 1,890,000 279,000 275.000 577,500 85,250 150.000 315,000 46,500 50,000 105,000 15,500 250.000 525,000 77,500 Szechwan § Yunnan § Total 7,420,000 15,582,000 2,300,200 In the above table, for the province of Kiangsu, th e * “ The Chinese Revenue,” by E. H. Parker. Journal, N° f ^ China Branch of the Royal Asiatic Society, 1895-96. t “ China : Past and Present.” X Commuted. § Always kept for local administration. 7 REVENUE AND EXPENDITURE 97 basic collection of Tls.2,500,000 is increased to Tls.8,525,000, nearly three-and-a-half times as much. I have been able to obtain the tax-notes for two small adjoining lots of land near Shanghai, outside the foreign municipal jurisdiction, ­ and have given them some careful study. The amounts and data filled in are written in a sprawling running ­ hand, difficult for a scholar, and almost illegible for a half-educated farmer ; but from them I have made out the following particulars :— First lot, area about 10 mow : Grain tribute, 6 sheng 9 ho, taken as 7 sheng (0-070 shih = 8£ catties = iij lb.), converted ­ at 6,000 cash .. ... .. 420 Spring official accretion, TI.0095 at 2,500 cash .. .. 237 Autumn official accretion, Tl.0-095 at 2,800 cash .. .. .. .. .. .. 266 Cash .. 923 Second lot, area about 25 mow : Grain tribute, 1 tow 4 sheng 9 ho (0-149 shih = 17-1%catties =23-^ lb.), converted at 7,000 cash .. .. .. .. .. 1043 Spring official accretion, TI.0087 at 2,500 cash .. .. .. .. .. .. 229 Autumn official accretion, TI.0087 at 2,800 cash .. .. 247 Cash .. 1519 If fluctuations and the present inflated price of grain be disregarded, and the usually accepted rate of 2,000 cash per shih for grain tribute be taken as a standard, we have in this case a legal tax of 440 cash increased to an actual payment of 2,442 cash, five-and-a-half times as much ; and if the land had remained in Chinese ownership, we must assume that the increase would have been to six times, liven with the carefully digested figures given above, there g8 THE CHINESE EMPIRE are some elements of that variability which is so constant a factor in Chinese taxation. The two lots are adjoining, and apparently of the same class of land. One is assessed at the rate of o 0069 shih of grain per mow, converted at 6,000 cash, and the other is assessed at 0^00596 shih p er mow, converted at 7,000 cash. The official accretions ate assessed in silver and collected in copper, but the spring accretion is converted at 2,500 cash and the autumn accretion ­ at 2,800 cash, the actual market-rate being now about 1,100 cash ; the accretion for the smaller lot is larg er in amount than that for the larger lot. The copper from Yunnan is sent now in much reduced quantity, probably from 5,000 to 10,000 piculs a year ; and with so much of guesswork in the calculation, nothing need be added for the silks, porcelain, and other articles of tribute, though collecting and forwarding them provides honorable, but not honorary, employment for many deserving officials-3. Customs The same veil of mystery which hangs over other branches of the revenue service covers the Customs, called the “ Regular ” or native Customs, to distinguish it fr 0lil the newly established “ Maritime ” or foreign Customs-The offices of this establishment may be divided into tw'° classes, those controlling shipping and those at land stations-The “ Regular ” Customs offices within fifteen miles of a treaty port have, since November 1901, been placed unde the control of the “ Maritime ” Customs, with the resu’ that most of them are so far regulated that irregular exa c ' tions are suppressed and the full collection reported. collection of the Native Customs under the Commissioned of Customs, increased from Tls.2,206,469 in 1902 Tls.3,699,024 in 1906. Even before 1901 the income n the offices had suffered from the inevitable transfer of traft 1 from the junk to the safer, insurable and speedier steamed What can be said of them relates, therefore, more to past than to the present. ^ The typical Customs post, and the fattest, was that 0 REVENUE AND EXPENDITURE 99 the “ Hoppo ” of Canton, abolished in 1904 as being no longer profitable. Created as soon as the Manchu supremacy had been established over Kwangtung, in order to “ milk ” the trade of the wealthiest trading mart in the Empire, the incumbent of the post luxuriated in an abundant supply of the richest cream during the time that Canton enjoyed its statutory and actual monopoly of foreign trade ; and even when the foreign trade had to be shared with many other ports, the local traffic of the province itself sufficed to make it a lucrative post. If Mr. Parker * is right, the amount officially reported within thirty years past cannot have exceeded ­ 15 per cent, of the sum turned into the Hoppo’s treasury, ­ to which must be added the expense of maintaining an army of collectors, supervisors, and accountants. He says : “ Chief among them is the ‘ Hoppo ’ of Canton, who is always a Manchu of the said ‘ bondsman ’ class. The ‘ regulation ­ sum,' which this official is bound to collect from the native Custom Houses at Canton, Swatow, Hoihow, and Pakhoi is about Tls.157,000, and every year he goes through the farce of claiming credit for having ‘ by unusual zeal and industry ' collected as much as Tls.200,000, or thereabouts. But it is well known that he pays at least that sum for his appointment, and that his only chance of keeping the post for three years—the time usually granted for making his pH e is to vigorously ply the palace with presents. . From what I could gather from members of the Viceroy’s staff, at least Tls.1,000,000 a year, in fans, silks, pearls, and other presents, had to be sent to Peking at intervals (according to the nature of the present) of a fortnight, a quarter, a half-year, and a year.” Of the land stations but little is known. One such post is that of the ‘ Peking Gate,” of which the regulation assessment is Tls. 120,000 ; apart from the taxation of goods entering Peking, its chief function is to levy a tax on every official visiting Peking on affairs of State ; and as every high official is ordered up for Audience on appoint-* “ The Financial Capacity of China.” Journal, North China Branch of the Royal Asiatic Society, 1895-96. 100 THE CHINESE EMPIRE ment, or on transfer, or retirement, and as the Wardens of the Gates of Peking hold the keys, the tax is usually paid without much hesitation, amounting sometimes toTls.50,000, and on occasion, for the incumbent of an especially lucrative post, to as much as Tls. 100,000. Having secured entrance to the city, the official will then have to open his way, through quite another set of guardians, to the Palace ; and then, through the Chamberlains, to the Audience Hall-The form to be taken in expressing practical thanks to his Sovereign for the honor of an Audience, and for his appointment, ­ is a matter of conjecture. The total collection, so far as reported, for the frontier and all other inland stations, amounts to Tls.460,000. In 1903 the Russian statistics showed an export to China exceeding the Chinese Customs import by over Tls.15,000,000, and an imp° rt from China exceeding the Chinese Customs export by ov# Tls.30,000,000 ; it is unlikely that this trade passed entirely untaxed, both on the inward and the outward traffic. 4. Salt If the collection of the land tax is veiled by obscurity; of the grain tribute by equal obscurity, and of the“ Regular Customs by greater obscurity, the greatest obscurity covers the revenue from the salt gabelle, owing to the mixture 0 the official and the mercantile element in its collection. Salt is everywhere under the strictest Government control, an d is taxed at every stage—in its manufacture, purchase at th e vats, transport, sale at the depot, and sale to the people For productive administrative and descriptive purpos eS the Empire is divided into eleven Salt areas : 1. Shengking : sea salt, supplying Manchuria. 2. Chang-lu (Long Reed) : sea salt, supply^ Chihli and the northern part of Honan. 3. Ho-tung (“ East of the Yellow River ”) : l&M salt, supplying Shansi, the western part of Honan, a n the south-eastern part of Shensi. 4. Hwa-ma-chih (“ Piebald Horse Pool ”) : ^ IOI REVENUE AND EXPENDITURE salt, supplying Mongolia, Kansu, and the greater part of Shensi. 5. Shantung : sea salt, supplying Shantung and corners of Honan, Anhwei, and Kiangsu. 6. Hwai : sea salt ; for administrative and distributive ­ purposes divided into : 6a. Northern Hwai, supplying the northern part of Kiangsu north of the Yangtze, the northern part of Anhwei, and the southern part of Honan. 6b. Southern Hwai, supplying the southern part of Kiangsu north of the Yangtze, and Nanldng south of the Yangtze, the southern part of Anhwei, the northern part of Kiangsi, the eastern part of Hupeh, and the greater part of Hunan. 7. Szechwan : well salt, supplying Szechwan, the north-east corner of Yunnan, nearly all of Kweichow, a corner of Hunan, and the western part of Hupeh. 8. Yunnan : well salt, supplying all Yunnan except ­ the north-east and south-east corners. 9. Chekiang : sea salt, supplying Chekiang, Kiangsu south of the Yangtze (except Nanking), and corners of Anhwei and Kiangsi. 10. Fukien : sea salt, supplying Fukien except the south-west corner. 11. Kwangtung : sea salt, supplying Kwangtung, Kwangsi, the southern part of Kiangsi, and small corners of Fukien, Hunan, Kweichow, and Yunnan. A twelfth, self-supplying and consuming, area of small dimensions in central Hupeh need not be considered. ­ Ihe Hwai Administration, supplying about 100,000,000 of the population, is the most important, and a description of its methods will suffice for all. The Viceroy at Nanking is the direct head, and under him is an army of controllers, agents, guards, etc., echelonned along and on both sides of the Yangtze, charged with control of the traffic, prevention of smuggling and levy of taxes. Production, transport, and sale are in private hands, under licenses issued by 102 THE CHINESE EMPIRE the Administration. From the vats to the depots (the principal one being above and opposite to Chinkiang) the salt is practically in bond. At the depot the salt is bought, at a price fixed by the Administration, by the holders of licenses ; of these a fixed number, usually 300 to 400 to each province, have been issued against a capital payment which, if there were a demand for further issue now, would be Tls.10,000 to Tls.12,000 each. The licensees take their turn, which may be once in two years or twice in three years according to circumstances, and in his turn each is permitted to buy 3,750 piculs of salt. In order to evade the difficulties caused by different regulations and customs on every route, different weights at short distances, and different taxes in different provinces, it is necessary t° select one province, and Hupeh will be assumed to be th e destination. The cost of production is Tls.1,130 for this quantity, in which is included the vat license fee and transport to the depot ; and the price paid at the depot is Tls.3,725, giving Tls.2,595 for government charges for storage and taxation to this point. The transport to Hupeh | s controlled from point to point, and on arrival the salt & stored in one of the provincial depots, paying storage, and awaiting its turn to be sold to the licensed shops, conveyance ­ to which is also controlled. There are numerous changes of scale, changes in the method of accountingdelays to be avoided, and difficulties to be smoothed awaywhich add to the cost of the salt and to the emoluments the administration agents, and contribute nothing to the revenue, but which must all be paid for by the consumers, and merely to enumerate the different items of taxationand adequately describe the application of an exceedingly complicated system, would require a chapter to itself. ^ is sufficient to say that the regular officially recognised taxation from the depot near Chinkiang to issue from th e provincial depot at Hankow is put by good authority a * Tls.i 60, and a little more per picul. To get at wh a the people pay we need only take the retail price, whi c is fixed by the Salt Administration. In Hupeh, ten yo a ^ REVENUE AND EXPENDITURE 103 ago, the average retail price so fixed was 50 cash a catty * ; as the corresponding price in Hunan was 36 cash, and as those were the prices before the increase in taxation to meet the Boxer indemnities, this price of 5° cash may be accepted as a fair average. Converting at the same rates, the producer’s ­ cost of Tls.1,130 for the quantity, 3,75° piculs, under one license, is increased to Tls.12,545 as Ü ie P r i ce to the consumer, the difference being Tls.11,415 i if Tls.1,415 be allowed for cost of transport and legitimate profit, the remaining Tls.10,000 (Tls.2.67 a picul) is paid by the people as tax, regular or irregular, open or covert. The consumption of salt in the Empire can only be guessed. A hundred years ago the official “ blue-books ” of China put it at 20,000,000 piculs, and this was stated to be less than the amount fifty years previously ; twenty years ago a Vice-President of the Board of Revenue put it at 28,000,000 piculs. The 300,000,000 of the people of India consumed 24,300,000 piculs of salt in 1904, and it would seem a fair assumption to put the consumption of the 400,000,000 of the people of China at the same figure. On this basis, and calculating at the rates for eastern Hupeh, the people of China pay Tls.81,000,000 for their salt, of which sum Tls.64,000,000 and more is taxation in one form or another, and Tls.39,000,000 is taxation according to regularly published tariffs of charges ; the collection reported to the Imperial Government is Tls.13,050,000.1 In India, in 1904, the people paid 88,000,000 rupees, of which 76,000,000 rupees was taxation actually credited to the government. 5. Miscellaneous Some new taxes are included under this heading, but the greater part are old ; whether new or old, they are covered by much obscurity. Many of them are of local * A well-informed writer in the China Mail, Hongkong, 1885, gives the retail price of salt at Hankow as 64 cash a catty. t “ China ; Past and Present.” 104 THE CHINESE EMPIRE incidence, and accordingly their collection and report depend upon the industry, the integrity, and the whim of the local officials ; others are general, but such that there is no check upon the collection such as is afforded by transit from one district to another. The principal among them are the following :— 1. The reed tax, a charge upon the marshes along the Yangtze and elsewhere, producing reeds for thatching ­ and for fuel. 2. The tea license, now probably incorporated # the likin on transit. 3. Mining royalties, insignificant in the past. 4 Fees on sales of land and houses. 5. Pawnbrokers’ and other mercantile licenses» probably producing the greater part of the reported collection. 6. Lo-ti-shui, consumption and production tax, no# insignificant, but capable of development on the abolition of likin. \ The total proceeds of miscellaneous taxes * reported to the Imperial Government, including cash receipts fro# special tenures, corvées, and purveyances, is Tls.3,856,000.! This includes Tls.55,000 from Honan, for which Mr. Jam#' son reports Tls.200,000 collected in 1900, and makes the following remark :— I “ By law there is payable on affixing the officia seal to a sale or mortgage of land a fee nominally °: 3 per cent, but actually of about 8 per cent. valorem. The fees which the syndicate were asked to pay came to over 10 per cent. Assuming the# are 150,000,000 mow of land in Honan of an average value of Tls.io per mow, which is well below the mark» and supposing that land on an average changes hands once in 60 years or two generations, one-sixtieth each year gives a value transferred of Tls.25,000,000 ; ° * “ China : Past and Present.” t Includes Tls. 1,000,000 collected in Kwangtung from the Weis#® Lottery. REVENUE AND EXPENDITURE 105 per cent, on that should bring in an annual yield of Tls.2,000,000. And yet the returns, as given m the above balance sheet, of miscellaneous taxes front all sources (of which land transfer fees must be one) are put down as only yielding Tls.200,000 altogether. There is, in fact, the same, or even greater, degree of accretion as in the case of the land tax and the grain tribute, and, taking the rates of increase accepted for the latter, we have the following figures :— Tls. Tls. Weising Lottery .. .. 1,000,000 Other miscellaneous taxes .. 2,856,000 3,856,000 Accretion, 210 per cent, on latter .. .. 5>997>600 Collectors’ expenses, 10 per cent, on whole 985,360 Total amount paid by taxpayers .. Tls.10,838,960 Included in this are the proceeds of sale of honors and titles, the amount of which cannot be exactly estimated. 6. Foreign Customs We come now to the one branch of the revenue collection of China in which the receipt and the report are in accord. In 1865 the collection was Tls.8,296,275,. and in 1905 Tls.35,hi,004, made up as follows :— Tls. Customs duty proper, Import and Export 27,817,190 Tonnage dues on shipping .. .. 1,105,350 Transit dues in commutation of provincial levy of likin 2,034,407 Convention likin on opium, properly assignable ­ to the provinces .. .. .. 4,i54>°57 Tls.35,111,004 ro6 THE CHINESE EMPIRE The sums properly chargeable against this were as follows :— collection Tls. Fixed allowance to cover cost of collection and preventive service, but including considerable ­ expenditure for Post Office, Marine Department, Education and other minor services .. .. .. .. 3,168,000 Seven-tenths of tonnage dues assigned to Marine Department (Lights, Harbors, etc.) 773745 Tls.3,941745 To this must be added small extras which, elsewhere than in China, would go to the national exchequer, but which i n China help to maintain the purely Chinese side of the administration. ­ There is the difference between receiving and paying rates in force at the Customs banks as at all other banks in China, which may be put at 0 3 per cent., or about Tls.180,000 ; and there is the interest on balances in hand» which, on a very safe estimate, may be put at 3 per cent. oi the total, or Tls.1,050,000. 7. Likin Up to quite recent times China, like most countries, content to tax the movement of merchandise at the established ­ Custom Houses only, i.e. practically at the seaport only, though the taxation was imposed on all movem#^ past those fixed points, and not on the foreign trade alon e< The only other tax which can be connected with the moV e ' ment of goods was the Lo-ti-shui {vide supra). The exigence 5 of the Government during the Taiping rebellion, however, drove the authorities to devise new forms of taxation, au a likin (“ contribution of a thousandth ”) was instituted. * was first heard of in 1853 ; and about 1861, when the acti ve suppression of the rebellion called for largely increased e penditure, it was applied generally to all the provincesTh^ under the control of the Imperial authorities. The origin REVENUE AND EXPENDITURE 107 theory of the levy, one-tenth of one per cent, on the value, imposed no great burden on trade, a tax of the same amount levied as wharfage dues for the maintenance of the foreign municipalities at Shanghai, Tientsin, Hankow, and elsewhere, ­ being scarcely felt ; but practice soon parted company ­ with theory, and the official rates were much incieased. Nor is the tax uniform in its incidence in all provinces. Hunan is proud of its independence and freedom from noncustomary ­ exactions, and in this province the payment once of the full tariff rate of likin exempts goods from further payment within the provincial limits, while the accretions and irregular exactions are less than elsewhere in China ; Hunan is, however, exceptional. Kwangtung is more nearly typical of the Empire ; here between Canton and Wuchow, a distance of about two hundred miles on the West River, there are six likin “ barriers,” each constituting a barrier to the free movement of traffic, and each involving delay, vexation, and payment. Along the Grand Canal between Hangchow and Chinkiang, likin stations, alternately ­ collecting and preventive, are established at distances ­ averaging ten miles one from the other ; and in that part of Kiangsu lying south of the Yangtze there are over 250 stations, collecting or preventive. The route from Shanghai to Soochow presents a curious condition : the opening of Soochow as a treaty port enables foreign imports to be carried there from Shanghai without further payment of any sort, but in 1904, excluding coal and kerosene oil, the foreign products declared at the Custom House amounted only to Tls.310,000 ; for the rest of the large traffic between the two places the Chinese traders prefer to pay a composition ­ in lieu of likin. To get their goods beyond Soochow into the “ interior,” they would still have to come under the cognisance of the likin authorities, and by recognising that control from Shanghai instead of Soochow, they are enabled to commute on the basis of estimated quantities, which may be made the subject of manipulation and negotiation, and not of actual quantities reported to and published by the Customs. io8 THE CHINESE EMPIRE To get at the amount paid by the people is more difficult in the case of likin than of other taxes. The land tax and the grain tribute are assessed according to registers very strictly kept, and both are under the control of the Hsien» the " Father and Mother of the People ” ; and yet, as we have seen, the regular legal accretion is, at the very lowest estimate, from ioo per cent, up to almost anything in reason-The Salt Administration is an old-established organisation , and yet the actual receipts are threefold the reported col' lection, while the people pay fivefold that amount. Lik in is a new levy, with its own administration independent 0 all other taxing agencies, and the collection is much more # the hands of the officer in charge of each barrier and his sub' ordinates than is possible with other taxes. For the régulât “ accretion ” a calculation may perhaps be based on th e following note :— “ To begin with, these are the 'official fig ur *f used in rendering accounts to the Superior Boards in Peking. When these same figures come to ^ translated to the rustic, they bear a very difiere 11 meaning. A special case, for the facts of which we vouch, will perhaps best illustrate our meaning. fees which a certain junk, chartered by a foreig 116 ^ was called upon to pay in passing a barrier, amount to 12,000 cash. The charterer was not interested ia disputing the amount, but he wished to have a rece# as a voucher for the disbursement, and for tb a purpose he applied to the native office, where b e was tendered a receipt for Tls.4. Failing to cod vince the officials there that Tls.4 could not ^ any possibility be regarded as the equivalent 0 12,000 cash when the market value of the tael about 1,600 cash, he applied to his Consul, claim 111 » either a refund or a receipt for what he had actuad; paid. In the correspondence that ensued the cld e Chinese authority explicitly declared that thoug Tls.4 was the proper charge (which, indeed, ^ easily ascertainable from the tariff), yet a tael ^ REVENUE AND EXPENDITURE 109 not a tael in the ordinary sense of the word, but was such a sum as would enable the local authorities to lay down a tael of the standard weight and purity in Peking, and consequently included a meltage fee, loss on melting, freight, and costs of transmission, and general office expenses, and that all that turned into cash meant, according to old established custom, 12,000 cash for Tls.4. Consequently a receipt for Tls.4, the legal sum, was the only receipt they could give. In other words, the procedure simply amounted to this : that the costs of collection, as far as this particular collectorate was concerned, came to nearly 100 per cent.—that is to say, they practically collected Tls.750, of which Tls.350 were the costs of collecting Tls.4.” * On this it may be remarked that, if 12,000 cash were collected in 1885, it is absolutely certain that, on general principles, 12,000 cash are collected to-day ; and further, that the likin levy has been substantially increased since 1895, and again since 1900. But, while this number of cash in 1885 was equivalent to Tls.750, at to-day’s exchange the equivalence is Tls.10-50 ; and to the legal levy of Tls.4 there is added Tls.6 50, an “ accretion ” of 162 per cent. The collectors of this tax have much more opportunity to annoy traders than is possible with other taxes ; the tax is not paid at the head office either of the Likin Administration or of the traders ; the latter are anxious to get their goods to market, and will willingly pay for expedition ; and the opportunity of the collectors recurs at each barrier to be passed. Moreover, ­ barriers on one route compete with those on another, and composition and under-declaration are recognised incidents ­ of trade ; but, while reducing the amount collected and reported, it is not for a moment to be supposed that the collectors will permit their individual emoluments to be affected unless in a sense favorable to themselves. Students ­ of things Chinese would promptly reject the suggestion ­ that the addition for “ collectors’ expenses,” the * China Mail. Hongkong, 1885. no THE CHINESE EMPIRE personal emoluments of the active agents, can be as low aS io per cent, of the amount collected ; but as this rate has been taken for land tax and other levies, it will be taken fot this head of revenue as well. Taking Mr. Parker’s figures for the reported collection we have, then, the following statement :— Reported likin on general merchandise Accretion at 162 per cent. Collectors’ charges at 10 per cent. .. Total sum paid by taxpayers Tls. .. 11,930,000 .. 19,326,600 .. 3,125,660 Tls.34,382,260 In this is not included the collection on native opium-This product is bashful and retiring, and prefers the by e ' ways to the highways, and it is absolutely certain that th® difference between the sums paid and the amount reporte, is much greater than in the case of general merchandise, calculating it, however, on the same basis we have :— Tls. Reported collection from native opium f . . 2,830,000 Accretion at 162 per cent 4,584,600 Collectors’ charges at 10 per cent 741,460 Total sum paid by taxpayers .. Tls.8,155,060 The consumption of native opium in China is certain Y well over 300,000 piculs, and the total revenue reported & collected from it (taking the year 1904), is the above sum 0 Tls.2,830,000 and a sum of Tls.920,598 collected on mo^ e ment by steamer through the Foreign Customs, making total of Tls.3,750,598 ; in the same year there was collecte by the Foreign Customs from 54,752 piculs of foreign opin the sum of Tls.6,025,121. * “ China : Past and Present.” f Including Tls.870,000 from opium in Manchuria, which h aS separate budget. REVENUE AND EXPENDITURE hi Expenditure When we come to consider the expenditure of the Empire we find ourselves in a labyrinth, and the difficulty is well illustrated by Mr. Parker * in the following words : “To ascertain what is at the present day the expenditure upon each head is no easy matter, for all accounts in China seem to be so arranged as to present as many anfractuosities, callosities, and complications as possible, in clearing which obstructions ­ the silver has, of course, all the more chance of halting piecemeal on the way to its nominal destination. Thus there are allowances on the scale for the melting-pot, for sweating, for wear and tear, for freight, for escort, for the ‘ rice ' of the Board officials who receive it, for local weights, stationery, cartage, haulage, porterage, etc., etc. Wherever any question comes in of turning copper cash into silver, or taels into dollars, or vice versa, of course there is a ‘ squeeze.’ Then there are arrears to be dunned for, advances to be made, loans to other provinces, divertings to meet sudden or unforeseen demands, such as famines, wars, foreign loans, Imperial marriages, birthdays, funerals, etc., etc. Remissions of taxation are very troublesome, for those who have already paid their money never get it back, whilst those who receive payment have an opportunity of juggling with the date of remission, both when it begins and when it ends.” Nor is this all. As we have seen, especially in the case of the land tax, the cost of government is provided for in such a way that the greater part of the charge does not, and cannot, appear in any official account of expenditure. The basic charge on revenue account is increased by legalised and regular accretion, and this again by indeterminate charges which the collectors collect for themselves, and to a * u The Financial Capacity of China.” II2 THE CHINESE EMPIRE great extent at their own sweet will. Both accretion and collectors’ charges are stigmatised by critics of the Chinese Government as “ squeeze,” or extortion ; but, while the method of collection opens the door to personal corruption, still this is the Chinese system. In the West, the collector is paid a fixed salary, with possibly a commission on his takings, but issued from the Treasury ; and the magistrate, the official with a fixed office, is paid by a sufficient and all-inclusive salary. This is not so in China, where both collector and magistrate must fend for themselves. The collector takes his charges, but it is a mistake to supp° se that his takings are all pure profit : to maintain his position he must satisfy all in direct authority over him, thereby securing to his superiors what is considered the just Chinese equivalent of “ salary.” The Hsien will have received the basic tax plus accretion plus what may come to him as h# share in collectors’ charges, and from this must provide f° r the maintenance of all his subordinates, less the proportion which they themselves may have received as their share out of the collectors’ charges ; and he must then provide for the maintenance (what we would term salary) of all in direct control over him or able to influence his appointment or his actions. On his first appointment, and annually ° r at more frequent periods during his tenure of office, he mu^ give gratifications, depending in amount upon the mof e or less lucrative character of his post, to his immediate superiors, the Fu or Prefect, and the Taotai ; and he is th e more bound to satisfy the provincial magnates, Judg e ' Treasurer, Governor, and Viceroy, in whose patronage h e his appointment, retention in office, and promotion ; and h e must not neglect these great men’s secretaries and account' ants, who are in a position to slip a good or evil word hh 0 their master’s ears. So with the Fu and the Taotai. Th e high provincial authorities, too, must fortify their positif at the capital, and a portion of their emoluments, receive from their subordinates, must be passed on, regularly an almost as assessment, to the higher metropolitan officia 5 and Ministers of State, and to the officials of the Palace, any 8 REVENUE AND EXPENDITURE 113 one of whom, if neglected, might have influence to reduce the perquisites of a self-seeking official or delay his promotion, ­ and to put a spoke in the wheel of one who proposed measures to benefit his province. This is the Chinese system, and while a change may be brought about by the spirit of reform which is in the air, this book deals with the past alone ; but, taken as it is, the system obviously prevents any, even approximate, statement of the cost of government in China. Even when we come to what may be called the official budget—the account of collection officially reported and transferred to the control of the Imperial Treasury—we are bewildered by the confusion resulting from the absence of the common purse. This is illustrated by a small item of expenditure, one of Tls.600,000 for the Imperial Household, which is shown in the following note by Mr. Parker * to be drawn from eight different sources :— “ Let us now descend from generalities to a few specific facts. Let us begin with the expenditure of the Emperor himself. Beginning with the year 1866, the annual sum to be sent by the various provincial Customs Stations to the Imperial Household ­ Office was fixed at Tls.300,000 (then about £100,000, but now only equal to half that amount in gold). Two years later it was found that this amount was insufficient, and it was raised to Tls.600,000. This sum is annually ‘ appropriated ’ by the Board of Revenue before the beginning of the year in which it is due. Half has to reach Peking before the middle of July, and the balance a month before the end of the Chinese year, or, say, December. The appropriations ordered by the Board for the year 1896 are as follows :— Tls. Chekiang province, Salt dues fund .. 50,000 Kwangtung „ „ „ .. .. 50,000 Fukien „ Tea „ .. .. 50,000 * “ The Financial Capacity of China.” THE CHINESE EMPIRE 114 Foochow native customs receipts Foochow foreign „ „ Shanghai „ „ ,, North Kwangtung native customs Kiukiang native customs .. Tls. . .100,000 .. 50,00° .. 50,000 .. 100,000 . .150,000 Most of these appropriations are constant year by year, but, to take the year 1887 as an instance of change, in that year the Hupeh salt likin took the place of the Shanghai foreign customs ; and the Kiangsu salt-gabelle (Tls.120,000) and native custom^ at Hwaian (Tls.30,000) took that of the two FoochoW customs combined. It must also be explained that in 1893 the Board of Finance advanced Tls.212,39° to the Buttery Office of the Household, which su# has to be deducted and repaid in 1896.” The sum, Tls.7,000,000, allocated to the maintenance of th e Manchu Bannermen at Peking, is shown to be drawn fro# fifty-two different sources, in sums ranging from Tls.24,00° to Tls.450,000. Subject to full consideration of all these omissions an° of all the obscurity hanging over Chinese accounts, below (pp. 116 and 117) is given the official budget of the province of Honan for 1900, as given by Mr. Jamieson * A province with a population of 21,000,000 contri' butes Tls.i,895,000 (£285,000) for Imperial purposes, an° maintains its own provincial administration, including th e expensive and burdensome Yellow River Conservancy, ° n an expenditure of Tls. 1,678,000 (£250,000) ! Let us now abstract from Mr. Parker’s figures,t the result of long and careful inquiry by a most competen inquirer, the Imperial “ open ” budget for the eighteen provinces constituting China Proper, with certain c ° r ' rections to bring the actual figures up to date. * “ Land Taxation in the Province of Honan.” f “China: Past and Present.” REVENUE AND EXPENDITURE 115 Revenue i. Land tax reported paid in money .. ii. Tribute, whether commuted or not .. iii. Native customs iv. Salt Gabelle V. Miscellaneous taxes, old and new vi. Foreign customs, collection 1905 vii. Likin on general merchandise and native opium Tls. 25.887.000 7.420.000 4.160.000 12.600.000 3.856.000 35.111.000 13.890.000 Total Tls.102,924,000 Expenditure Tls i. Cash remitted to Peking .. .. 9,131,000 ii. Grain or its commutation sent to Peking and cost of transport .. 5,780,000 iii. Frontier Defence .. .. .. 5,415,000 iv. Admiralty general fund .. .. 1,450,000 V. Army, Navy, and Fortifications .. 25,200,000 vi. Arsenals .. .. .. . . 3,385,000 vii. Yellow River and other Conservancies 1,389,000 viii. Foreign Customs allowance and maintenance ­ of Lights 3,942,000 ix. Native Customs, allowance to Inspectorate ­ 370,000 X. Sundry Peking funds .. .. .. 3,842,000 xi. Railway development fund .. .. 550,000 xii. Imperial grants for provincial administration ­ .. .. .. .. 34,042,000 xiii. * Foreign loans and indemnities taken at exchange of 3s. to the tael .. 42,000,000 Total .. Tls.136,496,000 * See Appendix G, page 441. lió THE CHINESE EMPIRE Table showing Revenue and Expenditure of the Province of Honan, 26th Year Kwanghsü, 1900 Revenue Item. Description. Amount. 10 11 Land tax .« .* .. .. .. .. „ „ (supplementary) .. „ grain tax commuted .. Miscellaneous (7 categories of taxes, details not stated) .. .. .. *. * * ». Economies on courier service ,, ,, fixed allowance for Yellow River rcpâirs •• •• •• •• •• •• Deduction of 6 per cent, on all payments (ordinary service) Likin a. a. •• •• a. . . . , [Note.—The likin revenue is said to amount to Tls. 100,000, but as Tls.80,000 are remitted direct by the Likin Administration for the service of foreign loans, the balance only is entered as provincial revenue.] Deductions from the salaries (Yanglien) of the several civil and military officials, 10 to 30 per cent. Rent of public lands and various other items Payments by the various district magistrates in respect to surplus in the collection of land tax arising from difference of scale Total .. # * .. .. Kuping Tls-2,060,000 320.000 480.00 0 200.000 90,000 34 ,ooo 60.000 20.000 21.000 50.000 100,00° 3,435 OOO [Note.—Apparently there is a deficit in the Provincial Budget of Tls.38,000 even allowing ­ for items 13 and 14 of expenditure, which are tersely marked " not paid, no funds.” Moreover, items 5, 6, 7 and 9 on the revenue side are not revenue at all, but are counted as such, probably on the Skimpole principle that money not spent is money earned.] Total a a a a a a a < 3,573,000 REVENUE AND EXPENDITURE 117 Expenditure Item. Amount. Kuping Tls. 14 19 Imperial or extra provincial expenditure— Peking supply (fixed charge) Kansu province, subsidy to Service of foreign loans [Note.—The fixed charge for this item is Tls. 390,000, of which, however, the Changlu Salt Department remits 60,000, the Grain Tax Department 80,000, and the Likin 80,000, leaving, as above, 170,000 as the charge on the general revenues of the province.] Subsidy to the I-chun army corps Remittance to Board of Revenue from grain tax commutation Subsidy to Sung-wu army corps in Shungtung .. Remittance in aid of the Sungkiang-Shanghai Likin Office Yunnan Copper Supply Administration .. Remittances to Imperial Household ,, for upkeep of Yuen-ming-yuen Palace Purchase of silks, damask, etc., for Court Contribution to Northern Railway construction Subsidy for pay of troops in three Manchurian provinces (not paid, no funds available) Peking supplementary subsidy, termed Ku-pen (not paid, no funds available) .. Provincial expenditure— Yellow River repairs, fixed allowance .. Pay of provincial troops : “ Banner,” “ Green,” and “ River ” camps Provincial “ drilled ” force River embankments in the two hsien “ Ho ” and “ Wu ” Salaries (Yanglien) to civil and military officials of the province Pensions, officials of hereditary rank on provincial ­ list Pay of police in eleven hsien River gunboats, dockyard expenses Workshops, etc., under the “ Shan-hou ” office Total ., .. .. .. Total, Imperial and extra provincial „ provincial 200,000 610,000 170,000 173,000 210,000 230,000 20,000 20,000 20,000 2,000 90,000 50,000 40,000 60,000 600,000 330,000 290,000 24,000 303,000 20,000 11,000 50,000 50,000 3,573,000 1,895,000 1,678,000 ii8 THE CHINESE EMPIRE The Imperial expenditure, so far as known or reported, exceeds the Imperial revenue, as reported, by Tls.33,572,000, indicating, as the Government is far from being bankrupt» a considerable degree of elasticity in the revenue. The next step will be to draw up an imaginary statement ­ of revenue according to the amounts presumed to be paid by the taxpayer ; and if, in preparing this, we accept the sums recorded above for “ accretion ” aS representing the general expenses of provincial administration, ­ and those for “ collectors’ charges ” as representing the local or municipal administration, the resultant figures will be readily accepted by all competent investigators as being in all cases well under the fact. i. Land Tax .. ii. Tribute iii. Native Customs iv. Salt Gabelle V. Miscellaneous vi. Foreign Customs vii. Likin Total Imperial Administration Tls. 25,887,000 7,420,000 3,790,000 13,050,000 3,856,000 31,169,000 13,890,000 99,062,000 Provincial Administration. Tls. 67.060.000 15.582.000 1,290,000 26,000,000 5.998.000 3.942.000 22,502,000 142,374,000 Local . Administration. Tls. 9 ,3 i 5»°°° 2,300,000 249’°°° 25,000,00° 985,0°° 1,230,000 3,639^ The grand total here shown, Tls.284,154,000, is an obviously insufficient sum on which to maintain the fabh c of government of an empire like China, but it has be e *j reached by calculations based on a few known facts, al1 does not include any of those delightful exchange opératif which alleviate the burden of officials charged with receiving and disbursing official funds. Such as it is, the statei#^ is offered as throwing some light on a subject veiled 1 obscurity. . V ' ‘ - Bi« i'ï'v ' • l <# : o j\ Specimen of Sword cash. CHAPTER V THE CURRENCY Preliminary ïmSBM ill during the Han SS1 °? * ron ^ as ^ een used for coinage in West Chim yr * asty ( B - c - 2o6 ) an d by various kingdoms the ordinarv rnr ^ century iron coins were times iron waJ^? m w ^ at ^ now Szechwan. In modern was used to further depreciate the coinage of 120 THE CHINESE EMPIRE Hienfeng (a.d. 1851-1861), pieces of iron having then been issued during the time when the mints were cut off fr orn their supplies of copper from Yunnan. These, however, are all intermittent and eccentric currencies which have not endured ; and for present-day discussion we need only consider three kinds—copper, paper and silver. COPPER CURRENCY Early Coins It is only in copper (or bronze) that currency and coinage are synonymous terms in China. Disregarding the archaic uninscribed tokens of rulers before the true historic period, we find the earliest recorded legislation on coinage about a century after the beginning of the Chow Dynasty B.c. 1122), the sovereign having established in b.c. io3 2 certain rules for currency, and enacted that metallic pieces should henceforth be exchangeable according to their weightinscribed coins then came in, but for over three centuries the inscriptions contained no reference to weight or value-Then, in the first half of the seventh century b.c., the enactment ­ of certain rules led gradually to the habit (coinage not being yet, not until b.c. 135, a government prerogative) oí casting coins of regular shapes and sizes and of constant weights ; but even then the earliest known specimen described ­ with weight or value is assigned doubtfully to cifM b.c. 375. The coins circulating from this time were of the shapes called knife and spade or f>u, both being token 5 representing for purposes of barter the implements which constituted .the wealth of the people. Of these the kn# coins represent a more highly developed civilisation, in that the inscriptions are more precise in giving the place of issue and in indicating that they are token currency ; the issue 5 of the latest type, ascribed to the beginning of the fi fS * century of our era, are highly conventionalised, the blade being shortened and the ring having become a thickened copy of the round coin with square hole which had by that time become the common coinage. L m $ Li Specimen of Pu cash. □ Half-tael cash. SJ □ 5-chu cash. THE CURRENCY I2I Inscribed Round Coins Inscribed round coins came in about the seventh century B.C., the earliest known specimens being inscribed as weighing ­ i liang 14 chu or i^-f tael, having a present-day weight of 171 grains ; while others are inscribed with other weights, such as i^f- liang, or with the place of issue and the number of kin or hoes they stood token for. The earlier round hole in the middle (probably a reminiscence of the armlets and rings) soon gave place to the square hole which we know to-day, and from the end of the Chow Dynasty {circa B.c. 255) the coins are inscribed “ Half a tael." The following ­ are the approximate dates for each of the regular shapes of coins :— Knife money b.c. ,, ,, thick and short .. a.d. Spade money (consisting of little hoes with hollow handles) .. b.c. Pu money (variant of Spade) .. b.c. ,, ,, small and thick .. a.d. Round coins, with round holes . . b.c. ,, ,, ,, square holes from b.c. 670-221 7-10 600-350 475-221 10-14 660-336 221. China has had a copper coinage for twenty-five centuries and a coinage of the shape we know to-day uninterruptedly for twenty-one centuries. The issues of half-tael coins must have been very large, since they are in our time by no means uncommon in the trays o the petty hucksters who are found on every street oi every city of the Empire. In course of time they degenerated ­ in size and weight, and (b.c. 118) were replaced by the coins inscribed in seal character “ Five chu " (* tael), which emamed in circulation, side by side with all other issues, to-fl U ^ W ^ rC ^ S °* 7 00 years. This coin, also easily obtainable to-dí^'fS beautifull y cast, 0-95 inch * in diameter, weighing all iJ T 46 t0 51 § rains - Corns with other inscriptions, sea character and none of them dynastic, were issued * Here and later the English inch. 122 THE CHINESE EMPIRE from time to time, until we come to the Golden Age of China—the Tang Dynasty, a.d. 618. Then began the issue of the coins inscribed in square modem character Kai-yuan. Coins with this inscription are recorded as having been issued by the first Tang Emperor (a.d. 618-627), by t e Emperor who took those characters (Kai-yuan) for his reign title (a.d.713-742),by the Emperor TehTsung (a.d.780-7 5), and by the Emperor Wu Tsung (a.d. 841-847), a ° fifty-three years. The first coins to be inscribed with t e title of the reigning Emperor, thus giving an exact date, were issued in the reign of Kienfeng (a.d. 666-668). T is new currency, introduced by a strong and wise governmen in sufficient quantities for the needs of the people, supp ie a type which has endured to this day. With a diameter j of o - 95 inch, they were of the same dimensions and weig as the coins which, until the great melting down of the pas ¡ twenty years, constituted the chih-tsien or standard coinage of the Empire ; and thirty years ago, searching critica y through hundreds of strings of cash in everyday circulation, I found among them not a few of these coins which ha formed part of the ordinary currency of the people or eleven to thirteen centuries, minted before the time o Alfred of England, before Charlemagne was crowned at Rome, and long before a King of France reigned in Paris. T ie type persisted through the Sung Dynasty (a.d. 960-1126), varied by occasional issues of coins of larger size, but generally ­ were of standard size. These issues also were made in sufficient quantities for the needs of the people, and these, too, I have found among coins in present circulation. Speaking of thirty years ago, in every thousand coins there would be two or three of the Tang and ten or twelve of the Sung mintage. The Golden Dynasty of Nfichen Tartars (a.d. 1115-1234) and their contemporaries the Southern Sung (a.d. 1127-1280) issued few coins ; and the Mongols, the Yuan Dynasty (a.d. 1260-1368), ruling the China that Marco Polo knew, issued still smaller quantities, subsisting as it did mainly on fiduciary issues of paper money. The Ming Dynasty then came in (a.d. 1368-1642),and found itself □ TG Sung, A.D. 960-1126. MEM Shun-chih, a.d. 1644-1661 Yung-cheng, a.d. 1723-1735. J ung-chih, a.d. 1862-1874. 123 THE CURRENCY confronted by this financial difficulty. The early rulers were compelled for a time to continue the paper issues of their predecessors, and in addition there was during the first reign, that of Hungwu (a.d. 1368-1399)» some i ssue copper token coinage ; but by the time of Yunglo (a.d. i4°3 _i 4 2 5)> the reign during which the capital was moved to Peking, the finances had been restored from the condition to which they had been reduced by the unlettered and warlike Mongols, and the currency established on a sound basis. For two and a half centuries the Ming Government kept the people fully supplied with circulating media of standard size and weight, the general average of the diameter of the coins ranging from o go to 105 inch, and the standard weight from 46 to 57 grains ; making ample allowance for the longer time that the surviving specimens of Tang and Sung coinage have been in circulation, the Ming coins must be adjudged to be superior to them, and fully equal in appearance ­ to the coinage of the first century of the present Tsing Dynasty, though less in weight. When the Manchus came to the throne, they continued the civil government of their predecessors, merely superadding the military control represented by the now innocuous Tsiang-kün (Tartar Generals) stationed at certain strategic points throughout the Empire, and creating a few milking posts, such as the Hoppo at Canton, a post abolished only in 1904 ; their rule has been in the main a government of the Chinese, by the Chinese, for the Chinese, and in nothing has this been shown more than in their continuance for nearly two centuries of the financial and monetary systems of the Mings. The earliest issues of coinage by the first Emperor to establish himself at Peking, Shunchih (a.d. 1644-1661), bore inscriptions ­ only in Chinese, the first issues having on the reverse only the mint name, the second having in addition the value, one-thousandth of a tael (of silver) ; then, toward the end of his reign, the coins bore the mint name in Chinese and Manchu. His successor, Kanghi (a.d. 1662-1722), continued the bilingual inscriptions through the whole of his reign, but toward the end of the reign, the two mints at Peking, 124 the CHINESE EMPIRE those of the Board of Revenue (Hu-pu) and the Board of Works (Kung-pu, issued coins bearing on the reverse t e mint name and the word “ currency ” in Manchu on y-The coins of Yungcheng (a.d. 1723-1735) are inscribed on the obverse in Chinese and on the reverse in Manchu on y> and this practice has continued to this day. It is in this reign that the coinage of China may be considered to have reached its highest point, in size and weight, in quality 0 metal, and in elegance of inscription ; previous dynasties and previous reigns had equalled it in some one or more 0 these qualities, but not in the combination of all. T e Shunchih coins were generally 0-95 to 105 inch and those of Kanghi roo to no inch in diameter, and both were made of a bright yellow brass ; the Yungcheng coins were generally roo to no inch in diameter, made of a ric light-brown bronze. It was from this time that the degeneration ­ of the coinage began, and it will be well here to interpolate a note on the standard of weight and value. Standard of Weight and Value Leaving to one side the Half-tael and Five-chu ( %% tael) coins, the standard introduced by the Tang Dynasty and continuing in theory until to-day was a part of a bimetallic system, or even (although gold formed no part of the cur rency) of a trimetallic system, by which, in weight, 1 gold = 10 silver = 1,000 copper, these being the metallic exchange equivalents in China thirteen centuries ago. The copped coin of this system was made to weigh one-tenth of a tael, making it in value one-thousandth of a tael of silver. This theory has continued to the present time, and was definitely asserted by the inscription, ten centuries later, on the coins o the first Manchu Emperor. The copper coinage being 2 government concern, while silver was left to the tendel mercies of the bankers, the fixed exchange equivalence, o value, of the coins was treated with relative disregard, whil weight was more or less adhered to. We get into quit another question when we go into the weight of the tael 6 lve c u coins may be assumed to have weighed 5 ch THE CURRENCY 125 or / 4 - tael when first introduced * (though this may be an erroneous assumption), and, as far as numismatics can tell us, they continued to be of the same weight down to the time when they were displaced by the Tang coins, of about the same size, and of a statutory weight of tael - disregarding ­ any difference of tael, this continued to be the desideratum of the mints, the actual weight of the issues varying, however, according to the laws of supply and demand, to the varying ratio between silver and copper, and to the ostensible necessity of maintaining a bimetallic proportion in the currency, but seldom falling below -joo tael. During the first reign of the Tsing Dynasty the weight was yg tael, afterwards raised to yyyõ tael, and under Kanghi, a.d. 1684, the weight was again reduced to y^ tael, to be again raised, a.d. 1702, to y^y tael, and again reduced to yyo tael. This continued to be the statutory weight through the reign of Yungcheng and into the beginning of that of Kienlung (a.d. 1736), when it was again made yg tael. During this long reign of sixty years degeneration made progress, in appearance and in quality, and in the size and weight of the coins ; the government was still vigorous, with no sign of dry rot, and we may assume that it was the * Under the Chow Dynasty, on the evidence of the coins, the liang of 24 chu was probably 97-5 grains, giving 4-06 grains as the weight of the chu. The “ First Emperor,” Shih Hwangti, in the twenty-sixth year of his reign as Prince and the first year of his assumption of the Imperial dignity (b.c. 221), issued an edict increasing ­ the weight and fixing the standard. On the authority of Mr. F. H. Chalfant (Journal N.C.B.R.A.S. 1903-4) the standard was as follows :— X chu .. .. .. .. 068 gramme = 10-5 grains 24 chu = i liang .. .. 16-35 grammes = 252-5 grains This standard was probably continued into the Han Dynasty, which soon (b.c. 206) followed the Tsin ; and the first ruler of the Northern Tsi (a.d. 550) enacted that a hundred 5-chu coins should actually weigh 500 chu, “ otherwise 1 kin 4 liang 20 chu.” The actual weight (46 to 51 grains) of surviving specimens of 5-chu coins corresponds ­ closely with the theoretic weight (52-5 grains) of this standard. When the standard was again raised is not on record ; but the first Tang coins issued seventy years later (a.d. 618) were presumably one-tenth of the modern liang of 570 to 580 grains. 126 THE CHINESE EMPIRE struggle between the mints and the illegal melter dowh of too-full-weight coins, and that, to keep the curren from the melting crucible, the mints were driven to re u ^ the intrinsic value more and more. Whatever the cause, coinage became by degrees smaller and lighter, issues a beginning of the reign having a diameter of i' 10 hic r un weighing y^¡j tael, while at the end of the eighteenth cen ury official issues (no account being taken of illicit coining, s common in China) were so small as o'8$ or even o 80 me , and weighed no more than tael. A memorialist jus a century ago reported to the Throne that, of the coins 1^ common circulation, from i to 2 per cent, weighed Too a and over, while 30 to 40 per cent, weighed the full legal y 0 ae ' The coins of the period Kiaking (a.d. 1796-1820) were o light weight, but ordinarily were still well minted , it 1S 11 the following reign, Taokwang (a.d. 1821-185°) > that rough crude issues of the mints, which we see to-day, ma e their first appearance ; and the present tendency we sec in a memorial from the Governor-General of Shengking, ae November 1899, m which he reports to the Throne t a coins weighing y-jy^ tael, such as were issued in other provinces, involve a loss, and that he is therefore minting them a Too tael weight. It is safe to say that there will be no pro r from melting down such coins, and that the illicit issues o counterfeiters will not be much less attractive in appearance or appreciably less in value. Token Coinage In the reign of Hienfeng (a.d. 1851-1861) the govern ment fell on troubled times, with revenues reduced y wide-spread rebellion ; and, partly from this cause, partly because it was unable to get supplies of copper, recourse was had to issues of token coins. This depreciated money was issued in two forms—iron coins having the same dimensions and face value as the ordinary copper currency, and copper token coins in multiples of the ordinary cash. The iron coins had a temporary success, but within four years, in February 1857, there was a popular rising against them, and in a day they lost their currency. *>WK B i :.■•;■■ v-fW k % : 0 IP + IO cash, A.d. 1853-1861. Ä 10 cash, a.d. 1853-1861 p ff o & % t 10 cash, A.D. 1905. THE CURRENCY 127 The first tokens issued (in 1853) were 10-cash pieces with a diameter of 1 50 inch, but these were soon reduced to a maximum diameter of i'20 inch and a minimum for official issues during the present reign of Kwanghsü which may be put at roo inch. The provinces soon followed suit and 10-cash pieces were issued by all the provincial mints except those of Hunan and Kwangtung. Other values also followed, including coins of a face value of 5» 8, 10, 20, 30, 50, 100, 200, 500, and 1,000 cash. The issues of the Fukien mint (bearing in mind that they were cast, and not rolled or stamped) are beautiful specimens of numismatology, and heavier than the contemporary coins of other mints ; and I give here the particulars of a series which lies before me. These token coins took no hold in the provinces and may be said not to have entered into the currency system of the Empire, except that, curiously enough, in Peking itself, though not in the province of Chihli, immediately around it, the patriotism, or the self-interest, or the timidity of the people led to their immediate adoption, and the 10-cash 1 pieces (but none of the others) have continuously for fifty ! years past constituted the sole circulating medium of the j capital. It must not be supposed however that, even at Peking, the 10-cash piece is considered to be worth, or is accepted for, ten cash.f The Chinese never have treated their coinage as coins, passing on their face value irrespective ­ of their intrinsic worth, but have always looked beneath Caesar’s superscription ; and the token currency of the capital is rated closely to the value of the metal contained in it. An estimate of the true intrinsic value of Weight inscribed on rim 0*50 tael, t Cash, from the Sanskrit Kärsha, Kãrshapana, the translation in English of the Chinese “ Copper coin.” 10-cash 1-45 inch 20-cash 180 ,, 50-cash 222 ,, 100-cash 2 (63 ,, Value. Diameter. oil inch Thickness. Weight. 321 grains * 012 „ 0-20 „ 0-25 „ I2Ö THE CHINESE EMPIRE a copper coinage in China must depend upon the gol ex change with silver, the gold price of copper and spe tei, and the exchange between silver and the copper coinage, and the resultant of this triangular calculation will nevei be the same from day to day ; but taking all the conditions as they were at a certain time in 1905, I found that foi one Mexican dollar I received at Shanghai 880 ordinary cas in common circulation, containing an ordinary proportion of illicit coins, of an intrinsic value of 26 4 P ence » and that for one Mexican dollar at Peking I received actúa y 405, being nominally * 413 pieces of 10-cash, with an actúa face value of 4,130 and a nominal f face value of 8,2 o cash, having an intrinsic value of 29 45 pence. The actual value in each case is somewhat, but proportionately, sma er, since I took as the basis of the fourth element in t e estimate—the alloy of metal in the coins—the standar proportion of 60 parts of copper to 40 of spelter, whi e the proportion of copper is sometimes as low as 55-We come now to the latest issue of token coinage, the cent. This was issued to supply a real deficiency m the —^ ^ ^ Jr IrJ ^ c circulating medium, due to extensive melting down o the regular coinage and the impossibility of the government supplying the wastage, both occasioned by the increasing intrinsic value of the copper contents. This coin was a close imitation of the Hongkong cent (y oli a silvei dollar) and the issues from the Kwangtung mint are inscribed “ 100 to a dollar," but those from all other mints are inscribed ­ “ represents 10 cash." While their workmanship differs, their intrinsic value is fairly uniform ; with a diameter of no inch, some are of pure copper and weigh 112 grains, others contain 95 percent, of copper and weigh Ix 5 grains, having an intrinsic value (on the date in I9®5 referred to above) of 12 pence for 100 coins or 10 5 p ence for the then exchange equivalent of one dollar. There were also some limited issues of brass “ cents " containing o per cent, of copper and 20 per cent, of spelter. At first the cents passed for their full face value of 10 cash or 88 * V. infra, page 130. t V. infra, page 132. THE CURRENCY 129 to the silver dollar, but by July 1906 they had depreciated to a value of 7 cash, or 112 to the dollar, recovering at the end of 1906 to 107 to the dollar. Mint Statistics The people of China are voracious in their consumption of cash, but it is not easy to get statistics, the only fact I can note of earlier periods being that at the beginning of the ninth century a.d. the quantity issued annually was 135,000,000. From Edkins * I give figures of the quantities ­ issued by the mints for certain years of the first century of the present dynasty. Shunchih Kanghi a.d. 1644 1645 1646 1647 1648 , 1650 , 1652 , 1653 , 1654 , 1655 , 1660 , 1661 , 1666 , 1671 , 1676 71,663,900 443.75i>76o 624,823,960 1,333.384.194 1,449,494,200 1,682,424,510 2,097,632,850 2,521,663,740 2,488,544,460 2,413,878,080 280,394,280 291,584,600 295,879,800 290,475,830 231,365,360 cash I Kanghi 20 „ 25 „ 30 ,, 35 „ 40 „ 45 :: P „ 60 Yungcheng 1 „ 4 6 ,, 8 ,, 9 A.D. 1681 1686 1691 1696 170I 1706 171I 1717 1721 i 1723 , 1726 , 1727 , 1728 , 1730 , 1731 231,398,600 289,936,700 289.925.400 237,063,050 238.065.800 238.075.800 374.933.400 399,167,300 437,325,800 499,200 675,160 723.528.000 746.304.000 757.865.000 1,048,759,660 cash At three periods of the nineteenth century we have figures giving the issues of each mint. 1800-1830 Fixed, quota. 1831 1865 Peking Chihli .. Shansi .. Shensi .. Szechwan Hunan Hupeh .. Kiangsi Kiangsu Chekiang Fukien Kwangtung Kwangsi Yunnan Kweichow Hi 899,856,000 60.666.000 17.472.000 87.360.000 194.127.000 47.880.000 84.000. 000 41.928.000 111.804.000 129.600.000 43.200.000 34.560.000 24.000. 000 179.784.000 94.860.000 1,122,000 — t 60.666.000 17.472.000 94.584.000 194.127.000 47.880.000 84.000. 000 41.928.000 111.804.000 129.600.000 43.200.000 34.560.000 24.000. 000 5.760.000 4.464.000 1.122.000 1,349,784,000 60,756,840 17.472.000 94,589,040 157,733,333 48.054.000 84.420.000 42,037,992 111,992,052 129,600,000 43.200.000 34.560.000 24,000,000 170,569,080 89,773,200 1,122,000 * “Chinese Currency,” by J. Edkins, Shanghai, 1901. t Probably the same as in the period 1800-1830. 9 I 3 0 THE CHINESE EMPIRE A close correspondence in the issues of certain mints in the three columns will suggest the danger which a ways confronts the investigator in China, from the common a of reporting that which should be as being that w 1C 1 Of the “ cents " it is estimated that 12,500,000,000 wer issued up to the end of 1906, and it appears probab e a over a third of these came from the Hupeh mint. Variability of Tiao Cash are strung on strings, in rolls of 100, of which 10 go to the string or tiao, or ch‘uan, formerly calle Nothing is ever done in China for nothing, and no °PP°* tunity is ever lost of making a little extra proiit or a 8 niappe ; and the money-changers have always c ar 8 e for their trouble in stringing, and for the cost of the s nng. This charge is made by deducting one, or two, or t tree, or four cash from each hundred ; the deduction is more or less (as everything in China is “ more or less ’ ) recognise and fixed for each place, with the result that the tiao o 1,000 cash contains in one place 970 and in another p ace 980 actual coins, the full tiao passing however for 1,000 cash. The local quota is fixed, and the peasant who shou c receive 980 but actually gets only 975, will feel tha 10 is not receiving his due and will enter at once upon ia war of wits which delights the heart of every Chinaman. The following newspaper cutting * will give a clearer picture of the situation than anything I can write, wha is said of the cent being true also of the cash. "Wusueh, Hupeh, May 1» i9°6-“ This particular part of the Hupeh province has long been distinguished for its variety of rates of exchange. A nominal 100 cash has for a long time been worth 97 in actual cash at Wusueh, 98 at Lungping ­ ten miles away, 97 or 98 in different classes of transactions at Hsingkuo ninety miles away, an(a 99 a t Chichón the same distance away in another * North-China Daily News, May nth, 1906. THE CURRENCY 131 direction. To complicate matters, the only cash bills which are popular are issued by a Wusueh bank and are current in all these towns, but not at face value. At Wusueh a bill equals 1,000 cash, at Lungping ­ one has to give ten cash and a bill for a thousand, at Chichou one must add twenty cash to the bill. When the copper 10-cash pieces became current (and the only currency, for cash is not now to be had at the banks) the banks had to settle all these monetary problems afresh. At the mint the copper pieces are sold at 98, i.e. 100 copper pieces equal 1,000 cash, reckoned at 98 to the hundred, so that when paying 100 cash one pays ten pieces, but when paying 99 or 98 cash one also pays ten pieces. At Chichou the banks decided to issue 100 copper pieces for a cash bill, thus saving money on the transaction, as they bought the pieces at Wuchang at 98 and paid them out instead of 1,000 copper cash at 99. At Lungping they had to be content without gains. At Wusueh the banks pondered, for if they bought the copper pieces at 98 and then gave 100 for a bill in a place where the rate was 97 they would lose ten cash on each hundred. ­ They therefore decided to take one coin out of each packet they got from the mint. Had they stopped here all would have gone smoothly, for the shopkeepers ­ would have deducted one cash from each ten copper pieces which they paid out, and no one would have lost anything. But old-time custom has allowed ­ the banks to charge two cash for the piece of string on which the cash were threaded, and the banks did not like to yield this squeeze, so they proceeded to take a second copper piece out of each packet from the mint and put eight cash back, thus getting the two cash for the string which they no longer provided. Of course the shopkeepers objected, for they could not divide up two cash among a hundred ­ coins. If they allowed this deduction, the loss of the two cash must inevitably fall on the man who 132 THE CHINESE EMPIRE broke the parcel of copper pieces. The result was that the matter was referred to the officials, and after plea and counter-plea, the shopkeepers have won, and by proclamation the rate in Wusueh from tomorrow ­ will be 98 to the 100, so that the banks wi hand over unbroken packets of copper coins. Does not the commercial strength of the Chinese lie just in this pertinacious struggling against the smallest losses . Double Value of Cash in North China In the north (Chihli, Shantung) one cash counts for two. The price of an article being there quoted at 100 cash, you hand over 50 coins, at 2 tiao you give what in the south constitutes 1 tiao. The same rule of deduction holds here too, and the tiao nominally of 1,000 and nominallyactually of 980 cash contains actually 49° c0 * ns ; ^ Peking, too, the rule holds good, and the tiao nominally of 1,000 cash, i.e. nominally of 100 and nominally-actually of 98 pieces of 10-cash actually contains 49 pieces of 10-cash =20-cash. In Manchuria the tiao consists of 160 ordinary (small) cash. I make no excuse for devoting so much of my space to this part of my subject. The copper coinage is the currency of the people, in which the daily transactions of four hundred millions are carried on. The importer and the exporter have an exchange question ever present ; the wholesale dealer buys and sells with taels of silver bullion ; but the shopkeeper sells his commodities, and the artisan and the farmer sell the produce of their labour, for copper coins, and with these copper coins buy what will suffice for their daily needs. The basis of the currency system of the Empire is the copper cash which was originally yoVo of a tael of silver, worth only a generation ago the third of a pound sterling ; and of this copper cash, at the exchange ruling a couple of years ago, it took approximately 10,00c to equal a pound sterling, 2,000 an American dollar, 5 oC a mark, and 400 a franc. THE CURRENCY 133 PAPER MONEY Paper money comes to be considered next, since, speaking generally and exceptis excipiendis, it is in China based on copper and not on silver. There is no record to show when bank issues first began, and to-day the notes of money-changers circulate readily within a radius limited only by the credit and reputation of the issuing firm. It is not my purpose, however, to consider private issues, but only the fiduciary issues of fiat money made by the government. ­ Tang and Sung Notes The first government notes of which the issue is recorded ­ were of the Tang Dynasty. The Emperor Hientsung (a.d. 806-821) on account of the scarcity of cash, issued an edict prohibiting the manufacture of copper utensils, such as basins and kettles ; and, to provide for the monetary stringency, opened offices at the capital at which merchants could deposit their coin, receiving in exchange government notes, called “ bonds " or “ flying money ” ; the offices represented the different provinces, and the notes were redeemable at the proper provincial capital. Translated into modern terms, this means that the government began to issue paper money. These issues continued to the end of the Tang period. The first Emperor of the Sung period (a.d. 960) followed the custom of the Tang Dynasty and issued government notes at large commercial ­ centres, redeemable at other large centres. As described, these notes served rather the purpose of bills of exchange, but it is hard to believe that the government did not avail itself of the opportunity to get something for nothing, and to pay some portion of its obligations in this form. In a.d. 997 the amount of these notes outstanding was 1,700,000 strings (tiao) of cash, and in a.d. 1017 was 2 .93°,000 strings. It was in the state of Shuh, the present province of Szechwan, that the true paper money was first introduced ; these were notes issued without being guaranteed by some 134 THE CHINESE EMPIRE hypothecated value. A certain Chang Yung introduced them to take the place of the iron money, which was in conveniently heavy and troublesome. These bills wer called chih-tsi or evidences. During the reign of Chengtsung of the Sung Dynasty (a.d. 997-1022), this practice was followed, and the notes were called kiao-tze or change mgs. They were made payable every three years ; thus, in six y five years they were redeemable twenty-two times ; each no e was worth a thousand cash, or a tael of pure silver. Fifteen o the richest houses managed this financial operation , u in course of time they were unable to fulfil their engage ments, and all became bankrupt, which gave rise to many lawsuits. The Emperor annulled the notes of this company , and deprived his subjects of the power to issue bank- 1 s > reserving it to himself to establish a bank of issue at Yihc ao. By the year 1032 there were more than 1,256,34° tcU ^ worth of “ changelings ” in circulation in China. In 10 ’ having ascertained that counterfeits were issued, the government made a law that persons making false bi s should be punished the same as those who falsified govern ment orders. Later than this, and at different applications, banks for the issue of the kiao-tze were established in many provinces, and the notes of one province were not circulated in another. Their terms of payment and modes of cir culation, too, varied at different times.* Southern Sung Notes For the twelfth and the first half of the thirteenth centuries the country was divided between the Southern Sung and the Golden Dynasty of Nfichen Tartars, and both ran a mad race in the issue of assignats. Of the latter government we have few records, but of the doings of the southern kingdom Klaproth gives us the following note :— Under the Emperor Kiotsung, in A.D. 1*3*» ^ was attempted to make a military establishment at Wuchow, but as the requisite funds did not come m * Klaproth, “ Mémoires relatifs à l’Asie,” THE CURRENCY 135 without great difficulty, the officers charged with the matter proposed to the Board of Revenue to issue Kwan-tze or due bills, with which they could pay the sutlers of the troops ; and which should be redeemable at a special office. Abuses soon crept into the details of this plan, and the people began to murmur. Later, and under the same reign, similar due bills to these were put into circulation in other provinces. During the reign of this same monarch, the Board of Revenue issued a new sort of paper money called hwei-tze or exchanges ; these were, at first, payable only in the province of Chekiang and thereabouts, but they soon extended to all parts of the Empire. The papei of which they were made was originally fabricated only in the cities of Hweichow and Kichow in Kiangnan ; subsequently, it was also manufactured in Chengtu-fu in Szechwan, and Linan-fu in Chekiang. The hwei-tze first issued were worth a string of a thousand cash, but under the reign of Hiao-tsung, in 1163, they were issued of the value of 500, 300, and zoocash each. In five years, Cg. up to the seventh month of the year 1166, there had already been sent out more than 28,000,000 taels’ worth of these notes ; and by the eleventh month of this year, this sum had been increased 15,600,000 taels. During the further sway of the Sung Dynasty, the number of the hwei-tze was constantly on the increase ; and besides this description ­ of note, there were some of the Kiao-tze still extant, and notes of private individuals current in the provinces ; so that the country was inundated with paper notes, which were daily depreciated in value in spite of all the modifications and changes the government ­ adopted to augment their circulation. “ At last, under the reign of Li-tsung of the same dynasty, in 1264, the minister Kia Sze-tau, seeing their value so small, endeavored to substitute for a part of hwei-tze some new assignats which he called yin-kwan or silver obligations. Those hwei-tze which 136 THE CHINESE EMPIRE were technically named ‘ seventeen terms were withdrawn entirely ; and three of those ca ec ‘ eighteen terms ’ were exchanged for one note o the new currency which bore the character kia. Bu although even those bills which were torn were receive in pay for taxes, the minister was not able to get t e Treasury paper into circulation, nor to lessen the price oí commodities.” Mongol Notes The Mongols then came in (a.d. 1260) and founded the Yuan Dynasty. An unlettered race of warriors, they could devise no better means of providing for the needs of their government than to continue the practice which they foun in vogue and issue paper money. Copper cash and silver had been driven from their dominions ; and with the chic sources of supply of both metals in the southern provinces, it would require a longer period of peace and a higher development of commerce than was possible under Mongol rule, for the ways to be opened to allow the deficiency to be made good. From Marco Polo we hear much of the great wealth and the high development of commerce in the Mongo realm, but we must recall what was the state of the Europe of that day with which alone he could make comparison , apart from the record of history, the coinage alone would tell us that China from the seventh to the eleventh century was far more prosperous and more highly developed than in the thirteenth century. To show the available resources of the Treasury at a time a little later but during the same (Mongol) dynasty, the following note, showing the tribute actually received by the Imperial Treasury, in a year of great prosperity, is illuminating :— a.d. 1329. 989 ting (= 49,450 taels) of silver and notes ; I > I 33» II 9 strings of cowrie shells ; 1,098,843 catties of raw silk; 350,530 rolls of woven silk; 72,915 ca íes of cotton ; 211,223 pieces of woven cloth ; 3.255.220 piculs of rice. THE CURRENCY 137 The first issue of Mongol government notes was made in the first year (a.d. 1260) of Kublai Khan, the title of whose reign was Chung-tung, and the successive issues in this and the following reigns must be briefly summarised. a.d. 1260. Kiao-chao, representing silk, a continuation of the issues then in vogue ; fifty taels of silver would buy 1,000 taels of silk, represented by notes of the face value of 1,000 taels. (So stated by Edkins.) a.d. 1260. November. Issue of notes Chung-tung-chao of 10, 20, 30, 50, 100, 200, 500, 1,000 and 2,000 cash. A note for 1,000 cash was worth a tael in Kiao-chao currency, and 2,000 cash in Kiao-chao currency represented ­ one tael in silver.—(N.B. one cash= T ^Q tael.) a.d. 1264. Treasury established in each province ; notes representing 12,000 ting = 600,000 taels constituted bank-note reserve. a.d. 1275. Li-chao notes issued, of 2, 3, and 5 cash, but soon withdrawn. a.d. 1287. Chih-yuau-chao notes issued of eleven denominations ­ from 5 to 2,000 cash. A tael of silver exchanged for 2,000 cash and a tael of gold for 20,000 cash in these notes. a.d. 1309. Chih-ta-chao notes issued of thirteen denominations ­ from 2 cash to 2 taels of silver. One chih-ta-chao (tael of silver) was equivalent to 3,000 chih-yuan-chao cash, a depreciation in twenty-two years of 60 per cent. a.d. 1312-1321. During the reign of Jen-tsung there was over-issue of notes, and the issue of the Chih-ta notes for silver was stopped. The Chung-tung and Chihyuan notes continued to circulate to the end of the Mongol Dynasty. We have a record of the issues (which must include reissues ­ for obliterated notes) for the first seventy years from a.d. 1260, which, not including Kublai’s issue of Kiao-chao, gives us a total issue of irredeemable paper money in sixtyour of the first seventy years of Mongol rule amounting to 47,611,276 ting or 2,380,563,800 taels nominal face value, the 138 THE CHINESE EMPIRE tael being always taken as equivalent to 1,000 cash. This is an average of over 37,000,000 taels a year ; and, as the coac gains in speed in running down hill, we may assume foi t ie whole dynastic period of 108 years an annual average o 40,000,000 taels, at a time when the richest of the sovereigns of Europe, placed inexorably upon a cash basis, counte himself passing rich in any year in which his budget excee e the equivalent of a million taels. How this situation struc v an intelligent European, ignorant of the use of instruments of credit and bewildered by the apparent signs of wea ti around him, is shown in Marco Polo’s comment ; and reproduce it here to demonstrate how changed is Europe and how unchanged is China in the six centuries which have elapsed since it was written. “ The Emperor’s Mint then is in this same City of Cambuluc, and the way it is wrought is such that you might say he hath the Secret of Alchemy in perfection, and you would be right ! For he makes his money after this fashion. “ He makes them take of the bark of a certain tree, in fact of the Mulberry Tree, the leaves of which are the food of the silkworms—these trees being so numerous that whole districts are full of them. What they take is a certain fine white bast or skin which lies between the wood of the tree and the thick outer bar , and this they make into something resembling sheets of paper, but black. When these sheets have been prepared they are cut up into pieces of different sizes. The smallest of these sizes is worth a half tornesel , the next, a little larger, one tornesel ; one a little larger still is worth half a silver groat of Venice ; another a whole groat ; other yet two groats, five groats, and ten groats. There is also a kind worth one bezant of gold, and others of three bezants, and so up to ten.* All these pieces of paper are [issued with as much solemnity The bezant is taken to equal one tael of silver, or 1,000 cash. One bezant = 20 groats =133^ tornesel. THE CURRENCY 139 and authority as if they were of pure gold or silver ; and on every piece a variety of officials, whose duty it is, have to write their names, and to put their seals. And when all is prepared duly, the chief officer deputed by the Kaan smears the Seal entrusted to him with vermilion, and impresses it on the paper, so that the form of the Seal remains stamped upon it in red ; the Money is then authentic. Any one forging it would be punished with death]. And the Kaan causes every year to be made such a vast quantity of this money, which costs him nothing, that it must equal in amount all the treasure in the world. “ With these pieces of paper, made as I have described, he causes all payments on his own account to be made ; and he makes them to pass current universally over all his kingdoms and provinces and territories and whithersoever his power and sovereignty ­ extends. And nobody, however important he may think himself, dares to refuse them on pain of death. And indeed everybody takes them readily, for wheresoever a person may go throughout the Great Kaan's dominions he shall find these pieces of paper current, and shall be able to transact all sales and purchases of goods by means of them just as well as if they were coins of pure gold. And all the while they are so light that ten bezants’ worth does not weigh one golden bezant. “ Furthermore all merchants arriving from India or other countries and bringing with them gold or silver or gems and pearls, are prohibited from selling to any one but the Emperor. He has twelve experts chosen for this business, men of shrewdness and experience ­ in such affairs ; these appraise the articles, and the Emperor then pays a liberal price for them in those pieces of paper. The merchants accept his price readily, for in the first place they would not get so good an one from anybody else, and secondly, they are paid without any delay. And with this paper- 140 THE CHINESE EMPIRE money they can buy what they like anywhere over the Empire, whilst it is also vastly lighter to carry about on their journeys. And it is a truth that the merchants will several times in the year bring wares to the amount of 400,000 bezants, and the Grand Sire pays for all in that paper. So he buys such a quantity of those precious things every year that his treasure is endless, whilst all the time the money he pays away costs him nothing at all. Moreover several times in the year proclamation is made through the city that any one who may have gold or silver or gems or peails, by taking them to the Mint shall get a handsome price for them. And the owners are glad to do this, because they would find no other purchaser give so large a price. Thus the quantity they bring in is marvellous, though those who do not choose to do so may let it alone. Still, in this way, nearly all the valuables in the country come into the Kaan’s possession. “ When any of those pieces of paper are spoilt not that they are so very flimsy neither—the owner carries them to the Mint, and by paying 3 P er cent on the value he gets new pieces in exchange. And if any Baron, or any one else soever, hath need of gold or silver or gems or pearls, in order to make plate, or girdles or the like, he goes to the Mint and buys as much as he list, paying in this paper-money. Now you have heard the ways and means whereby ­ the Great Kaan may have, and in fact has, more treasure than all the kings in the World and you know all about it and the reason why.” * Ming Notes Bayonets form a poor seat for the throne of a ruler, and a constant diet of irredeemable assignats is not nutritious. 1 all the warlike prowess and rough hardihood of the ongo s, weakened though they may have been by a life of T , The Rook of Ser Marco Polo,” translated by Col. Henry Yule. London, 1871. Book II. Chap, xxiv, o o o o o o o 6=3 * m © 7 O m o m o o o o o o m —tm Jb ufsii LöTu {U n pH m *r* ru ¿OX 5\i\sw# UtAAi^ in P^XSVgj Cash issued by the Rrst Ming Bmpetor THE CURRENCY 141 luxury, their throne, which endured for three centuries in India, fell after a single century of dominion in China before the assault of the unwarlike Chinese, driven to rebellion by the burden of heavy taxation and by the evils of an irredeemable and depreciated paper currency. The first Ming Emperor, T‘ai Tsu, whose reign title was Hungwu (a.d. 1368-1398), found himself confronted by a financial situation of grave difficulty, and was compelled for a time to continue, with all its evils, the currency system of his predecessors. ­ Government notes were therefore issued, but other steps were taken to place the Imperial finances on a sound basis, and it redounds to the credit of the government ­ that, in a single reign and a single generation, they were able to “ resume specie payments.” I have been unable to obtain a copy of a Mongol government ­ note, which would have had a special interest as illustrating the currency, the benefits of which Ser Marco Polo described in such glowing terms to an open-mouthed and open-eared Europe. I give, however, a reduced reproduction of a note for 1,000 cash issued by the first Ming Emperor (Hungwu, a.d. 1368-1398), who may be assumed to have followed closely the procedure and copied the forms of his predecessors. This 500-year-old instrument of credit has a curious history, furnishing an absolute guarantee of its authenticity. During the foreign occupation of Peking in 1900-1 some European soldiers had overthrown a sacred image of Buddha, in the grounds of the Summer Palace, and, deposited in the pedestal (as in the corner-stones of our public buildings), found gems and jewelry and ingots of gold and silver and a bundle of these notes. Contented with the loot having intrinsic value, the soldiers readily surrendered the bundle of notes to a bystander ­ who was present “ unofficially,” Surgeon Major Louis Livingston Seaman, U.S.A., of New York, and he gave to the Museum of St. John’s College at Shanghai the specimen which is here reproduced. The note is printed on mulberry-bark paper, which now is of a dark slate colour, the “ something resembling sheets vwa V RëïïnJ^JlÎu •4 imuw4tfu=V m vr-«t 3 < »r» 3 3 DD u «t aJlxJ Diiru nj %*& *r % JlAiM# **< cmn in m iciNAKa Ming Note for looo Cash issued by the first Ming Empe Î42 THE CHINESE EMPIRE of paper, but black ” of Marco Polo’s description. The sheet of paper is 13'5 by 875 inches, and the design on the face is 12 6 by 8 3 inches. The border, 14 w ^ e ’ 1S made of extended dragons filled around with an arabesque design, and is surmounted by a panel with the inscription (from right to left) “circulating government note of I e Ming Empire.” The space within the border is divide into two panels. The upper has on the two sides in conventionalised ­ square seal characters, on the right government ­ note of the Ming Empire,” on the left “ circulating for ever and ever ” ; between these two inscriptions, above, in large ordinary characters “ one kwan ” (or tiao or string), and below a pictorial illustration representing ten hunch eels of cash. The lower panel contains the following . e Imperial Board of Revenue having memorialised the 1 hi one has received the Imperial sanction for the issue of government ­ notes of the Ming Empire, to circulate on the same footing as standard cash. To counterfeit is death. T e informant will receive 250 taels of silver and in addition the entire property of the criminal. Hungwu Y ear month day.” A seal 3 25 inches square is impressed in vermilion once on the upper pane , once on the lower panel, bearing in square seal char acters the legend “The Seal of the Government Note Administrators.” On the back of the note, above, is impressed in vermilion a seal bearing in square sea characters the legend “ Seal for Circulating Government Notes” ; below, within a border 6 2 by 41 inches, is repeated the middle part of the upper panel of the face—one kwan, with a pictorial illustration representing ten hundreds of cash. Hienfeng Notes. From A.D. 1403, it may be said, or at any rate from some time in the reign of Yunglo (A.D. 1403-1425)» th ere were no fiduciary issues by the government, either of the Ming or the Tsing, until we come to the troubled times of Hienfeng (A.D. 1851—1861), when the necessities of the THE CURRENCY 143 Treasury drove it to this method of replenishing its depleted reserves. In 1853, the year in which the issue of token coins began, the government resumed, after an interval of four and a half centuries, the issue of paper money, nominally redeemable but in practice never redeemed. The notes so issued were of two kinds, for copper cash and for taels of silver. The cash notes were of four denominations, 500, 1,000, 1,500, and 2,000 cash, and the silver notes were for 1, 3, 5> 10, and 50 taels of the Metropolitan or Two-tael scale.* Ihe issue of both was forced, but they rapidly depreciated in value until, in 1861, they circulated at only 3 per cent, of their face value, and soon disappeared from circulation. For nearly forty years from the accession of Tungchih (a.d. 1862) the issue of paper instruments of credit was left entirely to private hands, banks, and money-changers ; but recently some provincial governments, driven by the steady absorption of their revenues for Imperial purposes, have resumed the issue of government notes. Their re-introduction is of too recent a date to permit any extended comment upon the wisdom of the step, or upon the precautions ­ adopted to secure their convertibility ; but the partial acceptance which they have obtained is based on reasons which carry us back eleven hundred years. The circulation of the notes of private banks is limited to the radius of credit of the issuing bank ; the Tang government notes were acceptable chiefly because they furnished a safe and convenient means of transferring funds from place to place ; and, rather to the dismay of the authorities, this facility of transferring funds provides the chief reason for the circulation within the limits of a given province of present issues of government notes. SILVER CURRENCY Bimetallic Ratio There has always, for thirteen centuries at least, and in theory, been a more or less recognised correspondence * See page 156. 144 THE CHINESE EMPIRE and fixed ratio of convertibility between the coppei and the silver currency of the Empire ; and among the many facts which show this, I need only refer to the few whic have been mentioned above. The Tang coinage of t e seventh century a.d. was based on the trimetallic ra i° of i gold = io silver — 1,000 copper ; in the paper money issues of the Southern Sung and the Yuan, from the twe tito ­ the fourteenth centuries, the tiao or string, or thousan > of paper-money cash and the tael of silver are always regarded as synonymous terms (c./ Marco Polo, ubi supra), notwithstanding the fact that the paper money was muc depreciated ; and the first Manchu Emperor (a.d. 1644h in his desire to conform in every way to Chinese theory and practice, inscribed on his coins their theoretic silver value, Y\hòõ of a tael. Silver Coins Five centuries after the Tang rulers had either fixed the bimetallic ratio or had adopted that which they found in existence, silver had appreciated to double its value in its relation to copper cash, one shoe of 50 taels of silver exchanging ­ for 100,000 cash ; and about a.d. 1183, during the reign of Hiaotsung, the second Emperor of the Southern Sung, China for the first, and (until a few years ago) las and only time, minted silver coins. There were five kinds, weighing 1, 2, 3, 5, and 10 taels respectively, each tael passing for 2,000 cash. They could be used as official and commercial currency, and served equally as metallic reserve for the paper notes. This silver coinage only lasted three years. I am uncertain whether we should regard this as a true silver coinage of which the face and intrinsic values should correspond, or whether it was not an issue of depreciated silver token currency intended to serve mainly as metallic reserve to support the still further depreciated paper currency ­ , the issues of which under the same dynasty had begun fifty years before ; a fair parallel, were it not for the relative credit of the two governments, might be found in the silver 10 THE CURRENCY %45 reserve of the Bank of France, which, being based on gold, is counted at the ratio i : 16. A silver coin, an exact model of the cash of the reign, was issued during the reign of the Ming Wanli (a.d. 1573-1619), but this was probably a mint sport, much like the English silver pennies issued to-day. The silver coins of the nineteenth century in the collections of Wylie and Glover can hardly be regarded as official. This, so far as is known, is the complete record of the silver coinage of China up to A.D. 1889. Currency a Weight With these insignificant exceptions, China has never had a government coin of other metal than copper ; other than copper, the currency of the country is not a coin, but a weight. This weight is the “ tael,” * as it is called by foreigners, the Chinese name for it being Hang ; and when an operation in international trade, a wholesale purchase, Government indebtedness, or Customs duties have to be liquidated, payment is effected by weighing out the required number of “ taels ” of the stipulated quality of silver. A century ago Germany was the paradise of the moneychanger ­ with its numerous coinages, each circulating in its own principality ; but that was simplicity itself when compared with China. In China every one of the hundreds of commercial centres not only has its own tael-weight, but in many cases has several standards side by side ; and these taels of money will be weighed out in silver which, even in one place, will be of several degrees of fineness. Variability of Standards One town may be taken to typify many—the town of Chungking, in the province of Szechwan, in the far west of China. Here the standard weight of the tael for silver transactions is 555-6 grains, and this is the standard for all transactions in which the scale is not specified. Frequently, * Tael—from the Hindu “ tola " through the Malayan word “ tahil.” i 4 6 THE CHINESE EMPIRE however, a modification of the scale is provided for, de pending in some cases upon the place from w ic merchant comes or with which he trades, and in ° upon the goods in which he deals. A merchant coming 10 Kweichow, or trading with that place, will probaby, u not certainly, use a scale on which the tael weig is 54 ^ grains ; a merchant from Kweifu, a town on the Yang z , a hundred miles from Chungking, will buy and se wi a tael 5627 grains ; and between these two extremes ai at least ten topical weights of tael, all “ current at un &, king. In addition to these twelve topical currencies, there are others connected with commodities. One ° most important products of Szechwan is salt, and ea m in this are settled by a tael of 556*4 grains, unless it ^ sa from the Tzeliu well, in which case the standard is 557 grains. A transaction in cotton cloth is settled wi tael of 555*0 grains, but for cotton yarn the tael is 55 grains, and for raw cotton the tael is 547*7 grains. This seems confusion, but we are not yet at the enc • Up to this point we have dealt only with the weig'i OI * the scale, but now comes in the question of the fineness o the silver with which payment is made. At Chung mg three qualities of silver are in common use—“ Ene si ver 1,000 fine current throughout the empire, * old si ver about 995 fine, and “ trade silver ” between 960 an 97 fine ; and payment may be stipulated in any one of t ese three qualities. Taking the score of current tael-weigi s in combination with the three grades of silver, we have at least sixty currencies possible in this one town. This is characteristic of the Empire. The traveller, even a private individual, journeying from place to place m China, will be careful to take with him a small steel-yar and a string of a few selected “ cash,” the exact weight ot which on his home scale is known to him. His first step in cashing a draft or exchanging the silver he brough with him is to ascertain the weight of his string of casi on the scales of the strange bank in the strange place , and, having done this, he is able to work out the parity si ■ SHANGHM SHOE OF SYCEE. THE CURRENCY 147 JÍ exchange between his home and the place of his temporary ­ sojourn. Even then, however, he is dependent ° n the banker in the matter of the quality of silver ; fortunately, ­ the commercial honor of the Chinese bankers stands high, though it is hardly to be expected that they should not profit by their expert knowledge. in China you must prove your axioms. We are accustomed ­ to currencies in which the unit of value is a tmod and accurate weight of an alloy of a precious metal commonly gold) of an exact and known degree of fineness in China the silver currency is an article of barter, of which neither the weight nor the quality is anywhere fixed ; and m treating of the tael of silver, we must answer two questions ­ : \\ hat is a tael ? and What is silver ? Since “ tael " connotes both a weight and a value, and since an essential element in value is the quality of the silver, we must first answer the question What is silver ? Silver , s Sliv ®y f most commonly current in oval ingots called . J ' )Cs bem their resemblance to a Chinese shoe; but VV lat may be called fractional currency is in obovoid lumps weighing up to two or three taels. At Mengtsz thesycee lüipiïs ' ' 4 . cabed pao (jewel, article of value, as in the inscription , . ” l -°PP ei cash tung-pao — " current coin ") and more " -nly ywß% probably landing for " round 'ingot " s shape, oval in plan. of Shanghai arc as shown in the accompanying <c t represents a shoe inscribed in ink by the In Pk As iav of th Foreign Settlements as weighing \ . V, nr? TV:.-' V. :,L¿b 147 THE CURRENCY of exchange between his home and the place of his temporary ­ sojourn. Even then, however, he is dependent on the banker in the matter of the quality of silver , fortunately, ­ the commercial honor of the Chinese bankers stands high, though it is hardly to be expected that they should not profit by their expert knowledge. In China you must prove your axioms. We are accustomed ­ to currencies in which the unit of value is a defined and accurate weight of an alloy of a precious metal (commonly gold) of an exact and known degree of fineness. In China the silver currency is an article of barter, of which neither the weight nor the quality is anywhere fixed ; and in treating of the tael of silver, we must answer two questions ­ : What is a tael ? and What is silver ? Since “ tael ” connotes both a weight and a value, and since an essential element in value is the quality of the silver, we must first answer the question What is silver ? Silver Silver is most commonly current in oval ingots called “ shoes ” from their resemblance to a Chinese shoe ; but what may be called fractional currency is in obovoid lumps weighing up to two or three taels. At Mengtsz the sycee most commonly current is the chieh-ting, more commonly known as the pai-fang ingot ; when laid fiat on a sheet of paper and traced with a pencil, it has eight curvilinear lines, a figure not unlike the brass pieces inserted in doors to protect key-holes ; in weight the pieces vary from two taels up to five taels. At Peking the Sungkiang ingot is about io taels. The standard ingot of China weighs about 50 taels (from 49 to 54) and, formerly called ting, is now called pao (jewel, article of value, as in the inscription on the copper cash tung-pao — “ current coin ”) and more commonly yuan pao, probably standing for “ round ingot ” from its shape, oval in plan. The shoes of Shanghai are as shown in the accompanying plate, which represents a shoe inscribed in ink by the Assay Office of the Foreign Settlements as weighing 148 THE CHINESE EMPIRE of which 49-94 taels and as being of silver for the quah y 275 must be added ; it is also stamped wit ^s a Melting Establishment with the place (Shanghai), tn of the Establishment (Suiyuan), and a numera (3) number of the furnace, of which the Establishmen 1 ’ Shanghai shoes weigh close on 50 taels each ; a 0 ° of which I saw the weighing and touching, had y between 49-81 and 49-90 taels, five between 49'9 1 an 5 , taels, and one of 50-04 taels; other lots might av larger proportion just over 50 taels. Hankow an ^ Yangtze ports also cast oval shoes close on 5° ae . weight, and Tientsin as well. The shoes of îangsi rectangular, with the lip projecting at each en OI \7 -i an inch, weighing also about 50 taels. The shoes or 1 have the top of the solid part parallel to the bo om , in the Newchwang shoe it is inclined, so that a one the solid part is only two-thirds the thickness o ® 0 , end; Newchwang shoes weigh from 53 1° 54 tac s> r quotations for “ transfer money ” (v. infra) are pci s 10 nominally 53 taels. Except to make change the sma u of silver are seldom seen at Shanghai, and when icceivi from other cities are sent to be cast into shoes. The silver contained in the shoe is called sycee, ^ Cantonese pronunciation of hsi-sze, “fine silk , w ien is theoretically standard silver of a fineness of 1,000 called tsu-seh wen-yin. . 1 Throughout China generally, except at Shanghai an in the country subordinated to it, silver is rated for qua 1 y by millièmes of a standard of “ pure silver.” Thus, a Tientsin all silver is reduced to a theoretic local stan ar of 992 ; at Chef00, to one of 976 ; at Hankow, to one o 967. At Shanghai and through the greater part of Kiangsu and Anhwei silver is rated, not by millièmes of a P ul ^ silver ” standard, but by the addition, to each shoe of a ou 50 taels weight, of a quantity to indicate the degree o superiority of quality over a presumed standard w 1C (subject to a certain degree of confusion between premium and discount) is 944 of the China standard of “ pure silver. 149 THE CURRENCY By this scheme of notation 28 silver [i.e. silver for the quality of which is added 2 8 per shoe, or $'6 per 100) represents silver 1,000 fine, 2*7 silver is 998 fine, 2 4 silver is 992 fine, or thereabouts. In Western countries the standard of 1,000 represents silver chemically pure, with no admixture of gold or of copper and lead. American quotations of bar silver are reduced to a basis of 998, and British quotations to a basis of 925 of this standard. In China the standard of 1,000 seems to refer to a silver commercially pure, as shown by the crude methods of the touchstone or of crucible assaying. This is the standard of Kuping ; it is the standard to which are referred all local millième standards, and in the Shanghai notation it is 2 8 silver. Even at Shanghai, however, super-pure silver is known in Chinese circles, and in the make-up of the Haikwan tael the requisite quality of silver is rated, not at 2 8 as for the “ pure silver " of the Kuping tael, but at 3 084 {i.e. at 6 168 per 100 taels) to represent a higher degree of purity. Even this, however, does not graphically represent a quality of silver corresponding ­ to what is called 1,000 fine in Western countries. It has been ascertained in transactions in foreign bar silver that “ pure silver ” of the Kuping tael touch is actually 987 fine when reduced to the Western standard of chemically pure silver ; and on this basis silver of the Haikwan tael touch recognised at Shanghai is actually 992 3 fine. Working on these figures it will be found that the Shanghai ­ tael contains 525 grains of silver of the Kuping tael touch, 5 22 i grains of silver of the Haikwan tael touch, and about $18^ grains of silver of the Western standard 1,000 fine. I shall have more to say on the definition of the quality of silver when I come to treat of the Shanghai tael. The Tael It is not always possible to keep them apart in writing, but in reading it is necessary always to bear in mind the distinction between the tael of value and the tael of weight. i 5 o THE CHINESE EMPIRE At Tientsin, by " Tientsin tael " is meant one tael in weight of silver of the Hwa-pao standard 99 ’ saiss»» be of Hwapao or any other stipulated standard , V , fully what the foreigner calls the "Tientsin tael, tn, Chinese would say “ Hang-ping tael of hwa-pao It is not possible to use different words for the two m c ^ thus connoted, since they are interwoven , an a wa ^ ^ distinguish them otherwise would involve the use o circumlocution. It must be left to the reader to ma distinction, since, even without this, there wil e to be enough of “proving axioms” to break cons c the thread of thought. The Tael of Weight The tael is the “ ounce” of China, of which, as in England pound. and America, 16 make one catty,* or Chinese ^ In weighing the precious metals, however, the tae is heaviest unit, and it has decimal subdivisions, eac W1 its own name, down to the one thousand-million-mi 1011 (r,õ-õõTõ-oõ75-oo,oôô,ooõ) Part of a tael, those m ai y u. being the following :— io Li (cash) = i Fên (Candarin). io Fen = i Tsien (Mace), io Tsien = i Liang (Tael). Seven places of decimals (the ten-millionth part) of a tael are frequently, even regularly, seen in statements o account of revenue and expenditure submitted to t e Throne. This is the tael of the arithmetics, but its actúa weight will best be considered under the head of the tae of currency ; it is sufficient here to say that the weig ranges, at different places and in the same place, from 540 to 583 grains. * Catty or Kati—Malayan for pound. THE CURRENCY 151 The Tael of Currency Of the various taels of currency two may be considered to have a universal range, the Haikwan, or “ Customs tael, and the Kuping, or “ Treasury ”• tael ; and a third, the Tsaoping, or “ Tribute ” tael, is current over a wide area. Haikwan Tael The Haikwan tael is the currency in which duties are levied by the Imperial Maritime Customs, but it is a purely fictitious and non-existent currency. Inquiry leads to no indication that it ever has been an existent currency at any time since the opening of the Inspectorate General of Customs, and it is certain that it is not in current use at the present day. At no Custom House does any merchant ­ tender Haikwan taels in payment of duties, and the invariable practice is to pay all Customs obligations in local currency at a rate of conversion settled on the opening of each of the several Customs Offices, now forty in number. The actual theoretic weight, apart from any question of the quality of silver, is not ascertainable with any degree of certainty. Using an official weight of 100 taels dated 1867, which had been verified at Canton by a weight of 1846, it has been found to be 581*55 grains. The result of independent tests at Canton in the same year ( I 9°5) gave a weight of 581 83 grains, while other estimates range from 581 to 589 grains. The only outside authority to which appeal can be made is in the Treaties. By the Trade Regulations annexed to the British Treaty of 1858 the “ picul of one hundred catties is held to be equal to one hundred and thirty-three and one-third pounds, avoirdupois,” ­ giving a catty of lb. av. and a tael of 1} oz. av., equal to 583 3 grains ; while the Regulations annexed to the French Treaty of 1858 fix the picul at 60 kilos, and 453 grammes, which gives a resultant tael of 37783 grammes or 583-1 grains. Taking the Haikwan tael, then, as being purely a money ! 5 2 THE CHINESE EMPIRE £ vte"ly Ä ^ Ä: i%r Tis.ioo = Shanghai Tls.111.40 worked out as tollo Weight on local scale .. • • • • I0 ° g q 0 Add for difference in weight .. •• 5^ 6 8 Add for touch ** 0 2 o 4 Add for expenses of melting, etc. .. • • Divide by the “ Shanghai Convention,” 0.98 IQ9-I-7- 2 111.4.0.0 (.N.B.—The proper name for the Shanghai tae is vention Currency,” referring to the convention, or u j\ standing, by which 98 taels on the scale settle a ia of 100 taels in money of account.) v a i It remains to ascertain the true value of the an ®. tael. The weight used as the basis of this is the saop tael, and the equivalence is worked out as follows . Weight on scale • • 100.0.0.0 Add for touch .. .. . • • • 5- -°-Divide by the “ Shanghai Convention,” 0.98 105.6.0.0 Tsaoping taels 100 Shanghai taels . • I0 7-7-5-5 The Tsaoping tael has been found to weigh 5^5 65 grains ; and if in 100 Tsaoping taels of pure silver there are I0 7-7-5-5 taels of Shanghai convention currency, then t e latter will contain 525 grains of pure silver of Kuping standard. On this basis the Haikwan tael is the equivalen of 584:85 grains of pure silver ; but note has now to be taker) of the quality of the silver (a supra, page 148) • THE CURRENCY i53 Introduced under the treaty of Nanking (1842), the lapse of sixty years has not sufficed to create modifications in this standard, which, moreover, is current for revenue purposes in all the ports open to foreign trade. Even with this currency, however, this immutability has to be taken with some reservation. It seldom happens that the merchant ­ has at hand to pay his duties the fine silver (1,000) which is, theoretically, the standard for all payments to government ; and tendering other silver, commonly the ordinary trade silver of the place, the rate at which it shall be accepted becomes a matter of arrangement with the banker ; the latter, having to account to the government for a certain weight of silver 1,000 fine, will be careful to receive an amount in other silver fully sufficient in value to cover his liability. Another element of variation, even in this currency, is the difference between the receiving and paying rates in force in all government treasuries, all banks, and with those merchants of sufficiently strong standing to make their own counting-house rules ; this difference, usually between a quarter and a half of one per cent., is made not by charging a commission, but by boldly using two sets of weights, one for receiving and one for paying, and is intended to compensate for the labor of weighing ingots and lumps of silver of no fixed weight, and for the risk incurred and expert knowledge requisite for taking in silver of unknown degrees of fineness. The practice is defended on the same ground as that of the foreign exchange banks in quoting different buying and selling rates for bills of exchange. Kuping Tael The Kuping tael is the currency in which are collected all other dues to the government than Customs duties, excepting only those which are levied in kind (such as the grain tribute) or in copper cash. Theoretically uniform throughout the Empire, there are still differences to be observed apart from the differentiated receiving and paying rates referred to above! In one aspect this tael may be 154 THE CHINESE EMPIRE considered as “ bank money ”—a fictitious medium of exchange from one currency to another—as when we fin that (with normal exchange at 1,200 cash to the tae ) 2,000 or 3,000 or 4,000 cash or more are levied where a tax, assessed in taels, is collected in cash, while the exchange ­ is fixed at 800 cash or less where a tax, assesse in cash, is collected in silver. This, however, from another point of view, may be taken as an eccentricity of the Chinese taxing offices. The normal standard Kuping tael is 575 8 grains of silver 1,000 fine ; this is the receiving rate (the paying rate being 0 2 per cent, lighter) at the Imperial Treasury, and the several provincial treasuries vary from this standard in some instances as much as one per cent. Where the foreign obligations of the Imperial Governmen are concerned the equivalence of the several currencies is taken as follows :— 100 Haikwan taels = 101642335 Kuping taels. 100 Kuping taels = 10960 Shanghai taels. Tsaoping Tael As the weight element of a currency tael, the Tsaoping tael is current throughout the provinces contributing tri bute in kind (mainly rice) which is forwarded to the capital, either by sea or by the Grand Canal, viz. in the provinces of Kiangsi, Anhwei, Kiangsu and Chekiang ; it ^ a ^ s0 the regular tael in use at Chefoo, on the sea route to the north, but is not known at Tientsin, the northern terminus of the Grand Canal and the port of disembarkation by the sea route. It may be stated with some degree of confidence to weigh 565-65 grains, subject always to the possibihty of oscillation in the standard. While the weight is more or less constant, varying between one place and another by no more than a tenth to a half per cent. (100 ooochow Tsaoping taels = 99-90 Shanghai Tsaoping taels y weight), the tael of currency is based in different places on different standards of silver. At Chefoo the standard is 976, at Kiukiang and Wuhu 994, at Hangchow 997- THE CURRENCY 155 In places where the standard of silver is quoted by degrees of betterness, as at Shanghai and on the lower Yangtze,* the standard for Tsaoping is 275 silver which, referred to a Kuping standard, is 999. Local Taels It may be said that every commercial place has, apart from the various government taels, its half-dozen, or dozen, or score of local taels, all generally recognised and all current ­ ; i.e. each of them is a recognised currency when it is so stipulated, as we have seen in the case of the currencies ­ of Chungking. Usually, however, if not generally, among these various taels there is one which is recognised as the currency of the place, in which payments would be made when there is no stipulation to the contrary, which will be commonly stipulated, and into which remittances are made from other places ; for even in China the necessity is felt for some limitation on the kaleidoscopic varieties which would otherwise perplex the minds of even Chinese bankers. Sometimes, but by no means generally, this recognised local tael will extend its influence over the surrounding country within a limited radius ; but ordinarily ­ the right of even the country banker to live is fully recognised, and every place is privileged to adopt its own standards. I have notes of 170 well-recognised and different currencies, gathered mainly from the Treaty ports and their immediate vicinity. Peking Taels The capital, Peking, is one place, it may be said the one place of importance, in which no one currency has emerged as the one local tael. Being the capital, the Kuping tael is of course much in evidence as the currency of all official government transactions. Besides this there are three standards of tael weight—the Kung-fa of 5557 * V. supra, page 148. 156 THE CHINESE EMPIRE grains, the Market of 55 2 '4 grains, and the Metropolitan or Two-tael * scale of 54 I- 7 grains—and two recognise standards of silver, 1,000 and 980 fine respectively. aC standard of weight (except the Kuping) is expresse 1 each of the two standards of silver, with the resu t mattiere ­ are at Peking seven taels all equally current, foreign banks established there have within a few year adopted the Kung-fa tael of 1,000 silver as their cuirency of account. Each of these currencies, except the Kuping and Kung-fa, is further subject to a difference of 0 6 to o 9 per cent, according as it is “ equalised ” or empty ° " mercantile ” or “ complete ” ; thus 100 Kung-fa tae s are equivalent to Metropolitan taels 102 80 if mercanti e, 10270 if empty, 102 60 if equalised, but only 102 00 1 complete. Tientsin Taels. At Tientsin I have note of nine taels generally known, and two standards to which silver is reduced. Of these, the tael which for forty years past has been recognise as “ the Tientsin tael ” is the Merchants tael weighing 557‘4 grains of silver 992 fine. For some occult reason there has lately (since 1900) been introduced a New Merchants " tael of 557-6 grains, differing from the old established local tael by only 0 00038 part of itself or less than Y00 °1 one per cent., the standard of silver remaining the same ; this new tael has not yet worked its way into general acceptance. As an illustration of the ordinary Chinese rough-and-ready methods of banking it may be noted that the true equivalence of Haikwan Tls.ioo is Tientsin Tls.105 215 ; and that for many years, in paying Customs duties, for every 100 Haikwan taels Chinese merchants ­ paid Tientsin Tls.106, foreign merchants in general paid Tientsin Tls.105, und Russian merchants for tea paid Tientsin Tls.104. The addition, of 2 taels in the hundred, 2 per cent., will bring this to the value of the Market tael ; hence probably the name. THE CURRENCY 157 Hankow Tael At Hankow one tael stands out above the rest as the Hankow tael ” ; and, though the triple city at Hankow is a great commercial emporium not created by foreign trade, this is the “ Foreign rule " tael, weighing 5547 grains, of “ Foreign rule " silver 967 fine. Canton Tael At Canton, and for a considerable area commercially tributary to it, extending beyond the limits of the province of Kwangtung, the standard tael is the Sze-ma tael, weighing 579'85 grains, being the heaviest mercantile tael in the Empire ; silver was originally, and is in theory, reduced to the standard of 1,000 fine. This sounds as if we had here a departure from the prevailing diversity of currency, and could point to a tael, uniform in weight and value, not confined to one city, but current through a large commercial ­ area. The bankers must, however, be reckoned with ; and, both in Canton and throughout the whole area, while we find the Sze-ma to be the standard of weight, it is usually varied by being subject to discounts, fixed for each sub-standard, but supplying that variablity which is demanded for all transfers in China from place to place, from bank to bank, or from account to account. These sub-standards are known by the per-mill proportion to the Sze-ma standard ; and I have note of taels of the 998, 996, 995, 993, 992, 990, 988, and 986 scale, being respectively 0 2, 0-4, 0 5, 07, 0 8, i*o, 12, and 14 percent, lighter than standard Sze-ma in weight. Formerly the silver was always taken as 1,000 fine, but in the last half-century dollars, mainly Mexican, more or less battered and chopped, have entirely supplanted ingots ; for large transactions payment is always made by weight, and never by count. The result is a curious medley, it being always necessary to express clearly if the tael is of “ foreign silver " (900 fine) or of “ pure silver ” ; in the latter case payment is effected by weighing out 10 per cent, additional of the dollar silver. 158 THE CHINESE EMPIRE The question is even further complicated by a practice, which has crept in of recent years, of making 20 per cent, of payments ­ in subsidiary silver coins (800 fine), with perhaps some bargaining as to whether the proportion shall be 15 or 25 per cent. Here we have a case of degeneration within the memory of men now living. Disregarding any question of what constitutes “ pure silver,” a tael containing ­ 579-85 grains of fine silver becomes one of 574' 1 grains, and ultimately one of 561-4 grains ; and, as there is a tendency now (1906) to substitute 20-cent pieces entirely ­ for dollars, the tael is on the way to become one containing 510-3 grains of fine silver. These figures are all subject to proportionate reduction for each of the various sub-standards of weight. Shanghai Tad I come now to the consideration of the currency at Shanghai, the commercial metropolis of China. Omitting the government and other exceptional taels, I must first note the exclusive use of the Canton standard (tael = 579 ^5 grains) for dealings in foreign bar silver ; a practice originating ­ when foreign trade was centred at Canton and con-. tinned when the foreign banks and merchants brought Cantonese as their first compradors and shroffs to Shanghai, has been sanctified by use and by the ingrained habit of intioducing, whenever possible, further elements of conversion into all dealings with the precious metals. Ther the Tsaoping tael, described above, is fully current and full) recognised at Shanghai and in a large area around, anc is the ordinary currency for Chinese remittances througl mese anks to places in China, e.g. a remittance to Han mw is converted from “ Shanghai taels ” to Tsaoping tael and thence to “ Hankow taels.” Finally the légitimât tl<d" grading currency of the place is the " Shangh; + v , ° r ^ an ghai convention currency,” which is als NnrtVi ^rv. ar übernational exchange for the trade < lor-il ma and the Yangtze basin, all other quotations : urrencies being re-conversions from the rate f' THE CURRENCY 159 Shanghai currency. The rate of the day is accepted by merchants as the rate of conversion between two fixed currencies ; and yet, if we take exchange on London as an example, one of the currencies stands for the immutable in finance, while in the other it is doubtful if many of the foreign merchants who so blindly base their operations on this exchange quotation could go into the treasury of a Chinese bank and weigh out for themselves a Shanghai tael, assuming even that they could read the inscriptions on the weights they used. The value of the Shanghai tael is made up of three elements—the weight, the quality of silver, and a convention. The weight on the scale is the Tsaoping tael of 565-65 grains, the silver is reduced to a standard of 944 fine on the Kuping basis of 1,000 fine, and the convention ­ is that 98 taels of this weight and this silver settle a liablity of 100 taels “ Shanghai convention currency.” In order fully to understand what is a Shanghai tael, how it may be ascertained, and what may be done with it when once ascertained, let us consider the processes to be gone through in an exchange operation under present conditions. Of course, in Shanghai as in London, the merchant will ordinarily draw his cheque, against which the bank will give him its bill of exchange ; but somewhere, and some time, there will be a cash transaction ; and thoroughly to understand the situation we must see what, in Shanghai, corresponds to the act of a London merchant who takes a thousand sovereigns to the bank and gets a draft on Paris for 25,150 /. or 25,175 /. according to the exchange. Let us assume the simple case where our Shanghai merchant ­ wishes to remit the contents of a box full of silver (if he wishes to make up an exact sum in Shanghai currency, certain complications are added). The silver in the box will be in the shape of “ shoes ” of “ sycee ” of about 50 taels each, and of varying “ touch ” (degrees of fineness). If these shoes are marked, in ink, with the results of a previous assay at the Assay Office for the Foreign Settlement, ­ the preliminary stage becomes unnecessary ; but if they have come in the course of trade from another port, i6o THE CHINESE EMPIRE or if their last previous assay was made by the Assay 0& for the Chinese City, then all existing marks are was off and the silver must be sent to the proper o ce. each shoe is weighed and the result written on one SK ’ it is then "touched" and the difference (usually an no dition) from a certain standard, as indicated by t e c0 on the touchstone, is written on the other side, difference for touch is so much for the shoe inespec i of its exact weight, which is anything btween 49 , taels, but an allowance of O’05 tael is added fox caci ^ by which the weight of the shoe exceeds 50 taels , the quality of the silver is 270, the addition for a s weighing 4975 or one of 50-05 taels is 270, for one o _ taels is 275, for one of 5215 taels is 2 80, and so on , . us take two such shoes weighing 50 and 51 taels an 2 60 and 2 40 respectively added for touch, makmg o two 50 4- 2 60 4- 51 4- 2 40=106 00 ; this result, dm e o 98 (the Shanghai “convention") gives 108163 as number of Shanghai taels in our two shoes. H e . r ^ e saction is one in Shanghai currency only, this ends 1 , whole operation corresponding to the single action o London merchant who takes £108 3s. 4d. from his ca to pay a bill ; but we have now to connect this wit 1 01 ea exchange. First, it is to be noted that at the presen a no other currency is used at Shanghai, all others ein reduced to Shanghai taels. The government, for exarr |P ^ in making payments for indebtedness or indemnity, 0 not use the Kuping (" Treasury ”) tael weights or the pui e silver (1,000 fine), which make up the Kuping tael cur rency, but pays in Shanghai currency at the rate of 109 °> calculated as follows : Kuping taels 100 weight = Tsaoping taels . • iorSoo Add for touch of pure silver on two shoes • • 5 107-400 .. 109592 008 109-600 Divide by the “ convention " 0 98 Add for meltage fee II THE CURRENCY i6i So with Customs duties, merchants pay in Shanghai taels at the fixed rate in 40 and never tender the “ Haikwan tael-weight of pure silver ” specified by treaty. Coming now to the exchange operation, we have first to find our parity of exchange, and to do this we must get the equivalence in foreign notation. The weight used for Shanghai currency is the Tsaoping tael, and this is 565‘65 grains ; for pure silver the addition for touch is 2'8 per shoe, which the Chinese treat as if it were 5"6 per cent. ; and the “ convention " is 0-98. One Tsaoping tael of pure silver is, therefore, 1*07755 Shanghai tael ; and one Shanghai tael contains 524*93 grains of fine silver. In one ounce of silver British Standard (0*925) are 444 grains of fine silver, or 84 6 per cent, of the amount in the Shanghai tael ; and to get the parity of exchange for the latter the London price of bar silver must be divided by 0*846.* The actual rate of exchange is, of course, affected by the demand and supply of bills wanted and offered, but in the great and frequent fluctuations in the value of silver bullion we have an everpresent ­ element of instability which must be taken into account. Our Shanghai merchant, who has once gone through such a series of manipulations and calculations, is likely to consider his time of too much value to repeat the transaction, and, as is actually the case, will leave such operations in future to his comprador, until such time as he is put on the same footing as his London brother. Newciiwang Transfer Money One currency practice, recalling the “ bank money ” of the old Amsterdamsche Wisselbank, must be referred to. At Newchwang the local tael is 5551 grains of silver 992 fine. Except of copper there is (or, as the war may have caused a change, has been) little of the metals in circulation, silver being commonly deposited at the banks, which permit removal only on the first days of the third, sixth, ninth, and * Subject to modification by consideration of the true standard of quality of silver (u. supra, page 148). IÓ2 THE CHINESE EMPIRE twelfth months, but allow transfers from account to account. This “transfer money” is exclusively used in the settlemen of all mercantile transactions. On deposit, and foi renewa on each quarter day, the depositor is credited with a premium which varies with the demand for money, but whic 1, m ordinary peaceful times, ranges from 0 20 to 6 pei cen • Exchange quotations also are always quoted in tr ans e money, not in hard silver. An ordinary exchange operation would be as follows :— Silver deposited, Newchang taels .. Premium on deposit, r6o per shoe Transfer money credited .. Exchange premium 34 per cent. . Shanghai taels 10000 300 103 00 3 35 106-35 It may be noted that the parity of exchange is 100 Newchwang taels of silver = 104-89 Shanghai taels. ie rates of premium given above are, as has been stated, those of ordinary conditions ; the effect of the stress of wai on the money market and the financial position of the bankers may be seen from the quotations of the last day of I9°4 • Silver Tls. 1,000 = Transfer-money T1s.i,35®’5° (finóte Tls.72 per shoe) ; Transfer Tls.1,000 = Shanghai ris.785. These figures show the banker protecting his reserves, apparently giving 36 per cent, premium for deposits and charging 22 per cent, discount for withdrawals instead ot giving a premium. This works out to a rate of exchange foi cash transactions, however, of Newchwang Tls.100 Shanghai Tls.10565. Introduction of Foreign Coins A foreigner, as an individual, objects to carrying around in his pocket a 4-lb. lump of silver which he cannot subdivide, and he equally objects to carrying 6-lb. weight of coppers as the only fractional equivalent of the silver dollar to which he is accustomed ; he also objects to ignorance of the THE CURRENCY 163 quality of the silver which he will take from his pocket to make minor payments. All this seems axiomatic to people at home, but it is necessary to state the axiom in order to explain why foreign coins have been introduced into China. In the north and in Mid-China these coins have remained the housekeeping currency of the foreigner, never having been admitted into the trade of the Chinese, and the foreigner is made to pay for his luxury of a coin in which he can have confidence. The same weight in a coin (the silver dollar) with the same inscription is worth at Shanghai from 3 per cent, to 5 per cent, more than at Canton, whether the value is expressed in gold, in silver taels, or in commodities ; but at Shanghai the coin remains as it came from the mint, and at Canton it is chopped. In the south the quickerwitted Cantonese and Fukienese have accepted the foreign coin, but have done so in a peculiarly Chinese manner. A coin is an officially guaranteed weight of a certain metal ; the Chinese accept that for what it is worth, but the first banker or merchant into whose hands the foreign coin comes " chops " it with an impressed ideogram about an eighth of an inch square, thereby giving the tradesman and the private individual his certificate of bona fides of the guaranteeing government. This is repeated by each succeeding banker, until in the end the chopped dollar resembles a disc, or rather a cup, of hammered silver work. Foreign Dollars The first dollar to be introduced was the Carolus (Spanish) dollar, also called the “ Pillar " dollar from its design—the Pillars of Hercules. This for many years was the only foreign coin accepted by the Chinese ; and a curious survival of its former vogue is seen at Wuhu, on the Yangtze, where the few remaining unchopped specimens of the eighteenth und early nineteenth century, estimated not to exceed 400,000 in all, form a favourite medium of exchange and command a premium generally of 30 or even 40 per cent, over their intrinsic value. For fully eighty years the dollars of Charles IV. (a.d. 1788-1808) have commanded a premium of i64 THE CHINESE EMPIRE at least 30 per cent., but not those oí his predecessor or hi successor, and originally over a considerable area o col * n , from Canton to the Yangtze. O11 the introduction o Mexican dollar, sixty years ago, it was readily accep e Canton, and the Carolus was “ demonetised.” At Shang * however, and in the Yangtze basin the Carolus held 1 s 0 and was the sole currency of the foreign banks and mere an > and for the sale of imports and purchase of exports an exchange quotations. The ravages of the laiping re e 10 restricted the consumption of imports, and notwithstan in increased importations of Carolus dollars, collected fiom a parts of the world, they were soon driven to a P r< ^ T | lu ’ which by 1855 amounted to 25 per cent., and in 1 5 0 per cent, of their intrinsic value ; and the curious spec a ^ was seen of exchange quoted at Canton at 4s. • P dollar (Mexican of 416 grains) and at Shanghai at s. a more per dollar (Carolus of 402& grains). The^ situa 1 became intolerable, and on a fixed day merchants accoun at the banks were transferred, unit for unit, from a currency (the Carolus) containing 362 grains of fine silver, to a currency (the Shanghai tael) containing nominally 525 grains o n silver per unit. A Carolus dollar lies before me as I wn > bought at Wuhu for 1 40 Mexican dollar. With a diame of i 36 inch, it weighs 26‘o8 grammes=402'5 grains, °^ e 3 per cent, lighter than the Mexican dollar. On the °k ve ^ it bears the King’s head wreathed with laurel an inscription .1808. carolus. mi. dei. gratia. On the revers is a shield quartered with the arms of Castille and Leon» countercharged with three fleur-de-lys, the shield surmounted ­ by an Imperial crown and standing between two columns (the Pillars of Hercules) bearing a scroll inscribe plus ultra ; the inscription reads .hispan, et ind. REXm. 8 R. T.H. The milling is as usual and the reeding -0-0-0-The obverse is stamped in black with a design having a Chinese character in the middle, constituting the guarantee of some Chinese banker. In Formosa * the chopp e Lwo and a quarter million of these dollars were imported Tamsui in 1895 for the tea season. THE CURRENCY 165 Carolus remained the ordinary currency at its intrinsic valuation up to the time of the Japanese occupation in The next to be accepted was the Mexican, called by Chinese the " Eagle ” dollar from its design—an eagle grasping a cactus in its talons. This has never been displaced from popular estimation, though various attempts have been made. Thirty years ago an American “ trade dollar was introduced, but the wisdom of Congress decreed that it should displace its rival by its weight—420 grains instead of the 416^ grains of the Mexican ; the natural result, when these two coins were put into circulation side by side among this shrewd people, was that the heavier coin went at once into the melting-pot. The J apanese dollar (the yen) followed, and attained a moderate degree of popularity, but the establishment of a gold basis for this coin put an end to its issue as a monometallic silver coin. The later British and French trade dollars have not met with any great degree of success, except perhaps since the outbreak of the Russo-Japanese war. Chinese Dollars and Subsidiary Coinage The Chinese themselves have seen the utility of coins and have established large plants for minting at several of the provincial capitals. Their time-honored copper coins, cast from moulds, are crude productions ; but the fine stamped copper cash, which were the first product of the mints, met with no favor ; and, as their issue involved a loss to the government, it was not continued. The mints then turned their attention to the dollar, and many millions of these coins were turned out. These Chinese dollars were not freely received for taxes, and when taken were accepted by weight, and not by count ; they had not the prestige of the Mexican, but had only a provincial guarantee, and outside ­ the province of issue circulated only at a discount ; they would have disturbed, had they any vitality, the calculations of money-changers ; they gave no seigniorage to the mint ; and of late years the annual output has been thousands instead of millions. The energy of the mints has in i66 THE CHINESE EMPIRE recent years been devoted to the issue of subsidiary coinage. First io-cent and 20-cent pieces, which, consisting of silver 800 fine, while the dollar was 900 fine, could be sold from the mint at no cents for the dollar and still show a profit , these pieces became popular with the smaller money-changers because of the margin between the rate of issue and the intrinsic value, and because of the petty speculation permitted ­ by the margin of value. Then followed the copper cent which is now the popular coin, since it has an exchange value greater than the hundredth part of a dollar, and the money-changer, who makes his profit from the depreciate silver coinage, will make it also from appreciated copper coin. The tourist who draws on his letter of credit at a foreign bank in Shanghai, having to receive so many dollars and so many (say 74) cents, for the odd cents will be given 70 cents in depreciated silver, but for the 4 cents he will receive 3 copper cents and 2 copper cash, since by the exchange of the day 32 cash are the equivalent of four-hundredths o a dollar. I leave the last two sentences as they were written in 1905, in order to show how great has been the depreciation in this coin within twelve months. Now (July 19°^) ^ e tourist will still receive his 70 cents in depreciated silver, but for the 4 cents he will no longer be given 3 copper cents and 2 cash, but will receive 4 copper cents—actually worth $0-0357. General Considerations In China the currency is at the top a weight pure and simple, in the middle a combination of weight and token currency, and at the bottom a coin which stands on its own feet, and neither receives support from nor absolutely gives it to any other unit in the series. At the top is the tael (call it the ounce, and it will be better realised), in which payments are made in precisely the same way that delivery is taken of a lot of silver bars. Then comes the dollar, which, though a com, is nowhere legal tender, and of which the specimens 10m the Chinese mints are inscribed, not generally dollai 01 yuen, but merely 72 hundredths of a tael ; though s( THE CURRENCY 167 inscribed, dollars of silver are nowhere fixed in terms of taels of silver, but are quoted at rates which vary from day to day according to the demand and supply, fluctuating within a range of six or more per cent. Then come subsidiary silver coins fractional to the dollar, but subject to a fluctuating ­ rate of exchange such that the dollar may this year change for no cents and next year for only 95 cents in small coin. Next comes the copper cent, inscribed at the mints of some provinces as worth “ one-hundredth of a dollar," and of others as worth “ ten cash," but never treated as correlated to the dollar ; whether considered in its relation to the dollar or to the cash, it is a token coin worth intrinsically ­ less than half its nominal value. Last comes the copper cash, the currency of the people. Into this series of non-related currencies, each unit of which is in a state of unstable equilibrium, fixed neither in itself nor in relation to other units, China is now required to introduce system and uniformity and to give a legal tender character to any coin or currency which she may adopt, while the inborn disposition of her people is to accept no coin and no currency as legal tender, but to make them all except the lowly cash the subject of barter. Where shall she begin ? Is she to take her fundamental coin, the cash, with a present-day value of the ten-thousandth part of a pound sterling, and build upon it ? This seems the natural course to those who consider first the well-being of her patient, industrious people, whose householders maintain their families on sixpence a day, and through the existence of this mite of a mite are enabled to maintain them in comfort. Or shall she consider ­ first the broader interests of her international exchanges and of the powerful body of bankers and merchants active in the distribution of goods through the Empire ? Multiply what has been written above a hundredfold, and some idea will be conceived of the currency question in China. To reform it would naturally appear no more difficult than to introduce the metric system into England ; it should even have behind it a greater weight of popular support, in proportion ­ as the simplification of the currency of four hundred i68 THE CHINESE EMPIRE millions should give ten times greater relief than the simplification ­ of the measures of forty millions. This presupposes that the four hundred millions are crying for relief, but we must first see who it is that call for currency reform. The foreign merchant stands in the first place, with his crying need for fixity of exchange between gold and silver, which requires for its establishment a fixed unit of currency, which in turn can only be attained by coinage. That he will also be freed from bondage to his comprador does not appeal to him, since he is unlikely to realise their relative positions, and the activity of his advocacy will be weakened by so much ; moreover, there are in China less than a thousand firms of European and American nationality, even including the protected races, such as those from British India, and including branch firms. Then come the foreign banks, ten in number, standing like Isacchar between two burdens , they may consider that their profits from rapid fluctuations in exchange, of the causes of which they have prior knowledge, ­ will be made good by the development of legitimate trade resulting from certainty of exchange ; and they may set against their profits from changing funds from one standard of currency to another their newly acquired ability to keep their own treasuries. The Government of China will welcome any measure which will set a limit to the amount which it must take from its revenues to pay the indemnities due to the Foreign Powers \ and, as a corporate entity, may be willing to have a uniform currency in which the revenue may be paid and received. No other element of support can be brought in by any flight of the imagination. All the vested interests in China will be against the change. e members of the Government as individuals, from the highest Minister of State in Peking to the humblest assistantdeputy sub-district magistrate, will give it their tacit, if not openly-expressed, opposition. The tax-collector, with ns assistants and his servants, and backed by his family to t îe third and the fourth generation, will fight strenuously against any obligation to pay into the Treasury the exact coin which he has received from the taxpayer. The power- THE CURRENCY 169 ini body of Chinese bankers, organised as such when Europe did not yet know the science, will accept the change only if they are shown the possibility of greater profits than under existing conditions. The compradors and shroffs may be trusted to do their best to resist any attempt to curtail their privileges and profits. Even the native merchants and tradesmen, who will benefit enormously by simplification of the currency, will also oppose a change from the present system, in which each man counts confidently on getting the better in the encounter of wits. Ordinarily the proletariat ­ remains neutral in such a question ; but in China the merest coolie, earning sixpence by a long day of hard work, will spend an hour of his time to gain on exchange the equivalent of ten minutes’ work. 170 CHAPTER VI WEIGHTS AND MEASURES lation applied to it is infinitesimal. n {unction and oí weak application of the government^ a ma tter widely democratic organisation, tlie trader u - - * in of course the differentiated measures whic * me asure modernised countries, buying with a long 01 icavy ^ and selling with a short or light measure , an , fid interference by government takes the form o ai siona } edict at an interval of perhaps a century, 01 an haS proclamation which is disregarded as soon as ^ pre _ washed the ink. The guilds make some a emp ^emserve a local uniformity in the measures accep e y selves, but they have no official function, and el are mainly directed to secure open dealing be ween own members, their motto being that of the ew statesman, “The public be damned.’’ I n •. a ¿ e is however, some conventions must be recognised i ^a ^ to go on, and fixed theoretic standards can be form , it may be said at once that in any place every tra e 1 its own standard, and that the trade standards of one p ac are not the same as those of other places. , The English peoples are in a position to understan ^ better than any others, the theoretic system—the tables o weights and measures—prevailing in China, having them WEIGHTS AND MEASURES 171 selves a system in which the various measuies have no common inter-relation, and of which the tables in use in the United Kingdom and the United States proceed on no one notation, but skip lightly from dozens to scores, from sevens to fours, from a decimal to a duodecimal notation. ­ In this last respect the Chinese are wiser, and with two exceptions base their tables on a purely decimal notation ; but in their disregard of any common relation between the different measures, they are on the same footing as ourselves. While in theory their tables are based generally on a decimal notation, the Chinese would not be Chinese if, in applying this theory to practice, they did not make some differences, perfectly recognised and accepted as the custom of the trade and place. Thus the table gives 100 kin (catty) as making 1 tan (picul) ; but at Amoy the picul of indigo is no catties, of white sugar 95 catties, and of brown sugar 94 catties ; of rice the picul at Shanghai is 100 catties, at Amoy 140 catties, and at Foochow 180 catties ; for tribute rice the stipulated picul is 120 catties, but at Nanking ­ it is 140 catties. These are enough to illustrate this form of irregularity ; but generally the purpose of this chapter is to consider only the standards accepted at each place by the guilds concerned. Weight As in England and America 16 ounces make 1 pound, in China 16 liang (tael) make 1 kin (catty), constituting one of the two exceptions to the purely decimal system ; then 100 catties make 1 picul. In practice quantities of ordinary commodities are usually, and in exact accounts invariably, stated in the single unit of catty, even when the amount is millions ; and for valuable articles, such as musk, in taels, even to the amount of thousands. The catty generally known to foreigners is that imposed by treaty as the weight to be used for levy of Customs duty, 21& ounces avoirdupois, as stipulated by the British treaty, 604-53 grammes as stipulated ­ by the French treaty, the two differing by 0 4 grammes 172 THE CHINESE EMPIRE or 6 grains. This is a purely arbitrary standard imposed by, or on, the foreign merchant, and accepted because it was a round figure approximating closely to the merchants standard prevailing at Canton, actually weighing 2121 ounces avoirdupois, with which the English trader first came in touch, and which a hundred years ago he used in buying his tea and silk. At Canton and in its vicinity there are other standards, by which the catty ranges from 19’68 to 22'06 ounces. In the trade area of Shanghai there is a standard for the use of Chinese in their foreign dealings by which the catty is 20 4 ounces, while the regular guild catty is 18'6 ounces ; the Soochow guild catty is 19 7 ounces, that for rice paid as Imperial tribute is 20 6 ounces, while that for the sale of oil is 23'2 ounces and for sugar is 27-25 ounces. At Hangchow there are seventeen different standards, ranging from 16 to 24 ounces, all equally recognised ­ in their respective trades ; and throughout the Empire catties are known, ranging from 12 to 42'5 ounces. Capacity The Chinese table of capacity gives sixteen decimal divisions, ­ down to iaõmsth part, of the shih ; those m common use are the tow (g¡), sheng (^), an< ^ ko (woo)-Measures of capacity are seldom used except for rice and grain, and these are ordinarily sold wholesale by weight, fluids, such as oil, spirits, molasses, etc., are almost invariably ­ sold by weight. Grain tribute is assessed on the tax note by measures of capacity, but is generally collected by weight at a rate of conversion fixed by the collectors, w îen it is not collected in money at rates also fixed by the collectors. The tow (which we may call peck) for tribute contains 629 cubic inches (10-31 litres), but in different parts of the Empire different standards of tow exist ranging from 176 all the way to 1,800 cubic inches. Length 1 ^ length is divided decimally down to the 10,000,000^ 1 part of a foot, and goes up to 10 feet — 1 chang- WEIGHTS AND MEASURES 173 The foreign merchant knows as the unit of length the chili, commonly called “ foot,” imposed by tieaty, accepted by the Customs, and measuring 14' 1 English inches , this finds no exact counterpart at Canton, where the carpenter s foot is 13-8 inches and the tailor’s foot is 14 8 inches. Land is sometimes measured by a special standard, but usually throughout China by the carpenter s foot : Canton is divided into two magistracies (hsien) by a line running through the middle of the city ; on the west of this line, land is measured by a foot of 147 inches, and on the east by a foot of 14 8 inches, which is the tailor’s foot of Canton. At Shanghai the tailor’s foot is 13 8$ inches and the carpenter’s ­ foot is ir i inches ; the official land foot is 12 1 inches, but the foot in ordinary use for transfers of land is 13 2 inches. At Nanking the carpenter’s foot is 12 6 inches, but the foot for measurement of timber is 13 $ inches. At Soochow the tailor’s foot is 13 43 inches, but that used for the measurement of cloth is il l inches. At Shiuhing carpenters use a foot of 14 inches, but masons working on the same building use a foot of 13 6 inches, and flooring tiles are made by a foot of il l inches. These instances of inconsistency might be amplified indefinitely ; suffice it to say that in China local standards of the foot range from 8 6 to 27 8 inches. Distance The Chinese do not much trouble themselves with the accurate measurement of distance, and would sympathise fully with the Dutch measurement of canal boat-runs by the number of pipes smoked. A theoretic unit exists, the li, measuring 1,800 of the land foot ; but, as the latter varies throughout the Empire, so would the li vary, if any one cared to measure it. Based on a foot of 141 English inches it would measure 705 yards, or four-tenths of a statute mile. In practice it is one-hundredth of the distance a laden porter will cover in a day of ten hours marching ; on the plain this would represent a third of a mile, a halfkilometre, ­ more or less, but in hilly country it varies con- 174 THE CHINESE EMPIRE siderably. By Chinese reckoning, if it is 50 li to the top of Mount Washington, returning by the same road to the same point the distance may be 25 li ; and similarly a mountain may be spoken of as 100 miles high—by road. Area The table of area is purely decimal, the unit, the mow, being divided down to the ^¿¡¡»th P art ; 100 make a ching. In the calculation of the mow occuis second of the two departures from the decimal system m China: it is 240 square “paces” or “bows, each oW being 5 feet long, and is therefore 6,000 square land ee ^ but as the land foot varies, so does the mow vary. ie “ customary ” mow at Shanghai is exactly one-sixth o an English acre (7,260 square feet, English) ; but thoug ou the Empire the mow varies from 3,840 to 9,964, wit 1 one standard of 18,148 English square feet. To give further details of all the vagaries of the measures of China would take a volume, but enough has been written to indicate in some degree the variability of what are he to be standards, and the mental attitude of those on whom it is sought to impose uniformity. The example ol othei countries may be cited, where order has been evolved h om chaos and uniformity from diversity, but it must be re membered that China is not one country, it is a dozen ,1 is a continent, with the population and the diversity of a continent, with the inborn habit of centuries to stereotype the minds of the people, and with the natural stubbornness of an old civilisation to resist all change. CHAPTER VII EXTRATERRITORIALITY The privilege of extraterritoriality was thirty years ago, and even less, more commonly referred to as exterritoriality. Of these terms Mr. Piggott * says :— “The words * exterritoriality ’ and * extraterritoriality ­ ’ are treated by some writers as identical ; by others as indicating, the first the privilege of Ambassadors ­ and their suites, the second the Treaty privilege under which Consular jurisdiction has been established in the East. Both these privileges are, however, more correctly described as * exterritorial ' ; the condition of those to whom they are accorded as * exterritoriality.’ On the other hand the government of the privileged persons by their own authorities from home is ‘ extraterritorial.’ ’’ Notwithstanding this dictum the orotund forms extraterritorial-ity-ised have prevailed and are now applied to governors and governed alike. This chapter is intended to explain how the exceptional privilege originated, and the manner of its working. In the earliest times the traveller was protected by no law ; the Tyrian voyager along the coasts of the Mediterranean ­ secured only such rights as he could buy or enforce, but he neither carried with him his own law nor was he entitled to claim the protection of the law of those among whom he sojourned. With the extension of the Roman dominion ­ the pax Romana spread, and every citizen travelling was under the ægis of the jus Romanum ; the principle * " Exterritoriality," by F, T. Piggott, 1892. 176 THE CHINESE EMPIRE established was that the Roman elsewhere than in Rome was extraterritorialised—he was not required to submit to the territorial laws of the “ foreign ” country, but remaine. outside them and continued to enjoy the protection of his own laws. As an echo of this privilege we find that in the Constitution of a.d. 824 imposed upon the people of Rome by Lothair, acting as vicegerent for his father, Lewis the Pious, each inhabitant of the city was required to choose the code—Roman, Frankish, or Lombard—by which he wishe to live, and was then judged according to the law selecto The underlying principle is obvious. It was recognised as inequitable that, for example, the Frank, who was entitle by his native law to compound for a homicide by paymen of weregeld, should by the accident of residence in wha » though the capital of the empire, was still to him a foreign city, be compelled to submit to what would appeal to him the cruel and vindictive penalty of death ; and while e wished to preserve for himself his own law, he did not wis 1 to impose it on the Roman people or on the Tombai ds w 0 less than a century before had been masters of the city-The Frank in Rome was fully extraterritorialised, but o Rome the Frank was titular sovereign. When the West first met the East on equal terms a shorter range than a lance’s length, it was found that their laws were incompatible : that no Venetian or Genoese, the pioneers in commerce in those days, would willingly or cou in reason be expected to submit himself to Moslem law» based on the stern requirements of the Koran ; and that no follower of the Prophet could yield obedience to a code whose leading exponent was the Pope. There was no thought of requiring either to conform to the law of the other ; as between one country of Europe and another the lex loci ™ght be applied, but to assimilate the legal procedure of two diverse civilisations was the mingling of ou and vinegar. The question was one-sided, since no Moslem ever strayed from the fold, and the Padishah settled d off-hand by bidding the Giaours judge, control, and protect their own nationals according to their own customs- 12 EXTRATERRITORIALITY 177 While the trading states were weak and the Moslem power strong, the imperium in imperio thus created caused no more trouble than the old protection which the Roman citizen carried with him everywhere ; but in the course of years the Turkish realm lost its old-time force, the more powerfully organised nations of Europe entered the field, and the obligation of extraterritoriality became a right, claimed by all strong enough to enforce it, enjoyed by all in the comity of nations, and duly sanctioned by the Capitulations signed with each power. These are the Charter of extraterritoriality ­ in the Turkish Empire and in the states now or formerly vassal to it. At first the natural assumption was that the traveller carried his law with him, in so far as he was entitled to the protection of any law ; but by degrees, in the history of those countries whose government is based on law and not on the will of the governors, law became paramount, and the law of the locality was never set aside to pleasure a chance visitor. This is now the rule, the Capitulations in Turkey being merely survivals of the middle ages. When the European first came to the Far East, he had no thought that he was entitled to carry his law with him, and submission ­ to the lex loci was merely an incident in his adventurous ­ career, duly provided for in his profit and loss account. The Black Hole of Calcutta was typical of the treatment of the English in India at the time, when once removed from the protection of the British flag ; the Portuguese in China enjoyed life, liberty, and the pursuit of happiness only on condition of remaining safely in the tiny peninsula of Macao ; and the Dutch in Japan, cooped up in Desima, were allowed to monopolise a profitable trade, but were otherwise subject to the whims of the Japanese. At the opening of the nineteenth century the English and Americans resident in China were restricted to the “ Factory ” or trading post of Canton, privileged for exercise to walk a hundred paces in one direction and then a hundred paces in the other. They were in general well treated, since the trade so profitable to them was equally i;8 THE CHINESE EMPIRE profitable to the Chinese, and were not molested so long as they were law-abiding, but law-abiding in the sense o abiding by the law of China. It was irksome to them to have no lawyer to instruct them in the law of the land, to have no fixed and certain law to appeal to, to be doubt u of the application of the law to any particular case, and to have no doubt whatever on the course likely to be followe by the administrators of the law ; but this was all an inciden of their position, and the rapid accumulation of fortune enabled them to shake the dust of the country from then shoes after a very short stay. So the position was endure , and the lex loci submitted to, probably, from what we know of the English and American character, with many nun murs but without overt opposition. It is no part of my purpose to describe the state ofte prisons of China or the methods by which testimony an confession are elicited, nor to demonstrate the insisten need to the Chinese people of the article in King John s Magna Charta, “ lo no freeman will we deny or sell justice. The incompatability of laws based on diverse civilisations is nowhere more marked than in China. There no bankruptcy ­ law is possible : if a debtor's own estate will not suffice to pay his debts, the deficiency must be made good by his father, brothers, or uncles ; if a debtor absconds, # immediate family are promptly imprisoned ; if the debtor returns, he is put in prison and kept there indefinitely, so long as he can find money for his daily food, until released by payment in full or by death : this is the law. When in 1895 Admiral Ting found himself forced to surrender Weihaiwei and his fleet, he committed suicide ; by this courageous step, technically dying before surrender, he saved his immediate family—father, mother, sons, and daughters—from decapitation, and their property from confiscation, the penalty when a commander surrenders an Imperial fortress : this is the law. When in the old days an English gunner caused the death of a Chinese by firing a salute from a cannon from which, by oversight, the ball had not been removed, he was seized, tried, and executed , EXTRATERRITORIALITY 179 and in 1839, when in the course of a disturbance with English and American sailors at Canton a Chinese was killed, the authorities demanded that, if the guilty person could not be detected and executed, the whole party should be handed over for execution : this is the law. Intention is never taken into account. A dollar for a dollar, an eye for an eye, a life for a life, and all for the Emperor and his representatives ­ : this is the law of China. The feeling against continued submission to this law and to its arbitrary and inequitable application had been growing, and when the Chinese authorities committed an overt act of aggression in seizing and destroying the property of the English and American merchants at Canton, burning their “ Factory,” in which alone, as in a Ghetto, they were permitted to reside, and forcibly expelling them from Chinese soil, the British took up the cudgels and the war of 1842 followed. The movable property destroyed consisted mainly of opium, and consequently the war is in common parlance called the “ Opium War ” ; this is an ill-chosen designation for the Americans as for the English, since, as the direct result of the war, the American Government secured a treaty containing ­ even more favorable terms than the British treaty. In fact, the direct cause of the war was the growing sense of the need for better protection to life and property, though behind this was the ground cause of the need for better relations generally. In the words of Dr. Hawks Pott’s “ Sketch of Chinese History”—“ The first war with China was but the beginning of a struggle between the extreme East and the West, the East refusing to treat on terms of equality, diplomatically or commercially, with Western nations, and the West insisting on its right to be so treated,” As has been the rule from the outset, England bore the brunt of the battle in securing the rights of the West, and the privileges secured to her as the result of the war, became the heritage of all the Western powers coming later into the field. Equality of treatment was conceded in 1842 on paper, but the execution of the concession in practice left much to be desired, and friction continued. There were, of course, i8o THE CHINESE EMPIRE faults on both sides, as is always the case where a bold aggressive race comes, especially in matters of trade, in contact with a weaker race given to supplement its want o strength by methods of chicanery and indirectness , u underlying everything were the demand for equality ° treatment and extraterritorial rights on the one side, an on the other a stubborn disinclination to yield either, second war became necessary in which the French jome hands with the English, and a second time America an other interested powers came in and secured treaties simu taneous and identical with those signed by the British an French envoys. These treaties, signed independently Y Great Britain, France, Russia, and the United States in 1858, by Prussia and the North German Confederation 111 1861, and by other powers in later years, are still the chai er of liberty of the foreigner resident in China ; and in eac 1 o them, in addition to a “ most favored nation clause, is contained the stipulation of extraterritoriality. The earliest treaties with China were made by Russia, whose envoys came by the Siberian route, and whose colonists and armed forces were in constant conflict wit 1 the Manchus and the sons of Han on the long frontier of t ie Amur and in Central Asia. The earliest of these treaties, that of Nipchu (or Nerchinsk) signed in 1689, contains (Art. VI.) the following provision :— “ If hereafter any of the subjects of either nation pass the frontier and commit crimes of violence agains property or life, they are at once to be arrested and sent to the frontier of their own country and hande over to the chief local authority, who will inflict on them the death penalty as a punishment of their crimes. The treaty of the Frontier (called also the treaty of Kiakhta, at which place the ratifications were exchanged) signed in 1727, contains (Art. X.) the following provision “ Those who pass the frontier and steal camels o r cattle shall be handed over to their natural judges (leurs '¡uges naturels), who will condemn them to p&Y ten times, and for a second offence twenty times, EXTRATERRITORIALITY i8i the value of the property stolen ; for a third offence, they shall be punished by death. The supplementary treaty of Kiakhta, signed in 1768, contained minute stipulations for the arrest and extradition of criminals, but includes this provision :— “ The subjects of the Middle Kingdom (China) who shall have committed acts of brigandage shall be delivered, without distinction of persons, to the tribunal which governs the outer provinces and punished with death ; the subjects of the Oros (Russia) shall be delivered to their senate, to undergo the same penalty.” Here then, from one to two centuries before the first of the treaties with any of the maritime powers, we have the principle of extraterritoriality accepted : the penalties are prescribed by negotiation between the two powers concerned, ­ but the culprits are to be handed over to their own natural authorities—are to be judged and condemned according to the legal procedure of their native land. The British treaty of Nanking, signed in 1842, as the result of the war of that year, contained provisions for uniformity ­ of Customs duties and equality of treatment for British officials ; but the only reference to Consular jurisdiction ­ is found in Art. II., to the effect that Consuls are “to be the medium of communication between the Chinese authorities and the said merchants, and to see that the just duties and other dues of the Chinese Government as hereafter provided for are duly discharged ­ by Her Britannic Majesty’s subjects.” The supplementary treaty of Hoomunchai (1843) contains provisions for extradition, and annexed to it are some ' General Regulations under which British trade is to be conducted at the five ports of Canton, Amoy, Foochow, Ningpo, and Shanghai ” which had been published at Hongkong ­ by a proclamation issued on July 22, 1843, by Sir Henry Pöttinger, Minister Plenipotentiary and Superintendent of Trade. Of these Regulations, No. XIII., after stipulating that “ disputes shall be arranged amicably,” i.e. by arbitration, ­ makes the following provision :— i82 THE CHINESE EMPIRE üHHi their own laws, in the way provided fot' by ^ respondence which took place at Nanking ■ concluding of the peace.” the This regulation was in its form a concessi ^ Chinese, designed to control the unruly mem e ^ crews of foreign ships. It was reserved or , the States of America, peacefully following on t c more British cannon, to step into the breach, and o "I tor clearly the one condition which renters i ; 0 y in aries to peacefully pursue their holy calling, lan( j the laws of the land of their allegiance and no , tn of their sojourn. In the treaty of Wanghea, s g July 1844, Art. XXI. reads as follows : f nV “ Subjects of China who may be guilty of any criminal act towards citizens of the Unite Ar ;ties be arrested and punished by the Chinese au according to the laws of China, and citizens ^ United States who may commit any crime 1 ^ shall be subject to be tried and punished on y Consul or other public functionary of the Uni e ^ thereto authorised according to the laws of t re States ; and in order to the prevention of all con r( ^ e and disaffection, justice shall be equitably an 1 partially administered on both sides.” The French treaty of Whampoa, signed in Uco 1844, contained a similar provision that French sub]ec accused of any crime should be “ livrés à l’action régu er des lois françaises,” adding, however, an enunciation o 1 principle of extraterritoriality :— “ U en sera de même en toute circonstance analogü et non prévue dans la présente Convention, le principe EXTRATERRITORIALITY 183 étant que, pour la répression des crimes et délits commis par eux dans les cinq ports, les Français seront constamment ­ régis par la loi française.” The underlying principle was more clearly expressed in the Chefoo Convention (1876) between Great Britain and China, and again in the American Supplemental Treaty of Peking (1880) ; in the latter, Article IV. reads as follows :— “ When controversies arise in the Chinese Empire between citizens of the United States and subjects of His Imperial Majesty which need to be examined and decided by the public officers of the two nations, it is agreed between the Governments of the United States and China that such cases shall be tried by the proper official of the nationality of the defendant. The properly authorised official of the plaintiff’s nationality shall be freely permitted to attend the trial, and shall be treated with the courtesy due to his position. He shall be granted all proper facilities for watching the proceedings in the interests of justice. If he so desires, he shall have the right to present, to examine, and to cross-examine witnesses. If he is dissatisfied with the proceedings, he shall be permitted to protest against them in detail. The law administered will be the law of the nationality of the officer trying the case.” This is the principle adopted since that time in all treaty negotiations entered into with China by each one of the treaty powers, which, in the order of the dates of the first treaty with each, are Russia, Great Britain, the United States, France, Belgium, Sweden and Norway, Germany, Denmark, the Netherlands, Spain, Italy, Austria-Hungary, Japan, Peru, Brazil, Portugal, and Mexico. This is extraterritoriality, secured by two wars and by treaties with seventeen powers, each one of which must consent to its abrogation or modification. By it the oreigner resident in China is subject to no one provision of t e law of China, either as to his person or to his property, ut at all times and in all places is entitled to the protection of his own national law administered by his own national i84 THE CHINESE EMPIRE officials. There are no two voices as to the necessity f°t this right among those resident in China, and the right a been recognised by the various Governments as supp Y ir | the one condition under which their nationals can remai in that country. We have now to consider the apphca 10 of this right by, and to, the Consul, the merchant, an 1 missionary ; and, as different national laws, regulation, and customs cannot be treated on one common footing, e application of extraterritoriality to the American wi ^ taken as typical of all. The Consul We all know, or think we know, the ordinary functions of the ordinary Consul. Practically they may be re uce to three. He is the commercial agent of his governmen , and in that capacity must study the commercial possi 11 1 for American traders and manufacturers in the country which he is accredited, and inform the nation by the repor which he writes. He is a notary public, certifying invoice for the U.S. Customs, and attesting documents before him for use in the United States. Finally he is ttie adviser to Americans sojourning abroad, supplementing their ignorance of foreign laws and customs, and indicating to them the means by which they may be in the position, as to knowledge, which they would occupy in their own country. Coming to China we find the Consul performing these functions, and many more besides, all of which ad to his cares and his responsibilities. First, by the direct action of the principle of extraterri toriality, he is a police magistrate to try offences committed ­ by American citizens, civil judge for suits brought against Americans by Chinese, by other Americans, or by foreigners of other nationalities, and criminal judge for moreserious crimes committed by Americans, even up to murder in the first degree. He is also coroner, probate judge, and registrar of deeds.* From his decisions appeal is difficult-His judgment may be reviewed by the U.S. Minister at * See Appendix B. EXTRATERRITORIALITY 185 Peking, but this is in no sense a re-trial ; and in certain cases an appeal may be taken to the U.S. Circuit Court of California, six thousand miles away. His position is the more difficult from the fact that he has to administer, not the law of Massachusetts or of New York, or even of California, ­ the nearest state, but “ American law, and this generally without the aid of trained lawyers ; he must administer the common law unelucidated by any statutes, and must often give judgments which Solomon would have envied. Besides American law he must have a sufficient knowledge of the lex loci, as in the case of a land suit to which an American is defendant, and instances have been known when his judgment has depended upon the right interpretation of the tenets of the Buddhist religion. With all this complexity he has still another element of difficulty : his instructions from the State Department require him first to bring two suitors to common terms of settlement, and having attempted this without giving one party a clue to the case of the other, and having failed, he must then erase from his mind all he has learned in the matter and go on the bench to sit as judge.* Besides requiring him to act as judge, the extraterritorialised position of the foreigner in China places on the Consul's shoulders still another burden of responsibility. Beyond the protection of American law, the American in China is safeguarded by the stipulations of the treaties. These specify, to select a few among the many instances, that Customs duties shall be uniform, that inland transit dues (akin to octroi) may be compounded, that Americans may freely rent or charter houses, boats, etc., that they shall not be prevented from preaching the gospel, that the U.S. * The opening on January 2, 1907, of a United States District Court for China will remove cases of a certain class from the Consul’s jurisdiction, and to this extent will modify what has been said in this paragraph ; but this description still applies, more or less exactly, to the Consuls of other powers, such as France, Germany, etc. Only Great Britain and the United States have thought it necessary to establish separate courts. i86 THE CHINESE EMPIRE ^ ltœ|î§i3 of the American treaties, but, under the xhis nation ” clause, of all the treaties made wit ere i y a makes of him a diplomatic representative, State representative of the Minister at Peking, u u e i ia s Department at Washington ; and in t ns C M? on the by in European countries. country of weak In cases of riot and disturbance in must be government, the foreign military and nava o -ptie called in to give due protection to their na 10 Consul is the natural diplomatic intermediary \ Chinese officials, and all representations, by way ^ ^ suasion or of ultimatum, must pass through um ” . anC p him alone to judge when the toga must yie ° a ’ • ^ added to all his other responsibilities, he is the ^entcrv authority in control of the armed forces of his own ^ By virtue of extraterritoriality direct ac ion ^ a foreigner’s person or estate can only be taken r0 8_ own Consul, and in the case of an arrest for con rav of municipal regulations it is by him that the pi isoner be tried. The foreign communities are little self-govcrn ^ and self-taxing republics, each in its square mile or w °^ territory, but even against their own members those c° munities cannot act through their own courts, whic Hot. exist mnnicirvnl O rrûcl OfQ TT1 V)ld*S, ^6 EXTRATERRITORIALITY 187 the same offence. The Municipal Council governing such a community is subject to no legally constituted tribunal, since none such exists of competent jurisdiction , and, being after all only a body of private gentlemen of many nationalities with no official status, can only communicate with the Chinese officials, with whom they have constant and important dealings, through “ their own ” Consuls. To meet these varying needs of the regularly constituted governing body of these little republics, the Consuls take united action, holding deliberative meetings for that purpose, and act by the voice and pen of the “ Senior Consul ”—the Consul longest in residence ; and they appoint certain of their number to constitute a Consular Court, a tribunal before which the Municipal Council may be sued.* This gives the Consul an important part in the municipal control not only of his own nationals, but of all foreigners in the community. The Merchant The position of the merchant in the days of the old trade has been indicated in this chapter, and is further described in Chapter IX. ; and in giving some details of his exceptional ­ position under extraterritoriality, it is necessary from point to point to contrast it with what would be his normal condition. On the entry of a ship in the ante-treaty days she became a chattel in the hands of the Chinese authorities and of monopolists licensed by them, and was the subject of “ milking ­ " limited in amount only by what the trade could stand. The sums extracted were not all capable of being put into a detailed statement, but one authentic official account (given in Chapter IX.) shows that to the constituted authorities ­ one ship, which for the same charges would to-day pay £25, paid what was then equivalent to £900. To-day a ship’s papers are deposited with her Consul, and the Chinese * Jurisdiction over the municipality of a" Concession " is in the hands of the Consul of the controlling power, as explained in Chapter VIII. 188 THE CHINESE EMPIRE authorities can exercise control only through him, while all attendance and supplies may be obtained in the open market. The cargo could formerly be sold only to licensed monopolist ­ dealers, while now an importer may find his own buyers and make his own terms ; and for exports the same monopoly has been exchanged for the same freedom. The merchant formerly lived and stored his goods in the Factory, in which he was the tenant and guest of the monopolists who alone could buy his imports and sell him his exports, and which he could not leave even to inquire the market prices of commodities. Now he is privilege to rent or build his own premises, subject only to the con dition that they shall be at one of the treaty ports, now forty in number, and usually within a circumscribed area at those ports ; but in any case he now has free access, without intermediaries, to his ships and to his market. Formerly the merchant had no knowledge of the amount of taxation levied, inwards and outwards, on his goods, but it was none the lighter for that. Now the tax is strictly limited to the rates, based on a uniform 5 P er cent, levy, specified in a revenue (non-protective) tariff, which forms an integral part of the treaty under which he lives and trades. From the inland taxation, too, which presses so heavily on Chinese traders who are subject to the levy o, likin, his goods are exempted by payment of “ transit dues not exceeding a nominal 2,\ per cent, aà valorem. No Chinese authority has a right to claim any municipal taxes from foreign premises ; and within the “ areas reserved for foreign residence and trade," all taxes levied are solely for the benefit of such reserved area. The foreign resident is equally free from the incidence of benevolences, or from the necessity of contributing to public charitable and patriotic ­ funds, or from inducement to buy official honors and titles, to all which the Chinese merchant is liable. o capitation fee may be imposed, or right of deportation ­ exercised on foreigners by the Chinese officials, as was the case in the old days. _i No foreign merchant is now liable for any but his own EXTRATERRITORIALITY 189 criminal offences, and for those with which he may be charged he is judged according to the provisions of his own laws. In civil cases he is held accountable for the requirements of the commercial code of his own country , and in suits against Chinese he is aided by the advocacy of his own official representative, the Consul. Finally, in at least ten of the treaty ports, the foreign merchants collectively are privileged to form their own municipal government, subject only to the oversight of the Consuls, to tax themselves and administer the proceeds of the taxes, to construct their own roads, and to control their own measures of police and sanitation. Others could be added, but these constitute a formidable list of exceptional privileges, enjoyed by the foreigner and denied to the Chinese. It is no part of my purpose to inquire if these privileges are equitable or not ; it is enough to say that they will be maintained so long as foreign nations are strong enough to insist on their maintenance. Protection ­ is thus given to foreigners in their daily business such as Chinese do not enjoy ; and it would be unreasonable to expect that no foreigner would be found ready, for a consideration, ­ to lend a corner of his flag to cover the nakedness of the poor Chinaman. Among the foreigners resident in China there is the same proportion of good,bad, and indifferent as among the same class in the home lands, and the malpractice ­ is common ; but while the abuse of the flag provides a decent income to many among them, it causes great injury to the legitimate commerce of the countries from which they come, and disorganises the methods of administration, right or wrong, just or unjust, of the land in which they live. Because an American can take certain goods from one place to another for a hundred dollars in taxes, while it would cost a Chinese twice that sum, provides no reason good in the eyes of the American nation, the American manufacturer, ­ or the legitimate American trader, why the Chinese should be allowed to save half his outgo by the misuse of the American flag ; the differential taxation is a matter between the Chinaman and his own Government and is no concern igo THE- CHINESE EMPIRE of the American nation, and yet, if an American has lent his name to the transaction, the American Consul is bound to intervene to protect the Chinaman’s goods. This is only one example of many in which extraterritoriality is abused to give to Chinese a protection from their own officials to which they could otherwise lay no claim. Instances have been known where a foreigner with no capital—not apenny-" opened branch firms in several places and ran steamers in his name and under his flag, but had no share in the working of the business and was never heard of, except when it became necessary to call a case out of the Chinese magistrate’s ­ yâmen to the foreign Consular court. In one instance a small steamer was transferred within a few months first to the British, then to the French, then to the American, then to the Italian flag, in order to keep her out of the Chinese court to which both the claimants to hei ownership were subject ; the transfers were frequent because the case was too notorious to be upheld even by the lax methods of China, but the legal machinery was there an was used. Each power professes to wish to stop these abuses, but nothing can be done except by unanimous consent ­ of all the seventeen treaty powers ; one recalcitrant power would provide for its nationals a rich harvest from the traffic denied to other foreigners ; and it is unlikely that anything will be done, unless the great commercia nations take the matter in hand and decide it by themselves. The Missionary While the merchant may live at the treaty port, and even within the reserved area at the port, and find his customers ­ come to him readily, provided the wares he offers are wanted, the missionary must go to the people and offer them his evangel : they will not hunt him up. To reach their hearts, he must go into the highways and byways to preach the gospel ; and to shut him up in the treaty port is 0 neU t r f lise the facilities for his work which have been secuie y treaty. China is no exception to the rule that the heathen are quite content with their existing religions EXTRATERRITORIALITY igt state, and have no desire for a “ new religion ” ; and the history of missionary work in this country is as much marked by the martyrdom of the saints, allowance being made for the general ethical progress of the world, as ever in any country in which the Cross has been advanced. The Chinese Government has never for long actively encouraged the Christian propaganda. St. Francis Xavier, the protomissionary, was denied access to the mainland, and died in 1552 on its threshold, on the island now called St. John. Matteo Ricci first arrived at Nanking in 1595, but secured the right of living in the city only after four years more. Robert Morrison, the first Protestant missionary, was for some years unable even to obtain a teacher from the bigotedly conservative literati, and finally secured the instruction ­ he desired by virtue of his connection, as interpreter, ­ with the East India Company, and even then by stealth. The Russian orthodox religion was, however, protected from the first, for the reason that little or no attempt has ever been made to proselytise. The treaty of I 7 2 7 provided for the maintenance in Peking of four priests of the Orthodox Church, and of six others, students of the language , this, be it observed, during the continuance of the great persecution of the Roman Catholics, begun by Kanghi (1662-1723), and continued by Yungcheng (1723-1735). The treaty of 1851 provided that the Chinese Government would interpose no obstacle to “ Russian subjects ­ celebi ating in their factories divine service according to the ritual of their own religion " ; and the Russian treaty of Tientsin, 1858, granted facilities to ''la mission ecclésiastique russe.” . ,^ ie bist reference to missionaries, otherwise than as ci îzens of their respective states, in the treaties of other powers was in those of 1858. The British and American were almost identical, Article XXIX. of the American treaty being as follows “The principles of the Christian religion, as proessed by the Protestant and Roman Catholic Churches, are recognised as teaching men to do good, and to do IQ2 THE CHINESE EMPIRE to others as they would have others do to theirs Hereafter, those who quietly profess and teach e doctrines shall not be harassed or persecute on a count of their faith. Any persons, whether citizen of the United States or Chinese converts, who acc0 ^ ing to these tenets peaceably teach and practise 1 principles of Christianity shall in no case be inter ere with or molested." . To the French the question was more material. Government had for centuries been recognised as protec o _ of all Roman Catholic missions in the Orient, and its P ria cipal casus belli was the murder of the missionary ugus Chapdelaine in Kwangsi ; and Article XIII- oí the rene treaty was as follows :— . . • i “ La religion Chrétienne ayant pour objet essen de porter les hommes à la vertu, les mem res toutes les communions Chrétiennes jouiront u 1 entière sécurité pour leurs personnes, leurs proprie et le libre exercice de leurs pratiques religieuses, et un protection efficace sera donnée aux missionnaires q se rendront pacifiquement dans l'intérieur ¿u pay » munis des passeports réguliers donts il est par e c a l’Article huit. Aucune entrave ne sera apportée P les autorités de l’Empire chinois au droit q ul e reconnu à tout individu en Chine d’embrasser, si veut, le Christianisme et d’en suivre les pratiques san être passible d’aucune peine infligée pour ce fait. “Tout ce qui a été précédemment écrit, proclam 0 publié en Chine par ordre du Gouvernement contre culte Chrétien est complètement abroge et reste san valeur dans toutes les provinces de l’Empire. When the allied forces reached Peking and had again to impose terms on the Chinese Government, Article VI- 0 the French Convention of Peking, i860, stipulated as follows :— “ Conformément à l’édit impérial rendu le vingt mars mil huit cent quarante-six par l’auguste Empereur Tao-Kouang, les établissements religieux et de bien- 13 EXTRATERRITORIALITY 193 faisance qui ont été confisqués aux Chrétiens pendant les persécutions dont ils ont été les victimes seront rendus à leurs propriétaires par l’entremise du Ministre de France en Chine, auquel le Gouvernement Impérial les fera délivrer avec les cimetières et les autres édifices qui en dépendaient.” To the Chinese, but not to the French, text of this article was added, surreptitiously as the Chinese Government has always declared, the following clause :— “ And it shall be lawful for French missionaries in any of the provinces to lease or buy land and build houses.” As cognate to the same subject, it will be well to give here for reference the much debated wording of Article XII. of the British treaty of 1858 :— “ British subjects, whether at the Ports or at other places, desiring to build or open Houses, Warehouses, Churches, Hospitals, or Burial-grounds, shall make their agreement for the land or buildings they require, at the rates prevailing among the people, equitably and without exaction on either side.” I here are two points which have been raised in connection ­ with missionary work under the treaties—the right of residence in the interior, and the protection to be accorded to converts. The right of residence in the interior depends upon the application to a pre-existing practice of a liberal interpretation ­ of the treaty provisions given above. When the Roman Catholic missionaries entered on the mission field in the sixteenth and seventeenth centuries, there were no treaty ports, and, except later at Canton, no place at which oreigneis were privileged to reside, and they spread over t îe Empire wherever they found a centre suitable for their Propaganda. When the Emperor Kanghi, confronted by , ie ^fallible decision of the Pope, contrary to his own, on îecoirect rendering into Chinese of the name of the Deity, ecreed the exclusion from his dominions of this alien power, e Peremptorily expelled all teachers of the gospel and 194 THE CHINESE EMPIRE closed their churches, and this policy was continued by his successor Yungcheng ; in the Liangkiang viceroyalty alone a hundred prosperous churches were so closed, and even m the extreme west, in Szechwan, there were churches no a few. Upon the resumption of a policy of toleration the pastors returned to their flocks, and the nineteenth centuiy again found them in every province of the Empire. The edict of the Emperor Taokwang in 1846 restored to the missions all the property of which they had been deprived “ during the persecutions ” ; and, even without the interpolated ­ clause, the year i860 found the Roman Catholic missions owning and occupying, by right, churches and houses at important centres in all parts of the Empirejluuíjcb ax important centres in an parts ui me Apart from special treaty privilege, they have had a right o , .. . .... ii — and user, dating back three centuries with interruptions, ai uninterrupted, except by massacre and arson, foi ovei seventy years ; this right was confirmed by treaty fortyseven years ago, and upon this right, sanctioned by accept anee for that period and strengthened by the interpolate clause, is based the further right to acquire new property, now secured by the later commercial treaties, the Brit is of 1902 and the American of 1903. What is permitted to one nation is ipso facto granted 1# China to all nations, the privileges of one Church may be claimed by other Churches, and what is conceded to the Roman Church becomes at once the right of the Protestant Churches of Great Britain and America. The earlier Protestant ­ missionaries clung to the ports ; but, compelled to seek their hearers, they went into the Chinese cities and the densely populated suburbs, away from the “ areas reserved for foreign residence," and in principle as much in " the interior ” as places a hundred miles away. When the foreign Legations were established at Peking, the Protestant missionaries ­ accompanied them, and joined the Roman Catholics w io lad been there for three centuries, in what was no then and is not now a treaty port ; and in the sixties and seventies they too spread over the country, wherever they could find men to listen to their words. But besides the EXTRATERRITORIALITY 195 prescriptive right derived through the Roman Catholic missions, they claimed under Article XII. of the British treaty, given above, by the terms of which they were permitted ­ to own property “ whether at the ports or at other places ” ; it was not intended by the negotiators on either side that the right of residence in the interior should be granted by these words, but, strictly interpreted, they certainly ­ carry on the rights claimed and continued by their Roman Catholic colleagues. Of German missions there are both Protestant and Catholic, though neither are numerous, but they attract attention because of the terms of the German treaty of 1861, of which Article X. reads as follows :— “ Die Bekenner und Lehrer der christlichen Religion sollen in China volle Sicherheit für ihre Personen, ihr Eigenthum und die Ausübung ihrer Religions-Gebräuche gemessen.” Thus to Germany, and therefore to all nations, by this curt clause is guaranteed full security to the persons and property of missionaries and their converts ; and this brings us to the second debated question in connection with missionaries, ­ the degree of protection to be accorded to Chinese subjects who have become Christians.* The German treaty, in its brevity, seems to remove the convert from the jurisdiction of his own laws and to extraterritorialise him ; but is it for a moment to be supposed that this was the intention of the negotiators, even on the German side ? The convert remains a Chinese subject, and is under the jurisdiction of his own laws and entitled to such justice as they will give him, as much after his conversion as before, subject only to the proviso that he shall not be persecuted because of his faith ; and in this respect the same right of user cannot be claimed as in the case of mission property and residence in the interior, since the Chinese Government has always, even in the time of its greatest weakness, resisted the idea that its subjects could change their status. With the reservation of the case of persecu-! j * See Appendix C. ig6 THE CHINESE EMPIRE tion, most missionaries, certainly most Protestant mission aries, generally accept this position ; but they cantío always be trusted to temper zeal with discretion and to distinguish what is right from what is lawful. In this li eS — element of danger to the missionary and to his cause. Not only in the treaty ports, the sole authorised places for foreign trade, is the Westerner covered by his extraterri' torialised position, but in every corner of this vast Empire in which he may put his foot. When the missionary far in the interior, many miles from the observing eyes of his Consul, transfers a corner of his protecting cloak to his poor Chinese convert, he may be doing what is right, but it lS not lawful ; and this is the naked fact underlying many an episode leading to a riot. You cannot eradicate from a missionary’s mind the belief that a convert is entitled to justice of a quality superior to that doled out to his un converted brother : it could not be got out of your mind, °r out of mine, in a similar case. None of us could endure tha a protégé of ours should be haled away to a filthy prison or a debt he did not owe, and kept there until he had satisfie > not perhaps the fictitious creditor, but at least his custodians who were responsible for his safe keeping. The case particularly hard when the claim is not for a debt, but °r a contribution to the upkeep of the village temple -t r e throne of heathendom—or of the recurring friendly village feasts held in connection with the temple—counterparts 0 Fast Day and Thanksgiving ; and when conversion drives its subject to break off all his family ties by refusing to con' tribute to the maintenance of family ancestral worship and the ancestral shrine, the hardship is felt on all sides—by the missionary, who cannot decline to support his weaker brother in his struggle against the snares of the devil ; by th e convert, who is divided between his allegiance to his ne^ faith and the old beliefs which made all that was holy in hb former life ; by the family, who not only regard their recreant member as an apostate but are also compelled to maintain the old worship with reduced assessments from reduced numbers ; and by the people and governors of the land, wh° EXTRATERRITORIALITY 197 may find in such a situation a spark to initiate a great conflagration. ­ No missionary, none of ourselves, could refuse his support in such a case ; and yet few missionaries consider ­ that the support should be given : almost to a man they think that they must regard, in such matters, what is lawful and not necessarily what is right ; and almost to a man it is always “ the other fellow ” who does these things. With all this self-abnegation, direct interference and direct representations to the judges of the land, in cases of “ religious ­ persecution,” in suits for debt, in land suits, and even in criminal cases, are only too common ; and in some parts of the country, notably in Chekiang, Catholic and Protestant converts frequently engage in clan fights, while the missionaries ­ on either side charge those on the other with fomenting the trouble and with enlisting the aid of the officials to support their side.* The strength of a chain is that of its weakest link, and the rights of the missionary in the interior may some day have to be tested, not by the conduct ­ of the decent majority, but by that of an aggressive minority bent, for one reason or another, on extending their own extraordinary rights to Chinese converts, who otherwise ­ must share such justice as is meted out to their fellowsubjects. There are, however, two sides to this question. There are numerous cases, susceptible of proof to the man on the spot but of which it would be difficult to carry conviction to the minds of those at a distance, where the missionary undoubtedly intervenes to make capital for his mission, and to secure for his followers some tangible advantage from their acceptance of his propaganda. At the other extremity there is the manifest tendency, clearly recognised by all, even the most impartial, but quite incapable of legal demonstration, ­ for the judges of the land, in cases where the right is not obviously on one side or the other, to decide ex motu suo against the convert ; ostensibly such decisions are given on as good legal grounds as any case in China is ever decided, ­ but practically the underlying reason is the convert’s * See Appendix D. i 9 8 THE CHINESE EMPIRE religion—not the judge’s antipathy to the religion itself, b his ingrained feeling that the convert has become less * n than the non-convert, that he has received that foreign a which, in i goo, sent missionary and convert alike o ° common sacrifice on the altar of nationalism. ie ^ ca ,. fall under one or other of these extremes, and eit er proof is forthcoming or the decision has to be taken y 01 capable of feeling where lies the right and where the wron& there can be no question on the course to be followed. ^ great majority of cases, however, are such as to be ceptible of proof, or fall into the wide field between ^ two extremes ; and in them the missionary must e ® bound to exercise the greatest discrimination, in t îe i terests of his mission work, of his own national governme and, not least, of his converts themselves. Mixed Courts lhe law applicable to Mixed Courts in China at th present day is that prescribed by the Chefoo Convention 1876 with Great Britain, and in Article IV. of the meric -, treaty of 1880, given above, but they merely reguanse what had been the practice since foreign nations un er 00 the task of enforcing justice on and for their nations. There is not anywhere a special tribunal, as in Egypt, the trial of all mixed cases ; but the court is, in eac ia stance, a court of the defendant’s nationality, giving 1 ^ decision under the supervision of a competent representative ­ of the plaintiffs nationality. This is the theory. I* practice the Chinese have seldom sent representatives to sit on the bench in the foreign courts, since it has generally been recognised that the judgments rendered there are based on the law and the evidence ; on the other hand, the foreign powers have never felt the same confidence in Chinese de cisions, and no suit is brought in China by a foreign plainti against a Chinese defendant and left to the sole decision 0 the Chinese judge, without the presence of an assessor 0 the plaintiff s nationality or acceptable to him. EXTRATERRITORIALITY 199 In a “ concession,” such as those at Tientsin, Hankow, or Canton, this Chinese court for mixed cases sits at the Consulate of the lessee power, and the assessor is invariably the Consul of that power or his representative, irrespective of the actual nationality of the plaintiff. To allow any other assessor would admit an imperium in imperio, subsidiary ­ to the foreign imperium already interjected into the Chinese imperium ; besides, as Chinese, other than employés of the foreign residents, are not permitted to live on the “ concession ” of the old type, the cases appearing before such a court are generally only police cases, and defendants in civil suits must ordinarily be sought on Chinese soil. Shanghai has a problem all its own. There, living within common municipal limits, and those the limits of the “ area reserved for foreign residence and trade,” are (in 1905) 12,328 treaty-power foreigners, and 535,500 Chinese, in addition to somewhat over 100,000 Chinese living in the city or its suburbs under purely Chinese jurisdiction ; and legal action against one of the half-million Chinese is taken before the nineteenth of the courts of competent jurisdiction existing ­ in Shanghai. This Mixed Court is presided over by an official with the rank of Deputy Prefect (the present incumbent ­ has lately received the substantive rank of Prefect), with two Assistant Magistrates to relieve him. The foreign assessors are an essential part of this court, and are supplied in rotation by the American, British, and German Consulates ; when a person of other nationality than that of the sitting assessor appears as plaintiff or is interested in a police case, the case is remanded until an assessor of his own nationality can sit, either (if one of the three) in due rotation, or (if of another power) until an assessor can be supplied from his own Consulate. In criminal cases, in which by Chinese law the death penalty is, or might be, inflicted—such as homicide, rebellion, counterfeiting, rape, etc.—the proceedings take the form of a demand for extradition ; and, upon a prima jade case being made out, the defendant is remitted to the custody and judgment of the Shanghai city magistrate (Hsien), who, 200 THE CHINESE EMPIRE though of nominally lower rank than the President of the Mixed Court, is yet an Imperial representative, qualified to administer the criminal law of China. In criminal cases o lesser magnitude the judgment is rendered by the President of the Court, but subject to the approval of the foreign assessor sitting with him. This course is followed also in police cases for contravention of municipal regulations ; but as it is not required that these regulations should have the prior approval of the Chinese authorities, and as Occidenta and Oriental ideas are not always in harmony in such matters as sanitation, nuisances, control of traffic, incidence of license fees, etc., there is here an opening for a judicia review of alien legislation which is not always lost, and 1 happens occasionally that the opinions of the judge and the assessor do not agree. I Civil cases in China are commonly settled by guil action, and are seldom brought before the official tribunals, but the relative uniformity of justice secured by foreign supervision has caused a greater resort to the Shanghai Mixed Court. When the plaintiff is a foreigner, the ordinary course is followed, and the approval of the assessor is held necessary to the judgment of the court. Not infrequently it happens that a case with plaintiff and defendant both Chinese becomes a mixed case by the interjection of u foreigner into the plaintiff’s claim ; the Chinese authorities have always tried to distinguish these pseudo claims, but it is generally held that on them lies the onus of proof of non-interest, not an easy thing to prove. These cases then generally follow the usual course, unless it can be definitely proved that the foreign interest was introduced at the eleventh hour in order to divert the course of justice. Suits which are admittedly between Chinese on both sides are a bone of contention. One side maintains that, eing purely Chinese, they are no concern of the foreign powers, and are therefore not subject to the decision of the oreign assessor ; the other side holds that every judicial question arising within the “ area reserved for foreign resience and trade ” concerns the foreign powers, and that the EXTRATERRITORIALITY 201 foreign assessor of the day is bound to exercise an oversight. On both sides it is felt, but not generally admitted, that there is some reason in the contention of the other , and the assessor is generally passive unless there are evidences of extortion and flagrant injustice, while the magistrate generally ­ puts himself into agreement with the assessor when a municipal regulation comes into the case, neither being too desirous of crystallising the differences and precipitating a conflict. Occasionally, however, when the incompatibility of view cannot be compromised, a sharply defined issue is made.* The Chinese official view is unimpeachable ; appeal is made to the letter of the treaty stipulations granting to foreign powers the right of oversight in cases in which a foreign interest is involved, and only in those cases. The foreign official view is equally unimpeachable. When in 1853 the Taiping rebels devastated the country for hundreds of miles around Shanghai, many thousands of refugees found there under the foreign flags the protection to life denied them under their own flag. In the ten years which elapsed before the restoration of order these thousands were sheltered ­ within the area reserved for foreign residence, from which it would have been inhuman barbarity to expel them ; and while there police and sanitary measures were necessarily adopted to protect the foreign residents from them, and them from each other. The impetus thus given, Chinese continued to flock to the foreign settlement of Shanghai, within the limits of which there are to-day over half a million. There has thus grown up a foreign interest in real estate valued at over two hundred million taels, and a foreign interest ­ in the maintenance of order and the administration of justice among the half-million Chinese living under the same jurisdiction as the foreign residents ; and the foreign official view is that foreign supervision is necessary over foreign and Chinese residents alike in the interest of foreigners ; and, further, that two independent police and justiciary administrations cannot be allowed to function * See Appendix E. 202 THE CHINESE EMPIRE within the same area, and, that if there is to be one administration, ­ it shall be the foreign. To the ordinary functions of a Consul, the foreign representative ­ in China adds those of judge, diplomatic agent, civil authority in control of the military, and has a potent voice in municipal administration. The foreign merchant is entirely removed from the jurisdiction of the laws of China, and is entitled to the protection—for life, liberty, and property—of his own national laws. The foreign missionary carries the protection of his own flag to the remotest corner of the Empire. All this arises from extraterritoriality-This remedy for the intolerable situation of the first half of the nineteenth century has now been in force for sixty years, and through it life in China has been rendered possible for all foreigners ; without it, during those sixty years the contention of the Chinese Government that none of the outer barbarians should abide on the sacred soil of the Middle Kingdom would have worked its own accomplishment. ­ It is based on force, as was the first occupation of Massachusetts Bay and the progress of the Union from the Atlantic westward to the Pacific, or as was the settlement ­ of New Zealand and of Canada ; and on manifest destiny so long as its beneficiaries can compel destiny. It has no logical or moral argument to uphold it ; and yet it is a necessity of the case, if the foreign merchant and the foreign missionary are to remain in the country ; and so long as their stay there is legitimate, so long will extraterritoriality provide them with a buckler in following their lawful occupations. The right will not, and cannot, be abrogated until all the foreign powers concerned are unanimous in their opinion that residence in China will be as safe, and protected by guarantees as sound, as in other countries ; or until the growing strength and improved administration of China herself enable her to claim and to maintain the right of governing all within her borders. CHAPTER VIII THE PROVINCES AND THE TREATY PORTS China Proper is divided into eighteen provinces, and to distinguish it from the rest of the Empire this part is commonly, and even officially, referred to by the Chinese as “ The Eighteen Provinces.” The events of the last dozen years, since 1894, have brought into commercial and political prominence the region which we call collectively Manchuria, divided for administrative purposes into three provinces ; these are called by the Chinese “ The Three Eastern Provinces,” lying east of the eastern end of the Great Wall, where it comes to the sea at Shanhaikwan, built to protect the Eighteen Provinces forever from invading hordes from the north, whether Mongol or Manchu. The estimated area of the Empire, based not on any cadastral survey but on the simple process of multiplying degrees of longitude by degrees of latitude may be put as follows :— China Proper .. .. .. 1,535,000 Eng. sq. miles Manchuria .. .. .. 365,000 „ ,, Mongolia, Tibet, Turkestan, etc. 2,400,000 ,, ,, Total .. 4,300,000 ,, „ The population is variously estimated from 270,000,000 (Rockhill 1904, and Hippisley 1876) to 421,800,000 (Popoff 1894) ; Parker's estimate * of 385,000,000 is probably the safest to follow. For China “outside the Wall ” the safest estimates are 16,000,000 for Manchuria and 10,000,000 for Mongolia, Tibet, etc., making, with Parker’s estimate for China Proper, a total of 411,000,000. The Eighteen Provinces extend roughly from latitude 20° to 40 ' N. and from longitude 98" to 122 0 E., comprising * “ China : Past and Present ” (1903). 203 204 the CHINESE EMPIRE the seventh and eighth hours of Zone time east of Greenwich. The western part is mountainous, filled with the spurs of the Central Asian plateau ; while on the east are the great plains formed by the outfall of the Yellow River and the Yangtze ; and in the south is the small, but incredibly rich, plain of the Pearl (or West River) delta, lying around Canton. Of the nineteen provinces (treating Manchuria as an undivided area), treaty ports have been opened in fourteen—coast, ­ riverine, and frontier—while five (Shansi, Shensi, Kansu, Honan, and Kweichow) find their outlet through extra-provincial ports. Treaty Ports treaty port is almost synonymous with “ port of entiy, but it is something more. The first men of the West, Portuguese, Dutch, English, or American, to come to China conducted their trade mainly at Canton. The Portuguese in their enterprising days had traded at Ningpo and Foochow as well, but under such circumstances that in i557 they obtained a lease of Macao, 88 miles from Canton, and there they settled—and stagnated. In the eighteenth century the traders of that day, the English and Dutch, visited both Canton and Macao ; but the traders of the early part of the nineteenth century, the English and Americans, made Canton their commercial centre. Here, cooped up in their factory, or trading post, they had the privilege of residing, and here they bought and sold—much of the former and little of the latter. The conditions, both of residence and of trade, were unsatisfactory, and the British Treaty of Nanking (1842) opened the first “ treaty ports,” five in number : Canton, Amoy, Foochow, Ningpo, and Shanghai. These five ports have now grown to forty, including some that have been opened voluntarily by China, not under the obligation of any treaty, but on the same footing and under the same trade regulations as the regular treaty ports. At these ports foreign nations are privileged to establish Consulates, foreign merchants are permitted to live and trade, and on the trade at these ports are levied dues and duties according THE PROVINCES AND THE TREATY PORTS 205 to a tariff settled for both parties by treaty. At some ports are national concessions, as at 1 ientsin, on which municipal and police administration is under the control of the Consul of the lessee power ; at others are settlements 01 reserved areas for residence," as at Shanghai, with municipal organisation, ­ but at which the power which issues the title-deeds is China ; at others, including most of the newer ports, there is neither concession nor reserved area, excepting “ International ­ Settlements ” established at a few places by the Chinese authorities. At all the treaty ports, however, there is one common right, the privilege of exempting goods by one payment from all further taxation on movement. On a bale of sheetings imported at Shanghai, a treaty port, the importer will pay once duty at the tariff rate ; it may then, perhaps a year later, be shipped to Hankow, a treaty port, without further payment ; it may then be shipped to Changsha, a treaty port, without further payment ; it may then be shipped to Changteh, having the privileges of a treaty port, without further payment ; but if it then goes on fifty miles farther, or if, instead of taking the journey of 900 miles in three stages to Changteh, it goes “ inland " to a place which is not a treaty port thirty miles from Shanghai, the bale is liable to the taxation which is levied in China on all movement of commodities not exempted by special privilege. A treaty port may be miles away from the nearest navigable water, it may be the most inland of inland marts, but in matters of taxation and of privilege a broad distinction is drawn between these forty ports and all the rest of China, which, even on the coast, is “ inland." ­ This is the one reason underlying the constant demand for the opening of new treaty ports, with all the expense for administrative and preventive work imposed on China, and for the enforcement of extraterritorial rights imposed on the foreign powers. Manchuria Of the three' eastern provinces, two, Tsitsihar (or Heilungkiang) ­ and Kirin, may be dismissed with few words. The 2o6 THE CHINESE EMPIRE chief interest in them attaches to the Amur degree mmwm Newchwang and Moukden, and the Russian ma rn Irkutsk and Lake Baikal to Vladivostok. ronta ins, Sä : t ^ ïzâsHsî The western part of this province is made up j rovV s of the Liao and the valleys of its tributaries, c wheat and durra for food, and beans from w nc 1 an esculent and illuminating oil, and bean-ca <e s P restore exhausted fertility to the fields of Japan Kwangtung. The eastern part is mountainous an ^ to the husbandman and the soldier, and its pnndp ducts of value are opium and silk. T he latter pro u .. supplies from as far south as latitude 22 N., m i s ,, excellence from latitude 30 o N., and, in the shape o n ¿ silk or tussore from worms feeding on the oak, rom - c h latitude 40 o N. In minerals Manchuria is sufficien > ^ to call for development, gold, silver, copper, lead, iron, coal being known to exist. In the province of b eng are three treaty ports, or, in the wild scramble for rea ports now manifested, it is safer to say that this was ^ number in 1906 ; and in addition there is the territory Port Arthur and Dalny (Talien in Chinese, Tairen in Japañes > granted in 1898 to Russia on a lease, which was subsequen y> in 1905, transferred to Japan. __ . , Newchwang. (40 o 41' N., 122° 16' E.) Ibis P° r ^ situated 13 miles above the mouth of the Liao, was opens officially in 1861, but actually in 1864 at Yingtze or Yingko » 30 miles below the unimportant city of Newchwang’ THE PROVINCES AND THE TREATY PORTS 207 Recently the port has been distinguished as Yingkow, but Newchwang is and lias been the name officially given to the Treaty Port, the Custom House, and the Post Office. A British concession was laid out, and through the long years of waiting for trade the little clump of buildings on this— dingy, dirty, and dusty—sufficed for all the requirements of the port. Now there are, on the left bank, the remains, not yet eroded out of existence, of the old British concession, and a new Russian concession, with 6,000 feet frontage, at the terminus of the branch line connecting the port with the main line of railway at Tashihkiao, which presumably goes with the railway to the Japanese ; and, on the right bank, a new British concession with 3,000 feet frontage, and a Japanese concession with 3,000 feet frontage, have been staked out, but not yet agreed to by China ; and, next down stream, the “ Imperial Chinese Railway Reserve,” with 13,000 feet frontage. The Chinese population at the port is estimated at 75,000, and on December 31, 1905, there were within the district 291 resident civilian foreigners, of European and American nationality and 7,408 Japanese reported by the Consulate. The slow development of trade at Newch ­ wang will be judged from the following figures, which in this case, as in the case of all the other ports to be described, show the value of the traffic in “ foreign-type vessels ” (i.e. nowadays mainly steamers) under the cognisance of the Imperial Maritime Customs, and do not include the junk traffic under the cognisance of the Native Customs. 1864 1874 1884 1894 1904 Imports. Tls. 709,738 2,433,135 3,690,410 7,886,161 29,358,392 Exports. Tls. 1,710,398 1,753,543 4,123,084 8,532,443 12,159,486 Total. Tls.* 2,420,136 4,186,678 7,813,494 16,418,604 41,517,878 * I he tael (Tls.) of silver had an exchange value of 6s. 8d. in 1864, of 6s. 4<¿. in 1874, of 5s. yd. in 1884, of 3s. 2d. in 1894, and of 2s. 10d. in 1904. 2o8 THE CHINESE EMPIRE During 1904 the junk trade amounted, in addition, t° Tls.6,365,261 for imports, and Tls.4,313,861 for exports, & total of Tls.10,679,122. This gives a total of Tls.52,197,000 as the value in 1904 of the water-borne trade of the district, of which Newchwang has been until 1906 the sole official and legal port of entry, and does not include any trade which may have been carried by rail across the land frontier or through Dalny. Among imports the principal items are cotton woven fabrics (value in 1904 Tls.10,050,000 for foreign, and Tls.7,815,000 for native weaving), cotton ­ yarn (value Tls.3,946,000), hemp and gunny bags (Tls.315,400), cigarettes (Tls.428,890), flour (Tls.837,000, supplies from Harbin being shut off), matches (Tls.428,5 00 )' paper (Tls.1,705,000), kerosene oil (Tls.1,087,000), sugar (Tls.i,497,000), rice (Tls.962,000), and wheat ( 1 ls.6o3,ooo)-Of products of the district finding their outlet at NeW chwang the principal are beans (value in 1904 1 ls.6,577j 000 ^’ bean-cake (Tls.4,589,000), bean-oil (Tls.2,133,000), silk (Tls.2,oo5,ooo) J and such opium as was declared for assess" ment of duty (Tls.289,000). Moukden (41° 51' N., 123° 26' E.) is the Manchu nai# of what in Chinese is known as Shengking (the Sacre Capital), and administratively was from a.d. 1625 calle Shenyang, and is now officially termed Fengtien. The ol capital of the Manchus before they marched to the conques of China and migrated to Peking, it still remains a sleeps capital, with a complete equipment of Ministries, duly provided with Presidents, Vice-Presidents, and Secretaries, whose most important functions have for two-and-a-h# centuries been those connected with pay-day. The practi cal administration is in the hands of a Governor-General, who is at the same time Military Governor (Tsiang-ku#. Tartar General), and of a Civil Governor, who is assimilate to the Governors of the Eighteen Provinces. Situated at & distance of one hundred miles from Newchwang, in the heart of the plain of the Liao valley, it is admirably placed i0 serve as a distributing centre, and is on the point of beiug opened as a treaty port. It is connected by rail with DaW THE PROVINCES AND THE TREATY PORTS 209 and Newchwang, and, when the line from Sinmingfu is extended, will also And direct outlets at Chinwangtao and Tientsin. Outlets may also be found through Vladivostok and Irkutsk. The population is estimated at 250,000. Antung (40 o 8' N., 124 0 14' E.) 23 miles above Tatungkow, at the mouth of the Yalu River which separates Manchuria from Korea, and Antung, 25 miles farther up, which were on the point of being opened as treaty ports in March 1907, will tap the wealth of timber standing ­ on the mountains flanking the river, and will provide an outlet for the silk of eastern Shengking, which now goes by junk to Chef00 and Dalny. Antung will be a station on the line of railway connecting Korea with Manchuria. Harbin, the junction of the railways from Irkutsk to Vladivostock, and from Harbin to Kwanchengtze, where it joins the Japanese line to Dalny, is made the seat of a Custom House to control the railway traffic. Chihli The metropolitan province of Chihli, with an estimated area of 115,000 square miles, and a population of which the estimates range from 21,000,000 to 29,000,000, may be roughly divided into a northern half, mountainous and thinly peopled, lying mainly outside the Great Wall, and a southern part, densely populated, of flat alluvial plain, robbed in the course of ages from the waters of the Gulf of Pechihli by the detritus carried down by the Yellow River, and the loess borne on the winds. The hill country contains much mineral wealth, of which the bituminous coal mined at Tongshan and the anthracite of the hills west of Peking are conspicuous examples. The plain is a vast hive of human industry on which, as everywhere on the plains of China, man is pitted against the forces of nature, and, with no other appliances than those possessed by their remote ancestors, the men of the hive win out. This is a part of the country running from Tientsin to Chinkiang through seven degrees of latitude, and traversed by the 14 210 THE CHINESE EMPIRE various courses followed during the centuries by the erratic Yellow River, where man is at a peculiar disadvantage from the friable nature of the soil, the aggressive character of the water when in flood, and the fact that at such times the level of the waters is higher than that of the land. One grand scheme of reclamation is recorded in the time of Yung-cheng, a.d. 1723-1735, when 120,000 acres of marsh were converted into good arable land, and the canals, weirs, and bridges by which this work was carried out can be shown to-day after 175 years ; but in recent times little has been done on any extensive scale. The products of Chihli are those of the farm and farm-yard, the usual crops being millet, durra, and wheat. The treaty ports opened in the province are two in number, Tientsin and Chinwang' tao ; but the exceptional position of Peking calls for a description of that city. Peking (39 0 54' N., 116 0 27' E.). The capital of the Empire was first established at Peking (the Northern Capital) by Kublai Khan, when he initiated the Yuan Dynasty, a.d. 1260 ; the first Ming Emperor, a.d. 1368, established himself at Nanking (the Southern Capital), but the third of that line transferred the capital in 1421 to Peking, which has remained the seat of government continuously since then. Peking is a quite unofficial and quasi-foreign designation, ­ the Imperial name being King-shih (The Capital) and its name, as a unit of the provincial administration, being Shuntien. In the same way it may be observed that the Empire has no name ; it is designated as “ The Empire or “ (All within) The Four Seas,” or “ (All beneath) The Canopy of Heaven,” or, quite unofficially, “ The Middle Kingdom ” ; but the name “ China ” is an old Buddhist name which has dropped out of use in the country which is designated by it, and is to-day, of all the countries using the Chinese ideograms, employed only by the Japanese. ■ e Ä* a cam P’ with the headquarters of the commanderm c ie in the middle, and the army encamped around , len to the south, outside the walls but protected by their own walls, are the camp sutlers—the Chinese traders pnr- THE PROVINCES AND THE TREATY PORTS 2il veying to the Mcinchu garrison. The Chinese estimate of the population is 1,300,000. Considered commercially, Peking is a mouth, fed by the provinces, and having no industrial output ; and yet the foreign purveyors and hotel-keepers who have gathered around the Legations have found it to their advantage to act as if the city had the status of a treaty port—not one with the duty-exemption privilege, but a place in which they are permitted to reside, to buy and sell, and to act as general traders. Against this assumption the Chinese Government has repeatedly protested. ­ Tientsin (39 0 9' N., 117 0 ii' E.), “The Ford of Heaven,” is situated at the junction of the Grand Canal, which starting ­ from Hangchow finds here the end of its long course, of the Peiho (North River) leading north to Peking, and of the Haiho (Sea River) emptying into the Gulf of Pechihli. The city is distant from the sea 35 miles by road, but 56 miles by the original corkscrew windings of the river, a distance since reduced to 47 miles by the work of the Haiho Conservancy, and in time to be reduced to 36^ miles. Even after all the improvement that has been effected, there are few cities in the world of equal commercial importance or supplying so rich a hinterland, which have such poor shipping facilities. A bar on which certain conditions -of wind and tide will reduce the high-water depth to three or four feet, a channel in which the summer floods will cause the mud bottom to rise faster than the water surface, a river of many bends and restricted width, all combine to impose a limit on the carrying capacity of steamers entering the port. The eternal struggle of the enterprising merchants, foreign and native alike, of Tientsin can only be compared to the fight of the farmers of the province against the forces of nature, both having the same problem to solve. Tientsin is, with a few insignificant exceptions, the one official city of the Empire, of the rank of district city, which is to-day without the protection of walls It was in the reign of Yung-lo (a.d. 1403-1425) that it was permitted the privilege of walls ; these endured until the rule of the 212 THE CHINESE EMPIRE foreign Provisional Government which followed on the Boxer movement of 1900, when the walls were razed an the official city was left naked to the winds. Apart frorn the humiliation, the loss was a gain ; the walls affoide no protection to the wealthy commercial quarter, which, as is invariably the case in China, was in the suburb lying between the city and the river, and they have been wel replaced by the broad avenues made on their site and providing thoroughfares unknown to other Chinese cities. Tientsin is rich in “ concessions ” for residence and foreign trade, having no less than thirteen—viz. British (i860), British Extension (1897), British Extra-mural Extension (1900), French (1861), French Extension (1900), American (granted in 1861, but at once abandoned and in 1902 adde to the British Concession), German (1895), German Ex tension (1901), Japanese (1896), Japanese Extension (1900), Austro-Hungarian (1902), Italian (1901), Russian (1900) an Belgian (1902). The last four and the various extensions, except the British, date from 1900 and later. The original concession, the British, dating from i860, is held under a lease in perpetuity to the British Government, a small ground rent being reserved to show the ultimate sovereignty of China. The area was divided into lots, the leases ° which were sold to provide for roads and bunding, an which are held under a ninety-nine years' lease granted by the British Government, the annual rental being the due proportion of the reserved ground rent. The Consul is ex officio the ruling functionary ; all actions of the Municipa Council, elected by vote of the “ land-renters,” being submitted for his approval, and the annual “ town meeting ­ ” or any special meeting being held under his presidency-The residence of Chinese on the concession being prohibited, otherwise than as servants of the foreign residents, the Consul has jurisdiction over all questions of landed property, and over all other questions in which a non-British European is not defendant. The Consul as representative of his Government, is de jure ruler of the concession ; but, # conformity with English practice, he actively intervenes THE PROVINCES AND THE TREATY PORTS 213 only in a crisis, and ordinarily the duly-elected Municipal councillors are de facto rulers of a self-constituted little republic. In the other concessions nomination, and not election, decides the choice of Councillors. For the French concession the Municipal Council consists of the Consul as ex officio President, the six land-owners paying the highest taxes, and the three tenants paying the highest rent. Germany ­ in 1897 contracted with a commercial syndicate to develop and administer her concession ; and in 1905 the Reichstag passed an enabling Act to allow self-government when desired. On the Japanese, Russian, Belgian, and Italian concessions the Consul is sole administrator. On the Austro-Hungarian concession there is little if any Austrian or Hungarian interest, the land-owners and inhabitants being Chinese ; and here the power is vested in an Administrative Secretary, nominated by the Consul, and in six of the leading Chinese residents also nominated. Of the extensions, the French, German, and Japanese are merely extensions of the original concessions, held in the same way under lease in perpetuity to the foreign power. In the British Extension, which was the first, a different principle was followed. The soil remains Chinese, and title-deeds are sealed and issued by the Chinese authorities as at Shanghai, and as at Shanghai it is only administrative functions—taxing, works, and police—which are delegated by the sovereign power. The Municipal Council, in its corporate capacity, and the “ land-renters ” of the British Concession own a considerable portion of the land in its extension, and the Municipal Council of the extension is composed of the members elected to the Municipal Council of the concession, ex officio, and four others elected ad hoc ; this makes it possible, while having separate budgets, to carry on the administrative work of the two areas with a staff common to both. In the foreign residential section of Tientsin, with a total area of 3,550 acres, of which 28 per cent, is in the Russian Concession, we have thus six distinct^forms of government under eight European powers. At Tientsin and in its consular district live (December 31, 214 THE CHINESE EMPIRE 1905) a total of 3,770 civilian foreigners, including 679 British, 387 American, 465 German, 244 French, n5 Russian, 60 Austro-Hungarian, 100 Belgian, 34 Italian, i,53 Japanese, and 148 others. Formerly the population 0 the city and its suburbs was estimated at a million, but, with all its development, recent and more careful estimates put it at 750,000. The development of trade is shown by the following figures of the value of merchandise (not including treasure) carried in foreign bottoms. Imports. Exports. Total. Tls. Tls. Tls. 1864 . . 7,645,422 1,730,786 9,376,208 1874 .. 17,682,684 1,144,893 18,827,577 1884 . . 20,328,981 3,610,076 23,939,057 1894 . . 37,412,806 6,864,248 44,277,054 1904 .. 54>059,3I5 14,895,375 68,954,694 1905 • • 81,826,313 14,739,359 96,565,67 2 In addition, during 1905, produce to a value of Tls.8,018,223 was exported by junk. Among imports the principal items are cotton woven fabrics (value in 1905 Tls.21,314,000 for foreign, and Tls.440,000 for native weavings), cotton yarn ( ris.6,514,570 for foreign, and Tls.574,100 for native spinnings), ­ copper (Tls.3,119,000 for foreign, and Tls.460,840 for Chinese), cigarettes (Tls.1,287,000), tobacco ( Tls.422,600), kerosene oil (Tls.2,268,600), railway plant and machinery in general (Tls.3,995,000), sugar (Tls.3,286,000), timber (Tls i,445,000), paper (Tls.2,290,000), rice (Tls. 10,592,000), silks (Tls.i,840,000), tea (for local consumption Tls.1,132,000, for transit to Russia by land Tls.2,861,600). The principal among the articles of export were bristles Tls.831,7*3)’ spirits (Tls.666,500), skins and furs (Tls.5,210,000), strawbiaid (Tls.858,600), and wool of camel, goat, and sheep (Tls.3,326,400). Chinwangtao (39 0 55' N., 119 0 38' E.) is a comparatively ­ ice-free port on a frozen coast, affording an outlet when Tientsin (December to February) and Newchwang (November to March) are frozen up. Originally opened THE PROVINCES AND THE TREATY PORTS 215 as a coal shipping port for the output of the Kaiping mines, and utilised as a winter landing for passengers and mails, it proved of great value in enabling the foreign garrisons at Peking and Tientsin to maintain communication with the outer world during the winter 1900-1 ; and when the military forces were withdrawn to Tientsin, a Chinese Custom ­ House was established there in 1902. The trade of the port developed at once, and in 1905 amounted to Tls.18,817,120 for imports, and Tls.3,033,959 for exports, a total of Tls.21,851,079, the greater part of which should be added to the trade of Tientsin, of which Chinwangtao is the “ winter jetty.” Of its special export, coal, 168,576 tons were shipped in 1905, in addition to 25,183 tons shipped from Tientsin. On the opposite side of the bay is the seaside resort of Peitaiho, frequented during the summer by residents ­ of Peking, Tientsin and Shanghai, and by missionaries from the interior of North China. Shantung Shantung, the “ Mountains of the East,” the home of Confucius, has an area estimated at 56,000 square miles and a population estimated at 37,000,000. It is divided sharply into two halves, the mountainous country to the east and the plain to the west. The eastern part, with a width of 80 miles at the base and 30 miles at the tip, projects boldly for a length of 150 miles into the sea, separating the waters of the Yellow Sea to the south from the Gulf of Pechihli to the north, and is rich in minerals, notably coal, iron, and gold. The western part is a portion of the plain formed by China’s Sorrow, the Yellow River. This river has changed its course many times, finding its outlet into the sea at several places within a range of eight degrees of latitude ; prior to the sixth century before Christ, it formed a delta with its northern mouth at Tientsin, latitude 39 0 N., and its southern mouth near the present outlet, latitude 38 o N.. ; from the seventh century a.d. it emptied by one mouth about latitude 38 o 30' N. ; toward the end of the twelfth century it plunged south-east from a point midwaybetween Kaifeng and 2I6 THE CHINESE EMPIRE Tsinan, and emptied into the Yellow Sea south of Shantung, at about latitude 34 0 N. ; toward the end of the thirteenth century it broke away to the south-east from Kaifeng, an emptied partly through the last mentioned mouth an partly into the Yangtze, the southern mouth of which is at latitude 31 0 N. ; in 1324 it broke away lower down below Kaifeng, and flowed south-east to the mouth at latitude 34 0 N. ; this course it kept until 1853, when it resumed its north-easterly course, flowing close to the north of Tsinan to a mouth in the Gulf of Pechihli, north of Shantung, at latitude 38 o N. These are what may be termed the official channels, the courses which the river condescends to recognise ­ at seasons of low water. In times of flood it breaks out where it wills, and, even at the present time, finds an outlet for its waters where it can, some falling at times into the Yangtze, some into the Yellow Sea, some as far north as Tientsin, and some by its present legitimate mouth. In 1887, for example, it broke out above Kaifeng, just below the spot where the Peking-Hankow Railway now crosses the river, and formed a temporary channel to the southeast ­ through Honan and Anhwei. Coming from the treeless plateau of Central Asia, and flowing through a treeless country, the River Ho (i.e. Hwang-ho, as the Chinese call it) brings down the melting snows and falling rains in sudden flood, laden heavily with detritus from the loess formation of the west and north-west ; and this detritus, checked in its speed, is deposited so rapidly that the river bed is filled b y degrees until everywhere its bottom is higher than the surrounding plain. Were it not for the vast sums of money and vast amount of work spent upon it every year and through the whole year, the Yellow River would have no fixed channel, but, with every recurring summer and its attendant flood, would spread over the plain which extends i 1 ? 1 ? j° n ^ u< ^ e E. to the sea, and from the Yangtze atitude 32 o N. to Tientsin. Nor do these floods enrich the soi, as do those of the Yangtze and the Nile, but they deposit an in ertile sand which is prevented from being rendered fertile ­ by the combined action of the wind, the sun, and the rain, THE PROVINCES AND THE TREATY PORTS 217 through its lightness and friability, which expose it to the destructive independent action of each element. This, too, is the only soil on which to raise protecting dykes, and catastrophic floods from breaches in the banks are of almost annual occurrence, being recorded in seven of the ten years 1882-1891, and in seven of the years 1892-1901. With all this, or because of all this, Shantung, though rich in products, is richer still in its men, and richest of all in having produced ­ Confucius. The Master was born b.c. 551 (dying B.c. 479) in what is now the district of Chow-hsien, and his Memorial Hall is still standing at Chüchow in the prefecture of Y inchow, in the western part of the province ; and through all the vicissitudes of revolutions, rebellions, and falling dynasties, his memory has been kept green and his name honored by the perpetually hereditary rank of Rung (Duke) bestowed upon his family. His seventy-sixth lineal descendant to-day divides his time between Peking and his ancestral home : this, it may be noted, gives an average of 31-4 years for a generation. Shantung produces coal, iron, and gold, and its farm products ­ are beans, opium, silk, wheat, millet, and tree-fruits. Within its limits are the treaty port of Chef00 and the foreign “ leased territories " of Kiaochow and Weihaiwei. Chefoo (37 0 33' N., 121 0 22' E.) : the treaty port, opened in 1863, is not at Chefoo, which is on the north side of its harbor, but at Y entai on the south side. The roadstead ­ provides a commodious anchorage, safe for vessels at all times with some selection of a berth, but so far exposed to certain winds, north and east, as to render the discharge of cargo difficult at times. Here there is neither concession nor settlement, in the sense of an administrative municipality ­ ; but since the opening of the port the entire promontory ­ of Y entai, which projects into the harbor, has been, more or less tacitly, and without any formal agreement, reserved for occupation as a foreign quarter. The residents have bought their own land, have made their own winding roads, and have maintained cleanliness^and order mainly through the force of public opinion. They have assessed 2i8 THE CHINESE EMPIRE themselves and have expended their assessments through a headless committee, but have no official status as a selfgoverning administrative body ; and Chefoo represents the third of the four types of municipal government to be found operating at the treaty ports, of which the first is seen in the concession,” as at Tientsin already described, the second in the “ settlement,” as at Shanghai, and the fourth in a special form of government which will be described ­ under Yochow. For many years, until about ten years ago, Chefoo was the sole summer resort available in hina, and is still frequented by many, attracted by its sea bathing and sea breezes, and by the summer visits of many of the foreign war-ships on the station. The resident loieign population of the port and district in 1905 was 1431, including 433 British, 221 American, and 547 Japanese. or trade purposes the port is not well situated, being i n t e middle of the northern side of the mountainous section, an connected with the plain country only by such routes as - ca ^ r °ads in China, or by junk to the harborless ports ? nor th coast ; and yet, as an outlet and supply depot 0r e Province, its development has been marked. A por ion of its trade is with the coast of eastern Shengking tying opposite across the Gulf of Pechihli. The value of 1 s trade during the past forty years has been as follows» treasure not included Imports. Exports. Total. Tls. Tls. Tls. 2,766,669 2,758,547 5,525,216 5,o5l,i59 1,960,402 7,811,561 5,922,202 4,138,314 10,060,516 >208,938 6,569,738 14,778,676 21,569,021 12,686,154 34,255T75 2 7,I79,259 11,952,125 39,131,384 be added for 1905 the value of the junk 1 “-11,531,033, exports Tls.2,311,260, total mong the imports the principal wef e in 1904 Tls.3,420,000 for foreign, and THE PROVINCES AND THE TREATY PORTS 219 Tls.155,000 for native weaving), cotton yarn (Tls.1,728,000 for foreign, and Tls.80,355 for native spinning), cigarettes ­ (Tls.674,000), coal (Tls.510,000), flour (Tls, 1,332,000), matches (Tls.578,000), kerosene oil (Tls.1,917,000), sugar (Tls.i,732,000), and rice (Tls.3,415,000). Among exports the principal articles were beans and bean-cake (Tls.2,794> 000 )> wild silk (Tls.4,803,000), straw-braid (Tls.1,413,000), vermicelli ­ (Tls.i,573,213). Weihaiwei (37 o 30' N., 122 o 9' E.) was occupied by Great Britain under a lease from China in 1898, as an answer to the Russian occupation of Port Arthur and Talien, which followed on the German occupation of Kiaochow. The government is by a Commissioner. There is no resident foreign population to form an electorate, and the Chinese are ruled more Sínico through the village elders. The port is a summer station, but not a base, for the British East Asiatic squadron, and an hotel and a school have been established there. Considering the meagreness of the population and that it is supposed, while being a free port, to have no legitimate traffic with its hinterland, its seaborne ­ trade is surprisingly large. Kiaochow is and remains a Chinese city at the head of its wide shallow bay, with good anchorage only at its mouth. Here lies Tsingtau (36 o 4' N., 120 o 18' E.), the port and seat of government of the German “ Territory of Kiaochow.” Possession of this port and its environs was taken on November 14, 1897, as reprisal for the murder of two German missionaries, and subsequently, in March 1898, a lease for ninety-nine years was obtained from the Chinese Government. The local administration is controlled ­ by a Governor, assisted by a Council composed of the heads of departments, eight in number, to whom are added three unofficial members. The town and port have been developed by subsidies provided by the German Government ; the town has been laid out with broad streets and provided with fine buildings, while the port is an artificial creation with its moles and breakwaters, and equipped with all needed European appliances ; and fifty 220 THE CHINESE EMPIRE and from its inner end Knblai Khan (a.d.126 ) ^ canal to the north shore at Laichow, w 1C ’ provided restoration and completion of the Grand Umc p^ a safer route, enabled the tribute-laden junk Q f iourney to the north without encountering the p the stormy passage around the Shantung 10^ The canal has long since been unavailable 1 t0 but its modern substitute, the railway from bin 8 . n trtws í ssr» ”«-< but the authorities have had the wisdom 0 n * . , jy fiscal co-operation of the Chinese Government, an nr 1899 the Chinese Kiaochow Customs Office was °P * * and functioned at the port itself. The fiscal arrange ^ then made was tentative, and has since been impro» Beginning from January 1, 1906, the Kiaochow uS ¿ took entire control of the movement of merchan íse in ^ and outward, at the same time conceding to sing a the trade privileges of a Chinese treaty port , ® a e a with its moles, and the railway terminus wit 1 e .., a around them, were declared a “ Freibezirk, muC 1 huge bonded warehouse, into which movement is un . stricted, and in which bonded manufacturing may be earn on ; the Chinese Customs tariff duty is levied on expor^ when shipped by sea, and on imports when leaving the r ^ zone ; every facility is to be granted to the Chinese Custo# as if on Chinese soil ; and 20 per cent, of the collection fr° imports is to be handed over to the German authority as a contribution to the maintenance of the port. With t arrangement, if it is found to work, and the railway corT ^ munication with its hinterland, the future of the port * assured, the more that the ordinary bureaucratic metho THE PROVINCES AND THE TREATY PORTS 221 of German administration are not so much in evidence in the “ Kiautschau-gebiet " as in other German colonies. Though through railway traffic to Isinan was initiated only in 1905, the trade of the port has already made considerable ­ progress, as evidenced by the following figures, in which the unimportant junk traffic is included. 1900 1902 1905 Imports. Tls. 2,852,576 8,075,250 15,097,422 Exports. Tls. 1,104,574 2,269,392 7,225,258 Total. Tls. 3,957,150 10,344,642 22,322,680 The tendency of the trade of western Shantung to gravitate to Kiaochow to the detriment of Chefoo, formerly the only treaty port outlet for the province, is signally evidenced by the case of straw-braid ; of the total export of this product of home industry from the two Shantung ports in 1903 Chefoo contributed 70 per cent and Kiaochow 30 per cent., while in 1904 the Chefoo contribution fell to 40 per cent., and in 1905 fell further to 21 per cent. Other important products exported from Kiaochow are yellow silk, bean-oil, and ground-nut oil. Other Northern Provinces On the latitude of Shantung is a string of inland provinces ­ with no direct outlet on sea or river, the one river common to and running through them all, the Yellow River, not being generally navigable in any part of its course. Honan, “ South of the Ho " (Yellow River), is hilly in its western part, where it borders on Shansi, Shensi, and Hupeh, and a plain to the east where it borders on Shantung, Kiangsu, and Anhwei. The estimated area is 68,000 square miles, and population 21,000,000. A rich country with no navigable rivers, it is destined to be recreated by railways ; and its produce, which formerly found outlets at Tientsin in the north or at Chinkiang in the south, is beginning to find its way to Hankow by the Peking-Hankow line which bisects the province from north to south. 222 THE CHINESE EMPIRE Shansi, the “ Mountains of the West,” lies between Chinli and Shensi. With practically no rivers intersecting it, and skirted on the west and south by the unnavigable Yellow River, it occupies a high plateau with a steep escarpment ­ on its eastern side. Any failure of rain brings drought and almost unrelievable famine, and the difficulties 0 transport are such as to be overcome only by the construction ­ of railways. A line is in course of construction, connecting the capital, Taiyuanfu, with the Peking-HankoW line at Chentow. The estimated area is 82,000 square miles, and population 12,000,000. Shensi lies between Shansi, Honan, and Hupeh on the east, Szechwan on the south, and Kansu on the west. Its produce finds an outlet partly through Honan and part y over the mountains and down the Han River to Hankow-At or near Sianfu was the ancient capital of what thenconstituted the Empire, in the third century before Christ and again in the sixth century after Christ ; and at Sianfu, to which the Court fled for refuge from the troubles of 19 00 ' are maintained simulacra of Ministries, as at Moukden, but without staffs. The area of the province is estimated a t 75>ooo square miles, and its population at 8,500,000* The name of this province affords an instance of the di cutties of the Chinese language and its dependence on tones or inflexion of the voice. In spelling there is properly no distinction between Shansi and this province, and to dis tinguish correctly the sound as spoken, the former should be Shansi and the latter Shansi : Shensi is only a convenient conventionalised mode of distinguishing the two provinces. Kansu forms the extreme north-west corner of the Eighteen Provinces, and has an area estimated at 125,° 0 ^ square miles, and a population of 8,000,000. Traversed by the Yellow River, it is restricted to land transport : and its produce, mainly wool of sheep and camel, finds its out et through Mongolia, thence down from the north-west to Tientsin. Kweichow lies far to the south, but is more conveniently mentioned here, as the only other province not having THE PROVINCES AND THE TREATY PORTS 223 treaty ports. It lies between Szechwan to the north, Yunnan to the west, Kwangsi to the south, and Hunan to the east, and has an area estimated at 67,000 square miles, and population at 7,500,000. It is rich in minerals, especially ­ of the less common kinds, and its products, of which opium is the most important, find their outlet through Hunan and Kwangsi. Szechwan Szechwan, the “ Four Streams,” has an area calculated to be 218,500 square miles. Nothing better illustrates the uncertainty impending over everything statistical in China than the variability of the estimates of its population. ­ The estimates made within the last twenty years have ranged from 35,000,000 (Hobson, 1892) to 79,500,000 (Popoff, 1894) ; but the general tendency of investigators has been to put it between 50,000,000 and 65,000,000; Parker (1903) is inclined, however, to doubt all the high estimates ; and Hosie (1904), than whom few have studied the province more carefully, puts it at 45,000,000. The surface of the province is made up of masses of mountains, through which the Yangtze has cut its deep and narrow channel, and which is everywhere cut up by steep-sided valleys and ravines. In the whole province there is but one extensive plain, that of Chengtu, the capital, on which the irrigation system is among the wonders of the world. Among the minerals found are gold, silver, cinnabar, copper, iron, coal, and petroleum, and among its natural products the chief are opium, hemp, white wax, yellow silk, and some hundreds of products of its hills and valleys included in the Chinese pharmacopoeia. Chief among the products of this rich province is salt, obtained from artesian borings, some of which extend 2,500 feet below the surface, and from which for centuries the brine has been laboriously raised by windlass and water buffalo power. The one outlet for Szechwan, except at the cost of toilsome mountain journeys, is by The Great River (Kiang) or The Long River— the river otherwise without a name, the spinal cord of China, 224 THE CHINESE EMPIRE to which foreigners have united to call by the name given it by the Chinese only for the last hundred miles 0 * course of thousands of miles : Yangtze. Flowing f rom , . extreme west of China to the extreme east, it is only wi 1 the borders of Szechwan that this route presents an difficulties, and these are occasioned by the rapids ° ve ^ which the stream pours tumultuously in its passage throng^ the famous Yangtze Gorges. Down stream the inheri e and trained skill of the boatmen carry their frail cra^ safely past dangers with the current rushing, in places a at times, as much as fifteen miles an hour ; but up strea this skill is called into full play, and the boats, of a 01 twenty-five tons capacity, pulled by a struggling, shouting» sweating crowd of a hundred trackers, more oi es ’ frequently meet with accident in the passage of the rapi Repairs are effected and damaged cargo is dried promp on the way, but it is estimated that, apart from total l° sse ’ a full tenth of the boats upward-bound arrive with t e cargo more or less damaged by water. Near each of t # rapids is maintained an efficient life-saving boat service, on of the few public services in China of which nothing good is said. The province contains one treaty port. Chungking (29 0 34' N., 106 0 31' E.) is situated at 1 confluence of the Great River (or the River of Golden San ^ as it is sometimes called in parts of its course throng ^ Szechwan) and the Small (or Kialing) River. In the Che 0 Convention (1876) it was stipulated that Chungking sb 011 be an outpost for watching trade, but that “ (British merchants will not be allowed to reside at Chungking, ^ to open establishments or warehouses there, so long as a , steamers have access to the port.” The first “ steamer to reach Chungking was a small steam-launch in Marc 1898, and the first cargo-carrying steamer was the Pio** in June 1899, both taken up by the developer of Szechwa#» Mr. Archibald J. Little ; but, in fact, the place had bee* 1 opened as a treaty port, with all its privileges, in March 189*' It is improbable that, under existing conditions, steaffi traffic can advantageously engage in the Szechwan carrying 15 THE PROVINCES AND THE TREATY PORTS 225 trade ; and the trade passing through the Maritime Customs ” is carried by junk, as is that passing through the Likin Stations, the latter offering the advantage of a flexible tariff and complaisant officials, the former based on its treaty port privilege by which the single import duty paid at Shanghai carries goods without additional taxation 1,400 miles farther into the heart of China. The city, with a population of 300,000, occupies a rocky promontory on which mountain paths and flights of stone steps take the place of streets. The river rises here in summer normally 70 feet above its winter level, frequently more, and in 1905 rose to a height of 108 feet. The few foreign residents ­ are scattered over the city and on the opposite shore, and have no municipal organisation. In considering the volume of trade it must be remembered that it is optional with merchants to pass their cargo at the Maritime Customs or at the Likin Stations, and that the latter publish no statistics. The value of the trade passing the Customs has been as follows :— Imports. Tls. 1894 . . 5,782,701 1904 . . 18,451,938 Exports. Tls. 4,997,688 10,952,028 Total. Tls. 10,780,389 29,403,966 Of the imports five-sixths are made up of cotton manufactures, ­ viz. cotton piece goods (Tls.3,777,600, all foreign weaving), and cotton yarn (Tls.8,993,700 foreign, and Tls.2,681,500 native spinning). Among exports the principal ­ items were bristles (Tls.477,000), hides (Tls.458,000), medicines (Tls.974,000), musk (Tls.983,000), opium (Tls. 4,084,000), silk (Tls.i,813,000), goat-skins (Tls.450,000), white wax (Tls.332,000), and sheep’s wool (Tls.315,000). Much of the opium sent from the province takes various land routes to escape too rigid a scale of taxation, but the quantity sent down the river through both taxing offices in 1904 was 36,856 piculs, and in 1905 was 36,311 piculs, valued at Ichang, after passing the dangers of the river, at about Tls.16,000,000, in each year. 226 THE CHINESE EMPIRE Wanhsien, the opening of which is provided for in the ritish commercial treaty of 1902, is situated on the Yangtze, midway between Chungking and Ichang. Hunan Hunan, South of the Lake ” (Tungting), consists of mountains to the south and west, with the Tungting Lake and its surrounding alluvium occupying the north-eastern quarter. Its area is estimated at 83,400 square miles, and its population at 22,000,000. Its people are the sturdiest an most straightforward of the provincials of China, and ey have never allowed the Empire to forget that to them was due its salvation during the period 1853-63, when the unan levies under Tseng Kwo-fan arrested and turned ack the advancing wave of the Taiping rebellion ; from t at time, until the recent formation of the “New Model ’’ army, the Chinese army was largely composed of Hunanese raves. Anthracite coal is mined in the south-east, 1 ummous coal in the south and west, and from the west come antimony 3,nd others of the uncommon metals. The a uvia lands and valleys produce rice with an exportable surp us of over a million piculs annually, tea of which 300,000 piculs are forwarded annually to Hankow, and su temperate products in general ; and large rafts of timber are oated down the Y uan River, the value of annual floats o an ow being estimated at upwards of ten million taels. f r ° rme ïy^ a vas1; tra de between Canton and Hankow passed SiZ^T^ o'™ the Chiling Pass and down the mm THE PROVINCES AND THE TREATY PORTS 227 possible on the Yangtze to the lighter draft boats of the inner waters, but this expectation has not been realised, and the successive later opening of Changsha and Changteh has effectively killed whatever prospect of trade Y ocho w may have had. The municipal plan adopted at Y ocho w is one which has been introduced at some other ports. The Chinese Government expropriated the land required for an “ international settlement,” laid out roads and sold the lots by auction, reserving an annual ground rent of a substantial amount ; wharfage dues, moderate in amount, are levied ; municipal work and police are under the joint control of the Yochow territorial Taotai and the Commissioner ­ of Customs ; all expenses are at the charge of the Chinese Government, and the community is burdened neither with further taxation nor with the task of governing : in the event of further taxation becoming necessary, it will be under the control of a representative body. The population of Yochow is 20,000, and the “ treaty port ” is five miles distant, at a point where alone a safe anchorage could be found. Changsha (28 o 12' N., 112 0 47' E.), the capital of the province, on the Siang River, was opened as a treaty port in 1904. The city is a centre of learning and culture, encouraged by the wealth remitted to their homes by the many eminent officials of Hunan birth, and protected by the independent character of the people ; and it marks the extreme western limit of the advance of the Taipings, who were repulsed from its walls, though gaining numerous victories ­ in nine provinces. Its population is stated at 230,000. Thirty miles farther up river is Siangtan, the population of which was formerly stated to be 700,000, but is now supposed not to exceed half that number. The depth of water up to Changsha in summer may be put at fully ten feet, but in winter is reduced in places to three feet. The trade passing the Customs of Yochow and Changsha combined was valued in 1905 at Tls.4,447,058 for imports, andTls.1,938,830 for exports, a total of Tls.6,385,888. Considering that the export of Hunan tea alone must be worth Tls.10,000,000, 228 THE CHINESE EMPIRE these figures show that the trade of this rich province continues to be carried in the small Yangtze junks. Changteh (29 0 i' N., iii° 27' E.), on the Yuan River west of the Tungting Lake, is on the point of being voluntarily ­ opened by China. The so-called lake is to-day & lake in summer only, and in winter is a series of wide, shallow channels in a waste of mud ; and, summer and winter, traffic to Changteh passes by the sinuous channels of the deltaic land lying south of the lake between the mouths of the Siang and Yuan. During the winter the greatest draft of water which can go through to Changteh does not exceed two feet. Changteh is a city of 150,000 inhabitants, and its chief value as an open port lies in the fact that imports are carried free of duty so much the farther inland. j. ' Hupeh Hupeh, “ North of the Lake," has an area estimated at 71,400 square miles, and a population of 34,000,000, and forms with Hunan the Viceroyalty of Hukwang, “The Lake District." Mountainous to the north and west, its centre is covered by an extensive plain forming a triangle, with its base well north of the line Hankow-Ichang, and its legs formed by the Yangtze in its course from I chang south-east to Yochow, thence north-east to Hankow-This plain, dotted with lakes and intersected by canals, is much of it depressed, some of it covered by floods every summer, and most of it protected from repeated summet flooding only by a vast system of embankments, admirably designed and constructed, and kept in continual repair ) and its principal product is cotton. In this province are three treaty ports. Ichang (30 o 42' N., iii° i6' E.), a city of 40,000 people, is situated at the head of steam navigation on the Yangtze, at the throat of the main outlet from Szechwan, and at the point where the mountains of Szechwan and western Hupeh meet the central plain of Hupeh. Here a great emporium THE PROVINCES AND THE TREATY PORTS 229 might have been expected to spring up at which the men of the mountains should meet the men of the plains, and the inland ­ men should meet the men from the sea, for the mutual exchange of products. The course of trade has, however, undergone no change, and Ichang, opened as a treaty port in 1876, has done no more than use its advantage of steamer traffic and take from Shasi a portion, and the major portion, of the work of transhipping the Szechwan trade from the deep-draft lower river boats to the light upper river boats and vice versa ; while the emporia for the exchange of products are still at Hankow and Shanghai. The character of the trade of Ichang may be judged from the following figures for the traffic which, between Ichang and Chungking, went by “ chartered junk,” subject to the control of the Maritime Customs, and, between Ichang and Hankow, went by steamer, competing with the lower river junk, the value of the traffic by which is not included. Gross Imports. Re-Exports. Net Imports. {i.e. transhipped) Tls. Tls. Tls. 1894 . . 10,373,903 9,427,920 945,983 1904 . . 35,559,841 34,129,018 1,430,823 Shasi (30 o 17' N., 112 0 17' E.), a city of 80,000 people, was opened as a treaty port in 1896. Originally, before the opening of Ichang, it was the ordinary place of transhipment ­ for the Szechwan trade ; and in itself should be a good distributing centre, placed in the heart of the Hupeh plain, with canals radiating from it through the plain and into Hunan. One such canal connects it directly with Hankow by a much shorter route than that taken by steamers on the Yangtze ; and to this canal facility must be attributed its failure to develop as a steamer port. The value of the trade has been as follows :— Imports. Exports. Tls. Tls. 135,292 l8l,220 • • 1,334,328 622,043 Total. Tls. 316,512 1,956,371 1897 1904 230 THE CHINESE EMPIRE Hankow (30 o 35' N., 114 0 17' E.), “ Han-mouth,” is situated at the junction of the Han River and the Yangtze , across the Han is Hanyang, containing extensive iron and steel works ; and opposite both, across the Yangtze, # Wuchang, the provincial capital : the combined population of the triple mart is estimated at 870,000. This was an important commercial centre before the foreign trader put in an appearance ; was further developed when it constituted ­ the head of steam navigation ; still further developed since the opening of the upper reaches of the Yangtze to steamers ; and its recent start as a railway centre can only add to its importance. Opened as a treaty port in 1861, an area of 62 acres was granted to the British Government as a concession, governed on the same plan as that o Tientsin ; here for thirty-five years merchants of all nations lived and traded, content with their modest area and its half-mile of river frontage. In 1896 this concession was extended by an additional area of 53 acres, on the same footing as the original grant. Next below the British concession is the Russian. A French concession was granted in 1861, but was not taken up, and was re-granted in 1896. Next below the French comes the German concession, ­ granted in 1895, with an area of 108 acres ; and below the German is the Japanese concession of 31 acres-Including the Peking-Hankow Railway reservation, still farther down stream, there is, starting from the Chinese business quarter of Hankow, a frontage of 6,000 yards under foreign control, most of it well bunded. The foreign population of Hankow, in December 1905, was 2,15*' including 504 British, 500 American, 162 German, 68 rench, 89 Russian, 84 Belgian, 134 Italian, 537 Japanese* and 73 others. When present plans are carried out. Hankow will be at the intersection of a cross, formed by the Yangtze from east to west, and the trunk railway Pekmg-Hankow-Canton from north to south, and it is difficult to set any moderate limit to its prospect oi development. In the past the value of its trade has been as follows :— THE PROVINCES AND THE TREATY PORTS 231 Imports. Exports. Total. Tls. Tls. Tls. 1864 .. 7,935,558 13,453,425 21,388,983 1874 .. 14,885,471 18,276,094 33,161,565 1884 .. 17,467,883 16,403,998 33,871,881 1894 . . 15,915,966 23,218,827 39T34,793 1904 .. 44,364,324 63,085,050 107,449,374 1905 . . 53,837,696 57,205,350 111,043,046 To enumerate the principal imports would be to give a list of the principal imports into China. Among exports originating in Hankow, and not, as in the case of Kiukiang, tea, first originating elsewhere, the principal are tea (Tls.9,729,000), cotton yarn (Tls.1,829,000), beans (Tls.7,089,000), bean-cake (Tls.868,000), wood-oil (from seeds of Aleurites cordata, Tls.3,320,000), cotton (Tls.3,910,000), jute (Tls.1,704,000), hides (Tls.3,177,000), pig iron (Tls.987,000), rice (Tls.2,130,000), sesamum seed (Tls.3,172,900), skins and furs (Tls.2,050,000), vegetable tallow (Tls.1,403,000), tobacco (Tls.2,184,000). Of the steamers entered and cleared at Hankow during 1905, a total of 3,715,710 tons, 50 per cent, was under the British flag, 17 per cent, under the Chinese, 16 per cent, under the Japanese, and 13 per cent, under the German. Kiangsi The province of Kiangsi, with an area estimated at 69,500 square miles and a population of 22,000,000, is mountainous over much of its surface, but has the general appearance of a trough trending to the northern border. The basin of the trough is the Poyang Lake, into which flow rivers from the east, south, and west, and which finds its outlet to the north, emptying into the Yangtze at Hukow, some twenty miles below Kiukiang. The Poyang Lake and the Tungting Lake in Hunan act as reservoirs to take the first rush of flood waters coming down the Yangtze every summer, and reduce their catastrophic effects. The 232 THE CHINESE EMPIRE lake and its affluents, accessible through the portal of Hukow, furnish the channels of transportation through the province. From Kiangsi over the Meiling Pass to Canton runs a main trade route, by which formerly a considerable ­ traffic passed, and by which even now goes much of the porcelain sent from Kingtehchen to Canton, to be there painted with the florid Cantonese designs. Kingtehchen ­ itself, a town of no official status, i.e. with no official head or government, with a population estimated a century ago by Abbé Hue at a million, destroyed in the Taiping rebellion, and revived so as to support a present population of 150,000, is the centre of production of Chinese porcelain. Formerly unapproachable in quality and inimitable in the coloring of its designs, this porcelain rapidly deteriorated from the end of the eighteenth century, and received its death-blow on the destruction of the ovens by the Taipings , and since the revival of the industry the product has been coarse and heavy in material, and crude in the coloring and design of what is painted at the place. Other products of the province are tea, tobacco, paper, hemp, and wood-oil. In the province is one treaty port. Kiukiang (29 0 44' N., 116 0 8' E.), a city of 55,000 people, opened as a treaty port in 1861, is situated near the outlet of the Poyang Lake. In this year a British concession was granted, with municipal government like that of Tientsin, and this constitutes to-day the residential quarter for the foreign community. Thirteen miles from Kiukiang is the mountain resort of Ruling, “ Bull Ridge," where, at an altitude of 3,500 feet, the foreign residents of Shanghai and the Yangtze valley have established a “ summer cottage " colony, comprising, with no hotels, by the census of September 1906, a summer population of 1,100. The intended function of the port, to serve as a tea market, was maintained for a few years, but by degrees the control of the business was transferred to Hankow, and to-day most of the tea prepared for the foreign market remains in Chinese hands until it is sold at Hankow. The progress of trade at the port is shown by the following figures, the THE PROVINCES AND THE TREATY PORTS 233 shipments of tea in thousands of piculs being shown in parentheses after the export values : Imports. Tls. 1864 . . 2,622,319 1874 .. 3,932,987 1884 . . 2,852,825 1894 . . 4,911,997 1904 .. 12,045,395 Exports. Total. Tls. Tls. 4,070,948 (137) 6,693,267 9,921,679 (245) 13,854,666 6,351,800 (279) 9,204,625 6,705,479 (211) 11,617,476 12,302,165 (186) 24,347,560 Among the imports in 1904, cotton yarn was valued at Tls.4,327,000, kerosene oil at Tls.859,000, sugar at Tls.767,000 ; among exports the principal were tea (Tls.4,945,000), porcelain (Tls.714,300), cotton (Tls.502,300), hemp (Tls.926,000), paper (Tls.1,443,000), and tobacco (Tls.645,000). Anhwei The province of Anhwei, with an area estimated at 54,800 square miles and a population variously at from 25,000,000 to 35,000,000, was formerly a part of the province of Kiangsu, from which it was separated administratively in the reign of Kang-hi, a.d. 1662-1723. The portion north of the Yangtze, except for some part of the extreme west bordering on Hupeh, is plain, and may be termed the granary of the Empire, annually producing a greater exportable ­ surplus of rice than any other rice-growing district. South of the Yangtze, except for plains bordering the river, is mainly hilly. The principal products are rice, tea, opium, hemp, cotton, and paper. Anhwei is the country of Li Hung-chang, who supplemented the work of the Hunanese Tseng Kwo-fan in suppressing the Taiping rebellion, ­ and who from 1870 until near his death in 1902 was Grand Secretary, Viceroy of Chihli, Imperial Commissioner ­ for Foreign Trade, Generalissimo of the military and naval forces in the north, and principal negotiator for the Imperial Government of its treaties and conventions ; 234 THE CHINESE EMPIRE through his agency the men of Anhwei were brought fonw' in official life and in recruiting for the army, thus prev the Empire from becoming the exclusive pasturage men of Hunan ; and his family have for ial nated the rice trade of his native province. The p capital, Anking, is a port of call for Yangtze s earn , ^ at Tatung is the Superintendency foreign Collectorate, the revenues of which are pledged i loans. In the province is one treaty port. Wuhu (31 0 20' N., 118 0 21' E.), a city of I37>° habitants, was opened to foreign trade in 1 ZJl me nt, twenty-eight years there was no concession, se afea or reserved area for foreign residence ; but in 1905 a was marked off for an international sett einen , administered on the Y ocho w plan. The fo owing show the development of trade :— Imports. Exports. Tls. Tls. 1884 .. 2,681,697 1,206,793 1894 .. 5,068,450 5,156,090 1904 . . 9,916,453 13,306,930 The imports in 1904 included cotton woven (Tls.1,750,000 for foreign, and Tls.274,000 for na ive ings), cotton yarn (Tls.818,000), gunny bags ( 4 > . . kerosene oil (Tls.718,000), and sugar (Tls.1,209, the exports included few articles of much impor c ^ except rice, of which the shipments, ranging genera V ^ 2,000,000 to 4,000,000 piculs, amounted to 5,621,143 P lC in 1904, and 8,438,093 piculs (502,250 tons) in 1905. Total. Tls. 3,888,49° 10,224,54° 23,223,383 Kiangsu The province of Kiangsu is essentially a country of ^ plain, comprising nearly the entire area of the aim deposit of the mouth of the Yangtze, and the coast strjffi as far up as Shantung, of the Yellow River deposit, area is estimated at 38,600 square miles, and its popula 1 THE PROVINCES AND THE TREATY PORTS 235 variously at from 14,000,000 to 39,000,000, the most probable figure being 25,000,000 (Popoff, 1894). It is a province in which, through its whole extent, every inch of ground is utilised, even the otherwise barren wastes of the low coast supplying the salt for the Hwai Administration, which provides officially for the needs of six provinces or parts of provinces, with a probable total of a hundred million consumers. The natural products are rich in quality and infinite in variety, including silk, by nature the finest in the world, rice, the choicest of any in China, cotton, of short staple but fine fibre, besides opium, wheat, beans, etc. ; while the products of its hand-looms, of the silk weavers of Soochow and Nanking, and of the cotton weavers of every farmstead in the province, have been renowned for centuries. Trade is an instinct of the province, facilitated by the canals which everywhere and in all directions intersect ­ its surface, the Grand Canal being only primus inter pares. The ruined bridges, temples, and houses of this smiling land, devastated by the Taiping rebels (1853-64), were a marked characteristic of Kiangsu thirty years ago, and are still observable in many places. Kiangsu, Kiangsi, and Anhwei form the Viceroyalty of Liangkiang, “ The Two River (provinces).” In the province are four treaty ports, Nanking, Chinkiang, Soochow, and Shanghai. Nanking (32° 13' N., 119° 25' E.), the “ Southern Capital,” the official name being Kiangning, “ River Rest,” was the capital of the Empire at several periods of its history, the last occasion being under the two first Ming Emperors, 1368-1402. Remains of some of the old walls are still discernible, one of the time of the Six Dynasties, a.d. 221-587, and another of the city under the Southern Sung (a.d. 1127-1280), and Mongol (a.d. 1280-1368) Dynasties. The present wall, substantially that of the Ming Hung-wu (a.d. 1368), but renovated after its capture by the Taipings in 1853 and its recapture after a siege of eleven years in 1864, have a circuit of twenty-five miles, and enclose an area sufficient rather for the possible population of the capital of an empire than for the present population of 2 3 6 THE CHINESE EMPIRE 275,000. The walls and city, and the tombs of the e Jf, Ming Emperors attract visitors ; but the pride o , D . the famous porcelain pagoda erected by ung 1403-24), was destroyed by the Taipings. an in , the capital of the Viceroyalty of the Two Kiang, Governor of Kiangsu has his seat at Soochow. rS treaty made by China with any of the maritime p was the British treaty of 1842, signed at Nanking. .. French treaty of 1858 provided for the opening of a then in the hands of the Taipings ; but when, m i . ’ British and French Commissioners visited the p ace, decided that the trade prospects were too unprom and it was actually opened as a treaty P or ^ ^, m eve r, The principal industry is silk-weaving, w ic 1, has not fully recovered from the dislocation cause s disorders of the Taiping occupation, the num er o being said to have been 50,000 in the city and its imm ^ vicinity before the rebellion, and to be only 5> 000 now ‘ development of trade is shown by the following figures . 1900 1904 Imports. Tls. 2,158,311 5,296,119 Exports. Tls. 1,710,284 3,529,929 Total. Tls. 3,868,595 8,826,048 The imports comprised the usual requirements o a tributing centre, and of exports nearly two-thirds o value consisted of satin (Tls.2,335,000). . - Chinkiang (32° 13' N., 119 0 25' E.), occupies important position near to the point where the Yang leaves the old geologic formation and becomes more less deltaic in character, and at the point where the Graß Canal is intersected by the Yangtze. By means of ^ Grand Canal it is a distributing and collecting centre ° a large area, extending into Shantung, Honan, Anhwei, an even into Chihli. The city, with a population of 170,°° 0 ^ was opened to foreign trade in 1861, and the foreign r eSl ^ dential quarter is on the British concession, administer 0 the provinces and the TREATY PORTS 237 in the same way as the British concession at Tientsin. The course of trade is shown by the following figures :— Imports. Exports. Total. Tls. Tls. Tls. 1864 .. 4,673,294 1,208,486 5,88l,78o 1874 . . 11,439,133 1,029,008 12,468,141 1884 . . 11,108,506 976,425 12,084,931 1894 . . 15,165,088 4,127,403 19,292,491 1904 . . 23,941,579 8,381,625 32,323,204 The principal imports in 1904 were cotton woven fabrics (Tls.3,866,000), cotton yarn (Tls.3,693,000), matches (Tls. 572,000), kerosene oil (Tls.1,786,000), sandal-wood (Tls.325,000), sugar (Tls.3,681,000), wood-oil (Tls.1,058,000), and tobacco (Tls.594,000). The principal exports were beans (Tls.535,000), bean-cake (Tls.781,000), ground nuts (Tls.1,804,000), ground nut-oil (Tls.911,000), sesamum oil (Tls.876,000) and satin (Tls.759,000). Of the total import of foreign goods, excluding opium, in 1904 (Tls. 15,185,682), 78 per cent, went inland under transit pass, 38 per cent, going to destinations in the home province, and 40 per cent, into other provinces, Anhwei, Shuntung, Honan, etc. SoocHOW (31° 25' N., 120 0 34' E.), the provincial capital, has for centuries been famous for its wealth and its magnificence, ­ and is the subject of two well-known proverbial expressions. Shang yu tien tang, Hsia yu Soo Hang. (Above is heaven’s blue, Below are Hang and Soo.) The other is more cryptic, and is expressed in three words “ Hang Soo Lin,” which may be explained as follows : “ Be born at (Hang-) chow, because there the men are handsomest and most learned ; marry at (S00-) chow, because there the women are most beautiful ; die at (Lin-) chow, because there may be found the finest wood for coffins.” Poets have sung the city in many another phrase, and Western poets may there find keen enjoyment, pro- ¿38 THE CHINESE EMPIRE vided that, as elsewhere in China, they have no olfactory nerves. The population, estimated before the rebellion at a million, is now about 500,000 ; the walls are abou ten miles in circuit, and, as is usual with Chinese cities, the greater part of the trade is carried on in the subur s, outside the walls, more especially to the north-west. T e one important industry is silk-reeling, spinning, and weaving-Soochow was opened as a treaty port in 1896, and an international settlement was laid out, to be administere on the plan afterward adopted for Yochow, situated outside the south wall, at the greatest possible distance from the business quarter and from the railway station, opened to traffic in 1906. The opening of the port has produce but little effect on the course of trade, which continues to follow old channels to Shanghai ; the total value in 1904 was Tls.1,247,668 for imports, of which tobacco contributed nearly a fourth, and Tls.1,886,194 for expoits, of which silk contributed four-fifths. . Shanghai (31 0 14' N., 121 0 29' E.), “ By-the-Sea," lS now far removed from salt water, but is the first point on entering the Yangtze at which a port can be establishe At a distance of 60 miles from the North Saddle light» on an outlier to the entrance, and at 32 miles from the Tungsha lightship, marking the outer bar of the southern entrance to the Yangtze, at the village of Wusung, is the first affluent of the Yangtze, the Hwangpu, draining a ° extensive area of canal-intersected plain between Chinkiang and Hangchow. The Hwangpu, a tidal river emptying into a tidal river, has an outer and an inner bar, the latter with only a general depth of 19 feet at high water, spring tides, though at times this is increased to 23 feet. This sufficed for the vessels engaged in the carrying trade in the early days, but, with the increase in carrying capacity 0 steamers in recent times, many ocean steamers are no^ compelled to discharge outside Wusung, and in 1906 a Conservancy Board was established by the Chinese Govern' ment, under the stipulations of the International Protoco of September 8, 1901, to improve the condition of the the provinces and the treaty ports 239 river. Twelve miles up the Hwangpu is the city of Shanghai, with excellent anchorage and discharging facilities. The anchorage had thirty to forty years ago a general width of 1,800 feet, but, by the agency of natural causes acting mainly upon the works of man, this is now reduced to about two-thirds of the former available width, but with unaltered depth. At Shanghai is the junction with the Soochow Creek, which provides water communication with the country to the west, and which, almost entirely through human agency, is now reduced to less than a hundred yards in width. The approaches from the sea are lighted by seventeen lights. Shanghai is mentioned in history 2,150 years ago, and 900 years ago was a mart of sufficient importance to be made a Customs Station. It was occupied in 1842 by the British forces on their way to Nanking, and, having been declared a treaty port by the treaty of Nanking, was formally ­ opened to trade on November 17, 1843. The first district to be occupied for foreign residence was selected by the British authorities, bounded on the south by the Yangkingpang, a ditch running east and west about a quarter-mile north of the Chinese city, on the north by the Soochow Creek, on the east by the Hwangpu, and on the west by Defence Creek dug at one mile distance from the Hwangpu, enclosing an area of 470 acres with a river frontage of three-fourths of a mile. In 1849 the French authorities delimited an area between the Yangkingpang and the city, and in 1853 obtained in extension the narrow strip lying between the city and the river, having, with narrow depth, a river frontage of nearly three-fourths of a mile. The Americans occupied the district called Hongkew, lying north of the Soochow Creek, with frontage on that creek and on the river, including the most valuable part of the wharfage of Shanghai. This American Settlement ­ was in 1863 amalgamated with the British Settlement, ­ both Governments waiving their exclusive rights and thereby creating the self-governing republic styled “ The Foreign Community of Shanghai, North of the Yangking- 2# THE CHINESE EMPIRE pang,” the French Government having refused to surrender its jurisdiction over the so-called “ Concession Française. In 1899 these various settlements were extended, and the authority of the Municipal Council of the “ International Settlement,” as it is called for short, now extends over 5,584 acres, while the present area of the " Concession Française ” is 358 acres. The resident population of the International Settlement at different periods and of the whole of Shanghai and district for 1905 was as follows British .. American French .. German Japanese Portuguese Russian Austro-Hungarian Italian Spanish Danish .. Other foreign .. Total Chinese 1880. 1,061 230 41 159 168 285 3 31 76 32 1885. 2,197 107,812 1,511 27 6 4 6 2x6 595 457 5 44 31 232 51 ' 191 1890. 3,673 125,665 1,663 323 114 244 386 564 7 38 22 229 Ü 9 162 3,821 168,129 1895. 2,055 328 138 314 250 7 a 83 *8 478 1900. 4,684 240,995 2,987 562 176 5:5 736 978 is III 76 433 6,774 345,276 1905 All Int. Sliai Sett. 4,5»' 4,281 I,Ol2 99I 925 393 860 785 4,33* 2,i57 2,035 i,33i 414 354 i63 158 155 148 146 I3 1 823 692 650,000 n,497 452,7x6 The resident population under the French Municipality in 1905 was 831 foreigners (including 274 French, i°9 British, 47 German, 73 Japanese) and 84,792 Chinese. Ey whatever name they are called, and whatever the minor dit' ferences in their form of government, the several “ reserve areas ” at Shanghai, whether British, French, American, ° r International, are not concessions such as exist at Tientsin Hankow, and Canton, where a grant has been made by a lease in perpetuity from the Government of China to the foreign power, and where the “ land-renter ” holds under a title-deed issued by the foreign lessee power, and regi s tered only at the Consulate of that power. They &rc " Settlements,” reserved areas within which foreigners a# permitted to acquire land, in which Chinese may contint to hold land, in which foreigners acquire land by direct negotiation with the original owners—for such land a bid THE PROVINCES AND THE TREATY PORTS 241 of sale is not issued, but it is held under " perpetual lease," sealed and issued by the Chinese territorial authority; and this title-deed may be registered at any Consulate, ordinarily that of the land-renter, and not compulsorily at that of the titular controlling power. The Settlement has complete self-governing power, including the power of taxation and police ; but the systems on the two sides o the Yangkingpang differ. They are alike only in not granting the franchise to Chinese, who are considered to be residents of the Foreign Settlements by sufferance, a sufferance dating from the time when they came by thousands ­ as refugees from the Taipings, and found under the foreign flags the safety they could not find under their own. The first Land Regulations for the British Settlement were drawn up in 1845» with a “ Committee of Roads and Jetties " nominated by the Consul. These, as amended in in 1854 and approved by the Chinese authorities, extended the privilege of acquiring land within the Settlement to all foreigners ; and when in 1863 the British and American Settlements were united, the Municipal Council, first elected in 1855, became the Municipal Council of the Settlement ­ with the long name mentioned before. The Land Regulations were last amended in 1898, and, having received ­ the assent of the foreign Ministers at Peking, are now the governing charter of the community. The electorate ­ consists of all householders who pay rates on an assessed rental of Tls.500 a year, and owners of land valued at Tls.500. The French Municipality was organised in 1862 ; the electorate consists of all owners of land, occupants ­ paying a rental of 1,000 francs a year, and residents having an income of 4,000 francs a year ; and the Municipal Council is under the presidency of the French Consul-General, whose assent is necessary for the validity of its decisions. Under these forms of government the place has grown in wealth, the International Settlement, built up by British, American, and German enterprise, naturally more rapidly than the French. In the International Settlement in 1905 16 THE CHINESE EMPIRE t e assessed value of the 5,584 acres contained therein was Tls.83,000,000,* representing a market value well over s.100,000,000 ; on 2,471 foreign and 45,328 Chinese houses the assessed annual rental was Tls.8,350,000, representing an additional capital value of over Tls.100,000,000. The assessed value of the 358 acres of land under the French unicipality in 1905 was Tls.8,500,000, and the assessed rental of houses was Tls.1,145,000. The soil on which e ettlement is built is described by a competent anority as consisting of “ a water-logged highly micaceous san o extreme fineness and of alluvial deposit and generally Un a* ,,P ressure ’ w ^h no more consistency than a quick-San , and it says much for the enterprise of the community ­ that a modest beginning has been made in skyscrapers ­ of six storeys in height. When the foreign trader advanced his outpost from anton to Shanghai, this, the chief mart of Central China, was to him North China, a fact preserved for posterity m e name of its oldest newspaper, the North-China Herald, tfi 1 K S edition, the North-China Daily News ; and e a sence of good deep-water ports in the north has conmue to Shanghai its old-time function of distributing cen re or North China as well as for the Yangtze basine commercial history of the port can be shown by figures better than by any narrative Tonnage of Shipping Entered and Cleared British .. ,86 t' ,884 ' I9 ° 4 ’ American German .. Japanese Other foreign Chinese steam 991,786 2,306,036 6,524,801 548,175 544>°32 394, 6 59 116,945 105,458 1,614,027* 756 206,473 495,292 130,397 158,060 1,143,97 o 704,439 2,009,049 less by 10 per cent, than the HaikwaO trade are expressed. ’>°59 4,024,498 12,181,798 THE PROVINCES AND THE TREATY PORTS 243 It is important to show the distributing trade of Shanghai rather than its purely local trade, and this is brought out in the following figures :— Foreign Products Imported 1859 1864 1874 1884 1894 1904 1906 1859 1864 1874 1884 1894 1904 1906 Gross Imports. Tls. . 32,429,232 . 30,522,183 . 52,902,102 . 47.158,013 . 96,920,931 . . 196,905,998 227,535,546 Re-Exports. Tls. 2,609,603 17,723,355 43,764,978 39,690,117 66,435,217 151,617,898 152,563,396 Net Imports. Tls. 29,819,629t 12,798,828 9,137,124 7,467,896 30,485,714 45,288,100 74,972,150 Chinese Produce Imported Gross Imports. Tls. 27,542,065 36,734,241 ' 39,454,313 53,361,347 . 127,970,828 . 115,424,069 Re-Exports. Tls. 17,062,865 29,946,189 32,576,102 47,092,163 107,966,192 100,656,771 Net Imports. Tls. 10,479,200 6,788,052 6,878,211 6,269,184 20,004,636 14,767,298 Chinese Produce Exported Original Exports. Tls. Re-Exports. Tls. 1859 1864 1874 1884 1894 I 9°4 1906 33,003,545 20,137,038 27,541,834 26,603,194 45,340,093 80,187,434 78,996,881 17,062,865 29,946,189 32,576,102 47,092,163 107,966,192 100,656,771 * Japanese tonnage in 1904 reduced from 1,744,249 tons in 1903, owing to Russo-Japanese war. t The Yangtze and northern ports not having been opened to foreign shipping, re-exports thither did not pass through the Customs in 1859. Total. Tls. 33,003,545 37,199,903 57,488,023 59,179,296 92,432,256 188,153,626 179,653,652 244 THE CHINESE EMPIRE Total Trade 1859 1864 1874 1884 1894 1904 1906 Inward. Tls. 32,429,232 58,064,248 89,636,343 86,612,326 150,282,278 324,876,826 342,959,615 Outward. Tls. 35,613,148 54,923,258 101,253,001 98,869,413 158,867,473 339,771,524 332,217,048 Total. Tls. 68,042,380 112,987,506 190,889,344 185,481,739 309,149,751 664,648,350 <V7< T^6 66I In the original exports from Shanghai in 1904, silk and its products figured for Tls.33,411,000, raw cotton f 01 Tls.16,000,000, cotton cloth from steam factories Tls.747,000, and from hand-looms Tls.5,920,000, factory-spun cotton yarn Tls.4,150,000, and rice Tls.5,100,000. Chekiang Chekiang, with an area of 36,700 square miles and a population estimated at 12,000,000, the northern end of the ancient Kingdom of Yueh, which extended along the coast from Canton to Shanghai, is divided by the Tsientang River, emptying into the sea between Hangchow an Shaohing, into a large southern section, generally moun' tainous, but with some considerable plains in its northern part, and a smaller northern section, almost entirely plain» deposited by the Yangtze. The plains of the northern section and of the northern part of the southern section are protected from incursions of the sea by well-built sea walls, starting from Hangchow and skirting both sides 0 the estuary of the Tsientang, with a total length of abont 250 miles. The Hangchow or Tsientang bore or eger, seen at its best opposite Haining, is among the wonders oi the world, presenting the sight of a solid and almost perpendicular wall of water, 12 to 15 feet high, rushing into the estuary and up the river at a speed of 12 to l5 miles an hour. The plain country, especially north of the THE PROVINCES AND THE TREATY PORTS 245 Tsientang, is intersected by canals, including the Grand Canal, the southern starting-point of which is Hangchow ; all are on the same level, and freely intercommunicating, except those from Hangchow to Haining and intersecting the city of Hangchow, which are on a higher level. Being in China, where so much is topsy-turvy, the high-level canals adjoin the estuary of the Tsientang, in which the range of spring tides is 25-35 feet, and the low-level canals are inland. The principal products of the province are silk, tea, and cotton, and it contains three treaty ports. Hangchow (30 o 12' N., 120 0 12' E.), the provincial capital, and for a time the capital of the Southern Sung Empire (a.d. 1129-1280), was opened as a treaty port in 1896. A centre of the silk industry, in which it surpassed Soochow, it shared the fate of other cities of the Yangtze plain during the Taiping rebellion, and has not yet fully recovered from the devastation it suffered at that time. Its present population is estimated at 350,000. As at Soochow, opened at the same time, an International Settlement ­ with an area of 182 acres was set aside by the Chinese authorities and retained under their control, and alongside it was granted a Japanese concession of 120 acres. Some fifty miles from Hangchow is the mountain resort of Mokanshan, with many summer cottages built by residents of Shanghai and other places. Trade communication outside the district is entirely with Shanghai, by a route following the Grand Canal and other inland waterways, and is maintained ­ by “ trains ” made up of passenger and cargo-boats towed by steam-launches. A considerable trade ends and originates in Hangchow, as shown by the following figures:— Imports. Exports. Total. Tls. Tls. Tls. 1898 .. 2,960,234 5.033,245 7,993.479 I 9°4 •. 8,702,249 9,158,519 17,760,768 Among the imports of 1904 cotton manufactures figured but little, the principal being tin (Tls. 197,000) kerosene oil (Tls.699,000), matches (Tls.97,000), sugar (Tls.1,710,000), 246 THE CHINESE EMPIRE beans (Tls.795,000), bean-cake (Tls.275,000), bean-oil (Tls.134,000),wood-oil (Tls.135,000), rape-seed (Tls. 111,000), and tobacco (Tls.418,000). Among exports the principe were cotton (Tls.306,000), fans (Tls.800,000), silk an 1 products (Tls.3,182,000), and tea (Tls.4,245,000). Ningpo (29 0 53' N., 121 0 33' E.) was visited by Portuguese in 1522, but their traders were expelled in *54 2 - It was occupied by the British forces in 1841, and in 1 4 2 was declared a treaty port. Its population is estimate at 260,000. There is no foreign concession or reserve area, and police and roads are maintained at the cost an under the control of the Chinese authorities. 4 here was in the early days some question whether Ningpo or Shang hai should become the commercial centre for trade at mouth of the Yangtze, but the strong organisation o G Ningpo merchants in the guilds kept the trade of the por in their own hands, with the result that Shanghai too metropolitan rank. Ningpo is, and for fifty years a been commercially subsidiary to Shanghai, with whic almost alone, trade is carried on, communication being maintained by a daily steamer. The opening first of Wu o, then of Hangchow, diverted a part of the trade from Ningpo-The course of trade is seen from the following figures .- • 1864 1874 1884 1894 1904 Imports. Tls. 10,264,616 7,532,465 6,649,117 8,984,676 13,296,271 Exports. Tls. 6,250,306 7,OI3, 8 45 4,773,272 5,615,081 R HOT T/tT Total. Tls. 16,514,922 14,546,310 11,422,389 14,599,757 -2T 207.4.12 With so slight an expansion of values expressed in silver, obviously a non-progressive port. Among the imports 0 1904 the principal were cotton fabrics (Tls.2,950,000), cotton yarn (Tls.533,000), tin (Tls.1,300,000), kerosene 01 (Tls.561,000), sugar (Tls.1,529,000), and tobacco, including cigarettes (Tls.312,000). The chief exports were cotton THE PROVINCES AND THE TREATY PORTS 247 (Tls.1,972,000), rush mats (Tls.290,000), tea (Tls.3,409,000), and fishery products (Tls.339,000). Wenchow (28 o 1' N., 120° 40' E.), a city of 80,000 inhabitants, is situated toward the south of Chekiang. A fairly clean and very picturesque city, intersected by canals, it reminds the visitor somewhat of Venice. There is no foreign settlement, and few foreign residents. It was opened as a treaty port in 1877, and has failed to develop a trade. In 1904 imports were valued at Tls.1,523,480, including kerosene oil (Tls.189,000), and sugar (Tls.137,000) ; and exports at Tls.866,905, including tea (Tls.505,000) ; making a total trade of Tls.2,390,385. Fukien Fukien, with an area of 46,300 square miles and a population variously estimated from 8,000,000 (Ross, 1891) to 25,000,000 (Popoff, 1894), is essentially a mountainous province. The principal river is the Min, which, with its many branches, drains the greater part of the province, and has its mouth at Foochow. The valleys and foot-hills produce tea, sugar, opium, and food for the inhabitants, while from the mountains come timber, bamboos, and, in recent years, camphor. One of the most important industries is fishing, and the passenger on the mail steamer, out of sight of land or seeing only projecting headlands, will pass through fleets of thousands of fishing-boats, cockleshells ­ riding buoyantly on the waves of the stormiest piece of water in the world, the Formosa Channel. Supported mainly by the sea, with a rough and not particularly fertile hinterland, the people of the province are driven to emigrate in great numbers, and from Amoy, it is estimated, at least 200,000 able-bodied men go every year to the Southern Seas. In Fukien are three treaty ports. Santuao (26 o 40' N., 119 0 40' E.), the “ Haven of the Three Marts,” has one of the finest harbors in the world, eminently suitable for a naval station ; and this, with the desire to protect it by quasi-neutralisation, led to its volun- 248 THE CHINESE EMPIRE tary opening in 1899. The port is shut off by mountains from all except a small distributing area, and the opening has produced but small effect on trade, the only visible result being that a quantity of tea, which formerly was carried by porters over the mountains to Foochow, now originates in Santuao, is shipped to Foochow for its old market, and is re-exported thence. In 1904 the imports by steamer were valued at Tls.53,723 ; to exports, tea (110,772 piculs) contributed Tls.1,936,000, and all other goods Tls.5,359. ■toochow (25 0 59' N., 119° 27' E.), the " City of Happiness, ­ the provincial capital, has a population estimated at 625,000. It is situated on the Min River at a distance of thirty-four miles from the sea, and nine miles above Pagoda Anchorage, the highest point reached by steamers. At Pagoda is the Foochow Arsenal, a government dock and ship-building yard, partly destroyed by the French in 1884-Foochow was opened as a treaty port under the British treaty of 1842, but nothing was done to develop its trade until ten years later, when traders went there to secure the teas of Fukien, Kiangsi, and Anhwei, coming over the mountains to the port ; even after the opening of the angtze ports in 1861, tea continued to go to Foochow rom the southern part of Anhwei. Foochow was opened efore the period of residential concessions (1861), nor has it a settlement such as those at Shanghai, opened under e same treaty. The residential quarter is on the south si e o the river, opposite the city, and its municipal organi-T|i 0n is of the inchoate form described under Chef00. Rat ^ eS ] * ore ^> n population of the district in 1905 was ’ ! nC U . m & I 94 British, 163 American, and 349 Japanesein+ ° ^ 1S an * nstance °f a port which, as far as foreign eres s are concerned, is decadent ; it depended mainly °r^ e m ustr y> tea, and, with a diminishing tea trade, prosperity has departed. In the following z £ 9°4 reshipments of tea received from Santuao. THE PROVINCES AND THE TREATY PORTS 249 Imports. Exports. Total. Tls. Tls. Tls. 1864 . . 7,134,000 13,124,000 (487) 20,258,000 1874 - 4,668,220 15,406,672(683) 20,074,892 1884 .. 5,038,689 8,508,752(680) 13,547,441 1894 .. 6,425,919 7,025,013 (487) 13,450,932 1904 .. 10,048,966 7,217,002 (293) 17,265,968 These are the figures for the trade by steamer, to which in 1904, to get the total trade of the port, must be added the value of the junk trade, imports Tls.3,134,173, exports Tls.8,316,932, total Tls.il,451,105. During the year 1904 the principal imports, by steamer and junk, were cotton fabrics (Tls.810,000 for foreign, and Tls.584,000 for native weaving), cotton yarn (Tls. 1,011,000), tin (Tls. 159,000), kerosene oil (Tls.747,000), sugar (Tls. 309,000), beans (Tls.516,000), bean- and tea-oil (Tls.475,000), and wheat (Tls.485,000). The principal exports were tea (value, including Santuao tea, Tls.7,117,000), soft-wood timber (Tls.4,736,000), edible bamboo shoots (Tls.919,000), paper (Tls.3,612,000) ; among other noted products of the port are lacquered ware and ornaments carved from soapstone. Amoy (24 0 27' N., 118 0 5' E.), a city of 300,000 inhabitants ­ on an island of the same name, serves as steamer port for the prefectures of Chuanchow (Chinchew) and Changchow. The outer anchorage offers good holdingground, but is exposed to the south-west, while the inner harbor affords perfect shelter, except from typhoons which, getting in, are unable to find their way out. The inner harbor, with a width of a third to a half-mile, lies between Amoy, on which are the business offices, and the rocky island of Kulangsu, which constitutes the foreign residential quarter. The municipal organisation was of the headless and unsanctioned kind until 1903, when Kulangsu was made an International Settlement with powers of selfgovernment, much on the Shanghai model. In 1899 a Japanese concession was marked out on the Amoy side, but has not been developed. At the upper end of the 250 THE CHINESE EMPIRE inner harbor is a graving dock, 300 feet long and 60 feet wide. The resident foreign population of the district i# 1905 was 1,912, including 364 British, 35 American, and 1,426 Japanese. Amoy is one of the tea markets of China, the earlier shipments being mainly of Amoy Oolong ; this soon deteriorated in quality, and, as the export fell off, its place was taken by Formosa Oolong, the culture and preparation of which were introduced by Amoy tea-men, and which, even since the Japanese occupation of Formosa (1895), has continued to find its way to Amoy to be there blended, packed, and matted. The history of the trade i% Oolongs is interesting, and may be read in the following figures of the quantities in piculs shipped from Amoy an from Tamsui respectively, the Tamsui output being entirely re-shipped to foreign countries, chiefly the United States-Amoy Teas. Formosa Teas. 1864 1874 1884 1894 1904 1906 via Amoy. Direct. 37.217 71.560 42,923 29,312 3,065 2,450 24,610 98,754 137,245 100,683 59,005 63,630 67,717 The following figures show the course of trade at Amoy, the value of exports including that of Formosa tea imported and re-exported :— 1864 1874 1884 1894 1904 Imports. Tls. 7,064,720 5,692,781 8,745,061 10,043,128 14,522,053 Exports. Tls. 2,830,359 4,617,061 4,831,021 7,771,091 6,604,634 Total. Tls. 9,895,079 10,309,842 13,576,082 17,814,219 21,126,687 Among imports in 1904 the principal were cotton fabrics (Tls.797,000), cotton yarn (Tls. 1,509,000), tin (Tls.208,000), THE PROVINCES AND THE TREATY PORTS 251 bicho de mar (Tis. 138,000), flour (Tis.505,000), matches (Tis.130,000), kerosene oil (Tis.589,000), rice (Tis.1,907,000), beans (Tis.964,000), and bean-cake (Tls. 1,192,000). Among exports tea from Formosa (Tls.4,025,000), constituted three-fifths of the whole; other exports were paper (Tls.884,000), sugar (Tls.441,000), and tobacco (Tls.324,000). Kwangtung Kwangtung, the “ Eastern Broad,” forms with Kwangsi, the “ Western Broad,” the Viceroyalty of Liang Kwang, the “Two Broads.” Kwangtung is in the main a mountainous ­ province, with two rich plains, one lying around Chaochow (of which the port is Swatow), the other being the delta of the Pearl River, formed by the junction of the West River, flowing from Kwangsi, the North River, which flows from the watershed separating Kwangtung to the south from Kiangsi and Hunan to the north, and enters the West River at Samshui, and the East River, flowing from eastern Kwangtung and entering the deltaic system near Whampoa, the deep-water anchorage of Canton. Including the island of Hainan, administratively only a prefecture of Kwangtung, the area of the province is estimated at 100,000 square miles, and its population at 30,000,000. The people are sturdy and industrious, differing in this from other sub-tropical peoples, and are aggressive and independent. They are of two distinct races, the punti or indigenous, and the hakka or immigrants, intermingled but never coalescing or intermarrying, speaking dialects mutually unintelligible to each other, and frequently engaging in clan fights. From the eastern to the western extremity of its coast, a sailing course from headland to headland, not entering the inlets and not including Hainan, would measure nearly 700 nautical miles. The people of this coast are hardy fishermen, ­ and, when occasion serves, bold pirates. The inland people of the country are industrious husbandmen, and in the cities is a laborious industrial population. The province produces great quantities of rice, and imports annually 252 THE CHINESE EMPIRE some half-million tons additional to supply the deficiency for its needs ; it also produces silk, good but inferior to that of Kiangsu and Chekiang ; tea, far inferior to its former quality ; matting, from a rush grown on the lo# islands of the delta coast ; cassia, from Loting ; ginger, from the north-west ; sugar, from the eastern parts of the province, ­ from Leichow, and from Hainan ; fruits, from aU parts ; and sub-tropical produce generally. The industries carried on in the cities are literally innumerable, but all such as can be carried on by one man and his immediate family working in his own shop or in his own home. the province are six treaty ports, Swatow, Canton, Samshui, Kongmoon, Kiungchow and Pakhoi ; two customs stations, Kowloon and Lappa, to supervise the junk trade between China and Hongkong and Macao respectively ; and two ceded and one leased territories, Hongkong, Macao; and K wangcho w wan. Swatow (23 0 22' N., 116 0 40' E.), an unofficial town with a present population of 60,000, the port of Chaochow, the easternmost prefecture of Kwangtung, was opened to trade in i860. The anchorage is good, four miles up stream from Double Island, which lies as a breakwater across the mouth of the Han River. The foreign community ­ lives partly on the north, and partly on the south side of the river, with the business offices on the north side, and they have no municipal organisation. The people ° the Chaochow prefecture, commonly called the SwatoW men, are very clannish, holding themselves apart even from their co-provincials the Cantonese, and are wellorganised and closely united in every place in the Empire to which trade has called them ; and on many occasion^ they have successfully resisted attempts to impose more stringent conditions upon them (such as lower prices for their products, higher freights, special clauses in a bill of lading, etc.) by united guild action, proceeding even on occasion to the extreme measure of a boycott or of abstention ­ from all trade. The district is a large importer of beans and bean-cake, and, though rice-producing, of rice THE PROVINCES AND THE TREATY PORTS 253 as well ; its staple exports are sugar and tobacco. The following figures show the course of trade . 1864 1874 1884 1894 1904 Imports. Tls. 6,399,786 11,057,659 12,385,969 19,424,841 34,615,923 Exports. Tls. 3,700,165 4,367,739 7,386,349 6,483,667 14,664,863 Total. Tls. 10,099,951 15,425,398 19,772,318 25,908,508 49,280,786 The large excess of imports introduced into this selfcontained district is striking, and is explained by the value of an export not recorded in ordinary statistics of trade, that of the hardy and industrious coolies who emigrate in thousands for short-term service in the islands of the Malay Archipelago. Among imports in 1904 the principal were cotton fabrics (Tls.2,146,000), cotton yarn (Tls.3,699,000), tin (Tls.645,000), flour (Tls.312,000), matches (Tls.256,000), kerosene oil (Tls.738,000), rice (Tls.7,422,000), beans (Tls.2,525,000),bean-cakei(Tls.5,432,000), hemp (Tls.696,000), and wheat (Tls.343,000). The principal exports were sugar (Tls.6,050,000), tobacco (Tls.866,000), grass-cloth (Tls.837,000), and paper (Tls. 1,749,000). Canton (23 0 7' N., 113 0 i6' E.), the provincial capital, is styled the “ City of Rams,” from the legend of the five Immortals who rode into the city on five rams in the time of the Chow Dynasty (b.c. 1122-255) I the rams were turned into stone and are there to-day as visible evidence of the truth of the tale. The name of the city is Kwangchow, Canton being the Portuguese rendering of the name of the province, Kwangtung. The estimates of the population have ranged from 500,000 to 2,500,000, the figure now generally accepted being 900,000. The foreign residents in the district in 1905 were 1,437, including 225 British, 484 American, 65 German, 158 French, 140 Japanese, and 334 Portuguese. In the early years of trade the merchants lived in the “ Factories,” surrounded by unsavory Chinese streets, and this continued after Canton was made a treaty 254 THE CHINESE EMPIRE port in 1842 ; they were driven away in 1856, and on their return in 1857 found their houses in ruins. The head houses of the firms were then generally established in Hongkong, and, in foreign trade, Canton became a mere commercia, dependency of the British colony. At Canton the “ factory sites were abandoned, and in 1859 a new residential quarter was created by embanking and reclaiming Shameen, a mu flat about half a mile long and a fifth of a mile wide in h s widest part, situated at the south-west corner of the city* Of this reclamation four-fifths were assigned as the Britis concession and one-fifth as the French concession ; an here, surrounded by a wide moat with guarded bridges, the foreign community lives, somewhat restricted for space, but self-governing on the model of the corresponding con < cessions at Tientsin. This completes the list of the old-time foreign concessions, all dating from 1859-61—Newchwang, Tientsin, Hankow, Kiukiang, Chinkiang and Canton. T e city and suburbs of Canton form a buzzing hive of workers, and few sights in the world are more instructive, to the sociologist and ethnologist, than a mere cursory trip in sedan-chair through the narrow, crowded, reeking, an malodorous streets, in which the busy throng, hustling, shouting, and pushing, yet manages to disentangle itself by some rule of the road imperceptible to the insight of the mere Westerner, and where a shop, filled with priceless treasures of antiquity or with the dainty work of ivory carvers and silk embroiderers, stands cheek by jowl wit a shop in which an artisan carries on some primitive hand 1 ' craft with the implements and by the methods employed by his progenitors a thousand years ago. Even the hasty globe-trotter, who allots from his tour three days to India and three hours to the Empire of China, may profitably employ those three hours in such a trip, and feel that h# time has not been wasted ; and as he steams back to Hong' kong he will have the history of half a century of foreign relations recalled to his mind by the sight of the stately Roman Catholic cathedral erected by the French on site of the Viceroy’s Palace, destroyed in 1857 by The PROVINCES AND THE'¡TREATY PORTS 255 allied forces, who then occupied Canton, as a reminder of the wanton destruction of foreign property in the preceding year. The early history of the trade of Canton is the history of the foreign trade of China, and is treated in that chapter. In 1842, by the British treaty of Nanking, Canton lost its monopoly of trade, and the produce of the country was allowed to find its outlet where best it could by any one of the four other ports—Shanghai, Ningpo, Foochow, and Amoy—then opened to trade ; and when, in 1861, the Yangtze ports and Swatow were thrown open, Canton was absolutely restricted to its own producing and supply district. Since that time the course of trade is shown by the following figures, the value of silk and its products (in millions of taels) being put in parentheses after the value of the export trade :— Imports. Exports. Tls. Tls. i860 .. 13,061,230 11,516,815 (37) 1864 .. 2,393,085 9,860,220 (4 0) 1874 • . 6,626,441 16,287,633 (91) 1884 -. 11,886,781 13,853,243 (8 0) 1894 .. 27,385,876 18,031,721 (126) 1904 . . 52,885,637 43,361,439 (29 5) It will be convenient to consider here the status of the two supervising stations for the junk trade with Hongkong and Macao, the stations of Kowloon and Lappa. The foreign colonies of Hongkong and Macao being free ports, with no Customs duties or supervision to trammel their trade, the preventive measures necessary to check smuggling were obviously imposed on the Chinese authorities ­ alone. Smuggling was easy, and, easy or difficult, the a fu 1S in S ra ^P e< ^ i n the Chinese character. Macao was on e mainland, Hongkong (the original cession) was para e by a short mile of water from Chinese territory, J! Sm ! lgglers by water from either had their choice of a OtJ, 6 ° r ? utes by which to reach a profitable market. Salt Were the P rinci P al subjects of the traffic, P i ecause of the great value and high duty attaching Total. Tls. 24,578,045 12,253,305 22,914,074 25,740,024 45,417,597 96,247,076 256 THE CHINESE EMPIRE to a small bulk, and salt because of the strictness with which the government monopoly is preserved in China, but smugglers do not in China despise the profits from evading the incidence of a tariff based upon a 5 per centlevy, and smuggling was universal. The Chinese authorities ­ were driven to adopt some preventive measures, and the result was the so-called “ blockade of Hongkong,” a preventive cordon instituted in 1868 and maintiained by cruisers under the control of the native authorities of Canton. The situation, with lax native control, became intolerable in the eyes of those who would maintain the absolute freedom of those free ports ; and in the Additional Article of 1885 to the Chefoo Agreement of 1876 between Great Britain and China, it was provided that the measures for the repression of the smuggling, stipulated in the Agreement, ­ should be considered at once. The Chinese Customs Stations of Kowloon and Lappa then, in 1887, came inte existence, and, to avoid the irregularities which had marked the old régime, were placed under the control of the Inspectorate ­ General of Customs. These establishments have their head offices in the respective colonies, Hongkong and Macao, for the mutual convenience of all concerned ; but the supervising and collecting stations and the preventive cruisers are echelonned outside ; when the boundaries 0 the British colony were enlarged in 1899, the Kowloon Customs Stations were pushed further out, so as to be in Chinese waters and on Chinese soil. These offices conti0 the junk traffic from Chinese ports, mainly in the Canton district, to Hongkong and Macao ; and the value of th e trade passing their stations, added to the value of the trade passing the Canton Customs, given above, may fairly represent the collective trade of the Canton delta. Th lS collective trade has been as follows 1887 i8 94 1904 Imports. Tls. 29,186,636 53,792,843 92,650,896 Exports. Tls. 31,656,019 41,607,808 65,102,878 Total. Tls. 60,842,655 95,400,651 157,753,774 *7 THE PROVINCES AND THE TREATY PORTS 257 The principal imports into the delta through the three offices in 1904 were cotton yarn (Tls. 4,171,000), flour (Tls.1,133,000), kerosene oil (Tls.3,834,000), rice (Tls.11,423,000), sesamum seed (Tls.2,763,000), and sugar (Tls. 1,276,000). The principal ­ exports were silk and its products (Tls.31,420,000), cassia (Tls.1,233,000), eggs (Tls.509,000), fans (Tls.572,000), leather (Tls.601,000), straw mats (Tls.929,000), matting (Tls.3,369,000), paper (Tls. 1,234,000), and tobacco (Tls.i,605,000). Tea, which in i860, with shipment of 263,264 piculs, contributed 50 per cent, to the value of the export trade of Canton in that year, in 1904 contributed (53,250 piculs) less than 2 per cent, to the value of the exports passing the three offices. Samshui (23 0 6' N., 112 0 53' E.), “ Three Waters,” an unimportant city of 5,000 inhabitants, situated at the junction of the West and North Rivers, was opened as a treaty port in 1897. It was expected to tap all the North River trade and much of that by the West River, but the hopes entertained have not been realised. In 1904 imports were valued at Tls.1,828,935 and exports at Tls.1,217,873, a total of Tls.3,046,808. The principal export was paper (Tls.231,000). Kongmoon (22 0 35' N., 113° 9' E.), “ River-mouth,” a city of 35,000 inhabitants, situated on a side creek of the delta near the mouth of the westernmost branch of the network of rivers, distant 70 miles steaming from Canton, 87 miles from Hongkong, and 45 miles from Macao, was opened as a treaty port in 1904. The object of its opening was to tap the trade of the western part of the delta and of the district lying west of it, and a measurable degree of success has been obtained. Not including the trade by junk to and from Hongkong and Macao, which is included in the statistics of the Kowloon and Lappa stations, the value of the trade by steamer and junk in 1905, the year following the opening, was imports ris.3,082,954, exports Tls.3,794,676, total Tls.6,877,630. The principal exports were palm-leaf fans, straw mats, and poultry. 258 THE CHINESE EMPIRE Kiungchow (20 o i' N., no 0 i6' E.), the prefectural city of the island of Hainan, contains a population of 35> 000 ’ and is situated 3 miles inland from Hoihow (“ Seaport ) its port. Its opening as a treaty port was stipulated in the treaties of 1858, but, as none of the mercantile community had* any interest in it, the actual opening was deferred until 1876. The port serves the trade of Hainan and of the prefecture of Leichow on the mainland, across the Straits of Hainan, 12 miles wide. Hoihow, the port, has a population of 25,000, and the anchorage is a roadstead open to the Straits from north-east around to north-west, and -accessible to cargo-boats loading and discharging only at high water of the one daily tide which rises here as in the whole of the Gulf of Tonkin. The course of trade has been as follows :— 1884 i8 94 1904 Imports. Tls. 1,326,499 1,817,398 2,548,725 Exports. Tls. 1,119,682 1,283,821 2,469,878 Total. Tls. 2,446,181 3,101,219 5,020,509 fhe principal exports in 1904 were pigs (65,306 valued at Tls.881,631), sugar (Tls.507,000) and betel-nuts (Tls.i20,ooo)-Pakhoi (21 0 29' N., 109° 7' E.), “ North of the Sea, a dirty, insanitary town of 20,000 inhabitants, situated at the head of the Gulf of Tonkin, is the seaport of LimchoM 13 miles distant, and was opened as a treaty port in 1877' In common with other ports on the Gulf it has but one tid e m the twenty-four hours. The district directly served by it is poor and sandy, producing sugar, indigo, and ground' n ^ s ’ w ^b fishing and piracy as bye industries ; and th® chief hope for any development of trade lay in the use 0 t îe port as a side door through which to evade the hsca obstructions imposed on the natural routes to Yunnan a^ Western Kwangsi, viz. the Red River through Tonkin aH d the West River through Tonkin. The figures for the trad® of Pakhoi given below are for years which have been selected to show the paralysing effect of the Chinese system ol The provinces and the treaty ports 259 internal taxation, driving trade from natural water routes to a channel by which expensive transport over hill roads must be substituted ; and they must be considered with reference to the following dates :— 1884 (seven years after opening of port), French occupation ­ of Tonkin transformed the frontier from an internal to an external boundary. 1889, the opening of Mengtsz and relaxation of fiscal restrictions in Tonkin restored the Red River to its natural use as a trade route to Yunnan. 1897, the opening of Wuchow as a treaty port, carrying the one-duty privilege into Kwangsi and neutralising the likin barriers of Kwangtung, made the West River available ­ through its entire course as route to Yunnan and Western Kwangsi. Goods. Annual Average in 1881-83. 1888-90. X894-96. 1898-1900 Shirtings, Yards T.-Cloths „ Fine cottons ,, Cotton yarn, Piculs Long Ells, Pieces Total value of all cotton and woollen ­ goods.. Tls. 36,120 ,337,950 14,600 11,323 5,306 357,899 4,081,600 2,987,875 1,315,660 91,481 20,109 2,454,334 3,127,160 1,357,050 790,920 76,090 13,171 1,488,120 499,250 576,900 45,654 6,434 1,922,160 1,221,749 The value of the trade of Pakhoi in 1904 was, imports Tls.1,892,235, exports Tls.1,122,423, total Tls.3,014,658. The exports included sugar (Tls.296,000) and indigo (Tls.257,000). Cessions in Kwangtung 1 here are no less than three areas in Kwangtung ceded to foreign powers under different conditions—Macao to Portugal, Hongkong to Great Britain, and Kwangchowwan to France. Macao (22 0 11' N., 113 0 33' E.) was first occupied 26o THE CHINESE EMPIRE by the Portuguese in 1557, after their traders and trading ships had been driven away from Ningpo and Foochow. Here for three centuries they held under conditions which were never clearly defined, one side contending that it was by right of conquest and occupation, the other disputing this and maintaining Chinese taxing stations within the colony itself : the one indisputable fact being that the Portuguese Government paid to the Viceroy at Canton a rent of Tls.500 in every year up to 1848. In that year the Portuguese authorities refused to continue to pay the rent, and expelled from the colony the Chinese taxing stations and all other signs of Chinese authority. The sovereignty of Portugal was recognised finally by China in the treaty of 1887. The Portuguese and Dutch trading ships fr e ' quented the port in the seventeenth century, the English came there in the eighteenth century, and the English and American in the first half of the nineteenth century» making usually their final departure from Macao ; an when, in 1839 and again in 1856, the merchants were driven from their factories at Canton, it was in Macao that they found refuge. The cession of Hongkong to the British in 1842 and its development from 1856 gave a final blo^ to the decadent legitimate trade of Macao, and from that time its prosperity depended mainly upon the coolie traffic until the Portuguese Government suppressed it in i8y4-1 he Chinese Customs Station of Lappa [vide antea) was estab lished in 1887 to control the trade by junk between Maca 0 and Chinese ports. Macao occupies a small peninsula connected by a narrow isthmus with Chinese territory» and the cession includes two islands, Taipa and KolowaU» dominating the harbor. The population on December 3*' 1899, was 63,991, composed of 3,780 Portuguese, 154 foreigners, and 60,057 Chinese. Hongkong (22 o i8' N., 114 0 10' E.), “ Fair Haven, was formally occupied by the British authorities by ^ notification published on May 1, 1841, and its cession ^ recognised by China in the treaty of Nanking, the ratifica' tions of which were exchanged at Hongkong on June %&» THE PROVINCES AND THE TREATY PORTS 261 1843. The Royal Charter creating the colony was dated April 5, 1843. The original cession included only the island of Hongkong, with an area of 29 square miles. North of this, between it and the mainland, is the fair haven of Hongkong, one of the few harbors in the world which may be called perfect, the eastern entrance being 600 yards wide, and the western entrance fully as wide, but protected by outlying islands, while the anchorage has a general width of a mile. The Kowloon peninsula, with an area of about two square miles, projecting towards the harbor on its north side, was added to the cession in i860. The northern side of the harbor was dominated through its whole extent, except for the Kowloon peninsula, by Chinese territory ; and in 1899 the “ Kowloon Extension,” with 376 square miles on the mainland, was added to the colony by a lease from the Chinese Government for ninety-nine years, the lease including also the large island of Lantao and the waters to the farther shores of Mirs Bay and Deep Bay. Hongkong has been a busy mart, especially since 1856, and has filled for the ports of South China the function of distributing centre, filled for North China and the Yangtze basin by Shanghai ; of the collective foreign trade of the whole of China it may, with a fair degree of certainty, be said that one-fourth of the imports and one-third of the exports are financed and distributed through Hongkong, the balance being handled by Shanghai or, to a small extent, directly by subsidiary ports. This cannot be supported by reference ­ to the statistics of Hongkong, since the colony publishes no statistics of trade ; and the only statistics it publishes—those of shipping—are misleading, since they include coasting trade to places often only a few miles away. Hongkong was formally declared a free port on February 6, 1842, and a free port it has remained ever since, subject only to the aid it has given, since 1887, to theXhinese Government in the prevention of smuggling in opium. Ihe Chinese Customs Station of Kowloon (vide antea) was established in 1887 t° control the trade by junk between Hongkong and Chinese ports. A garrison of about 4,000 2Ó2 THE CHINESE EMPIRE is maintained in the colony, and the resident civilian population in 1906 was 319,803, composed of 3°7,3 Chinese, 6,085 British and other Europeans and Americans, and 5,902 other foreigners. Of the Chinese 216,240 we males and 91,148 were females. Kwangchowwan (21 0 i' N., iio° 25' E.) is one o four cessions on lease made in the period after the C ma Japan war, the four, with dates of first occupation, houig Kiaochow (Germany, November 14, 1897), Port Art u and Talien (Russia, March 27, 1898), Kwangchowwan (France, April 22, 1898) and Weihaiwei (Great Bri ain. May 24, 1898). The Bay of Kwangchow has a goo anchorage, but with a difficult entrance through sand- an <s , and access to Kwangsi by rail will be possible over a no too difficult country. The French authorities have a c no steps to develop the legitimate trade of the colony, an , apart from the smuggling incidental to a free port, chief use of the cession has, so far, been to advance French flag so much the farther to the east and the neare to the mouth of the Canton river. Kwangsi Kwangsi, with an area of 78,000 square miles and population of which the highest estimate is 9,000,00 (Alabaster, 1902), is in its central and eastern part a general altitude of 500 to 800 feet above the sea, and s upward towards the mountains of the north and west, heig 1 of 6,000 to 8,000 feet. It includes the drainage basin of t West River, the affluents of which converge, as the finget of the hand converge to the wrist, to their outlet at WuchoW, the waters then flowing for a short distance in one channe through Kwangtung until, at Samshui, they again diverge to form the channels of the Canton delta. Proceeding ll P the West River, to the west, it is known by that name as far as Sünchow (Tamchow in local dialect), where it bifurcated into the North and South Rivers. The Nort River receives several important affluents, but slightly navigable, and is itself navigable for some distance by boats THE PROVINCES AND THE TREATY PORTS 263 of 20 tons capacity. The South River is often also called the West River (constituting, as it does, the main trade route) up to a point 30 miles above Nanning, where it is bifurcated into the Left Branch leading to Lungchow, and the Right Branch leading to Poseh, whence is a main trade route into Yunnan, by which the trade with Hongkong and Canton via Wuchow and via Pakhoi finds its way ; Poseh is accessible to large native craft, of perhaps 30 tons capacity, navigated through the many rapids with great skill. The fall of the river from Poseh to Wuchow, about 500 miles, is 800 feet. Entering the system at Wuchow is the Cassia River, running south from the provincial capital, Kweilin, from the head waters of which a small canal gives access to the head waters of the Hsiang River, flowing through Hunan into the Yangtze. The people are a riotous lot, considering brigandage and rebellion the natural concomitants ­ of a bad harvest ; it was in Kwangsi that the Taiping rebellion took its rise, and the latest of the rebellions ­ of China was that of Kwangsi 1902-5. Its natural products are not important, with the exception of aniseed, of which the province has almost a world monopoly ; it comes from two districts, one lying around Poseh, the other, giving oil of better quality, lying across the Tonkin frontier between Lungchow and Langson. In minerals the province offers great, but as yet unproved, possibilities. A geologist has stated, though not with the sense of responsibility ­ attaching to a report, that within one square mile he found by boring coal, iron, copper, and lead, a richness probably unsurpassed by many individual square miles in the world. These minerals are all known to exist, as well as gold, silver, antimony, asbestos, bismuth, etc. Timber is cut on the mountains of the north-west. In the province are two treaty ports. Wuchow (23° 29' N., m° 20' E.), a city of 65,000 inhabitants, ­ opened as a treaty port in 1897, is well placed for its purpose. Its treaty port status enables the trader to carry his goods, import or export, past the numerous and vexatious likin barriers of Kwangtung ; and at Wuchow 264 THE CHINESE EMPIRE he commands the waterways of the province, all of which converge to that point. The development of the steamer traffic is shown by the following figures :— Imports. Exports. Total. Tls. Tls. Tls. 1898 . . 2,976,807 1,244,951 4,221,758 1904 . . 7,806,436 3,277,791 11,084,227 In addition the value of the trade by junk was— Imports. Exports. Total. Tls. Tls. Tls. 1904 .. 882,758 9,315,039 10,198,797 making the total trade of the port in 1904 amount to 21,283,024 Of the total foreign import by steamer in 1904 entitled to them, with a value of Tls.7,487,289, no less than 80 per cent, was sent inland under transit passes, thereby escaping likin taxation, 13 per cent, within the province, 59 per cent, into Kweichow, and 8 per cent, into Yunnan. In 1904 the principal exports were aniseed and aniseed-oil (Tls.410,000), cattle (11,126 valued at Tls.251,000), poultry (Tls.351,000), and hides (Tls.591,000). Lungchow (22 0 22' N., io6° 45' E.), “ Dragon City,’ is of the type of frontier port which will be described under Mengtsz. It was opened to foreign trade in 1889 in the hope that the trade of Western Kwangsi might pass through it to Tonkin, by the railway which it was the intention of the Trench Government to promote. The railway, built in Tonkin, has not been extended beyond the frontier over the 40 miles of much accidented country which intervene between it and Lungchow, and the trade which it was to attract continues to find its way to Canton, by a river journey of 800 miles. The Customs officials stationed there find little to do except to admire the picturesque scenery, the value of the trade in 1905 being, imports Tls.163,330, exports Tls.67,122, total Tls.230,452. The principal imports were timber and dye-yams, and the THE PROVINCES AND THE TREATY PORTS 265 principal export, other than opium, was American kerosene oil which had come up the river from Canton. NANNING (22° 48' N., 108° 15' E.), a city of about 100,000 inhabitants, situated about 30 miles below the junction of the Right and Left Branches of the mam (southern) stream of the West River, is the commercial centre for south-western Kwangsi, and a forwarding depot foi the West River route to Yunnan. That portion of the Yunnan and Kwangsi traffic which passes through Pakhoi converges ­ on this point. The opening of Nanning to foreign trade has been under consideration for some time, and it was opened voluntarily by China, as a trade mart ” on January 1, 1907. The Municipal Government will, it is announced, be of the type adopted at Y ocho w. Yunnan Yunnan, “ South of the Clouds,” is an elevated plateau of bright sunshine, lying south of cloud-covered and foggy Szechwan. It was the last of the Eighteen Provinces to be assimiliated by the Empire, its direct government by China dating only from the time of Kublai Khan (a.d. 1260), through whose conquest Yunnan was annexed and his suzerainty over Burma, Annam, and Cambodia reaffirmed. The area is put at about 145,000 square miles, and the estimates of the population range from 6,000,000 (Popoff, 1894) to 10,000,000 (Tiberii, 1902). The Panthay rebellion in 1867, occasioned by an attempt on the part of the Mohammedan population to set up a government of their own, was suppressed with great difficulty and with ruthless slaughter ; and this brought in its train the bubonic plague, which was for many years endemic in Yunnan (at Mengtsz with a resident population of 12,000 nearly 1,000 deaths are said to have occurred in each of the years 1892 to 1896), was first seen by European surgeons at Pakhoi in 1882, and reached Hongkong and the outer world in 1894- These causes for a reduction in the population, combined with the ungrateful nature of the soil, would lead to the acceptance ­ of the lower figure. Yunnan is decidedly mountainous. 266 THE CHINESE EMPIRE The western part is covered with mountain chains rising to heights through which the passes are over 8,000 feet m altitude, with steep slopes running north and south, the valleys containing rivers with great volumes of water, formed by the rains and melted snows of Himalayan ranges, rushing down through rocky beds which themselves are several thousand feet above the level of the sea. Th® greater part of the eastern portion has been described as “an elevated broken plateau, having an average height of 5,000 feet ” ; but this " plateau ” is so broken up that the plains cannot be discerned, and the mountains are the most distinguishing feature. The waterways are unavailable ­ for transport within the province, acting with their deep valleys rather as barriers to trade ; and the paucity of the population forbids the use of human porters, making the pack-mule and horse, supplemented on emergency by pack-cattle, the only agency of transportation. The water outlets from the province begin only on its borders, and those available for the major operations of trade are three • the Red River from the southern border into Tonkin, to be supplemented by the railway now under construction to Yunnanfu, the provincial capital ; the West River from the eastern border, leading to Canton and Hongkong ; and the Yangtze from the northern border, leading down to Hankow and Shanghai. Of the agricultural products oi the province, the only one deserving attention is opium, which is considered in the chapter on that drug, and which is the principal means by which Yunnan pays for the imports which it consumes. The chief wealth of the province ­ is in its minerals, of which there are known to exist cinnabar, coal, copper, gold, iron, lead, orpiment, salt, silver, tin, and zinc. The mining industry was severely crippled by the Panthay rebellion, but prior to that date, though iron ore is the most abundant, copper was mined on a much larger scale in order to provide for the requirements ­ of the mints of the Empire, which formerly were almost entirely dependent upon the Yunnan mines f° r their needs, which may be put at about 6,000 tons annually- THE PROVINCES AND THE TREATY PORTS 267 Argentiferous lead ranks next in importance, of which over twenty mines were known. Tin comes from Kochiu, about 20 miles from Mengtsz, from which port 4>5 00 tons were exported in 1905* Coal, though known to exist, has not been mined to any considerable extent. The salt produced in the province supplies its own population. Along the southern and western frontier of the province are three treaty ports. Mengtsz (23 0 24' N., 103 0 22'E.), population 12,000, may be taken to illustrate the frontier port, and is the only one of the four now open which has developed a trade worthy of consideration. Situated at an altitude of 4,500 feet, it is 40 miles distant from its junk port, Manhao (altitude 900 feet) on the Red River, which again is six days’ junk journey above Hokow ; this last place on the Yunnan side, opposite to Laokay on the Tonkin side of the frontier, was in 1895 made the first sub-port of entry for the Mengtsz district. Before the building of railways, the course for imports from Haiphong during the summer floods was by steamer to Laokay, and during the winter by steamer to Yenbay, thence by native craft up the rapids to Laokay ; thence by native craft to Manhao ; thence by pack-animal to Mengtsz, and so on for distribution through the province, each pack-animal taking an average load of 160 lbs. Mengtsz was opened as a treaty port in 1889, with the special stipulation, not applying to coast and riverine ports, that imports should pay only seventenths and exports only six-tenths of the tariff duty ; moreover, when the revised Import Tariff was put in force in 1902, it was held that the old tariff, with its lower duties, was still to be applied to the frontier ports. Transit dues, being half the tariff duty, are, however, based on the undiminished rate, and it is chiefly to avoid the Chinese inland taxation that the trade of Mengtsz, in particular, has been developed ; of the imports in 1904 nearly 74 per cent, continued their journey under transit pass, one-sixth of this transit trade adopting this roundabout ­ way for Kweichow. The opening of Wuchow (1897) 268 THE CHINESE EMPIRE produced no effect on the trade of Mengtsz, as shown by the following figures, the percentage of imports going inland under transit pass being given in parentheses a ter the import values :— Imports. Exports. Total. Tls. Tls. Tls. 1894 .. 1,241,879 (92) 943.321 2,185,200 1899 .. 3,373,641 (85) 1,883,297 5,256,938 1904 .. 6,063,777 (74) 4,683,522 10,747,299 The principal import in 1904 was cotton y arn (Tls.3,732,000), and the principal exports were opiurn (Tls.1,332,000) and tin (Tls.3,187,000). Of the imports 86 per cent, were declared from Hongkong in bond throng Tonkin, and 14 per cent, from Tonkin ; of the expor s 70 per cent, were declared for Hongkong, and 30 per cen • (including opium Tls.1,332,000 out of Tls.1,404,000) tor Tonkin. . , Szemao (22 0 47' N., ioi° 2' E.), also called Esmok, with a population of 15,000, at an altitude of 4,700 feet, is situate in the south-west corner of Yunnan at a distance of eighteen days’ pack-animal journey from Mengtsz and from Yunnanfn, six days from the French Laos frontier, and twelve days from the British Shan frontier. The transport is solely by pack-animals. The port was opened in 1896, and the value of its trade in 1904 was, imports Tls.221,753, exports Tls.45,230, total Tls.266,983. The principal import was cotton, and there were no exports distinguished above others. Tengyueh (24 0 45' N., 98 o 15' E.), with a population oí 10,000, lies at an altitude of 5,500 feet. Situated on the western border of Yunnan, it is seven days’ pack-animal journey from Bhamo in Burma, and twenty-four days from Yunnanfu, by a road crossing a succession of mountain passes rising at times to 8,000 feet, and dipping into valley^ some as low as 2,500 feet above the sea. The opening °* Tengyueh, attempted in 1900, was accomplished in 19 02 ’ and in 1904 its trade was, imports Tls.1,747,820, export* THE PROVINCES AND THE TREATY PORTS 269 Tls.337,684, total Tls.2,085,504. The principal imports were cotton fabrics (Tls.393,000), cotton yarn (Tls.849,000), and raw cotton (Tls. 184,000) ; the principal export was yellow silk (Tls.224,000). Of the imports 74 per cent, went inland under transit pass, three-fourths to Yunnan points, and one-fourth across the whole width of Yunnan in Szechwan and Kweichow. Tibet Tibet contains one treaty port, Yatung (28 o N., 89 o E.), with no inhabitants and collecting no revenue. The value of the trade passing there in 1903 (before trade was interrupted ­ by the advance of the British Mission of 1904) was, imports Tls.343,020, exports Tls.343,662, total Tls. 686,682. 270 CHAPTER IX FOREIGN TRADE The records of the foreign trade of China in olden time are obscure, and the proper elucidation of that trade would require a special treatise to discuss the routes by which the silks of China reached the Roman Empire, following p re ' sumably the Central Asian caravan routes which were later followed by the Polo brothers and their nephew Marco Polo ; the routes by which the Arabs came by sea to trade during the Tang (a.d. 618-907) and Sung (a.d. 960-1127) Dynasties ; and the routes followed by the Chinese them' selves in trading with the islands of the Southern Sea, t° which the north-east monsoon of winter carried their junks laden with the products of their own land, while the southwest ­ monsoon of summer brought them back in surety with the spices of the tropics. It is sufficient for the purpose of this chapter to trace the progressive steps by which the trade of China was developed by European nations. The Portuguese were the discoverers of the East, the Spanish were of the West, and the first recorded arrival of a European ship in China was that of Raphael Perestrello, who sailed from Malacca about 1511. Six years later, k 1 1 5 1 7> Fernando Perez de Andrade entered Canton waters with a squadron of four Portuguese and four Malay ships» and was well received by the local officials, then as ever quite ready to encourage trade, and was allowed to proceed in person to Peking. His brother Simon arrived in the o owing year, and so conducted himself that he v#s riven off the coast, while Fernando was put in priso^ m Peking, ultimately losing his life. Other ships arrived ■ COURSE OF ¡HIPPING ente 364 . ■ —h TlL — o SON s [NANCE AND Dl NANCE OF DIRECT ~r 4 1903 STINATION OF DIRE LBM □ SSES OF MERC ||) FOREIGN IMPORT — ■ - - * -I <B.) FOREIGN EXP( 18641 .104 □ 1904 J 1904 1C 170 10O MILLION TAELS BRITISH AMERICAN .. JAPANESE FRENCH GERMAN NORWEGIAN OTHER FOREIGN CHINESE HONGKONG INDIA GREAT BRITAIN JAPAN CO NT. OF EUROPE U.S. AMERICA OTHER COUNTRIES HONGKONG GREAT BRITAIN ... CO NT. OF EUROPE RUSSIA U.S. AMERICA JAPAN, OTHER COUNTRIES g OPIUM COTTON M'F'RES . WOOLLEN M'F'RES METALS COAL KEROSENE OIL SUNDRIES. UNCLASSED SILK TEA COTTON, RAW BEANS AND BEANCAKE SUNDRIES. UNCLASSED DIAGRAMS SHOWING THE COURSE OF TRADE FROM 1864 TO 1904 TONNAGE OF SHIPPING ENTERED AND CLEARED 1904 [""{• . : I 1903 1894 E 1884 ; 1874 r 1864 MILLION 32 30 28 26 24 22 20 18 16 14 12 10 8 TONS EL 11864 1874 HZEP 1884 1894 1903 □ 1904 1903 1904 C 1903 1904 I MILLION 170 TAELS 6 8 10 12 14 16 18 20 22 24 26 28 30 MILLION TONS 1894 r 1903 1904 [ 1894 1874 JS84 1874 1864 1894 r 1874r 1884 1903 1904 PROVENANCE AND DESTINATION IMPORTS FI 1,1864 (A.) PROVENANCE OF DIRECT IMPORTS (GROSS) 136411 _L 1284 (B.) DESTINATION OF DIRECT EXPORTS 18547 n 1864 EZ "717111884 1874 CLASSES OF MERCHANDISE (A) FOREIGN IMPORTS (NET) 1864 r 18941 11574 1874 1884 5=(B.) FOREIGN EXPORTS 1864 C 160 150 140 130 120 110 100 90 80 70 60 50 40 30 20 10 1 1864 1 1884 3H 111864 n - El 1894 11874 ms4 1894 1 1894 10 1 1894 11903 1 H904 1903 1 1903 1903 20 30 40 50 60 70 80 90 100 110 120 130 1904 i 140 150 160 170 1904 hr ' ] 1904 180 MILLION TAELS i ' :: •’ í FOREIGN TRADE 271 and initiated trade at Ningpo (where a regular “ factory,” or trading-post, was established), Foochow, and Amoy, while three posts were established near Canton, one being at Macao. The general conduct of the Portuguese was in keeping with the attitude maintained at that time by all Christian nations toward the heathen, probably intensified by the difficulty of getting the better of Chinese traders in a bargain, and the Imperial order went out to slay them. This was done effectively in the north, 800 losing their lives at Ningpo, and the Portuguese concentrated at Macao, where they were allowed to settle in 1557 on payment of Tls.500 annually as rent ; in 1573 the Chinese shut in the settlement by a wall, and in 1587 established a civil magistracy to rule the Chinese inhabitants and collect all dues of the government ; both endured until 1848. Several Portuguese embassies went, or attempted to go, to Peking : the first, accompanying de Andrade in 1517, was stopped at Canton ; the second, in 1552, was stopped by the Portuguese ­ Governor at Malacca ; a third in 1667 reached Peking, but accomplished nothing ; a fourth in 1727 was graciously received at Court, but secured no tangible advantages ; and the same result attended a fifth in 1753. After the assertion of the independence of Macao in 1848, political relations became strained, and, with one exception (Mexico), Portugal was the last of the Western powers to secure (in 1887) a treaty of amity and commerce with the Imperial Government. The Spanish were the next to enter into the foreign trade of China. They had entered the East from the West through the Philippines in 1543, by reason of the decision of the Borgian court of delimitation ; and their first visit to China was in 1575, when they were well received at Canton. A diplomatic mission started for Peking in 1580, Put was detained at Canton and sent back to Manila ; this was the last embassy until 1847, and the first treaty was made in 1864. The development of the Spanish trade with China was left to the Chinese trading between Manila and Fukien ports (Amoy, Chinchew, etc.), and the Chinese 272 THE CHINESE EMPIRE population of Manila increased so fast, became so influential, and showed so much independence, that in 1602 the Spaniards instituted a general massacre, and killed most of' the 20,000 Chinese immigrants. Thus, up to the beginning ­ of the seventeenth century, the Chinese could only judge that European traders based their trade on cannon and the sword. The Dutch first arrived in 1622, when a fleet of seventeen vessels appeared off Macao. Portugal was then a part of the Spanish dominion, and Macao was fair spoil of war and was attacked ; the Dutch were, however, driven off and proceeded to the Pescadores, from which they were driven by the Chinese, partly by force of arms, partly by negotiation ­ ; they then settled in Formosa, over which at that time China had no right of government. Here they built two massive brick blockhouses, (tradition says they brought the bricks from Holland!) with walls six to eight feet thick and thirty feet high, one in 1624, Fort Zealandia, at Taiwanfu in the south, one at Tamsui in the north. Their first embassy ­ to Peking was in 1655, where it was received and had the distinction of being, except its own successor, the only European embassy, from first to last, to perform the kotow. In 1662, after a siege in Fort Zealandia of nine months, the Dutch were driven from Formosa by Koshinga, an independent ­ partisan. In 1663 they occupied Amoy, and in 1664 sent a trading expedition to Foochow ; but after that were content to trade at Canton on the same footing as othets. A special embassy went to Peking in 1665, and their last was in 1795. Their treaty, on the same terms as those of other nations, was made in 1863. I he English made several attempts to reach China after the date, 1596, when Elizabeth wrote a letter to the Emperor, which was not delivered ; but the first to arrive in China was Weddell, who reached Macao in July 1635-The policy of every nation in that day was to restrict the trade of others, in the belief that trade was a stagnant reservoir, the abstraction of a portion of the contents of which by others would leave so much the less for them- FOREIGN TRADE 273 selves ; and the Portuguese interposed obstacles and misrepresented ­ matters to the Chinese authorities in such a way, that Weddell’s fleet was fired on from the Bogue Forts. A good answer was made, and in the end Weddell was allowed to obtain a cargo. The next attempt was in 1664, when one ship was sent to Macao, but returned without a cargo. Trade was opened with Formosa, not then under the Imperial authority, and in 1677 one small ship was sent to Amoy. In 1678 the ships took “ trading goods ” valued at ¿4,000 and ¿6,000 in specie, and brought back silks, rhubarb, and spelter. The Amoy post was abandoned in 1681 and re-established for a short time in 1685. The English were unable to obtain a footing at Canton before 1684, and even then could do little trade owing to the opposition of the Portuguese, an important item in the budget of the colony of Macao consisting of presents to the Chinese officials, given to secure a monopoly. The trade prospered, however, little by little, until in 1701 the “ investment ” for Canton amounted to ¿40,800, while that for Amoy was ¿34,400. In 1701 an unprofitable attempt was made to trade at Ningpo. At Canton in 1702 a beginning was made of what afterward developed into the “ Hong ” or “ Factory ” system. The English trade with China was in the hands of the East India Company until the abolition of its monopoly in 1834, all other English merchants trading under the Company’s license. The first British embassy to Peking was that of Lord Macartney in I 793. which was well and honorably received, but produced no practical result ; and the second was that of Lord Amherst in 1816, who did not secure an audience, owing to regrettable misunderstanding. The third was that of Lord Napier in 1834, whose necessary assertion of the sovereignty and dignity of his country led, in the natural sequence of events, to the first war between China and a Western power, and to the first British treaty of 1842. The Russians approached China first by land, their Lrst, unsuccessful, embassy reaching Peking in 1567 ; others, als o unsuccessful, reaching Peking in 1619 and 1653. Their 18 274 THE CHINESE EMPIRE earliest trading caravans reached Peking in 1658, 1672, and I ^77- The first treaty was signed in 1689, partly to regulate ­ land trade, but chiefly to recover from Russia ground she had occupied in farther Manchuria. Other diplomatic missions followed in 1692, 1719, 1727, 1755, and others up to the mission which signed the treaty of 1858. In 1806 the Russians sent two ships to open up the sea trade with Canton ; they obtained cargoes, but the only result was that the Chinese prohibited all trade to nations not already on the spot. The French first made touch with China, other than by missionary enterprise, by a letter written by Louis XIV. to Kanghi in 1688. The first commercial attempt was in 1728, but it was followed up only by private enterprise. The French flag was again hoisted at Canton in 1802, but was hauled down on the resumption of hostilities with the English, and was not again raised until 1829. Their first diplomatic mission was in 1844, and by it the first treaty was signed. The Americans first made direct entry into the China trade in 1784, their previous connection with it having been solely through the East India Company, which was especially ­ insistent that they should buy its tea. Though now an independent nation, they crept in under the wing of the English, but with the friendly support of the French, and joined in the “ factory ” life of the day. The only political event especially concerning them was the suspension of American trading in 1821 owing to what the Americans believed was the accidental killing of a Chinese by an American sailor ; when the American was given up and had been strangled, trade was resumed. The first American embassy was in 1844, when the first treaty was signed. y this time the Americans had attained a position in the trade of Canton second only to the English, a development ^ased rather upon the prestige of others than upon their owiF knt furthered by the Yankee trading instinct. ther nations had come at various dates to share h 1 t te China trade, and there had been established among FOREIGN TRADE 275 the factories at Canton the Swedish, Danish, and Imperial ; the memory of the Danes is still preserved in Dane Island at Whampoa, and the Imperial factory probably provided chiefly for what is now Belgian trade and, possibly, for that of the Hanseatic towns. Others, without separate factories, came also under British protection from India, as if in anticipation ­ of their future absorption. The Portuguese remained solely at Macao, but otherwise Canton was a microcosm with (in the order from east to west) its Dutch, East India Company’s, general English, Swedish, Imperial, American, French, Spanish, and Danish factories, with four others let out in apartments. Factory and Hong System In the old Canton régime, the “ factory ” (which must be understood in the old sense of the residence or station of the “ factor ” or agent of the home company) represented ­ the purely foreign side, being the counting-house, warehouse, treasury, and residence of the foreign trader during such time of the year as he was allowed to remain at Canton. The Hong, or Co-Hong, or Guild was the sole medium through which the foreign trader could enter into trade relations with the Chinese Empire. The first steps in this direction were taken in 1702, when one man was appointed to be the sole broker through whom all foreigners should buy and sell. In 1720 the Co-Hong was established as a body corporate, and in 1745 their position was reaffirmed, ­ they were given an absolute monopoly of all dealings with foreigners, and were held responsible for their debts and good behavior : in the latter days the number °f members was thirteen. In 1760 more stringent regulations ­ were drawn up to the following effect :— I. All vessels of war are prohibited from entering the t>ogue. Vessels of war acting as convoy to merchantmen ­ must anchor outside at sea until their merchants s hips are ready to depart, and must then sail away w ith them. 276 THE CHINESE EMPIRE II. Neither women, guns, spears, nor arms of any kind can be brought to the factories. III. All river pilots and ships’ compradors * must be registered at the office of the Chinese magistrate at Macao, who will furnish each with a license or badge which must be worn at the waist. No boatmen or other people must hold communication with foreign ships unless under the immediate control of the ship’s comprador, and the latter will be punished if any smuggling occurs on the ship to which he is attached. IV. Each factory is restricted to employ eight Chinese (their functions enumerated). V. Foreigners are prohibited from going on the river at their own will. By a relaxation made in 1819, they were allowed on the 8th, 18th, and 28th of each month to go to the Flower Gardens (about a mile away), but not in droves of over ten. If they stayed out overnight, their exeat would be refused for the next holiday. They must always be accompanied by a “ linguist,” and he is punished for any breach of rule. VI. Foreigners are not allowed to address the officials directly ; if they have any representation to make, it must be done through the Hong merchants. VII. Hong merchants are not to owe money to foreigners. Smuggling goods to and from the city is prohibited. VIII. Foreign ships arriving with merchandise must not loiter about outside the river ; they must come direct to Whampoa and must not engage in clandestine trade elsewhere. I hese and others of the older regulations remained m full force up to the very last of the factory days. In 1830, for example, no less than three ladies, wives of some of the staff of the E.I.C. factory, ventured to come from Macao to Canton, where their arrival caused great com' motion ; they left after a few days, but not until the officials threatened to stop all trade ! By this system * Ship chandlers. FOREIGN TRADE 277 the foreign trader, living ordinarily at Macao, came to Canton to attend to the business of his ship, and while there lived in his factory ; when his ship’s business was finished, he was supposed to return to Macao, or to any other place in the outside world, obtaining for his exit, but not for his entrance, a permit (or rather four documents : ist, a guarantee by several of the Hong merchants ; 2nd, the Hoppo’s laissez passer-, 3rd, a formal pass to be countersigned by each fort and taxing station en route ; 4th, a permit for the effects and property taken along, for which he paid a fee which, on occasion, would rise as high as Tls.300 (£100), This was the theory ; in practice the ships arrived in fleets, or at fixed periods, aiming at reaching Canton as soon after the north-east monsoon had set in as possible (October), and at leaving before the south-west monsoon had developed force (say March) to prevent a good passage down the China Sea ; and the foreigners usually came and went in a body. During the summer one or two members would be left in Canton, not, ostensibly, to protect the factory, which was under the absolutely trustworthy protection of the Co-Hong, or rather of that member specifically assigned to the factory, but on the pretext, always accepted for an annually recurring consideration, that an out-of-season ship was, or might be, expected, or that their import cargoes had not been sold. When a ship arrived, its first duty was to obtain a licensed pilot at Macao, and a ship’s comprador first at Macao, later at Whampoa, the anchorage, ten miles below Canton : these, especially the latter, monopolised all dealings with the ship, as ship, fixing their own prices. On arrival at the Bogue (Bocea Tigris, Hoomunchai, Tiger’s Gullet), the one narrow entrance for laden ships, a permit to enter had to be taken out, for which fees had to be paid. An authentic account * of the fees paid for a ship entering in 1830 shows the extreme ­ elasticity of the official tariff, over and above the gratifications paid to numerous subordinates to facilitate the smooth running of the machinery. * “Old Canton,” by W. C. Hunter. 278 THE CHINESE EMPIRE Tls. Tonnage dues calculated according to measurement ­ of length and breadth Loss in converting into bullion Shroffage Official gratuity Hoppo’s “ fee for opening the barrier ” .. Transport to Peking and weighing in Government ­ scales To the Superintendent of the Treasury Add ItV per cent, converting into bullion 842-285 75-806 15161 810-691 480420 150145 116424 i 212 Difference in weights between Canton Peking, 7 per cent.* .. and 2,492212 174455 Total .. Tls.2,666-667 equivalent at the ordinary exchange of the day to about ¿900, but evidently not including “ all the old charges of measurement, entrance, and port-clearance fees, daily and monthly fees, etfc,” which, according to the special Regulation ­ of July 1843, “ are to be abolished.” Under present regulations, which have been in force since 1858, the total sum payable on the above account for this ship of 420 tons is Tls.168, equivalent at to-day's exchange to £25. When the ship arrived at Whampoa, she continued to be a source of minor profit to the ship's comprador, to the officials from daily and monthly fees, from payments to subordinates, and from some uncertain gratuities to expedite her departure. ­ Her agent in Canton took her manifest, giving full particulars of the cargo, and handed it to that member of the Co-Hong who was responsible, and the Co-Hong took all the necessary steps and paid all the necessary sums to have the cargo discharged into privileged (monopoly) lighters and brought to the factory. The specie, which formed a great part of the inward lading, was then de-* The actual difference in weights is under 1 per cent., but the other way around, the Canton, scale being the heavier. FOREIGN TRADE 279 posited in the treasury of the factory, and the cargo might be sold to the factory's member of the Co-Hong and to no one else. Outside these limitations there was no compulsion ­ ; the importer could hold for a better market, or he could send his goods back whence they came (thereby materially reducing the space available for tea), but he need not sell unless he wished. For export cargo the main staple was tea, which was almost invariably contracted for a year ahead ; here again the foreign trader had his option : he could fix both quantity and price at time of contracting, or he could fix the quantity only, leaving the price to be settled according to the rates ruling for quality on the opening of next season’s tea market. Shipments of silk could not exceed a certain limit (140 piculs = 167 cwt.) for any one ship—except on paying for the privilege, not according to a tariff, but enough to secure the permit. “ Chow-chow ” cargo (as it was then termed, the “ muck and truck ” of to-day’s jargon, “ sundries ” other than tea and silk) could be shipped apparently without special limit, but a special permit—paid for—was required for shipments of bullion. When the export cargo, taken down in privileged lighters, was duly laden on board, the Co-Hong obtained the “ Grand Chop ” or clearance permit ■—paid for ; provided with which the ship could proceed to sea. This was a system which worked without friction. Every one was pleased : the foreign merchant enjoyed bis practical monopoly, and had nothing of the extortion thrust under his eyes, while the annoyances of his daily life were as nothing to the prospects of rapid fortune ; the Co-Hong paid, one way and another, its millions, but could recoup itself many times ; and the officials were quite contented. The best commentary on its commercial aspect is the admitted fact that there grew up side by side, during a century of joint working, a body of Chinese and of foreign merchants than whom there has never, at any time or at any place, been a more honorable, with never a written contract, with many an occasion of help in time of difficulty, and with much sympathy and friendli- 28o THE CHINESE EMPIRE ness from one to the other. When the East India Company was thrust from its high estate in 1834 and the British Government sent a Royal Envoy to assume, for the first time, the control of trade, then the full light of day was thrown on the system, and it was seen to be, from its governmental side, a system not of taxation but of milking. From first to last the foreign trade was milked. From the time a ship entered port until she left, she and her equipment and her cargo and her agents were solely in the hands of men who were under the authority and direct control of the Co-Hong or the officials. Disregarding the smaller fry—the licensed and monopolist pilots, ship chandlers, stevedores, lighterers, brokers, shroffs, linguists, guides—all of whom dipped their hands into the pot, we need only consider the relations between those most friendly of rivals, the foreign traders and the Co-Hong merchants. The foreigner was surrounded by an impenetrable veil ; he had no access to markets, he could not even walk down a street of shops, he could send no independent and trustworthy ­ agent out to inquire prices, but must in all cases accept without criticism the prices offered by his broker of the Co-Hong. This applied equally to imports and to exports ; and that the Chinese system allowed the foreigner not only to make a living but to accumulate a modest fortune, that a member of the Co-Hong would, when occasion called for it, wipe out the debt of a foreign merchant who had fallen into difficulties, says much for the generosity and the business capacity and foresight of the Chinese merchants, but it emphasises also the fact that there must have been a wide margin of profit to allow of such liberality. For the Co-Hong was the milker, milking the foreign trade for all it was worth, and paying heavily for the privilege. Its thirteen members paid for their appointment, Tls.200,000 (over £60,000) being reported ­ as the sum so paid by one ; they were frequently ca led upon for special contributions, say Tls. 100,000, or a Yellow River flood or some other catastrophe ; they had to maintain their position (their “ pull ”) at the capital ; FOREIGN TRADE 281 they had to keep well with the officials at Canton, especially their over-lord, the Hoppo ; and every one who knows China knows that they had to gain and keep the good will of every subordinate of every official, down to the humblest gate-keeper. When Canton submitted in 1841 to pay a ransom of $6,000,000, the Hong merchants contributed from their private means $2,000,000. And yet the best known among them, Howqua, himself stated in 1834, nine years before his death, that his estate was valued at $26,000,000, a great fortune for those days, probably the largest mercantile fortune in the world. Up to 1834 China was the admitted master of the situation. China it was that laid down the terms on which alone foreign trade was permitted, and foreign nations, represented by the trading interests alone, accepted those terms and submitted to them without a murmur ; while the traders themselves were quite content, at Canton as at Nagasaki, to accept a position of recognised inferiority so long as their trade was profitable. The arrival of Lord Napier as British Envoy introduced another question, that of equality between sovereign powers, and on this the Chinese were stubborn ; and a further element was thrown into the crucible by the suddenly revived but undoubtedly honest prohibition sentiment of the Imperial Court towards opium. The contest lasted for twenty-six years, from 1834 to i860, and had behind it four main elements of strife— ist, The claim for equality of treatment as between nations : this was settled by the British treaty of 1842, and finally settled in i860. 2nd, The opium question : this, in their treaty of 1842, imposed at the cannon’s mouth, the British left alone, and it was finally settled incidentally by the inclusion of opium in the tariffs annexed simultaneously to all the treaties of 1858. 3rd, The monopoly of the Co-Hong and the irregular incidence of taxation : this was settled in 1842. 4th, Security to foreigners for life, limb, andjproperty. 282 THE CHINESE EMPIRE from the principles of Chinese law and their inequitable application : this the British treaty of 1842 left unsettled, and it was first introduced into the British supplementary treaty of Hoomunchai (1843) and the American treaty of 1844. The position was now reversed, and from i860, partly by the action of Great Britain and later of Great Britain and France, partly through the weakness caused to China by rebellion and disorder, the foreign powers have been masters of the situation, and foreign trade has been conducted on conditions laid down by them and not by China. The component elements of the old trade are not well known, and will some day be elucidated by a study of the East India Company’s archives for the period. All that is known is that China wanted very little that the West could supply. Cotton manufactures in 1905 constituted 44 per cent, of the value (excluding opium) of all foreign imports ; but in this industry the West could compete with cheap Asiatic labor only after the development springing from the inventions of Richard Arkwright and Eli Whitney, and in the eighteenth and early nineteenth centuries the movement ­ of cotton cloth was from China to the West, in the shape of nankeens to provide small-clothes for our grandfathers. ­ Woollens were wanted, but only in small quantities, the Chinese preferring their own silks, and even now the import of woollens does not exceed 1 per cent, of the total import trade. Quicksilver and lead were wanted, but in no great quantities ; and the goods introduced consisted ­ to a great extent of those articles which were objects of curiosity to the Chinese, corresponding to the lacquered boxes and carved ivories, the painted fans and quaint Buddhas, which went to the West in exchange. Apart from opium, to be considered in another chapter, the trade was on a cash basis. It was before the day of extended bank facilities, by which an excess of exports from one country,¿is paid for by the imports into another country, and at Canton there were no banks, each factory and each FOREIGN TRADE 283 merchant having a treasury which must always be kept stocked with specie, an individual factory having frequently over a million dollars on hand ; only the East India Company worked its India and its China trade one into the other, and drew or gave bills on Bombay or Calcutta, receiving or shipping treasure only when funds were not sufficient to cover its bills. To some extent the Dutch India Company ­ could do the same, but generally the movement of merchandise from the Dutch Indies was outward, as it was from China. This course was not open to others, and the lading of a ship of 498 tons which left New York for Canton in 1824 may probably be taken as more or less typical ; it consisted of furs (coal to Newcastle !), bar and scrap iron (probably as ballast), lead (required for packing tea, but also mined in China), quicksilver (in demand, import 779,600 lbs. in 1868 and 156,000 lbs. in 1905), and 350,000 Spanish dollars in kegs. That veracious historian, J. Fenimore Cooper,* writing in 1847 of a trade of which he had some knowledge, describes two voyages of the good ship Rancocus in 1796 and 1798. In the first she sailed from Philadelphia to Europe, and there engaged in trade, profitable to neutrals, “ until a certain sum in Spanish dollars (specie was scarce in America at that time) could be collected, when she was to... make the best of her way to Canton,” and load tea. In the second she sailed for the South Pacific islands with “ trade goods ” and axes to pick up a cargo of sandalwood (with some misgivings in the minds of her owners as to its employment for idolatrous purposes), and, after an interrupted voyage, arrived in Canton, sold her sandalwood at good prices, bought tea, and had some thousands of dollars surplus, also spent in Canton, but for another purpose. In the year 1831, so Hunter informs us, three ships, arriving from New York, brought with them $1,100,000 in coin. Even as late as 1859, a year in which the imports and exports of merchandise at Shanghai about balanced, the import of treasure at that port through foreign channels was Tls.10,483,550 and the * “ The Crater.” 284 THE CHINESE EMPIRE export Tls.4,246,067 ; and in i860, with exports exceeding imports in vaine, the movement of treasure at Shanghai was Tls.15,201,277 inwards and Tls.1,742,510 outwards. After that date banking facilities were more fully developed in the East, and in 1905 was seen the spectacle of a Chinese import trade (Tls.447,000,000) valued at nearly double the value of the export trade (Tls.228,000,000) and financed with only a comparatively trifling movement of treasure, about ten million taels on balance for the year, and that inwards, in the same direction as the merchandise. The truth is that China has for centuries levied tribute, commercially, on the outside world in a way which will be referred to later. The new trade of China, based on conditions laid down by the foreign powers, has been conducted since i860 on lines similar in many ways to those followed in other parts of the world, and practically identical up to the moment when foreign imports are sold to the Chinese distributor, and from the moment when Chinese produce is bought for shipment ; but one fact must be borne in mind, that Customs duty is levied in China on exports as well as on imports, both being assessed at rates based on a nominal five per cent, levy. The development of trade in the past forty-five years cannot be fully gauged by a mere statement of the total value inwards and outwards, since a much more important factor is the increase in the number of articles demanded from the West and of those supplied for export. The Chinese Customs statistics, issued from i860, assumed their present shape in 1867, and that year is taken for comparison with 1905 in order to show the progress made in the exchange of commodities during thirty-nine years of the new dispensation. Shipping During the sixteenth century the only ships trading to China were the Portuguese. During the seventeenth century Portuguese ships traded to Canton, Dutch to Formosa and Amoy, and English to Amoy and, from 1684, FOREIGN TRADE 285 to Canton. In the eighteenth century trade was rigidly restricted to Canton, and at this port the flags of the principal maritime commercial nations were shown in greater or less numbers, including, from 1784, the American. In the first part of the nineteenth century, in the days of the “ old trade,” restricted as before to Canton, the principal part of the carrying trade fell to the British flag, and, next to that, to the American. The fifth and sixth decades of the century were a period of scramble, and since that time the development of the carrying trade under the principal flags is shown in the following table. Imports generally (net, after deduction of re-exports to foreign countries) were valued in 1867 at Tls.69,329,741 (£23,109,914) and in 1905 at Tls.447,100,791 (£67,065,119). Opium was imported in 1867 to the amount of 60,948 piculs, of which 26,297 piculs was Bengal (government monopoly) opium, and 34,651 piculs from Malwa (independent ­ Indian states) and Persia ; the value was Tls.31,994,576, being 46 per cent, of the value of all foreign imports in that year. In 1905 the import of foreign opium was 51,890 piculs, of which 34,235 piculs were Bengal and i 7;655 Malwa and Persian ; the value was Tls.34,070,021, being 7^ per cent, of all foreign imports. * Japanese carrying trade affected by Russo-Japanese War, 1904-5. t Steamers and sailing vessels engaging in trade under the regulations ­ of the Inspectorate General of Customs. 1864. X874. 1884. 1894. British .. American French .. German Japanese Norwegian Other Foreign Chinese f Tons. Tons. Tons. Tons. 64.588 494,237 2,993,613 5,539,246 9)911,209 16,407)352 Total Imports 286 THE CHINESE EMPIRE Cotton Manufactures in 1867 were valued at Tls .14,617,268, being 21 per cent, of the total, and in 1905 at Tls.181,452,953, being 40 pér cent of the total ; the imports ­ of 1905 were above the normal, but the increase was maintained in 1906. Of plain fabrics (grey and white shirtings, ­ sheetings, drills, jeans, and T-cloths) the import in 1867 was 3,738,965 pieces, about 118,875,000 square yards, of which 130,000 pieces came from the United States and the rest mainly from England ; the value of these plain fabrics was Tls.10,537,427, which was 72 per cent, of all cotton imports. Of these same plain fabrics the importation in 1905 was 28,702,693 pieces, about 1,167,600,000 square yards, of which the country of origin was as follows :— English American J apanese Indian All others Total Pieces. 14,393,846 12,693,793 789,290 651,011 174,753 28,702,693 Sq. Yards. 589.200.000 519.770.000 30.530.000 22.330.000 5,770,000 1,167,600,000 Value, Tls. 43,480,144 42,977T75 2,079,313 1,461,369 486,884 90,484,885 This value was 48 per cent, of the value of all cotton products imported in 1905. Fine cotton fabrics were imported in 1867 to the extent of 781,359 pieces, about 15,860,000 square yards, composed more than half of figured (white and dyed) shirting and chintzes, almost entirely of English weaving ; the value was Tls.2,464,075, being 17 per cent, of all cotton imports. In 1905 fine cotton imports were 10,821,885 pieces, about 220,195,000 square yards, which may be divided approximately between the countries of origin as follows :— English American J apanese All others Pieces. 7,634,054 54U977 1,813,480 832,374 10,821,885 Sq. Yards. 186.304.000 16.253.000 11.368.000 6,271,000 220.195.000 Value, Tls. 23T35,583 2,006,35° 1,446,054 921,432 Total 27,5°9,4I9 FOREIGN TRADE 287 This value was 15 per cent, of the value of all cotton products ­ in 1905. The kinds which were prominent in 1867 have lost their prominence in 1905, and in the latter year the great bulk is made up by “ imitations/’ by cheap cotton substitutes for a more expensive woollen fabric, by an appeal to the eye ; of the Tls.27,509,419, the value of all fine cottons, no less than Tls. 19,240,889 are supplied by cotton Italians, cotton lastings, cotton Spanish stripes, cotton flannel, and cotton blankets. The import of cotton yarn in 1867 was 33,274 piculs, entirely of English spinning : it was of the finer counts, with an average value of Tls.48'20 (£16) a picul ; and the total value, Tls.1,603,807, was il per cent, of all cotton products. In 1905 the cotton yarn imported was 2,577,748 piculs, of which 22,075 piculs were English spinning, 1,867,309 Indian, 684,671 Japanese, and 3,693 from all other sources ; this import was mainly of the coarser counts (12’s to 24’s), with an average value of Tls.26 (¿3 18s.) a picul, and the total value, Tls.66,892,485, was 36 per cent, of all cotton imports : in 1903 and 1904 the percentage of yarn to the total had been 52 and 48 respectively. If we add Tls.20,000,000, the value of the 750,000 piculs of yarn machine-spun annually in the factories ­ of Shanghai and other ports, it may be declared that normally and on the average a full half of all foreign cotton products is now in the shape of the semi-finished product yarn. This yarn is imported to give a strong warp, on which the people in their homes weave a coarse durable fabric, filling in with a hand-spun weft of Chinese cotton ; it penetrates to every corner of the Empire, and in every village street may be seen the long white stretches arranged by the women in preparation for their labor at the loom. In Western countries the cheapness of the machine-woven cotton fabric has driven out the home-spun of our grandmothers, ­ whose descendants may now more profitably employ their time and energy in other occupations ; in China the machine has only succeeded in partially supplanting ­ the spinning-wheel, but the hand-loom is still unconquered. 288 THE CHINESE EMPIRE W oollenswere imported in 1867 of avalué of Tls.7,391,236» constituting 10 per cent, of all foreign imports. In 1905 the value was Tls.4,414,713, being less than 1 per cent, of all imports. Those Chinese who can afford woollens prefer silks and furs, and the wearers of sheep-skins and cotton-wadded garments cannot afford woollens ; while the demands of fashion are met by cotton imitations. Metals were valued in 1867 at Tls.1,630,351, a little over 2 per cent, of all imports, and in 1905 at Tls.46,318,231, being 10 per cent, of the whole ; but this requires some explanation. The import of copper in 1867 was Ii,i5° piculs, valued at Tls.198,017, and in 1905 was 985,287 piculs, valued at Tls.31,762,337 : almost the entire import in the latter year was for the mints of China, which were then engaged in wild orgies of issues of copper token coinage. Lead (57,780 and 143,652 piculs) is chiefly wanted for packing tea, and tin (31,758 and 54,193 piculs) chiefly for making tin-foil and those paper simulacra of silver bullion which are offered so profusely in religious worship, specially at the ancestral tombs. Tinned plates in 1867 amounted to 1,744 piculs, and in 1905 to 182,188 piculs, in addition to a considerable quantity of second-hand plate coming as lining to cases containing piece-goods, kerosene oil, and other commodities, every foot of which is utilised in this land of poverty and thrift, and the quantity which is estimated at not less than 500,000 piculs a year. The consumption of iron and steel is in all countries the index of industrial progress ; the import into China in 1867 was 117,381 piculs (7,000 tons) ; in 1905 this had increased to 2,713,113 piculs (161,500 tons). This is satisfactory, but another indication of the poverty and thrift of the people is found in the fact that of the import of 1905 close on a had (1,323,593 piculs) consisted of old iron, plate cuttings, etc., the discards of Western markets, coming mainly from England. Sundries, i.e. all goods other than opium, cottons, woollens, and metals, were valued in 1867 at Tls. 13,636,37^' just under 20 per cent, of the whole ; in 1905 their value FOREIGN TRADE 289 was Tls. 186,338,096, just over 40 per cent, of the whole. Nothing but a brief summary of the more important articles can be attempted. Fish and products of the sea in general imported from foreign ports in 1867 were valued at Tls.1,358,716, and in 1905 at Tls.11,820,686. Cigarettes were unknown in 1867, and in 1905 their value was Tls.4,427,171, imported half from the United States, a fourth from England, and a fourth from Japan. In 1867 the import of coal was 113,430 tons ; in 1905 China produced some 400,000 tons, coming under Customs cognisance, and imported a further quantity of 1,314,032 tons. Aniline dyes were not an article of commerce in 1867 ; in 1905 the value was Tls.2,626,545 for aniline dyes in general, not including Tls.1,726,950 for synthetic indigo to displace the natural product of the country. The taste for foreign luxuries has been introduced by returned emigrants, and flour, unknown in 1867, was imported in 1905 to the extent of 2,635,000 bags of 50 lbs. Window glass and glassware was valued in 1867 at Tls.25,182, and in 1905 at Tls.1,554,832. Matches in 1867 figured for 79,236 gross of boxes, valued at one tael a gross ; in 1905 the import was 26,057,221 gross, valued at Tls.o 215 a gross, nearly ten boxes for each one of the 400,000,000 of men, women and children in the Empire. Kerosene oil was not an article of general commerce in 1867, the import amounting only to 29,842 gallons for the foreign community ; the trade began to expand in 1878, when the import was 4,161,100 gallons, entirely American ; Russian oil was introduced in 1889, Sumatran in 1894, and Borneo oil in 1901 ; in 1905 the total import was 156,948,040 gallons, of which 52 per cent, was American, 8 per cent. Russian, 32 per cent. Sumatran, and 7 per cent, from Borneo. Rice is always wanted for the people of China, but of the 713,494 piculs imported in 1867 a large part went to Ningpo, while the 2,227,916 piculs in 1905 were mainly for Kwangtung. Of sugar the import in 1867 was 186,176 piculs, entirely Chinese sugar reimported ­ from Hongkong ; in 1905 the import was 4,644,315 piculs, of which no more than 365,000 piculs could have 290 THE CHINESE EMPIRE been Chinese sugar re-imported, the greater part being Java sugar, with some quantity from the Philippines, shipped to Hongkong and imported thence either in i original state or, to the extent of 1,322,000 piculs, re ne Timber, hard and soft, was imported in 1867 to the valu of Tls.205,168, and in 1905 of Tls.3,121,841 ; in the lat year the quantity of soft-wood planks was 90,432,396 superficial ­ feet, of which 61 per cent, came from the United States and 38 per cent, from Japan. Raw Cotton occupies a peculiar position in China, being both exported and imported. In 1867 the export (from Shanghai) was 29,391 piculs, and the import from In I a - (chiefly into Canton) was 336,072 piculs, its , value con ^ stituting a third of the foreign sundries impor e , In 1904 the export was 1,228,588 piculs, and the impor 60,057 piculs. China is a great cotton-growing country, and the proportions for 1905 (export 789,273 piculs, impor 90,581 piculs) represent the normal movement. Exports Exported goods were valued in 1867 at Tls.57,^95 >7*3 (£19,298,571), and in 1905 at Tls. 227,888,197 (£34» I ^3» 2 3 0 )' a much smaller development than is shown in the case 0 imports. The export trade of China is in three bioa divisions—silk, tea, and “ sundries,” the last being 11 official designation of what was called by merchants in 11 old trade “ chow-chow,” and to-day is called muck an truck.” In 1867, of the whole export trade, silk and 1 products accounted for 34 per cent., tea for 59 per cen • and sundries for 7 per cent. ; in 1905 the proportions wef e silk 31 per cent., tea 11 per cent, and sundries 58 per cent Tea * constituted the main staple of the old trade 0 * The English and Dutch obtained their first tea at Amoy, consequently called the leaf tea (rhyming with obey), the name * the Amoy dialect ; French, Germans, Americans, and others obtained the leaf, and with it the name through England or Holla» ’ The Portuguese and Spanish obtained it from Canton, and c ° nS ^_ quently called it by the Cantonese name cha. The Russians, P FOREIGN TRADE 291 China. As has been stated, the fragrant leaf formed the main part of the outward lading of ships, vessels which could take a thousand tons or more of tea being restricted, in theory and by law, to 140 piculs, less than ten tons in weight, of the other staple export, silk. This preponderance continued in the new regime, and, as we have seen, in 1867 tea contributed three-fifths of the value of all exports. In the two seasons 1848-9 and 1849-50 the average of shipments of tea to England was 335,920 piculs, of which 249,660 piculs were shipped from Canton and 87,260 piculs from Shanghai ; and shipments to the United States averaged 26,600 piculs, from Shanghai. Tea shipments from China increased in actual volume until the culminating year, 1886, when, with a quantity the highest on record, the value contributed but 43 per cent, of all exports ; thereafter both quantity and price fell off, until in 1905 tea gave little over a tenth of the value of all exports. With a reduction in quantity there has been a still greater decline in value, notwithstanding the reduced exchange value of the unit, the tael of silver ; and, with a restricted market for tea of the finer qualities, there is a distinct falling off in the proportion of tea leaf to brick tea, made of refuse leaf,dust, and stalks, as shown in the following table :— 1867 1886 1905 Quantity Tea Leaf. Value. Piculs. 1,248,256 1,846,989 839,173 Tls. 33,838,423 31,246,063 21,013,687 Brick Tea. Quantity. Piculs. 65,3H 370,212 530,125 Value. Tls. 717,665 2,258,757 4,431,965 This change is the more significant when it is remembered that tea leaf goes to Europe and America to be infused and provide the beverage we know, while the brick tea is for taining it by the northern frontier, called it tchai, from the northern Chinese name cha-yeh, “ tea-leaf.” 292 THE CHINESE EMPIRE the inhabitants of Siberia and Central Asia, who make of it a soup. The decline in the China tea trade has come from the competition with India, which learned its lesson from China and has improved upon the instruction given. The first experiments were made in India in 1838, in which year 500 lbs. were shipped to England ; it took over twenty years for shipments to reach a million pounds, but then the trade advanced by leaps and bounds. In 1867, when China shipments were one and a quarter million piculs, the export from India was 40,000 piculs ; in 1886, shipments of all kinds from China were 2,217,201 piculs, and from India 565,690 piculs. Ceylon came into the market m 1883, and under the influence of heavy shipments from Ceylon and from India, the English market was gradually lost to China tea, until in 1905 the quantities withdrawn from bond for consumption within the United Kingdom were as follows :— China .. .. 6,658,966 lbs. = 49,142 piculs India .. .. 150,530,446 „ = 1,128,978 „ Ceylon .. .. 89,385,901 „ = 670,394 „ Other countries 12,513,284 „ = 93,850 Fifty years ago China supplied practically all the tea infused in the United Kingdom, and to-day she supplies just onefortieth. The United States is not one of the great teadrinking nations, its per capita consumption being about one-fifth that of the British, and since the opening of Japan the American tea-drinkers have taken rather to tea from that country ; in 1867 shipments to the United States from China amounted to 194,153 piculs, being 65 per cent, of the American import of that year ; in 1905 the corresponding quantity was 182,123 piculs, which was 23^ per cent, of the American consumption. Russia has always been an important customer for Chinese tea. Sea-borne tea fot Russia in early years cannot be distinguished, since so much was bought on the London market. Direct shipments declared for Russia have been as follows : in 1867 leaf' I 3.25i piculs, brick, 53,123 piculs ; in 1886, leaf, 239,086 FOREIGN TRADE 293 piculs, brick, 360,091 piculs ; in 1903 (before the dislocation of trade occasioned by the Russo-Japanese war), leaf, 401,087 piculs, brick, 618,458 piculs, the total being 60 per cent, of all exports of tea from China during the year. The English market and that of Australia, with the largest per capita consumption in the world, have been lost to China, chiefly for the reason that the Indian and Ceylon teas give a strong infusion, and are as strong in that second drawing which is so dear to the housekeeper’s heart. The English taste has become so thoroughly perverted and insensible of the delicacy and cleanness of flavor characteristic of China tea, that the market can never be recovered even by reduced price ; and in the contest, China is handicapped by several factors. Indian tea is prepared and fired by mechanical appliances, the use of which is possible only where, as in India, large plantations, of a thousand or more acres, are under one management ; in China all is done by hand, and no change can be made in a country where the individual cultivator has only a small patch of a very few acres, ten acres being a large plantation. In twenty years of a declining market the tea shrubs have been left unpruned ­ and uncultivated, and it is doubtful if they can ever recover their old-time condition. Finally, the Chinese fiscal system is to tax everything in sight. In India there is no tax on the production or export of tea ; in China not only was there for forty-five years an export duty of Tls.2 50 a picul, reduced only in 1903 to Tls.i 25 (equivalent at present exchange to \d. per lb.), but on the way from the producing district to the shipping port there is levied a series of taxes, amounting on the average to more than Tds.2'50 a picul for official tax, with something to be added for irregular levy and delay and loss of interest. No industry ­ thus burdened could compete with a rival free of all burden. Silk is the product for which China has been noted for two thousand years, and it is now the product which individually ­ contributes the greatest proportion of the value of the export trade. By the nineteenth century the supplies 294 THE CHINESE EMPIRE obtained from China had developed to a considerable quantity, the average annual shipments to England in the last five years of the East India Company’s monopoly, 1828-33, being 5,393 bales (4,314 piculs). During the next four years of open trade, 1833-7, shipments increased to an annual average of 12,497 bales (9,998 piculs). Then followed a period of war and interrupted trade, and in the five years 1839-44 the annual shipments fell to 2,080 bales (1,664 piculs). Upon the restoration of peace and the opening of the five treaty ports, the annual export to England rose again in the five years 1845-50 to 18,654 bales (14,923 piculs). In i860 Japanese silk found its outlet through Shanghai to the amount of 6,248 piculs. Apart from this the export of white and yellow raw silk from Canton and Shanghai respectively has been as follows : Canton. Piculs. i860 .. 5,571 1867 .. . 9,259 1886 .. . 19,406 1905 .. . . 34,231 Shanghai. Total, all Ports. Piculs. Piculs. 61,552 67,123 30,358 39,627 44,967 64,488 44,303 80,335 In addition, wild silk, the product of silkworms feeding on the oak, was exported as follows : 5,127 piculs in i860, 5,363 piculs in 1867, 12,555 piculs in 1886, and 25,584 piculs in 1905. The value of the export of each category of silk products—cocoons, raw silk (white, yellow, and wild), waste silk, and woven silk goods—has been as follows :— Cocoons. i860 .. 53,845 1867 .. 39,598 1886 .. 350,482 1905 .. 1,344,286 Raw Silk. 23,804,284 16,372,518 19,210,052 53,425,473 Waste Silk. 16,807 H3,924 2,271,996 4,844,343 Woven Silk* 2,166,481 2,234,887 6,753,939 9,938,750 In 1905 the raw white originated almost entirely in Shanghai and Canton ; yellow silk came chiefly from Szechwan, a smaller quantity being also produced in Shantung ; wild FOREIGN TRADE 295 silk came chiefly from Manchuria, with secondary sources of supply in Szechwan and Kwangtung ; waste silk came from many quarters ; and woven silks were produced chiefly in the vicinity of Nanking, Soochow, Hangchow, Shanghai, and Canton, and, in the shape of pongees woven from wild silk, at Chef00. Of all these products raw white silk is the most important, and this is mainly produced within a radius of 150 miles around Shanghai, and in a smaller district around Canton : of the two the Shanghai silk is of the finer quality. In this district the silkworm is by nature the best in the world, producing naturally from the best mulberry the largest quantity of the finest silk ; and formerly, in silk as in tea, China set the standard for the world. In the course of years the silkworm all over the world was attacked by disease. In Europe, and later in Japan, scientific remedial measures were evolved by patient study, with the result that the disease can make no headway there, and with the further result that their silk is much improved in quality. China had for centuries adopted a method of eliminating the weaklings from the eggs by exposure to frost and snow, a method more effective than any adopted in Europe, and fully effective so long as no disease attacked the eggs or the worms ; but her failure to adopt the scientific remedy of microscopic examination ­ is by degrees putting her behind in the race. Of 1,000 eggs passed as healthy by this test it may be said that 700 will survive through all the stages of moulting and development, and will spin strong full-sized cocoons, of which it will take 3 to 4 lbs. to reel 1 lb. of silk ; of 1,000 eggs passed by the test of frost alone, 700 may hatch out, and of these 700, fully 400 will die during the successive moults, having meantime eaten leaf to waste, and the surviving 300 will spin weak under-sized cocoons, of which it will take 6 to 7 lbs. to reel 1 lb. of silk. The proportion between the producing capacity of the Italian and the Chinese silkworm may be put at 100 to 25, apart from the waste of leaf. Once upon a time China was the sole source of supply of silk for the West, and within a half-century she 296 THE CHINESE EMPIRE supplied a full half ; on the basis of the average output of the three years 1902-4, and not including the home weaving of China and Japan, the West was supplied with silk, 27 per cent, from China, 28 per cent, from Japan, 25 per cent, from Italy, and 20 per cent, from all other countries ; an China’s proportion in 1905 was reduced to less than 25 per cent. Owing to the improved methods introduced in J apan that country has now become China’s most important competitor, and the export of raw white silk from the two countries has been as follows, 1899 having been the year in which China’s export reached its highest figure :— 1899. 1904. i 9°5-Piculs. Piculs. Piculs. China .. 109,279 81,511 69,617 Japan .. 59,069 96,586 7 2 >4 X 9 Can it be that silk, which furnishes a third of China s exports, ­ is going the way of her tea ? Sundries furnish the evident line of advance for China in providing commodities for shipment abroad, their value having risen from Tls.4,487,414, being 7 per cent, of the total of all exports, in 1867, to Tls.132,008,712, or 58 per cent, of the whole, in 1905. In the earlier year the only noticeable ­ items were cassia (Tls.325,686), cotton (Tls.458,424)» mats and matting (Tls.384,542), and sugar (Tls.462,157)-Those commodities which were of importance in I9°5 are considered below. Beans are used to make an oil for cooking and, prior to the introduction of kerosene, for illuminating purposes ; the bye-product of this process, bean-cake, is used to fertilise the fields chiefly of Kwangtung and Japan. The foreign export of beans is first recorded in 1870 with shipment of 578,209 piculs, and of bean-cake in 1890 with 96,297 piculs ; in 1905 the export of beans was 2,665,523 piculs, of which 80 per cent, went to Japan, and of bean-cake 2,897,94^’ entirely for Japan ; in addition, over two million piculs of beans and two and a half million piculs of bean-cake were imported into Kwangtung ports. The chief source of FOREIGN TRADE 297 production is Manchuria, next to that Shantung, Hupeh, and the lower Yangtze. Bristles must always be an important export from a land in which the pig provides the principal meat for the table. Their export is first recorded in 1894, with 18,378 piculs, increased in 1905 to 39,588 piculs. They come chiefly from Tientsin, Chungking, Hankow, and Canton. Cotton has been referred to before. In 1864, owing to the American Civil War, shipments to Europe were made amounting to 391,287 piculs, while the import was 4,528 piculs ; in 1867 the export was 29,391 piculs, and the import (from India into the southern ports) 336,072 piculs ; in 1902 the export was 774,536 piculs, and the import 251,219 piculs, introduced from India into the chief cottonproducing centre in order to regulate prices ; in 1904, with high prices ruling in the Western markets, exports rose to 1,228,588 piculs, and imports fell to 65,129 piculs; in 1905 exports were 789,273 piculs, and imports 94,243 piculs. The cotton is produced in the entire Yangtze basin from Hupeh to Chekiang, Shanghai being the chief centre ; and fully 90 per cent, of all shipments go to Japan. Fire-crackers and fireworks, almost entirely to help young America in celebrating the Glorious Fourth, were exported to the extent of 16,186 piculs in 1867, and 128,245 piculs in 1905 : nearly the whole export came from Canton. Fibres, hemp, jute, and ramie, are first recorded as an export in 1879 with 10,456 piculs ; the export in 1905 was 262,443 piculs, coming chiefly from Hupeh and Kiangsi, and going chiefly to Japan. Hides were exported in 1867 to the extent of 146 piculs, and of 279,976 piculs in 1904, which was about normal ; the export in 1905 was only 189,446 piculs. About half came from Hupeh, and next in importance were Szechwan and Kwangsi : their destination was fairly divided between the principal countries of Europe. Matting, entirely the product of the Canton district, THE CHINESE EMPIRE 298 and almost entirely destined for the United States, was shipped in 1867 to the extent of 89,908 rolls of 40 yards ; in 1905 the export was 438,009 rolls. Minerals make but a poor showing. With all her vast mineral wealth China provides but a small surplus for shipment ­ abroad. China is a coal country, and the total foreign export in 1905 (11,534 tons) was less than 1 per cent, of the quantity imported ; it has large fields of iron ore, and the export in 1905 (24,600 tons) was less than a sixth of the import ; it is a copper country, and, with no export in 1905, it drew from abroad 57,000 tons to supply the demands of the mints ; it is a tin country, and in 1905 imported 54,193 piculs, while its export, entirely from Yunnan to Hongkong, was 75,302 piculs, this being the first year in which the export exceeded the import. Antimony is the only other mineral deserving notice ; the export of ore, regulus and refined, coming from Hunan, in 1905 was 94,327 piculs. Provisions were shipped in 1905, chiefly for consumption at Hongkong, to a value of Tls.7,239,410, including cattle, sheep, pigs, and goats, valued at Tls.3,210,100, and eggs valued at Tls.1,554,607. Oil seeds (cotton, rape, and sesamum), have only recently entered into the foreign trade. In 1888 the export of rape-seed was 873 piculs, and of sesamum-seed 3,027 piculs ; in 1898 the export was rape-seed 212 piculs, sesamumseed 47,388 piculs, and cotton-seed 566,105 piculs ; in 1905, rape-seed 19,751 piculs (from Hupeh and Anhwei), sesamum-seed 575,721 piculs (from Hupeh and Kiangsu), and cotton-seed 659,705 piculs. The rape-seed and cottonseed ­ go entirely to Japan, the sesamum-seed chiefly to Germany and Japan. Skins, consisting mainly of goat, kid, and lamb, coming from the Mongolian plateau, chiefly through Tientsin, to a secondary degree through Hankow, form an increasing industry. The export in 1867 was valued at Tls.5,501, in 1887 at lls.652,174, in 1897 at Tls.3,083,517, and m 1905 at Tls.9,684,286. Of the export of 1905 the United FOREIGN TRADE 299 States took 42 per cent., Great Britain 30 per cent., with Japan, Italy, and Germany next. Straw braid is one of the few home industries introduced expressly for the foreign trade. The seat of the industry is in the plain bordering the Yellow River in western Shantung and southern Chihli, producing a wheat with long straw. The export was 1,361 piculs in 1867 ; 25,93° piculs in 1877 ; 82,413 piculs in 1886 ; 100,184 piculs in 1896 ; and 110,222 piculs in 1905. The principal demand is for Great Britain, which in 1905 took 44 per cent., with France, the United States, and Germany next. Wool comes mainly from Kansu and Mongolia through Tientsin, and to some extent from Tibet through Chungking, and, notwithstanding the long caravan journeys, finds an increasing market. The export in 1867 was 1,097 piculs ; in 1887 this had increased to 56,261 piculs, and in 1897 to 232,343 piculs. In 1905 the export was 281,294 piculs, viz. 35,331 piculs of camels' wool (entirely for England) and 245,963 piculs of sheep’s wool (mainly to the United States). Balance of Trade An essential part of any study of the foreign trade of China is the consideration of the means by which the balance of indebtedness between China and the outer world is struck. Up to 1895 the Empire had practically no foreign debt. As the result of the war with Japan which ended in that year a foreign debt of over £50,000,000 was incurred ; and the indemnities to be paid to foreign powers in settlement of the military operations necessitated by the Boxer movement ­ of 1900 added to the foreign obligations a further sum of £67,500,000 ; the annual charge for obligations incurred since 1895 is, according to the exchange, between Tls.42,000,000 and Tls.45,000,000. The natural commercial effect on the trade of the country would be to increase the quantity of commodities required to be exported to maintain commercial equilibrium ; but, in fact, the tendency has been in the direction of an increase of imports. Considering mer- 300 THE CHINESE EMPIRE chandise only, passing through the various Custom Houses, imports exceeded exports in 1901 by 27 per cent., in 1902 by 28 per cent, and in 1903 by 31 per cent ; in 1904 the excess increased to 43 per cent., and in 1905 to no less than 97 per cent., but in these two years the greatly increased import trade, apart from any question of increased absorptive ­ power by the people, was largely financed by remittances to maintain the Russian and Japanese armies in the field, rendering the conditions of trade abnormal. The year 1903 must then be taken as the last normal year. Outside the maritime Customs, statistics are unknown in China, and all that can be done in seeking information is to adopt a reasonable working hypothesis, and on it to base a conjecture. ­ With this serious limitation, an attempt * has been made to investigate the different liabilities and assets of international indebtedness as for 1903. Liabilities.—The first is the visible liability of merchandise ­ imported, valued at Tls.310,453,428, to which must be added bullion and coin imported, Tls.37,000,000 ; in the last is included an estimated sum of Tls.10,000,000 brought back in cash in the pockets of returning emigrants, but the treasure movement is obscured by the fact that China must return as foreign all movement to and from Hongkong, the financial centre for South China. Then we have Tls.44,210,000, the annual charge for loans and indemnities for 1903 at the exchange of that year. For invisible liabilities it is estimated that Tls.4,320,000 were spent for the maintenance of Chinese legations, consulates, and students abroad ; and that the net profits of foreign residents, merchants, and others, and of foreign shipping and insurance companies amounted to Tls.22,750,000. A further sum of Tls.5,000,000 is added as the possible value of war material not included in merchandise. The total so estimated is Tls.423,733,428. Assois.— J he merchandise exported was Tls.236,205,162, and bullion and coin Tls.33,046,000, including as before ‘ An Inquiry into the Commercial Liabilities and Assets of China in International Trade,” by H. B. Morse. FOREIGN TRADE 301 shipments to Hongkong. Then there is an item of unrecorded ­ trade across the land frontier, which, on the authority of the Russian statistics of trade with China, must be put at over Tls.20,000,000 excess of exports. The money and material provided from abroad for the development of railways and mines, a future but not a present liability of China, is estimated at Tls.27,000,000. The sums required to be remitted for the maintenance of foreign legations and consulates, foreign garrisons and navies, for the maintenance and repairs of foreign shipping, for the upkeep of foreign missions, hospitals, and schools, and for the expenditure by foreign travellers, were considered ­ in the light of all the information obtainable, and were estimated at Tls.51,500,000. Finally, there remains China’s most important invisible asset, her export of brawn and brains in the emigration of a portion of her redundant population, whether as traders or as laborers, remitting to their homes the fruit of their labor in an annual sum which, on the lowest possible estimate, is Tls.73,000,000. The total assets so estimated amount to Tls.440,741,162. 302 CHAPTER X INTERNAL TRADE China is a continent, mountains and deserts replacing on the west the seas which circumscribe it on the east and south ; and no study of its trade conditions would be complete which was restricted to its maritime traffic. Prior to the application in Europe of the magnetic needle to the mariner’s compass in the twelfth century, the only traders by sea to the land of Sinim were the venturous Arabs ; but centuries before that date the Sérica vestis had reached the West by land transport over the mountains, plateaux* and deserts of Central Asia, through the hundred degrees of longitude which separated the silkworm from the European wearer of its product. These routes were mainly in the north. From the north-east the routes taken in the seventeenth century and those taken to-day by the Russian tea caravans, outflanked the deserts and struck well north until they emerged in what is now Siberia. The main trade routes however struck north-west through the province of Kansu, following those lines which appeared on the school maps of the middle of the nineteenth century with the mysterious designations Tien Shan Pei Lu and Tien Shan Nan Lu, which, being interpreted, mean the Routes North and South, respectively, of the Mountains of Heaven. 1 his is no longer a through trade route. Another such route is that taken to-day in supplying tea and sah to Tibet from Szechwan by Tatsienlu, with an alternative route by Sungpan ; and another is the now unimportant route from Yunnan by Szemao into Burma. I he same enterprise which built up a foreign trade by land, was applied also to the development of internal trade INTERNAL TRADE 303 between provinces of the size of kingdoms, passing by routes many hundreds of miles in length. At times of falling dynasties this traffic would become insecure ; but as each succeeding dynasty became established in power the ways were opened, and a pax Romana allowed the free interchange ­ of commodities between the different parts of the empire. In the competition between the coasting trade by sea and the internal trade, the latter had many advantages, more than compensating for the economic gain from water transport in large bulk. On the internal route there were no “ Rhine Barons ” or others to levy illegal toll, while the danger from bandits was more than counterbalanced by the risk of piracy on the sea ; until less than fifty years ago there was no likin or other tax on transit in general ; and, while generally water transport could be utilised through the whole or the greater part of the distance on most of the routes, the cheapness of human labor minimised the cost of transport by land. By sea, the clumsy junks were at the mercy of the monsoon, making good speed to the north during the summer, and to the south in autumn and winter, but unable to make commercially profitable voyages against the prevailing winds ; while the Custom Houses were established at the seaports alone, and, moreover, ­ taxed all movement, to home as well as to foreign ports, and repeated the tax whenever goods came again under their cognisance, as if all previous levy had been made by alien, as it was by independent authority. There are no records of this internal trade, and its component parts can be studied only by the light of the coasting trade by steamer which to-day has taken its place on many routes. 1 he routes themselves are innumerable, but a selection will be made for description of a few of the most important, viz :— 1. The West River route, west from Canton. 2. Ihe Cheling Pass route, north-west from Canton. 3. Ihe Meiling Pass route, north from Canton. 4. Ihe Min River route, north-west from Foochow 304 THE CHINESE EMPIRE 5. The Lower Yangtze route, as far west as Hupeh and Hunan. 6. The Upper Yangtze route, from Icliang into Szechwan. 7. The Kweichow route. 8. The Han River route, from Hankow into Shensi. 9. The Grand Canal, from Hangchow to Tientsin. 10. The Shansi route. 11. The Kiakhta route. 12. The Manchurian route. I. The West River route from Canton commands the whole of the trade of Kwangsi, and penetrates into Yunnan and Kweichow. At Wuchow the Cassia River provides a water-way, interrupted by rapids but navigable by small boats, to the provincial capital, Kweilin. Farther up, at Tamchow, the route again divides, the river coming in from the north-west providing a route, interrupted by rapids and shallows, but navigable by boats of 15 tons deadweight ­ capacity, and penetrating to the north-western part of Kwangsi and, via Liuchow and Kingyuan, into Kweichow. The southern of the two branches at TamchoW continues the name of West River until, some 30 miles above Nanning, it divides into the Left Branch continuing west to Lungchow, and the Right Branch leading northwest ­ to Poseh : to these points boats of 25 tons deadweight ­ capacity can safely pass the rapids. From Poseh runs the main trade route for traffic by pack-animal into western and central Yunnan. There are no statistics of the Chinese produce brought down and sent inland, and the only gauge of the volume of traffic on this route is in the quantity oí foreign goods sent inland under transit pass, which, from Canton and Wuchow in 1903, was as follows :— No. of Passes. To Kwangsi . 22,275 ,, Kweichow ,. ., 83,228 ,F Yunnan .. 5,114 Value of Goods* Tls. 860,803 4,856,903 340,086 - INTERNAL TRADE 3^5 Before the development of traffic by Mengtsz the Yunnan trade by the West River route was very much greater than at the present time. From Yunnan and Kweichow comes opium, and the tin of Yunnan, which now finds its outlet by Mengtsz, formerly followed this route. Great rafts of timber are floated down from the mountains of northwestern ­ Kwangsi. 2. The Cheling Pass route follows the North River up from Canton, and a branch which falls into it from the north-west at Shaochow ; thence by porters over the pass to the water-ways of Hunan. This pass, of less than 1,500 feet altitude, offers but slight impediment to the sturdy coolies of South China ; but the surveys of the American engineers, prospecting for the line of the Hankow-Canton railway, have revealed the fact that the true pass is not on the line of the old highway, and that for many centuries millions of tons of merchandise passing over this route have been laboriously carried on men’s shoulders to a height 150 feet higher than nature demanded. The water-ways of Hunan are reached at Chenchow, on an affluent of the Siang River, and thence traffic passes by small boats down into the Siang. At Siangtan, once a place of great importance ­ with a population estimated at 700,000, transhipment was ordinarily effected into the larger deep-draft junks plying down the Siang and into the Yangtze. Descending the Siang, the traffic then reached the Tungting Lake, a lake in summer with vast uncharted shoals, but in winter a congeries of wide and shallow channels meandering between broad islands of alluvial deposit, and neither in summer nor in winter available for commercial use. The main stream of traffic skirted the eastern side of the lake and, entering the Yangtze at Yochow, descended that stream 125 miles north-east to Hankow. The lesser part of the traffic passed through the crooked channels of the alluvial delta of the Siang and the Yuan, forming the south shore of the lake, and then, skirting the western shore, passed into the Yangtze near Shasi by the canals which were the work of the Great Yfi in times long gone by ; thence the Yangtze THE CHINESE EMPIRE 306 furnished a route west into Szechwan. By the Cheling Pass route came the teas of Hunan and Hupeh for shipment abroad from Canton in the old factory days, and a conservative ­ trade calls those teas to-day, in the land of their origin, by the old-time Cantonese names Oonam and Oopack (Hunan and Hupeh). By this route, too, passed an enormous traffic, of which to-day the only remnant is the amount required for local trade by the way. Not a single package is now carried through between Canton and Hankow, for, even in this land of cheap transport, the cheapness and security offered by steam carriage have prevailed, and this trade now passes around, via Shanghai, by the sea and the Yangtze. The railway taking the Cheling Pass route from Canton by Hankow to Peking will adhere closely to the air line between the two termini. 3. The Meiling Pass route follows the North River up from Canton, and at Shaochow goes north-east to the Meiling (Plum Ridge) Pass. This ridge has an elevation of 2,000 feet, and the route is through a notch, at an altitude of only 1,000 feet, over which a land portage of 24 miles carries the trader to the waters of the Kan River. This river has the ordinary winter shallows of a stream running through a deforested country, but has few dangerous rapids ; and it leads through the channels of the shallow Poyang Lake into the Yangtze near Kiukiang. By this route passed, in the old factory days, the teas of Kiangsi and Anhwei ; and by this route passed then, and passes now, the porcelain of Kingtehchen. The porcelain of to-day, however, consists of plain ware sent to Canton to be painted with the florid and multicolored designs peculiar to that market. A curious instance of the conservatism of Chinese trade was shown in 1^03. In that year, in the general search for additional sources of revenue, an increase was made in the rate of likin levied at Canton on porcelain from Kiangsi. The trade resented this ; but, instead of resorting to steam traffic by the Yangtze and the sea, and thereby escaping the likin levied on the inland route, the traders adopted the time-honored Chinese method of cessation of all business INTERNAL TRADE 3<>7 until their grievance was removed, and the export of porcelain ­ from Canton, from an average of 105,142 piculs in the two preceding years, fell to 5g,010 piculs in 1904. The Meiling is the route taken for centuries by Chinese officials proceeding to their posts in the south, and was followed by the various foreign embassies going to Peking in the seventeenth ­ and eighteenth centuries ; and its continued use as a trade route to-day is due to the short length of land portage and the slight rise over the pass. 4. The Min River route serves mainly its own province, Fukien. The Min, emptying into the sea at Foochow, waters with its ramifications the greater part of the province ­ ; but its chief interest for us lies in the fact that the teas of Kiangsi, following this route, found their way to Foochow in the interval after Canton lost its monopoly of foreign trade, and before Hankow established its firm grasp on the market for teas from the Yangtze basin. Down this river come to-day the rafts of timber from the mountains in, and on the western border of, Fukien, and the paper made from their forests and bamboo groves. 5. The Lower Yangtze is to-day, except for wayside traffic, given up to steam. From Shanghai to Hankow the winter provides a way for river steamers of from one to two thousand tons register, while in summer full-sized ocean steamers proceed to Hankow, and at least two battleships of 12,000 tons have ascended the river to that point. The myriads of junks of former days, whose sails of matting reflected the sun in golden patches, have yielded the main thoroughfare to their quicker and handier rivals, and have been driven to the byways of trade ; but to this general statement there are some exceptions. Salt, owing to the government connection with the traffic, continues to go solely by junk ; and steamer preponderance is manifest only as far up the river as Hankow. The Hunan trade with Hankow has not yet taken to steam ; the huge timber rafts continue to float down to Hankow and below ; the coal continues to come to Hankow in roughly constructed barges, which are there broken up ; and the tea and rice 3o8 THE CHINESE EMPIRE continue to be carried in the old-time junks, which take back from Hankow their freights of the products of foreign countries and of the southern provinces. Nor on the Middle Yangtze, from Hankow to Icliang, has steam entirely conquered. The trade of central Hupeh, which, if steamerborne, would pass through the port of Shasi, continues to follow the canals which subtend the arc formed there by the Yangtze ; and the traffic of West China continues to pass over this portion of the route in as great volume by junk as by steamer. The trade by the Yangtze route may be gauged by the figures for the value of the net import and original export by steamer alone at the ports from Chinkiang up, which in 1905 were as follows :— Tls. Net Imports 129,407,753 Original Exports 118,104,228 Total .. .. 247,511,981 A moderate estimate for the junk trade would carry this total well over Tls.300,000,000. 6. The Upper Yangtze route is one continuous struggle of man against the forces of nature. The Yangtze, flowing for the upper two-thirds of its course through a valley nowhere wider than the river bed,* emerges from this narrow channel at Ichang after passing the famous Yangtze Gorges. The flow of the river past Ichang is 560,000 cubic feet per second as an average for the whole year round and this volume of water, in passing through the Ichang Gorge, flows through a channel contracted to a width nowhere exceeding 250 yards and in places diminished to 100 yards, hemmed in by precipitous cliffs on either hand i in the bengsiang (Wind-box) Gorge, 100 miles farther up stream, the channel is even more restricted and the cliffs more precipitous. The average speed of the current throughout the year is not less than five knots an hour, * “ The Far East," by Archibald Little. INTERNAL TRADE 3°9 and at times, especially during the summer floods, and in places, this speed rises to twelve knots and even more. The swift current drives the boatmen to tracking on their upward journey, and the trackers find but scanty foothold on the steep hill sides, and in many places are driven to follow paths which are little more than goat tracks, traced on the sides of the cliffs, up to a hundred feet or more above the level of the water. This is the least of their difficulties. From the upper end of the Ichang Gorge toFengtu, a distance of 300 miles, the river is strewn with rapids, full forty being considered worthy of enumeration in that distance, not including mere whirlpools and races. Of the difficulties apart from the rapids the following episode, occurring before the lowest rapid was reached, furnishes an illustration. “ October 6th. The boats under way 6 a.m., tracking up the right bank. At 8.30 a.m. the tracking-line of No. i boat broke, and in less than fifteen minutes we had drifted back nearly to last night’s anchorage.” * The tracking-lines are made of long strips of bamboo plaited together into a cable as thick as a man’s arm. Of the ascent of the rapids Mr. Hobson says— “ More dangerous navigation it is impossible to conceive ; double tracking-lines having been paid out, extra breastlines provided, and extra trackers engaged, we started from under the lee of the rocks, outside which the mighty torrent poured. Inch by inch only did the boats advance, until by nightfall we reached the shelter of a small bay beyond.” At several rapids he records that the trackers of three boats were put on to haul one. From Mr. Little’s account t we gather some illuminating sentences describing the difficulty. “ We had a tough job to get round the point which forms the western limit of the gorge, the boatmen clinging on to the crevices in the rock, with long bamboos armed with small steel hooks. . . . Half * “ Ichang to Chungking,” 1890, by H. E. Hobson, t “ Through the Yangtze Gorges,” by Archibald J. Little. 3 ro THE CHINESE EMPIRE of our crew then drag the boat by main force around the point, those remaining on board fending her off the rocks, the water meanwhile boiling and foaming under the bows and threatening to swamp her. . . • The hookers have to be mighty careful never to lose their hold, as that involves drifting back into the current . . . losing in a minute or two the fruits of hours of work. . . . The boat heeled over, threatening to capsize on the instant ; fortunately our trackers promptly cast off the tow-line in the nick of time, and we incurred no other danger than being swept violently down-stream in the eight-knot current.” The stream thus characterised furnishes the only water outlet for the trade of one of the richest provinces of China, the alternative routes being mountain roads over a much accidented country intersected by deep ravines, feasible only for light packages carried on men’s shoulders. By this route the traffic is carried in junks of varying size. The largest are of a dead-weight carrying capacity of 60 to 7° tons, with a regular crew of 24 and a force of 85 trackers (re-enforced at the worst rapids), engaged for the upward voyage ; junks of medium size carry 30 to 40 tons, with a crew of 18, and 45 trackers ; small junks carry 14 to 20 tons, with a crew of 10 and 20 trackers. The upward journey takes about four weeks at the most favorable season, while in the summer, against the full strength of the Yangtze in flood, the voyage may be extended to three or even four months : under the most favorable conditions ­ the average rate of progress does not exceed l5 miles a day, and it may fall as low as 3 miles a day through the whole of the course of 420 miles from Ichang to Chungking. It is on the upward journey that most of the accidents occur, and full a tenth of the junks arriving at Chungking arrive with their cargo more or less damaged by waterwhile total loss is not uncommon. Down stream sails are furled and masts struck, and the junks, driven by oars to give sufficient speed for steerage way, are taken down in charge of the skilled pilots working the route, and seldom INTERNAL TRADE 3H meet with accident : the downward journey may take from three or four days to a week. By this route merchants may elect to pass their goods through the maritime Customs or to pay likin on the way, each offering certain advantages for Chinese produce upward or downward. In 1905 the value of the trade passing the maritime Customs was, upward Tls.16,562,371, downward Tls. 11,169,256, total Tls.27,731,627 ; a fair allowance for the goods passing the likin offices would bring the total value of the waterborne ­ traffic of Szechwan to Tls.40,000,000. 7. The Kweichow route up the Yuan River from Changteh and the Tungting Lake, is barred by numerous rapids and available only for small boats. The downward traffic consists of timber, opium, and mining products ; the officially declared value of the timber is Tls.6,000,000 a year, from which, in China, a true value of Tls.10,000,000 and more may be inferred. The upward traffic is not great. The only index to its volume is the value of the foreign goods sent under transit pass from Hankow into Kweichow, valued in 1904 at Tls. 1,207,695, and in 1905 at Tls.835,277 ; by other routes in 1905 Kweichow received ­ foreign goods under transit pass to the value of Tls.4,856,903 by the West River, Tls.598,432 from Mengtsz, and Tls.30,636 from Tengyueh by land route crossing the whole width of Yunnan. 8. The Han River route from Hankow into Shensi presents few difficulties to navigation, beyond the gradually diminishing depth of water, as far up as Sichwanting in the south-west corner of Honan, and for small boats as far as Shangnan in Shensi, a distance of 1,730 li (nominally 575 miles) from Hankow. From that point, land transport for 320 li (nominally 100 miles) over the rugged Tsingling mountains, carries goods to Sianfu, the capital of Shensi. Beyond Sianfu land transport alone is available to other parts of the province, and on to Kansu, Mongolia, and Siberia. Tea, less in amount than by Tientsin and Kiakhta but still in considerable quantity, goes by this route overland ­ to Russia ; the quantity fluctuates, and has been 312 THE CHINESE EMPIRE small in the past few years, but in 1896 was valued at Tls.1,617,401, and in 1900 at Tls.1,032,471 ; in the former year the greater part was tea leaf, 78,297 piculs, and in the latter year brick tea, 70,905 piculs. The foreign goods going from Hankow under transit pass in 1905 Into Shensi were valued at Tls.825,540, and into Kansu at Tls.26,319. 9. The Grand Canal furnishes an inland water route from Hangchow to Tientsin, a distance of 900 miles, cutting through the flat alluvial plains and intersecting the provinces of Chekiang, Kiangsu, Shantung, and Chihli. The oldest section, from the Yangtze to the Hwai, was opened for traffic B.c. 486, and is therefore 2,400 years old. The next section to be made was that from the Yangtze at Chinkiang to Hangchow, which was constructed between a.d. 6o5 and 617, and this section was much improved by the Southern Sung Emperors, who had their capital at Hangchow. ­ Kublai Khan (a.d. 1260-1295), besides beginning (but not completing) the canal from Kiaochow intended to cut off the mountain mass of Shantung, improved, deepened, straightened, widened, and extended the Grand Canal under the supervision of the famous mathematician Kwo Show-king as engineer ; by him, the capital having for the first time been established at Peking, the water-way was extended to the north from the then course of the Yellow River, where it was joined by the Grand Canal at Tsingkiangpu, over the summit level skirting the higher land of Shantung, until it joined the Wei River, which, improved, became then the Grand Canal to Tientsin-Succeeding Emperors of the Ming and Tsing Dynasties, until within the past fifty years of material national decadence, ­ have spared no effort to maintain the canal as a navigable water-way ; even when, in 1853, the Yellow River took its last plunge to the north-east and cut the canal farther to the north, the crisis was met and the intersection of the two streams duly provided for. Starting from Hangchow the canal goes by Kashing to Soochow, a distance of 100 miles, and thence by Wusih and Changchow through w a, Ti >1 i * * ■ r ——P Bridge over Grand Canal at Wusih Grand Canal passing through Wusih INTERNAL TRADE 3%3 long straight stretches to Chinkiang, another ioo miles. It is here unlike our preconceived ideas of a canal a currentless ­ water-way barely wide enough to allow two streams of boats to pass each other—and has often a width of over a hundred feet between its sides, faced in many parts of its course with cut stone bunding. Many of its picturesque accessories were destroyed by the Vandals of China, the Taiping rebels, but much still remains to attest its past magnificence ; here and there are fine stone bridges spanning the main canal, some with their three arches, graceful to an extreme, others with a single arch, lofty and imposing, and well adapted for a country with no wheeled traffic ; along the banks are numerous specimens of single-span hump-backed bridges by which the tow-path is carried over side canals connecting with the system of canals which intersect the country for many miles ; and from the canal are to be seen on both sides many memorial arches of stone and lofty tapering pagodas. In these 200 miles there is no difference of level, and therefore no locks ; and after all these years of neglect there is everywhere a safe depth of 5 feet of water at the lowest stage, the depth at the Hangchow end being ordinarily 7 feet at low-water stage, rising after prolonged rains ton and at times to 13 and more feet ; only at Tanyang, some 20 miles south from Chinkiang, the depth is frequently too little for the larger boats during the season of low water. In this section boats up to 40 tons dead-weight capacity ply regularly. At Chinkiang the traffic crosses the Yangtze and enters the oldest section of the canal, which, passing Yangchow, goes to Tsingkiangpu, 130 miles from Chinkiang ; in this section there is a constant depth of water sufficient for boats of 30 to 40 tons capacity. Of this part of the country it is that Mr. Parker says :— “ The Chinese engineers who manipulate the complicated system of lakes and levels forming the network about the Grand Canal and Hungtseh Marsh, are almost as expert in an empirical sense as the wary Dutchmen who keep an ever-watchful eye 314 THE CHINESE EMPIRE on the Zuider Zee and the intricate system of Netherlands dykes. The supply of water and the sacrifice of land are carefully measured and jealously watched with a view to keeping open the canal and preventing disasters of great magnitude." The next section is the worst : it starts from Tsingkiangpd and, passing Tsining, debouches on the present course o* the Yellow River near Tungping, full 450 miles from Chinkiang. This section was made by improving and connecting existing rivers, and follows all their original meandering^-Though the country is flat, there are still some differences of level—of 20 or 30 feet at most—and these are provided for, not by locks, which do not exist in China, but by barrages across the canal, over which the boats, aft# discharging their cargo, are hauled by windlasses. Th e whole of this part is much neglected and silted up, and lS only available generally for navigation during the summ#' and even then is generally traversed only by the tribute rice boats which go together in fleets. North of the Yell#*' River the newest part of the canal—made by Kublai Khan-^ continues until it strikes the Wei River, cut in places to a depth 60 or 70 feet below the level of the surrounding country, and prolongs the route for another 250 miles t° its northern end at Tientsin ; water transport continu# for another 120 miles by the winding course of the Peih° to Tungchow, and thence, for tribute rice only, for 13 mil# by an artificial canal to the government granaries on th e eastern side of Peking. This is the Grand Canal, fr 0lïl Hangchow by Chinkiang to Tientsin, and thence to Peking’ a main artery of trade traversing a network of water-way 5 which provide means of transport for a country incredibly rich in material resources. No estimate can be former of the number of millions in which the value of the tra$ c on its surface must be stated ; its chief value to the empl re lies in the fact that it provides a safe inland route fo f a thousand miles from south to north in a country in which' in the past, time has had no value, and that thereby trad e was enabled to escape the perils of the sea passage. O* 10 t L A A ¿ - t-A side canal off the Grand Canal. INTERNAL TRADE 315 small indication of the extent of traffic is found in the value of the transit pass trade with Shantung passing the Chinkiang Customs, traversing a distance along the Grand Canal of 250 miles, a part of it the worst portion of the route, to the nearest markets in Shantung, valued in 1904 at Tls.3,646,000, and in 1905 at Tls.3,331,000. 10. The Shansi route is mentioned to illustrate the medieval conditions prevailing in China wherever transport by water is not available. The province may be described either as an accidented plateau or an unaccidented mountain ­ region, with a steep escarpment on the east, where it rises some 4,000 feet from the plain of Chihli. The route followed by the railway in course of construction from Chentow, near Chengtingfu, in Chihli, to Taiyuanfu, the capital of Shansi, affords the direct route from the lowland into the heart of the province ; but this is what may be termed an express package route, short and direct, but too difficult for ordinary purposes of trade. When the great famine of 1877, which more than decimated the province, made it necessary to send supplies of food to Shansi, this route was naturally selected to meet the urgency of the case ; and the result was visible in the piles of grain in bags, the broken carts, and the foundered mules which strewed the road leading up to the plateau. Another route available ­ for access to Shansi passes from Kaifeng in Honan up the valley of the Yellow River to the south-western corner of Shansi, thence up the valley of the Fenho toward Taiyuanfu ; neither the Yellow River nor its tributaries are generally navigable, and this circuitous route is in the main available only for land transport. A third route, and the one generally adopted for the transport of merchandise ­ into Shansi, follows in its beginning the next route to be mentioned, the Kiakhta route, leaving it at Kalgan (Changkiakow), entering Shansi at its northern end, and preceeding by Tatungfu south to Taiyuanfu. The length of land transport from the nearest navigable water-way by this route is not less than 400 miles, and by the road from Chengtingfu is only 150 miles, yet this 3i6 THE CHINESE EMPIRE is the best and cheapest and the most frequented route into Shansi. 11. The Kiakhta route is, and has been for more than two centuries, one of the most important trade routes # the Empire. North of the Yangtze communication from east to west is blocked by steep mountain slopes, the Yellow River acts as a barrier to trade, and north of the Yellow River the elevated mass of Shansi interposes a further barrier. It is only when the elevated but generally traversable ­ plains of Mongolia are reached, that a way is found available for traffic from the eastern shore to the extreme west. The main route from Tienstin and Peking goes by Kalgan across Mongolia to Kiakhta, and, branching off at Kalgan, the traffic goes also west to Shensi, and, farther west, to Kansu ; camels and mule carts furnish the mean* of transport. By this route goes the caravan tea for Russ# and brick tea for Siberia, and by this route and its branches Mongolia, Shansi, northern Shensi, and Kansu obtain their supplies and forward their products, making Tientsin the shipping port for a hinterland extending considerably over a thousand miles to the west and north-west. Statistic 5 give us but a slight indication of the volume of this traffic burdened by the cost of land transport over long distances, but a few items may be noted. In 1905 tea with a weight of 357,265 piculs, valued at Tls.2,861,660, crossed the Mongolian frontier by this route ; and in the san# year foreign products were forwarded from Tientsin, under transit pass, to Shansi valued at Tls.5,664,950, to Shei# 1 Tls.74,509, to Kansu and Turkestan Tls.679,575, and Mongolia Tls.217,300. Certain articles of Chinese prodn ce shipped from Tientsin can be identified as probably originating in Mongolia or in Kansu ; among these afe wool (of camel, goat, and sheep), of which the Tients# export in 1905 was 186,918 piculs valued at Tls.3,326,00 0 ' and skins (goat and sheep), valued at Tls.3,725,000. 12. The Manchurian route is important for the future» as soon as peace conditions shall have been fully restore because of the construction of the railway from lall el1 INTERNAL TRADE 3%7 (Tairen or Dalny) to Harbin, and thence east to Vladivostock and north-west into Russian territory ; and by this railway in 1903 went 378,739 piculs of Chinese tea. My present concern is, however, with the internal trade of China. This route, proceeding east from Peking and north-east from Tientsin, passes through the narrow defile between the mountains and the sea at Shanhaikwan, where the Great Wall ends on the shore, and then goes on to Ningyuan, where three hundred years ago, the Manchu invaders met their only serious check. By this route came the Manchus, and by this route have come tribute and ginseng from Korea, until, twelve years ago, the tribute ceased. With the development of steam traffic trade between Chihli and Manchuria by this portal fell away, until the exigencies of war shut out the merchants of Newchwang from their hinterland ­ and drove its trade temporarily to Tientsin, from which port the foreign goods sent by railway into Manchuria under transit pass in 1905 were valued at Tls.4,925,000. From Newchwang the Liao River in summer and the frozen plain of Manchuria in winter furnish the means of distributing a trade which, import and export, was in 1905 valued at more than Tls.70,000,000. These are the principal internal trade routes of the Chinese Empire, thronged with boats or with the carts and pack-animals engaged in the interchange of commodities between a race of traders developed through the course of many centuries. By these routes comes the Chinese produce intended for export from the shipping ports, and by these routes foreign products are distributed for consumption in the marts of the interior ; but there are no statistics to show the volume of the enormous traffic which originates and ends within the limits of the Empire. Some slight indication is given by the quantities of a few articles of the purely domestic trade conveyed by the steamers which, on some routes, have now displaced, wholly or partially, the old primitive means of conveyance ; and a few brief notes are given on the more important commodities. Rice, shipped from producing to non-producing, from 319 THE CHINESE EMPIRE agricultural to industrial districts, has always been an important item in the domestic trade of China, shipment to foreign countries being prohibited. From Hunan it is estimated that an average annual surplus of 1,000,000 piculs are available for shipment to Hankow. Anhwei is the principal rice-field of the Empire, and from its port, Wuhu, were shipped 5,621,143 piculs in 1904., and 8,438,093 piculs in 1905. From Chinkiang the export in 1905 was 619,190 piculs, and from Shanghai 1,706,845 piculs. Of these shipments 2,804,164 piculs were sent to Tientsin, 1,553,994 piculs being tribute rice and the rest in merchants hands, and 1,337,479 piculs to Chefoo ; except some small shipments to other southern ports, the balance went to the industrial centres of Kwangtung, in addition to 2,227,916 piculs of foreign rice, to supplement the produce of the rich rice fields of that province. Beans were shipped in 1903 (much of the trade was diverted from Manchuria during the Russo-Japanese war) to the extent of 3,423,766 piculs from Newchwang, 1,928,543 piculs from Hankow, 404,063 piculs from Chinkiang, and enough from other ports to make a total of 6,327,080 piculs : of this quantity 1,836,707 piculs were shipped to Japan, some 72,000 piculs to other foreign destinations, and the balance, except 590,000 piculs for Amoy, went to the Kwangtung ports, Canton and Swatow. In the same year Bean-cake was shipped, 4,553,367 piculs from Newchwang» 1,192,948 piculs from Chefoo, 583,095 piculs from Hankow, 4 2 3,447 piculs from Chinkiang, with total shipments of 7,030,325 piculs ; of this quantity 3,400,444 piculs went to Japan, and the balance, except 731,161 piculs for Amoy, went to Kwangtung. Coal shipments in 1905 amounted to 193,759 tons from Tientsin and Chingwangtao, 16,887 tons from KiaochoW, 5,793 tons from Chungking, and 72,422 tons from HankoW, with a total of 290,477 tons. Of this 10,384 tons were shipped to Hongkong and Indo-China, 120,766 tons to Shanghai, and the balance to other Chinese ports, chiefly Chefoo, Wuhu, and Chinkiang. INTERNAL TRADE 3ï$ Cotton hand-woven cloth was shipped by steamer in 1905 to the extent of 229,609 piculs, equivalent to about 100,000,000 square yards, of which 189,649 piculs originated in Shanghai. This went pretty much to every place where there are Chinese, the largest proportion to Manchuria, but 32,116 piculs to the Chinese colonies in foreign parts. In igoqNewchwang imported in addition 82,667 piculs by junk. Ground-nuts were shipped to the extent of 183,601 piculs from Tientsin, 109,042 piculs from Chefoo, 79,726 piculs from Hankow, and 489,353 piculs from Chinkiang, with total shipments of 978,519 piculs ; of this quantity 24,600 piculs went to foreign countries,and 912,555 piculs to Canton. Hemp, Jute, and Ramie shipments amounted to 365,988 piculs, of which 153,005 piculs came from Hankow and 113,634 piculs from Kiukiang ; 134,002 piculs went to Japan and 128,441 piculs to other foreign countries, leaving 103,545 piculs for home consumption. Medicines of the Chinese pharmacopoeia were shipped to a value of Tls.1,082,247 from Chungking, Tls.1,050,853 from Hankow (much of it the product of Szechwan, coming by junk), with a total of Tls.4,854,835, which was distributed ­ to every part of China, Tls.1,875,825 going to Hongkong for the Chinese there and in other parts of the outside world. Musk comes chiefly from Tibet via Chungking, but 6,400 ounces reached its market in 1905 through Tientsin, in a total supply of 60,885 ounces. Of this, 29,717 ounces went to foreign countries, leaving an equal quantity for the delectation of Chinese nostrils. Oil expressed from beans, ground-nuts, and the seeds of the Camellia oleifera and the Aleurites cordata, provides the Chinese housekeeper with fat for cooking and for illumination. Shipments in 1905 amounted to 1,030,701 piculs, of which 33,373 piculs (116,498 piculs in 1903) came from Newchwang, 168,333 piculs from Kiaochow, 419,444 piculs from Hankow, 171,310 piculs from Chinkiang, and 148,915 piculs from Shanghai. It was imported into every port where it is not produced. 320" r THE CHINESE EMPIRE Oil-seeds were shipped in 1905 to the extent of 1,581,5*4 piculs. Cotton-seed supplied 657,379 piculs, the entire amount going to Japan. Rape-seed shipments in 1902 were 223,149 piculs, but in 1905 only 28,919 piculs, the greater part going to Japan. Sesamum-seed was 895,216 piculs, of which 379,530 piculs went to Europe, chiefly to Germany, 39,911 piculs to Egypt, and 125,474 piculs to Japan ; ^ ie balance of shipments remaining for home consumption amounted to 320,000 piculs. Silk in its raw state, when not exported to foreign countries, is generally woven in the producing district. Of silk piece goods the shipments in 1905 amounted to 26,926 piculs, valued at Tls.19,747,539. Of this 9,793 piculs went to Hongkong for further distribution, and 2,597 piculs to other foreign ports, leaving 14,536 piculs, valued at Tls.10,849,912, for home consumption in other than the original producing districts. Sugar was shipped to the extent of 1,481,524 piculs, almost entirely from Kwangtung ports, and found its market in the Yangtze and northern ports. This was in addition to 4,156,663 piculs imported from abroad. Vegetable tallow, expressed from the seeds of the Stilling sebifera, was shipped, almost entirely from Hankow, to the extent of 167,160 piculs. Of this 67,277 piculs were Shipps abroad, chiefly to Italy, leaving 100,000 piculs for hoiU e consumption. Tobacco, leaf or prepared and cut, was shipped to the amount of 529,253 piculs, of which 216,704 piculs came fro# Hankow, 98,522 piculs from Kiukiang, and 182,346 picuh from Kwangtung ports, and it goes wherever there a# Chinese. This was in addition to cigarettes, Chinese made* valued at Tls. 1,667,698, shipped coastwise, and cigarette*» valued at Tls.4,427,171, and cigars, worth Tls.381,466, i#' ported from foreign countries. Railways This volume deals with the past and the present, a#6 not with the future, but a few words must be said on th e INTERNAL TRADE 321 traffic by railway. The railways completed or actually under construction on Chinese soil at the end of 1906 were as follows :— Province through which passing. Manchuria Chihli Manchuria Chihli Chihli Mongolia Chihli Honan Hupeh Honan Chihli Shansi Honan Shantung Kiangsu Chekiang Kiangsi Hunan Kwangtung I Kwangtung Hunan Hupeh Yunnan ! Points served. (Irkutsk), Manchuli, Harbin, Pogranichnaia, (Vladivostock) Harbin, Kwanchengtze Kwanchengtze, Moukden, Sinminfu, Liaoyang, Newchwang, Talien, Port Arthur Moukden, Antung .. .. * ’ Kowpangtze, Sinminfu .. Peking, Tientsin, Chinwangtao, Kowpangtze, Newchwang Peking, Tungchow Peking, Kalgan Peking, Paotingfu, Chengting, Weihwei, Chengchow, Hankow I aokow, Weihwei, Tsinghwa Chengting, Taiyuanfu Kaifeng, Chengchow, Honanfu . . Tsingtau, Tsinan, Poshan Hwangtaikiao, Lokow Shanghai, Soochow, Chinkiang, Nanking Hangchow city, Hangchow settlement ­ Pingsiang, Chüchow Swatow, Chaochowfu Kungyik, Sunning, Samkahoi ! ! Canton, Samsliui Canton, Chüchow, Changsha, Hankow ­ Hokow, Mengtsz, Yunnanfu Total .. Length in miles. Completed. ­ Under construction ­ 925 HZ 481 70 600 13 33 754 93 87 41 270 4 9C 64 25 30 19 3,746 36 187 92 68 75 m3 3 55 720 273 1,622 The Chinese people have taken very kindly to railways, 322 THE CHINESE EMPIRE and the passenger traffic is already considerable. The development of goods traffic is a subject for future investigation. ­ At Tientsin, not including steamer cargoes coming from and going to Tangku and Chinwangtao, the trade with the interior carried by railway in 1905 was valued at Tls.51,500,000 ; in the same year the Tientsin trade by the Grand Canal was valued at Tls.21,000,000, and that between Tientsin and Paoting by the (Chihli) West River at Tls.23,500,000. The line from Tsingtau to Tsinan in Shantung carried 303,000 tons of merchandise and 795,°°° passengers during 1905. At Hankow, in the same year, a sum was collected for likin on goods carried by rail, which, capitalised, represents a value of Tls.6,000,000 for merchandise ­ carried over a road which was not a trade route in the past. These are indications that even of stagnating China it may be said e pur si muove. CHAPTER XI OPIUM Opium presents a thorny subject to handle for any writer. If he is a partisan of the opium trade, his tendency is strong to leave the ground with which he may be familiar, that of commercial dealings and statistics, and to try to demonstrate the innocuousness of the drug as smoked by the Chinese—, to compare it to the relatively harmless ante-prandial glass of sherry. If his mission is to denounce the opium traffic, he invariably seems impelled, by an irresistible inclination, to leave the high moral ground on which he is unassailable, and descend into the arena of facts and figures, with which he is not likely to be so familiar, and among which his predisposition ­ will lead him to pass by or to misinterpret those which make against his case. The writer who tries to investigate the facts with no predisposition to either side, is likely to find himself branded as a trimmer by the one party and a Laodicean by the other, with no opportunity to defend himself. This chapter falls into the third category, and an attempt will be made to present the general facts of the history of opium in China, in such a way that either party, by judicious selection of passages, may find arguments with which to confute its opponents. There will be no attempt to elucidate the really vital point in the opium question, the moral aspect pure and simple. The Poppy * Previous to the Tang Dynasty (a.d. 618) the poppy was apparently unknown to the Chinese botanists and physicians. * “The Poppy in China,” by J. Edkins. - - 3 2 3 324 THE CHINESE EMPIRE The first mention in literature is in the “ Supplementary Herbalist ” of Chen Tsang-chi, an author writing in the first half of the eighth century, who quotes from an earlier lost writer, Sung Yang-tze, a statement that “ the poppy has four petals, white or red. . . . The seeds are in a bag (capsule described) . . . being like those of millet." At this time the Arabs had been trading with China for a full century. The second reference is in the “ Book on the Culture of Trees " by Kwo To-to, a writer of the latter part of the eighth century living in the inland province of Shensi. The poet Yung Tao, a resident of Szechwan in the closing years of the Tang Dynasty (ended 906), wrote a poem describing the poppy growing in the plains near his home. Medicinal Use In the “ Herbalist’s Treasury," composed by order of the Emperor by a commission of nine in 973, is a reference to the medicinal use of the poppy : “ Its seeds have healing power. When men . . . they may be benefited by mixing these seeds with bamboo juice boiled into gruel, and taking the mixture." About the same period the poet Su Tung-po says in one of his poems, “ the boy may prepare for you the broth of the poppy." His brother Su Che wrote “ A Poem on the cultivation of the medicinal plant Poppy," in which lie says : “ I built a house on the west of the city. . . . The gardener came to me to say ‘ The poppy is a good plant to have.’ ... Its seeds are like autumn millet ; when ground they yield a sap like cow’s milk ; when boiled they become a drink fit for Buddha-Old men whose powers have decayed . . . should take this drink. Use a willow mallet and a stone basin t° bruise ; boil in water that has been sweetened with honey-(When depressed) then I have but to drink a cup °f this poppy-seed decoction. I laugh and am happy. * have come to Yingchwan (his later home) and am wandering on the banks of its river. I seem to be climbing the slop eS of Mount Lu (home of his boyhood) in the far west." l n the Herbalist of Su Sung, prepared by order of the Emperor OPIUM 325 about the year 1057, it is stated that “ the poppy is found everywhere. . . . There are two kinds, one with red flowers, one with white. . . . When the capsules have become dry and yellow, they may be plucked. ... In cases of nausea it will be found serviceable to administer a decoction of poppy-seeds made in the following way. . ." A medical writer, Lin Hung, probably of the twelfth century, makes the first reference to the use of the capsules, which contain the juice from which opium is prepared. He directs that the entire poppy head be taken, washed, and the juice pressed out and filtered, and then boiled and afterward steamed : the residue may then be taken out and “ made up into cakes shaped like a fish." The result of this process is opium, mixed with the impurity of the vegetable substance of the capsule. Three other writers of the same period, Yang Shih-ying, Wang Chiu, and Wang Shih, refer explicitly to the merits of the poppy capsule in curing dysentery. Three writers on medical subjects of the thirteenth century, Liu Ho-kien, Li Kao, and Wei I-lin, and one of the fourteenth century, Chu Chen-heng, also describe the mode of preparing the “ fishcake ­ ’’ paste from the capsule and its use in the pharmacopoeia. ­ The last-named states “ it is used also for diarrhoea and dysentery accompanied by local inflammation ; though its effects are quick, great care must be taken in using it, because it kills like a knife." The first reference to scoring the fresh capsule in situ to obtain the inspissated juice, which by manipulation becomes opium, is in the writings of Wang Hi, who died in 1488 ; he says, “ Opium is produced in Arabia from poppies with red flowers . . . after the flower has faded the capsule while still fresh is pricked for the juice." Wang Hi was Governor for twenty years of the province of Kansu, where he would come in contact with Mohammedans, ­ from whom he could learn of Arab arts and industries. ­ In the “ Eastern Treasury of Medicine," a Korean work of the same period, is given an exact account of the method of scoring the capsule, gathering the exuded THE CHINESE EMPIRE 326 sap, and drying it in the sun, much as practised to-day ; and there can be little doubt that the preparation of opium was introduced into China through Arab channels by the end of the fifteenth century. The “ Introduction to Medicine ” of Li Ting, in the middle of the sixteenth century, gives an exact account of the method of preparing opium, under the name A-fu-yung. The Arabs, in taking the Greek name opium ottiov), transformed it into afyiin. In China the provinces along the coast have transliterated the name opium into ya-pien, by which the drug is generally known ; but in the inland province of Yunnan, where the Mohammedan influence has always been strong, and the Mohammedan population predominated up to the Panthay rebellion (1867) and the resultant massacres, opium of indigenous production is to this day referred to in official documents, tax receipts, etc., as fu-yung, which, except as a truncated form of a-fu-yung, is unintelligible in Chinese. Opium Smoking It may be said broadly that, while all other opiumusing ­ peoples take it by the mouth and stomach, the Chinese alone smoke it. Opium smoking came in through tobacco smoking. As we have seen (Chapter IX.*) the Spanish occupied the Philippines from the west in 1543, and made their first attempt to trade with China in 1575 ; thereafter they left the development of the trade between China and Manila entirely to the Chinese. Through the Philippines the American narcotic, tobacco, was introduced at Amoy, and thence to Formosa, which was in process of colonisation from Amoy in that period. In the “ Notes on the Conduct of Business ” published about 1650, the year 1620 is given as the date of the introduction, about the time of the “ Counterblaste to Tobacco ” of King James the Sixth of Scotland and First of England. The Chinese Emperors were animated by the same feelings as King James, and the * Page¿27i. OPIUM 327 last of the Ming Emperors (1628-44) prohibited tobacco smoking in his dominions. The first of the Manchu Emperors, before his occupation of Peking, while he was Emperor of the Manchus but not of the Chinese, issued in 1641 an edict on archery, in which he says : “ To smoke tobacco is a fault, but not so great a fault as to neglect practice with the bow. As to the prohibition of tobacco smoking, it became impossible to maintain it because you princes and others smoked privately, though not publicly ; but as to the use of the bow, this must not be neglected.” Other prohibitive edicts followed, but were quite as ineffective ­ ; and to-day in China, with few exceptions, every man, woman, and weaned child is a smoker of tobacco : the “ Society of Total Abstainers ” (from wine, tobacco, and tea) is in times of trouble classed with the secret societies, for which extermination is the prescribed treatment. Formosa is a land of jungle and malaria, and where malaria prevails opium is a natural resource, as exemplified by the opium pills of the Norfolk fen-men a short century ago. Of the tropical jungle we have a note of Jacobus Bontius, a Dutch physician of Java, dated Batavia, 1629, in which he says that “ unless we had opium to use in these hot countries, in cases of dysentery, cholera, burning fever, and various bilious affections, we should practise medicine in vain.” In Formosa malaria is deadly to this day, and the early colonists mixed with their tobacco various ingredients to neutralise the effects of the fever, among them opium and arsenic : the latter is still used by the Chinese in what is called “ water tobacco,” and is prescribed in cases of malaria by Western physicians when for any reason quinine is contra-indicated. Kaempfer visited Java in 1689, and in his account of Batavia is the first mention of an “ opium-smoking divan,” in which was smoked “opium diluted with water and mixed with tobacco” ; and as the Dutch controlled the trade of Formosa from 1624 to 1662, it seems probable that the practice of smoking mixed tobacco and opium was introduced from Java. From F ormosa the practice extended to the mainland 328 THE CHINESE EMPIRE through Amoy, the “ metropolis ” of the colonists. There is nothing to show when opium ceased to be mixed with tobacco for smoking. The only reference to the habit in Staunton’s account of Lord Macartney’s mission (i793) ^ that many of the higher Mandarins took opium, and that “ they smoke tobacco mixed with other odorous substances, and sometimes a little opium.” The Emperor Kang-hi, in his course of settling the Empire, came to the conquest of Formosa in 1683, with his base at Amoy. Here the governing powers were first brought into actual contact with the evil ; but in an age when edicts were readily issued, no immediate steps were taken. The first prohibitory edict was issued by his successor ­ Yung-cheng, in 1729, enacting severe penalties on the sale of opium and the opening of opium-smoking divans, and from this time dealing in opium became a crime. Foreign Opium At the time of this edict the importation of foreign opium amounted to 200 chests a year, introduced by the Portuguese trading from Goa, and by none others until 1773 ; English private merchants then engaged in the trade up to 1781, when the East India Company took it into its own hands. In the forty years up to 1767 the importation ­ increased gradually from 200 chests to 1,000, a chest containing from 135 lbs. (free-trade opium, as from Malwa or Persia) to 160 lbs. (Bengal regie opium). The machinery of an Imperial edict cannot have been directed against so insignificant a quantity as 200 chests, the annual amount at the date of the edict ; and that it was not considered by the Canton authorities to be directed against the foreign importation, is shown by the gradual and unconcealed increase at the rate of 20 chests a year. A distinction was recognised and made between opium for medicinal use, and its sale for smoking ; and its introduction for the former purpose was permitted. In the “ Hoppo Book " * * “ Journal China Branch of Royal Asiatic Society,” 1882. OPIUM 329 of 1753, which is based on tariffs of 1687 and 1733, then still in force, opium is included as paying Tls.3 a picul, which is at the rate of 6 per cent, (the then official rate of levy) on a value of Tls.50 ; and in a valuation book of the same date (1755), the values of certain commodities are given, among them silk at Tls.ioo, tea at lls.8, rhubarb Tls.i'50, musk Tls.150, and opium Tls.50. The inference is that the Canton officials were quite honest in holding that the prohibitory edict of 1729 did not apply to the importation of the foreign drug. The trade went on without restriction on the importation, and in 1773 the English merchants ­ made their first imports from Calcutta, with the probable effect of increasing the amount introduced. In 1780 a new Viceroy was appointed to Canton, who had “ the reputation of an upright, bold, and rigid minister,” * and who determined to apply the Imperial restriction to the importation of the drug, as well as to its sale for smoking ; but the connection between this and the assumption ­ of control of the opium traffic by the East India Company in the following year, is a matter of inference. The evils arising from the use of opium became more apparent from year to year, the import in 1790 having increased to 4,054 chests ; and in 1796, on the representation ­ of the Viceroy, an Imperial edict was issued absolutely prohibiting all importation. In 1800 this prohibitory edict was issued anew. From this date the traffic became contraband, and about the same time smuggling became organised by detailed arrangements made between the importers and the officials at Canton and elsewhere along the coast. Drain of Specie In addition to the high moral ground taken by the Imperial Government in their desire to suppress the opium traffic, they rest their case upon their statement of the fact that the necessity of paying for the opium drained the country of silver, giving as an instance the “ average * “ British Parliamentary Papers,” 1783. 330 THE CHINESE EMPIRE annual export of Tls.10,000,000 in the ten years previous ” to 1839 ; and this instance, and the drain of silver deducible from it, have been generally accepted in the histories. This drain of silver is not proved by facts. The sum is first to be discounted as being a fine-sounding round figure useful to support a prohibitory edict ; and, being in a Chinese official document, the statement must be interpreted ­ strictly, and not taken to imply more than it says. It may be true that in ten years shipments of treasure amounted to upwards of Tls.10,000,000 annually, but it does not follow that, on balancing exports against imports, the net export was as much. Several foreign writers of the time refer to the permits specially required for the shipment of treasure, and there can be no doubt that any reported export of treasure was derived from the records of such permits without any offset or the introduction of alien matters. It was before the day of banks ; and while it is almost true that at that time each ship had to square with hard cash its accounts for imports and exports, it is absolutely ­ true of each merchant, whether in a season he had one ship or several. India supplied the opium, but took no tea and no considerable quantity of silk, and shipment of treasure to India was inevitable. In the present day that country sends to China commodities to the average annual value of over Tls.80,000,000, and receives in return commodities not exceeding Tls.10,000,000 in value ; to-day the difference is adjusted by bank bills, but then the opium from India could not be paid for by tea shipped to England or America, but must be paid for in cash and the specie shipped, except in so far as it might be taken over by the East India Company against its bills on Calcutta» to provide funds with which to buy tea. Except for the opium of India and the spices of the Southern Isles, the rest of the world could provide little that China wanted. England could send a few pieces of camlet, probably not a hundredth of what was needed to buy a cargo of tea and from the English, American, Dutch, Portuguese, and other trade, poured in a stream of silver in the shape of OPIUM 331 Spanish dollars,* which to this day are current in Anhwei, and were current in Formosa up to 1895» i n which year two and a quarter millions of them were introduced into the island for the tea season. The movement of silver was inward, not outward ; and the explanation of the fact that merchants of the highest repute brought themselves to engage in a trade which we have come to regard as disreputable, ­ is to be found in the imperative commercial necessity of lessening the constant flow of silver in one direction, and of substituting for it any commodity which the Chinese would consent to buy. Opium Contraband Opium was the one thing the Chinese would consent to buy, and buy it they did and continued to do, after the prohibitory edicts of 1796 and 1800, as they had before ; and arrangements were made with businesslike method for circumventing the prohibition, allowing the buyers to get the drug they wanted, and securing what they considered their proper dues to the rulers of the land whose duty it was to see that the edicts were enforced. The edicts never were enforced ; for forty years there was no pretence at enforcing them in the spirit, and the restrictions of their letter had only the effect of covering the traffic with a veil of decency such that the importing merchants might engage in it, the officials might not have it thrust under their eyes, and the dealers might get their supplies with more trouble and at considerably more cost. The irregular dues levied over and above the official tariff were already heavy, but when it became necessary to pay for connivance in addition to the payments demanded for complaisance, they became heavier ; and they were distributed between the officials, Hoppo, Viceroy, Governor, Treasurer, and so on down the list, not as bribes in one payment to secure that eyes should be judiciously shut, but as dues levied on each chest divided in proper proportion to each official. As the trade was prohibited the dues received could not be included in the * See page 283. 332 THE CHINESE EMPIRE regular reports of revenue collected, and the regular New Year’s gratifications sent in accordance with custom to the Ministers of State and the officials of the Court at Peking-" heavier because of the greater amount of lucrum attaching to the provincial posts—had no peculiar odor attaching t° them to betray their origin ; it was therefore to the interest of all officials concerned, below the Emperor and except an occasional honest statesman, that the prohibition should be enacted and that the traffic should go on. The Emperor might prohibit the trade, but the Emperor's representatives continued to sanction it. On the issue of the prohibitory edicts it became i#" possible to continue the open storage of stocks in the factories at Canton, and the depots were established at Macao, which, it must be remembered, was under Chinese fiscal control until 1848 ; quantities were, however, still brought on in the importing ships and kept on board at the anchorage at Whampoa until they could be delivered to purchasers-Ibis went on until 1820, when the order went out that no opium was to be stored in Macao or at Whampoa ; th e importers then established store ships at Lintin Island, in the estuary of the Canton River. Up to this date the import had not in any year exceeded 5,000 chests. When the edict of 1800 was issued, the East Ißd^ Company ceased to carry opium on its own account. Fro^ that time it was officially responsible for the production 0 that portion of the drug which came from Bengal and its sale in Calcutta, but had no direct concern with h 5 transportation and sale in China, nor did it ever have connection with opium from Malwa or from Persia. , During the Lintin period, opium (then regularly calk tea,” and still ordinarily so termed at Canton) was so by sample, and paid for invariably in hard cash agahjf a delivery order. The importer had nothing else to with sales for local delivery. The purchaser having arrangé for the necessary protection from official interference, t°°, his order to the receiving ship at Lintin, where he repack^ into mat-bags, marked with his private chop, and took 1 OPIUM 333 away in fast boats with crews of sixty to seventy men. The trade would be temporarily interrupted on the arrival of each new official of high rank, until he had settled into his place ; and occasionally there would be a brutum fultnen of a proclamation ordering vessels “ loitering at the outer anchorage” either to come into port or to sail away ; but never was Lintin mentioned by name, and never was a guard-boat so unmannerly as to poke its nose into the anchorage, though doubtless there were many watchful eyes round about. Opium for the eastern part of Kwangtung was ordinarily sold at Canton, also always for cash, to be delivered by the seller ordinarily at Namoa, an island near Swatow, the station of the Commander-in-chief of the provincial coast forces. Hunter * describes a visit he made in 1837 in an American clipper schooner of 150 tons regularly despatched by his firm from Lintin to deliver their sales. On arrival at Namoa he found there two English brigs belonging to two English firms, engaged in the same traffic, and lying near them the “ Admiral’s flagship.” The Admiral called ' on board all concerned and went through some solemn foolery, the object of which was to secure supplies for the schooner, on its way from Singapore to Canton, driven into Namoa in distress ; afterwards, at a more private interview opened by the direct question “ How many chests have you ?” a bargain was struck, and non-interference provided for, on terms additional to those which were arranged by the purchasers at Canton. After this the opium, which had been packed in bags at Lintin, was delivered to junks flying a private signal, without further formality. The jurisdiction of the Canton Hoppo and Viceroy ended at Namoa, and farther up the coast the sweet simplicity of the Canton procedure could not be carried out in such perfect detail. The vessel in which Hunter returned came into Namoa from the north, and “ her entire freight to Canton consisted of $430,000 in value of gold bars and sycee-silver.” * “Old Canton.” 334 THE CHINESE EMPIRE This contraband traffic went on uninterruptedly until the end of 1838. In 1830 the annual import had increased to 16,877 chests, and in 1838 to 20,619 chests. The appointment ­ of Lord Napier in 1834 as Ambassador of His Britannic Majesty, brought to the fore a different aspect of China s foreign relations, the right of foreign envoys to treat directly with the representatives of the Empire, and, connected with it, the position of monopoly inherent in the Co-Hong, with which alone envoy and merchant were to have any dealings ; but opium was no more in question from 1834 to 1838, during the time of Lord Napier and Captain Elliot, than it had been before. At Peking, however, there was renewed discussion ­ of the evils arising from opium smoking, and of the still greater demoralisation from smuggling an article declared contraband by law ; and there was even serious consideration of a proposal to legalise the traffic in order to bring the evil under better control. The proposal was negatived, and the Emperor decided to enforce the edict issued by his father in 1800, and found a willing agent for the purpose in Lin Tze-sü. In this decision the Emperor may have been mistaken, he may have attempted to sweep back the tides of the ocean with a broom, but he was undoubtedly ­ honest and intended that his will should he carried out. Lin was appointed Imperial Commissioner, and sent to Canton to carry out the will of his master, superseding ad hoc both Viceroy and Hoppo. Had it been only a question of opium, his mission was hopeless ; it W&^ as if a Prohibition Government at Washington had sent Neu Dow to carry out a Maine Liquor Law in the state of Ken' tucky. But both he and his master had misjudged the situation ; when they said “ opium," the English envoy, backed by the English admiral, answered “ equality," and equality it was, and not opium, which was settled by the treaty of Nanking. This treaty decided the equal status of officials of the two powers, the abolition of the monopoly 0 the Co-Hong, and the adoption of uniform dues and duties, but it left the Chinese Government free to adopt its own measures for the regulation of the opium traffic. The Eng' OPIUM 335 lish Government did not undertake to perform preventive service for China, since others than English were already engaged in the trade, and others still could easily have taken it up ; but it forbade the establishment of an opium depot at the outset in Hongkong, and it afforded no naval protection ­ to smugglers. Commissioner Lin arrived in Canton on March io, 1839, and, after remaining inscrutable for some days, on the 18th issued a proclamation that the foreigners should deliver up all the opium in store and give a bond to import no more, on penalty of death. When they refused, they were shut up in the factories, deprived of servants and of outside supplies of food and water, and informed that they were hostages for the due execution of the order. “ Hostage ” is an awkward word to use, and a still more awkward thing to be ; and in fear of death the merchants surrendered their opium, even bringing eight chests up from Macao. The total quantity surrendered was 20,291 chests, and the earnestness ­ of conviction of the Emperor and his Commissioner is evidenced by the fact that this was effectually destroyed to the last ounce. Of the firms contributing the opium, the largest contributor was an English firm with 7,000 chests, then another English firm, then an American firm with 1,500 chests ; after them came English, Farsee, and other merchants, natives of India. Some fifty chests of Turkey opium in the possession of an American firm were not surrendered as not being from India. The only effect of the Imperial Commissioner’s action, directed against the foreigner and not against his own countrymen, was to check the local trade for a time, but it did not do away with it ; the demand remained, new supplies came forward, and the trade went on. The loss of prestige by the Imperial Government not only inspired the smugglers with greater activity and less fear of the consequences, but caused the officials along the coast to throw off such modest feelings of restraint as they may have felt before. Then, in the decade 1850-60, the spread of the laiping rebellion over whole provinces, involving 336 THE CHINESE EMPIRE millions of people, caused vast misery, which drove many the Chinese equivalent of “ drink,” filled the pockets of myriads with plunder to be spent in indulgence, and brought into the field on both sides armed forces whose chief occupation, ­ then as now, was opium smoking. The result of this laxity and this increase in the demand was a perfect carnival ­ of smuggling. Prior to Lin's mission the trade, though not legalised, was fully regulated, and it is a misuse of terms to apply the word “ smuggling ” to what went on then ; the foreign merchant imported his opium without concealment, but, during the last twenty years of the period, instead of bringing it to his factory at Canton and storing it there or at Macao, he deposited it on store-ships at Lintin, he sold it, generally speaking, and obtained payment at Canton, all subsequent proceedings being the concern of the purchasers, Chinese subjects ; and he delivered it on board his own ship, usually at Lintin, to a certain extent at definite points on the coast to the east and north, but always undei official oversight. To a limited extent the sales were not effected at Canton, but at the points of delivery on the coast. After Lin’s mission the trade was neither legalised nor regulated ; even such restraint as might come fro# publicity was absent, since the British authorities refused to permit the establishment of a depot in Hongkong. Th e result was to drive the importers into closer relations with the officials, who were in a position to impede the traffic at all places along the coast ; to what extent they, and t° what extent the purchasers, made the actual arrangements, who was the active agent in perverting from their duty the only too willing representatives of the humiliated Emperor, is not known, because the whole traffic dur#£ this period is covered by a veil of secrecy and mystery* From this driving of the traffic away from the light of day» from the increased activity of the importers in supply* 0 # an increased demand, from the greater enterprise of tfi e smugglers, whether they were foreign or Chinese, and fr° 01 the greater laxity and depravity of the officials of China-" from all these causes came two consequences : from t° e OPIUM 337 20,619 chests of 1838 the import of opium increased to about 50,000 chests in 1850, and to 85,000 chests in i860 , and, as opium smoking had debauched the Chinese, the opium traffic debauched the foreign traders and dragged them down from their high estate. It will be well to repeat, in a brief summary, the salient facts relating to opium. The poppy has been known in China for at least twelve centuries, its medicinal use for nine centuries, and that the medicinal properties lay in the capsule for six centuries. Opium has been made in China for four centuries. Tobacco smoking was introduced through the Spanish at the beginning of the seventeenth century, and the smoking of opium mixed with the tobacco through the Dutch in the middle of the seventeenth century ; there is no historical record to show when opium was first smoked by itself, but it appears to have nearly coincided with the prohibition of all opium importation in 1800. Foreign opium was first imported by the Portuguese at the beginning ­ of the eighteenth century, and was first handled by the English in 1773 ; from 1781 to 1800 it was mainly in the hands of the East India Company. After that the principal importers were English, though there is nothing to show that traders of any nationality, who could lay hands on the drug, refused to deal in it ; it is on record that in 1839, on the occasion of the famous surrender, one-thirteenth of all the opium surrendered was given up by an American firm, and smaller quantities came from Parsees, who, though under British protection, would readily have transferred their protectorate to others, had there been sufficient motive. For the pandemonium of the period 1840 to i860 the Chinese must be held primarily responsible ; the Emperor and his Commissioner Lin attempted the impossible in applying to foreign nations alone the restrictions which they could not enforce on their own subjects, so removing all regulation from a trade which they would not consent to legalise ; and his representatives, the whole length of the coast, acted in every respect, except as to turning their receipts into the treasury, as if the trade had been legalised. The dis- 338 THE CHINESE EMPIRE turbed state of the country from 1850 to i860 weakened the authority of the Government, and gave the officials an excuse and an opportunity for their laxity which they did not need, but it could not transfer the responsibility from the Imperial Government to the shoulders of foreign nations. Opium Trade Legalised The treaties made in 1858 as the result of the second war left the opium question still unsettled. The treaty of Nanking of 1842 was silent on the subject, leaving China to enact and enforce her own sumptuary and prohibitive laws, and to adopt her own preventive measures. The same silence was observed in the four treaties of Tientsin of 1858» in the British and French treaties imposed on China as the result of the war, and in the identical and simultaneous American and Russian treaties which must be considered to be also the direct result of that war. But (to quote the premier treaty) Article XXVI. of the British treaty provided ­ for the appointment of a commission to revise the Customs tariff ; and when, in November 1858, the commission ­ agreed on the tariff, opium was quietly inserted in it at a duty of Tls.30 per picul. Opium was included with the full consent of the Chinese negotiators ; of this there is no doubt, for we have the testimony of Sir Thomas Wade and Mr. Laurence Oliphant, who were the representatives of the British Envoy on the Commission. That so burning a question as the opium trade should not be mentioned # those unofficial colloquies which accompany all negotiations was impossible ; and that the wisdom of legalisation cV0 regulation was fully explained to the Chinese negotiators as a measure of political economy is made known to us by Oliphant. The first suggestion that the matter should be taken into consideration was made by the American Minister, Mr. William B. Reed, who came out to China with a strong bias against the opium trade, and with instructions fro# his Government conceived in the same spirit, but who nevertheless ­ became an advocate of the legalisation of the trade, OPIUM 339 from witnessing the abuses to which its contraband character ­ gave rise* With this changed view he wrote to Lord Elgin as follows :— “ I have more than once understood your Excellency ­ to say that you had a strong, if not invincible, repugnance, involved as Great Britain already was in hostilities at Canton, and having been compelled in the north to resort to the influence of threatened coercion, to introduce the subject of opium to the consideration ­ of the Chinese authorities. Yet I am confident, ­ unless the initiative is taken by your Excellency, things must continue as they are, with all their shame ; and I appeal to your Excellency’s high sense of duty, so often and so strongly expressed to this helpless though perverse people, whether we, the representatives ­ of Western and Christian nations, ought to consider our work done without some attempt to induce or compel an adjustment of the pernicious difficulty. In such an attempt I shall cordially unite.” After alluding to the possibility of putting a stop to the growth of opium in India, Mr. Reed goes on to say : “ Of effective prohibition, and this mainly through the inveterate appetite of the Chinese, I am not sanguine ; and I therefore more confidently, though not more earnestly, call your Excellency’s attention ­ to the only other course open to us—attempt to persuade the Chinese to put such high duties on the drug as will restrain the supply, regulate the import, and yet not stimulate some other form of smuggling, with or without the connivance of the Chinese. The economical arguments in favour of this course are so fully stated in the accompanying paper that I need not allude to them further.” It was therefore decided that the matter should be brought to the notice of the Chinese Commissioners, who, * “ Narrative of the Earl of Elgin’s Mission to China and Japan,” !86o, Vol. IL, chap. xiii. 340 THE CHINESE EMPIRE however, required no long persuasion ; they were fully awake to the evils of what had become unrestricted trade in the drug, and their Government needed the revenue which had for so long a time gone into the pockets of its servants. After approval by the French and American envoys, the tariff was agreed to, including opium. At the same time it was recognised that opium was eminently an article of import which must be left to the unfettered discretion of the Chinese Government to deal with ; and the fifth of the Rules of Trade appended to the tariff reads as follows “ The restrictions affecting trade in Opium, Cash, Grain, Pulse, Sulphur, Brimstone, Saltpetre, and Spelter, are relaxed, under the following conditions : “ i. Opium will henceforth pay thirty taels per picul Import Duty. The importer will sell it only at the port. It will be carried into the interior by Chinese only, and only as Chinese property ; the Foreigu trader will not be allowed to accompany it. The provisions of Article IX. of the Treaty of Tientsin, by which British subjects are authorised to proceed into the interior with Passports to trade, will not extend to it, nor will those of Article XXVIII. of the same Treaty, by which the Transit Dues are regulated-The Transit Dues on it will be arranged as the Chinese Government see fit ; nor in future revisions of th e Tariff is the same rule of revision to be applied t° Opium as to other goods.” The next step in the history of opium is found in th e Chefoo Convention of 1876, by which the British Governme^ accepted in principle a proposal that inland taxation (likiw on the drug should be collected simultaneously with th® import duty, i.e. by the Imperial and not by the provine# authorities. This was made effective by an Addition# Article signed on July 18, 1885, by which the amount 0 likin was settled at Tls.8o per picul, making, with t^ e import duty, a total of Tls.no per picul which the Chine 5 *; Government is entitled to collect ; and the establishing in 1887 of the Kowloon and Lappa Customs, to control tt# OPIUM 341 junk traffic with Hongkong and Macao, operated further to the benefit of the Imperial exchequer by the restraint thereby imposed on smuggling. The only restriction imposed by China on the opium trade and accepted by a foreign power, is contained in the Supplemental Treaty of 1880 between the United States and China, of which Article II. is as follows :— “The Governments of China and of the United States mutually agree and undertake that Chinese subjects ­ shall not be permitted to import opium into any of the ports of the United States ; and citizens of the United States shall not be permitted to import opium into any of the open ports of China, to transport it from one open port to any other open port, or to buy and sell opium in any of the open ports of China. This absolute prohibition, which extends to vessels owned by the citizens or subjects of either Power, to foreign vessels employed by them, or to vessels owned by the citizens or subjects of either Power, and employed by other persons for the transportation of opium, shall be enforced by appropriate legislation on the part of China and the United States ; and the benefits of the favored nation clause in existing Treaties shall not be claimed by the citizens or subjects of either Power as against the provisions of this Article.” The only commentary on this agreement is found in the fact that when, in 1884-5, temporarily and for reasons over which the American Government had little or no control, the American flag reappeared on the coast and engaged in the carrying trade, no attempt was made to enforce the restriction. The course of the trade in foreign opium since the legalisation is shown in the following table. In 1863 lientsin and Chef00 had been opened in the north, and Hankow, Kiukiang and Chinkiang on the Yangtze. In 1879 the recorded import, 82,927 piculs, reached its maximum. ­ The opening of the Kowloon and Lappa Customs 342 THE CHINESE EMPIRE in 1887 may be assumed to have reduced smuggling in junk by between 10,000 and 15,000 piculs. Ihe following table shows the proportion of each kind of foreign opium imported during the past forty years, viz. Bengal (Patna and Benares), the production of the Opium Régie of the Government of India ; Malwa, the free trade product of the states of Central India, feudatory to the British Government but otherwise self-governing > and Persian (formerly also called Turkey), the product of Persia. In comparing the figures it must, however, be borne in mind that the province of Kwangtung ordinarily prefers Bengal opium to the extent of fully three-fourths * Other channels, i.e. by junk, either legitimately, but n°t îeporting to the Imperial Maritime Customs, or smuggled. I 11 X905 a quantity unreported was introduced through Kwangcho^' wan, estimated not to exceed 2,000 piculs. Of the official import into Kwangtung, the Canton delta ports in 1905 took 13,207 piculs, 8,150 piculs in 1897, and 17,776 piculs in 1888 ; before the opening of the Kowloon and Lappa Customs, in 1879 they took only 1,194 piculs, in 1867 only 2,111 piculs, and in x863 only 3,469 piculs officially reported. 1863. 1867. 1879. 1888. 1897. i9°5* Piculs. Piculs. Piculs. piculs. Piculs. Piculs. Manchuria Chihli .. Shantung — 2,585 2,453 113 28 3,708 7,898 5,181 1,555 918 873 2,735 3,536 318 320 25 225 440 Hunan Hupeh Kiangsi Anhwei Kiangsu Chekiang Fukien Formosa Kwangsi 1/, u/u 2,679 5,047 7,728 6,274 4,873 9,821 9,238 8,903 13,039 7,877 — 2,586 5,552 4,646 — 7,212 7,627 12,787 26,845 13,058 1,993 2,202 2,153 3,077 2,483 1,412 4,242 3,294 1,163 519 Kwangtung ) ’ ' Other channels * 20,000 20,000 20,000 5,000 5,000 Total 50,087 60,948 82,927 82,612 49,309 70,087. 80,948 102,927 87,612 54,309 OPIUM 343 of the foreign drug consumed, and that piior to 1887 much of the supply for that province passed through channels which did not lead to its inclusion in the figures given below. 1863 1867 1873 1879 1883 1888 1893 1897 1901 1905 Average { ». Piculs. 15,120 26,297 24,300 37,952 27,504 45,040 32,416 26,816 27,250 34,195 29,689 47*2 Malwa. Piculs. 34,967 34,006 40,910 39,509 34,632 33,127 28,694 19,635 21,799 16,034 30,331 48-2 Persian. Piculs. 645 587 5,466 6,032 4,445 6,998 2,858* 435 1,691 2 16 4'6 Total. Piculs. 50,087 60,948 65,797 82,927 68,168 82,612 68,108 49,309 49,484 51,920 62,936 100-0 Native Opium Opium was produced in China before the vice of smoking was introduced, and, in China as elsewhere, was valued for its medicinal properties. There is no evidence to show that, otherwise than medicinally, the Chinese ever took opium in the shape of pills, as was for centuries the practice in Central and Western Asia ; and the evidence is all against the supposition that the Chinese smoked the drug because they already produced it. Smoking came in independently, and fed on foreign or native supplies indifferently, as evidenced ­ by the fact that, at the date of the first Imperial prohibition of the evil in 1729, the importation of foreign opium was only 200 chests a year, and forty years later did not exceed 1,000 chests. But, while it cannot be said that an already existing production of native opium created the evil of smoking, neither is it wholly true that the evil was * Formosa, the chief consumer of Persian opium, passed under the Japanese flag in 1895. 344 THE CHINESE EMPIRE created by the introduction of foreign opium. The vice came because opium existed in the world ; had there been no native production, the foreign drug would have supplied its food ; had there been no foreign importation, the native supply would have sufficed, or would have become sufficient, for all requirements, even to satisfy the demands of a craving which has extended to every corner and to all classes in the Empire. It would therefore be a task leading to no useful result, to search for statistics to determine if the native production exceeded the foreign importation in 1729—we know it did ; or if it exceeded the foreign supply of 1800—it very probably, almost certainly, did. Coming down to the nineteenth century, during its fourth decade, when the great question—to legalise the foreign trade or stamp it out—was under consideration, the native production ­ was referred to in several memorials presented to the Throne. In 1830 it was stated that “ the poppy cultivated over one-half of Chekiang," a rhetorical exaggeration. ­ In 1836 a memorial of Hu Nai-tsi proposed to legalise the traffic on various economic grounds, and, incidentally, because of the already great native production. This was opposed in a memorial of Chu Tsun, who was convinced of the evils of smoking, and based his objections largely 011 the amount of the home production, instancing that in his native province of Yunnan the annual production was many thousand piculs. The habit of smoking opium had been known in China for at least a century and a half, and it I s probable that it had extended to the inland provinces, while it is improbable that the 15,000 to 20,000 chests, which constituted the foreign supply, penetrated far from the coast, and it is not probable that they supplied much more than the provinces of Kwangtung, Fukien (including Formosa), and possibly Chekiang ; it seems probable that the foreign drug reached along the coast beyond the mouth of the Yangtze only after 1840. This is supposition, which is alien to the purpose of this chapter ; but it finds som e support in the fact * that at Hankow, prior to the opening * “ Native Opium,” 1863. Shanghai, 1864. OPIUM 345 of the port in 1861, foreign opium was practically unknown, a few piculs only being introduced to satisfy Cantonese palates ; that prior to 1859 Hankow was supplied with opium from Shansi, but that these supplies were cut off by disturbances in that province, and in i860 Hankow drew its supplies, to the extent of 2,000 piculs, from Szechwan and Hunan. Statistics are unknown in China, the only statistics obtainable being those of the trade carried on under the cognisance of the Inspectorate General of Customs. Statistics ­ relating to opium are especially unobtainable, since a commodity having so high a value in small bulk, and so heavily taxed, does not in general follow the ordinary trade routes, on which taxing stations are numerous, but is carried by armed bands over unfrequented mountain roads, on which the taxing stations are few and so poorly equipped as to yield readily to superior force, and accept a composition ­ for taxes much lower than the official rate. All this leads to concealment on both sides, and, in estimating the present production of opium in China, inquirers have been driven to base their investigations on the observations of travellers and the opinions of people interested to discover the truth. The results of the investigations of many inquirers are given below for each province, divided into Coast Provinces, in which the original demand was chiefly met by supplies of foreign drug (the northern only since i860) ; Yangtze Provinces, accessible to the foreign drug only since i860 ; and Inland Provinces, which have never, to any known extent, been supplied with foreign opium. Coast Provinces Kwangtung produces little opium. At Canton in 1863 it was estimated that 1,500 piculs of native opium found a market, of which 800 came from Yunnan, 400 from Kweichow, 200 from Szechwan, and 100 were the product of Kwangtung, coming from the mountains of the northern part. There has been no great increase of poppy cultivation, 346 THE CHINESE EMPIRE and the production of opium in the province to-day probably does not exceed 500 piculs. Fukien : opium is produced chiefly in the Tungan district, ­ of which the output was estimated in 1863 at 5°° piculs, and in 1879 at 1,000 piculs. The lowest estimate for the whole province to-day is 2,000 piculs. Chekiang produces a considerable quantity, especially in the Wenchow and Chuchow prefectures, the production being estimated at 10,000 to 16,000 piculs in 1879, and at 4,500 piculs in 1887. It will be safe to put the output to-day at 5,000 piculs. Kiangsu, in 1879, was estimated to produce 2,500 piculs of opium. There has recently been increased production in the Hsuchow prefecture in the north-western corner oi the province, and the output of Kiangsu to-day cannot be less than 5,000 piculs. Shantung imported 3,536 piculs of foreign opium in 1879 » in 1888 this had fallen to 318 piculs, which is now the average amount. In 1887 it was estimated that the annual consumption ­ of native opium was 8,000 piculs, mostly Shantung product. The production of the province to-day must be at least 10,000 piculs. Chihli imported 7,898 piculs of foreign opium in 1867» and 5,181 piculs in 1879 ; in 1905 this fell to 225 piculs-Native opium was reported as coming from Shansi in 1^63 in considerable quantities ; in 1879 the production 0 Chihli was estimated at 3,000 piculs, and in 1887 it ' vaS reported to be “ very large.” Within forty years 7>5° 0 piculs of foreign opium have been entirely displaced by nati^j opium, and, allowing for increase in the population an extension of the habit, the consumption of the latter is n 0 ^ from 15,000 to 20,000 piculs. Some comes from Manchuf# and some from Shansi, and the production of Chihli 15 probably 10,000, and certainly 5,000 piculs. , Manchuria has probably taken up the production 0 opium within fifty years past. Foreign opium was impose to the extent of 2,585 piculs in 1867, and 2,453 piculs 111 1879 ; in 1888 the import was 113 piculs, and in 1905 waS OPIUM 347 only 25 piculs. Native opium in 1863 came chiefly from Shansi, and it is on record that in that year 200 piculs were introduced into the city of Moukden. In 1879 the production of Manchuria was estimated at 3> 000 piculs, and in 1887 at 8,000 piculs, and the quality was reported to be equal if not superior to that of foreign opium. The population has been greatly increased by immigration in the past thirty years, and, apart from the temporary effects of war, the output to-day may be estimated at 13,000 piculs. For the Coast Provinces the annual production, estimated on a conservative basis, is 42,500 piculs. Yangtze Provinces Hunan opium was known at Hankow in 1863 and before, and in 1879 the production was estimated at 1,000 piculs. Hunanese have filled the armies of China for fifty years, and returned soldiers have brought back the habit of heavy smoking. But little foreign opium is imported (240 piculs in 1905), and the production of opium in Hunan to-day is probably at least 3,000 piculs. Hupeh consumed no foreign opium prior to 1861, and imported 4,242 piculs in 1867, and (including Hunan) 562 piculs in 1905. Native opium is, and has always been, introduced from other provinces, but there has also been a home production, estimated in 1879 at 2,000 to 3,000 piculs, and in 1887 at 3,000 : the output to-day is probably 4,000 piculs. Kiangsi maintains its consumption of foreign opium of forty and thirty years ago. In 1863 the local production was estimated at 200 piculs ; there has been no great increase in poppy growing, and to-day the output probably does not exceed 500 piculs. Anhwei imports to-day of foreign opium but half the import of 1879 and 1888. In 1887 the local production was estimated at 2,000 piculs, and to-day it is probably over 3,000*piculs. 34« THE CHINESE EMPIRE For the Yangtze Provinces, accessible since 1861 by steamer, the annual production may be put at 10,500 piculs. Inland Provinces Honan opium was known at Shanghai in 1863 ; in 1879 the production was estimated at 3,500 to 5,000 piculs, and in 1887 at 5,000 piculs : the output to-day is probably fully 5,000 piculs. Shansi formerly supplied a large area with opium, from Hankow in the west and Shanghai in the east to Manchuria in the north. In 1879 the production w aS estimated at 4,000 piculs, and it will be safe to put it to-day at 5,000 piculs. Shensi, as we know, cultivated the poppy in the eighth century ; and, as the practice of scoring the capsule to obtain opium was introduced through the adj oining province, Kansu, it may be assumed that Shensi was one of the provinces to produce opium, and stood ready to suppv the demand when it arose. In 1872 Baron von Richthofen records that “ in some portions of the country it (th e poppy) formed the most conspicuous winter crop.” ^ 1879 it was estimated at Hankow, to which some part 0 the product was sent, that the annual output was 5,°°° piculs ; and it would not be safe to put the output to-day at less than 10,000 piculs. Kansu, according to Richthofen, “ does not consult all the opium it produces, but exports considerable quantité 5 both east and west, and imports none.” With a populate 11 ' largely Mohammedan, estimated at the lowest at 8,000,0°°' the production of opium must be over 5,000 piculs. Szechwan must have early acquired the art of opin°j manufacture, bounded as it is to the north by Kansu an to the south by Yunnan, both centres of Mohammedan influence from early times to the present day ; and, wh el j the practice of smoking the drug was introduced, it m^ 5 have spread at once to the inhabitants of this mist-cover® province, steamy in summer and chilly in winter. ? 6 universal testimony of travellers is that the people are, OPIUM 349 in general, heavy smokers, the consumption per capita being confidently stated to be three times that of the coast provinces. No foreign opium has ever been imported, and the poppy, cultivated certainly as early as the ninth century, is to-day grown everywhere ; Mr. E. C. Baber (1878) says : "We were astounded at the extent of the poppy cultivation in Szechwan and Yunnan. Baron von Richthofen (1872) expresses the same astonishment, and estimates the production of opium at a minimum of 60,000 piculs and a probable output of 100,000 piculs. In 1904 the quantity passing by the river route to the east through Ichang was 36,856 piculs, and in 1905 it was 36,311 piculs. Of this quantity 11,011 piculs were imported and 11,025 piculs re-exported by steamer at Hankow in 1904, and 2,736 piculs imported and 2,492 piculs re-exported in 1905, the remainder of the Ichang transit going in the same way by junk ; this furnishes an apt illustration of the well-known fact that opium in China comes into the light of day only when there is some obvious fiscal advantage to gain. In addition to the river route there are three main land routes, besides many unfrequented mountain roads, by which opium is carried to the east ; and the total export from the province eastward must be well over 50,000 piculs, and is possibly upwards of 100,000 piculs. The recognised authority for Szechwan to-day is Mr. A. Hosie. In his consular report for 1903 (presented to both Houses of Parliament, October 1904, Cd. 2247), he records the fact that “ in the provincial capital, Chengtu, there is one opium-smoking saloon to every 67 of a population of 500,000 ; these saloons are open to men only, and women have to smoke in their own homes." As the result of a careful detailed calculation he states that the consumption of Szechwan-grown opium by the inhabitants ­ of Szechwan is 182,500 piculs. If to this be added the probable export eastward from the province, we have a probable production of not less than 250,000 piculs. Yunnan has long produced opium, the production in 1836 being stated to be " many thousand piculs." Baber (1878) says : " We were astounded at the extent of the 350 THE CHINESE EMPIRE POPPY cultivation in Szechwan and Yunnan. . . . With a consciousness that I am underestimating, I estimate that the poppy fields constitute a third of the whole cultivation ­ of Yunnan." The province has to-day but two articles of importance with which to pay for extra-provincial products consumed—viz. opium and tin. The latter comes from one spot twenty miles from Mengtsz, and the value of the output in 1904 was Tls.3,200,000. Opium comes from all parts of the province and goes in all directions, that portion shipped for the use of the Opium Régie iu lonkin in 1904 amounting to 2,958 piculs, the quantity going by land into China being very much greater. Yunnan opium was known at Canton and at Chinkiang in 1863 » in 1879 the production was variously estimated from 12,000 to 22,000 piculs ; in 1887 it was estimated at 27,000 piculs-A low estimate of the production to-day is 30,000 piculs-Kweichow opium was known at Canton in 1863. I# 1879 the estimates range from 10,000 to 15,500 piculs, in 1887 one authority estimates it at 9,000 piculs, and another states “ total production nearly as muchas Yunnan-A safe estimate of the production to-day must be fully 15,000 piculs. Kwangsi imports practically no foreign opium (22 picul 5 entered at Wuchow in 1905), and is a thoroughfare l° r Szechwan, Yunnan, and Kweichow opium for its own consumption, ­ and in transit to Kwangtung. The poppy is als° cultivated in the province, but to what extent is littl e known. The production of opium was estimated in X879 at 3,000 piculs, and may be put at the same figure to-day-For the Inland Provinces, not accessible at any tim e ' except Honan, to the invasion of foreign opium, the annua production may be put at 323,000 piculs, making for th e whole of China a total of 376,000 piculs. It cannot be asserted that this figure is measurably exact ; but it may be safely asserted that the productioU of opium in China to-day is, at the lowest, six-fold, and is more probably eight-fold, the quantity of the preset import of foreign opium. OPIUM 351 Morphia For one vice, both for its introduction and its maintenance, ­ foreigners must be held responsible. How or when the practice of injecting morphia was first introduced, except in hospitals, is not known ; it has been suggested that it arose from the well-meant administration of antiopium ­ pills containing the alkaloid, intended to satisfy the craving without the knowledge of the druggard that opium was administered in any form. However or whenever first started, hypodermic injections have taken hold, and the attention of the Chinese Government has been drawn to the necessity of checking the evil. The first record of importation is in 1892 : since that date the quantities imported ­ have been as follows :— Ounces. Ounces. 1892 . . 15,761 1898 .. 92,159 1893 .. 27,993 1899 . . 154,705 1894 . . 43,414 19OO . . 114,768 1895 .. 64,043 19OI . . 138,567 1896 .. 67,320 1902 . . I95T33 1897 .. 81,716 Up to April 1903 duty had been levied on import at the rate of 5 per cent, ad valorem, representing a tax of about Tls.o 08 per ounce ; then a prohibitory tax of Tls.3 00 per ounce, about 200 per cent, ad valorem, was imposed, and the imports declared to the Customs fell off as follows :— Ounces. 1903 106,148 1904 .. .. .. .. .. 128 1905 •• •• •• •• •• 54 An ounce of morphia will give from one to two thousand injections, according as they are for the requirements of druggards or the ordinary dose. The falling off in the last two years given above is explained, not by a diminished demand, but by smuggling. The latest endeavor (November 1906) of the Chinese Government to extirpate the opium evil is given in Appendix ­ F. 352 HHMPÍíSmSks CHAPTER XII THE INSPECTORATE OF CUSTOMS The foundations of the “ Foreign ” Customs were laid iu the necessities of the Chinese Government, and not in any demand by the foreign merchants that an improved revenue service should be provided for them. The forces of the Taiping rebellion, marching from Kwangsi in 1852, worked their way north through Hunan and thence down the valley of the Yangtze, destoying the fabric of Imperial Government ­ in all the provinces through which their devastating course was marked ; twelve months later they entered Kiangsu from the west, and in September, 1853, the Chinese city of Shanghai was captured. The limit of their advance was the moat of the city, the foreign settlements, imm e ' diately adjoining, being defended by the foreign nava forces ; and to this haven of refuge the Chinese official 5 all fled. The Custom House was thus closed by f° rCi majeure ; and for a time there was no authority to cofl eC the revenue from the important foreign trade of Shangha^ The merchants, then chiefly English and American, inherit the honorable traditions of the old factory days of Cant 011 ' and had no desire to evade the payment of their du^ 5 ' which had been placed upon a just and moderate basis ky the treaties of 1842 and later years ; and the Consuls, nevW armed with extraterritorial jurisdiction, conceived it to k e as much their duty to control as to protect their national 5 ' control being rendered the more easy by the fact that oO j three powers were involved. The first step taken to over the moratorium was an arrangement by which 1 foreign merchants declared to their Consuls the nature ti# // ’-.VI i ■ i Zü* Shanghai Custom House, 1854-1893. THE INSPECTORATE OF CUSTOMS 353 the merchandise imported and exported, and deposited at the Consulates bonds for the duty leviable thereon, which, be it noted, was on a moderate 5 per cent, basis. This was found, for many reasons, to be irksome to the Consuls ; and, with the approval of the British, American, and French Ministers, then at Shanghai, an agreement was made on June 29, 1854, between the Shanghai Taotai, Wu Kienchang, who was a refugee in the English concession, and the three Consuls, the British, (Sir) Rutherford Alcock, the American, R. C. Murphy, and the French, B. Edan, the first article being :— “ Rule i. The chief difficulty experienced by the superintendent of customs having consisted in the impossibility of obtaining custom-house officials with the necessary qualifications as to probity, vigilance, and knowledge of foreign languages, required for the enforcement of a close observance of treaty and custom-house regulations, the only adequate remedy appears to be in the introduction of a foreign element into the custom-house establishment, in the persons of foreigners carefully selected and appointed by the tautai, who shall supply the deficiency complained of, and give him efficient and trustworthy instruments wherewith to work.” Under this agreement a board of three Inspectors was nominated, British, Captain (Sir) Thomas F. Wade (afterwards ­ British Minister to Peking), American, L. Carr, and French, Arthur Smith. Only one of the three, Captain Wade, had any knowledge of the Chinese language or any aptitude for the duties of his post, and on his shoulders fell the chief burden of organising the new office ; and, on his resignation a year later, his place was filled by Mr. Horatio Nelson Lay, who had an equal knowledge of Chinese and equally good powers of organisation. The board of three continued, but the actual control came into the hands of the working member of the board. The attitude of the foreign merchants toward the new Inspectorate is shown by the representation addressed by 23 THE CHINESE EMPIRE 354 the American merchants to their Minister, Mr. Peter Parker, upon his arrival in Shanghai. “Shanghai, August 5, 1856. “ Sir,—We take advantage of your arrival at this Port to address you upon the subject of the continuation ­ of the foreign inspectorship in the Chinese Custom-house here, in so far as it affects American trade. “ When established here in the fall of 1854, chiefly at the suggestion and by the efforts of the Honorable Mr. McLane, the affairs of the Custom-house were in much confusion in consequence of existing political troubles in this neighborhood, and some remedy was ardently desired ; not only by those interested in securing to the Authorities their rightful dues, but by the great body of Merchants themselves, both English and American. “ The firms which we represent were unanimous in approving of an arrangement which promised to reform the abuses into which the Custom-house had fallen, and to put a stop to the irregularities prevailing. ­ “ Weunderstood, however, that the new institution was not intended to be permanent, unless continued political troubles and the concurrence of all the powers interested induced the establishment of the same system at all the ports. “ The first and pressing cause for its establishment here has passed away, the authorities having fully reorganized their affairs and being able under their own system and superintendence to conduct those of the Custom-house with as much effect as elsewhere ­ ; and with this cessation of any necessity f° r its continuance, we cannot but perceive the great disadvantage in which we are placed by it in comparison ­ with the other ports. Custom-house business in China under Chinese supervision is conducted THE INSPECTORATE OF CUSTOMS 355 witlCa facility which greatly aids in the despatch of business and the ready lading of ships when haste is of importance, while with the minute and in some respects vexatious regulations established by the inspectors, this advantage disappears, and this in itself is no small item in the account against us. Therefore, ­ while expressing our desire in all cases and circumstances fully to meet our obligations under the Treaty, a desire we have proved to be sincere by our conduct on all former occasions, we feel ourselves ­ called upon by the interests of the port and of those whom we represent, to press earnestly upon your attention the expediency and justice of abolishing ­ the present system.” British opinion was divided, some of the merchants supporting the American representation, while others approved of the existing régime and pressed for its extension ­ to all ports. The letter is noteworthy in three respects. It emphasises the unanimity with which the plan had been accepted, and it betrays a hankering for the flesh-pots of Egypt—for a return to the “ facility ” with which Custom-house business was conducted in China under Chinese supervision ; it also marks the inherent weakness of the arrangement in the stricter control applied to one only of the ports open to foreign trade. The last consideration was held to be the most important when the Tariff Commission met and, in November 1858, agreed to Rules of Trade, of which the tenth (substituting French and American respectively for British) was, for all three, as follows : “ Rule 10. Collection of Duties under one System at all Ports. It being, by Treaty, at the option of the Chinese Government to adopt what means appear to it best suited to protect its Revenue, accruing on British trade, it is agreed that one uniform system shall be enforced at every port. The High Officer appointed by the Chinese Govern- 356 THE CHINESE EMPIRE ment to superintend Foreign trade will accordingly, from time to time, either himself visit, or will send a deputy to visit, the different ports. The said High Officer will be at liberty, of his own choice, and independently ­ of the suggestion or nomination of any British authority, to select any British subject he may see fit to aid him in the administration of the Customs Revenue ; in the prevention of smuggling in the definition of port boundaries ; or in discharging the duties of harbour-master ; also in the distribution of Lights, Buoys, Beacons, and the like, the maintenance ­ of which shall be provided for out of the Tonnage Dues.” This article foreshadowed the appointment of an Inspector ­ General of Customs, and the obviously indicated person was Mr. Lay. Under his authority Custom Houses had been opened at seven ports when, in June 1861, he was granted leave of absence and returned to England. He resumed duty as Inspector General on May 9, 1863, and was relieved from duty on November 30 of the same year. A man of marked ability, he conceived that he was destined to be the Clive and Dupleix, the Lally and Hastings, of a renovated China ; and when he failed to induce the Imperial Government to share this view, he fell. While in England he had been commissioned to procure a fleet of gunboats for the repression of rebellion and piracy ; and the demand of Mr. Lay and his commander, Captain Sherard Osborne, that this fleet should be directly and solely under their orders, was one that could not be acceded to. The fl eet was accordingly paid off, the ships sold, and Mr. L&y " permitted to resign.” Mr. Robert Hart, “ The I. G.,” was appointed on June 30, 1861, to exercise conjointly with Mr. G. # Fitz-Roy the functions of Inspector General during Lay’s absence from China. The appointment by th® Prince Minister was communicated by a circular despatch signed by Mr. Hart and addressed to seven Commissioner 9 of Customs, including Mr. Fitz-Roy, viz :— THE INSPECTORATE OF CUSTOMS 357 At Tientsin, C. Kleczkowsky (French) ; „ Chinkiang, J. K. Leonard (American) ; „ Shanghai, G. H. Fitz-Roy (British) ; ,, Ningpo, Geo. Hughes (British) ; „ Foochow, W. W. Ward (American) ; „ Swatow, F. Wilzer (German) ; „ Canton, Geo. B. Glover (American). The appointment was in the following terms :— “ The Prince of Rung, by Imperial appointment, Minister and Superintendent ­ of Foreign Affairs, issues the following Instructions :— “ Whereas it is laid down in Article X. of the Supplementary ­ Treaty and Tariff, that, in order to the protection of the Revenue, one system shall be adopted at every port, and that, if it seems good to the officer deputed to administer the Customs’ Revenue, he shall employ Foreigners to assist him, whom he shall procure without Foreign recommendation or intervention, ­ &c. ; and Whereas, the Inspector General Li-tai-kwoh [Mr. Lay], now absent on sick leave, having introduced the Commissioners of Customs Fei-sze-lae [Mr. Fitz-Roy] and HEH-TEH [Mr. Hart], under whose supervision Customs’ Revenue has been ably and satisfactorily administered at Shanghai and Canton, the said Fei-sze-lae and Heh-teh were officially directed by the Imperial Commissioner, Hsieh, to exercise conjointly a general surveillance over all things pertaining to the collection of Customs Revenue and Foreign Trade at the Treaty Ports: Now, therefore, the Prince instructs the said functionaries, Fei-sze-lae and Heh-teh, that it will be their duty, officiating as Inspectors of affairs in accordance with the Treaties ; not allowing Foreigners to sell goods for Chinese, or the goods of Chinese to be clandestinely ­ included in Foreign cargoes, with a view to 358 THE CHINESE EMPIRE the commission of frauds ; distinguishing carefully Imports from Exports, and Native from Foreign Produce, and preventing the one being confounded with the other. “It will be their duty to report quarterly the amounts of Duties and Tonnage Dues collected, together ­ with the expenses of collection; their statements must be truthful, perspicuous, and accurate, and should be transmitted in duplicate, one copy being for the Board of Revenue, and the other for the Foreign Office. “ It will be their duty, inasmuch as it is impossible for the Chinese Government to form an estimate of the merits of the different Commissioners and other Foreigners employed in the public service, to take cognisance of the same, and make examination and inspection from time to time. “ As regards the salaries to be paid and the sums to be expended, the Chinese Superintendents of Customs and the Inspectors General will proceed conjointly to determine the same in accordance with the state of the Revenue at the ports, and with due attention to the prevention of waste and excess. “For the transaction of all business connected with the various classes of Foreign merchant ships that arrive or depart, the Chinese Superintendents oí Customs are commanded to consider it their duty to act in concert with the Inspectors General ; and the Inspectors General must make strict and faithful inquiry into all breaches of regulations committed by ships that presume to move about in contraven' tion of law, and into all cases wherein smuggling I s attempted or the revenue defrauded. Should any such irregularities and offences be allowed to occur, the Iu' spectors General will be held responsible for the same-“ The zealous and satisfactory manner in which business has hitherto been conducted, fully evinces that Fei-sze-lae and Heh-teh are trustworthy und THE INSPECTORATE OF CUSTOMS 359 to be depended upon ; the Prince, therefore, hereby confers on them the requisite powers and authority, and commissions them to officiate as Inspectors General. The salaries they are paid by the Chinese Government are liberal, and the responsibilities of the office to which they are appointed are very serious ; it therefore behoves them to be just, energetic, and assiduous in the performance of their duties. “ The Foreigners employed in the Customs are not to engage in trade ; mismanagement or bad conduct must be followed by dismissal from the service. “ The Officiating Inspectors General must not disappoint the gieat confidence the Prince reposes in them, in appointing them to their present Office. “ Let this Instruction be carried strictly into execution ­ ! “A Special Instruction, addressed to the Officiating Inspectors General of Maritime Customs, Fei-sze-lae and Heh-teh (Mr Fitz-Roy and Mr. Hart). “Hsiën-Fêng, lithyear, 5th month, 23rd day “ 2>oth June, 1861.” The office was in fact administered by Mr. Hart alone with his headquarters, in 1861, June at Peking, July at Tientsin, September at Peking, November at Shanghai • 1862, May at Canton, then back to Shanghai ; 1863, February at Canton, April back to Shanghai, where on May 9 he surrendered his office. Mr. Lay, resuming his office, established ­ himself at Peking. Upon the substantive appointment ­ of Mr. Hart; November 30, 1863, he established his office at Shanghai, and in May 1864 transferred the Inspectorate ­ General to Peking, where it has since remained. During his only two absences from China, in 1866 the office was administered by Mr. G. H. Fitz-Roy, and in 1878-9 by Mr. (Sir) Robert E. Bredon conjointly, first with Mr W Cartwright, later with Mr. I. M. Daae. Upon his appointment Mr. Hart found himself confronted ­ by the difficulty that each Custom House had continued the decentralised system characteristic of Chinese 36o THE CHINESE EMPIRE administration, and that each Commissioner, acting conjointly ­ with his Chinese colleague the Superintendent, looked to the provincial authorities and considered local needs, and was disinclined to conform without question to the leading given by the centralising office, the Inspectorate General. The ability and tact which he has shown so uniformly, and in so many instances since, were never more marked than in Mr. Hart’s first decade of office, the Sixties, when he had to reconcile the Imperial Government to a form of administration which, though working in its interest, was distinctly alien ; to lead, with small powers of compulsion, ­ subordinates of marked personality and of different nationalities to submit their judgment to his, and accept his instructions for their guidance ; and to introduce into Customs procedure the uniformity and system which are the necessary concomitants of effective administration. During that decade elementary questions were vital, and an unwise settlement could easily have undermined the foundations of the structure he was erecting. The Chinese Customs collect duty, not only on imports from foreign countries, but also on exports whether abroad or to another Chinese port, and on re-importation at a Chinese port collect an import duty ; they also collect tonnage dues on shipping, transit dues exempting from further taxation foreign imports ­ conveyed inland and native produce from inland marts intended for export to foreign countries, and, since 1887, likin on foreign opium ; with all this complexity there had to be maintained simultaneously foreign and native control, foreign and native record, and foreign and native report. To introduce simplification into this complexity was the task of the first ten years, and among the questions to be decided were : the regulation of the coastwise traffic ; the provision that the original duty payment exempted imports from further tax, instead of the provincial system of refund and repayment on each reshipment ; the regulation of the inland transit trade ; the compilation and publication of statistics ; pilotage ; emigration ; the ton equivalents of various lasts and metric and other tons ; and, above all, THE INSPECTORATE OF CUSTOMS 361 the proper dovetailing of the foreign and Chinese sides of the administration ; and all these were settled on lines which have endured. Mention must not be omitted of the lieutenants ­ who seconded the work of the Inspector General during this formative period. In addition to the seven mentioned before, who were Commissioners in charge of ports in 1861, it is right to record the work done in instituting this new experiment by, among others, E. C. Bowra, Chas. Hannen, Thos. Dick, A. Macpherson, and W. Cartwright, British ; E. C. Taint or, F. E. Woodruff, and E. B. Drew, American ; Baron de Méritens and A. Huber, French ; and F. Kleinwächter and G. Detring, German. In all matters of procedure and regulation—in administration ­ ad rem—the Inspector General has always referred to the Imperial Government, giving of course his views, and the instructions he has issued for the guidance of the Commissioners have always been based upon the instructions given to him by the Government, sometimes, in important matters, after reference to and report by the High Commissioners ­ of Trade, the Viceroys at Tientsin and Nanking acting ex officio ad hoc ; and the bilateral character of the Service is exemplified by the practice of issuing identical and simultaneous instructions through the Inspector General to the Commissioners and through the High Commissioners to the Superintendents. Originally the Inspector General’s phraseology was “ I have received the commands of H.I.H. Prince Rung to direct ” ; it then became “ I enclose for your information and guidance copy of a despatch from the Tsung-li Yâmen directing,” and this form (with the substitution from 1901 of the Wai-wu Pu, and from May 1906 of the Shui-wu Chu, for the Tsung-li Yâmen) continued to be adopted for over forty years. Given an Inspector General loyal to the Government he served, the most hostile scrutiny could detect no development of an alien imperium in imperio, and during a service of close on half a century not a breath of suspicion has ever been thrown on the I. G.’s entire loyalty to those whose salt he ate. In the administration ad personam the Imperial Govern- 3Ô2 THE CHINESE EMPIRE ment has never interfered. The aim in establishing the Inspectorate was, momentarily to secure from foreign traders a revenue which the disturbed state of the country might otherwise render precarious, and permanently to secure to the central Government the advantages of Western system and organisation in one branch of its revenue ; and at the outset it was recognised that it was “ impossible for the Chinese Government to form an estimate of the merits of the different . . . foreigners employed in the public service.” The Outer Barbarians could only be controlled by one of themselves, and the Chinese Government ­ having for that function found a man they could trust, trusted him. The appointment of a Commissioner in charge of a port, or his transfer to another post, has always been reported to the higher authorities, with the reasons influencing his selection ; but apart from this the Inspector General has been left to the exercise of his discretion in the appointment, promotion, and discharge of all placed under his orders, keeping in his own hands movements affecting foreigners, and leaving to the Commissioner at each port much of the control over the Chinese staff. During the period covered by the I.G.'s tenure of office there has pr°' bably nowhere in the world been any servant of the state so unfettered in the exercise of so large a patronage ; and th e general testimony is that his rule has been a benevolent despotism tempered, at times, by Legation representations* His rule has in general been marked by conspicuous fairness-Probably of no other man in the world, with so much personal power and such extended patronage at his disposalcan it be said, as it can of him, that his appointments 0 men connected with himself by ties of friendship or relationship have been so few. In general, under the administration of Sir Robert Hart (he was knighted in 188^1 there was developed a strong, loyal, honest, well-organised, and cosmopolitan service. The Customs Service is now (1906) organised in departments, the “ Inspector General of Customs and Posts being the directing head of all. % Mw# ; J o. -à*» i ir-ri B ~ wrzmr ■M » i tri 1,841 i 1,980 Total THE INSPECTORATE OF CUSTOMS 363 I. Revenue Department. 1. Indoor Staff, the executive, controlling and clerical branch. 2. Outdoor Staff, the inspecting and preventive branch. 3. Coast Staff, the preventive cruiser branch. II. Marine Department. 1. Engineers’ Staff, for construction of Lights, etc. 2. Harbors Staff, for Coast work in general and Harbor work at Shanghai. 3. Lights Staff, for operation of Lights. III. Educational Department. 1. Tung Wen Kwan at Peking, which after forty years’ good work was amalgamated with the Imperial University in 1902. 2. Tung Wen Kwan at Canton. IV. Postal Department (instituted in 1896 as a branch separate from the Revenue Department). The growth of the Service may be gauged by the following comparative statement of the numbers in 1875 and in 1906. I. Revenue Department : 1. Foreign Indoor .. 2. „ Outdoor .. 3. Coast Staff 4. Chinese Clerical 5. „ Non-clerical II. Marine Department : 1. Engineers’ Staff 2. Harbors Staff 3. Lights Staff 4. Chinese employees III. Educational Department : Staff IV. Postal Department: Control and Clerical Staff Non-clerical Staff Foreign. Chinese. 1875. 1906. 126 203 19 9 H 43 145 282 802 188 Foreign. Chinese. 343 754 ï 54 7 32 59 i 95 424 1,4171,345 672 950 2,858 [ 310 267 2,388 3,190 10,635 364 THE CHINESE EMPIRE The cosmopolitan character of the Service may be nature of the work done by the Chinese Customs Service, differing, as it does, so much from the work done by corresponding ­ organisations in other parts of the world. On the entry of a ship, her papers are deposited with the Consul of her nationality, to be surrendered only up OI j issue of a provisional Customs clearance. The passing 0 the import cargo proceeds much as elsewhere, but note 15 to be taken of the fact that from point to point the foreign ship and the foreign merchant are covered by the privilege of extraterritoriality. Against an offending ship the Customs have only three remedies, all strictly limited W treaty. For clandestine trading she may be prohibited from further trading along the coast, a penalty which never yet been enforced ; and for having on board u#' judged from the following table showing the number 0 each foreign nationality on the staff as it stood in 187^ and in 1906. Nationality. American Austrian .. Belgian .. British Danish Dutch French German .. Greek Hungarian Italian Japanese .. Luxemburger Norwegian Portuguese Russian .. Siamese .. Spanish .. Swedish .. Swiss 46 5 4 88 18 xo 738 28 I 34 9 2 42 iS 64 170 2 3 21 12 2 2 3 5 68 27 20 3 14 49 3 An attempt will now be made to give some idea of the THE INSPECTORATE OF CUSTOMS 365 manifested goods—for a “ false manifest ”—she may be fined after joint investigation and decision by the Customs and the Consul concerned, the limit of fine being Tls.500. The third remedy is in the withdrawal of an extra-treaty concession made by the Customs ; the treaties were made to fit the old sailing-ship conditions, and it is only in the modern steamer procedure that any means can be found for enforcing proper preventive measures, by the withdrawal ­ of the privilege of clearing before the payment of all import duties on the ship’s cargo, whereby the Customs are often forced to use a steam hammer to crack a nut. Against the merchant the Customs have even less power, and, in effect, any penalties for false declaration are enforced against the incriminated goods, and never against the offending merchant : to confiscate an importer’s goods and to fine him in addition for a breach of Customs regulations, ­ is unheard of in China. This arises partly from the very considerable degree of protection accorded to foreign merchants by treaty, and partly from the fact that there is no competent tribunal before which a revenue case can be carried ; the Chinese territorial courts are ruled out, the Consul is necessarily the advocate of his national, and the Commissioner of Customs is a party to the case. Goods, having paid their import duty, are in most countries free to go anywhere ; in China movement is taxed at every point, and documentary protection must be accorded ­ to imports at every point. This protection is given to foreign imports at any treaty port without further payment, provided that the original payment within three years past can be proved ; and so valuable is this protection ­ that Chinese produce may be shipped to a foreign port (e.g. Hongkong) and back to China, paying once duty on export and once duty on import, and a half duty on transport inland, and show a balance of profit over transport from the place of production direct to another place, perhaps only a couple of hundred miles away. At Shanghai the great volume of the re-export trade has caused the institution of a system of “ Importer’s Passes,” by which the importer THE CHINESE EMPIRE 366 may convey his rights to a purchaser. When re-exported to another treaty port, either by the original importer or by the purchaser under a pass, the goods are covered by an “ exemption certificate,” without which they are liable to import duty at the second port ; and the exemption applies only to goods in their original packing. If again re-exported, goods are again covered by exemption certifi' cate. If imports are intended for an “ inland ” place, i.e. any place not being a treaty port, the purchaser has the option of paying likin en route, or of paying half the import duty additional and obtaining a “ transit pass inwards, and being then exempt from likin. Chinese produce may be brought to a treaty port on payment of likin, or, if intended for shipment abroad, and only in that case, may be covered by a “ transit pass outwards ” on payment of a half duty. On shipment at any port export duty is paid, whether for a foreign of another Chinese port : in the latter case the goods are covered by a “ duty proof.” On arrival at a Chinese port a half duty is paid as “ coast-trade duty.” Upon reexport ­ to any destination from this second port the coasttrade duty is refunded ; if re-exported to a third Chinese port, the goods are covered by a “ duty paid certificate, and on arrival the coast-trade duty is again paid. Going inland these goods have no transit pass privilege, and the greatest confusion results from the necessity of distinguishing between, e.g. Swatow sugar shipped to Shanghai direct, thence re-exported to Hankow and thence going inland' and Swatow sugar going inland from Hankow after having reached there via Hongkong and Shanghai. Upon payment of tonnage dues a “ tonnage dr# 5 certificate ” is issued to the ship, exempting fro# further payment for a period of four months, which is extended by the time spent in effecting repairs in a Chinese port. Foreign opium, having paid duty and likin, is covers by labels affixed to each ball or small package, and e empted from all further payment so long as the labels a# THE INSPECTORATE OF CUSTOMS 367 intact. Native opium is since 1906 treated in the same way whenever it comes under the cognisance of the Customs. Since November 11, 1901, the Native or Regular Customs have been under the supervision of the Commissioner ­ of Maritime Customs at each port, lo exercise this supervision over a Chinese office run by Chinese methods, operating on a purely Chinese trade, with, to some extent, the original Chinese staff, and with little or no aid from foreign agents, and without published regulations or a unified tariff, is to impose on the Commissioner a task of quite a different character from his ordinary work, varied and complicated though that be, and calls for the exercise of the diplomatic function as much as the executive. He must not rub too much the wrong way those who have previously exercised control ; he must not render too much discontented the staff whose irregular practices he is there to check : while facilitating work to the traders by the introduction of regularity, he will find that too much unaccustomed ­ rigidity may lead to discontent and even to riot ; he must satisfy the representatives of the foreign powers in whose interest, to secure funds for due payment of the indemnities, he is placed in control ; his measures must be such as not to alienate the Chinese Government, whose servant he is, while he is often called upon to enforce against them the provisions of their own treaties ; and all this he must do from a position which, in some respects, is rather advisory than executive. In the control of the Foreign, as of the Native Customs, the Commissioner is freed from one responsibility, in that he does not handle the revenues. In a country in which the currency is a tangled mass of complexity, and banking is an exact science of great inexactitude, this would be an impossible function for the foreigner to assume ; and the Commissioner’s function is only to obtain a receipt certifying ­ to the payment to the properly constituted authority °f the amounts due, and to report the revenue so collected. Ihis authority is the Customs Bank, appointed by the Chinese Government at each port, and revenues received 368 THE CHINESE EMPIRE by the bank pass directly under the control of the Chinese side of the Customs, the Superintendent and not the Commissioner. ­ Malpractice by the bank might be made the subject of representation, but for effective action would be rather a diplomatic than an executive matter, the affair of the Consul concerned than of the Commissioner. The Coast Service for preventive duty is composed of 6 revenue steamers, officered by a special Coast Staff, 4 revenue cruising launches, 21 revenue launches, and 9 sailing-craft, officered by men detached from the Revenue Staff. For movement from one district to another, and f° r general control, they are under the orders of the Inspector General ; for personnel and matériel they are under the Coast Inspector ; and for control, discipline, supplia and work they are directly subject to the Commissioner in whose district they are. Besides their ordinary preventive ­ duty, the revenue steamers are used in connection with new Lights work and for supplying Lights, and f° f coast work (surveying, etc.) as well. The Marine Department is divided into the Engineers» Harbors; and Lights branches. The Engineer-in-Chief is charged with the construction of new and maintenance of existing Lights, and the pr°' vision of illuminating and other special supplies. ^ reports direct to the Inspector General on new proposal and on Lights work affecting the whole coast, and through the Commissioner, who has joint authority, on work affe 0 *' ing only one district. Under the superintendence at of Mr. David Marr Henderson and recently of Mr. J. Reginal Harding, there have been installed by this office and now working io6 Lights (of which 14 are of the first orde r ' and 39 are occulting, flashing, or revolving), 4 Light-vessel 5 ’ and 22 Light-boats. At the head of the Harbors Staff is the Coast Inspect^' who supervises coast work, surveying, sea, and river coU" servancy ; selects the sites for new Lights ; and is Jil technical control of all Harbors work and Pilotage China generally. He reports direct to the Inspect 0 * THE INSPECTORATE OF CUSTOMS 369 General on matters affecting the whole coast, and through the Commissioner, who has joint authority, on work affecting ­ one port or lying within one district. Subject to the direct control of the Commissioner, he has general control over the revenue steamers and their personnel. He is also charged with the general supervision—the direct control ­ being with the Commisioner—over buoys (hi established) ­ and beacons (105 established). Record must be made of the good work done by Captain A. M. Bisbee while he occupied this post. A Harbor Master, paid from Marine funds, exists only at Shanghai ; elsewhere the duties of the post are performed by the Tide Surveyor, a Revenue officer who is, under the Commissioner, in direct control of the Outdoor Staff. The Harbor Master is the official charged with the supervision of pilotage, conservancy, movement of shipping in port, and similar matters ; port regulations on these subjects are issued with the authority of his signature, but, as he is the subordinate of the Commissioner, ­ while the hand is the hand of the Harbor Master the voice is the voice of the Commissioner. In all these matters the Commissioner is the buffer between many conflicting interests, over which he can often exercise only an influence and not an authority ; he may, for example, be appealed to for a decision on a foreshore case, where the Chinese territorial authorities and a Consul acting for his national may hold opposite and irreconcilable views, where the Harbor Master is in theory expected to apply the principles of Chinese law, but where neither he nor the Commissioner can enforce his authority on the rival parties. Such a case becomes then a question of diplomacy, bringing in the heavy artillery of Foreign Office, Legation, and Inspector General, unless the Commissioner can devise a modus vivendi acceptable to all concerned. The Lights Staff consists of 58 foreign and 244 Chinese lightkeepers, the latter being subordinated at the larger Lights stations or in charge of the smaller stations. The maintenance of each light and the control of its staff are directly under the Commissioner of the district ; except 24 370 THE CHINESE EMPIRE that the Amoy Commissioner controls most of the lights in the adjoining districts—Foochow and Swatow, while the Shanghai lights and most of those in the Ningpo district are directly under the Coast Inspector. The Educational Department (merged in the Peking University by Imperial Decree of January n, 1902) had only an indirect connection with the Customs. It was supplied with funds through the Customs, and the Inspector General nominated to vacant chairs in the Peking College» and frequently “ lent ” men from the Customs for temporary instructing duty ; but the College was built up and directed for many years by the venerable Dr. W. A. P. Martin, educator and sinologue. The College at Canton, which still survives, is smaller, and is under the direct control of the Commissioner, as quasi colleague of the Tartar General, appointments to its staff being made by the Inspector General. The Postal Department will be more fully described in the chapter on the Post Office, and it will suffice here to show its connection with the Customs. In the early days foreign mails were sent along the coast by the primitive method of handing them to the steamer agents. The Customs organised a Postal Department for the transmission of its own mail matter, and in 1876 the postal facilities of the offices at Shanghai, Tientsin, and Peking, subsequently extended to Newchwang and Chefoo, were thrown open to the public, in order to provide uninterrupted communie^' tion with Peking and the north during the winter, when the northern ports were closed by ice. Communication was maintained by a trunk line of couriers from Chinkiang to Tientsin, a distance of 800 miles, and a postal servit organised by Mr. G. Detring, Commissioner at Tientsin, was in full working order by 1878. This “ Customs Post was found to be a convenience to the public, and in 188% the facilities were extended to all ports north of Fukio 11 ' In 1896 a decree was issued creating an Imperial Posh the organisation and management of which were entrust^ to Sir Robert Hart. The new establishment was thn 5 THE INSPECTORATE OF CUSTOMS 371 grafted on the Customs, which was called upon to provide men and funds for its development, and a new burden was laid on the shoulders of Inspector General and Commissioners. In the organisation of the Post, the Customs organisation was the foundation on which the structure was erected ; the Customs district became the Postal district, the Commissioner ­ of Customs became the District Postmaster, the Customs Accountant became the Postal District Accountant, ­ and the net balance of Postal receipts and expenditure became a receipt or payment entry in the Customs “Unclassed ­ ” account—and invariably a payment entry. The life-blood of Customs energy was drained away, but without this aid a Chinese service could not have been instituted ; without it an exotic organisation would have been formed, having its roots in Western practice but not satisfying the needs of China, and with it has grown up a Service which has grafted Western methods on Chinese requirements. An enormous mass of organising work was thrown on the broad shoulders of the Inspector General of Customs and Posts, and on his lieutenant, the Postal Secretary ; and a no less enormous amount of organising on the Commissioners. ­ It speaks volumes for the spirit which animates the Service that this unaccustomed work has been cheerfully undertaken and carried through. The Commissioner, as District Postmaster, is a Postmaster General for his district, which in most cases is of the size and with the population of many a European kingdom. He audits the accounts of each post office, and, with his accountant, prepares his district accounts ; he exercises a direct supervision over the working of the head office at his port, which serves as model for the other offices in his district, and is responsible that existing instructions and new procedure are properly understood and duly carried out ; he studies the needs of his district, and himself decides on opening new “ agencies,” corresponding to the fourth-class post offices of the United States and village grocery offices of England ; he refers to headquarters his proposals for opening “ branch offices ” or for raising the status of an agency ; and he is the medium 372 THE CHINESE EMPIRE of communication with the territorial officials and with foreign Post Offices established in his district. He is the responsible head of the district, and its working and personnel are subject to his authority. All this adds no small amount to the already extended work and responsibility of that Jack-of-all-trades, the Commissioner of Customs. Nor is this all. The many departments of work which devolve on the Customs in China trench so often on matters outside even the extended sphere of the Customs Service, that it is naturally and inevitably brought into touch with questions even more remote ; where the foreign merchant has so privileged a position, and the relations between foreign and Chinese are so complicated and have so many ramifications, it would be difficult to define the exact limits of a Customs establishment working on and in a situation characterised by the principles of extraterritoriality. To exemplify this by action taken by the Inspector General would be to give a resumé of the foreign relations of China for forty years, and it will be enough to refer to matters, purely local, in which the Commissioner of a port may b e called upon to intervene. The first recorded intervention was national rather than local, and constituted the several Commissioners the intermediaries for paying to the British and French Governments the quarterly instalments of the indemnities due under the treaties of 1858 and i860 ; the “ ist quarter ” for this purpose began on October 1, i860, and the successive quarterly reports and returns to the Chinese Government are still numbered from that date, the 184th quarter ending on September 30, 1906. Folio#' ing this precedent the Customs have often, both generally through the Inspector General and locally through th e Commissioner, been made the financial and disbursing age^ for the payment of indemnities or of principal and interet of loans. One such instance will suffice. In 1895 Canton authorities issued an internal loan of Tis.5,000,00 o » the prospectus and bonds stipulating that the bonds, * bearer, should be countersigned by the Commissioner 0 Customs at Canton ; the proceeds of the loan be receia THE INSPECTORATE OF CUSTOMS 373 by him ; the monthly instalments paid into banks to his order ; the coupons and drawn bonds paid by his cheque ; the register to be kept and bonds cancelled by him ; and in case of default the bonds should be received by him at face value in satisfaction of Customs duties. The Chinese Government recognised that the Chinese public would not trust its agents of the official hierarchy, but would trust the Commissioner, and the loan was a success. In times of foreign complication the reading and experience of the Commissioner have been freely drawn upon to supplement ­ the deficiencies of provincial officials, whose reading and experience offered them nothing to meet the exigencies of a novel situation ; and many a well-intended breach of international conventions has been averted, many an Asiatic incitement in dealing with a Western enemy has been withdrawn or modified, many a blunder based on Asiatic ignorance of modern conditions has been avoided, under representations made by the Commissioner, and pressed upon the notice of the responsible officials. The application of the principle of extraterritoriality, too, brings within the purview of the Commissioner many cases which are not strictly Customs matters ; and yet, apart from missionary cases, it may be said that there are few questions arising under this principle which do not touch in some way on commerce or revenue. In such cases it rarely happens that some one of the parties interested, the Chinese territorial authority, the Consul, or the foreign merchant, does not invoke the aid or the influence of the Commissioner, and it is one of his hardest tasks to limit the extent of his own interference. Even in cases where the apparent Customs connection is of the slightest, however, ­ it has often been found of the greatest advantage to all concerned to have the representative of the foreign side of a Chinese administration available to act as intermediary ; though a Chinese official, he is a foreigner, and though a foreigner, he is a part of the Chinese administration ; he supplies to the Chinese that connection with foreign ways and principles in which they have been lacking, and he THE CHINESE EMPIRE 374 supplies to the foreign Consul and merchant the intimate knowledge of Chinese legal and official machinery which they do not always possess ; and, in the past at least, his position may be likened to that of the man in the middle of the see-saw, able to raise or to depress, as he may judge the right to lie on one side or the other. The general testimony is that this position of influence has not been used arbitrarily, either in favor of the Chinese Government, whose servant he is, or in favor of the foreigners, to whom he is allied by birth and education. In all these local matters the closest touch has always been maintained witlq the Inspector General. Commissioners ­ have never failed to make the fullest reports to him, and from him have come the guidance and encouragement which have enabled them to grapple with questions beyond their ordinary capacity. He has seldom interfered unduly with “ the man on the spot ” ; but an illuminating sentence, coming from the experience acquired at the centre of affairs, has often supplied the missing thought unattainable by a more circumscribed knowledge. As one of themselves, I say of my colleagues that among them are many of sturdy independence of thought ; that, one and all, they are animated in their conduct by the strictest rectitude ; and that, with all their independence and with their varying national characteristics, no one # all these years has ever impugned their entire loyalty to their chief and the Government they serve, or the absolute impartiality of their administration. The appointment of Robert Hart in 1861 as Officiating Inspector General was communicated to the Commissioner 5 in charge of seven ports then open ; his substantive ap' pointment in 1863 was communicated to thirteen ports : and to-day he issues circular instructions to Commissioner 5 of Customs at forty ports, to six Likin Collectorates, and to four Postal Commissioners. The revenue collected f# the Imperial Government by the Service organised by hi# increased from Tls.8,296,275 in 1865 to Tls.37,o8o,457 in 1906. The foreign trade under its cognisance increased THE INSPECTORATE OF CUSTOMS 375 from Tls.121.898,792 in 1865 to Tls.674,988,988 in 1905 ; to these figures must be added Tls.28,523,449 in 1865 and Tls.128,647,510 in 1905, as the value of the original exports of Chinese produce carried coastwise. This gives Tls.803,636,498 as the value of the trade handled by the Customs during 1905, but, with the necessity of continuing documentary protection at every stage, the work done by the Customs is by no means measured by this value. During 1905 permits and protecting documents on import, export, re-export, re-import or transit inland, were issued for goods valued at Tls.1,737,546,961. Sir Robert Hart, the organiser of the Service which has done this work, was born on February 20, 1835, the same year in which the Empress Dowager of China was born. After graduating (A.B. and Senior Scholar) at Queen's University, Ireland, in 1853, h e was appointed Supernumerary Interpreter ­ to the British Superintendency of Trade at Hongkong in May 1854 ; and in May 1859 was granted special permission ­ to resign in order to join the newly instituted Chinese Customs Service. He was appointed Officiating Inspector General in 1861 and Inspector General in 1863. In May 1885 he was appointed Her Britannic Majesty’s Envoy Extraordinary and Minister Plenipotentiary to the Emperor of China and also to the King of Korea, but did not take up the appointment, and continued as Inspector General. His services to China and to the world have been recognised in a tangible way by the bestowal of many honors. From China he received in 1864 the brevet title of Provincial Judge, with civil rank of the third class ; in 1869 the brevet title of Provincial Treasurer, with civil rank of the second class ; in 1881 the red button of the first class ; in 1885 the order of the Double Dragon, second division, first class, and the distinction of the Peacock’s Feather ; in 1889 Ancestral Rank of the first class of the first order, dated back for three generations, with Letters Patent ; in 1901 the brevet title of Junior Guardian of the Heir Apparent ; and in 1902 he was received in Audience 3?6 THE CHINESE EMPIRE by the Empress Dowager and Emperor. His native land has recognised the distinction he has conferred upon it by making him in 1879 a Companion of the Most Distinguished ­ Order of St. Michael and St. George, in 1882 a Knight Commander, and in 1889 a Knight Grand Cross of the same order ; and in 1893 a Baronet of the United Kingdom. Other countries also have shown their appreciation ­ of the value of his work, and he has received decorations, many of them Grand Croix or Grand Officier, from Belgium, Sweden, Austria, France, Italy, Portugal, Norway, Holland, Prussia, and the Pope. From the United States has come the degree of LL.D., bestowed upon him by the University of Michigan. For native ability and power of organisation he may be compared, in one aspect or another, with John Lawrence and Alexander Hamilton. His monument is in the Service he created, and his life-record is in the history of the foreign relations of China during a period of forty years of transition. Another will sit in his chair, another will sign as Inspector General, but in the history of China there will be but one “ I. G.” CHAPTER XIII THE POST OFFICE An organised service for the conveyance of government despatches has existed in China for many centuries, the I-chan, or Government Service of Couriers, being mentioned in the records of the Chow Dynasty, the beginnings of which date back 3,000 years. During the succeeding centuries the necessity was always felt of maintaining regular communication ­ between the Emperor and his Government at the capital, and his officials and garrisons in the provinces ; and what may be called postal communication was as fully organised in China as it was under Persian Kings or Roman Emperors. The I-chan is wholly maintained by the State through provincial contributions from ordinary local taxes, the cost being estimated in a joint memorial to the Throne in 1902 by the two Yangtze Viceroys, at some Tls.3,000,000 annually. The service is under the supervision of the Board of War at Peking. The direct control is exercised by the Cart and Chariot Department of the Board, and, under it, the Horse Office controls the couriers and their horses, and the Despatch Office receives and forwards the official mails at the capital itself. At each provincial capital is a Director of Posts, a military officer appointed by the Board of War, and placed under the orders of the Provincial ­ Judge, his duty being to see that despatches are transmitted without impediment. The actual forwarding is done by each District Magistrate from border to border of his district, and the cost is a charge on his budget. With the constitutional conservatism of Chinese officialdom in matters of expenditure—in never letting go a good thing when they have it—the full machinery of the I-chan is still maintained, though, when available, steamers and railways are now utilised for the more rapid transmission of despatches. 3 77 37§ THE CHINESE EMPIRE The Wenpao Chii, or Document Office, is an offshoot of the I-chan, but quite independent of it. On the appointment of Ministers to foreign countries in 1875, it became necessary to arrange for the transmission of their despatches between Peking and Shanghai, where they could be deposited in and taken from the foreign Post Offices ; and offices were opened for this purpose at Tientsin and Shanghai. In subsequent years offices were opened at Yangtze ports from Hankow down, and at coast ports as far south as Canton ; and much of the work of the I-chan along the coast and on the Yangtze is done by these offices. Notwithstanding the development of the Imperial Post, the Wenpao Chii continues to function-The only really Government Post open to the public, organised by Chinese officials, was established in Formosa. When, after the attack by the French naval forces in 1884-5» the attention of the Imperial Government was drawn to the necessity of organising the island as a province, the Imperial High Commissioner and Governor, Liu Ming-chuan, introduced several startling innovations, among them a railway and a Post Office. For the latter it was at first proposed to adopt adhesive stamps, and they were ordered from England in two denominations, red 3-cent for short distances, and green 5-cents for longer distances. The simplicity of an almost uniform tariff worked, as always in China, against its adoption ; and these stamps had a history unique in philately, being used for railway tickets. Thi 5 Post Office was ultimately organised on the following lines Mails were carried by couriers on foot. The postal routes were divided into stages, averaging a day’s journey in length, or, say, 70 to 100 h-Letters and packages were carried at the rate of 2° cash per tael per stage, with additional charge 0 for delivery at places not on the main routes. Postage stamps were of two kinds—official an» ordinary. The former were supplied to pubfi c offices, free of charge, to be used on officia* mail matter ; and the latter were sold to the public. As regards stamps, the system #a* 4. THE POST OFFICE 379 cumbrous. Stamps were not sold to the public indiscriminately. Any one who had a letter to forward, say from Tamsui to Tekcham, took it to the Tamsui district Post Office, where he prepaid 60 cash for the three stages, and got a receipt for his letter, the Post Office affixing the stamp. The letter was then sent on to Taipei, and thence to Tiongleck and Tekcham, receiving at each stage an additional stamp, probably as evidence of the responsibility of the affixing office. This organisation fell on the cession of Formosa to Japan in 1895. These are the postal organisations instituted by the Government of China, and, except in Formosa, for the transmission of official despatches only. The people of China are essentially a literary and commercial people, and in both capacities are a letter-writing people ; and for centuries past they have attended to the transmission of their business and family correspondence with no more support or interference from the Government than is given to any other commercial undertaking. This they did by “ Letter Hongs,” usually established by a remittance bank or a merchant’s firm having its own business connections with certain other places, and having its own correspondence to forward, undertaking for a consideration to forward the letters of other people, and gradually extending their postal operations to other places in the same direction to which their ordinary business does not extend. Under this system very strong letter hongs have been developed, utilising every means of conveyance, and meeting in every way the wishes of the public ; maintaining fast special services where they are wanted, content with slow channels where economy is the first object, keeping open until after midnight 'when that hour is more suitable, and, most attractive in China, making the addressee pay a portion of the postage, usually half. The transmission of silver, bank drafts, and parcels is a most lucrative part of their business. They have 38o THE CHINESE EMPIRE a tariff, more or less fixed according to distance, ranging from 20 cash (%d.) to 200 cash (5í¿.) for each letter, but are not particular to an ounce or two in the weight ; and these rates may be reduced to an important customer or commuted for an annual subsidy, while smaller people will ordinarily pay more, and addressees are regularly mulcted in extra payments. On the whole the system has suited admirably the public which it serves, but has the fatal defect, from a national point of view, that it does not encourage postal development on lines not immediately profitable, the funds for this purpose, derived from the more profitable routes, being diverted to private pockets. Any national and general postal organisation has thus two strong vested interests to encounter : the first, the official interest in the expenditure of Tls.3,000,000 annually in rendering a service which could be performed by other hands at less than half the cost ; the second, the com' mercial interest in a profitable business enterprise, under a government which never coerces the people but acts mainly by moral suasion and on the principle of “ h ve and let live." The Imperial Post was established by Imperial Decree on March 20th, 1896, as the result of a long experiment begun as far back as 1861 by the Inspector General of the Chinese Maritime Customs Service, Sir Robert Hart > and Mr. T. Piry traces the development in his report 011 the Working of the Post Office for the year 1904 :— “ Early in the ‘ sixties,’ during the first few winters after Foreign Representatives took up their resident at Peking, the Legation and Customs mails we# exchanged between Shanghai and Peking, under th e auspices of the Tsung-li Y âmen, by means of the Govern ment couriers employed for the transmission of offi cia despatches. It was then found convenient to arrange that the Customs should undertake the responsibility of making up and distributing these mails, a practi# which, for the overland service during the win# months, involved the creation of Postal Departmen THE POST OFFICE 381 at the Inspectorate and in the Custom Houses at Shanghai and Chinkiang, and, similarly, for the transmission of mails by coast steamers during the open season, the opening of quasi-Postal Departments in the Tientsin and other coast port Custom Houses. At that early date it could be seen that out of this simple beginning might be elaborated a system answering other and larger requirements, on the principle of a National Post Office. This idea gradually shaped into form and had already so much ingratiated itself in the official mind that in 1876, when the Chef00 Convention was being negotiated, the Tsung-li Yâmen authorised the Inspector General to inform the British Minister, Sir Thomas Wade, that it was prepared to sanction the establishment of a National Postal System and willing to make it a Treaty stipulation that postal establishments should be opened at once. Unfortunately, through, so to speak, a conspiracy of silence, the insertion of the postal clause was omitted in the official text of the Treaty, and thus the project was postponed sine die. Meanwhile, ­ however, the experiment was persevered with and warmly encouraged by the Imperial Commissioner Li Hung-chang, who promised to ' father ' it officially as soon as it proved a success. Hence the more formal opening of Postal Departments at various Custom Houses, the 1878 experiment of trying a Native Post Office alongside the Customs Post, and the establishment of Customs couriers from Taku to Tientsin, from Tientsin to Peking, and the Customs winter mail service overland from Tientsin to Newchwang, from Tientsin to Chefoo, and from Tientsin to Chinkiang, as also the introduction of Customs postage stamps in 1878. “ The growing importance of the Service thus quietly built up and its convenience for regular communications ­ with Peking and between Treaty ports were not only appreciated by the foreign public, but 3&2 THE CHINESE EMPIRE were also recognised by the foreign Administrations having postal agencies in China. In 1878 China was formally invited to join the Postal Union. In the same year, while on a visit to Paris, the Inspector General was sounded by the French Minister for Foreign Affairs as to a possible way of withdrawing the French Post Office in Shanghai ; and while, more than once, the British Postmaster General at Hongkong expressed his readiness to close the Hongkong Post Office agencies along the coast, arrangements were actually discussed for the absorption by the Customs Department ­ of the Municipal Post Office at Shanghai. But no definite response to these overtures could be given, or final steps taken, before the Chinese Government had declared its intention to undertake national responsibilities ­ ; and the Customs Department continued to satisfy only certain wants and prepare the system for further development till, twenty years after the Chefoo Convention, the Decree of the 20th March, 1896, appeared. This Decree created an Imperial Post for all China, to be modelled on Western lines, the organisation and management of which were confided to Sir Robert Hart, who from that date has acted in the double capacity of Inspector General of Customs and Posts. “ This long hesitation on the part of the Chinese Government to formally recognise and foster an institution known to have worked with such profitable results in foreign countries, both from public att^ revenue standpoints, may be to some people a matter of surprise. But it must not be forgotten that from immemorial times the Chinese nation has possessed two postal institutions : one, the I-chan (or Imperial Government Courier Service), deeply rooted in officii routine ; the other, the Native posting agencies, long used and respected by the people. Both give employ ment to legions of couriers, and are still necessary the requirements of an immense nation ; they ca# THE POST OFFICE 383 neither be suppressed, transformed, nor replaced at a stroke. The Imperial decision therefore only gave final sanction to a new and vast undertaking, but abolished nothing : it is through competition and long and persevering efforts that the two older systems must be gradually superseded and the implantation of the National Post Office patiently pursued.” The first notification of the extension to the public of the Customs postal facilities appeared in the Shanghai newspapers in the following terms :— CUSTOMS NOTIFICATION Winter Service Postage Stamps and copies of Postal Tariff may be obtained on application at the Customs Postal Department. (Signed) J. H. Hart. Shanghai, 16th December, 1878. This winter service was organised by the Tientsin Customs Commissioner, Mr. G. Detring, in 1876, so as to maintain, with an overland courier service via Chinkiang, the postal communications with the outer world necessarily interrupted by the port of Tientsin being ice-blocked. Mr. Detring sent to Shanghai one of his Writers, a Mr. Wu Kuan, who, under the control of the Shanghai Commissioner, supervised the overland courier service to the north. This department, which was called the Shu Hsin Kuan, or Post Office, was opened on July 24, 1878, and started with a staff of seventeen men. Under instructions issued in December 1882, the system was extended to all treaty ports north of Fukien, but still working on “ Postal Department ” principles, and this continued until the issue of the Imperial Decree in 1896. Up to this time Mr. Detring had, under the Inspector General, been mainly responsible for the organisation and development of postal work, under the designation of Postal Commissioner. In 1896 Mr. H. Kopsch was appointed the 384 THE CHINESE EMPIRE first Postal Secretary ; he was succeeded in 1897 by Mr. J-A. van Aalst ; and he in 1901 by Mr. T. Piry, to whom the present organisation of the Post Oifice is mainly due. Under its present organisation the headquarters of the Imperial Post Office are at Peking, where all postal affairs are dealt with by the Postal Secretary, under the Inspector General of Customs and Posts. There is also at Shanghai a Deputy Postal Secretary to attend to supplies. The Eighteen Provinces and Manchuria have been divided into postal districts, now forty-one in number. Next to the headquarters staff come Postal Commissioners—now four» at Peking, Hankow, Shanghai, and Canton—exercising direct control over their own district and a supervising direction over neighboring districts. The other treaty-port districts are under the Commissioner of Customs acting ex officio &s District Postmaster ; and the inland districts, six in number, are under District Inspectors stationed at the respective provincial capitals. Each Head or Sub-Head Office has under it a certain number of subordinate offices ; these are of three kinds : Branch Offices, at which the Imperial Post Office maintains its own staff on its own premises ; Inland Agencies, at which licensed Agents, who are usually substantial shopkeepers of the place and guaranteed, undertake all postal business, inclut' ing the delivery of correspondence, in return a fixed commission and certain other emoluments » and Box Offices—that is, small shops in which the Imperial Post Office places letter-boxes, cleared a certain times during the day, and where the owner» under license and guarantee, is allowed to sel stamps to the public in return for a small co0' mission : ordinary postal business, including reg lS tration, can be effected at these shops, but th e owners do not undertake delivery. Box Ofh ceS are placed in all large cities as adjuncts to th e Head and Branch Offices situated there. in THE POST OFFICE 385 addition, in certain cities are to be found street pillar-boxes, which are cleared at regular intervals. All Branch Offices established at important places undertake the transmission of small sums of money by means of a Money Order system, with a limit of $50 for places served by steam, and $10 for other places. The size of each postal district was originally determined by consideration of the distance, the density of population, and the means of communication available in the district ; but, the limits once defined, it has been left to Postmasters to extend to inland places within their districts on certain broad lines fixed by headquarters, and this extension, begun in 1901, is continued; and it is intended to open and establish direct postal routes to as many as possible of the prefectural and district cities, and to bring every open place into postal communication, via the Treaty ports or Peking, with the foreign mail termini at Shanghai, Tientsin, Canton, thence with Union countries and the outside world. The result of this first period of extension has been that at this date the Imperial Post Office is to be found and all postal business can be transacted in every provincial capital of the Empire, in most prefectural and district cities, and in the more important smaller centres and towns throughout China. The total number of establishments ­ on December 31, 1906, was 2,096. Communication between Imperial establishments is kept up by means of contract steamers on the coast and large rivers ; by railways where they exist ; by steamlaunches, junks, or hong-boats on the inland waterways ; and on the numerous overland routes, which now measure over 110,000 li (35,000 miles) in length, by mounted or foot couriers. The coast and river steamers and launches run on certain lines and between fixed points, and are availed of wherever possible. Railways are still in their infancy in China, but lines already open are used to their full extent. Hong-boats are chiefly used in the southern part of Kiangsu a nd northern Chekiang—a district with a large network 25 144 386 THE CHINESE EMPIRE of canals and small creeks, many of them unnavigable by launches. This part of China is also very densely populated, and although the Shanghai, Hangchow, and Ningpo districts are not extensive, they contain an unusually large number of post offices, a remark likewise applicable to the Canton delta districts. Communication by couriers, of a kind to fulfil the requirements of a Postal Service built up on Western lines, has naturally been no easy matter in a vast country lik e China, presenting every variety of geographical features and where public roads are utterly neglected. Old-established ­ trade routes are usually followed, even at the cost of extra distance, as offering greater safety for the couriers, and as capable of convenient subdivision into stages, from the number of towns and villages found on them. Stag# are generally limited to ioo li (33 English miles), and the couriers run according to schedule on fixed days ; but oO the main routes speed is accelerated as much as possible, daily despatch being ensured on them for light mails and an every-two-days or semi-weekly service for heavy mail 5. For light mails night-and-day foot couriers are used 111 some parts and mounted couriers in others, raising speed to 200 li (or 65 miles) per day. The couriers af e the employees of the Imperial Post Office, and W#* uniforms or badges. As actually constituted, the staff of the Imperial P° s Office includes— Foreign Inspector General and Headquarters Staff Postmasters ex officio Postal Commissioners Postmasters, Deputy Postmasters, and Assistants District Inspectors Postal Officers Mail Escort Officers 5 33 4 14 4 78 6 THE POST OFFICE 387 Chinese Inspecting Clerks .. .. .. 29 Chinese Clerks—linguists .. .. 319 „ non-linguists .. 674 Postal Agents .. .. .. .. 1,361 Writers .. .. .. .. .. 5 Sorters, Letter-carriers and Couriers, and Miscellaneous .. .. .. 3,190 5,578 Total Foreign and Chinese .. 5,722 The functions of Postmasters are for the present fulfilled by the Commissioners of Customs authorised to act at the Treaty Ports as Postmasters ex officio, or, for a few ports, by separate appointees. Deputy Postmasters are additional ­ at the largest ports. District Inspectors reside in the interior in charge of sub-districts or travel on tours of inspection of the inland establishments. Postal Officers supervise all Service details at Head Offices, and control from there all the routine work and active operations carried on by native hands throughout the districts. Chinese linguist clerks possess a practical knowledge of English, and do duty at Head Offices or act in charge of Branch Offices at places where foreign communities are found. Nonlinguists ­ are not required to know a foreign language, and work at Head Offices under the linguists, or in charge of various establishments inland. Grades and rates of pay are fixed, and all employees advance by promotion. Chinese clerks are all guaranteed, and the whole system which, in the main, rests on their honesty and their efficiency, works satisfactorily, cases of loss, misbehavior, or peculation being of extremely rare occurrence. A uniform and elaborate system of accounts has been devised for recording all receipts and expenditure. Each Head Office, under foreign supervision, keeps the accounts °f its district and renders them to Peking, where they are 388 THE CHINESE EMPIRE audited and passed to a General Account for the whole Service. The organisation as above described, incomplete as it is yet, answers the most immediate requirements of postal work ; and the progress made these last few years—that is, since steady expansion began in 1901—vouches for the soundness of the system upon which it is established. A few comparative figures will prove interesting. District Offices Branch Offices Agencies Articles dealt with Parcels : number ,, weight in lbs. Letters in Native clubbed mails 1901. 30 134 12 10,500,000 126,800 552,000 7,300,000 1903. 34 320 609 42,500,000 487,000 2,673,000 7,267,500 1905. 41 396 1,189 76,000,000 1.132.000 7,176,400 8.896.000 1906. 38 484 i,574 113,000,000 1.383. 000 9.482.000 Divided between the four large geographical divisions of China, the results for 1906 can be summarised as follows :— Establishments. ­ North China : Peking to Kiaochow Central China : Kiukiang to Chunking Lower Yangtze : Wuhu to Hangchow.. Southern China and Yunnan Stations.. 696 415 322 663 Articles. 37.000. 000 17,500,000 38,500,000 20.000. 000 Parcels. nnO Total 2,096 i X 3,000,000 A few words must be said on the financial means of this large Service. It may not be generally known that, n ot only had the postal experiment started in 1861 to b e carried on for over thirty years against numerous difficulté and without the avowed support of the Government, but, even after its formal recognition in 1896, without %nY special pecuniary help from it. The Customs Service, under the leadership of Sir Robert Hart, had alone, from the THE POST OFFICE 389 beginning, to support this stupendous enterprise, lending to it the assistance of its staff and such resources as it could spare ; the independent and quiet creation of an administration so new and so useful is the more wonderful in this immovable country, and it will not be the least of the services rendered by the Customs and its chief to China and her people. In the middle of 1904 the Chinese Government, ­ confident at last of the ultimate success of the National Post Office, granted the subsidies required to bring up this Service to a state of completeness. On June 12, 1904, the Inspector General was notified by the Yâmen that in future an annual grant of Hk. Tls.720,000 would be issued, payable in monthly instalments of Hk. Tls. 10,000 at six of the Treaty Ports—Tientsin, Shanghai, Hankow, Foochow, Swatow, and Canton. This grant has not been received in full, not more than half being forthcoming, but it enables the Service to provide for its actual money deficiency. The Post Office is worked “ on the cheap." Chinese cheap labour is utilised to the fullest extent compatible ­ with paying a sufficient living wage to remove from the staff the necessity of supplementing it by peculation ; and in addition much is still provided from funds of the Revenue Department of the Customs. The salaries of the Inspector General, the Deputy Postal Secretary, the District Postmasters ex officio, the District Accountants, and many subordinate employees are not a charge on postal funds ; the mass of printed forms required, about thirty million in a year, are provided without special accounting ; office accommodation is provided on Customs premises at many °f the smaller ports ; steamer mail subsidies are paid from Customs funds ; and it is probable that a complete severance ­ of Customs and Postal expenditure would add to the fatter some lakhs of taels a year. It must be acknowledged that the Postal undertaking has long passed the experimental stage. Large communities, mreign and Chinese, are now dependent on the Imperial Post Office for the transmission of their correspondence, and the public duties of the Service increase every day. 390 THE CHINESE EMPIRE New establishments are wanted in every direction, and at those now open the work is becoming heavier. The system hitherto followed, to stretch out lengthy lines of couriers so as to rapidly bring all large cities of the interior into communication with treaty ports, had to be carried on without special regard to the local exploitation of each great centre, and, as a consequence, many are still only provided with Agencies quite inadequate to their requirements. ­ Every ju and hsien city should now have its own and properly constituted Post Office, able, separately, to undertake the establishment and control of agencies or box offices in all the localities in its neighborhood. A larger staff and larger means are required for this, and it is obvious that until this is done much of the advantages and possibilities of the new system will be neglected. These considerations have been brought to the notice of the Chinese Government, and effective official support in various directions ­ is now assured. Doubts can no longer be entertained that the Postal programme is definitely accepted and welcomed in official circles, and we have seen in Shansi, Honan, Hupeh, and some other provinces the high provincial ­ authorities issue, of their own accord, remarkable proclamations making known to the population the character and aims of the Imperial Post Office, and enjoining upon all to welcome and support it as the national institution. ­ There is now no more trouble, on the opening of new establishments, to obtain local proclamations from the authorities of the place, and, in fact, Magistrates not unfrequently apply of themselves for the planting of establishments ­ in their cities, and wherever protection is asked for offices or couriers it is readily granted. Indications ­ are seen everywhere of the growth of the institution its low rates, quickness, and regularity draw the public more and more to its counters. China has not yet formally entered the Universal Postal Union, but special Conventions entered into with Japan, France, Hongkong, and India place her, through the intermediary ­ of the contracting Administrations, in exactly the THE POST OFFICE 39% same postal relations with all Union countries as if she had already joined it. Under these Conventions Chinese mail matter for abroad, franked in Chinese stamps, is handed over in open bags to the foreign Post Office at the foreign mail terminus port, and that Post Office, by date-stamping each cover, confers on it the right of admission into any Union country in the world ; on the other hand, the foreign Post Office hands over in a similar way its incoming correspondence ­ for transmission through Chinese lines. There is thus between the Chinese and foreign Offices an exchange of services which are paid for, as is done by any two Union countries, on the basis of yearly statistics taken during the first twenty-eight days of Mayor November of alternate years, and which are settled at the established Union rates. For this exchange of services foreign governments have made ample provision. At Shanghai, where a reason for the presence of a few of them exists in the necessity of connecting ­ with various national and subsidised lines of mail steamers, there are no less than six foreign Post Offices— British, French, German, American, Japanese, and Russian —and, to utilise fully the postal facilities of the port, the public may find it expedient to keep supplies of the postage stamps of seven nations. At other ports no such necessity now exists, but foreign Post Offices, from one to five (the American not participating), have been established at twenty-five ports, not including French Offices at Mengtsz and Chungking for an internal and purely Chinese postal traffic. Of these, the British offices were established many years ago to supply the need of merchants when no other postal facilities were offered to the public ; but, except at Shanghai, the others all date from the general scramble for political influence of the past dozen years. It should be remembered here that in dealing with international correspondence, China in every respect conforms ­ to the rules of a Union country. In April 1896, shortly after the promulgation of the Imperial edict establishing ­ the National Post, China addressed the Conseil Fédéral Suisse, notifying the creation of the Imperial THE CHINESE EMPIRE 392 Postal Service, and her formal intention to join the Union as soon as organisation permitted ; meanwhile her Post Offices, as they opened at the Treaty and other ports, were to observe Union practice and rules. These declarations she confirmed again before the Universal Postal Congress of Washington in 1897, and ever since she has acknowledged, at these places, Universal Postal Union regulations and rates. Consequently, all international mail matter, to and from Treaty Ports and steam-served places, are passed free at Chinese Offices if fully prepaid at Union tariffs, and when a tax is applied for insufficiency of postage, it is done in conformity with Union rules. To non-steam-served places, where communications have to be maintained by a costly service of land couriers, the rule remains the same for light articles—letters and postcards ; but on printed matter and other heavy mail articles the Chinese Administration ­ imposes a domestic charge, distinct from Union rates, to cover courier expenses. As regards more particularly ­ mail matter arriving from British places at the penny postage rate or from the United States at American domestic rate, if received for distribution at Shanghai, it is distributed free, but if received for further transmission through the Imperial Post Office system, it is taxed in conformity with Union rules. The native letter hongs present a far more difficult problem. Entrenched in monopoly and possessing a profitable vested interest in postal work, they obtain the backing which is always given in China to vested interests, and even the provision of cheaper postal facilities to the public does not prevail against their plea that “ they are there, and wish to remain there.” Compulsion and the monopoly of postal transmission to the Government Office are out of the question, and the Imperial Post has been driven to invite them to co-operate. Registration hurts no one, and they have been given practically free transport * for their closed mails—called “ clubbed mails ”—along the coast, and these mails they have consented to hand over * A charge for transport was imposed from November 1906 THE POST OFFICE 393 for transmission. Unprofitable inland lines they have been willing to abandon, but for the profitable routes they fight tooth and nail. Between them and the National Post it is “ a fair field and no favor,” and the latter, with fixed rules and more or less fixed hours, is heavily handicapped against business agencies with flexible rules and no hours to speak of. The Chinese trader and official know no limitation ­ to their hours of business, and they patronise the agency which consults their convenience. The Post Office must close at some fixed hour, even if it is at 9 or 10 p.m. The business agency can remain open until 2 or 3 or 4 a.m. if thereby business is furthered, and makes a practice of collecting mail matter, even at those hours, from its clients’ places of business. By these conditions the Post Office in China is driven to develop on lines of its own, without much regard to procedure elsewhere, and several innovations have been introduced experimentally. An “ express delivery ­ ” system has been instituted at and between Peking, Tientsin, Shanghai, Hankow, Foochow, and Canton ; house to house collection has been started in the business section of certain large cities ; and, in general, every effort is made to increase postal facilities to meet the views of an exacting Chinese public. va-# : äs w. •>: 395 APPENDIX A The reform of the government has been taken in hand, and below are given two Imperial Edicts issued on November 6, 1906. REORGANISATION OF MINISTRIES AT PEKING I. We have already issued an Imperial Decree to prepare for a Constitutional Government, and we have appointed at the same time Duke Tsai-Tse and others to compile administrative reforms and Prince Ching and others to supervise the same ; and such reforms, we have decreed, will be carried out after receiving our sanction. Now, the said Princes and High Commissioners ­ have presented the draft administrative reforms for our perusal and asked us to scrutinise the same, after which to be duly promulgated. Since the reigns of ancestors of our dynasty there have always been Constitutions and a proper administrative system, but these were made to meet the necessity of the times, and the present state of affairs is quite different from the days of old, and such shall be taken into consideration according to the circumstances. However, it is important solely to have people who are responsible for their acts, and to erase all the abuses and to have effective administration instead of nominal, and to re-organise all the offices in a practical manner. The Grand Council is the centre of all the departments of administration, and it was at first established out of the Grand Secretariat in the reign of the Emperor Yungcheng, and lately the Council has been in close touch with the Throne and daily in attendance ­ in the Palace to receive Imperial orders. This usage it is desirable to maintain, as it is able to maintain secrecy and to deal with state affairs more promptly ; and, moreover, there having been no abuse hitherto, there is no reason to abolish the same, and therefore the Grand Council will remain as hitherto without any change. The Presidents of the Boards are hereby appointed also to act as Tsanyu Chengwu Tachen or Ministers °f State, and they are ordered to attend the Palace on duty, deciding their date of attendance by rotation, in order to communicate ­ their views to the Throne and to reply to questions from the Throne. 396 APPENDIX A The Waiwu Pu (the Board of Foreign Affairs) and the Li Pu (the Board of Civil Appointments) will be the same as hitherto. The police affairs being only a part of civil administration, the Board of Constabulary is hereby re-named the Board of Civil Administration or Min-cheng Pu. The Board of Revenue or Hu Pu is re-named the Board of Finance or Tuchih Pu, in which the Council of Finance or Tsaicheng Chu is included. The Board of Rites is hereby amalgamated with the Courts ot Sacrificial Worship, Imperial Entertainments, and that of State Ceremonial, and will remain under the old name of Lee Pu. The Board of Education remains as hitherto. The Ping Pu or Board of War is re-named Luchiin Pu, and the Board of Army Reorganisation and the Court of Imperial Stud amalgamated in it. It is also decided to take charge of the affairs of the Navy and General Staff until the establishment of a Board of Navy and General Staff which will be established in future. The Board of Punishment is re-named Fah Pu or the Board of Justice, to be responsible for all the judicial administration ­ ; and the Grand Court of Revision is re-named Tali Yuan or Court of Cassation, which is to take charge solely of the matter of trying civil litigations and minor cases. The Board of Works is amalgamated with the Board of Commerce under the new style of Nung-kung-chang Pu. The affairs relating ­ to steamships, railways, telegraphs, and postal administration ­ are now placed under a new Board called the Board °* Communications or Yuchuan Pu Lifan Yuan or the Mongolia^ Superintendency is hereby re-named the Lifan Pu or the Board of Colonies. Except the Waiwu Pu, the system of which will remain as hitherto, all the other Boards will have one President and two Vice-Presidents, without making any distinction between Manchu and Chinese. . .. The Censorate is an office where the administative official are looked after and either impeached or recommended according to the circumstances. Now one President and two Vice-Presidents are appointed to the Censorate, and the Supervising Censors ot the Six Boards are to be called merely Supervising Censors-Otherwise there will be no change. The Tsecheng Yuan or Government Council, where the pr^' minent officials are appointed to assist in state affairs, and Shenchi-yuan or the Court of Auditors, where all the revenue 5 and expenditures have to the audited, will be newly established-The Imperial Clan Court, Hanlin Yuan, Imperial Board o Astronomy, Imperial Equipage Department, Imperial House' hold, Banner Battalions, Imperial Guards, Peking Gendarmerie 5 - the city of Peking as well as the Peking Granaries, do not nee APPENDIX A 397 to be reformed. Regarding the affairs to be dealt with by each Board and Court and the number of officials to be used, etc., the heads of each Board and Court are hereby ordered to study the matter and after due consultation with the Grand Council they shall report upon the same to the Throne to get sanction thereof. The reforms hereby promulgated are not yet complete, but are simply effected to meet the present circumstances to prepare for constitutional government, and further reforms will be made from time to time. We do not make any radical measure, but will reform gradually so as to complete our reforms in time. In a word, under the present difficult situation, unless we adopt a certain rule to be followed both by the superior and the rest equally, the present decadence of state affairs cannot be remedied. Unless there is a way to understand each other— between sovereign and people—it is not possible to have grievances ­ heard and rectified. All the high officials who will be newly appointed and are already in their posts are hereby ordered to attend to their respective official duties with full responsibility, and to carry out their works effectively instead of becoming nominal, and they shall abandon their personal feelings but unite to aid in the affairs of the state being properly carried out. If such be the case, we can expect that the constitution ­ which will in future be promulgated may become a success. And if there is no improvement and there is no progress, it is not only against the wishes of the Throne but also that of the nation. This decree is hereby ordered to be promulgated to the general public. 2.—The high officials who lost their positions owing to the administrative reforms are to receive salaries as hitherto and to wait further orders, and the minor officials of the yâmens abolished will either be appointed to other yâmens or to the provinces ; concerning which the Board of Civil Appointments will send in their report to receive further Imperial sanction. PROVINCIAL REFORMS FORESHADOWED In reforming the administrative system the Princes and High Commissioners concerned have presented the new system for metropolitan offices, and we have already issued a decree for the same to be carried out. However, the new administrative systems of provinces are now in course of compilation. But at present the civil administration is not properly carried out, by which many difficulties are encountered. The departmental ­ and district magistrates are the officials who should always be in touch with the people, but there are many who do not keep in touch with the people, giving no attention to 398 APPENDIX A the need of the people, and their staffs often indulge in profiting themselves. As such is the case it is no wonder that the administration ­ is out of order and the people have no place to state their grievances, a fact which is really deplorable. Now, in reforming the administrative system the offices of the department ­ and district magistrate are very important. To improve the capacity and status of the nation the present condition ot the people is not satisfactory for carrying out self-government, and it is necessary to prepare them for self-government before effecting the same. Therefore we hereby order the Viceroys and the Governors of provinces concerned to state their views regarding the best way to improve the^civil administration, to prepare for self-administration, and to check any abuses noW prevailing, and also to have the grievances of the people properly heard and to erase the same, as we wish to get the best system and to adopt it. The Government establishes officials simply to have the people properly looked after by educating them and giving them the enjoyment of life and carrying on their respective businesses-If such hope be fulfilled, then there will be harmony and peace among the people, and thus the Empire may have a proper system of looking after its own people. These decrees are issued by the Emperor on the instructions of the Empress Dowager. A subsequent edict regulates the relative position of the Ministries as follows :— The order of the yâmens is as under : 1. —Waiwu Pu (Board of Foreign Affairs). 2. —Board of Civil Appointments. 3. —Board of Civil Administration. 4. —Board of Finance. 5. —Board of Rites. 6. —Board of Army. 7. —Board of Justice. 8. —Board of Agriculture, Works, and Commerce. 9. —Board of Colonies. 10. —Imperial Household. 11. —Imperial Board of Astronomy. 12. —Hanlin Yuan. 13. —Censorate. -, 14. —Imperial Clan Court. 15. —Board of Education. 16. —Imperial Equipage Department. r 17*—Court of Cassation. , , 1 • I 18.—Board of Communications. . > 399 APPENDIX B A few typical instances are given below, showing the nature of the cases which come before the foreign Courts in China, and the way they are dealt with. BRITISH SUPREME COURT Shanghai, May 21, 1906 Before Sir Havilland de Sausmarez, Judge A. Pavlow V. Baron Ward This was an adjourned rehearing with regard to the defendant’s ­ set-off of Tls.40,000. Mr. L. E. P. Jones appeared for the plaintiff, and Mr. A. S. P. White-Cooper for the defendant. Mr. Jones said that at the last hearing the Court had asked him for an assurance that there was another Court in Shanghai which was competent to deal with Baron Ward’s claim against Mr. Pavlow in the event of this Court dismissing it ; and on the strength of the correspondence which he had filed counsel was now able to give the assurance that the Russian Consular Court had the necessary jurisdiction in the case. Mr. White-Cooper said he had not yet any evidence available, and asked for the hearing to be adjourned till June 15. The Tls.40,000 had been retained by Mr. Kristensen ; it had never been in the hands of Baron Ward. His Lordship said the state of the case was that there would have to be some issue determining the amount to be set off. It had been held that the plaintiff was entitled to set off something, ­ but the amount had not been ascertained. A new trial was to be had as to the propriety of the sum of Tls.40,000. At the trial before the full Court the Assistant Judge said : “I therefore agree there ought to be a new trial as to this issue, which I would frame somewhat as follows : ‘ What is the Proper sum to be set off in respect of the Edendale transaction ? ’ ” Then, his Lordship supposed, the order was drawn up. Mr. Jones said that the defendant had had ample opportunity ­ afforded him of coming to the Court and proving his 400 APPENDIX B claim. He had failed to do that, and counsel applied that that claim be dismissed, that the order be amended accordingly» and Baron Ward be now left to take such steps as he thought fit against Mr. Pavlow in the Russian Court. His Lordship said he had considered the matter very carefully, ­ and what he would do would be this : grant an adjournment ­ until June 15 and fix that date peremptorily so that, in the event of the defendant not appearing to substantiate his defence, he would immediately fail, and the judgment, as modified by the order of November 16, 1905, and the order of the Full Court, would stand. As regarded this particular claim something had been said by Mr. Jones as to its nature. His Lordship had looked very carefully through the record of the case and also the report, and had been unable to find that it had been seriously argued at any time that this was a counter-claim and not a set-off. At the same time, looking at the Order in Council, Article 151(3), “Cross-action.—A counterclaim ­ shall not be brought in the Court against a plaintiff being a foreigner,” his Lordship felt clearly, from what had occurred, that the plaintiff in this case did not consent to a counter-claim being brought against him in that Court ; and it was perfectly evident to his Lordship’s mind, on the terms of the Order, that if he did adjudicate on a counter-claim which was not properly before the Court, the Court would be exercising jurisdiction which it did not possess, and therefore any judgment which might be passed in the matter would be necessarily void, or could be attacked and easily upset. He thought therefore that if # was made to appear to him, either at once or on June i5» that this was a counter-claim and not a set-off, then he ought not to exercise jurisdiction. If, however, it should prove to be a set-off on argument, then it seemed to him that would substantiate ­ the defence, and the Order in Council did not modify the right in any way to raise such a defence as a set-off. 1^ this particular case, the proceedings had gone on so long and had so nearly reached an end, and the findings of the jury were very explicit now that they had been dealt with in the judgment of the Full Court, that he thought clearly he ought to entertain this set-off if it proved to be a set-off and not a counter-claim-Therefore he would grant an adjournment until June i5> and the case would be set down peremptorily for that date ; but in the meantime, or at the trial, if plaintiff’s counsel chose to move that this Court did not entertain this claim on the ground that it had no jurisdiction to do so, he would entertain the motion-He had felt it necessary to say this about the counter-claim and the set-off because he did not want it to be thought that he was assuming jurisdiction which ought properly to be exercised 26 APPENDIX B 401 by the Russian Consular Court, but he felt that he was bound by the statute ; if he was wrong, of course there was occasion for an appeal, and if the Russian authorities were not satisfied with the judgment, of course, after it had been reviewed by the Privy Council, they could move for a new Order in Council. The Court then rose. Shanghai, May 3, 1906 Before Sir Havilland de Sausmarez, Judge Joseph John Gilmore v. Henry Bennertz The hearing of this case was concluded. Mr. W. N. Symonds appeared for the plaintiff and Mr. Loftus E. P. Jones for the defendant. Mr. Jones said the only other evidence which he would like to put before the Court was a copy of the judgment which was given in the case against Mr. Bennertz in which Tsau was plaintiff. The case was heard before the Consular Court at Changsha. Counsel also had a copy of the claim made by Mr. Bennertz upon which this Tls.5,200 was paid ; also a letter from Mr. Frazer, British Consul-General at Hankow, with regard to that claim. Defendant was recalled. Witness put in a claim for an indemnity, and the document produced was a despatch he received ­ from Mr. Frazer in relation to the matter. (Counsel read the despatch to show that there were no profits contemplated in this indemnity ; it was solely made up of Tls.400 a month compensation.) Witness said at the time Mr. Gilmore left Changsha for Hankow the liabilities of the business exceeded Tls.5,200 ; and at the time the indemnity was received the liabilities exceeded Tls.5,200. Mr. Symonds put in a letter written by Mr. Woo to Mr. Gilmore dated April 20, 1906, in which he said the matter was settled between Bennertz and Gilmore before the latter left for Hankow. Woo proceeded to relate the understanding which he said was come to. Witness, in reply to Mr. Symonds, said he was not satisfied with an indemnity of Tls.5,200. The Tls.25,000 was not the rest of the indemnity. Mr. Symonds produced a statement in Mr. Giles’s handwriting of the payments witness had made out of the Tls.25,000 up to February 15, 1906. Counsel pointed out that according to this statement there was a balance of nearly Tls. 1,700. What had witness done with that ? 402 APPENDIX B Defendant said the Tls. 1,700 had been spent in meeting expenses of liquidation of Chinese debts in Changsha. There was still a small balance which he had been using to pay his expenses in Shanghai since March. Mr. Jones and Mr. Symonds then briefly addressed his Lordship ­ on the case. Judgment His Lordship proceeded to deliver judgment as follows The dispute in this case has arisen out of an enterprise undertaken ­ by the parties on the opening of the port—I call it a port so as not to use a compromising word with regard to the city, or fu, or whatever it might have been—of Changsha, for foreign trade. Up to this time, or immediately preceding this time, the parties were carrying on business at Hankow. The plaintiff thought there might be an opening and he went up to Changsha to look about him, and in consequence of his negotiations there he thought an opportunity occurred of starting a business, and he in consequence communicated with the firm of Bennertz & Esternau, with whom he appears to have been in communication, in Hankow. The details of what happened do not seem to me to very much affect the matter, but the result of it all was that the plaintiff remained in Changsha and the defendant came up, and they did in fact start business. But previous to that certain negotiations were entered into and a company was sketched. * think that is about all that happened as regards that company-It was sketched out, and certain steps no doubt were taken to mj in the details of the sketch, but I do not think they ever amounted to enough to give that company any real consistency. Th e consequence is that where I find a reference to the action of the company in Changsha I look upon it as simply indicating the business to be carried on by these people in the company, and who were realities, and who continued to be connected with the trade name. There were certain Chinese, but they one after another fell out, and in the end the two parties to this action were the only two people who can be described as people having anything to do with this company, and they do appear to have carried on business under the name of Bennertz & Co. and the Chinese hong name of Yu Hung-tih. That is the name which continued throughout, and it appears to exist still. Difficulties arose, and I do not see that it makes any difference to the presen action as to whether these difficulties arose through the nature 0 things or from personal objection to the defendant on the p ar of the Chinese, as suggested by the plaintiff. From whateve APPENDIX B 4°3 source they did arise, the business did not flourish, and after about a year things were so bad that the plaintiff left Changsha because he thought it was useless to go on, and he returned to Hankow. A claim was later made for the intervention of the British authorities in Peking, and they did inteivene, with the result that payment of Tls.5,200 was made. I think it is quite clear from Mr. Frazer’s letter, which was put in, how that sum was arrived at and the purpose for which it was paid. It was to be, shortly, for compensation for disturbance ; and the person who had approached the British authorities was the defendant in this action, and, therefore, naturally it was to him that the communications of the British Consul-General at Hankow were addressed. The terms of the communications between the British Consul and Mr. Bennertz would, of course, in no way affect any liability which Mr. Bennertz was under to third parties —that is to say, parties other than himself and the British Government—in ­ the distribution of this sum. That appears to be the way the Tls.5,200 was paid. As regards the various sums which were from time to time expended in this business, I am unable to find that there was any capital found by either of the parties ; I think they each managed to scrape along as best they could in Changsha, paying their own expenses and hoping things would improve. Unfortunately they did not. Then comes the 29th of J une, when there was an interview ; when the plaintiff decided that, as he had something definite to go to at Hankow and nothing definite to remain for at Changsha, he had better go to Hankow. On the evidence before me I have come to the conclusion ­ that these two parties did do business in partnership from the date of this contract, namely July 4, 1904, down to June 29, 1905, and that on that date the partnership was dissolved by mutual consent. I will finish the story first, before I come to the terms of that partnership. I think that after that the business was carried on by Mr. Bennertz alone. He came down to Shanghai to see what he could do ; the whole of the responsibility was upon him ; he was the only person looked to by the Chinese authorities in Changsha ; and the plaintiff does not appear to have taken any steps with respect to the business, and except with regard to a loan on one occasion—which amounted to very little—he does not appear to have done anything with reference to this partnership or the affairs of the defendant. Unfortunately things did not improve. Mr. Bennertz did not seem to get on any better with the Chinese than before, and Changsha seems to have opened its doors to foreign trade in an extremely reluctant manner. The end of it was that Mr. Bennertz appeared at Changsha with a considerable amount of goods which he had been able to secure in Shanghai, and things had to be finally 404 APPENDIX B settled up. The result was that an agreement came to be made between Mr. Bennertz and the Chinese in which the sum of Tls.25,000 was paid for the stock-in-trade which he had there, and various other things which are enumerated in this agreement, and he was to clear out—all connection between him and Changsha was to cease. I consider this agreement was made personally between the Chinese and Mr. Bennertz—not Bennertz & Co., but Mr. Bennertz himself and the parties in Changsha who paid him the Tls.25,000. I need not go into the different terms of this agreement, but I think what I have already stated, and the document itself, will enable any one who comes to take the accounts to see how the money should be applied. I think there is only one other thing. I think that the Tls.25,000 was intended to cover not only the debts which Mr. Bennertz himself had contracted in Changsha, both before and after the time that this partnership was dissolved, but I think it also was intended to clear up any debts which had been contracted, and which might still be outstanding to the partnership while it existed. Therefore, assuming for the moment that the Tls.25,000 was more than enough to cover all claims, then I think the Tls.25,000 should be applied in wiping them all out, and any balance of the Tls.25,000 would have to be considered as belonging to Mr. Bennertz, subject to any contracts which he might have with other parties. The Tls.5,200 stand in a different position. Assuming, as I say, that the Tls.25,000 was sufficient, that Tls.5,200 definite compensation would remain to be divided between the two parties. Now as to the terms of the contract. They appear to me to be embodied in this agreement of July 4, 1904, in so far as they were at that time put into force. Mr. Gilmore was so far as was possible made a partner in the firm of Bennertz & Co. As a matter of fact, that firm never having come seriously into existence, the fact that he was made a partner in it did not give him any claim, because Bennertz & Co. having no property, there was nothing for him to have a claim to. But the partners —the plaintiff and the defendant—did carry on business under the form of Bennertz & Co., and, from all the documents before me, there is no doubt they were carrying on business in partnership. ­ There is, or there might be, in consequence of this sum for disturbance, something to be divided, and it will be divided on the terms on which the partners agreed to trade. We have the definite statement here that of whatever profit Henry Bennertz touched, he should pay 25 per cent, to the plaintiff-There is the suggestion that an agreement was come to on J une 29 that the sum of one-third instead of one-quarter should be paid to Mr. Gilmore out of this sum paid as indemnity, but APPENDIX B 405 there appeared to be the stipulation that Tls.3,500 should first be paid to the Chinese. There are various other matters which certainly are somewhat complicated, and which I should expect to find reduced to writing. We have the version of it given by the plaintiff, which no doubt represents his own view, and there is on the other hand a denial of it by the defendant, and I cannot come, on the evidence before me, to the conclusion that the original agreement of one-quarter of the profits was varied by anything that took place on that occasion. It will have to be ascertained what accounts come under this exhibit “ Q ”—the deed of January 30, this year, by which the Tls.25,000 was paid. I think this includes all debts due by the partnership, as well as by the defendant, to the people who are enumerated in this deed. There are, for instance, the Chinese in Changsha, and the firms in Shanghai, and there are certain others. I will take for instance the sum of Tls.64, which is a small sum due to Messrs. Hall & Holtz in Hankow, and this probably would not come under that. I give that as an example, but I do not decide that. This is a point which I shall have to take in Chambers, or must be considered by whoever takes the account. I mention that as it is a small sum and it does not matter much whichever way it goes. If the Tls.25,000 is not sufficient, then it will have to be divided, the various sums will have to be paid, so far as I can see, pro rata, and if after that there are partnership debts—debts between July 4, 1904 and June 29, I 9°5—then, of course, these will have to be liquidated out of the Tls.5,200. I think if there is any balance on the Tls.25,000 —I do not think there is the least likelihood that there will be—then the matter will have to be referred to me again as to its division. It is not quite clear now, and I should like to hear counsel more fully as to what ought to happen to any balance of the Tls.25,000. I think, as it was to cover everything, the plaintiff is entitled to a certain amount. I do not think he is entitled to a quarter, but I think he is entitled to any amount which might be assessed as sufficient and proper. I think that direction is sufficient. The accounts may be so reduced that they might come before me in Chambers, and I might be able to come to a decision at less expense to the parties and in a very short time, because I know about it ; and if it is referred to anybody ­ else, there will be some question of nicety as to some of these sums, and they would probably have to be sent back to me for direction. I would like to hear counsel further especially in the case of Tsau’s debt. I shall want to know a little more about that, but so far as I can see this money which has been expended by Mr. Bennertz in purchasing goods for the trading °f his company will have to be paid out of this Tls.25,000. If 4o6 APPENDIX B it is proved that this amount for provisions is a purely personal debt in no way connected with the company, it ought not to be set off against the Tls.25,000 ; but at the same time from what I can see, and in looking at the contents of the agreement and the way in which the business was carried on, the Tls.25,000 was meant to cover Tsau’s debt. Still, at the same time, I do not think I have anything before me which would make me say definitely whether it ought to be paid. I have given my direction, and I think that the outstanding points may be so reduced that I can come to a conclusion very shortly. Mr. Symonds, on behalf of his client, said he would be pleased to refer the matters of account to his Lordship. His Lordship—You will have to get the accounts in order first. In my judgment, I really say what is wanted is that Mr. Bennertz should show how the Tls.25,000 has been spent, and if he has gone beyond that to pay the debts of the firm, he will have to show that the Tls.5,200 has been expended on the remaining debts of the partnership. Mr. Jones asked his Lordship if he would deal with the question of costs at this time. His Lordship—I will deal with that when I deal with the accounts. If I find the money substantially misapplied by Mr. Bennertz, he will have to pay costs ; but on the other hand, if the inquiry was uselessly raised, it will be the other way. His Lordship then rose. Shanghai, December 3, 1906 Before Mr. F. S. A. Bourne, Assistant Judge Diederichsen Jebsen & Co. V. The Chinese Engineering and Mining Co., Ltd. Mr. J. H. Teesdale appeared for the plaintiffs and Mr. A. S. P* White-Cooper for the defendants. Mr. Loftus E. Jones watched the case on behalf of the Holland China Trading Company, interested parties. Mr. Teesdale said that his Lordship was not sitting when counsel made his application, last Saturday week, for an injunction ­ restraining the defendant company from parting with the possession of certain cargo stored at their wharf and of the shipping documents relating to it. The injunction was granted, and counsel now merely made application for pleadings. The case would probably be rather complicated, and several legal points were likely to be involved. It was possible that evidence would have to be given on questions of law—not necessarily British APPENDIX B 407 law—which would have to be gone into thoroughly, so that he applied that pleadings should be delivered in the usual way, and that his Lordship should fix a date on which he had to deliver his statement of claim. Mr. White-Cooper, in reply to his Lordship, said he had nothing to say. The defendants simply held the goods as warehousemen, ­ and if the plaintiffs set up a better title to them than the Holland China Trading Co., they would deliver to them. At present the defendants had no interest in the subject-matter of the goods except as warehousemen. His Lordship—And you, Mr. White-Cooper, have an undertaking ­ that any costs you may be put to will be paid by the plaintiffs ? Mr. White-Cooper—Yes. His Lordship—Won’t this case have to be fought out in another Court ? Mr. White-Cooper—As far as one can see, the contract would appear to be governed by Dutch law. His Lordship granted the application for pleadings, the statement of claim to be filed within fifteen days. The Court then rose. Shanghai, September 20, 1906 Before Sir Havilland de Sausmarez, Judge, and Messrs. T. Grayson {foreman), F. W. Rawsthorne, W. E. Blades, T. H. W. Charnley, G. W. Noel, D. C. Kerr, G. C. Dew, V. H. CANNING, G. H. RENDALE, W. FLEMING ÏNGLIS, James Jones, and G. R. Barry (Jurors) Rex V. Peter Sydney Hyndman Peter Sydney Hyndman, bookkeeper, was charged that on September 1 feloniously, wilfully, and of malice aforethought, he did kill and murder Harry Smith. When formally charged, prisoner, in a low voice, pleaded “ not guilty.” ***** Addressing the prisoner his Lordship said : Peter Sydney Hyndman, you have been convicted of the crime of manslaughter. The jury have taken, I am glad to say, a lenient view of your conduct on this occasion. They thought that the provocation to which you were subjected so wrought on your emotions and your feelings that for the moment your will was suspended, and that the intent which would be presumed from your acts did not exist. At the same time I cannot but help feehng that you were more APPENDIX B 408 rash in this matter than you were justified in being. The case of a husband who finds his wife whom he believes to be faithful to him in a position of that kind is one which might excuse him almost from receiving any punishment at all for taking such sudden and violent vengeance on the man. I cannot feel that you are in that position, and, though I do not consider your crime one of great enormity, I must pass upon you a sentence which will let the community know that the foolish and reckless carrying of firearms is not to be encouraged, and that when a man does put himself in the position in which you put yourself, he must take the consequences of his own acts. I sentence you to be kept in prison for eighteen calendar months with hard labour. BRITISH POLICE COURT Shanghai, December 4, 1906 Before Mr. G. W. King, Police Magistrate Assault by a Sikh Constable How to Evade an Agreement Dungah Singh, Indian P.C. 199, was charged with assaulting and beating one Chang Ah-cum at No. 216, Fearon Road, at 5.15 p.m. on December 2. Inspector Bourke prosecuted, and intimated to the Court that the accused was on duty at the time the assault took place. ***** His Worship (addressing accused) said: I consider the evidence given by the prosecution to be true ; that you did do what you are said to have done. In an ordinary case, perhaps, it would be meet to give you a fine only, because the assault is not a grave one. I cannot overlook the fact that at the time you were on duty, and from the fact that you were on duty and that you did what you are accused of having done, I believe you had ulterior motives ; that your desire was to get out of the Police Force. The evidence of the J emadar seems to point to that too, and you yourself have made no effort to contradict his evidence. I have taken into consideration your past record, both as you claim to have been in the Cavalry and also in the Police, more especially in the Police. There has been no previous conviction against you, but in spite of that I must send you to prison. You were a policeman on duty in uniform, and y° u have disgraced your uniform ; you are put there to keep order, and you go and make disorder. You might attain your object APPENDIX B 409 of getting out of the Police—of course that does not lie with me _but you will first have to go to prison for one month with hard labour. IN THE AMERICAN CONSULAR COURT FOR THE DISTRICT OF HANGCHOW Hangchow, March 15, 1906 Before Frederick D. Cloud, Esq., American Vice-Consul-incharge, Acting Judicially, and J. H. Judson, Esq., and J. Steinacher, Esq., Associates. In the matter of Sun Zai-ling, Yee Tsung-lien, Sun Yu-ling, and ChowDing-ho, Plaintiffs, v. The Southern Methodist Mission, and Thomas A. Hearn, and Edward Pilley, Defendants. In this action A. S. P. White-Cooper, Esq., appeared for the plaintiffs, and F. M. Brooks, Esq., of the law firm of Andrews & Brooks, represented the defendants. Judgment This is an action brought by certain Chinese citizen; against the Southern Methodist Mission, an American institution, represented ­ by Thomas A. Hearn and Edward Pilley, of Huchow, to recover certain alleged temple lands which have been purchased by, and are now in the possession of the Southern Methodist Mission, in which the plaintiffs allege that the said mission is in wrongful possession of the said temple lands ; that as a result of repeated protests against such possession by the plaintiffs, the defendant mission, or certain representatives of the defendant mission, entered into an agreement of compromise with the plaintiffs whereby, and according to the terms of which, certain lands were to be restored to plaintiffs on condition of, and in consideration ­ of the said plaintiffs paying to the defendants the sum of Tls.2,000 ; that the plaintiffs have duly paid to the defendants the said consideration of Tls.2,000, which sum of money is still in the possession of, or under the control of the defendants, but that the said defendants have illegally, wrongfully, ­ and in breach of the terms of the agreement, refused tc abide by and carry out its terms and surrender the land agreed therein to be surrendered to the plaintiffs ; that by reason of the defendants’ wrongful breach of this agreement, and by reason of the defendants’ wrongful trespass on the said land, the plaintiffs have suffered damages through (1) the defendants’ 410 APPENDIX B wrongful actions above mentioned ; (2) the deprivation of the said temple lands and trespass thereon ; (3) and the loss 01 Tls.2,000 ; and that the defendants had notice and well knew that the land in question belonged to the temple and could not lawfully be purchased by defendants. Wherefore, it was the plaintiffs’ prayer that the defendants be required to carry out the terms of the said compromise agreement, ­ or that the defendants be ordered to forthwith vacate and give immediate possession of the land wrongfully inclosed, that the defendants be ordered to pull down, forthwith, any buildings erected on the said land and to restore the land to its condition prior to such wrongful trespass ; that the defendants be ordered to pay the sum of Tls. 1,000 as damage for such trespass, and in addition to return the sum of Tls.2,000 paid the defendants by the plaintiffs, and that defendants be ordered to pay the costs of this action. In answer the defendants have admitted that the plaintiffs are Chinese subjects, but have specifically denied each and every other allegation of the plaintiffs. And answering further, the defendants allege that all of the land possessed and inclosed by the Southern Methodist Mission at Huchow was procured legally» and according to treaty rights between America and China, that the plaintiffs well knew, while the defendants were acquiring the said land, of the facts, and purposes for which it was sought » that the plaintiffs well knew of the purchase of said land, and of the improvements in progress on the same from time to time» but that the plaintiffs did not make any protest against such improvements while they were in progress ; that the alleged agreement referred to by the plaintiffs was never signed by th e defendants but by parties who never had the right, nor th® authority, directly or indirectly, either in fact or in law, to bind the defendants, and that when said agreement was presented to the defendants herein for their signatures, said defendants immediately repudiated the same and refused to sign it ; tha the sum of Tls. 1,000 or Tls.2,000 or any other sum of money had never been paid to them by the plaintiffs, or by any ° ne else, but that certain Chinese officials had paid into the American Consulate certain moneys which were still subject to the order of the said officials ; and further, that the plaintiffs in this action well knew that defendants had legally acquired this land, an stood by, well knowing that defendants were improving ^ e said land, and having made no protest during that time, wer® now bringing this action for the purpose of harassing and int®^ fering with the work carried on by defendants to their damag in the sum of Tls.5,000. Wherefore, it was the defendants’ prayer that this actio APPENDIX B 411 be dismissed with costs, and that defendants may recover damages against the plaintiffs in the sum of Tls.5,000. The facts in this case, as established in Court, are quite clear. In the spring of 1902 the Southern Methodist Mission, through its representatives, the defendants in this action, made known to the proper local officials of Huchow their desire to purchase land within the city of Huchow for mission purposes. These representatives desired to purchase land in a certain portion of the city and made their desire known to the aforesaid officials. These officials, the Prefect and Magistrate, expressed the wish that the defendants select another tract of land, stating that the tract they had chosen was wanted by the officials and gentry of Huchow on which to build native schools. The said officials then pointed out a section of the city known as Hai Tao, as being largely unoccupied land, where the defendants were at liberty to acquire as much land as might be needed for the mission. The Prefect went so far as to delegate certain gentry to assist the mission in obtaining the land from the several owners, and in perfecting the titles thereto. Proclamations were issued by the Magistrate having jurisdiction over the land, announcing the fact that the mission wanted to purchase the land, and calling upon the owners thereof to come forward and negotiate with the defendants for the sale of their various tracts. Eventually a considerable tract of “ waste land ” was found which had no owners. The Magistrate was informed of the fact, who issued a proclamation stating that the mission desired to acquire this “ waste land,” and if there were any owners thereof they should come forward. And although these proclamations were posted for a period of two months, yet no one came forward as owners of the land, nor could any such owners be found. Thereupon the defendants purchased the land from the Magistrate himself. There was perfect satisfaction on all sides relative to this transaction, nor have the plaintiffs attempted to show that the Magistrate exceeded his authority in thus disposing of “ waste lands,” or that any one objected to his doing so. The Magistrate gave defendants a proper receipt for the consideration of the transaction, and published the facts relating to the sale to the people of Huchow by means of a special proclamation. The defendants having obtained all the land desired for mission purposes, sent their title-deeds to the y amen to be registered and stamped. The deeds remained in the y amen some five months, when they were returned to the defendants, having been properly registered and stamped. These various transactions also received the written approval of the various authorities concerned, including the Provincial Governor. The acquisition of all this land by the defendants was not 412 APPENDIX B accomplished without long delays—something over a years time being required for its completion. • The negotiations were carried on openly, and the people of Huchow were made a^ quainted with the fact that the defendants were buying m e land, through the medium of the Magistrate’s proclamations. this, the plaintiffs have not disputed. Nor does the evidence show that the people, or the gentry of Huchow, made or öftere any protest against the acquisition of this land by the mission until after all the negotiations had been completed and tn e land so purchased had been inclosed by the defendants with 10 a wall. Nor is there any evidence to show that in the acquisition of this land the defendants deviated, in the least, either from the letter or the spirit of the provisions of the treaty between the United States of America and China governing such matters-As to the allegation of the plaintiffs that a portion or portion of the aforesaid land is Confucian temple land, the Court mus hold that it is incumbent upon the said plaintiffs to show, by * preponderance of evidence, that such is the case ; but this tn plaintiffs have failed to do. The fact that the ruins of what the plaintiffs allege to be thos of an ancient Confucian Library are characterised by numeroU carvings of the Lotus flower, which is a characteristic emblem of Buddhism and of Buddhistic ornamentation ; that the sal ruins, or foundation stones, are situated a considerable distance away, and in another ward, or division of the city, from m group of buildings recognised, and confirmed by the officia/ y written topographies of Huchow, as constituting the Confirm temple property ; that the defendants have produced doc mentary and other evidence showing that the real site oft^ ancient Confucian Library (the Tsen Ching-ko) is not situate on any land now enclosed by, or in possession of the missi° > but is entirely outside of, and is a considerable distance away from the property of the said mission, is sufficient evidence convince the Court that the said Confucian Library site (Ts® Ching-ko) is not situated on the defendants’ premises, and tn none of the land now held by the defendants is Confucian temp land. ts The plaintiffs have endeavored to force upon the defendan ^ the terms of an agreement of compromise, which agreement h a been signed by certain representatives of the Southern Method^ Mission, whereby a portion of the mission’s land was to turned out of the defendants’ enclosure. The facts are that o member of a committee of three members, appointed by * mission to deal with this matter, two of whom are the defenda in this action, signed this said agreement as indicating to other two members his opinion of the case, and not in any mao APPENDIX B 413 as trying to bind the other two members to the agreement. However, when this agreement was presented to the defendants who were named therein as parties to the agreement, they refused to sign it, or to carry out its terms ; and it has been shown by evidence that to do so would be grievously injurious to the plans and future work of the mission. And since the provincial officials have offered, upon their own motion, written testimony to the fact that the Tls. 1,000 named as the consideration ­ of this agreement, and that the Tls.1,000 presented to the mission for charitable purposes had been provided for by themselves, ­ and does not, nor ever did in any manner belong to the plaintiffs, and the further fact that the defendants have never accepted or been in possession of this money, it is evident that plaintiffs are not entitled to bring action against the defendants for its recovery. According to solemn compacts between China and the United States of America, the Southern Methodist Mission, as well as all other American missionary societies, have the right to purchase, ­ or lease land in perpetuity, at Huchow, as well as at all other places within the Chinese Empire. And when they have obtained their land, and secured properly executed title-deeds, they are entitled to enjoy full and complete possession of all such land without annoyance or molestation of any nature. The petition of the plaintiffs is hereby dismissed at plaintiffs' costs. The defendants’ prayer for damages is disallowed, as this Court has no jurisdiction to award damages against Chinese subjects, and leaves defendants to follow plaintiffs into a regularly constituted Chinese tribunal. (Signed) Frederick D. Cloud, American Vice-Consul-in-Charge, Acting Judicially. J. Steinacher, ) J. H. Judson, ) Associates. INQUEST Shanghai, December 7, 1906 Before Mr. W. P. Boyd, American Vice-ConsuTGeneral-in-Charge, Acting as Cuban Coroner A Sad Ending An inquest was opened at 2.30 p.m. yesterday at No. 2, North Honan Road, to inquire into the circumstances attending 414 APPENDIX B the death of Miss Loura Leslig, alias Cossette Denvers, a Cuban subject, aged thirty-two years, who died in bed at her residence, between the hours of 10.30 and 11.30 p.m., the 5th inst., fro# laudanum poisoning. ***** The Coroner brought in a verdict that deceased came to her death on December 5, 1906, between the hours of 10.30 and 11.30 p.m., by taking an overdose of laudanum, self-administered, with suicidal intent. GERMAN CONSULAR COURT Shanghai, December 7, 1906 Before Mr. L. Heintze, Vice-Consul The Muzzling Order V. Blinkman, No. 72, Range Road, was charged with allowing his dog to be at large unmuzzled on the Range Road on the 3°* ultimo, contrary to Municipal Regulations. Inspector Bourke stated the nature of the charge. Defendant was fined $3 or in default one day’s detention. JAPANESE CONSULAR COURT Shanghai, December 7, 1906 Before Mr. D. Yamamoto, Police Magistrate Breaking the Rules One Nejita was charged with keeping a house of entertain ment, to wit, a shooting gallery, at No. 513, Miller Road, witho u a license and contrary to Municipal Regulations. Inspector Bourke stated the nature of the offence. . e Accused was severely cautioned and ordered to close t place at once. Shanghai, December 4, 1906 Before Mr. D. Yamamoto, Police Magistrate Jack Ashore A festive sailor from the N.Y.K. steamer Chiyoda named M. Yasuda, was charged with having been drunk a APPENDIX B 415 disorderly on the Broadway, and damaging property to the extent of 50 cents, about 10 p.m., the 3rd inst. Inspector Bourke related the nature of the charge. Tsang Zen-fah, the complainant, gave evidence of the accused having been drunk and doing damage to witness's goods. Accused was fined $3 and ordered to pay the amount of damage done. RUSSIAN CONSULAR COURT Shanghai, December 3, 1906 Before Mr. C. Kleimenow, Consul-General Alleged Arson A. M. Silkiss was charged on a Russian Consular warrant with having feloniously and wilfully set fire to his premises and dwelling-house known as the Tivoli Hotel at Nos. 9 & 10, Boone Road, about 11.30 p.m., December 1, 1906, with intent to secure insurance money thereon, and thereby endangering life and property. Inspector Bourke appeared to prosecute. Extensive evidence was taken, but, the press not being admitted, we are not able to give a report of the proceedings. Shanghai, December 7, 1906 Before Mr. C. Kleimenow, Consul-General Alleged Arson A. M. Silkiss was brought up on remand charged on a Russian Consular warrant with having feloniously and wilfully i et fire to his premises and dwelling-house known as the Tivoli Hotel, at Nos. 9 & 10, Boone Road, about 11.30 p.m., December 1, 1906, with intent to secure insurance money thereon, and thereby endangering life and property. Det. Insp. McDowell prosecuted on behalf of the police. On the Court resuming this morning, the evidence was coneluded, and his Honour disposed of the case as follows : This Court having no power to deal with a case of this nature, the Court a as decided to submit the whole of the evidence, together with the plans of the premises in question, to the Supreme Court at vladivostock. In the meantime the prisoner would be released on depositing the sum of Tls.8,000, including diamonds, jeweller y, etc., as well as being bound over in the sum of $4,000 in two sureties of $2,000 each. 4i6 APPENDIX B Shanghai, December 12, 1906 Before Mr. L. Brodiansky, Vice-Consul Who’s Who ? Alec Alexander, No. 56, Broadway, arrested on a Russian Consular warrant, was charged with being a pimp, and living and trafficking on the proceeds of prostitution. Inspector McDowell appeared to prosecute on behalf of the police. Accused was examined at some length, and not being able to produce any papers or satisfactory evidence that he was a Russian subject, the Court refused to recognise him or assume any responsibility over him. The accused was next taken to H.B.M.’s Police Court, where he was also refused recognition. Accused was therefore taken back to the Station, where he was locked up, pending a decision as to what should be done with him. Later in the day accused was taken to the Mixed Court, where he was remanded till Friday, the 14th inst. Alec Alexander, No. 56, Broadway, who was arrested on a Russian Consular warrant a few days ago, was charged at the Mixed Court to-day, the court room being cleared and the cas e tried in camera, with being a pimp and living and trafficking on the proceeds of prostitution. Inspector McDowell appeare to prosecute on behalf of the police. The Inspector made a statement as to how the case was first brought to his notice-An Englishwoman, who had been decoyed out to the Far by the accused by false promises, gave evidence as to how sh came out and became an inmate of a house of ill fame. Accuse was eventually sentenced to fourteen days’ imprisonment an to be afterwards deported from Shanghai. APPENDIX C The following letter gives the attitude of the British Government in respect to intervention by missionaries in the interior on behalf of their Chinese converts. MISSIONARIES AND CHINESE OFFICIALS To the Editor of the “North China Daily News" Sir,—Under instructions from H.M. Minister at Peking I beg to hand you herewith for publication copy of a circular dated August 31, 1903, addressed by Sir E. Satow to H.M. Consular Officers in China. I am, etc., Pelham Warren, Consul-General. October 31, 1906. Circular H.B.M. Legation, Peking, August 31, 1903. Sir,—Cases have come to my notice in which missionaries have addressed themselves directly to Chinese officials, either verbally or in writing, on behalf of their Chinese converts, instead of acting through the proper channel, which is one of H.M. Consuls or the head of H.M. Legation. Such intervention I presume would be defended on the ground that some action has been taken in regard to the convert which is in violation of Article VIII. of the Treaty of Tientsin. It is necessary, however, to point out that missionaries are not accredited agents of the British Government for the enforcement ­ of the Treaty, and Article VIII. was not intended to confer upon missionaries any right of intervention on behalf of native Christians. I do not see any objection to a missionary addressing the meal Chinese authorities directly on any matter affecting himself personally, such as for instance a robbery that has been committed ­ at his house, or any similar private affair. H, however, a missionary has to complain on behalf of 417 27 4i8 APPENDIX C himself that his teaching is interfered with, or that a Chinese preacher or convert has been interfered with or persecuted, his proper course is to lay the facts before the Consul of the district in which he resides, who after due examination will make such representations to the Chinese authorities as the case may require. His Majesty’s Consuls are not authorized to delegate their duties in this respect to missionaries. I have reason to know that this view is shared by the managing bodies of British Protestant Missionary Societies who carry on Mission work in China, and I understand that it is accepted and acted on by most of the missionary bodies in China. The fg.ct that a missionary or the convert on whose behalf a complaint is made resides at a distance from one of H.M. Consuls is not sufficient reason for the missionary taking upon himself the duty of the Consul, and his intervention could only be justified when there was imminent danger of an extreme character threatening ­ the safety of converts. I have accordingly to request you to act upon what is laid down in this Circular, and to acquaint missionaries with its contents whenever it seems likely to be departed from. I am persuaded that if missionaries uniformly refrain from direct intervention on behalf of native Christians, and confine their action to representing to H.M. Consuls cases of actual persecution, ­ such a course will redound to the preservation of peace between converts and non-converts, and to the spread of a genuine Christianity among the people of China. I am, etc., (Signed) Ernest SatoW. 419 APPENDIX D Clan fights between Catholic and Protestant converts are common in Chekiang, not uncommon in Kwangtung, and not unknown in other provinces. One such fight broke out in November 1906 at Raimen, in Chekiang, regarding which an unbiassed Chinese informed me that the people of Raimen are notorious for piracy and turbulence, tha generally in these disputes both Protestants and Catholics are equally to blame, and that on this occasion the Catholics were the aggressors. The two partisan versions of the occurrence are given below. THE PROTESTANT VERSION Rescue of Protestants Tai-chow Fu, Cheh, November 13, 1906. For the past few days we have been living in great suspense. The little Protestant community at Raimen, surrounded by hundreds of Roman Catholic robbers who were under the command of the native priest Nyun, was in imminent danger of being massacred. The foreign priests resident at Raimen seemed to be in entire sympathy with the native priest, and tfie Mandarins felt themselves unable to protect the Protestants. At the beginning of the attack on Friday the Protestant preacher applied to the Military Mandarin for an escort to take the Protestants ­ to Tai-chow Fu, but the Chen-tai replied that it was not necessary for them to go, as he was quite able to protect them there. The request was then made for a few soldiers to come inside the Protestant compound, but this also was refused. Soon the town was at the mercy of the Roman Catholic army, variously estimated at 800 to 2,000 strong, and the Mandarins ­ became powerless to deal with them. 1 he long-ling was unhorsed, made a prisoner, and kept in the Roman Catholic compound. Another military officer was beaten by one of the priests, and the Major General had to go in person to obtain their liberation. He did this by promising to behead one of the military officers who had been active against the robbers, 420 APPENDIX D and to pay $3,000 to the Roman Catholics for rifles taken from the robbers by order of the Tong-ling. Houses and shops belonging to Protestants were pillaged, and passengers to and from the boats were robbed. A Protestant inquirer was caught and held for ransom. He was told that if he did not furnish 100 jars of Chinese wine he would be killed. He gave them go jars and was allowed to escape. Some of the members and inquirers had narrow escapes from being shot. The son of an inquirer was shot through the thigh, and one of the robbers was accidentally shot dead by another Roman Catholic. On Saturday evening the Mandarins sent word to the Pr°' testants that they could not protect them, but would send an armed escort to take them to Tai-chow city. A fleet of h v ® gunboats sailed with them from Haimen. At a point, 40 h from Haimen, two of the gunboats returned, leaving three boats to carry the refugees the remaining 80 li to Tai-chow city. In company with two foreign missionaries and the Mandarin under whose escort they had travelled, they went to visit the Prefect, who said that the Protestants had shown themselves superior to the Roman Catholics, and had acted splendidly in the great trouble caused by the Roman Catholics. He also said they must not return to Haimen until the trouble was over. Testimony of the Protestant member whose shop was pillaged by an armed Roman Catholic band :— J “ I was upstairs above the shop when the armed band entere my shop. My assistant told them I was upstairs. They calle, me, and I asked who they were. They said, ‘ Come down and see. I looked out and saw the men armed with long pistols and big knives, and became alarmed. I shouted, ‘ I will come down a once,’ and then ran out at the back door and hid in a neighboul s house. Here I remained for an hour or so, until after they ha pillaged my shop ; then the Chen-tai passed, and I went on and asked him for protection. He sent seven or eight soU] ier ^ to escort me to the Protestant compound. Here I remain^ from Friday till Sunday morning. The Protestant componn was surrounded by a band led by Li Ti-song. This man struc the Tong-ling when he rode up to disperse the mob, upon wln c the Tong-ling proceeded to the R.C. compound, where he 'V a detained to make him promise $3,000 to pay for rifles wbn had been taken from some of the Roman Catholic robbers his order. The Roman Catholics also demanded execution ® an officer who had acted under the Tong-ling’s orders. 1 Tong-ling was eventually rescued by the Chen-tai. “ On Saturday, at 5 p.m., the Chen-tai said we must l ea ^ g Haimen, as he could not protect us here, and he would pr° vi APPENDIX D - 421 escort to take us to Tai-chow city. About an hour later we all were escorted to gunboats, but the head-wind was so strong that the boats could not start, and most of us returned to the Protestant compound. My wife and little childien went to hide in a neighbour’s house. “On Sunday morning, at 10 o’clock, those of us in the Protestant ­ compound were again escorted by the Chen-tai and his soldiers to three gunboats. We then sailed for the city, and were escorted by two other gunboats for 40 li, as it was feared that the Roman Catholics might follow and attack us. We all arrived safely at Tai-chow city on the following day—Monday.” Testimony of a Mandarin who escorted a party of the refugee Protestants from Hahnen to this city :— In reply to my questions he said he lives in Raimen. He estimates the number of the attacking party of Roman Catholics at about 1,000, but says it is very difficult to form an exact estimate. They came in squads, and mostly belong to the south of Haimen. Each squad is under a leader. The larger half of them have not rifles but carry clubs. The others have breech- and muzzle-loading rifles and pistols and swords. They were called up by the R.C. priest Nyun. Each squad has its own commissariat. " The first I heard of them was on Friday morning, November ­ 9, when they commenced looting Protestant houses and shops. The town of Haimen was soon in terror and all the shops were closed. The following morning the Protestant church premises were surrounded by the Roman Catholics. The Tong-ling came along on horseback, and one of the Romanists ­ pointed his rifle at him. This enraged the Tong-ling, who ordered his men to seize the rifles. Twenty or thirty rifles were seized and two Romanists were taken prisoners. The Tong-ling then rode towards the west gate, and in passing the premises of the R.C. church he was stopped and invited to enter. He did so, and the gates were at once shut and he was made a prisoner. Two of his men were also made prisoners. Word was at once carried to the Chen-tai, who came and had him liberated. The Roman Catholics demanded the liberation of their two men who were apprehended, and they were set free. The Government troops stationed at Haimen number 120 regulars under the Chen-tai, and about three hundred Militia under the Tong-ling, but these Mandarins are afraid to harm the Roman Catholics because the R.C. bishop would accuse them to the Provincial Governor (Fu-tai) and they would lose their rank ‘ kong-ming.’ ” The Provincial Governor (Fu-tai) having wired to settle the combatants without violence, the military stored their 422 APPENDIX D rifles and went about unarmed. All the shooting was done by Romanists, who accidentally shot one of their own men. Many of the Roman Catholics assembled under arms are well-known robbers. The following is a diary showing the principal events that occurred in connection with the Roman Catholic attack at Haimen. Friday, November g. Hundreds of armed men, under the command of the native Roman Catholic priest Nyun, suddenly appeared in the streets of Haimen. They looted the houses and shops of Protestants. The owners fled to the Protestant compound. The Protestants asked for an escort to Tai-chow city, but the Military Mandarin said they would protect them in Haimen. The son of a Protestant inquirer was shot through the thigh. The Protestant preacher sent an open note by a messenger to the foreign missionaries here. It is as follows : “ Eight hundred Roman Catholic soldiers armed with rifles and swords have just pillaged the houses and shops of Christians (names given) and are building the wall-The Military Mandarin is powerless to restrain them. I do not know about killed and wounded. We hope you will rescue us quickly.” Upon the arrival of this messenger, at 5 p.m. on Friday, a telegram was sent to C.I.M., Shanghai, and to British Consul, Ningpo, as follows : “ Hundreds armed Romanists attacked Haimen Protestants. Killed, wounded, unknown. Houses pd' laged. Tidal wall occupied.” Foreign missionaries visited Prefect, and found that he already knew the situation, and that the District Magistrate and two Deputies from the Prefect were preparing to start for Haimen. It was learned that the Major-General (Chen-tai) at Haimen had previously warned the city Magistrate of a Roman Catholic plot to attack the Protestants on the following day—Saturday. Evidently, there' fore, the attack began a day sooner than the Major-Genera expected. The Protestant city pastor left for Haimen # company with the returning messenger. Saturday, 10 th The Protestant pastor arrived at Ko-ts, three miles fro# Haimen, and was furnished with an escort of eight soldiers guard him to Haimen. The escort deserted him before u e reached Haimen, but the chair-bearers carried him safely ## the Protestant compound. APPENDIX D 423 He learned that the Governor (Fu-tai) had ordered the military to disperse the Romanists without violence. The soldiers were therefore without arms. At 4.15 in the afternoon he succeeded with considerable risk in sending off a telegram, which we received in this city about 5 o’clock. It is as follows : “ This morning the robbers surrounded the Protestant compound twice. Chen-tai is unable to restrain them.” At 5.30 a telegram ­ was sent to British Consul, Ningpo, as follows :—“ Haimen telegram says premises still surrounded. Mandarins powerless.” At 8 p.m. received a telegram from British Consul, Ningpo— ‘ You are on no account to take part in lawless violence. Do your best to restrain your converts. Similar message is being sent to priest by bishop.” Meantime events were thickening at Haimen. Immediately after the telegram was dispatched at 4.15 the Romanists started a desultory fire, and the General commanding the Militia (Tong-ling) rode along to stop them. A robber pointed his rifle at the Tong-ling, who with his men were unarmed. The Tong-ling ordered one of his officers to seize the rifles and swords of this squad. Twenty-seven rifles and swords were seized. The robber chief, Li Ti-song, retaliated by bringing up more men and seizing five of the Tong-ling’s men. The Tong-ling rode off in the direction of the Roman Catholic compound to complain to Priest Nyun, the Commander in Chief of the Roman Catholic forces. Nyun got him inside the Roman Catholic premises, made him prisoner, demanded $3,000 for the rifles and swords his men had captured, and the execution of the military officer who had captured them. The Romanists accidentally shot one of their own men dead. About 5 p.m. the Chen-tai went to the Protestant compound and said he could not guarantee protection any longer, but would furnish an escort to take all the Protestants to Tai-chow city. He then went to the R.C. compound and secured the liberation of the Tong-ling. About 6.30 p.m., under a military escort, the Protestants were taken to gunboats, but a tempest was blowing and the boats could not start. Some of the refugees remained on the boats, women and little children hid in neighbours’ houses, and most °f the men returned to the Protestant compound for the night. Sunday, nth At 10 a.m. the Protestant refugees were escorted by the Chen-tai and soldiers to the three gunboats, which sailed for Tai-chow city, 40 miles distant. Other two gunboats were sent as an additional escort for 10 miles, as it was feared that the APPENDIX D 424 robbers might follow in boats. When half-way to Tai-chow city, a party of Roman Catholics were sighted, but no attack was made. 5 p.m. People arriving at the city by steam launch from Haimen reported passing Protestant refugees in three gunboats about fifteen miles below the city. Monday, 12 th 9 a.m. First party of refugees arrived safely. Praise God. They report that others are on the way and that the Protestant community of Haimen will probably all be here about noon to-day, as they all sailed together on Sunday morning from Haimen. Telegram from British Consul, dated Ningpo, Monday, 10 a.m- : “ Catholics state that they have dispersed out Protestants still assembled together with aggressive intentions. Is this true ? ” A reply was sent to the British Consul from Tai-chow Fu at h o’clock as follows : “ Protestant community officially sent here under escort. Left Haimen Sunday morning. Unable to protect there. Premises in charge of Chen-tai.” Last of the three gunboat parties arrived about noon. We are informed that a body of Romanists left this city in answer to a telegram from Haimen on Saturday night to attack refugees en route. They had lacked courage at sight of the gunboats. The Romanists say they must have the life of the Protestant preacher. 2 p.m. All the refugees except the women and children visited the Prefect, who said they had shown themselves superior to the Roman Catholics, and that they must stay here till he saw it safe for them to return to their homes. 8 p.m. An inquirer arrived from Haimen said the R.C.’s had caught him, and demanded 100 jars of wine as ransom for his life. He managed to get 90 jars of wine for them, and they allowed him to escape. He says a large force of armed men from the north bank of the river was crossing to join the Roman Catholic army to-day. Thursday, 13 th 8.30 a.m. A Thanksgiving Service to God for the escape of the refugees was held in the China Inland Mission Chapel. Psalms 37 and 124 were read, and prayer was offered for the persecuting Roman Catholics. At Haimen the Roman Catholics are searching for those who have shown sympathy with the Protestants. Many have fled from the town, others are in hiding, and business is paralysed- APPENDIX D 425 One man was caught and taken to the R.C. premises to be tortured. The Mandarin succeeded in getting him liberated. Attempts were then made to catch his son, who escaped and fled to this city, arriving here by steam launch with District Magistrate and Tong-ling at six o’clock. He says some of the armed bands have dispersed, others have come, and they reside principally in the R.C. compound. The Roman Catholic army is composed of bands of men, each under a leader, and each band has a distinctive badge. The Commander in Chief is the native Roman Catholic priest, Nyun, and the principal leaders are : (Eleven names given). Several of these are well-known robber chiefs ; at least two of them are only recently liberated from prison. THE CATHOLIC VERSION After the disturbance over the chestnuts, in which the Protestants ­ summoned the brigands in order to pillage a Catholic’s house and deliver from jail by force of arms a criminal arrested by the Magistrate, the parties interested were extremely excited, it had only need of another incident to cause an explosion, and the Protestants were soon to furnish it. At Haimen the Catholic Mission owns a piece of land on the river front which surrounds the Protestant church. Houses are being built there for the support of our charitable institutes. One of these houses being built behind the Protestant church, it was now necessary to build a wall around it as it was to serve as a warehouse. In order to avoid all occasion of fresh discord the wall was to be built four feet from the church, but when the masons came to commence the work they were stopped by the Protestant church master, Ko Siao-tsen, and his band, who, ready fo fight, claimed the property as theirs. Instead of resisting violence by violence we preferred to bring the case before the local authorities. Civil and Military Mandarins were immediately appointed by the Prefect of Tai-tcheou-fou, Mr. Tchang, to examine the case. Their first act was to demand the titles of ownership from the Protestants. Now, the latter have none to give, no, not even for their church, which stands °n a site formerly used as a place of capital punishment, and was partly occupied by them, partly given to them by a famous brigand named Tchang. They answered, however, first saying that the deeds were at Ningpo ; the second time they said they were at Shanghai ; and the third time they showed a false paper which they had manufactured after taking the measurement of their church’s land. 42Ó APPENDIX D The Mandarins afterwards examined the titles of ownership in the possession of the Catholic Mission, which are incontestable, and all were unanimous in acknowledging our rights, adding th a we could build the wall. This decision being given, the workmen returned on November 9 to continue work on the wall ; bn Ko Siao-tsen, the Protestant master, the evening before, ha already assembled eighty armed men in the church for the purpose of opposing the work. They rushed at the workmen ana threatened to shoot them if they would not quit. The workmen retired. . It was market day ; the news soon spread to the outskirts of Haimen, and a great number of Catholics assembled, being exasperated by the incessant provocations of Protestants and by former insult and injustice. The next day, Saturday, November 10, the workme returned to their labor with a guard of Christians to de fen them. Two hours after the Mandarins asked that the work b^ stopped, promising to settle the question immediately. Abop four o’clock that evening a delegate paid our missionaries a visi and offered the following conditions of peace :— 1. That the Protestant master Ko would be sent away fr 0 # Haimen and forbidden to return. 2. The wall would be built the next day and the lines drawn without any change. 3. If Protestants thereafter wished to take revenge, delegate and Colonel Tsao would take upon themselves responsibility and would answer for all. . The missionaries accepted these conditions and immediate y ordered the Christians to disperse. The latter were still in y 1 port in the act of eating when they perceived two vessels coming towards them from the other side of the river. They were fun ^ pirates and armed Protestants, who as soon as they landed °P en *L fire on the Christians. The latter were obliged to defend the# selves, and put to flight their assailants. Then there took p* aC , s a deplorable encounter between the Christians and Colonel Tsao soldiers, caused by the bad will of an under-leader common j called Siao Lao-yi. He was formerly a pirate, who, having made his submission, is now in command of some soldiers w ^ themselves are more or less second-hand pirates. He had been sen to the port with fifty soldiers to separate the combatants. Wn e ^ he saw his former companions of brigandage fleeing, he or ^ el jf his men to charge the Christians and disarm them, and he hims fired. Ten were wounded, of whom one died. . Shortly after this bloody fight Colonel Tsao paid the miss# aries a visit, saying that if any had been killed, the guilty p al 1 s would be executed ; if depredation had taken place, the dam a & the the APPENDIX D 427 would be compensated. General Ou was present and put the blame on the soldiers. Sub-prefect Siao did so likewise, as also all the witnesses of this bloody brutality committed against men who were justly defending their lives and who, faithful to instructions given them, offered no resistance to the soldiers. Siao Lao-yi is greatly to blame, and merits punishment. As for reproaching the Christians with having firearms, that is ridiculous in a country in which, to the knowledge and before the very eyes of the Mandarins, all the inhabitants carry arms to defend themselves against the pirates, who, thanks to the inactivity of those in power, abound there—brigandage and assassination are continual. Peace reigns there now, since the Mandarins expelled the pirates of Peyen and sent away under good escort the Protestant master Ko Siao-tsen. But I received a telegram this morning, November 16, stating that he returns this very day at the head of a large number of robbers. What will happen, and what can we do ? The other side of the relations between Roman Catholic and Protestant missionaries is seen in the following communication sent to the Shanghai Mercury by a Protestant missionary in Szechwan. Sui-fu, via Chungking Szechwan {From our Correspondent) November 28, 1906. DEATH It is with sorrow that I have to record the passing away of one of the Roman Catholic Fathers who has laboured in this land for over thirty years, twenty of which he has spent in this city. Père Beraud has had a very busy time of it here, for besides looking after the members’ spiritual welfare, he has built two large churches, one within and one without the city, both of which will remain as his monument for years to come. He passed away on November 11, from an apoplectic stroke, and was buried in the Priests’ Cemetery at Ho-ti-k’eo, some twenty miles from here. Père Beraud is especially remembered for his great kindness to your correspondent during the terrible time of the 1895 riots, when night after night he crept round about midnight to see how we'were faring, and to sympathise with us in the difficulties of our situation. Such acts speak louder than words, and can never be forgotten. APPENDIX E On December nth, 1905, a serious organised riot occurred at Shanghai, the provoking cause of which is described in the following narrative. THE OUTBREAK AT THE MIXED COURT Fight between Police and Runners Extraordinary Incidents The tension between the Municipal authorities and those of the Mixed Court reached a climax on Friday morning, when an attempt to carry out contradictory orders from the Bench led unfortunately to an exchange of blows between the municipal police and the native runners. There was a preliminary to Friday’s occurrence on the preceding ­ day, when the Magistrate (Mr. Kuan), after making another futile protest against the presence of the police cadet in Court, and his supervision of the proper execution of the sentences of the Court, retaliated by sending a runner to the Central Police Station to see that they did their duty there properly. The selected runner spent a long and presumably rather tedious day in the courtyard of the Central Police Station, where he was allowed to remain unmolested. We understand, indeed, that a letter was sent from the Council to Mr. Kuan congratulating him on the interest he had suddenly taken i n police administration, and offering his representative every facility for gaining useful information. Circumvented in this attempt in his policy of annoyance, a policy which Mr. Kuan has himself declared he has orders from the Taotai to pursue, it would seem that only the opportunity was wanted to force matters to a more serious issue. There are indications, in fact, that Friday’s disorder was premeditated-Early in the session the Magistrate had a difference with the British Assessor (Mr. Twyman) over a case which had, he said, been ordered for hearing on another date, and which he noW refused to hear. The real trouble came, however, when two women and three men were put before the Court on charges m kidnapping girls from their homes in Szechwan. Fifteen young 428 APPENDIX E 429 girls, who were to be the witnesses in the case, had been cared for by the municipal police, and were brought to the court in their charge. When the case came to be remanded, the Assessor marked the charge sheet “ Children to go to the Door of Hope pro tern.” and instructed the police to take them there. Mr. Kuan, however, wished to keep the children in the Mixed Court cells, and gave his orders to the runners to take them away. The runners went to remove the children, but the police, under instructions from their cadet officer, Mr. Fenton, refused to give them up. There was some hustling, and one of the runners struck Inspector Gibson in the eye. This started a general fight, in which the police were victorious and carried off the children and prisoners to their vans in the yard. During the fight Mr. Ching, the Assistant Magistrate, was heard shouting from the Bench to the native municipal constables and detectives, in Chinese, that they were Chinese subjects, and if they resisted the Magistrate’s orders they would be severely punished. The native constables, however, appear to have considered their first duty lay to their employers. The riot was sufficiently serious to induce Mr. Fenton to go to the telephone to send a message for reinforcements. He had used the instrument an hour before, and it was then all right, but now the mouthpiece was nowhere to be found. This may have been a coincidence merely. At all events it did not render the telephone unusable. The gates of the compound leading into the road were, however, shut and locked. The Magistrate, Assistant Magistrate, and Assessor were then standing in the middle of the court. Mr. Fenton went to ask that the gates fie opened to allow the vans to go out, whereupon the Magistrate turned on him in a perfect fury, and told him that he might break the gates open, and destroy the court itself. “You may trample on my body,” he added, and then strode away. The gates were subsequently opened, and the children removed. 1 he sitting of the Court had, of course, been abruptly suspended. So far as is known the only casualties in the fight were sustained ­ by Inspector Gibson and a runner, both of whom were slightly damaged. A wild statement is being industriously circulated that Mr. fihing was hit over the head by one of the police. The Chinese Version The Chinese view of the disturbance on Friday in the Mixed fiourt is represented in the following letter from “ One who was Present.” The original letter is in Chinese. APPENDIX E 430 “ It has always been a part of the Regulation of the International ­ Mixed Court for female criminals to be confined hi the Mixed Court prison. Mr. Twyman, the British Vice-Consul, has, however, repeatedly wanted to send these females to the foreign gaol, and on this account it has been a subject of repeated opposition on the part of Mr. Kuan, the Magistrate of the Mixed Court. The latter has also petitioned the Shanghai Taotai to back up this opposition. This is on record. “ On the morning of the 8th instant, Mr. Kuan, Magistrate, Mr. Ching, Assistant Magistrate, and Mr. Twyman, the British Assessor, were trying cases brought by the police, among which was one in which a certain Mrs. Li Wang-shih was charged with kidnapping children. According to the evidence, this woman claimed to be the wife of an official, and that she, accompanied by four others, had arrived in Shanghai from Szechwan ; that she had with her five little girls which she had purchased h 1 Szechwan as personal attendants, but which the police had wrongly charged her with having kidnapped. In view of the wrongful accusation Mrs. Li Wang-shih asked that her accusers be punished. It was found, in the course of the trial, that the defendant had arrived in Shanghai in the steamer Poyang, efl route to her home in Kwangtung, and that the luggage brought by her amounted to over one hundred pieces. As for the children, the defendant declared that she had documents proving bond fide sales to her of them, etc. As this evidence appeared to refute the charge of the children having been kidnapped, the Magistrate consulted with the Assessor as to the advisability of remanding the case, sending the children to the “ Door of Hope,’ and keeping the defendants under the custody of the Mixed Court ad interim. The British Assessor, however, determined to have the defendants confined under remand in the foreign (municipal) gaol. The Magistrate replied that as he had not received any instructions from the Taotai to change the regulations, he could not consent to this. An argument ensued, and, neither side being willing to give way, the Magistrate accordingly ordered his runners to follow the regulations and hand the female defendants to the charge of the Court female gaoler. Upon this the Vice Consul ordered the police inspectors and all the constables present to use force in getting away the defendants. In the mêlée that ensued two runners of the Court, Chang Ta'i and Chou Yu-ch'ing, and several onlookers were hurt, and when the Magistrate called out to the police to stop striking, one of the inspectors went so far as even to threaten him with a club. “ About this time there was a large crowd of people outside the gates, who, hearing of the disturbance, tried to rush in- APPENDIX E 431 Fearing a riot against the police on the part of the mob, the Magistrate ordered the gates to be temporarily closed in order to prevent outsiders from coming in. Following on this the police forcibly took away the defendants, male and female. Nothing can render a worse insult to the dignity of an independent ­ country than such treatment of its officials. “ Finally the two runners who were hurt by the police have been examined by a special officer sent by the Shanghai Taotai and also by Dr. Ransom, the latter granting a certificate as to the condition and nature of injuries received by the runners in question.” The London Times of November 1, 1906, contains a letter on this subject from the Rev. W. Arthur Cornaby, Corresponding Secretary of the Christian Literature Society for China, who has peculiar opportunities for knowing what the Chinese think on public questions. Chinese Girl Slavery and the Shanghai Municipality To the Editor of u The Times ” Sir,—I have been asked to send you some particulars, hitherto unpublished in England, concerning the Shanghai riot of last December and its sequel. I am in touch with Chinese public opinion from long residence, and latterly the editorship of a weekly newspaper in Chinese. Until toward the end of last year all the Chinese complaints which reached me were concerning the Chinese side of the Mixed Fourt, and especially the notorious “ runners ” of that Court, t he Chinese of Shanghai felt they were not sufficiently protected the fact of a Western assessor sitting to watch the cases, i hey deemed the French settlement system to suit them better, where the Western was the judge and the Chinese Mandarin ne assessor. And not until the case of a woman from Szechwan, 1 poteen young girls, being arrested by the Western police suspicion of kidnapping, did the native papers and talkers m< T rc i lan .t S u ilds take sides (before the case had been tried) 1 h the Chinese Mandarin against the police and municipal °uncil. This is to be explained by the following facts. ^ riot in Shanghai was threatened as early as July 9 last of a +i (1905) in a Chinese document, handed to certain members o the Municipal Council and others, by a league of Chinese ners of certain unmentionable property, who appended their APPENDIX E 432 names, fourteen in all, to that document. They deprecated anything being done to check their trade, or even to regulate it, - as their Chinese patrons “ would express their feelings # such an uncontrolled fashion as to cause great inconvenience to the foreign residents of the settlement ” if any measures were attempted. , The number of inmates of the houses referred to, as estimate by the property-owners themselves, is “ not less than four oí five thousand.” And as many of these girls break down lD health, the numbers are recruited by the agency of kidnapp erS and slave-dealers in many centres, notably along the Yangtzefrom Hankow westward. Daughters of prominent native Christians have been among those kidnapped for this trade» and the Chinese have repeatedly affirmed that hardly one foreign steamer leaves Hankow for Shanghai without some “ slaves from Szechwan. The women who escort them pose as “ ladi'■ with personal slaves,” and are protected by the league of Shangn 3 ' property-owners, backed by the merchant guilds (which latte were so much in evidence before last December riot)—so tn Chinese of Central China have affirmed for over a decade now-Then, as there has been no tracing the missing daughter after they have been transferred from native boats to the foreign steamers, rumours have been dangerously current in past y ear ® that foreigners are connected with the trade, and paid to protec the “ ladies ” from Mixed Court investigations. Indeed, seve^ years ago I was myself mobbed, at a spot one hundred miles a .P the Han river, as being a “ foreign kidnapper,” which made i. all the more interesting to be among those mobbed in Shangu a last December in the anti-rescue riot. Only the local Chin eS feeling seems to have been reported in England, but so mu 11 ; Chinese families along the Yangtze Valley have lost their bright^ girls that very much of the respectable public opinion out 0 Shanghai has been with the municipal police rather than o the side of “ the patriots of Shanghai.” And, happily» a Excellency, Chow Fu, Viceroy of these Liang Kiang provine > saw the true national bearings of the case at the time, as opp° se e to local vested interests. He was forced to “ save the Chin^ face” by taking the " patriotic ” side, but proceeded to up a memorial to the Throne for the total abolition of ë 11 slavery throughout China. This was twice reported to h a been approved, but, as no Imperial edict has been forthcoming^ he has now (September 24) memorialised the Throne once aga^j with intent to get the measure put through. This will an® millions of young girls physically and tens of thousands moral ^ And when his memorial becomes definite law, we may eV -j see the local property-owners appealing to the Municipal Couu APPENDIX E 433 to protect them from the local Chinese authorities, which will be a new departure in the tangled history of the Mixed Court of Shanghai. I am, Sir, your obedient servant, W. Arthur Cornaby. Christian Literature Society for China, Shanghai, September 29. 434 APPENDIX F REGULATIONS PROHIBITING OPIUM SMOKING (Specially translated for the Shanghai Mercury) The following is a rough translation from the regulations p r0 ' hibiting opium smoking compiled by the Government Council or Chengwuchu, as published in the Universal Gazette this morning. Wang Ta-hsi, the Chinese Minister to London, some time ago presented a memorial regarding the prohibition of opium smoking, and an Imperial decree has since been issued ordering the Government Council to compile regulations effecting the prohibition of opium smoking. On November 21, 1906, the Government Council sent in the reply to the Imperial order, with the draft regulations consisting of ten articles. The regulations have been duly sanctioned by the Throne. Article I. To limit the cultivation of the poppy is the way to eradicate the evil. The poppy obstructs agriculture, and its effect is very bad. In China, in the provinces of Szechwan, Shensi, Kansu, Yunnan, Kweichow, Shansi, and Kianghuai, the poppy is widely cultivated, and even in other provinces there are places where poppy cultivation is largely pursued-Now it is decided to prohibit and root out the habit of smoking opium within ten years. It is therefore necessary to limit the cultivation of the poppy so as to effect the prohibition. Viceroys and Governors of provinces have to instruct the Magistrates m departments and districts to report upon, after registering, the actual area of land used for cultivation of poppy. Unless land has been hitherto used in the cultivation of the poppy it is not to be used for that purpose in future. For the land already being cultivated with the poppy special title-deeds must be obtained. Of the land at present in use for the cultivation m the poppy one-ninth must be annually withdrawn from cult 1 ' vation, and if such land is suitable, other crops are to be cultivated thereon. Magistrates of departments and districts are to pay surprise visits in order to ascertain whether there is any violation of this regulation. By this means the cultivation of the poppy will be extei' minated in nine years. APPENDIX F 435 Any person violating the rule will forfeit his land, and any person ceasing to grow the poppy and adopting some other crop before the time required in the decree shall be considered as meriting special reward. Article II. The issuing of certificates will prevent the possibility of new smokers. The bad habit of opium smoking has now been indulged in for such a long time. About three or four tenths of the natives smoke opium. Therefore we must be lenient to those who have already acquired the habit, but must be strict for the future. First of all, all the officials and gentry and licentiates shall be prohibited to smoke opium, so as to show examples to the common people. Those who smoke opium, without distinction, whether he be an official, one of the gentry, or a servant, shall report the fact at the local yâmen. If the place of their living is remote from the local yâmen, they may report themselves to the police bureau or to the gentry of that place, who will collect such applications and send the same to the local yâmen. The local officials then will issue a proclamation ordering them to fill up a form with their names, age, residence, profession, and the amount of opium each smokes per day ; such forms will be ordered to be sent in at a fixed date according to the distance of the residence from the yâmen. After the forms have been collected at the yâmen a list will be compiled, and one copy of the same will be handed over to the higher yâmen, and certificates will be issued under the official seal. Such certificates will be of two kinds : one for those who are over sixty years of age and another for those who are under sixty years of age. Those who receive the second kind of certificate ­ are not allowed to receive the certificate of the first kind when they reach sixty. In the certificate the name, age, native address, amount of daily consumption of opium, as well as the date of the issue of the certificate, are mentioned to certify that they are allowed to buy opium. If there are any who, having no certificate, buy opium secretly, such persons will be duly punished. Once a registration has been made and certificate been issued no future application will be allowed. Article III. By ordering gradual reduction of the amount of smoking opium, a cure of such habit may be effected. Those who are over sixty years old are treated leniently because of their age, but those who are below sixty and have received a certificate of second kind are ordered to reduce the amount of smoking annually either by two-tenths or three-tenths, and to determine the date of ceasing to smoke opium. Those who cease to smoke and obtain the guarantee of their neighbours will be presented to the local officials, who will also inquire into the case, and then the name will be erased from the book of 436 APPENDIX F registration and the certificate will be returned to the officials-A list of such withdrawals will be sent to the higher yâmen f°-jrecord. The date of prohibition of opium is quite lenient, and therefore if there is any one who does not give up the practice within term, such person shall be severely punished. If there is any one who has a certificate of the second class and does not stop smoking, if he be an official, he will be cashiered ; if he be a licentiate, his title will be taken away ; and if he be an unofficial person, his name will be registered. These names will be sent up to the higher yâmen to be placed on record, their names and ages will be put up in the street, and their residence will be made public, and no honorary positions will be given to them. They are not allowed to be reckoned as equals of the general public-Article IV. By closing the opium shops the source of the evil can be cleared away. Until the terms for the date of p r °' hibition come it is impossible to close the shops where opim# is sold. However, there are opium shops where are many lamp s for smoking opium, and many youngsters are induced to com e there and gather together with many bad characters. Therefore such shops shall be closed by local authorities within six months, and the owners shall be ordered to change their occupations-If they do not close their shops in time, these shops shall be officially closed by sealing the door. The restaurants and bars shall not keep opium for the use of their customers, and the guests shall not be allowed to bring in any opium pipe in order to smoke opium in these places. If there are any who violate the rule, they shall be severely punished. Those who sell opium pipes, opium lamps, or other utensils for opium smokers, shall b® prohibited from selling these goods after six months, or they shah be severely punished. The taxes on opium lamps shall not be collected three months after date. Article V. By registering each shop where opium is sold, the exact number of them can be known. Though the shop 5 where opium is sold cannot be closed at once, yet they can be gradually closed and no new shops be allowed to be opened henceforth. In every city, town, or village, the shops where opium or opium dross is sold are to be investigated by the local officials, and their numbers shall be duly registered and kep: on record. Certificates shall be issued, which certificates be reckoned as permits to follow that business, and no mor® new shops shall be allowed to be opened. These shops shah show the certificates whenever they buy their merchandise, oi they are not allowed to sell the same. These shops shall repor upon the quantity of opium and opium dross they sell at the end of each year, and report the same to the local officials, who wh keep the same on record. After calculating the total amoun APPENDIX F 437 of opium and opium dross consumed in a district, annually, the proportion of annual reduction necessary for the abolition of opium smoking in ten years shall be calculated. Any surplus at the end of that time shall be destroyed, and double its value forfeited as a fine. Article VI. The Government shall manufacture medicine to cure the bad habit. There are many prescriptions for curing the habit of smoking opium, and each province shall select the best medical students to undertake research for the best cure suited to the circumstances of each province. Such cures shall be made in pills, and shall in no case contain opium or morphia. After being manufactured such pills will be distributed to each prefecture, sub-prefecture, department, and district, at reasonable prices, and then these will be handed over to the charitable societies or medicine shops where the cure will be sold at cost price. Whenever there are any poor people who cannot afford to buy the medicine, the cure may be given to them gratis. It is also granted to local gentry to manufacture the cure in accordance with the official prescription, so as to have the cure distributed as widely as possible. If there is any one who will distribute the cure for charity’s sake, and if such cure has the proper effect, the local officials shall give them reward. Article VII. The establishment of anti-opium societies is a worthy proceeding. Lately, many persons cured have voluntarily ­ organised an anti-opium society, and have endeavoured to eradicate bad habits. This is really praiseworthy. Therefore the Viceroys and the Governors of provinces shall instruct the local officials, with the local gentry, to organise anti-opium societies, and to endeavour to stop the opium-smoking habit in the locality. Then prohibitions will surely have better effect. Such society shall be purely for the anti-opium smoking, and the society shall not discuss any other matters, such as political questions bearing on topical affairs or local administration, or an y similar matter. Article VIII. The local officials are relied upon to use their utmost endeavour to carry into effect these regulations, and w ith the effective support of the local gentry there should be n ° difficulty in carrying out the prohibition. The Tartar Generals, the Viceroys, and the Governors of provinces shall make up a list of people who smoke opium and those who cease to smoke annually, and the number of pills which are used as cure, together with the number of anti-opium societies. These lists, when compared, will easily give the comparative results of eac h province, by which the responsible” officials will be either rewarded or reproved accordingly. L The annual statistics shall be sent to the Government Council, where their merits will be 438 - APPENDIX F duly dealt with. In the city of Peking the police authorities, officers of gendarmerie, and the officials of the city are held responsible. If in any district opium smoking is stamped out before the expiry of the ten years’ limit, the officials of that district should be duly rewarded. The petty officials are to be warned to have no irregularities in reducing the area in which the poppy is cultivated, in issuing certificates for opium shops and shops where opium and opium dross are sold, or in dealing with those who smoke opium. Any such irregularity will be followed by severe punishment, and any who receive bribes will be punished on a charge of the crime of fraud. Article IX. The officials are strictly prohibited from smoking opium so as to set examples to others. The prohibition within ten years is for the general public. The officials shall be example to common people, and therefore they shall stop such bad habits before the general public, and such prohibitions shall be strictly enforced upon the officials and the punishments upon them shall be more severe. From now all the officials without distinction ­ of rank, metropolitan or provincial, military or civil, who are over sixty and suffering from opium smoking habits, arc exempted from the prohibition just as are the common people, for they are too far gone for cure. However, those who have not reached sixty years of age, princes, dukes, men of title, high Metropolitan officials, Tartar Generals, Viceroys, Governors, Deputy Lieutenant Military Governors, the Provincial Commanders-in-chief, ­ as well as Brigadier Generals, being all officials who are well treated by the Throne and high in rank and position, are not allowed to conceal their affairs, and if they smoke opium, they shall report themselves and the dates when they should stop the same. During the cure of the habit these officials shal not retire from their official duties, but shall appoint acting officials ; and when they have proved themselves cured of opium smoking, they may return to official duties. Moreover, they shall not be allowed to take opium under the pretence of illnep 5 longer than the terms promised The rest of the officials m metropolitan or provincial service, either military or civil, substantive ­ or expectant, shall report themselves to their principe officials in regard to these matters, and they shall cease to smok e within six months, at the end of which time they will be examined* If there are any who cannot be cured in time, they shall gi ye reasons, and if they are hereditary, they shall retire and, if they be ordinary officials, they will retire with original titles retained-If any conceal their actual conditions, such officials shall be impeached and be summarily cashiered as a warning to others-If there are any who are misreported by higher officials, they nw memorialise and the case will be tried accordingly. Thus APPENDIX F 439 who are the professors and students of ordinary schools and colleges or of military or naval schools and colleges are also hereby ordered to cease smoking within six months from date. Article X. The prohibition of the import of foreign opium is one of the ways to root out the source of opium smoking. The prohibition of cultivation of the poppy and of the opium-smoking habit are within the jurisdiction of the internal administrations. Foreign opium, however, concerns foreign Powers. The Waiwupu is hereby instructed to negotiate with the British Minister to Peking to enter into a convention to prohibit the importation of opium gradually within a certain term of years, so as to stop such importations before the term for the prohibition of opium smoking. Opium is imported from Persia, Annam, Dutch colonies, and other places besides India, and the Waiwupu shall also open negotiation with the Ministers of these treaty powers. In case of a power where there is no treaty China can prohibit the importation by her own laws. The Tartar Generals, Lieutenant Generals, Viceroys, and Governors shall order the Commissioners of Customs to find a way to stop such importation from the frontiers either by water or by land. It is also known that morphia is injected, and the habit is worse than opium smoking. It is mentioned in Article n in the Anglo-Chinese Commercial Treaty, and in Article 16 of the American Chinese Commercial Treaty, that except for medical purposes no morphia shall be imported to China, and it is also strictly prohibited to sell or manufacture morphia or syringes for injecting the same by Chinese or foreign shops, so as to stop the bad habit. These regulations shall be promulgated by the local civil and military officials in cities, towns, and villages, for the informations ­ of the general public. Peking, December 8. The British Minister to Peking has expressed deep sympathy with the Chinese authorities regarding the prohibition of opium smoking, and the Waiwupu has expressed its gratitude for the sympathy expressed. The following proposal has been made to the British Minister :— 1. By taking the average of the total sum of the imports of opium in the last five years, the amount of opium allowed to be imported to China annually will be decided, and such amount will be gradually reduced so as to discontinue the importation of opium in ten years. 2. A Chinese delegate will be sent to India to investigate the actual amount of opium imported to China from India, APPENDIX F 440 3. The tax on foreign opium will be made heavier, as m the case of native opium. 4. The Hongkong merchants who manufacture prepared opium are importing it to China. The tax on such prepared opium shall be raised. 5. The regulations prohibiting opium smoking shall be made effective in all the foreign concessions and settlements. 6. Except for medical purposes no morphia shall be permitted to be imported. 441 APPENDIX G CHINA foreign debt secured on imperial revenue outstanding DECEMBER 3I, I906 (SEE PAGE II5). (Exchange at 3s. per tael). Title. i. Loan E. Tls.767,200 .. 8. Hongkong and Shanghai ­ Bank loan, Tls. 10,900,000 .. 3- Amhold, Karberg, & Co., Nanking Loan 4- Cassel loan .. 5- Hongkong and Shanghai ­ Bank loan o. Franco-Russian loan, Fr.400,000,000 /• Anglo-German loan .. Anglo-German loan .. Indemnities . 9- Series A io. Series B xt - Series C I 8. Series D I 3- Series E ^4. Loan Railways : Issued sgesrig: stas-S’ Hongkong Gov. loan) 9- Canton-Kowloon Rly'.|| Grand Total Principal Amount. 1886 1894 1895 1895 1895 1895 1896 1898 1901 I 9°5 1899 1899 1904-6 1906 1907 £ 115,080 1,635,000 1,000,000 1.000. 000 3.000. 000 15,820,000 16,000,000 16,000,000 11.250.000 9.000. 000 22.500.000 7,500,000 17.250.000 1.000. 000 123,070,080 2.300.000 4.500.000 2.900.000 1,000,000 1,500,000 12,200,000 135,270,080 Rate of Int. Fixed annual charge. Charge 1906. Principal paid off to Dec. 31,’06. £ 8,400* 255,060 104,701 104,7or 308,000 836,669 960,479 831,688 574,425* 360.000 900.000 300.000 690.000 50,000 6,279,123 169,626 225.000 145.000 40.000 75.000 654,626 6,933,749 £ 61,980 490,500 400,000 400,000 2,752,060 2,099,900 1,080,875 673,926 Principal outstanding Dec. 31, 1906. i932)t (Jan. o7)f 9,359,241 115,000 (1909)! 115,000 9,474,241 £ 53,100 1,144,500 600,000 600,000 1,600,000 13,067,940 13,900,100 14,919,125 10,576,074 9.000. 000 22,500,000 ] 7,500,000 17,250,000’, 1.000. 000$ 113,7x0,839 2.185.000 4.500.000 2,900,000§ 1,000,000 1,500,000 [12,085,000 125,795,839 ,222 a year. 000. t Redemption begins. II In course of issue June 1907. iw ; ■ ?.-ï> ; ñ« : I ■ mi 443 INDEX Afghanistan, 8 t Albazin, 20 Alcock, Sir Rutherford, 353 Alfred, contemporary coins, 122 American Government compared with Chinese, 47 — relations, 42, 54, 179, 183, 239, , 2 74> 335. 337 Amherst, Lord, 23, 273 Amoy, port, 25, 249, 271, 273, 326, 328 Amur, river, 20, 206 Ancestral worship, 49, 60, 196 An-cha Shih-sze, 64 Andrade, Fernando de, 16, 270, 271 Anhwei province, 27, 61, 63, 69, 93, 95- 96, 101, 148, 154, 233, 318, 342, 347 Animals for food, 298 Aniseed, 263 Anking, city, 27, 234 Annam, 14, 15, 37 Antimony, 226, 263, 298 Antung, port, 209 Arab traders, 270, 302, 324, 326 Archives, Court of, 56 Area, measure of, 174 of China and provinces, 203, 209, 215, 221, 222, 223, 226, 228, 231, 233, 234, 244, 247, 251, 262, 265 Aristotle, 5 Army, 74, 226, 234 Arrow, lorcha, 28 Audience, Imperial, 21, 23, 34, 35, loo,373 Austrian relations, 213 Bacninh, 37 Bactria, 8 Baikal, lake, 12, 206 «alance of trade, 290 Bank, Customs, 367 bankruptcy laws, 178 anners, Manchu military, 18,74 e ans and bean-cake, 206, 296, 318 Belgian relations, 213 Bimetallic ratio, 125, 128, 143, 153, 165 Bisbee, A. M., 369 Boards. See Ministries Bogue, the (Hoomunchai), 22, 181, 273, 277 Bourboulon, Mons. de, 31 Bowra, E. C., 361 Boxer outbreak (1900), 42, 212 Boycott, 73,252 Bredon, Sir Robert E., 359 Brigandage and piracy, 72, 251, 263, 303 Brine wells, 223 Bristles, 297 British relations, 22, 23, 29, 41, 54, 179, 181, 212, 230, 239, 254, 260, 272, 328, 334, 337 Bruce, Sir Frederick, 31 Buddhism, 49, 412 Burgevine, General, 32, 33 Burlinghame, Hon. Anson, 31,34 Burma, 14, 21, 35 Calcutta, Black Hole of, 177 Canton, port, 15, 23, 24, 26, 29, 54, 56, 76, 157, 172, 173, 177, 193, 199, 204, 253, 270, 271, 272, 273, 274, 276, 304, 305, 328, 332, 345, 350 Capacity, measures of, 172 Caravan trade, 20, 271, 274, 302, 311, 316 Carr, L., 353 Cartwright, W., 359, 361 Cash (copper coin), double value, 132 — (copper coin), variability of tiao, 130 Catty, weight, 171 Censors, Court of, 58 Cessions and lesees of territory, 26, 4L 259 Chang Chih-tung, 44 INDEX 444 Chang Hsien-chung, rebel, 17 Changan, city, 10 Changkiawan, 30 Changsha, city, 27, 227 Changteh, 228, 311 Chapdelaine, Auguste, 192 Chapu, port, 25,76 Charlemagne, contemporary coins, 122 Chefoo Agreement, 35, 224, 256, 340, 381 —, port, 148, 154, 217, 318 Chekiang, province, 62, 64, 76, 93, 95, 96, 101, 135, 154, 197, 244, 312, 342, 344, 346, 385 Cheling pass, 226, 305 Chemulpo, 36, 37 Chengtu, city, 76, 223, 349 Chih-Chow, 66 Chih-Fu, 66 Chih-Hsien, 67 Chihli, province, 7, 42, 63, 75, 92, 93, 100, 206, 209, 312, 315, 342, 346 Chihli-chow. See Prefect Chihli-ting. See Prefect Chihtai. See Viceroy Chinchew, port, 271 China, conquest of, 13; derivation of word, 6 ; extent of the Empire, IS Chinese : a law-abiding people, 72 ; calendar, 2, 4 ; dynasties, 3-18 ; government, 46 ; government ­ as compared with American, 47 ; history, 2 ; race, 1 Chinhai, port, 25 Chinkiang, port, 26, 31, 39, 76, 221, 236, 312, 318, 350 Chinwangtao, port, 214 Chow Dynasty, 4, 5,6, 11, 120, 121, 253. 377 Chow Han, literate, 38 Chow-pan, 67 Chow-tung, 67 Christianity in China, 16 Chungking, port, 40, 145, 155, 224, 310 Chung Wang, 32, 33 Chu Tsun, 344 Chu Yuan-Chang, founder of Ming Dynasty, 15 Chwang Lieh-ti, 17 Chwangliang, city, 76 Cigarettes, 289 Clansmen, Imperial, 52 Coal, 206, 209, 215, 217, 226, 266, 289, 298, 318 Coast Inspector, 368 Cochin China, 37 Co-Hong. See Hong Coins, 119, 120, 121 ; dimensions, 127 ; weight and value, 124 Commercial relations with England, 22 Commissioners of Customs, 3°°’ 362, 365, 367, 369, 370, 373- 387 Concessions. See Treaty Ports Confucius, 3, 5, 6, 10, 53 Consul, office of, 184 Consuls, foreign, 82, 181, 184, 187, 190, 199, 202, 2x2, 353, 365, 36 8 Copper, 95, 98, 206, 266, 288, 298 — coins, 120, 132, 165, 167 — token coins, 126, 128, 288 Cotton cloth, 136, 282, 286, 319 — raw, 136, 235, 290, 297 —yarn, 287 Courbet, Admiral, 38 Courier service, 65, 72, 377 Court, the, 49 Cowries as currency, 119, 136 Currency, 119 — copper, 120, 121, 123 Customs, maritime, 98, 105, iS 1, 352 — native, 367, and 98 — tariff, 26, 29, 188, 205, 338, 355 Daae, I. M., 359 Dalny. See Talien Danish relations, 275 Decimal system, 171 Delegated functions, 68, 70 Detring, G., 361, 370, 383 Dick, Thos., 361 Distance, measure of, 173 Dollar, American, 165 — Carolus (Spanish), 163, 283, 33 1 — Japanese, 165 — Mexican, 128, 157, 165 Dragon, emblem, 49, 52 Drew, E. B., 361 Durra, 206, 210 Dutch relations, 16, 20, 177, z? 2, 283, 327, 337 Dye-stuff, 289 Dynasties, 3-18 East India Company, 23, 191, 2/3 275, 280, 283, 328, 329, 332 Edan, B., 353 Edicts, Sacred, 21 — secret, 43 — reform, 45 Educational Department, 363, 37° "5, 282, 28 ¿ÄÄ? 2S ’ 334 _ïÿ5TsffiS"'-Çsiifev.., -S' Feei^f’ ± ee Freasurer, Provincial |e?Ä d ;|f’ 2 ^’ 28 ° tSSSSr"““ 4 - s - 6 ' 7 ' 8 ° Wcracta,. 297 Fish 289^ er0r " ^ Ce Shih Hwangti FW^° y ’ 9" H ” 3s6, 359 1Ve dynasties, epoch of the, n rulers, 2 Floods, 216, 228, 231 Flour, 289 Fluids sold by weight, 172 Foochow, port, 16, 26, 38, 76, 204, 248, 271, 272, 307 1 °reign debt, 441 Legations at Peking, 29, 31, 42, 4 a 3 ’ 44, 380 Merchants, 187, 202, 279, 352, — Ministers at Peking, 29, 31, 44, Post Offices, 381, 391 relations with China, 19, 23, 26, — tradp’ I79, 2S4, 259, 281 ™e, 270, 282, 284. 299, 317, p wars. See Wars 2,'40,41, 54, igo, 182, 192, 212, Fr 2 4°> 254, 274 on ier ports, characteristics, 267 ^■■Hst e / re,eCt INDEX 445 Fukien, province, 64, 76, 93, 101, 247, 342, 344, 346 Furs, 283 Fusan, 36 Futai. See Governor Garrisons, Manchu (and Mongol), 47, 76, 211 Generation, length of, 217 Genghis Khan, 12, 13 Gensan, 36 German relations, 40, 41, 42, 195, 213, 230 Glass and Glassware, 289 Glover, George B., 357 God, translation of term for, 21 Gold, 206, 215, 263, 266 — as currency, 119 Golden Dynasty. See Kin Dynasty — Horde, 12 Gordon, Captain C. E., 33 Gorges of Yangtze, 308 Government of China, 46 Governor, office of, 60, 63, 64 65 77, 112 Grand Canal, 14, 26, 95, 107, 154, 211, 220, 236, 245, 3x2 — Council, 55 Gratuities to Officials, 99 äruÄfhT 92 - 203 - 209 ’ 3 ' 7 Guilds, Trade, 74, 170,252 Gurkhas, 21 Haiho. See Peiho Haimen, city, 419 Hainan, island, 1,258 Han Dynasty, 8, 68, 119 Han river, 311 Hangchow, city, 12, 14, 40, 76, 95 154, 172, 237, 244, 245, 312 Hankow, port, 27,35, 56, 102, 148, I 57. 199, 221, 230, 305, 307, 311, 345, 347, 349 Han-lm Yuan, 59 Hannen, Chas., 361 Hanyang, city, 27 Harbin, city, 206, 209 Harbor-master, 356, 369 Harding, J. R., 368 Hart, James H., 383 Hart, Sir Robert, 57, 94, 356, 374, 375, 380, 388 Height of mountain, 174 Henderson, D. M., 368 Hereditary nobility, 53 Hides, 297 INDEX 446 Hienfeng, Emperor, 26,31, 52, 120, 126, 142 Hien-tsu, 52 Hing Pu, 57 Hioh Pu, 58, 65 Historical map, 2 Hiung-nu, tribe, 8 Hofei (hsien), district, 69 Hoihovv, 99, 258 Hokow, 267 Holland, Captain, 33 Honan, province, 2, 5, 62, 63, 83, 87, 90, 92, 93, 95, 114, 221, 311, 348 Hong at Canton, 23, 54, 275, 278, 281, 334 Hongkong, British Colony, 26, 254, 255, 260, 335, 336 Hope, Admiral, 32 Hoppo of Canton, 23, 24, 54, 66, 99, 123, 281, 331, 334 Howqua, Hong merchant, 28 t Hsia Dynasty, 3, 4 Hsiang, river, 2 Hsien, district, 65, 86 — office of, 67, 69, 70, 71, 86, 87, 108, 112, 377 Hu Nai-tsi, 344 Hu Pu, 57 Huber, A., 361 Hughes, George, 357 Hukwang, 95 Hunan, province, 2, 8, 9, 26, 59, 62, 64. 95. 96, 101, 107, 226, 305, 307, 318, 342, 345, 347 Hung Hsiu-chuen, Taiping leader, 26, 27, 32, 33 Hungwu, Emperor, 123, 141, 235 Hupeh, province, 9, 44, 61, 64, 92, 93. 95. 96, 101, 102, 228, 342, 347 Hwai salt administration, 100, 101 Hwangho. See Yellow River Hwangpu, river, 238 Hwangti, ruler, 2, 6 Ichang, port, 36, 228, 308, 349 Ili, province, 36 Ilipu, Commissioner, 26 Imperial Clansmen, 52 Indemnities, 26, 29, 30, 35, 40, 44, 281, 299, 367 Inland places, 190, 193, 205, 366 Inspectorate of Customs. See Customs, ­ maritime Internal trade, 302 Irkutsk, city, 206 Iron, 206, 215, 288, 298 — currency, 119, 126 , Italian relations, 41, 212 Ito, Count, 37 Japan, wars with, 14, 36, 39. 7 8 g Japanese relations, 36, 37, 212, 2 1 Java, 327 Jehol, city, 23, 30, 31 Judge, Provincial, 64, 68, 70, I* 2 ’ 377 Junk traffic, 98, 207, 2x4, 218, 3°3' 307, 310, 313 Jurisdiction over Chinese, 182, * 195. 198 — over foreigners. See Extra territoriality Kaifeng, city, 2, 12, 13, 76, 315 Kalgan, mart, 315 Kan, river, 2 Kang Yu-wei, reformer, 41 Kanghi, Emperor, 19, 20, 21, 49’ 53, 91, 123, 125, 191. 193. 32B Kansu, province, 8, 33, 63, 76, 93' 96, 222, 316 Kao-Tsung, Emperor, 10 Kelung, 38 Kettler, Baron von, 44 Khitan, tribe, 11 Kiakhta, treaty of, 180 — mart, 3x6 Kiaking, Emperor, 23, 126 Kiangsi, province, 2, 8, 9, 63. 93' 95, 96, 101, 154, 231, 342, 347 Kiangsu, province, 9, 32, 33, 61, 83, 93. 95- 96, 101, 148, 154. 2 34' 312, 342, 346, 385 ICiangyin, city, 39 Kiaochow, German colony, 41. 2*9' 312 Kienfeng, Emperor, 21, 23, 49. 12 Kienlung, Emperor, 21, 22, 49. 125 Kin Dynasty, 12, 13, 122, 134 Kingchow, city, 76 Kingtehchen, porcelain centre, 95' 232, 306 Kirin, province and city, 205 Kisiang, reign title, 31,50 Kiukiang, port, 27, 154, 232 Kiungchow, port, 29, 258 Kiying, 26 Kleczkowsky, C., 357 Klein wach ter, F., 361 Knife coins, 121 Ko-lao-hui, 39 Kongmoon, port, 258 Kopsch, H„ 383 Korea, 8, 11, 36, 37, 39, 40 Koshinga, pirate chief, 16, 272 INDEX 447 Kotow, ceremonial of, 20, 23, 272 Kowloon Customs, 255, 340, 342 ~~ territory, 30, 261 Kowshing, steamer, 39 Kublai Khan, 13, 14, 46, 137, 220, 265, 312 Kuldja, city, 36 *Ujung, mountain resort, 232 Kun, Ki-chu, 57 361' Prince ' 3 °' 3 1 ' 52, 55. 357' Kung Fu-tze. See Confucius Kung-pao, 57 £ Un g Pu, 58 wangchow-wan, French colony, K- 41 ' 262, 342 Kwanehsu x? K 52 Kwa nghsu. Emperor, 35, 41, 50, n gsi, province, 1, 8, 24, 26, 28, 59, 62, 64, 93, 96, 101, 262, 304, K, 342 ' 350 wangtung, province, 1, 8, 16, 64, 70, 92, 93, 99, xoi, 107, 251, 3x8, 342, 344, 345 Weic how, province, 1, 64, 93, 101, K^ ei L e ang ' 55 Wo Show-king, mathematician, 312 Lake Baikal, 12, 206 Land registration, 71, 73, 86, 104 Z" tax, 85 Cangson, city, 38 Laotze, 5 Lappa customs, 255, 340, 342 t- a y, Horatio Nelson, 353, 356 Lead, 206, 267, 282, 288 Lee Pu, 57 T ' en gth, measure of, 172 Leonard, J. K„ 357 " ex toci, application of, 176, 177, Li 1 ^ 8 ' 185 i •' J? easur e of distance, 173 L- Han-chang, 61 rtung-chang, 27, 32, 33, 37, 40, 76 f-iao, 206 Liaotung peninsula, 17, 40 LiS ang ' city ' 17 okq buoys, and beacons, 356, I i I-’ .369 m, inland taxation, 82, 106, 108 9- 3 °3, 340, 345, 366 Lin Tze-sü, Imperial Commissioner, 25, 334 . Linchow, city, 237 Lintin Island, opium depot, 332 Literature, Chinese, 2, 59, 227, 379 — anti-Christian, anti-foreign, 34, 38 — destruction of, 7 — encouragement of, 10, 21, 34, 45 Li-tsung, Emperor, 13 Little, Archibald J., 224 Liu Kun-i, 43 Liu Ming-chuan, 378 Liu Pang, 7 Liu Yü, 9 Loch, Sir Henry, 30 Lolos, X Lo-ti-shui, tax, 106 Lu, Duke of, 5 Lungchow, city, 263, 264, 304 Macao, Portuguese colony, 24, 177, 204, 255, 259, 271, 272, 273, 276, 277- 332 Macartney, Lord, 22, 273, 328 Macpherson, A., 361 Magistrate. See Hsien Manchu Regent See Durgan Manchuria, 44, 60, 67, 75, 100, 203, 205, 316, 342, 346 Manchus, 8, 17, 19, 46, 62, 74, 86, 95, 123, 144, 203, 206, 317, 327 Manhao, 267 Manila. See Philippines Manwyne, city, 35 Marco Polo, 14 Margary, A. R., 35, 36 Martin, W. A. P., 370 Matches, 289 Matteo Ricci, 16, 191 Matting, 297 McCalla, Captain, 42 Measures, 170 Medicines, 319 Meiling Pass, 232, 306 Mencius, 3, 5, 6 Mengtsz, city, 265, 267, 305, 350 Merchant, position of, 187 Merchants. See Foreign Merchants Méritens, Baron de, 361 Metals. See Minerals Miaotze, 1 Michael Roger, 16 Middle Kingdom, 6 Millet, 95, 210 Min river, 38, 307 Minerals, 206, 223, 263, 288, 298 INDEX 448 Ming Dynasty, 15, 16, 17, 18, 46, 122, 141, 210, 235, 312, 327 Mining royalties, 104 Ministries (Peking), 51, 54, 57, 58, 112, 395 Mint statistics, 129 Missionaries, 11, 16, 21, 28, 31, 37, 39, 41, 43, 190, 194, 196, 202, 219, 417, 420 Mixed Courts, 198, 428 Mokammedans, 33, 36, 176, 326, 348 Mokanshan, mountain resort, 245 Mongolia, 8, 15, 21, 203 Mongols, 8, 12-15, 95, 122, 136, 203, 210, 235 Monopoly of trade, 187, 275, 280, 281 Monsoon, 270, 277, 303 Morphia, 351 Morrison, Robert, 191 Moukden, city, 17, 206, 208, 347 Mow, measure of area, 174 Municipal government, Chinese, 47, 68 — government, foreign, 186, 188, 189, 198, 200, 204, 212, 218, 227, 240, 254 Murphy, R. C„ 353 Musk, 319 Namoa Island, near Swatow, 333 Nanking, port, 9, 12, 26, 27, 32, 33, 54* 56. 57* 6l * 65* 76, 95* 101, 173, 235 — treaty of, 26, 54. i53* 1 77* 18 ï* 204, 255, 260, 334, 338 Nanning, 265 Napier, Lord, 23, 24, 54. 273, 281, 334 Nerchinsk, 20, 180 Newchwang, port, 29, 161, 206 Niehtai. See Judge, Provincial Ninghia, city, 76 Ningpo, port, 16, 25 32, 204, 246, 271, 273 Ningyuan, city, 17, 317 Nipal, 21 Nobility, ranks of, 47, 53* 217, 375 North and South, division between, 9 Notes. See Paper-money Nü-Chen Tartars, 12 Nui-Ko, 56 Nurhachu, 17 Official intercourse, 276, 281 Ogotai Khan, 13 Oil* bean, wood, etc., 296, 3x9 Oil, kerosene, 107, 289 Oil-seeds, 298, 320 Oliphant, Laurence, 338 Onon, river, 12 Opium, 179, 323 — called tea, 332 — foreign, no, 285, 328, 337, 34*' 342, 350, 366, 434 — medicinal use, 324, 327, 337 — native, no, 206, 225, 266, 3°5' 325* 343* 350* 434 — smoking, 326, 327, 337, 343, 349* 434 — trade, 25, 36, 255, 281, 328, 335' 338, 340. 341* 343* 434 Osborne, Sherard, 356 Oyama, General, 40 Pakhoi, port, 36, 99, 258, 250 Palikiao, 30 Paotingfu, city, 43 Paper money, 46, 119, 122, 133 Parker, Peter, 354 Parker, Sir William, 25 Parkes, Sir Harry, 28, 30 Farsee merchants, 335, 337 Passports, 340 Pawnbrokers’ licenses, 104 Pechihli, Gulf of, 209, 215 Peiho, river, 29, 211 Peitaiho, seaside resort, 215 Peking, city, 18, 19, 22, 24, 27, 29* 30, 31, 42, 43, 47, 56, 60, 71, 83» 95* 123* 155, 210, 271, 273* 2 7 4 ' 307* 317. 359 Penalty for homicide, 178, 199* 2 ' 4 People of China, 1, 46, 196, 251 Perestrello, Raphael, 15, 270 Persecution of Christians, 191, i9 2 ' 193 „„ Pescadores Islands, 16, 38, 40, ir Philippine Islands, 16, 271, 326 Phoenix, emblem, 52 Picul, weight, 171 Ping Pu, 57 Piracy. See Brigandage Piry, T., 380, 384 Plague, bubonic, 265 Plato, 5 Polo, Marco, 14 Pope, decision of, 193 Poppy, 323, 337, 434 Population, 203, 207, 209, 2x1* 2 ^ 215, 2x8, 221, 222, 223, 226, 228, 229, 230, 231, 232, 233. 235* 236, 238, 240, 244. 245* 24 ' 247, 248, 249, 251, 252, 253* 2% ¿58, 260, 262, 263, 265, 267, 20 29 INDEX Po2% 95, 98, 232, 306 lôïâÂY/' 44 ' 206 ortuguese relations, 15, 21, 22, 379, 382, 392 postal money orders, 385 r °^ ncial government, 47, 59, 64, Provisions, 298 ^u-cheng Shih-sze, 64 u-chun. Prince, 50 u -lun, Prince, 50, 53 Queue head-dress, 17, 18 Quicksilver, 282 Railways, 206, 207, 208, 220, 266, Rehuir 315 ' 3l6 ' 320, 321 Oellions. See Taiping, and Monammedan eclaniation of land, 210 Red Girdle, 52 River (Tonkin), 266 Reed tax, 104 Reed, William B„ 338 Reform Party, 41 Remittance of money, 83 Residence in interior, 191, 193 Revenue, 80, 85, 115, 116, 118 Ricci, Matteo, 16, 191 Rice, 95, 136, 226, 233, 235, 251, 2? 9 ' 317 1 428 33 ' 38 ' 42 ' l86 ' I9<5 ' 307 ' 4I9, Roger, Michael, 16 toman dominion, 175 ussian relations, 20, 21, 22, 36, 37, 4°, 41, 56, 180, 191, 213, 230, 273 Sacred Edict, 21 official, 69, 81, 85, 87. 99, ankolinsin, 27 Sanmen Bay, 41 Seôíí. a 37 POrt - 247 449 Shanghai, port, 25, 31, 32, 107, 148, 154, 158, 172, 199, 238, 307, 318, 348,352,391 Shanhaikwan, 203, 317 Shan-how Kii, 65 Shans, 1 Shansi, province, 63, 76, 92, 93, 100, 222, 315, 345, 346, 348 Shantung, province, 5, 41, 42, 62, 63, 76, 92, 93, 95» 96, xox, 206, 215,312, 342, 346 Shasi, port, 40, 229, 305, 308 Shengking, province, 206 Shen Nung, ruler, 2 Shensi, province, 1, 10, 11, 17, 33, 63, 76, 93, 100, 101, 222, 316, 324, 348 Shih Hwangti, Emperor, 6,125 Shimonoseki, Treaty of, 40 Shipping statistics. 231, 242, 284 Shiuhing, city, 24, 54, 173 Shu Hsien Kuan. See Post Office Shu, Kingdom, 9, 100 Shui-wu Chu, 361 Shun, ruler, 2, 3 Shunchih, Emperor, 49, 123 Sianfu, city, 11, 43, 76, 222, 311 Siang, river, 27, 226 Siangtan, city, 226, 227 Siberian route, 20 Silk, raw, 2, 136, 206, 235, 252, 253, 279, 290, 293, 320 — rolls as currency, 119, 136 — woven, 94, 236, 320 Silver, 206, 263 — coins, 144, 157, 162, 167 — currency, 143 — fineness, 145, 149, 151, 160 — ingots, 147, 159 Skins, 298 Smith, Arthur, 353 Socrates, 5 Sontay, 37 Soochow, city, 32, 33, 40, 69, 95, 107, 154, 172, 173, 237, 312 Spade coins, 121 Spanish relations, 16, 272, 326, 337 Statistics of trade, 207, 214, 218, 221, 225, 229, 231, 233, 234, 236, 237, 243, 244, 245, 246, 249, 250, 253, 255, 256, 258, 264, 268 Straw-braid, 299 Sugar, 290, 320 Suiyuan, city, 76 Summer Palace, Peking, 23, 30 Siin-fu, 64 Sung Dynasty, 9, 10, 12, 13, 94, 122, 133, 270, 324 INDEX 450 Sung, southern dynasty, 13, 122, 134, 144, 235, 312 Sungari River, 206 Sungkiang, city, 32 Sungpan, mart., 302 Swatow, port, 29, 99, 252 Szechwan, province, 1, 7, 9, 61, 76, 92, 93» 95» 96, 101, 119, 133 Szemao, city, 268 Sze-Tao, 65 Tael, Canton, 157 ; Haikwan, 151, 161 ; Hankow, 157 ; Kuping, 88, 153, 160 ; Peking, 155 ; Shanghai, ­ 158 ; Tientsin, 156 ; Tsaoping, 154, 158 ; of silver, 145, 149, 165 ; of weight, 124, 145, 150, 171 Taintor, E. C., 361 Taiping, Emperor, 2, 3 — Rebellion, 26, 31, 38, 55, 78, 95, 106, 201, 226, 232, 235, 313, 335, 352 Taitsang, 33 Tai-Tsung, Emperor, 10 Taiyuanfu, city, 43, 76, 222 Taku Forts, 29, 42, 43, 44 Ta-li Sze, 59 Talien, port, 41, 206, 262, 316 Tallow, vegetable, 320 Tang, Prince of Shang, 4 — dynasty, 10, 11, 122, 123, 125, 133» 143, 270, 323 Tanyang, city, 39 Taoism, 5, 49 Taokwang, Emperor, 24, 95» 126, 194 Taotai, 65, 67, 82, X12 Tartar General (Tsiang Kün), 63, 66, 76, 123, 208 Tatsienlu, mart, 302 Tatung, city, 234 Tatungkow, port, 209 Tax collection, 48, 71, 73, 74, 80, 83, 85, 88, 89, 102, 108, hi, 188 Tea, 226, 233, 248, 249, 250, 257, 274, 279, 290, 306, 307, 311, 330 — licenses, 104 Tehchow, city, 76 Telegraphs, 56 Tengyueh, city, 268 Three Kingdoms, The, 9 Tiao (1,000 cash), variability, 130 Tibet, 21, 203, 269 Tien Wang. See Hung Hsin-chuen Tientsin, massacre, 34 Tientsin, port, 14, 27, 30, 43, 60, 65» 95» 107» 148, 154» 156, 199' 211, 311, 317 — treaties of, 29, 54, 180, 191, 193» 237» 338 Ti-hioh Sze, 65 Timber, 95, 226, 263, 290, 305, 307 Tin, 266, 288, 298, 305, 350 Ting Tu-chang, Admiral, 40, 178 Tipao, village elder, 48, 73 Titai, Provincial Commander-in' Chief, 77 Tobacco, 320, 327, 337 Tongshan, 209 Tonkin, French protectorate, *4» 37,38,350 Tonnage dues, 278, 356, 360, 366 Tow, measure of capacity, 172 Tracking boats, 309 Transfer money, 161 Transit dues, 176, 267, 340, 360, 3^5 — pass, 237, 264, 268, 269, 304, 3*5' 316, 366 Treasure, 25, 278, 283, 300, 329 Treasurer, Provincial, 64, 67, 7 1 ' 112 Treaties with China, 20, 26, 29, 3°' 36, 40, 54, 180, 181, 182, 183, i9 2 ' 195» 271 Treaty ports, 26, 29, 30, 36, 40, i°7' 203, 204, 206, 207, 212, 217, 220, 227, 228, 229, 230, 253 — privileges, 175, 183, 185, i8/» 194, 204, 220, 225, 364, 366 Tribute, 8, 10, 14, 23, 47, 65, 71, 73’ 75» 94» 95» 96, 99» 119, 135, I7 2 ' 314, 317, 318 Tsai, Prince, 30 Tsao-tsao, 9 Tsen Chun-süan, 61 Tseng Kwo-fan, 27, 61, 78, 226 Tsiang Kun. See Tartar General-Tsin (China), 8 — (Roman Empire), 8 — Dynasty, 6, 7, 11, 68, 125 — shih-hwang, 6, 7 Tsinan, city, 221 Tsingchow, city, 76 Tsing Dynasty. See Manchus Tsinkianpu, city, 312, 313 Tsingtau. See Kiaochow Tsitsihar, province and city, 205 Tso Tsung-tang, 61 Tsungli Yâmen, 55, 57, 361 Tsung-tu, 63 Tsushima, Straits of, naval engag 6 ' ment of the, 44 Tu-cha Yuan, 58 INDEX 451 1 ung-cheng Sze, 59 Tung-Chih, 66 •Tungchih, Emperor, 31, 35, 49, 50, 5 I > 52, 143 Jung Cho, 9 fungchow, 23, 30 Tung-ling, 78 iung-pan, 66 fungting lake, 228, 231, 305 Surgut, Tartar tribe, 23 lurkestan, 21, 203 ■Turkish Empire, 177 Van Aalst, T. A., 384 viceroy, office of, 60, 61, 63, 66, 67, Vm 7 ' II2 ' 361 , } u age government, 48, 73 Jadivostock, port, 206 langaly. General, 31 Wade, Sir Thomas, 35, 338, 353, 381 wSSt’Äy 6 ’ I7 ' 145 \\ard, W. W., 357 Wars: China-Japan, 11, 39; with Great Britain, 25, 27, 179 ; with France, 37 ; with Burma, 21 ; between Russia and Japan, 44 Wax, 95 Weddell, Captain, 22, 273 Weights, 171 Wei, Kingdom, 9 vTr - iv ® r ' 2 Weihaiwei, British colony, 40, 41. 219 Wenchow, port, 36, 247 \v es + River ' 204. 251, 262, 266, 304 cstern nations, intercourse with 19 Whampoa, anchorage for Canton =7?. 332 treaty of, 182 Wharfage dues, 107 Wheat, 206, 210 Wilzer, F., 357 . . ^ . Women prohibited m factories, 276 Woodruff, F. E., 361 Wool, 222, 299, 316 Woollen cloth, 282, 288 Wuchang, city, 27 Wuchow port, 134, 259, 262, 263 W11 How, Empress, 10, 11 Wuhu, port, 36, 39, 154, 234, 3 l8 Wu Kien-chang, 353 Wu, kingdom, 9 Wu San-kwei, General, 17, 18, 59 Wusih, city, 39,312 Wusueh, city, 39 Wusung, port, 25 Wu Wang, Duke of Chow, 4 i Xavier, St. Francis, 16, 191 Yaishan, island, 13 Yalu, battle of the, 40 j Yangchow, city, 39 , Yangtze River, 7, 9, 26, 29, 31, 32,-36, 38, 204, 223, 266, 305, 307, 308 Yao, ruler, 2, 3 j Yatung, mart, 269 I Yeh. Viceroy, 28 I Yellow girdle, 52 ■ — River, i, 3, 62, 83, 114, 204, 209, 210, 215, 216, 312, 315 — Sea, 7, 15 ' Yentai. See Chef00 Yen-yün Shih-sze, 65 Yingkow, Yingtze. See Newchwang Yochow, port, 218, 226 Yii, ruler, 2, 3 Yuan Dynasty. See Mongols ! — river, 2 Yungcheng, Emperor, 21, 49, 124, I 125, 194, 210, 328 ! Yunglo, Emperor, 123, 142, 211, 236 Yunnan, province, 1, 33, 35, 37> 6l * 93, 95, 101, 120, 265, 304, 326, 344, 345, 349 Printed by Hazell, IVatson & Viney, Ld., London and Aylesbury. y,; * . • -% V. mmm . m m ÿ:.-i : ■111 $07975937 206 396 APPENDIX A Tj 10 ^aiwu P u (the Board of Foreign Affairs) and the Li Bu (the Board of Civil Appointments) will be the same as hitherto. Ihe police affairs being only a part of civil administration, the Board of Constabulary is hereby re-named the Board of Civil Administration or Min-cheng Pu. The Board of Revenue or Hu Pu is re-named the Board of Finance or Tuchih Pu, in which the Council of Finance or Tsaicheng Chu is included. The Board of Rites is hereby amalgamated with the Courts of Sacrificial Worship, Imperial Entertainments, and that of State Ceremonial, and will remain under the old name of Lee Pu. The Board of Education remains as hitherto. The Ping Pu or Board of War is re-named Luchün Pu, and the Board of Army Reorganisation and the Court of Imperial Stud . S ama ted in it. It is also decided to take charge of the affairs of the Navy and General Staff until the establishment of a Board of Navy and General Staff which will be established in future. The Board of Punishment is re-named Fah Pu or the Board of Justice, to be responsible for all the judicial administration ­ ; and the Grand Court of Revision is re-named fh Y uan or Court of Cassation, which is to take charge solely of the matter of trying civil litigations and minor cases. The Board of Works is amalgamated with the Board of Commerce under the new style of Nung-kung-chang Pu. The affairs relating ­ to steamships, railways, telegraphs, and postal administration ­ are now placed under a new Board called the Board of Communications or Yuchuan Pu Lifan Yuan or the Mongolian Superintendency is hereby re-named the Lifan Pu or the Board of Colonies. Except the Waiwu Pu, the system of which will remain as hitherto, all the other Boards will have one President and two Vice-Presidents, without making any distinction between Manchu and Chinese. The Censorate is an office where the administative officials are looked after and either impeached or recommended according o he circumstances. Now one President and two Vice-Presidents are appointed to the Censorate, and the Supervising Censors of « Hoards are to be called merely Supervising Censors. Otherwise there will be no change. The Tsecheng Yuan or Government Council, where the pr°' minent officials are appointed to assist in state affairs, and Shenchi-yuan or the Court of Auditors, where all the revenues an< ^ru •P enc ^ tm:es have to the audited, will be newly establishedthe Imperial Clan Court, Hanlin Yuan, Imperial Board of Astronomy, Imperial Equipage Department, Imperial Household, ­ Banner Battalions, Imperial Guards, Peking Gendarmeries, the city of Peking as well as the Peking Granaries, do not need 'K#