ing words "on the long river, throughout, at every opening, English mer chant vessels may traffic."

It is also apparent from the fact that Lord Elgin speaks of his arrangements for the opening of the river in 1861 as being convenient for the whole coast trade of the river," which accordingly was left open to foreign ships by the regulations established under his instructions by Sir Harry Parkes early in that year; and, in order that no portion of the river banks should be even temporarily closed, Admiral Hope followed up the policy of Lord Elgin by a convention with the chiefs of the insurgents, providing for the security of commerce within the regions which were occupied or might afterwards be conquered by

them.

Accordingly, foreign vessels traded freely upon the banks of the river, and steamers have brought large quantities of native produce from various points direct to Shanghai, to the great advantage of both foreign and native commerce, inasmuch as the products of several districts cannot be carried to either Hankow, Kiu-kiang, or Chin-kiang, without great expense and delay.

These things being once clearly understood, your distant readers. Mr. Editor, will be able to comprehend the recent surprise and disappointment of the community of Shanghai upon the publication of regulations which declared that only three points on the river could be visited by foreign vessels, and that the loading or unloading of cargo at any other point would be punished by the confiscation of vessel and cargo.

We see that these regulations destroy the brilliant prospects which were opened to foreign commerce, by making free the entire trade of the river; we see that native commerce must suffer even more than our own; and we see that the imperial revenue must be injured pari passu with commerce. We see that all this could have been easily made manifest, even to Chinese ignorance of political economy; and that a further unanswerable argument could have been found in the fact, that by Admiral Hope's convention with the insurgents a large extent of country not in the possession of the Chinese imperial government was actually open to foreign ships. How could this government, after availing itself of foreign aid against the insurgents, undertake to expel foreign trade from the territory conquered from the insurgents? With what face could they do this, even if the liberty "to traffic at every opening on the river" had not been previously given by themselves, and even if the free trade about to be destroyed could have been prejudicial to Chinese interests? And can it be supposed for a moment that they would have insisted upon this fatal measure had pains been taken to show them that the regulations proposed were not only contrary to the treaty and unjust to foreigners, but also exceedingly injurious to their own revenue and their own people?

I cannot close, Mr. Editor, without calling attention to another very important reason for the dissatisfaction caused by these "revised regulations," which is, that by them (even if they be considered as only temporary) is lost the best of all possible opportunities for the general introduction of steam upon the Yangtsze-kiang. Had this great blessing been brought in during a period of profound tranquillity, while the great river was covered with native junks carrying on in security the commerce of this inner Chinese world, the improvement, great as it would have been, must have proved very far from an unmixed blessing. The native junk trade must have suffered for the general good of commerce, and the immediate evils arising from so great a change might have been too formidable to be suddenly met; but at this moment the insurrection has either altogether annihilated this native trade, or rendered the small remnant of it too expensive and dangerous to be worth preserving. Now, then, Mr. Editor, is the time of all times for introducing steam generally upon the river.

It may be said that steam will still be applied to all portions of the river, notwithstanding the regulations, inasmuch as nothing is easier than for the

Chinese to buy steamers and navigate them under their own flag. But if this course should be pursued, what will become of the imperial revenue and of the foreign custom-house, and how much business would be done at the three ports? Without entering into further particulars, Mr. Editor, your distant readers will now, I think, perceive that there were many cogent reasons for not adopting regulations at all similar to those recently promulgated; and they will, perhaps, be astonished when I add that this unwise measure has been taken in the face of strong protests from persons familiar with business, and to effect no good purpose that the public can divine, which might not have been more surely effected by regulations which would have been beneficial and not injurious to

commerce.

I remain your obedient servant,

SHANGHAI, December 11, 1862.

COMMERCE.

CONSULATE OF THE UNITED STATES,

Shanghai, China, November 25, 1862.

The undersigned is directed by Anson Burlingame, envoy extraordinary and minister plenipotentiary of the United States to China, to give notice that the following revised regulations opening custom-houses at Han-kow and Kiu-kiang, and under which trade is to be carried on, have been communicated to him by the Chinese government, and that they will come into operation on the first of January next, at which time they will supersede the provisional regulations of the fifth December, 1861.

By order:

GEO. FRED'K SEWARD, Consul.

REVISED REGULATIONS OF TRADE ON THE YANGTSZE-KIANG.

Article I. United States vessels are authorized to trade on the Yangtsze-kiang at three ports only, viz: Chin-kiang, Kiu-kiang, and Han-kow. Shipment or discharge of cargo at any other port on the river is prohibited, and violation of the prohibition renders ship and cargo liable to confiscation.

Native produce when exported from any of these three ports, or foreign imports not covered by exemption certificate, or native produce that has not paid coast trade duty, shall, when imported into any of these three ports, pay duty as at the treaty ports.

Art. II. United States merchant vessels trading on the river are to be divided into two classes, namely:

1st class: Sea-going vessels, that is, merchantmen trading for the voyage up the river above Chin-kiang, lorchas and sailing vessels generally.

2d class: Steamers running regularly between Shanghai and the river ports. These two classes of vessels will be dealt with according to treaty, or the rules affecting the river ports to which they may be trading.

All vessels, to whichever of the two classes they may belong, if about to proceed up the river, must first report to the customs the arms or other munitions of war they may have on board, and the numbers and quantities of these will be entered by the customs on the vessel's river pass. Permission to trade on the river will be withdrawn from any vessel detected carrying arms or munitions of war in excess of those reported to the customs, and any vessel detected trading in arms or munitions of war will be liable to confiscation.

Any vessel falling in with a revenue cruiser of the Chinese government will, if examination of them be required, produce her papers for inspection.

Art. III. Sea-going vessels, United States merchantmen, lorchas and sailing

vessels generally, if trading at Chin-kiang, will pay their duties and tonnage dues at Chin-kiang.

If a vessel of this class is proceeding further than Chin-kiang, that is, either to Kiu kiang or to Han-kow, her master must deposit her papers with the consul at Chin-kiang, and must hand in her manifest to be examined by the Chin-kiang customs; the superintendent of which, on receipt of an official application from the consul, will issue a certificate, to be called the Chin-kiang pass, to the vessel. The Chin-kiang pass will have entered upon it the number and quantities of arms, muskets, guns, swords, powder, &c., on board the vessel; also the number of her crew, her tonnage, and the flag she sails under.

The customs will be at liberty to seal her hatches and to put a customs employé on board her. On her arrival at Kiukiang, whether going up or coming down, her master must present her pass to the customs for inspection.

The duties on cargo landed or shipped at Kiu-kiang or Han-kow, must all be paid in the manner prescribed by the regulations of whichever of the two ports she may be trading at, and on her return to Chin-kiang she must surrender her Chin-kiang pass to the customs at Chin-kiang, and the customs having ascertained that her duties and dues have been all paid, and that every other condition is satisfied, the grand chop will be issued to the vessel, to enable her to obtain her papers and proceed to sea.

The customs will be at liberty to put an employé on board the vessel, to accompany her as far as Lang-shan.

Any United States vessel of this class found above Chin-kiang without a Chin-kiang pass will be confiscated. Any junk without Chinese papers will similarly be confiscated.

Art. IV. River steamers.-Any United States steamer trading regularly on the river will deposit her papers at the United States consulate at Shanghai, and the customs, on application of the United States consul, will issue a special river pass, (or steamer's pass,) that shall be valid for the term of six months. Steamers trading on the river under this pass will be enabled to load and discharge, and will pay duties according to the rule affecting river steamers.

On arriving off Chin-kiang or Kiu-kiang the steamer, whether proceeding up the river or down, will exhibit her pass to the customs.

The tonnage dues leviable on any steamer holding a river pass shall be paid alternately at Chin-kiang, Kiu-kiang, and Han-kow.

The customs are at liberty to put a tide-waiter on board a steamer at any of these ports, to accompany her up or down the stream, as the case may be.

Infringement of river port regulations will be punished by the infliction of penalties in force at the ports open by treaty; for a second offence, the steamer's river pass will also be cancelled, and she will be refused permission to trade thenceforward above Chin-kiang.

Any steamer not provided with a river pass, if her master propose proceeding above Chin-kiang, will come under the rules affecting sea-going vessels laid down in Art. III, and will be treated accordingly.

Art. V. River steamer's cargoes:

1st. Where native produce is shipped at a river port on board a steamer provided with a river pass, the shipper must pay both export and coast trade duty before he ships it. If it be for export to a foreign port, this should be stated when the produce arrives at Shanghai; and if it be exported from Shanghai within the three months allowed, the shipper will obtain from the Shanghai customs a certificate of its re-exportation; on production of which at the river port of shipment, whether Chin-kiang, Kiu-kiang, or Han-kow, the customs of that port will issue a drawback for the amount of coast trade duty paid.

2d. Where import cargo is transhipped on board a river steamer at Shanghai, it must first be cleared of all duties. The transhipment will not be authorized until the customs are satisfied that the import duties have been paid.

Art. VI. Native craft owned or chartered by United States merchants will pay duty on their cargo at the rates leviable on such cargo under the treaty tariff. All such craft will further have to be secured by bond, in the manner laid down in the provisional rules published on the 5th December, 1861, and on entry into any port will pay port duties according to Chinese tariff. If the cargoes of native craft so employed do not agree with their cargo certificate, the amount specified in their bonds will be forfeited to the Chinese government. This provision is only valid until tranquillity is restored along the river.

Art. VII. United States vessels of all classes, as well as junks owned or chartered by United States merchants, must apply to the customs at the port of departure for a cargo certificate, (tsung-tau,) which, on the vessel's or junk's arrival at the port of destination, must be handed in to the customs before mission to discharge can be given.

The above regulations are provisional, and open to revision if necessary.

per

No. 45.J

Mr. Seward to Mr. G. F. Seward.

DEPARTMENT OF STATE,

Washington, September 21, 1863. SIR: Your despatch No. 536, recommending the appointment of a consul at Chin-kiang, at a salary of $3,500, has been received.

It is not in the power of the department to make such an appointment, in the absence of an appropriation; but the subject will be brought to the attention of the appropriate committee at the beginning of the next session of Con

gress.

In the meanwhile, the department will be glad to receive from you such further information as may come to you showing the expediency of establishing a salaried consulate at that place.

The provisional regulations of trade upon the Yangtsze-kiang, which you have transmitted under the direction of the minister of the United States in China, have been read with attention.

It has been represented to the department that these regulations may have an unfavorable bearing upon American trade and commerce on this great river, inasmuch as they appear to surrender some advantages which we have heretofore enjoyed.

It is said that, after the negotiation of the treaty with China by Lord Elgin, the whole river was thrown open to trade under the auspices of British officers, who, of course, best understood the real meaning of the provisions of the treaty which had just been made. The tenth article of that treaty, according to the English version, declares that "British merchant ships shall have authority to trade upon the great river." By the Chinese text, "British merchant vessels are all allowed to carry on commerce at each port (or mouth) in the neighborhood of the long river." In a subsequent part of the same article specific provision is made for ports of entry and discharge, not exceeding three in nunber. The number of these ports is definite, but those for river trade indefinite and numerous, viz: "Every mouth in the neighborhood of the Long river." Hence, as you will perceive by reference to the correspondence upon the subject, Lord Elgin spoke of his arrangements for opening the river in 1861 as being convenient "for the whole coast trade of the river."-(See Earl of Elgin's correspondence 1857-1859.)

The obvious meaning of the article, as understood by those who negotiated

Report of the Secretary of State on commercial relations, page 355, and Senate Ex. Doc. No. 30, 36th Congress, 1st session, page 377 et seq.

the treaty, and also by Commodore Stribling, our late acting commissioner in China, is that there are only three ports of direct entry and discharge to which vessels from foreign countries may come and depart; but that the whole river, at every port or mouth in its vicinity, is open to trade and for the transportation of goods to various points on the river between the three ports of entry and discharge. If this view of the subject is the correct one, it may be well, in revising the regulations, to see that no privileges which have once been granted be curtailed or diminished. Especially is this important, when it is considered that the products of an industrious population, far exceeding that of all Great Britain, can best be transported on this river, from a very large number of central points to the three ports of entry and discharge, from any one of which foreign goods, having entered and paid duty, can thence be transshipped to the principal places on the river. Upon the introduction of steam power, the trade must increase immensely to the advantage of all concerned therein, while the imperial revenues will be greatly augmented.

In the revision of these regulations, or in the adoption of others for the conduct of trade, care should be taken not to encumber our trade, on the one hand, with unnecessary and vexatious restrictions; and, on the other, to prevent detriment to the imperial revenue.

You will please communicate a copy of this despatch to the United States minister in China, and furnish the department with any other information upon this subject of which you may be in possession.

I am, sir, your obedient servant,

G. F. SEWARD, Esq.,

U. S. Consul General, Shanghai.

WILLIAM H. SEWARD.

DEPARTMENT OF STATE,

Washington, January 3, 1863.

To the Diplomatic and Consular Officers of the United States:

You will receive herewith a copy of a proclamation which was issued by the President on the 1st day of January instant, in which he designates the States and parts of States which yet remain in insurrection against the United States, and gives effect to the proclamation which he issued on the 22d day of September last, and in which it was announced that the slaves within such States and districts would, as a measure of military necessity, on the said 1st day of January, be declared forever free. Through this great act slavery will practically be brought to an end in eight of the States of this Union, and in the greater portions of two other States. The number of slaves thus restored to freedom is about three and one-half millions.

The President entertains no doubt that this transaction will commend itself to the enlightened judgment and moral approbation of not only all Christian states, but of mankind.

I am, sir, your obedient servant,

WILLIAM H. SEWARD.