Mr. Hill to Mr.
Choate.
Department of State,
Washington, January 8,
1901.
No. 527.]
Sir: Referring to your No. 424, of November 10
last, I now inclose for your information a copy of a letter from the
Secretary of the Treasury, giving at length the reasons why the request
of the London agent-general of New South Wales for such a relaxation of
the navigation laws of the United States as would permit the conveyance
of passengers and merchandise between American ports and Honolulu in
Australian-owned shipping can not be granted.
I am, etc.,
David J. Hill,
Acting Secretary.
[Page 203]
[Inclosure.]
Mr. Gage to Mr.
Hay.
Treasury Department,
Washington, January 4,
1901.
Sir: I have the honor to acknowledge the
receipt of your letter of November 22, 1900, inclosing a
communication, forwarded confidentially by our ambassador to Great
Britain, from Mr. Henry Copeland, general agent for New South Wales
at London, in which he requests of the United States “such
relaxation being made in the application of their navigation laws as
will permit of passengers and goods being conveyed, as formerly, by
Australasian-owned shipping between American ports and Honolulu, at
least for some years to come.” You request an expression of my
views.
In reply thereto I have the honor to state that the act to which Mr.
Copeland refers was passed in pursuance to the traditional policy of
this Government which reserves trade between American ports to
American vessels. The enactment of this legislation was probable
from the date of the annexation of Hawaii, but the interval of
nearly two years was allowed to elapse before that policy was
carried into effect by act of Congress. It was assumed that this
interval would be sufficient for such readjustment of shipping
relations as the policy of the United States would require. The
desire of the United States to promote friendly commercial relations
with the British Australasian governments has been shown by the
liberal appropriations of the Congress for the maintenance of an
ocean mail service, which has lately been improved, for the mutual
benefit of citizens of the United States and British Australasian
subjects. In the judgment of this Department it is not feasible to
reopen the question as Mr. Copeland suggests.
Respectfully,
[Private and
confidential.]
Memorandum prepared by the premier of New
Zealand. Left by Lord Pauncefote at the Department of State
March 1, 1901.
The annexation of Hawaii by the United States and the bringing of
that group of islands under the provision of their navigation laws,
thus preventing British owned vessels from carrying on trade between
these islands and the United States, is calculated to have a serious
effect upon the trade of the colony of New Zealand. For thirty-one
years the mails between England and New Zealand have been carried by
steamers subsidized heavily by the Government of this colony, and
until the 24th of October last one steamer owned by a British
company trading here has regularly taken part in this mail service.
The service has now, however, been transferred to an American owned
line of steamers—that of Spreckels Brothers—the United States
Government giving a direct subsidy of £52,000 per annum for ten
years. With this subsidy, added to the fact that none of the
steamers of this colony can trade between Hawaii and the United
States, it follows that the colony is completely excluded from
conveying either its own mails or passengers or cargo to that
country; and in addition to this the steamers, which are being run
to the prejudice and exclusion of its own vessels, operate against
British owned steamers trading between Australia and New Zealand, as
upon their trips here they will necessarily carry passengers across
intercolonially, and this will result most prejudicially against the
development of trade by its own steamers, even in its own
waters.
Another way in which the altered service will operate against the
possible introduction of an alternate service in this country is
this: [Page 204] Prior to the
annexation of Hawaii by the United States, Honolulu was made a coal
depot for steamers trading under the British flag, via Vancouver to
these colonies, and it was the practice of the Canadian mail-ships
to land some 500 tons of coal at a time, which they were allowed to
do without port charges at Honolulu. Since the annexation of the
islands, however, this has not been allowed, and an impost of 3
shillings per ton is levied upon the coal required for steamers not
trading within the prescribed territory at all.
The premier, therefore, begs respectfully to request that his
excellency will refer the matter to the secretary of state for the
colonies in order that representations may be made to the United
States Government upon this important subject, with a view to
establishing a modus vivendi with the United States of a more
equitable character than that now existing.
As the matter is one of great importance to this colony, the premier
can only strongly impress upon his excellency’s attention its great
urgency. The subject is at present the basis of a considerable
amount of friction, and it is very difficult to tell how far such
feeling as now exists may grow.
