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THE TARIFF QUESTION.
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THE HONGKONG WEEKLY PRESS AND
(Daily Press, 22nd April.) From Shanghai we learn that an important meeting of the China Association took place there on the 15th inst. The result was pecu l'ars while there was a consensus of opinion that come measure to relieve the present very ngular and unsatisfactory conditions of provincial taxation, as concerns both foreign and Chinese trade staples, was urgently needed, there was considerable divergence of opinion as to the method. As presented to the meeting by his supporters, Sir JAMES MACKAY'S schemes have undergore con- siderable modification, especially with regard to the part proposed to be played by Peking; but a sense that, even with there modifications, the scheme was at, once too visionary and impractical prevailed even in the modified amount of support proposed by: the Committee to be extended to it. This was clearly indicated in the resolution proposed by the Chairman on behalf of the Committee, which contained the following remarkable words :- It is imperative that as a condition of the scheme becoming operative China shall first be required to not merely by the removal of the lekin and other barriers, but by the institu "tion of a reformed system of fiscal adminis- tration in the Provinces, that she is both "able and willing to carry out the agreement both in spirit and in letter." Speaking more plainly, the supporters of an amend ment deprecating the proposal as at once 100 sweeping, and necessitating the entire u hingeing of fundamental principles which have existed in Chipa for hundreds, or even thousands of years, pointed out how dan- gerous were the nehods proposed in the cheme to be made use of. While acknow- ledging the necessity of reform, it was, they held, both wiser and more statesmanlike to begin the reform from the foundation already existing. The circumstances of the Pro- vinces were so dissimilar among themselves that any alt. mpt to introduce unity through an appeal to Fikirg would of accessity be hopeless. The financial system of the southern Provinces was largely if not mainly based en taxes levied cu trade; in the north, till the last few years, such taxes bad keen altogether unknown, while in the entre le Fovinces, while objccting to tl eir charges being made subject to Peking, had yet shown their willingness to accept a -system of commutation which for all prac- tical purposes was sufficient for the trader. Uniformity, though au object to be aimed at, pas ut at the moment practical, and could only be brought about by grafting on to the existing stems. Instead of this they lad a scheme lefore them which proposed by nestroke to remedy the defects of ages, Such a course it was pointed cut was far more likely to had to evolution than reform, and the assured authority of Feking over the internal fiscal : ffairs of the Frovinces e uld only le maintained by force of aanɛ. On the oilier band it should be memlend that we had during the infanity if 1800 bceu compelled to have reccurse to the Provinces, and that it was to the wisdom of the Yangtze viceroys that the Empire was saved film extinction. There were frets that could not be denied, and it was thucfore a wher cute to ippcal to the patriotism of the Provinces, and ɛce in the first instance what 1ems they were disposed to make in the way of regulating the taxa- tion in their respective jurisdictions. The great provincials on the Yangtsze bad in fact acknowledged that the present system was defective, extravagant and wrong in principle,, and were quite ready, on being shown how, to make radical changes. They
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were however, one and all, prepared to resist to the utmost what they considered the threatened encroachments of Peking; and this feeling, at all times strong. was more especially so at the present moment, when to the wrongheadedness of the Court was to be attributed the humiliation of the Empire. Notwithstanding that the entire official influence was thrown on the side of the Committee, on a division the amend- ment was only lost through the casting vote of the Chairman, the numbers on both sides being equal. It was felt that this was equivalent to a condemnation of Sir JAMES MACKAY's scheme in its entirety, which view was endorsed by the rejection of the original resolution of the Committee by a small majority.
(Daily Press, 24th April.)
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[April 26, 1902. Į
question for the British merchant naturally is, "What is to be done?" The solution is simpler than may at first appear. To have enforced the fifteen per cent. tariff would have meant revolutionising Chinese ways and methods, and the Chinese do not under- stand new ways. The authorities, indeed, must
haye looked with considerable suspicion upon Sir JAMES MACKAY's offer. At present, after forty years' wear and tear, worry and experience, the Chinese pro- vincial authorities have adapted them- selves to, and understand, the transit Merchants and officials pass system. alike understand it. Let the British Com- missioner see to it, therefore, that arrange- ments are made whereby full respect will be shown transit documents all over the Empire. Let the central government understand that any interference, or delay of cargoes covered by these passes, shall
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Although to outward appearance the meeting came to no practical conclusion, it cannot be doubted that the result was a
As the entail the removal from office of the offend- distinct vote of want of confidence. Chinese Commissioners have also, it is un-ing official; and let British consuls have derstood on very similar grounds, refused to more freedom, in conjunction _with_the agree to the proposals of Sir JAMES MACKAY, Naval authorities, in effecting the release it is to be hoped that the hasty and im- of goeds illegally seized. It is the endless mature scheme will now be relegated to delays due to references to Peking which wear out the heart of the British merchant oblivion.
and compel him to throw the case up in disgust. Chinese mandarindom thoroughly The majority of foreign merchants in China appreciates this situation and wilfully will, we take it, be relieved to learn of the ignores auy request for the release of goods refusal of the Chinese Government to accept seized; it counts upon being able to hang and eventually ruin the the fifteen per cent. tariff proposal which matters up was put forward: by Sir JAMES L. MACKAY foreignérs' "trade. In dealing with the and upon which we recently adversely transit passes and their issue, the British commented. To those acquainted with Commissioner should see to it that in the Chinese methods, the Imperial Government's case of foreign goods entering the interior declination to abolish lehin is after all in under a pass, the only test allowed, irres- no way surprising. The provincial autho-pective of the nationality of their owner, rities would certainly have offered strong should be the nationality of the goods opposition to any such arrangement, for themselves; and the consul of the country of the provincial government could not dare origin should be entitled to make representa- to disbard the vast army of lekin tax tions in any case of interference. This collectors and police and throw them idle principle has, to a limited extent been on the country, lest they should emulate recognised by the Chinese Government the nutirous toldics of the Kwangs who under the Chefoo Convention; but it is a took to plunder for want of pay. But there matter which might be more specifically is another and stronger cason for the and clarly cularged and dwelt upon. As re- provincial authorities to object to the pro- gards native produce being brought down from posed new tariff: had such a tax heen the interior, the Chinkiang transit system enforced and collected the whole of the might fairly well be adopted generally; at money thus accruing, on British trade, would least an option might be given to the mer- have passed into the hands of the central chants to take out passes under such a government and been devoted to court system. Care, however, must be taken that and palace requirements, leaving the pro- an illegal restriction such as now exists at vincial exchequers empty, and the focal Chinking should be removed; and instead authorities to devise new ways and means of passes being limited to some thirty the bare semblance of articles of con merce they should be made for carrying on government. To say that the central applicable to every native product without government would have faithfully carried exception; it is this limitation of issue out the agreement is to speak in ignorance which is the block in the Chinkiang rules. of Chinese methods. Reference has been Finally, as regards the lekin on the goods made by those with a limited knowledge of at the port of entry, it was certainly never the country to the "good faith" shown in intended under the original treaty that carrying out the Opium Convention; but goeds, after paying the tariff duty to the as matter of fact there is not a port in China Maritime Custons, should have to run the.
is not sceretly gauntlet of lekin ebarges, prefecture dues, where that convention
red and foreign opium made to bear chirg-fei, hai-feng, and the endless chain of additional taxation. In the case of Canton, taxes levied under one pretext or another for instance, the foreign opium merchants by the kcal authorities within the treaty have had to compound a new additional | port aren. As the matter stands, it is true. tax, and in order to escape from the diff- | the foreigner has not to pay these surtaxes culties of police inquisition and other in the port, and direct, but the native pur- froubles, band over to the Viceroy's De churcr bas, efore be can pass the goods It should partment sixty thousand dollars a year. into the bands of the consumer. Similar conditions prevail in the other big therefore be strongly urged on the British towns in Kwangtung. In short, foreign Commissioner to have the situation clearly opium, Icfore it reaches the consumer, bas defined and the Chinese prevented from to Jay, in addition to the regulation tariff levying lekin and other dues within the of lekin, an illegal surcharge if twenty-five treaty port itself. In Canton, cheek by taels per chest. The "good faith" of the jowl with the Maritime Customs stand the Chinese Government is a will-o'-the-wisp and lekin and other collectorates; outside the appears to have misled the British Com- Customis examination shed lies the lekin guard-boat; and not a package in native missioner.
hands is removed to the native merchants' godowns until every local due has been paid
Now that the fifteen per cent. tariff bubble may be considered to have burst, the
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