Directory_and_Chronicle_1921 — Page 654

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CHINA

Mr. F. S. Unwin, Statistical Secretary of the Maritime Customs, in his report of the Foreign Trade of China for 1919, says:-

General. Whatever disappointments she may have suffered politically, in the sphere of trade China has no reason to complain of her share of the blessings of peace outside her borders that resulted from the Armistice of November, 1918. After a period of uncertainty and hesitation, the insatiable food hunger of Europe and the demand for raw materials made itself felt imperiously in all her markets. The value of her trade with foreign countries increased by 257 million taels as compared with 1918, and 337 million as compared with 1913. For the first time since statistics were available the -value of her exports at the moment of shipment all but balanced that of her imports. Her Customs revenue rose from 36 million taels in 1918 and 44 million in 1913 to 46 million, notwithstanding the low rate of exchange-about Tls. 3 to the pound ster- ling-at which her ad valorem import duties were paid. The persistent demand for her food products and certain of her raw materials, at any price, poured wealth into the pockets of her traders and for the moment has no doubt greatly benefited her farmers and artisans. Stimulated by this silver shower, the legitimate desire of her capitalists and merchants to be less dependent on foreign manufactures has produced a regular boom in industrial enterprise throughout the country.

Customs Revenue. The total Maritime Customs collection actually exceeded that of 1913-previously the record year-by 2 million taels only, but by 3.5 million if we leave out of account the amounts contributed by opium-Hk. Tls. 1,531,000 to the 1913 collection and Hk. Tls. 1,500 to that for 1919. The whole of this remark- able advance is due to export duties, the total of which includes duties levied on the home trade and slightly exceeded import duties. It is too early to estimate the effect of the Revised Import Tariff, which came into force on the 1st August, 1919. Tonnage dues recovered, the collection-Hk.Tls. 1,443,891-having been exceeded twice only-in 1913 and 1914.

Foreign Trade. The gross value of the direct foreign trade of China in goods. (treasure excluded) in 1919 was Hk.Tls. 1,342,870,818 and the net value, after deducting re-exports, Hk.Tls. 1,277,807,092. These sums expressed in silver represent

an

enormous advance on those of any previous year. Expressed in gold at the average exchange rate on New York for the year they show an increase of 219 per cent. over 1910 and of 150 per cent. over 1913. The goods imported were valued at Hk. Tls. 616,997,681 and those exported at Hk. Tls. 030,809,411. The balance remains slightly in favour of imports and in no way helps to explain the huge inflow of gold and silver, certainly not less than 100 million taels in value, that the country was able to absorb during 1919. One is left doubting whether the Customs valuation of exports for returns purposes accurately represents their exchange value as commodities at the time of shipment.

Largely owing to the effects of the war, but partly, of course, to natural causes, the direction of China's overseas trade will be found to have swung considerably from its old lines in favour of America, whose direct trade with China-apart from Hong- kong - was valued here at 211 million taels in 1919, against 73 million in 1913. Imports from America were valued at 110 million, and exports, at moment of shipment, at 101 million-thus disclosing a balance of 9 million taels in favour of America. This is a complete reversal of the figures of previous years, which had always shown a balance in China's favour, and completely disposes, I may add, of the generally accepted explana- tions of the huge shipments to China by America of gold and silver, even if we were to add the cost of freight and insurance to the value of exports.

Imports from Great Britain recovered slightly from the low figures of the latter part of the war, but fall far short of those of 1913 and 1914. Exports, on the other hand, more than doubled the average of the decade. Trade with France was well up to the average of the decade in both imports and exports; with Belgium, exports recovered, but imports, which had attained a high figure before the war, remained inappreciable. Exports to Italy were below the average. Trade with Russia and Siberia, as is not surprising, shows a heavy decline from the early years of the decade. With Japan the remarkable increase in imports and exports that has characterised each year of the decade showed no sign of diminution in spite of the boycott, which indubitably had its effect. The values for 1919 were: imports, 247 million taels; and exports, 195 million; against imports, 91 million; and exports, 55 million, in 1912.

Imports. The total value of goods imported from abroad was Hk. Tls. 616,997,681, the equivalent in sterling of £204,882,599 at 6s. 4d.-the average rate of exchange for the year-representing an increase of Hk. Tls. 92,104,599 over the 1918 figures, and o