Papers Relating to the Foreign Relations of the United States, Transmitted to Congress, With the Annual Message of the President, December 3, 1877

No. 57.
Mr. Seward to Mr. Fish.

United States Legation,
Peking, October 3, 1876. (Received Nov. 29.)

No. 134.]

Sir: I have the honor to transmit to you herewith a copy of the agreement entered into at Chefoo on the 13th September between the plenipotentiaries of Great Britain and China.

This document has been communicated to the several legations by the foreign office. They have also sent to us letters communicating the memorial and edict in regard to the Yunnan matter, called for by the agreement, and asking us to consider the various questions raised in the agreement, and to report our views.

I shall not attempt to offer in this dispatch any comments upon the agreement, excepting to remark that it will, in some directions, considerably improve the condition of foreigners in China. Its one unfortunate feature is the proposed settlement of the likin question.

Since the receipt of the letters of the foreign office in regard to outstanding issues, I have considered with my colleagues, the ministers of Russia, Germany, France, and Spain, the answer which we ought to make. I pointed out to the English minister while at Chefoo the questions which might be raised in this connection. What I said to him was briefly reported in my dispatch to you of the 5th September, in the following words:

He should be careful in stating the terms of such reference, for the reason that these issues may be called up by any of the ministers, and it may be more agreeable to them to choose for themselves the moment for the discussion, and because his reference would necessarily be more or less tainted by the fact that it grew out of a grievance with which other powers have no special concern.

After much debate, during a great part of which I feared that my colleagues would state their objections to the reference in such manner as to block discussion of the issues involved, we agreed upon the form of a letter, which I inclose herewith. This states, in effect, that it will be more agreeable for us to determine with the foreign office what questions need discussion, and, having settled this part of the matter, to proceed with efforts to arrive at conclusions in regard to them. In one matter, that of the abuses in the taxation of foreign goods, we thought it necessary to say that existing treaty stipulations must be regarded, until they have been changed in due course of negotiation.

The British minister takes our action in good part, and I hope that we may soon enter upon the important work before us. Our discussions will bring under review all the issues raised by him, and some others. I shall be able to report to you from time to time the disposition of my colleagues, and our success with the foreign office.

The form of Sir Thomas Wade’s agreement is such that our discussion, if conducted on his basis, would have had no unpleasant connection, necessarily, with the Yunnan matter. The situation in this respect is made better, however, by the answer which we have returned to the foreign office, as now, whatever may be done will be in the line of open negotiation, and without pressure or the appearance of it.

I am happily in possession of your instructions in regard to several of the questions in issue, and may hope for further instructions soon, particularly in answer to my dispatch on the German treaty revision. I shall then be able to enter intelligently upon our discussions.

I ought to make here my acknowledgments to the British minister for the deference with which he has treated the suggestions which I have from time to time made to him. Since my return to Peking he has informed me that he threw his agreement into its present form, separating the Yunnan case from the commercial and other issues, partly to meet my statement of the difficulty which I should find in approaching these issues if connected with the Yunnan matter. The pledges which he received last year from the foreign office, to which he refers in the agreement, enabled him to do this.. He has also told me that what I said to him at Chefoo, as to the desirability of procuring the unconditional settlement of such matters as he could properly close, arrested his attention, and that to this is largely due the fact that he closed for the opening of ports instead of leaving them “in the air,” pending the discussion of general issues. The judicial matter is also one which I especially urged upon his attention, and with his disposition of which I am especially pleased.

In regard to the mint and post-offices, he states that he was not aware that the government was so far committed to them as my information shows. If he had known the situation in this respect he would have drawn into his agreement a suitable declaration in regard to them. I cannot but regret this, but, evidently, having received my information from Mr. Hart and otherwise from the Chinese side, I was not at liberty to disclose the facts to him pending the adjustment. I shall bring these matters up in the discussion which I hope will now soon ensue.

I have the honor to be, &c.,

GEORGE F. SEWARD.

[Inclosure.]

Agreement negotiated between Sir Thomas Wade, K. C. B., Her Britannic Majesty’s envoy extraordinary and minister plenipotentiary at the court of China, and Li, minister plenipotentiary of His Majesty the Emperor of China, senior grand secretary, governor-general of the province of Chihli, of the first class of the third order of nobility.

The negotiation between the ministers above mentioned has its origin in a dispatch received by Sir Thomas Wade, in the spring of the present year, from the Earl of Derby, principal secretary of state for foreign affairs, date 1st January, 1876. This contained instructions regarding the disposal of three questions. First, a satisfactory settlement of the Yunnan affair; secondly, a faithful fulfillment of engagements of last year respecting intercourse between the high officers of the two governments; thirdly, the adoption of a uniform system in satisfaction of the understanding arrived at in the month September, 1875, (8th moon of the 1st year of the reign of Kwangsü,) on the subjects of rectification of conditions of trade. It is to this dispatch that Sir Thomas Wade has referred himself in discussions on these questions with the Tsungli Yamêu, further reference to which is here omitted as superfluous The conditions now agreed to between Sir Thomas Wade and the Grand Secretary Li are as follows:

section i.—settlement of the yunnan case.

1. A memorial is to be presented to the throne, whether by the Tsungli Yamên or by the Grand Secretary Li, is immaterial in the sense of the memorandum prepared by Sir Thomas Wade. Before presentation, the Chinese text of the memorial is to be shown to Sir Thomas Wade.

2. The memorial having been presented to the throne, and the imperial decree in reply received, the Tsungli Yamên will communicate copies of the memorials and imperial decree to Sir Thomas Wade, together with the copy of a letter from the Tsungli Yamên to the provincial governments, instructing them to issue a proclamation that shall embody at length the above memorial and decree. Sir Thomas Wade will then reply to the effect that, for two years to come, officers will be sent by the British minister to different places in the provinces to see that the proclamation is posted. On application from the British minister, or the consul of any port instructed by him to make application, the high officers of the provinces will depute competent officers to accompany those so sent to the places which they go to observe.

3. In order to the forming of such regulations as will he needed for the conduct of the frontier trade between Burmah and Yunnan, the memorial submitting the proposed settlement of the Yunnan affair will contain a request that an imperial decree be issued, directing the governor-general and governor whenever the British Government shall send officers to Yunnan, to select a competent officer of rank to confer with them and to conclude a satisfactory arrangement.

The British Government will be free for five years from the 1st of January next (being the 17th day of the 11th moon of the second year of the reign of Kwangsü) to station officers at Tali-foo, or at some other suitable places in Yunnan, to observe the conditions of trade, to the end that they may have information upon which to base the regulations of trade when these have to be discussed. For the consideration and adjustment of any matter affecting British officers or subjects, these officers will be free to address themselves to the authorities of the province. The opening of the trade may be proposed by the British Government, as it may find best, at any time within the term of five years, or upon the expiry of the” term of five years. Passports having been obtained last year for a mission from India into Yunnan, it is open to the Viceroy of India to send such a mission at any time he may see fit.

The amount of indemnity to be paid on account of the families of the officers and others killed in Yunnan, on account of the expenses which the Yunnan case has occasioned, and on account of claims of British merchants, arising out of the action of officers of the Chinese Government up to the commencement of the present year, Sir Thomas Wade takes upon himself to fix at two hundred thousand taels, payable on demand.

6. When the case is closed an Imperial letter will be written, expressing regret for what has occurred in Yunnan. The mission bearing the imperial letter will proceed to England immediately. Sir Thomas Wade is to be informed of the constitution of this mission for the information of his government. The text of the imperial letter is also to be communicated to Sir Thomas Wade by the Tsungli Yamên.

sec. 2.—official intercourse.

Under this heading are included the conditions of intercourse between high officers, in the capital and the provinces, and between consular officers and Chinese officials at the ports; also the conduct of judicial proceedings in mixed cases.

1. In the Tsungli Yamên memorial of the 28th of September, 1875, Prince Kung and the ministers stated that their object in presenting it had not been simply the transaction of business in which Chinese and foreigners might be concerned. Missions abroad and the question of diplomatic intercourse lay equally within their prayer.

For the prevention of further misunderstanding upon the subject of intercourse and correspondence, the present conditions of both having caused complaint in the capital and in the provinces, it is agreed that the Tsungli Yamên shall address a circular to the legations, inviting foreign representatives to consider with them a code of etiquette, to the end that foreign officials in China, whether at the ports or elsewhere,, may be treated with the same regard as is shown to them when serving abroad in other countries, and as would be shown to Chinese agents so serving abroad. The fact that China is about to establish missions and consulates abroad renders an understanding on these points essential.

2. The British treaty of 1858, article xvi, lays down “that Chinese subjects who may be guilty of any criminal acts toward British subjects shall be arrested and punished by Chinese authorities according to the laws of China. British subjects who-may commit any crime in China, shall be tried and punished by the consul, or any other public functionary authorized thereto, according to the laws of Great Britain. Justice shall be equitably and impartially administered on both sides.”

The words functionary authorized thereto are translated in the Chinese text, British Government.

In order to the fulfillment of its treaty obligations, the British Government has established a supreme court with a special code of rules, which it is now about to revise. The Chinese Government has established at Shanghai a mixed court, but the officer presiding over it, either from lack of power or dread of unpopularity, constantly fails to enforce his judgments. It is now understood that the Tsungli Yamên will write a. circular to the legations inviting foreign representatives at once to consider with the Tsungli Yamên the measures needed for the more effective administration of justice at the ports open to trade.

3. It is agreed that wherever a crime is committed affecting the person or property of a British subject, whether in the interior or at open ports, the British minister shall be free to send officers to the spot, to be present at the investigation. For the prevention of misunderstanding on this point, Sir Thomas Wade will write a note to the above effect, to which the Tsungli Yamên will reply, affirming that this is the course of proceedings to be adhered to for the time to come.

It is further understood that so long as the laws of the two countries differ from each other, there can he but one principle to guide judicial proceedings in mixed cases in China, namely, that the case is tried by the official of the defendant’s nationality, the official of the plaintiff’s nationality merely attending to watch the proceedings in the interest of justice. If the officers attending be dissatisfied with the proceedings, it will be in his power to protest against them in detail. The law administered will be the law of the nationality of the officer trying the case. This is the meaning of the words hwui t’ung, indicating combined action in judicial proceedings, in article xvi of the treaty of Tien-tsin, and this is the course to be respectively followed by the officers of the two nationalities.

sec. 3.— trade.

With reference to the area within which, according to the treaties in force, likin ought not to be collected on foreign goods at the open ports. Sir Thomas Wade agrees to move his government to allow the ground rented by foreigners (the so-called concessions) at the different ports to be regarded as the area of exemption from likin; and the Government of China will thereupon allow Ichang, in the province of Hupeh, Wuhu in Nganhwui, Wênchow in Cheh-Kiang, and Peihai (Pakhoi) in Kwaugtung, to be added to the number of ports open to trade and to become consular stations. The British Government will further be free to send officers to reside at Chungking to watch the conditions of British trade in Szechuen. British merchants will not be allowed to reside at Chungking or to open establishments or warehouses there so long as no steamers have access to the port. When steamers have succeeded in ascending the river so far, further arrangements can be taken into consideration.

It is further proposed as a measure of compromise that at certain points on the shore of the great river, namely, Tatung and An-ching [Ngan-King] in the province of Nganhwui, Hukow in the province of Kiaugsi, Wu-Ksueh, Lu-chi-kon and Sha-shi in Huk-wang, these being all places of trade in the interior, at which, as they are not open ports, foreign merchants are not legally authorized to land or ship goods,’ steamers shall be allowed to touch for the purpose of landing or shipping passengers or goods, but in all instances by means of native boats only, and subject to the regulations in force affecting native trade.

Produce accompanied by a half-duty certificate may be shipped at such points, by the steamers, but may not be landed by them for sale. And at all such points, except in the case of imports accompanied by a transit-duty certificate, or exports similarly certificated, which will be severally passed free of likin on exhibition of such certificates, likin will be duly collected on all goods whatever by the native authorities. Foreign merchants will not be authorized to reside or open houses of business or warehouses at the places enumerated as ports of call.

2. At all ports open to trade, whether by earlier or later agreement, at which no settlement area has been previously defined, it will be the duty of the British consul, acting in concert with his colleagues, the consuls of other powers, to come to an understanding with the local authorities regarding the definition of the foreign settlement area.

3. On opium, Sir Thomas Wade will move his government to sanction an arrangement different from that affecting other imports. British merchants, when opium is brought into port, will be obliged to have it taken cognizance of by the customs and deposited in bond, either in a warehouse or in a receiving-hulk, until such time as there is a sale for it. The importer will then pay the tariff duty upon it, and the purchasers the likin, in order to the prevention of evasion of duty. The amount of likin to be collected will be decided by the different provincial governments according to the circumstances of each.

4. The Chinese Government agrees that transit-duty certificates shall be framed under one rule at all the ports, no difference being made in the conditions set forth therein; and so far as imports are concerned, the nationality of the person possessing and carrying these is immaterial. Native produce from an inland center to a port of shipment, if bonâ fide intended for shipment to a foreign port, may be by treaty certificated by the British subjects interested, and exempted by payment of the half-duty from all charges demanded upon it en route. If produce be not the property of a British subject, or is being carried to a port not for exportation, it is not entitled to the exemption that would be secured by the exhibition of a transit-duty certificate.

The British minister is prepared to agree with the Tsungli Yamên upon rules that will secure the Chinese Government against abuse of the privileges affecting produce.

The words nei-ti (inland) in the clause of article vii of the rules appended to the tariff regarding carriage of imports inland, and of native produce purchased inland, apply as much to places on the sea-coasts and river-shores as to places in the interior not open to foreign trade; the Chinese Government having the right to make arrangements for the prevention of abuses thereat.

5. Article xiv of the treaty of Tientsin prescribes no limit to the term within which a drawback may be claimed upon duty-paid imports. The British minister agrees to a term of three years, after expiry of which no drawback shall be claimed.

6. The foregoing stipulation that certain ports are to be opened to foreign trade, and that landing and shipping of goods at six places on the great river is to be sanctioned, shall be given effect to within six months after the receipt of the imperial decree approving the memorial of the grand secretary Li.

The date for giving effect to the stipulations affecting exemptions of imports from likin taxation within the foreign settlements and the collection of likin upon opium by the customs inspectorate at the same time as the tariff duty upon it, will be fixed as soon as the British Government has arrived at an understanding on the subject with the foreign governments.

7. The Government of Hongkong having long complained of the interference of the Canton customs revenue cruisers with the junk-trade of that colony, the Chinese Government agrees to the appointment of a commission to consist of a British consul, an officer of the Hongkong Government, and a Chinese official of equal rank, in order to the establishment of some system that shall enable the Chinese Government to protect its revenue without prejudice to the interests of the colony.

separate articles.

Her Majesty’s Government having it in contemplation to send a mission of exploration next year by the way of Peking through Kansuh and Koko-nor, or by way of Szechuen to Tibet and thence to India, the Tsungli Yamên, having due regard to the circumstances, will, when the time arrives, issue the necessary passports and will address letters to the high provincial authorities, and to the resident in Tibet. If the mission should not be sent by these routes, but should be proceeding across the Indian frontier to Tibet, the Tsungli Yamên, on receipt of a communication to the above effect from the British minister, will write to the Chinese resident in Tibet; and the resident, with due regard to the circumstances, will send officers to take due care of the mission, and passports for the mission will be issued by the Tsungli Yamên, that its passage be not obstructed.

Done at Chefoo in the province of Shantung, the thirteenth day of September, in the year of our Lord one thousand eight hundred and seventy-six.

[Inclosure 2 in No. 134.]

Prince Kung, chief secretary of state for foreign affairs, herewith makes a communication.

Upon the 17th instant the privy council transmitted an imperial decree in response to a memorial from Li Hung Chang who, in obedience to the imperial commands, had proceeded to Chefoo and adjusted the Yunnan business with the British minister.

The English interpreter, Margary, upon the frontiers of China, in Yunnan, has lost his life. The several local officials, civil and military, failed to afford protection, and, being thus remiss in duty, merit punishment in proportion to the gravity of their fault.

Since, however, Li Hung Chang memorializes that the British minister, Sir Thomas Wade, is of opinion that to afford sufficient protection in the future is better than to punish for the past derelictions, and hence requests that the various criminal parties in the case be pardoned, it is decreed accordingly to his request. With the exception of Chiang Tsung Han, the general in command at Ting Yueh-chen and Wu-Chi-Liang, the subprefect at Seng Yueh, who have already been deprived of office, and need not be further punished; Lieutenant-Colonel Li Chen Kuo, and the criminals, Ertungwafutu and others, eleven in number, may all receive pardon.

Margary was a British official deputed under passport to proceed through Yunnan into Burmah, and both in going and returning should have received full protection. But, on the contrary, he was suddenly murdered, and the members of his party were beaten, plundered, and driven back, a proceeding well calculated to destroy amicable relations of the empire.

Hereafter the viceroys and governors of the several provinces must with great care give heed to the edict issued upon the 9th October last, and promulgate the most stringent orders to their subordinate officials that whoever meets a foreigner bearing a passport going into the interior must treat him in strict accordance to treaty, and afford satisfactory protection. If there arise cases of ill-treatment or violence, the provincial authorities of high and low grade will be called to account, and the foreign office is directed to prepare a suitable form of proclamation and forward it to the several provinces, that the officials may act in accordance to its terms and instruct all authorities to conform to treaty stipulations in order to preserve international peace.

In case foreign officials or subjects are killed, the real criminals must be sought out and punished at once, and no delays he allowed to aggravate the offense. The Margary case is now settled.

In the matter of trade upon the Yunnan frontier, it is ordered that whenever the British Government shall appoint officials, the viceroy and governor of Yunnan shall appoint proper deputies to proceed to the frontier and examine into the circumstances and report suitable regulations. Respect this.

The privy council has also transmitted the imperial decree approving and ordering carried into effect the convention submitted by Li Hung Chang. A copy of this convention will be forwarded to your excellency at a future day. In the mean time, I beg to inform you of the edicts of His Majesty, as mentioned above.

September 18, 1876.

To George F. Seward, Esq., &c.

[Inclosure 3 in No. 134.]

Prince Kung, chief secretary of state for foreign affairs, herewith makes a communication.

Upon the 17th instant this office received a memorial of Li, viceroy, member of the grand council and special envoy, reporting the settlement of the Yunnan case, and a convention agreed upon with Sir Thomas Wade, the British minister, together with the imperial approval, as follows: Let this be carried into effect as planned. Respect this.”

This office has already transcribed the imperial edict and forwarded it for your excellency’s information, as also a copy of the several articles of the convention.

It will be noticed that the convention contains the following language:

“The sixteenth article of the treaty made with England in the eighth year of Hsien Fung states that * * * ‘British subjects who may commit any crime in China shall be tried and punished by the consul or other public functionary authorized thereto according to the laws of Great Britain; Justice shall be equitably and impartially administered on both sides.’

“It appears that the English text of the original treaty states that English subjects guilty of offenses shall be dealt with by English consuls or such other officials as may be appointed, &c., while in the Chinese text the whole is covered by the two words ‘English Government.’ Heretofore the British Government has drawn up a careful course of procedure, appointed judicial officers, and established a supreme court at Shanghai, in order to carry into effect this article of the treaty.

“The British Government has at the present moment revised and perfected the judicial code, heretofore established, and set up a mixed court at Shanghai for the trial of cases in which Chinese and foreigners are conjointly involved. But the officials deputed, (Chinese,) whether because of inadequate authority or through fear of the enmity of their own people, continually fail to do justice, &c.”

The foregoing language being in explanation of the sixteenth article of the British treaty, which relates to trial of mixed cases. This office has already addressed the British minister upon this subject.

This article also declares that it is agreed that the various ministers resident at Peking shall be addressed by the foreign office with a request that they will meet in conference with the foreign office in order to fix upon a code of procedure for international cases arising at the ports in order to the furtherance of justice and equity, &c.

The idea is that, if possible, a single course of procedure shall be determined on for all international cases.

Your excellency is therefore requested to consult with the several ministers resident in the capital and agree with them upon an acceptable system, and thereafter to address this office and submit the result of your deliberations for its acceptance.

Peking, September 26, 1876.

To George F. Seward, Esq., &c.

[Inclosure 4 in No. 134.—Translation.]

Prince Kung, chief secretary of state for foreign affairs, herewith makes a communication.

Upon the 17th instant this office received the memorial of Li, viceroy, member of the grand council and special envoy, reporting the settlement of the Yunnan case and the convention agreed upon with Sir Thomas Wade, the British minister, together with the imperial approval, as follows: Let it be carried into effect as planned. Respect this.”

This office has already transcribed the imperial edict and forwarded it for your excellency’s information, as also a copy of the several articles of the convention. The convention states that upon the 9th October last the foreign office memorialized the throne as follows: * * * Their various memorials recommending the providing of persons skilled in foreign affairs was not merely in order to the management of international matters, but the entire subject of reciprocal diplomatic intercourse was also included,” &c.

To the prevention of further misunderstanding upon the subject of intercourse and correspondence, the present condition of both having caused complaint in the capital and in the provinces, it is agreed that the Tsungli Yamun shall address a circular to the legations inviting foreign representatives to consider with them a code of etiquette, to the end that foreign officials in China, whether at the ports or elsewhere, may be treated with the same regard as is shown to them when serving abroad in the other countries, and as would be shown to Chinese agents so serving abroad.

The fact that China is about to establish missions and consulates abroad renders an understanding on these points essential.

This article in its import evidences clearly the sincere desire of this government for amicable relations. It is certainly desirable that the various bearings of the question should be fully considered and a code of etiquette agreed upon, with the hope that international relations may become more friendly.

It therefore becomes my duty to transcribe the article in question, and address your excellency and the other ministers, that you may confer together at your convenience, and that, when you shall have arrived at an agreement, you will be so kind as to address this office, in order that a joint consideration and mutual agreement may be arrived at.

Peking, September 26, 1876.

To George F. Seward, Esq., &c.

[Inclosure 5 in No. 134.]

Prince Kung, chief secretary of state for foreign affairs, herewith makes a communication.

Upon the 17th instant this office received the memorial of Li, viceroy, member of the grand council and special envoy, reporting the settlement of the Yunnan case, and convention agreed upon with Sir Thomas Wade, the British minister, together with the imperial approval, as follows: “Let it be carried into effect as planned. Respect this.”

This office has already transcribed the imperial edict and forwarded it for your excellency’s information, as also a copy of the several articles of the convention. The convention contains the following language:

“With reference to the area within which, according to the treaties in force, likin ought not to be collected on foreign goods at the open ports, Sir Thomas Wade agrees to move his government to allow the ground rented by foreigners (the so-called concessions) at the different ports to be regarded as the area of the exemption from likin,” &c.

It is further stated that—

“On opium Sir Thomas Wade will move his government to sanction an arrangement different from that affecting other imports. British merchants, when opium is brought into a port, will be obliged to have it taken cognizance of by the customs, and deposited in bond, either in a warehouse or a receiving-hulk, until such time as there is a sale for it. The importer will then pay the tariff duty upon it, and the purchasers the likin, in order to the prevention of evasion of duty. The amount of likin to be collected will be decided by the different provincial governments according to the circumstances of each.”

The Government of China heretofore, because of military necessities, has levied a likin tax, both in the interior and at the treaty ports, levying this likin upon country products as well as upon foreign goods which had not paid the half-duty extra. But foreign merchants have asserted that foreign merchandise, having paid regular duty, is not subject to the likin prior to its having been entered for transit-duty. This divergence of opinion has been the subject of repeated discussion. A convention having been agreed to, Sir Thomas Wade has consented to request his government to address the various powers with a view to securing their assent to the establishment of port limits, within which foreign merchandise shall be free from likin, with the desire to avoid future differences of opinion.

In regard to opium, it is agreed to establish a special procedure by which both the regular tax and the likin shall be collected in new Yamêns. (?) Further, the amount of regular tax and likin to be collected is to be made a matter for consideration by the several provincial authorities as a matter of grave importance. (Prior to the establishment of this new rule the old procedure will continue in force.) But the establishment of the port limits for the protection of foreign merchandise from the likin, and the special procedure for the levy of regular duty and likin upon opium, these two articles it is distinctly agreed shall await the correspondence between Great Britain and other powers, when a day shall be fixed for their taking effect.

It becomes our duty to address your excellency in regard to these two articles, with the request that you shall consult with the several ministers, and will further address your government, requesting its opinion and decision. When the several powers shall have come to a satisfactory decision, your excellency will please address this office, that conference and agreement may be had.

Peking, September 28, 1876.

To George F. Seward, Esq., &c.

[Inclosure 6 in No. 134.]

Mr. Seward to the Foreign Office.

The undersigned has the honor to acknowledge receipt of your imperial highness and your excellencies’ dispatches of the 26th and 28th September, in which, referring to several clauses of the agreement signed at Chefoo by the plenipotentiaries of China and Great Britain, you wrote me, as well as my colleagues, the representatives of the foreign powers, to consider conjointly the questions referred to, and to inform you of the results of our deliberations.

While thanking your imperial highness and your excellencies for the above communications, I beg leave to inform you that it is in my opinion advisable, as it would be also conformable with the established custom of diplomatic intercourse, that we should, first of all, consider and decide what questions require a settlement and are to be brought under discussion.

I have consulted with my colleagues on this point, and, as a complete understanding exists between us regarding this way of procedure, I beg leave to inform your imperial highness and your excellencies that I shall be ready, whenever you may find it convenient, to confer with you in view of the object above stated, and, having once determined the points to be discussed, to come with you to an understanding on the various questions that may become the subject of our deliberations.

In regard, however, to likin taxes and proposed reference to the several governments, I must at once remark that negotiations should be pursued in the usual manner, and that, pending the result, I cannot consent to the abridgment of existing treaty stipulations.

I take this occasion to renew to your imperial highness and your excellencies the expression of my consideration.

Legation of the United States, Peking, October 2, 1876.

GEORGE F. SEWARD,
Minister Plenipotentiary of the United States.

[Inclosure 7 in. 134.]

Peking, September 30, 1876.

Monsieur le Ministre et cher Collègue:

I found on my return to Peking last week that the Chinese text of the agreement between the grand secretary, Li Hung Chang, and myself, signed at Chefoo, on the 13th instant, had already been communicated to the representatives of the treaty powers, and that copies had been also forwarded to the provincial governments. As I had the honor to state to such of my colleagues as are within reach, the English text is being printed at Shanghai, and as soon as I receive it in this form it is my purpose similarly to communicate copies to all.

Before signing the agreement, I declared my readiness, if, on my arrival here, the memorials and decrees referred to in the agreement should be immediately published and the circulars for the expedition of which the agreement further stipulated were immediately written, to telegraph to my government that I had taken upon me to close the Yunnan case. The engagements above referred to having been so far satisfied, I beg to acquaint you, M. le Ministre, that I have this day informed Prince Kung that I have sent the promised message to my government.

I avail myself of this opportunity, &c., &c.

THOMAS FRANCIS WADE.