artisan, for they make Teas and Silks dear, as well as impede the distribution, amongst millions of buyers, of the rarions productions of his handicraft. If the policy, which we are now advocating be adopted, we picture in the future many small foreign trading posts throughout the various provinces, whither foreign merchandize, in original packages as imported, could be conveyed cheaply, safely, expeditiously, and then be parceled out among the native dealers and shopkeepers. Foreigners should not on any account be allowed to open shops, or sell by retail; as the sole und immediately aimed at is the transmission, inexpensive, speedy, and untaxed savé as may be lawful, of foreign goods to the native consumer, and of produce to the shipping ports. Upon similar grounds likewise should foreign-owned craft be strictly prohibited and restrained from sharing in, or interforing with, the purely native Inland Traffic. The evidence of the past justifies us in affirming that but a few years' duration of such a system would bring about a inost noble and gratifying increase of our trade with this Empire, and open large fields for the exercise of British intelligence and the sound employment of British capital. We need not dwell uponthe advantages to bo also derived from inore intimate acquaintance with China and hor productions; these are self-apparent; but we must not unit to point out that any extensive resort to the right of rosilence would render requisite a greater or lesser knowledge of the Chinese written and colloquial languages. The extent of this knowledge would not, probably, be individually great, though it would be of daily increase, but the benefit, which it is fair to estimate would accrue from it to civilization and to commerce, might in tinic acquire such stupendous proportions as merely to contemplate is to desire to set on foot.

5. The foregoing is the bright side of the question of the right of Inland residence; on tho other hand must be viewed weighty considerations of not so pleasant a character. Points of collision would be multiplied; official expenditure would naturally be increased; and we shall not be surprised to find that both Governments shrink from a policy apparently charged with much explosive material. But nothing venture, nothing have; England's national aim is the extension of her influence and trade by every fair and honourable means; therefore let not her Representatives shun difficdlties which can be overcome, to the avoidance of acquisitions which must be great, and which may prove momentous, We shall be well satisfied if Her Majesty's Government approach this delicate question in no more than a tentative spirit, so long as they do so with firmness and honesty of purpose. We would counsel their immediate obtainment of the largest nensure of privilege, but their retention in their own hands of the extent to which from time to time such privilege should be accorded to the Queen's subjects. Let the area of residence be no more than periodically enlarged. Let good conduct on the part of all engaged in this Inland Traffic be secured by strict and onerous bond, to be set in motion, if necessary, upon mere suspicion of misbehaviour, and there will, we believe, remain little room for apprehension that either the honour of the British flag will be turnished, or the dignity of the Chinese one be insulted. In further support of which opinion, we would point to the changes which have taken place in the foreign communities of China during the past few years. The privileges conceded by Treaty, the enforcement of which we now advocate, were at the time of their concessim, calculated, perhaps, to throw broadcast upon the Empire a lawless body of men, unacquainted with restraint, and amenable to no anthority; for not only was the general temper of the foreign nind then exaltant and unruly, but the counon desire of both Imperialists and Rebels to avail of them for military purposes had attracted to the shores of China a most ungovernable collection of abandoned adventurers. These, the influences of time and peace have already eliminated from amongst us; while the sobering effects of unisfortune have checked the spirit of too ardent traders, and are causing all classes of men to act with prudence, and to observe caution, The present moment, therefore, seems one peculiarly fitted to put in force those rights to which by Treaty we are entitled; and which are rights, also, that could not fail to prove of lasting good to either nation.

6. We take leave of this portion of our subject, hoping that the language in which we have expressed ourselves will make clear our general impression that the success of future British Commerce with China will depend mainly upon the extent to which foreign traders shall be permitted to come face to face with the people, as well as upon that to which Treaty obligations shall be respectively enforced. Yet before we proceed further, it becomes our duty in the interests of our country's trade, which are our own, to impress upon the Govermnent that if they fail, or rofuse, to secure for Englishinen the right of Inland residence in China, they must not palter with the other side of the question. The High Chinese Authorities have throughout suffered, or caused, Articles XII and XXVIII of the Treaty of Tientsin to be persistently and openly violated, to the almost utter abrogation of the advantages conferred by them. In complete defiance of these Articles, foreign trade has been, and continues to be, heavily and widely taxed in excess of the stipulated transit duties; and wo have consequently with much mortification often seen defeated efforts intended in the first instance to benefit ourselves, but which, hadthey been successful, would have likewise benefitted many others. We have pointed to Tuland residence and its adjuncts as the true remedies for these grievances and ovils; and we now loudly assert that if such remedies are to be denied to us, the Queen's Government ought not to flinch from the proposition and achievement of other mousures calculated to secure real freedom of foreign stude with the Chinese Empire. We hold ourselves prepared to bo reminded that muere Inland residence, and more Navigation of inland waters, may not free foreign trade from illegal provincial impost or taxation to the extent which we would have represented ourselves as imagining these measures will do. We may be told that the taxes, which could not be levied upon goods protected by foreign convoy, might still, in another shape, be wrung by Mandarin exiction from the Chinese themselves. If so, it would become the duty of Her Majesty's Ministers to devise means for, at least, the correction of this mischief, the probable development of which we, with much pain, confess; but there would be no need for them to be discouraged thereby, the evil might prove great, but from a national point of view certainly not so great as that of which we are complaining; and after all it would be an ovil which those who have read thoughtfully the past well know must pale and fade away before the irrepressible advance of knowledge and civilization.

7. The better, more equitable, and certain accordance of Justice by Chinese Courts to foreign plaintiffs, next urgently claims attention. By articles XVII, XXII, and XXII of the Treaty of Tientsin, the adjudication of all grievances experienced by British at the hands of Chinese subjects, was vested in the Consals and the native Officials, an appeal naturally lying

to the High Authorities at Pekin. This system has not worked satisfactorily at any of the ports; but save as heroinafter described, we are not prepared to suggest any amelioration of its practice, except at Shanghai. Shanghai is, we do not need to say, the most considerable seat of foreign commerce in China, and consequently from its dealings have arisen the great majority of English complaints against Chinese. To meet this demand for Justice no sufficient provision was made by the native Authorities, and at length the difficulty of obtaining even so much as an appearance of action from these functionaries, led in connection with the question of the good government of the settlement of Shanghai, to the establishment of what was, and is still, denominated the "Mixed Court" that is, a Court wherein sit as Co-Judges, sone "Mandarin" on the part of tho Chinese, and some member of the Consulate on the part of the British. Designed at first to take cognizance particularly of Police cases, the Mixed Court because from the convenience arising from it, aud because of the utter want of confidence attaching to the decisions enunciated by the Native authorities in their City "Yanrune," a tribunal of general rosors whenever plaints were laid by British againat Chinese subjects. For such jurisdiction, however, the construction of the Mixed Court has shown itself essentially faulty, and it is not to be denied that when actions-at-law have been brought before it, Englishmon bave failed to obtain redress, whereas on the other hand, Chinese rights and pretensions have been supported to the uttermost farthing. The Chinese posscas & code of Moral, but none of Civil, law; all disputes concerning property or commercial obligations, are decided by them according to crudo, puerile, notions of equity; and their Officials are rarely free from, at least, the suspicion of bribery. As though to make this worse, the office of British Co-Judge has hitherto been filled by individuals totally untrained to legal pursuits, of but moderate rank in the public service, and in receipt of salaries utterly inadequate to the grave responsibilities with which they have been charged. So constituted, the Mixed Court has proved a failure, but an improvement, nevertheless, upon the procedure that previously existed; while without doubt, it contains the germs of a system of judicature well calenlated to meet the international requirements of both countries. The Mixed Court, however, has never gained, and until reorganized, never will gain the confidence of British subjects. It behoves us, therefore, to cast about for a remedy; aud this remedy we would hope to find in the complete removal, as far as can be from time to time expediently effected, of all legal jurisdiction from under Consular control, and in the immediate erection and international recognition of a Mixed Court at Shanghai whereof the Co-Judges should hold well-paid, permanent, appointments, and bo Magistrates of such high rank and status as that each should command attention and respect, not only from his own, but from the other's Government as well. It is not for us, as wo have in a previous paragraph hinted, to suggest detail; that is the province of those to whom shall be entrusted the revision of the Treaty; but we believe that the object aimed at would be achieved, were there to the Chinese Co-Judgeship permanently appointed an Official, with the rank, it might be, of Taoutai, enjoying credit and reputation amongst his own people, and to the British Judicial acut a lawyer of attainments and position so good, as to cause the enforcement of his enunciations and decisions to be incumbent upon the Chief Diplomatic authority at Pekin. An additional Assistant Judge of the Supreme Court of China and Japan might well likewise occupy the post of British Co-Judge; but, bo this as it may, for the future let British Co-Judges be legal gentlemen of standing so important that neglect of their dicta by the Chinese the British Minister neither would nor could ignore. Then, and then only, will Englishmen in China place faith in the jurisdiction of Mixed Courts; while the benefits to acerue to civilization night, in the end, prove well worthy of Great Britain. As we have suid, the Chinese possess a code of Moral, but noue of Civil, law; is it not, therefore, the more necessary that the British conduct of Mixed Courts should be confided to trained jurists, from whose native colleagues' and their own concerted decisions might in time arise a definite system of international jurisprudence? Let police matters and civil causes of trivial amount be decided by subordinates; but let all important suits against Chinese be heard before such a Court as we have endeavoured to portray. We have already stated that we would prefer to see all legal jurisdiction of a civil character eliminated from amongst the duties of Consuls, whose functions and powers would then become of only an executive and criminal nature; but we are well aware that except at Shanghai the time has not yet come for the esta blishment of Mixed Courts. Nevertheless, one essential feature of the system might be followed at Foochow and the other ports with the greatest advantage; we mean the permanent appoint- ment of a native Co-Judge to sit with the Consul upon all important occasions. From such a measure would flow certain mitigation, at least, of the delays and bad faith persistently mani fested by the native Provincial Officials, as well as accession of dignity and authority to the Consular judicial position, because the decisions of the Consular Courts would acquire consis- tency and weight with the Chinese. Another subject now calls for discussion, and we proceed to it, begging Your Excellency to bear in mind that the observations just made are put forward suggestively, and not as the opinions of mon claiming acquaintance with juridical questions.

8. The rightful application of Tonnage ducs is a duty which has hitherto been grievously ovaded by the Imperial authorities, and it is necessary that the fulfibnent of Article XXXII of the Treaty ho made compulsory apon the Chinese; as well as the powers conferred under it upon British Consuls be groutly extended. These Tomage dues now annually aggre gate a very large amount indeed; much more than is at all requisite for the purposes to which alone such dues should be applied; and we are, therefore, of opinion that their redaction may very equitably be insisted upon.

9. We have now arrived at the last portion of our subject; namely, the Rovision of the Tariff. Upon this head it will not be necessary for us to address Your Excellency in any detail, as, regarded in a large and general sense, the present Tariff is a just and liberal one. The articles upon which it presses unfairly are few, of minor importance, and have already been brought by others very prominently to the notice of Her Majesty's Government. We would rutier advert here to five measures of general policy, which we esteem to be desirable. The first of these is the abrogation of duty upon all Coal, native or foreign, a proceeding which would prove a boon of great value to the widely extending system of Steam Navigation in China. If the Imperial Governmont seek to derive revenue from the Coal-mines within their territories, let then do so by means of Routs or Royalties, but lot the distribution of the fuel be freed from all impost whatever. The unrestrained re-exportation of foreign Rice may, we think, be most justly demanded by the British Government. But permission to import Salt is a privilege the

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