I trust that it will have been possible to secure formal ratification
by the Senate before this despatch reaches the Department.
[Enclosure]
The American Minister (Reinsch) to the Chinese Acting Minister of Foreign
Affairs (Ch’en
Lu)
Peking, June 9,
1919.
No. 957
Excellency: With reference to my
despatch of March 28th, I have the honor to inform Your
Excellency that, while the United States Government is not able
at the moment to give formal ratification by treaty to the
Revised Import Tariff owing to the adjournment of Congress, the
Department of State will not be disposed of its own accord to
make objection to the prior enforcement of the new schedules
provided the other Governments concerned agree thereto. It is
understood that one month before the date of the enforcement of
the new tariff, the Chinese Maritime Customs will give public
notice that all shipments made during the ensuing month will
continue to pay duty in accordance with the old tariff.
In this connection I have the honor to bring to the notice of
Your Excellency’s Government certain Resolutions which were
passed by the Commission charged with the formulation of the new
Tariff. In the interests of the trade between the two countries
it is hoped that Your Excellency’s Government will devise
measures for giving effect to these recommendations with the
least possible delay.
The 6 Resolutions of the Tariff Commission are as follows:
1. This Commission desires to invite the attention of the Chinese
Government to the close connection existing between the question
of Tariff Revision and Transit Pass administration, arising from
the fact that any amendment of the scale of duties laid down in
the Import Tariff implies a corresponding alteration of the fees
chargeable on Inward Transit Passes.
We feel it incumbent on us to express the opinion that under the
Inward Transit Pass system as at present administered foreign
goods do not receive that full measure of protection from
additional taxation to which they are entitled by treaty, and we
would impress on the Chinese Government the urgent necessity of
removing this grievance, which is a source of constant friction
between the Chinese Government and foreign Powers.
While recognizing, moreover, that the general question of inland
taxation is beyond the terms of reference of this Commission we
desire to place on record our firm conviction that the
innumerable exactions to which Chinese and foreign goods are now
subjected,
[Page 661]
whether at
the place of production in transit, or at destination,
constitute a serious obstacle to the free development of trade,
and we would earnestly recommend to the Chinese Government the
advisability of devising measures for the total abolition of all
such forms of taxation.
2. To obtain the consent of the foreign Powers to the removal of
the following articles from the prohibited list, namely,
sulphur, saltpetre, and spelter; and to remove from the list of
prohibited articles issued from time to time by the Customs the
following articles: soda nitrate, nitric acid, hydrochloric
acid, sulphuric acid, potassium salts, phosphorus, microscopes,
surveying and drawing instruments, and iron pans, to simplify as
far as possible the procedure of obtaining special permission
from the Chinese Authorities for prohibited articles; and to
publish a list of prohibited articles prior to the enforcement
of the prohibition.
3. That in view of the inconveniences of using a factitious
currency unit in Customs transactions, it is recommended that as
soon as conditions permit the Haikwan tael shall be superseded
by the standard dollar and the Tariff schedules be corrected
into dollar values accordingly.
4. To reform the procedure of fixing duty-paying values of the
ad valorem duty goods, and in
particular to improve the Appraising Department in the principal
ports by raising the status of the Appraisers.
5. That while the Commission desire to place on record their
appreciation of the Customs returns, they would suggest to the
authorities concerned that the following improvements be made in
these returns:—
1. Yearly returns:—
(a) Fuller and more detailed
information be supplied in the annual returns of imports
and exports contained in Part III, and that a summary
classified under countries, be given of the import and
export trade done between China and the various foreign
countries.
2. Half yearly returns:
(b) That, if possible, half-yearly
returns should be published on the lines of the annual
returns.
3. Quarterly returns:
That the quarterly returns be discontinued.
4. Daily returns:
- (a)
- That identical forms be issued at all the treaty ports
where reports are already issued and that these forms be
on the lines of the present Shanghai Daily
Returns.
- (b)
- That the returns be separate in the case of exports,
for local and trans-shipment cargo.
- (c)
- That these returns be issued more promptly.
6. To alter arrangements in the present Tariff schedule.
I avail myself [etc.]
