62 HART AND THE CHINESE CUSTOMS HART AND THE CHINESE CUSTOMS 味 ordered them to deliver within three days all the opium in their responsible,on behalf of the British Government,to all those surrender- possession so that it might be destroyed.Knowing that this opium was ing British-owned opium,and at the same time warned all those who stored at the outer anchorages in receiving ships which could easily should fail to surrender their opium before six p.m.that the make for the safety of the open seas,Lin,to ensure compliance with British Government would be free from all responsibility in respect of his order,followed it up by proceeding to make the whole foreign such unsurrendered opium.On the following day Elliot informed Lin community prisoners,by massing troops in the suburbs of the city,and that he held himself answerable for the speedy delivery of 30,38g chests anchoring gunboats with armed guards opposite to the factories.The of British-owned opium.It was an easy victory for Lin,and the ease Hoppo also issued an order forbidding any foreign resident to leave the of it encouraged him to go further.Not satisfied with Elliot's written factories for Macao. promise Lin-a believer in hey presto results-demanded its instant Prisoners they were,and prisoners the whole foreign community- execution,and to enforce his demand tightened the blockade round the innocent and guilty alike-remained for practically the next two factories.He also renewed his demands that Elliot and all the foreign months.To the offer of the British opium merchants to surrender 1037 traders should sign a formal bond stipulating that should any vessel in chests,the Imperial Commissioner replied by summoning Mr.Lancelot future bring opium to China both ship and cargo were to be confiscated, Dent,one of the leading opium merchants,to go into the city,where and that the guilty parties would agree to submit to the penalty there is little doubt he would have been held as a hostage,and by imposable,namely death.Furthermore,Elliot was to require Her threatening the execution of the principal security merchants.Elliot Majesty to order all British subjects to obey the prohibition at some personal risk,hurried up from Macao to Canton,and offered to promulgated by the Emperor of China;he was also to suggest to Her accompany Mr.Dent into the city provided the Imperial Commissioner Majesty that she should prohibit the cultivation of the poppy and the would give a written and sealed guarantee that.the two would not be manufacture of opium in her dominions. separated.The answer to that was the redoubling of guards all round the factories on land and on the river.The Imperial Commissioner Lin's blocade method was an immediate but a purely temporary success.It was essentially a Chinese method which rode roughshod had at last got the foreign Superintendent in his clutches;and,in the approved manner of modern dictators,would force him by pressure, over European conceptions of law and justice,and the war which subsequently arose from the circumstances preceding,accompanying, and without firing a shot,to do his will.All the Chinese servants were withdrawn from the factories,and fresh food and water supplies were and following Lin's activities at Canton was fundamentally a confict between two widely divergent conceptions of law and government.A ordered to be cut off.Elliot demanded passports for all the British ships and people at Canton,a demand which elicited the reply that as compromise,or a modus vivendi,could probably have been reached soon as all the opium was surrendered the passports would be issued. through negotiations on a basis of equality,but to expect such a solution in China even at the beginning of the nineteenth century was To Elliot's request that provisions and servants might be permitted to come in,Lin replied by throwing on Elliot alone the full responsibility tc ask for the moon.The Emperor as the Son of Heaven was the for the speedy delivery of the opium,and for the giving of bonds by all supreme authority not only within the borders of China,the Middle Kingdom,but throughout all tributary kingdoms,and what kingdom merchants pledging themselves never again to engage in the opium was there which was not tributary His rule was one of benevolent trade,and,if detected in any attempt to smuggle the drug,to be willing to submit to the penalities imposed by Chinese law.It was useless to paternalism,and under such a rule there was no need or place for the sub- try to evade the issue.Elliot could not take shelter behind the plea ject to question the justice of his behests.Should he ever become forgetful that his Government had declared that it would not protect merchants of the welfare of his subjects,nature would be outraged and call for who carried on a trade in 'violation of the laws of China,and that as vengeance.Then and then only might the subjects rise and overthrow British representative he was in no sense responsible for the control of the tyrant who had exhausted the mandate of Heaven,as a tempest the detested opium traffic:his action three months previously in clearing at sea might overturn a boat.When the storm had spent itself,all would the British opium-running cutters and small schooners out of the inner be calm again,and the rule of benevolent paternalism under another Son of Heaven would be resumed.The alternative to the blockade river was convincing proof to the Chinese that he had the power,and that he was responsible. method was for the Chinese authorities to seize by force all the ships, with their cargoes,and persons concerned,and this,according to Elliot's struggle with Lin was brief and inglorious.He had arrived western ideas,would have been the justifiable course.The opium at Canton on the evening of the 24th March,and on the morning of traders had received ample warning;the right of the Chinese to prohibit a7th he capitulated.On.the plea that he was acting under duress,and trade in the drug was undoubted;the British Government and its to protect the lives and liberties of all foreigners forcibly detained by representative on the spot had admitted China's right to confiscation; the Chinese authorities,he called upon all British subjects owning,or if forcible resistance were attempted the responsibility would rest having the disposal of,opium,to surrender all such opium to him for entirely with the individuals so resisting.Had China been a European the service of Her Majesty's Government to be delivered to the Govern- power this is the course she would have adopted;but the carrying of ment of China.In this notification he declared that he held himself it out effectively demanded a well-organized Customs service and a
52 HART AN""]) THE CHINESE CUSTOMS ordered them to deliver within three days all the opium in their possession so that it might be destroyed. Knowing that this opium was. stored at the outer anchorages in receiving ships which could easily make for the safety of the open seas, Lin, to ensure compliance with his order, followed it up by proceeding to make the whole foreign community prisoners, by massing troops in the suburbs of the city, and anchoring gunboats with armed guards opposite to the factories. The Hoppo also issued an order forbidding any foreign resident to leave the factories for Macao. Prisoners they were, and prisoners the whole foreign communityinnocent and guilty alike-remained ~or practically the next two months. To the offer of the British opium merchants to surrender 1037 chests, the Imperial Commissioner replied by summoning Mr. Lancelot Dent, one of the leading opium merchants, to go into the city, where there is little doubt he would have been held as a hostage, and by threatening the execution of the principal security merchants. Elliot at some personal risk, hurried up from Macao to Canton, and offered to accompany Mr. Dent into the city provided the Imperial Commissioner would give a written and sealed guarantee that. the two would not be separated. The answer to that was the redoubling of guards all round the factories on land and on the river. The Imperial Commissioner had at last got the foreign Superintendent in his clutches; and, in the approved manner of modern dictators, would force him by pressure. and without firing a shot, to do his will. All the Chinese servants were withdrawn from the factories, and fresh food and water supplies were ordered to be cut off. Elliot demanded passports for all the British ships and people at Canton, a demand which elicited the reply that as so~n as all the opium was surrendered the passports would be issued. To Elliot's request that provisions and servants might be permitted to come in, Lin replied by throwing on Elliot alone the full responsibility for the speedy delivery of the opium, and for the giving of bonds by all merchants pledging themselves never again to engage in the opium trade, and, if detected in any attempt to smuggle the drug, to be willing to submit to the penalities imposed by Chinese law. It was useless to try to evade the issue. Elliot could not take shelter behind the plea that his Government had declared that it would not protect merchants who carried on a trade in -violation of the laws of China, and that as British representative he was in no sense responsible for the control of the detested opium traffic: his action three months previously in clearing the British opium-running cutters and small schooners out of the inner river was convincing proof to the Chinese that he had the power, and that he was responsible. Elliot's struggle with Lin was brief and inglorious. He had. arrived at Canton on the evening of the 24th March, and on the morning of 27th he capitulated. On .the plea that he was acting under duress, and to protect the lives and liberties of all foreigners forcibly detained by the Chinese authorities, he called upon all British subjects owning, or having the disposal of, opium, to surrender all' such opium to him for the service of Her Majesty's Government to be delivered to the Government of China. In this notification he declared that he held himself HART AND THE CHINESE CUSTOMS· 53 l'esponsible, on behalf of the British Government, to all those surrendering British-owned opium, and at the same time warned all those who should fail to surrender their opium before six p.m. that the British Government would be free from all responsibility in respect of such unsurrendered opium. On the following day Elliot informed Lin that he held himself answerable for the speedy delivery of 20,283 chests of British-owned opium. It was an easy victory for Lin, and the ease ,of it encouraged him to go further. Not satisfied with Elliot's written promise Lin-a believer in hey presto results-demanded its instant -execution, and to enforce his demand tightened the blockade round the factories. He also renewed his demands that Elliot and all the foreign traders should sign a formal bond stipulating that should any vessel in future bring opium to China both ship and cargo were to be confiscated, and that the guilty parties would agree to submit to the penalty imposable, namely death, Furthermore, Elliot was to require Her Majesty to order all British subjects to obey the prohibition promulgated by the Emperor of China; he was also to suggest to Her Majesty that she should prohibit the cultivation of the poppy and the manufacture 6f opium in her dominions. Lin's blocade method was an immediate but a purely temporary success. It was essentially a Chinese method which rode roughshod over European conceptions of law and justice, and the war which subsequently arose from the circumstances preceding, accompanying, and following Lin's activities at Canton was fundamentally a conflict between two widely divergent conceptions of law and government. A compromise, or a modus vivendi, could prob'ably have been reached through negotiations on a basis of equality, but to expect such a solution in China even at the beginning of the nineteenth century was tcask for the moon. The Emperor as the Son of Heaven was the supreme authority not only within the borders of China, the TvIiddle Kingdom, but throughout all tributary kingdoms, and what kingdom 'was there which was not tributary? His rule was one of benevolent paternalism, and under such a rule there was no need or place for the sub· ject to question the justice of his behests, Should he ever become forgetful of the welfare of his subjects, nature would be outraged and call for vengeance, Then and then only might the subjects rise and overthrow the tyrant who had exhausted the mandate of Heaven, as a tempest at sea might overturn a boat. 'When the storm had spent itself, all would be calm again, and the rule of benevolent paternalism under another Son of Heaven would be resumed. The alternative to the blockade method was for the Chinese authorities to seize by force all the ships, with their cargoes, and persons concerned, and this, according to western ideas, would have been the justifiable course. The opium traders had received ample warning; the right of the Chinese to prohibit trade in the drug was undoubted; the British Government and its representative on the spot had admitted China's right to confiscation; if forcible resistance were attempted the responsibility would rest entirely with the individuals so resisting, Had China been a European power this is the course she would have adopted; but the carrying of it out effectively demanded a well-organized Customs service and a
54 HART AND THE CHINESE CUSTOMS HART AND THE CHINESE CUSTOMS 55 strong navy.China had neither;but,as we shall see,it was precisely in time to prevent the Royal Saxon from taking out the bond and these two deficiencies that pressure of western contact during the next entering.He also forwarded a note to the Imperial Commissioner quarter century was to force China to try and make good. demanding that the order for the destruction by fire of the English ships By the 21st May,all the surrendered opium was in Lin's hands at Hongkong should be.cancelled,that English merchants and their ready for destruction,and on the day following Elliot issued a notice families should be permitted to reside on shore without risk of that.all British subjects.were to leave Canton before or with himself, apprehension,and that they should be allowed servants and provisions. and that for the present no British ship was to enter the port of Canton. On the morning of the grd Admiral Kuan's fleet of twenty-nine war junks Three days later all the British had left including the sixteen merchants was observed bearing down on the position of the two English frigates whom the Chinese had wished to detain as the principal importers of In reply to a note from Captain Smith requesting an explanation of this opium,but whom they now permitted to depart on the signing of a action Admiral Kuan stated that he wanted delivery of the murderer of bond that they would never return.The British community retired Lin Wei-hi.In spite of Elliot's reply that every effort thitherto made to first to Macao,but ultimately,owing to Chinese threats due to the discover the culprit had failed,and that as soon as he was apprehended steadily growing tension and to Elliot's action over the above-mentioned he would be punished,the Admiral maintained his threatening attitude. brawl at Hongkong when the Chinese Lin Wei-hi lost his life,and owing Thereupon Captain Smith opened fire,and in the ensuing action sank to the Portuguese unwillingness to afford them shelter,they had to four of the Admiral's war junks,and so damaged many of the others that take to their ships and proceed to Hongkong anchorage.Elliot's mind they were forced to retire.This naval engagement at Chuenpi is usually was made up.He would hold on in face of all adversity,would do all regarded as the opening of hostilities,although it was not till the 1gth in his power to prevent open renewal of British trade,would cppose December,more than a month later,before the Emperor issued an edict the bond tooth and nail,would refuse to hand over a victim in ordering the complete stoppage of English trade and the expulsion of all satisfaction of the death of Lin Wei-hi,and would wait for instructions English shipping from Chinese waters.If this edict was not formally a from home thus reverting to the quiescent policy of Davis and Robinson. declaration of war,it was definitely a severance of relations.There was, But quiescence was no part of Lin's policy;he had no intention to in fact,no formal declaration of war from the Chinese side;but on the extinguish the legitimate trade,as that would involve him in trouble 3ist January,1840,the Governor-General of India issued such a with both the Canton and the Peking authorities.All his diplomacy and declaration in the name of the British Government.When called on in energy were devoted to the resumption of the ordinary trade,but on the House of Commons in March 1840 to explain the warlike his terms.In this he was supported by the Americans,and other neutrals, preparations then going forward,Palmerston replied that they were who seized time by the forelock,signed the bond,and acted as carriers (1)to obtain reparations for the violent outrages committed by the of English goods between Hongkong and Whampoa,bringing in return Chinese,who,instead of seizing the opium,which they had the right to teas for shipment to England.It was a business which benefited both do,had laid hands on the persons of Her Majesty's officers and British sides.Lin kept insisting that the English ships should return to merchants,innocent as well as guilty,and by depriving them of their Whampoa,that the murderer of Lin Wei-hi or a substitute be given up liberty and of the ordinary necessities of life,had forced Her Majesty's and that at least a modified bond be signed by all.He accused the officers to become an instrument in their hands for the execution of English of using Hongkong as a basis for smuggling opium,an Chinese laws;(2)to secure repayment of the value of the British property accusation grounded on the revived opium trade along the East coast forcibly surrendered to the Chinese as a ransom for the lives and liberties where the drug was at famine prices,and issued orders to the Chinese of the British community;and(3)to establish security for the future. in the neighbourhood not to provide provisions,to pollute the wells, which in Palmerston's view covered a number of desiderata such as the and to make prisoners any foreigners attempting to land. opening of Canton and other ports as outlets for British goods,fixation There was a break in the clouds in the middle of October,and it of tariff charges,guarantee by the Chinese Government of solvency of the looked for a moment that a compromise might be reached,but when, cohong if that system was to be maintained,direct communication with to Elliot's anger and chagrin,the master of the British ship Thomas Government and local officials on a basis of equality,proper legal Coutts,lured by the prospects of unusual profits,signed the bond,the protection for British.subjects,and an island on the coast to be ceded Imperial Commissioner immediately stiffened his attitude,and issued a permanently to the British Crown as a place of residence and commerce peremptory order that the murderer of Lin Wei-hi should be surrendered for its subjects..Revolutionary proposals these,which China could and that the English ships should either enter under bond,or depart never willingly concede.They would have to be extorted by force.It from Chinese waters within three days;disobedience would entail the was not until June 1840,when the British expeditionary force had total destruction of the ships by fire.Elliot thereupon called on Captain arrived in Chinese waters,and not until Sir J.J.Gordon Bremer,the H.Smith of H.M.S.Volage,to take immediately whatever steps he might Commodore,had given warning that the river and port of Canton were consider necessary to prevent the future entrance of British shipping under blockade and had advised merchant shipping to anchor at within the grasp of the Chinese authorities.Captain Smith with H.M.S Capsuimoon or at Macao,that the Imperial Commissioner issued Volage and H.M.S.Hyacinth arrived at Chuenpi on the and November, notifications offering rewards for the capture or destruction of English
54 HART AND THE CHINESE CUSTOMS strong navy. China had neither; but, as we shall see, it was precisely these two deficiencies that pressure of western contact during the next quarter century was to force China to try and make good. By the 21st May, all the surrendered opium was in Lin's hands ready for destruction, and on the day following Elliot issued a notice that. all British subjects. were to leave Canton before or with himself, and that for the present no British ship was to enter the port of Canton. Three days later all the British had left including the sixteen merchants whom the Chinese had wished to detain as the principal importers of opium, but whom they now permitted to depart on the signing of a bond that they would never return. The British community retired first to Macao, but ultimately, owing to Chinese threats due to the steadily growing tension and to Elliot's action over the above-mentioned brawl at Hongkong when the Chinese Lin Wei-hi lost his life, and owing to the Portuguese unwillingness to afford them shelter, they had to take to their ships and proceed to Hongkong anchorage. Elliot's mind was made up. He would hold on in face of all adversity, would do all in his power to prevent open renewal of British trade, would cppose the bond tooth and nail, would refuse to hand over a victim in satisfaction of the death of Lin Wei~hi, and would wait for instructions from home thus reverting to the quiescent policy of Davis and Robinson. But quiescence was no part of Lin's policy; he had no intention to extinguish the legitimate trade, as that would involve him in trouble with both the Canton and the Peking authorities. All his diplomacy and energy were devoted to the resumption of the ordinary trade, but on his terms. In this he was supported by the Americans, and other neutrals, who seized time by the forelock, signed the bond, and acted as carriers· of English goods between Hongkong and Whampoa, bringing in return teas for shipment to England. It was a business which benefited both sides. Lin kept insisting that the English ships should return to Whampoa, that the murderer of Lin 'Vei-hi or a substitute be given up and that at least a modified bond be signed by all. He accused the English of using Hongkong as a basis for smuggling opium, an accusation grounded on the revived opium trade along the East coast where the drug was at famine prices, and issued orders to the Chinese in the neighbourhood not to provide provisions, to pollute the wells, and to make prisoners any" foreigners attempting to land. There was a break in the clouds in the middle of October, and it looked for a moment that a compromise might be reached, but when, to Elliot's anger and chagrin, the master of the British ship Thomas COlltts, lured by the prospects of unusual profits, signed the bond, the Imperial Commissioner immediately stiffened his attitude, and issued a peremptory order that the murderer of Lin Wei-hi should be surrendered and that the English ships should either .enter under bond, or depart from Chinese waters within three days; disobedience would entail the total destruction of the ships by fire. Elliot thereupon called on Captain H. Smith of H.M.S. Volage, to take immediately whatever steps he might consider necessary to prevent the future entrance of British shipping within the grasp of the Chinese authorities. Captain Smith with H.M.S. Volage and H.M.S. Hyacinth arrived at Chuenpi on the 2nd November, HART AND THE CHINESE CUSTOMS 55 in ti~e to prevent the Royal Saxon from taking out the bond and entenn~. He also forwarded a note to the Imperial Commissioner demandmg that the order for the destruction by fire of the English ships at I:i?ngkong should be. cancelled, that English merchants and their famIlIes should be permitted to reside on· shore without risk of apprehension, and that they should be allowed servants and provisions. On the morning of the 3rd Admiral Kuan's fleet of twenty-nine .war junks was observed bearing down on the position of the two English frigates. In ~eply to ~ note from Captain Smith requesting an explanation of this actIOn AdmIral Kuan stated that he wanted delivery of the murderer of Lin Wei-hi. In spite of Elliot's reply that every effort thitherto made to discover the culp~it had failed, and that as soon as he was apprehended he would be pum~hed, t~e Admiral maintained his threatening attitude. Thereupon Captam SmIth opened fire, and in the· ensuing action sank four of the. Admiral's war junks, and so damaged many of the others that they were forced to retire. This naval engagement at Chuenpi is usually regarded as the opening of hostilities, although it was not till the 13tl~ Dece~ber, more than a month later, before the Emperor issued an edict orde~mg ~e c?mplete stoppage of English trade and the expulsion of all EnglIsh .shlppmg fr?m Chmese. waters. If this edict was not fonnally a declaratIOn of war, It was defimtely a severance of relations. There was, in fact, no formal declaration of war from the Chinese side; but on the 31st 1anuary, 1840, the Governor-General of India issued such a declaration in the name of the British GovernmenLG When called on in the Ho~se of Com~ons in March 1840 to explain ·the vvarlike preparatIOn~ then go~ng forward, Palmerston replied that they were (1) . to obtam ;reparatIOns .f~r the violent outrages committed by the Chmese, w.ho, mstead of selZlng the opium, which they had the right to do, had laI~ hands on the persons of Her Majesty's officers and British ~erchants, mnocent as well as giIilty, and by depriving them of their lIberty and of the ordinary necessities of life, had forced Her Majesty's officers to become an instrument in their hands· for the execution of Chi~ese laws; (2) to secure rep~yment of the value of the British property forCIbly surrendered to the Chmese as a ransom for the lives and liberties of ~e :"British community; and (3) to establish security for the future, whIch m Palmerston's view covered a number of desiderata such as the openi~g of Canton and other ports as outlets for British goods, fixation of tarIff charges, guarantee by the Chinese Government of solvency of the cohong if that system was to be maintained, direct communication with Government and local officials on a basis of equality, proper leo-aI protection for British. subjects, and an island on the coast to be ceded permanently to the British Crown as a place of residence and commerce for its subjects. 7. Revolutionary proposals these, which China could never willing.ly concede. They would have to be extorted by force. It wa~ not. untI~ June 1840, when the British expeditionary force had arnved m Chmese waters, and not until Sir J. J. Gordon Bremer, the Commodore, had given warning that the river and port of Canton were under blockade and had advised merchant shipping to anchor at Capsuimoon or at Macao, that the Imperial Commissioner issued notifications offering rewards for the capture or destruction of English
6 HART AND THE CHINESE CUSTOMS HART AND THE CHINESE CUSTOMS 57 ships,and for the capture or death of English officers and men.Those which would ensure that duties were properly paid,short of that pay- notifications may fairly be regarded as China's declaration of war ment actually being made through the consul,who was to be an officer The war which ensued,the fortunes of which need not be dwelt on de carriere of the British Government and not a trader.It threw open here,was emphatically not a war to compel China to trade in opium. to foreign residence and trade the five ports of Canton,Amoy,Foochow, Had it been such,there would have been in the treaty of settlement an Ningpo,and Shanghai,and stipulated that at these ports the levies on article stipulating for the recognition and continuance of the trade on a the trade should no longer be left to be determined by the financial legalized basis.There is no such article.The only mention of opium in necessities or the predatory instincts of local officials,but should be that instrument is in the article(IV)calling for repayment of the value established in a fair and regular tariff of import and export duties to be of the opium delivered to the Imperial Commissioner for destruction, publicly notified and promulgated.To obtain access to a market which a repayment demanded solely because the delivery of the opium was British merchants obstinately believed to be of unlimited buying made under duress as a ransom for the lives and liberties of British capacity a clause was inserted to enable British duty-paid goods to be subjects,most of whom had nothing whatever to do with the opium conveyed anywhere into the interior by Chinese merchants on payment trade.To the Chinese,however,the war from their side was a crusade of the existing transit rates,which were declared to be on a moderate against opium,not only because it was a social evil working moral and scale.Little did the British Plenipotentiary dream what a swarm of physical havoc to thousands of their countrymen,but also,and perhaps troubles was to spring from that trade-emancipating clause.To provide mainly,because it was an economic waste in that it was steadily draining a port where British subjects could careen and refit their ships,and keep silver from the country.In spite of repeated prohibitions foreign traders, stores for that purpose the island of Hongkong was ceded in perpetuity for the sake of gain,had persisted in bringing it to their shores.They to the British Crown,a cession which Pottinger claimed was an atone- had disobeyed the orders given by the Son of Heaven,and they must be ment and apology for the insult offered by the Chinese Imperial taught to see the error of their ways.This,to the Chinese,was the Commissioner in holding the Queen's officer and British subjects as supreme issue,and yet it was the only issue the treaty of peace left prisoners at Canton.In reparations,too,China was called on to pay severely alone.Questions arising from the Chinese policy of exclusive- in all twenty-one million dollars,six as the value of the opium delivered ness and the attitude of haughty superiority towards foreigners,or from as ransom,three on account of the debts due from the cohong of security the application of the Chinese law of collective criminal responsibility, merchants to British subjects-a claim made on the ground that the or from rigid restrictions on residence and commercial intercourse,or cohong's monopoly was sanctioned by the Chinese Government,and from exactions and levies beyond those authorized by Peking,were twelve in liquidation of war expenses. matters of slight importance,and were,besides,matters on which the fiat of the Son of Heaven,given through his mandarinate,brooked no So much for the main issues for which the war had been fought. discussion.It showed presumption and lack of dutiful appreciation of Clearly the old order was gone,and a new era in Far Eastern commercial benefits received for foreigners,all of whom were subjects of tributary and political relations was beginning.The British had succeeded in nations,to find fault with the gracious dispensations of the Emperor, compelling the Chinese to profess acceptance of western ideas on especially those affecting such a trivial interest as foreign trade.That commercial intercourse,and had wrung acknowledgment of that accept- ance by a formal treaty with the Central Government.It now remained such questions should give rise to a war was preposterous.It was to take three wars to prove the contrary. to be seen how far the engagements wrested from that Government were necessarily binding on the local officials,and,what was equally important, The treaty of Nanking was signed on the agth August,1842,by Sir how best the British mercantile community,long accustomed to methods Henry Pottinger,the British Plenipotentiary,and by Keying and Elepoo, of fraud and deception,could be brought to realize,and yield obedience the Chinese Plenipotentiaries.It brought the war to a conclusion,and to,the widely different conditions envisaged by the treaty.The history if not the magna charta of foreign trade in China was,at any rate,a of China's foreign commercial relations during the next seventy years is substantial declaration of foreign trading rights.It settled-at least replete with illustrations of the interplay of forces between the Central theoretically-the heart-burning question of equality of status,not a Government and the provincial authorities.The former though claiming difficult demand to concede'now that force of arms had proved that it to be,and held by foreign States to be,the Government of the country was no longer reasonable to regard all nations as tributary;it abolished had often to struggle for its very existence against foreign aggression and the monopoly of the cohong of security merchants,licensed by the internal disorder,and never exercised complete control over its provincial Chinese Government,and substituted for these commercial intermediaries satrapies.The commercial treaties with foreign States,of which the between foreign traders and Chinese officialdom,consuls who were to be treaty of Nanking was the forerunner,by the similarity of their demands not only the medium of communication between their nationals and the and stipulations,by the servitudes they imposed,and by the system of Chinese authorities,but were also "to see that the just duties and other concerted action on the part of the foreign legations that arose from the dues of the Chinese Government,as hereafter provided for,are duly desire to see these treaties implemented,especially the most favoured discharged by Her Britannic Majesty's subjects."This clause laid upon nation clause,helped to buttress the Central Government and to maintain Sir Henry Pottinger and his coadjutors the obligation of devising a system it as a political entity.But in themselves these infuences could never
56 HART AND THE CHINESE CUSTOMS ships, and for the capture or death of English officers and men. Those notifications may fairly be regarded as China's declaration of war. The war which ensued, the fortunes of which need not be dwelt on here, was emphatically not a war to compel China to trade in opium. Had it been such, there would have been in the treaty of settlement an article stipulating for the recognition and continuance of the trade on a legalized basis. There is no such article. The only mention of opium in that instrument is in the article (IV) calling for repayment of the value of the opium delivered to the Imperial Commissioner for destruction, a repayment demanded solely because the delivery of the opium was made under duress as a ransom for the lives and liberties of British subjects, most of whom had nothing whatever to do with the opium trade. To the Chinese, however, the war from their side was a crusade against opium, not only because it was a social evil working moral and physical havoc to thousands of their countrymen, but also, and perhaps mainly, because it was an economic waste in that it was steadily drainirig silver from the country. In spite of repeated prohibitions foreign traders, for the sake of gain, had persisted in bringing it to their shores. They had disobeyed the orders given by the Son of Heaven, and they must be taught to see the error of their ways. This, to the Chinese, was the supreme issue, and yet it was the only issue the treaty of peace left severely alone. Questions arising from the Chinese policy of exclusiveness and the attitude of haughty superiority towards foreigners, or from the application of the Chinese law of collective criminal responsibility, or from rigid restrictions on residence and commercial intercourse, or from exactions and levies beyond those authorized by Peking, were matters of slight importance, and were, besides, matters on which the fiat of the Son of Heaven, given through his mandarin ate, brooked no discussion. It showed presumption and lack of dutiful appreciation of benefits received for foreigners, all of whom were subjects of tributary nations, to find fault with the gracious dispensations of the Emperor, especially those affecting such a trivial interest as foreign trade. That such questions should give rise to a war was preposterous. It was to take . three wars to prove the contrary. The treaty of Nanking was signed on the 29th August, 1842, by Sir Henry Pottinger, the British Plenipotentiary, and by Keying and Elepoo, the Chinese Plenipotentiaries. It brought the war to a conclusion, and if not the magna charta of foreign trade in China was, at any rate, a substantial declaration of foreign trading rights. It settled-at least theoretically-the heart-burning question of equality of status, not a difficult demand to concede' now that force of arms had proved that it was no longer reasonable to regard all nations as tributary; it abolished the monopoly of the cohong of security merchants, licensed by the €:hinese Government, and substituted for these commercial intermediaries between foreign traders a~d Chinese officialdom, consuls who were to 'be not only the medium of communication between their nationals and the Chinese authorities, but were also "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." This clause laid upon Sir Henry Pottinger and his coadjutors the obligation of devising a system HART AND THE CHINESE CUSTOMS 57 which would ensure that duties were properly paid, short of that payment actually being made through the consul, who was to be an officer de carriere of the British Government and not a trader. It threw open to foreign residence and trade the five ports of Canton, Amoy, Foochow, Ningpo, and Shanghai, and stipulated that at these ports the levies on the trade should no longer be left to be determined by the financial necessities or the predatory instincts of local officials, but should be estab.lished i? a fair and regular tariff of import and export duties to be publIcly notIfied and promulgated. To obtain access to a market which Britis? merchants ob~tinately .believed to be of unlimited buying capaCIty a clause was mserted to enable British duty-paid goods to be conveyed anywhere into the interior by Chinese merchants on payment of the existing transit rates, which were declared to be on a moderate scale. Little did the British Plenipotentiary dream what a swarm of troubles was to ~~ring fr?m that trade-emancipating clause. To provide a port where BrItIsh subjects could careen and refit their ships, and keep stores for .t~at purpose the i~land o~ Hongkong was ceded in perpetuity to the BrItIsh Crown, a ceSSIOn whIch Pottinger claimed was an atonement ~n.d apo!ogy fo: the insult offered by the Chinese Imperial C~mmIsslOner m holdmg the Q~een's officer and British subjects as prIsoners at Canto~.B. In reparatI.ons, too, China was called on to pay m ~ll twenty-one mIllIon dollars, SIX as the value of the opium delivered as ransom, three on account of the debts due from the cohong of security merchants to British subjects-a claim made on the ground that the cohong's monopoly was sanctioned by the Chinese Government, and twelve in liquidation of war expenses. So much for the main issues for which the war had been fought. Clearly the old order was gone, and a new era in Far Eastern commercial and political relations was beginning. The British had succeeded in compelling the Chinese to profess acceptance of western ideas on commercial intercourse, and had wrung acknowledgment of that acceptance by a formal treaty with the Central Government. It now remained to be seen how far the engagements wrested from that Government were necessarily binding on the local officials, and, what was equally important, how best the British mercantile community, long accustomed to methods of fraud and deception, could be brought to realize, and yield obedience to, the widely different conditions envisaged by the treaty. The history of China's foreign commercial relations during the next seventy years ls replete with illustrations of the interplay of forces between the Central Government and the provincial authorities. The former though claimino· to be, and held by foreign States to be, the Government of the countr~ ?ad often .to struggle for its very 7xistence against foreign aggression an~l lllternal dIsorder, and never exerCIsed complete control over its provincial satrapies. The commercial treaties with foreign States, of which the treaty of Nanking was the forerunner, by the similarity of their demands and stipulations, by the servitudes they imposed, and by the system of concerted action on the part of the foreign legations that arose from the desire to see these treaties implemented, especially the most favoured nation clause, helped to buttress the Central Government and to maintain it as a political entity. But in themselves these influences q:mld never
58 HART AND THE CHINESE CUSTOMS HART AND THE CHINESE CUSTOMS 69 succeed in altering essentially-except as regards the Customs-the at the new treaty ports would probably refuse to act in obedience to extreme decentralization which for centuries had characterized the instructions issued only by the Chinese negotiators.As there were, Chinese imperial administration.Much less could they in themselves however,some thirty British vessels waiting to discharge,Keying yielded unify the country in the sense of awakening.the people to a feeling of to Pottinger's urgent representations and allowed the new tariff to be nationhood.An awakening of that sort was the last thing the Chinese enforced at Canton from the 27th July,1843. mandarinate desired.Decentralization of government suited them,and they battened on it.The treaties,however,let loose a flood of new ideas Simultaneously with the publication of the tariff Pottinger and on the country,political,religious,social,and economicideas inimical Keying issued a set of General Regulations under which British merchants to the conservatism of the ruling classes-and although it took decades were to carry on trade now that the cohong was abolished and direct for these ideas to seep in,they did eventually,after much internal disorder relations established with the Custom house authorities.These and ceaseless foreign pressure,bring about the downfall of the official regulations,many of which were levelled against aforetime abuses and hierarchy that had been reared on the Confucian political philosophy, restrictions,provided (1)that pilots,whose remuneration was to be and in doing that helped to prepare the way for China's emergence as a settled by the British Consul at each port,should be available as soon modern nation.The treaty of Nanking may be said to be the first mile- as required by any incoming or outgoing vessel;(2)that one or two stone on that via dolorosa. Custom House watchers,for whose services no fees were to be charged, were to be attached to each ship;(s)that on arrival of a vessel the master, The settlement of a fair and regular tariff of import and export against a penalty of $2o0,was,within twenty-four hours,to deposit his duties and other dues was more easily said than done.To Pottinger's ship's papers,manifest,bills of lading,etc.,with the Consul,who should disgust the British merchants at Canton could not,or would not,give then send to the Chinese Superintendent of Customs a written statement much help in its preparation.They put forward the naive proposal that specifying the register tonnage of the ship and the particulars of the "if the Chinese authorities would prefer stating the amount which at cargo on board,after which the Customs Superintendent would issue a the present estimate of the trade they consider should be collected as permit to discharge;the penalty for presenting a false manifest was fixed Imperial duty"the merchants"might without difficulty prepare a tariff at S500,while for breaking bulk without permission the penalty was to dividing each duty on the several articles of trade."In defence of their be a fine of like amount and confiscation of the goods;(4)that,to safe- unhelpful attitude they advanced the plea "that the invariable custom guard British merchants who could now trade with whatever Chinese in Canton has been for the'foreign merchants to purchase exports at merchant they pleased,the Chinese authorities,on complaint being prices including all duties and charges,and to sell imports at rates lodged,would do all in their power to bring Chinese debtors or including such items."Luckily,the Plenipotentiary had in Messrs. defrauders to justice;(5)that in place of measurement fees every British R.Thom and J.R.Morrison two highly qualified men capable of carry- merchant vessel on entering any of the five ports should pay tonnage dues ing out the task.They were despatched to Canton,and there after six at the rate of five mace per ton;(6)that no duties were to be levied on months'investigations they succeeded in compiling schedules of proposed imports and exports other than those specified in the tariff,and that all import and export duties,based on (1)the duties authorized by the old import and export duties on any vessel's account as well as tonnage dues Imperial tariff,(2)the duties and charges actually levied by the Canton must be paid in full before the Superintendent of Customs would grant Customs authorities,and (s)the average quantity and value of every a Port Clearance (Grand chop),on presentation of which the Consul article imported or exported.Contrary to common belief the British was to return the ship's papers and permit the vessel to depart;(7)that authorities had not suggested that the proposed duties should be on a cargo to be landed or shipped must be examined by a Customs officer five per cent ad valorem basis;but Pottinger had insisted that "the in presence of an agent of the merchant concerned;in cases of dispute necessary salaries to clerks,writers,and other functionaries,high or low, the British merchant had the right of appeal to the Consul,who should be included in the scale of duties,so that merchants shall know precisely settle the matter amicably with the Superintendent;(8)that all duties what they are to pay on their merchandise,whether on importation or and dues should be paid to the bank selected by the Superintendent,and exportation.He approved the schedules submitted by Messrs Thom that duties might be paid in foreign silver currencies but at rates to be and Morrison,but thought that the rates suggested were too favourable agreed upon which would ensure the receipt by the Chinese Government to foreign merchants,and accordingly authorized the two British delegates of the full amount of pure silver due;(9)that sets of standard weights and to sanction reasonable increases if the Chinese mediators so desired.The measures,similar to those in use at Canton,would be sent to the Consuls proposed rates on imports ranged from four to thirteen per cent on the and Superintendents at each of the ports opened;(10)that any boats ad valorem basis,and those on exports from one and a half to ten and might be engaged as lighters without limit or monopoly;(11)that three-quarters per cent.Early in July the Chinese negotiators signified transhipment of goods required the special permission of the Super- their acceptance of the proposed rates,but insisted that the tariff be intendent,and goods transhipped without such permission were to be submitted to Peking for approval on the ground that the treaty called confiscated;(1)that disputes between British subjects and Chinese were, for its promulgation by the Board of Revenue,and that if it were not if possible,to be settled by the Consul,who was,if necessary,to request issued under an Imperial decree the Chinese Customs superintendents the assistance of a Chinese officer to decide the case equitably;British
58 HART AND THE CHINESE CUSTOMS succeed in altering essentially-except as regards the Customs-the extreme decentralization which for centuries had characterized the Chinese imperial administration. Much less could they in themselves unify the country in the sense of awakening. the people to a feeling o~ nationhood. An awakening of that sort was the last thing the Chinese mandarinate desired. Decentralization of government suited them, and they battened on it. The treaties, however, let loose a flood of new ideas on the country, political, religious, social, and economic-ideas inimical to the conservatism of the .ruling classes-and although it took decades for these ideas to seep in, they did eventually, after much internal disorder and ceaseless foreign pressure, bring about the downfall of the official hierarchy that had been reared on the Confucian political philosophy, and in doing that helped to prepare the way for China's emergence as a modern nation. The treaty of Nanking may be said to be the first mile- . stone on that via doloTOsa. The settlement of a fair and regular tariff of import and export duties and other dues was more easily said than done. To Pottinger's disgust the British merchants at Canton could not, or would not, give much help in its preparation. They put forward the naive proposal that "if the Chinese authorities would prefer stating the amount which at the present estimate of the trade they consider should be collected as Imperial duty" the merchants "might without difficulty prepare a tariff dividing each duty on the several articles of trade." In defence of their unhelpful attitude they advanced the plea "that the invariable custom in Canton has been for the· foreign merchants to purchase exports at prices including all duties and charges, and to sell imports at rates including such iteks."9 Luckily, the Plenipotentiary had in Messrs. R. Thom and J. R. Morrison two highly qualified men capable of carrying out the task. They were despatched to Canton, and there after six months' investigatiqns they succeeded in compiling schedules of proposed import and export duties, based on (1) the duties authorized by the old Imperial tariff, (2) the duties and charges actlfally levied by the Canton Customs authorities, and (3) the average quantity .and value. of every article imported or exported. Contrary to common belief the British authorities had not suggested that the proposed duties should be on a five per cent ad valorem basis; but Pottinger had insisted that "the necessary salaries to clerks, writers, and other functionaries, high or low, be included in the scale of duties, so that merchants shall know precisely what they are to pay on their merchandise, whether on importation or exportation."ID He approved the schedules submitted by Messrs Thom and Morrison, but thought that the rates suggested were too favourable to foreign merchants, and accordingly authorized the two British delegates to sanction reasonable increases if the Chinese mediators so desired. The proposed rates· on imports ranged from four to thirteen per cent on the ad valorem basis,· and those on exports from one and a half to ten and threl'!-quarters per cent. Early in July the Chinese negotiators signified their acceptance of the proposed rates, but insisted that the tariff be submitted to Peking for approval on the ground that the treaty called for its promulgation by the Board of Revenue, and that if it were not issued under an Imperial decree the Chinese Customs superintendents HART Al.'ID THE CHINESE CUSTOl\IS 59 at the new treaty ports would probably refuse to act in obedience to instructions issued only by the Chinese negotiators. As there were, however, some thirty British vessels waiting to discharge, Keying yielded to Pottinger's urgent representations and allowed. the new tariff to h:-: enforced at Canton from the 27th July, 1843. Simultaneously with the publication of the tariff Pottinger and Keying issued a set of General Regulations under which British merchants were to carry on trade now that the cohong was abolished and direct relations established with the Custom house authorities. These regulations, many of which were levelled against afore time abuses and restrictions, provided (1) that pilots, whose remuneration was to be settled by the British Consul at each port, should be available as soon as required by any incoming or outgoing vessel; (2) that one or two Custom House watchers, for whose services no fees were to be charged, were to be attached to each ship; (3) that on arrival of a vessel the master, against a penalty of $.200, was, within twenty-four hours, to deposit his ship's papers, manifest, bills of lading, etc., with the Consul, who should then send to the Chinese Superintendent of Customs a ·written statement specifying the register tonnage of the ship and the particulars of the cargo on board, after which the Customs Superintendent would issue a permit to discharge; the penalty for presenting a false manifest was fixed at $.500, while for breaking bulk without permission the penalty was to be a fine of like amount and confiscation of the goods; (4) that, to safeguard British merchants who could now trade with whatever Chinese merchant they pleased, the ,Chinese authorities, on complaint being lodged, would do all in their power to bring Chinese debtors or defrauders to justice; (5) that in place of measurement fees every British merchant vessel on entering any of the five ports should pay tonnage dues at the rate of five mace per ton; (6) that no duties were to be levied on imports and exports other than those specified in the tariff, and that all import and export duties on any vessel's account as well as tonnage dues must be paid in full before the Superintendent of Customs would grant a Port Clearance (Grand chop), on presentation of which the Consul was to return the ship's papers and permit the vessel to depart; (7) that cargo to be landed or shipped must be examined by a Customs officer in presence of an agent of the merchant concerned; in cases of disput.e the British merchant had the right of appeal to the Consul, who should settle the matter amicably with the Superintendent; (8) that all duties and dues should be paid to the bank selected by the Superintendent, and that duties might be paid in foreign silver currencies but at rates to be agreed upon which would ensure the receipt by the Chinese Government ·of the full amount of pure silver due; (9) that sets of standard weights and measures, similar to those in use at Canton, would be sent to the Consuls and Superintendents at each of the ports opened; (10) that any boats might be engaged as lighters without limit or monopoly; (11) that transhipment of goods required the special permission of the Superintendent, and goods transhipped without such permission were to be confiscated; (12) that disputes between British subjects and Chinese were, if possible, to be settled by the Consul, who was, if necessary, to request the assistance of a Chinese officer to decide the case equitably; British
60 HART AND THE CHINESE CUSTOMS HART AND THE CHINESE CUSTOMS 61 criminals were to be punished according to English law to be enforced by a similar clause in the draft treaty submitted to Keshen a few weeks later, the Consul;(13)that to assist the Consul in keeping order among British substituting however,in this case the Chinese Custom house at T'ien Sha subjects,a British cruiser would be anchored at each of the five ports;as Tsung(Kowloon)as the place where dues and duties should be paid. ships of war these vessels were to be exempt from tonnage dues;and, finally,(14)that as the cohong of security merchants was now abolished, Palmerston,who well understood the buccaneering tendencies of many the British Consul was to be security for all British merchants and ships. of the British merchants,drew Pottinger's attention to the possible advisability of allowing a Chinese Custom house to function in To put on a treaty basis further understandings on various points Hongkong;14 but local feeling and opinion and free trade traditions come to between Pottinger and Keying and to emphasize and complement were against any such arrangements.Pottinger,however,recognized that some of the trade regulations,a supplementary treaty was drawn up and some steps should be taken to enable China to protect her revenue rights, signed on the 8th October,1843,at Hoomunchai.This treaty,which and to avoid the reproach that the British Government by throwing open declared the tariff recently drafted should now be in force at all five ports, Hongkong as a free port on China's coast,in close proximity to large and which reaffirmed the trade regulations,provided that all penalties trading centres,was wittingly lending facilities.to those who were bent enforced and confiscations made under these regulations should be for on flouting China's revenue rights.Accordingly,in the Hoomunchai the benefit of the Chinese Government,that foreign trade was to be treaty it was stipulated (1)that Chinese vessels trading between the carried on only at the five specified ports,and that should any British newly-opened treaty ports and Hongkong must be provided with a special vessel repair to any other port or place in China,the Chinese Government pass,valid for one trip only,to be issued by the Customs authorities at should be at liberty to confiscate both vessel and cargo.It stipulated also the port from which the vessel cleared for Hongkong,and (according to that at these five ports land should be set aside where foreigners could the Chinese text)that Chinese vessels from non-treaty ports in the have their residences and places of business,a stipulation which provided provinces of Kwangtung,Fukien,Kiangsu and Chekiang were not to the legal basis for future settlements and land concessions at these ports. be permitted to enjoy this privilege;()that a British official would be It contained also the first most favoured nation clause in any of China's appointed at Hongkong to examine the registers and passes of all Chinese treaties with foreign States:before going to war with China the British vessels;(3)that any Chinese vessel found without a pass or register would Government had made it abundantly clear that they did "not desire to be considered as an unauthorized or smuggling vessel,would be denied obtain for British subjects any exclusive privileges of trade which should trading rights,and would be reported to the Chinese authorities,and not be equally extended to the subjects of any other Power."1 During (4)that the Custom House officers at each treaty port should render to the Nanking treaty negotiations Pottinger repudiated Keying's suggestion the Canton authorities a monthly return of the passes granted to Chinese that the privileges to be granted should be confined to the British:eleven vessels trading to Hongkong with details of the cargoes carried,that these months later the Chinese Plenipotentiaries issued an official proclamation port returns should every month be embodied by the Canton authorities in which they stated that the privileges of the British treaty would be in one return and sent to the designated British official in Hongkong. extended to all merchants irrespective of nationality.Other States were who in turn should render similar returns to the Chinese authorities at soon to approach China with a view to obtaining similar treaties and to Canton of all Chinese vessels arriving at and departing from Hongkong make sure that the open door policy of the British would be reciprocated, with details of their cargoes,such returns to be transmitted by the Canton Pottinger now insisted that there should be a treaty guarantee that the British would also obtain any advantage or right granted to the subjects authorities to the Custom House officers at the ports concerned.With of any other foreign Power in China.Hence the most favoured nation good will,effective organization,and honest officials on both sides these clause of the treaty of Hoomunchai.This treaty contained also a clause arrangements could have been made a success.They were rendered strongly condemning the rampant smuggling which thitherto had dis- inoperative by the action of the Chinese authorities,who by charging graced China's foreign trade,and stating that the Plenipotentiary had heavy fees for the passes,required by the treaty,discouraged trade already issued a notification on the subject,and had instructed the between the new treaty ports,opened at the point of the bayonet,and this British Consuls at the ports to report immediately to the Chinese foreign free port on their own coast,which had been torn from them by authorities any cases of smuggling that might come to their knowledge. force.British merchants,too,at Hongkong were in a mood of determined In regard to possible smuggling there was one matter of vital opposition;they objected to the Hongkong police being used as agents importance to the Chinese Plenipotentiaries,and this was how best,in for the protection of China's revenue.The police themselves,a mixed the interests of China's revenue,to control the trade between the ports British and Chinese force,made matters worse by their exactions on on the Chinese mainland and the free trade foreign port of Hongkong. Chinese shipping;while the cramping fiscal policy of Sir John F.Davis, Elliot had foreseen this difficulty,and had tried to provide for it by Pottinger's successor,did much to strangle trade in native vessels during agreeing in the unratified convention of Chuenpi,in January 1841, the early years of the colony.By 1847 this system of passes for Chinese which prematurely had ceded Hongkong to the British,that the duties vessels was already a dead letter.Had it been fairly and honestly due to China on the commerce carried on at Hongkong were to be paid enforced on both sides the story of China's Customs relations with there as if the trade were conducted at Whampoa.He had also inserted Hongkong would have run a different course
60 HART AND THE CHINESE CUSTOMS criminals were to be punished according to English law to be enforced by the Consul; (13) that to assist the Consul in keeping order among British subjects, a British cruiser would be anchored at each of the five ports; as ships of war these vessels were to be exempt from tonnage dues; and, finally, (14) that as the cohong of security merchants was now abolished, the British Consul was to be security for all British merchants and ships. To put on a treaty basis further understandings on various points come to between Pottinger and Keying and to emphasize and complement some of the trade regulations, a supplementary treaty was drawn up and signed on the 8th October, 1843, at Hoomunchai. This treaty, which declared the tariff recently drafted should now be in force at all five ports, and which reaffirmed the trade regulations, provided that all penalties enforced and confiscations made under these regulations should be for the benefit of the Chinese Government; that foreign trade was to be carried on only at the five specified ports, and that should any British vessel repair to any other port or place in China, the Chinese Government should be at liberty to confiscate both vessel and cargo. It stipulated also that at these five ports land should be set aside where foreigners could have their residences and places of business, a stipulation which provided the legal basis for future settlements and land concessions at these ports. It contained also the first most favoured nation clause in any of China's treaties with foreign States: before going to war with China the British Government had made it abundantly clear that they did "not desire to obtain for British subjects any exclusive privileges of trade which should not be equally extended to the subjects of any other Power."l1 During the Nanking treaty negotiations Pottinger repudiated Keying's suggestion that the privileges to be granted should be confined to the British: eleven months later the Chinese Plenipotentiaries issued an official proclamation in which they stated that the privileges of the British treaty would be extended to all merchants irrespective of nationality. Other States were soon to approach China with a view t9 obtaining similar treaties and to make sure that the open door policy of the British would be reciprocated, Pottinger now insisted that there should be a treaty guarantee that the British would also obtain any advantage or right granted to the subjects of any other foreign Power in China. Hence the most favoured nation clause of the treaty of Hoomunchai. This treaty contained also a clause strongly condemning the rampant smuggling which thitherto had disgraced China's foreign trade, and stating that the Plenipotentiary had already issued a notification on the subject, and had instructed the British Consuls at the ports to report immediately to the Chinese authorities any cases of smuggling that might come to their knowledge. In regard to possible smuggling there was one matter of vital importance to the Chinese Plenipotentiaries, and this was how best, in the interests of China's revenue, to control the trade between the ports on the Chinese mainland and the free trade foreign port of Hongkong. Elliot had foreseen this difficulty, and had tried to provide for it by agreeing in the unratified convention of Chuenpi, in January 1841, which prematurely had ceded Hongkong to the British, that the duties due to China on the commerce carried on at Hongkong were to be paid there as if the trade were conducted at Whampoa. 12 He had also inserted HART AND THE CHINESE CUSTOMS 61 a similar clause in the draft treaty submitted to Keshen a few weeks later, substituting however, in this case the Chinese Custom house at T'ien Sha Tsung (Kowloon) as the place where dues and duties should be paid. 13 Palmerston, who well understood the buccaneering tendencies of many of ~he .~ritish merch~nts, drew. Pottinger's attention to the possible adVIsabIlIty of allowmg a Chmese Custom house to function in Hongkong;14 but local feeling and opinion and free trade traditions were against any such arrangements. Pottinger, however, recognized that some steps .should be taken to enable China to protect her revenue rights, and to aVOId the reproach that the British Government by throwing open Hon.gkong as a free port on China's coast, in close proximity to large tradmg centres, was wittingly lending facilities .to those who were bent on flouting China's revenue rights. Accordingly, in the Hoomunchai treaty it was stipulated (1) that Chinese vessels trading between the newly-opened treaty ports and Hongkong must be provided with a special pass, valid for one trip only, to be issued by the Customs authorities at the por~ from which the ves.sel cleared for Hongkong, and (according to t he ~hmese text) that Chme?e vessels from non-treaty ports in the provmces of Kwangtung, FukIen, Kiangsu and Chekiang were not to be permitted to enjoy this privilege; (2) that a British official would b~ appointed at Hongkong to examine the registers and passes of all Chinese vessels; (3) that any Chinese vessel found without a pass or register would be considered as an unauthorized or smuggling vessel, would be denied trading rights, and would be reported to the Chinese authorities, and (4) that the Custom House officers at each treaty port should render to the Canton authorities a monthly return of the passes granted to Chinese vessels trading to Hongkong with details of the cargoes carried, that these port returns should every month be embodied by the Canton authorities in one return and sent to the designated British official in Hongkong, who in turn should render similar returns to the Chinese authorities at Canton of all Chinese vessels arriving at and departing from Hongkono· with details of their cargoes, such returns to be transmitted by the Canto~ authorities to the Custom House officers at the ports concerned. With good will, effective organization, and honest officials on both sides these arrangements could have been made a success. They were rendered inoperative by the action of the Chinese authorities, who by charging heavy fees for the passes, required by the treaty, discouraged trade between the new treaty ports, opened at the point of the bayonet, and this foreign free port on their own coast, which had been torn from them by force. British merchants, too, at Hongkong were in a mood of determined opposition; they objected to the Hopgkong police being used as agents for the protection of China's revenue. The police themselves, a mixed British and Chinese force, made matters worse by their exactions on Chinese shipping; while the cramping fiscal policy of Sir John F. Davis, Pottinger's successor, did much to strangle trade in native vessels during the early years of the colony. By 1847 this system of passes for Chinese vessels was already a dead letter. Had it been fairly and honestly enforced on both sides the story of China's Customs relations with Hongkong would have run a different course