Papers Relating to the Foreign Relations of the United States, With the Annual Message of the President Transmitted to Congress December 3, 1906, (In two parts), Part I
Minister Rockhill to the Secretary of State.
Peking , December 18, 1906 .
Sir: I have the honor to transmit herewith a memorandum prepared by Mr. Williams, Chinese secretary of this legation, on the subject of the foreign settlements at the open ports of China. The sketch is necessarily brief, but it notes the facts which mark the stages of the movement of the Chinese to narrow the privileges of foreign residents at these ports, which is so strongly marked in the regulations made by China for the government of the localities opened by her within the last few years, as well as in the negotiations for opening localities under treaty provisions.
Concerning the negotiations for the establishment of international settlements at Mukden and Antung, to which the memorandum refers, I inclose copies of recent correspondence between this legation and the Wai-wu Pu on the reported recent regulations said to have been proposed by the Viceroy Yuan Shih-k’ai and the Tartar general at Sheng-king. The Wai-wu Pu in its reply acknowledges the necessity of agreeing with this legation as to the regulations for these settlements—which it would have been impossible for it to deny—but say nothing concerning the authenticity of those purporting to come from the viceroy and the Tartar general.
I have, etc.,
foreign settlements at the open ports of china.
In China proper and in Manchuria 46 cities and towns have been thrown open already to foreign residence and international trade. This does not include Dalny, in Manchuria, leased to Japan; Wei-hai-wei, in Shantung, leased to [Page 291] Great Britain; Kiaochow, in Shantung, leased to Germany; Kowloon, in Kuangtung, leased to Great Britain; nor Kuang-chou-wan, in Kuangtung, leased to France. Besides the above, there are 3 cities in Tibet thrown open to trade, making 49 ports in the Empire. In addition to these already declared open, there are 13 cities whose opening in the immediate future is arranged for, and 3 others whose opening depends upon the acceptance by other treaty powers of the provisions of Article VIII of the last commercial treaty between China and Great Britain. No account is taken of the cities of Turkestan, Mongolia, and the Amur region, in which Russian subjects have for many years enjoyed privileges of trade and consular jurisdiction.
It will be seen therefore that in the immediate future foreigners will enjoy the right of residence for purposes of trade at more than 60 cities of the Chinese Empire.
At the earliest known date of foreign commercial intercourse with China the foreign traders were restricted in their residence to definite areas at the ports frequented by them. This was the case with the Arab and Indian merchants who visited Canton from the ninth century onwards. They lived in what we may call the foreign quarter of Canton, where they were placed to a great extent under the jurisdiction of their headmen, in much the same way that Chinese traders in Java, the Philippines, and other parts of the East Indies were made subject to the control of their headmen.
Upon the advent of Europeans in China, they were placed under similar restrictions, and the British superintendent of trade at Canton was regarded by the Chinese as nothing more than the headman of the British merchants.
By the British treaty of Nanking (1842) and by that of Wanghia with the United States (1844) the superintendents of trade were given an official status and called consuls, and by the same treaties foreign merchants were allowed the privilege of residing for purposes of trade at five ports of the Empire—Canton, Amoy, Foochow, Ningpo, and Shanghai.
By Article II of the above-mentioned British treaty, British subjects were allowed to reside for trade “at the cities and towns” just mentioned. Nothing is said of restricting them in their residence to any particular localities at these ports; no provision was made for foreign settlements.
The ravages of the Taiping rebels drove thousands of homeless Chinese to seek safety under the protection of foreign flags. The little settlement was soon crowded with such refugees. The building and renting of houses for their occupation became such a profitable enterprise that no foreigner protested against the influx. The authority of the Imperial Government was greatly weakened by the rebellion, and the local authorities could not but view with satisfaction the cooperation of the foreign powers in preserving order at the port. Some form of municipal government became absolutely necessary, and in 1854 a code of land regulations was adopted by an arrangement made between the Imperial Government and the ministers for Great Britain, France, and the United States. Under these regulations the international settlement at Shanghai flourished greatly, and rapidly grew into a great cosmopolitan municipality, entirely overshadowing the native city. The regulations were revised from time to time to the advantage of the foreigners, and the influx of Chinese increased from year to year to such an extent that the limits of the settlement had to be enlarged repeatedly. Its population to-day amounts to 465,000, of which but 11,000 are foreigners.
France early obtained a separate site for the residence of her merchants. This lies between the international settlement and the native city. It has its own municipal council, whose acts are without force, however, unless approved by the French consul-general. Its present population is about 80,000; that of the native city about 183,000, making a total for the port of Shanghai, native city and both settlements included, of 727,000, of whom less than 12,000 are foreigners. Here is an anomalous condition of affairs; 500,000 Chinese at the largest and most important seaport of the Empire, while owing allegiance to the Imperial Government and subject to the jurisdiction of native magistrates in the mixed courts, are really governed by foreign municipalities.
At no other port has the same method been adopted as at Shanghai. At some, as at Newchwang, for instance, no district has been definitely marked out for foreign residence. At others, as Hankow and Tientsin, for example, each nation interested has secured a separate site for the residence of its merchants. At Hankow there are five such settlements, and at Tientsin eight. At such ports, therefore, there are a number of little municipalities, each with its own regulations and its own method of government. Trade does not suffer, [Page 292] however, as much as might be expected, since it always seeks that settlement which offers the best inducements.
As these foreign settlements began to grow up outside the walls of the native cities, the Chinese authorities began gradually to take the position that the cities themselves had never been opened to foreign residence and trade, that only a restricted area outside the gates of the city had been opened, and that goods passing from the city to the settlement and vice versa could be taxed by the likin and octroi offices. This position has been contested by various foreign governments for years past, but the question is still unsettled, so far as the Chinese are concerned, and in the regulations drawn up for the control of the settlements at ports voluntarily opened to China, it is clearly stipulated that all districts outside the boundaries of such settlements, including the native cities, are to be treated as under the inland transit regulations.
When the Chefoo convention was being negotiated between Great China, in 1876, Sir Thomas Wade agreed “to move his Government to allow the ground rented to foreigners (the so-called concessions) at the different ports to be regarded as the area of exemption from likin.” The British Government, however, refused to accept this provision, and the treaty was finally ratified without it in 1886.
After the opening of the five ports mentioned in the treaties of Nanking and Wanghia, various other places, on the demand of one power or another, were likewise opened to international residence and trade. At all of these places, until the opening of Soochow and Hangchow in 1896, foreign residents were given the same privileges as at the five ports first opened. In opening Soochow and Hangchow, at the request of Japan, the Chinese decided upon a new course. The Chinese authorities themselves bought up the land at the locations fixed upon for foreign settlements and leased it in lots for a period of thirty years to those desiring it, the leases being subject to renewal for additional periods of thirty years for ever. These settlements were put under Chinese police control, and road making and all other public improvements were undertaken by the Chinese authorities themselves.
The next year Germany seized the port of Kiaochow, and later secured a lease of the bay and certain districts adjoining. This example was promptly followed by Russia, which obtained the lease of Port Arthur and Dalny and the region contiguous. France demanded and secured Kuangchouwan, and Great Britain in the same manner obtained Weihaiwei and the extension of Kowloon. Italy asked for Sanmun.
The Chinese were aroused by these appropriations of their territory, and even while the negotiations were pending looked about for ports whose opening was likely to be demanded, and decided to be beforehand by opening such ports themselves under such conditions as would enable them to retain municipal control. In this way on March 31, 1898, the treaty powers were notified that Yochow and Honan; Santuao, in Fukien, and Chingwanto (winter port of Tientsin), in Chihli would be opened “by China herself.” In the following month Woosung at the mouth of the Huangp’u was opened in the same way, as stated above. In 1899 Nanning, in Kuanghsi, was declared open in the same way. In the Chinese eyes the words “opened by China herself” have a very definite meaning, and imply that the settlements needed are to be laid out and controlled as in the case of Yochow, Santuao, etc. When the new commercial treaty between China and Great Britain was drawn up in 1902 it was provided therein that (Article VIII, section 12) “the Chinese Government agrees to open to foreign trade on the same footing as the places opened to foreign trade by the treaties of Nanking and Tientsin, the following places: Changsha, in Honan; Wanhsien, in Szecheun; Nganking, in Anhui; Waichow, in Kwangtung; and Kongmoon in Kwangtung.” But this agreement was qualified by the statement that “foreigners residing in these open ports are to observe the municipal and police regulations on the same footing as Chinese residents, and they are not to be entitled to establish municipalities and police of their own within the limits of these treaty ports, except with the consent of the Chinese authorities.” By our own treaty with China in 1903 it was provided that “Mukden and Antung, both in the Province of Shengking, will be opened by China itself as places of international residence and trade. The selection of fitting localities to be set apart for international use and occupation, and the regulations for these places set apart for foreign residence and trade shall be agreed upon by the Governments of the United States and China after consultation together.”
What China means by a port opened by herself may be understood by reading the regulations adopted by Tsinan Fu in Shantung, which was opened to foreign [Page 293] trade on January 10, 1906. Notice of intention thereof was given March 2, 1905, and a copy of the general regulations of the port were sent to this legation then. By these regulations foreigners are restricted in their residence and trade to a settlement definitely bounded, located outside the walls of the city, and the city itself and all territory outside the boundaries of the settlement are to be regarded as under inland regulations; that is, foreigners may not buy land there, nor reside nor trade there, and all goods going to and fro between the settlement are treated as shipped into the interior. Provisions are made also for the establishment of a Chinese municipal government and a Chinese police administration, but the extraterritorial powers of foreign consuls are recognized. In important cases, however, the police may enter any house in search of criminals, even without a warrant All land in the settlement is bought by the Government and is leased to those who wish to occupy it at a fixed annual rental of from $10 to $36 per mou, according to class, and an annual tax of $2 per mou (one-sixth of an acre). The lease runs for thirty years only, and at renewal the rental may be increased, if circumstances warrant. If rent and taxes remain unpaid for a year, the lease is canceled. At the expiration of sixty years, if the Government so desires, it may take over the property at a valuation to be determined by arbitrators. Within three years from the date of the lease buildings must be erected on the ground, or the lease will be canceled, and no sums already paid for rent and taxes will be refunded. By comparing these regulations with those of Soochow and Hangchow, it will be seen that a great advance has been made in ten years in the matter of restricting the privileges enjoyed by foreigners in the settlements.
Mukden and Antung in Manchuria were opened to foreign residence and trade by our treaty of 1903. By the provisions of that treaty the sites for the foreign settlements at these places and the regulations for their government are to be determined by the Governments of the United States and of China after consulting together. Recent Chinese newspapers, however, publish a set of regulations for the said settlements, which, it is said, the Tartar general and the Viceroy Yuan Shih-k’ai have proposed for the approval of the imperial authorities. These regulations place the settlements at the two cities named on the same footing as that at Tsinan in Shantung. Indeed the regulations are even less liberal than those in force at Tientsin; the leases are fixed at from $15 to $50 per mou per annum, according to the location of the ground. It is but fair to say, however, that the Chinese authorities deny that such regulations have been drawn up. It is probable that the matter has been under discussion, but such regulations must of necessity be submitted to the Government of the United States for its approval before they can be put into operation.
This brief review if the history of foreign settlements in China shows a growing determination on the part of the Chinese to construe the treaties as strictly as possible, and to reduce the privileges heretofore enjoyed by foreign residents so far as can be done without a violation of these treaties. The newly awakened feeling of national unity, and the efforts being made to repurchase concessions made to foreign syndicates and develop the resources of the Empire with Chinese capital under Chinese control, are parts of the same general movement.
Chargé Coolidge to the Prince of Ch’ing.
Your Imperial Highness: My attention has been directed to a report by the board of finance of the Throne, recommending that the request for an appropriation from the imperial treasury for the expenses of opening the ports of Mukden, Antung, and Tatungkou be not granted, but that the authorities of the province be authorized to raise the needed funds themselves, and repay them from the future receipts of the customs. In this report, the memorial of the viceroy, Yuan Shih-k’ai, and others, preferring the above-mentioned request, is quoted as saying:
“In the matter of opening to international trade of the three places in Feng-t’ien, Mukden, Antung, Tatungkou, now being dealt with, the precedent established in other places opened by China herself is to be followed in all things; [Page 294] that is to say, the officials must purchase the land within the limits set apart for the foreign settlements which shall become government property, and shall mark the boundaries of the settlements, after which the merchants of various nations may lease lands as they may need, build thereon and establish their places of business. At Antung and Tatungkou, which are seaports, it will be necessary to construct anchorage and wharves, and within the settlements at all three places it will be necessary to establish police and make provision for sanitation, build roads and public buildings, the expense of which must be borne by our own Government in order that its sovereignty may be maintained.”
The report further says, that if the imperial sanction be given, orders will be given to the authorities concerned to report to the board of foreign affairs and the customs authorities the regulations to be proposed, that they may approve of them. The imperial rescript approves the report.
With regard to this matter, I have the honor to remind your imperial highness that Mukden and Antung have been opened to foreign residence and international trade by treaty with the United States, and that the selection of suitable localities for international use and occupation, and the regulations for these places must be agreed upon by the Governments of the United States and China after consultation together.
On the 28th of April last Mr. Rockhill addressed a note to your imperial highness in which he called attention to the provisions of the treaty in respect to this matter, and intimated the willingness of the American Government to delegate some one at as early a date as might be convenient to consult with a representative of China for the purpose stated. Negotiations regarding the matter were opened between Mr. Sammons, American consul-general at New-chwang, and the Taot’ai Liang, and on the 13th of July Mr. Rockhill called at the foreign office and had an interview with the ministers of your highness’ board, in which it was agreed that, owing to the peculiar conditions prevailing in Manchuria at that time, the question of sites for settlements and the adoption of regulations for the government of the same should be left for the time being unsettled, to be adjusted later, when the circumstances should so improve as to admit of a satisfactory solution. It was expressly stipulated, however, that this arrangement was to be without prejudice to American treaty rights.
I have the honor to inform your imperial highness that the United States is ready now, as then, to appoint a representative to join with a representative of the Chinese Government in determining sites for the proposed settlements and in drawing up regulations for their government.
I avail, etc.,
Chargé d’ Affaires of the United States.
To His Imperial Highness,
President of the Board of Foreign Affairs,
etc.
Chargé Moore to the Prince of Ch’ing.
Your Imperial Highness: It is reported that their Excellencies the Viceroy Yuan Shih-k’ai and the Tartar General Chao Erh-hsun have memorialized the Throne to draw up the following regulations in reference to the opening of Mukden and Antung to international commerce:
1. As the opening of Mukden and Antung was stipulated in the treaties with the United States and Japan, the which treaties provide that China shall herself open the said ports to international trade, it is necessary that the said two ports be regarded as voluntarily opened by China, and as being on a different footing from other ports opened by treaty—that is to say, all matters concerned with them must be dealt with under regulations for ports voluntarily opened for China.
2. Sites shall be selected and set apart at the two ports named for international settlements. The boundaries of said settlements shall be as follows:
- (a)
- Boundaries at Mukden.
- (b)
- Boundaries at Antung.
The districts whose boundaries are given above are to be occupied in common by Chinese and foreigners for purposes of international trade. The boundaries of said settlements must be clearly marked with boundary stones. All countries having treaty relations with China shall be permitted to station commercial officers at the said places, and the merchants of all countries shall be permitted within the boundaries specified to come and go at pleasure, to lease land and build houses and shops, and to reside and do business there under the same regulations as the Chinese. All districts outside the boundaries of the international settlements, including the city gates and all lands in the vicinity belonging to Chinese merchants, must be treated as coming under the head of inland regulations; and foreign merchants must not be allowed to lease lands, buy houses, or establish places of business in such places.
3. The imperial maritime customs must be established at once at Mukden and Antung, to be under the joint control of the superintendent of customs and the commissioner of customs. It is proposed to memorialize requesting the appointment of the intendant of posts to be superintendent of customs at Mukden, and the taot’ai of the Eastern Marches to be superintendent of customs at Antung. A municipal council for each of these settlements and police administrations shall be established by China herself, and the merchants of foreign nationalities must uniformly observe the regulations of the municipal councils and those of the police authorities just as Chinese residents of the said places are required to do. (Municipal and police regulations are to be published in addition to these.) All matters pertaining to the good health of the settlements, to street cleaning and quarantine, as well as provisions for protection against fire, and all things relating to the safety and good order of the settlements are to be dealt with by the municipal councils and police administration established by China herself.
Chinese deputies shall be appointed to hear and settle all miscellaneous cases, foreign or Chinese, such as fighting, petit larceny, and offenses against the settlement regulations; but serious cases shall be tried by the local magistrates. Foreign criminals shall be sent to the nearest consular officer of the nationality concerned to be tried.
4. All lands within the boundaries of the international settlements at the two ports named shall be purchased by the local authorities at a price to be fixed by them after consideration, and said lands shall in turn be leased by them so as to prevent the holding of lands for a rise and the practice of extortion. If any subjects clandestinely sell or purchase lands there, such sales shall be null and void.
Plans shall be drawn of the lands within the settlements, which shall be divided into three grades. First-grade land shall be leased at $50 per mou per annum; second-grade land at $30; and third-grade at $15. Leases shall run for thirty years, and at the expiration of such period the lease shall be given up in exchange for a new one, and at such time the rental shall be increased or diminished as circumstances may require, and a new period be fixed for the termination of the lease. Special regulations with respect to leasing land and building houses will be determined hereafter, and until they are promulgated, neither Chinese nor foreigners shall be permitted to compete for the lease of ground.
5. Within the boundaries of these international settlements the building of roads, the construction of drains, the building of wharves and public buildings, the establishment of jails and markets, the opening of wells, and the planting of trees shall be taken up in succession and dealt with by the Chinese authorities themselves. After the land within the settlements shall have been classified and surveyed appropriations will be made for the above-named purposes in the order of their importance.
6. The various taxes to be levied in the settlements, such as house rates, shop licenses, wharfage dues, hong taxes, carriage and boat licenses, and police dues, and fees for various kinds of permits, shall be determined by the superintendent of customs in consultation with the municipal council, and the police administration, who shall carefully consider the conditions and act accordingly, and when such rates are clue Chinese and foreign merchants shall alike comply with the regulations.
7. Within the boundaries of the settlements no one shall be permitted to erect any reed or thatched houses, nor to store gunpowder nor other combustible materials, to fire guns or revolvers without good excuse, to carry any lethal weapon, unless he be a soldier or military officer, nor shall anyone be permitted to do anything prejudiced to the good health and peace of the settlements. [Page 296] Anyone disobeying this prohibition shall be punished according to the laws of his own country. If blasting powder or other explosive be needed in carrying out any building operations, it will be necessary first to obtain a permit from the authorities, but even in such case it shall not be permitted to store such explosive for any length of time at the settlement.
8. Postal facilities and the telegraph and telephone systems shall be established by the Chinese authorities themselves for the use alike of Chinese and foreign merchants.
9. The foregoing are the general regulations. If additional regulations should be needed, they may be proposed and adopted from time to time, and the detailed rules or by-laws shall also be published hereafter.
In calling your imperial highness’s attention to this memorial, which would have the effect of violating the treaty entered into by China with the United States, I have the honor to reaffirm Mr. Coolidge’s note of the 17th instant to your imperial highness, pointing out that the selection of suitable localities for international use and occupation and the regulations governing them must be agreed upon by the Governments of the United States and China.
It is hoped that your imperial highness’s Government will shortly appoint a representative to join with the representative of the United States for the purpose of making effective the stipulations of the treaty governing the manner of selection of the proposed settlements.
I avail, etc.,
The Prince of Ch’ing to Mr. Rockhill.
Your Excellency: On the 19th of November I had the honor to receive a dispatch from Mr. Coolidge, the chargé d’affaires, with regard to the appointment of representatives to arrange the delimitation of the foreign settlements at Mukden and Dalny, and the regulations for the same.
My board at once communicated with the Tartar general at Mukden and the superintendent of trade for the north, directing them to consult together and reply. I have now received a reply from the superintendent of trade for the north, saying: “I find that Article XII of the commercial treaty between China and the United States provides that ‘the Chinese Government agrees that, upon the exchange of the ratifications of this treaty, Mukden and Antung, both in the Province of Shenking, shall be opened by China herself as ports of international residence and trade,’ and that ‘the selection of fitting localities, to be set apart for international use and occupation, and the regulations for the same shall be agreed upon by the Governments of China and the United States after consultation together.’ Since the treaty thus provides for consulting together, when the time comes for arranging the boundaries and the regulations, it will of course be necessary to consult together.”
While this correspondence was going on I received another dispatch from Mr. Moore, the chargé d’affaires, saying that he had heard that the superintendent of trade for the north and the Tartar general of Shenking had already proposed, after consultation together, certain regulations for the two ports, Mukden and Antung, and Mr. Moore requested me to direct them at once to appoint deputies to consult with the representatives of the United States, and in accordance with the provisions of the treaty, to select sites for the settlements, determine their boundaries, and together deal with all matters pertaining to them.
I have again communicated to the superintendent of trade for the north and the Tartar general of Shenking, directing them to consult together and deal with the matter.
It becomes my duty, therefore, to send this reply for your excellency’s information.
A necessary reply.
[seal of the wai-wu pu.]