2 CHINA'S STRUGGLE FOR TARIFF AUTONOMY THE FIVE PER CENT AD VALOREM,TREATY TARIFF questioned or interfered with by the governments of the foreign derives a very large revenue from the duties paid in this city traders concerned.Definite details of the very oldest of these tariffs have long since perished but there are still to be found and haven;for you must know that on all the merchandise imported,including.precious stones and pearls,he levies a duty in the provincial annals full particulars of former tariffs,some of them centuries old,which have been,and which in some of ten per cent,or in other words takes tithe of everything."1 places in modified form were,up till recently,in use'at various By the beginning of the fourteenth century fine grade goods were parts of the country at what were known as the Native Custom paying duty on a twenty per cent ad valorem basis,and coarse Houses,establishments which it should be remembered.formed grade goods on a basis of approximately thirteen per cent of their value.Towards the close of the Ming dynasty when civil in pre-treaty days-and indeed up till 1854-the only Customs and political affairs were much in disorder,and when there was organization then functioning in China with jurisdiction over widespread lawlessness among merchants in their dealings with foreign as well as domestic trade.During the Sung dynasty, the Customs,especially as regards the declaration and the for instance,collectors of Customs were to be found at Ningpo examination of cargoes,an experiment was tried of collecting and Canton.Duty was levied at one-tenth of the value of the duty on a scale graduated according to the capacity of the goods,but if they were of a coarse quality only one-fifteenth was vessel,-a tax evidently not unlike the palmeo of Spanish colonial levied.Towards the end of the thirteenth century Custom days.In the reign of K'ang Hsi,towards the end of the Houses were in operation not only at Canton and Ningpo but seventeenth century a uniform tariff in which goods.were also at Shanghai,Hangchow,Wenchow,and Amoy.Messer classified under the four headings,clothing,food-stuffs,utensils, Marco Polo has some interesting things to recount of the Custom and miscellaneous,was put into force at the four Custom Houses Houses then functioning in the domain of the Great Khan. of Canton,Foochow,Ningpo,and Shanghai.In sharp contrast Writing of the Custom House on the bridge at Sindafu,the to modern ideas,tariff policy then was shaped to encourage modern Chengtu.he tells us that the daily dues collected there imports and-uiscourage exports,for the average rate on the were a thousand pieces of fine gold,and that every year duties former was four per cent,while on the latter it was sixteen per were levied on 200,000 vessels plying upstream on the Yangtze. cent.A heavy measurement fee,based on the capacity of the He claims that the rev-nue from salt at that time yielded yearly vessel was also charged.During the reign of the Emperor eighty tonans of gold,an amount which Cordier estimates to be Yung Cheng(雍正)，the periods in each year during which equal in value to $2,633,833.."All spicery pays three and a foreign vessels might enter and clear were specifically laid down, third per cent on the value;and all merchandise pays likewise as were also the cargoes permitted to be carried.In this reign three and a third per cent;but sea-borne goods from India and too Customs officials instituted a ten per cent levy on the treasure other distant countries pay ten per cent.The rice wine also imported by foreign merchants for the purchase of Chinese makes a great return,and coals of which there is.a great goods,-another discouragement 'to the export trade. In the quantity;and so do the twelve guilds of craftsmen that I told first year of the Emperor Ch'ien Lung (instructions were you of,with their 12,000 stations apiece;for every article they issued to the Customs Superintendents to report to the make pays duty.And the silk,which is produced in such Government for approval the names of those articles of import, abundance makes an immense return.The silk,you must know, not enumerated in the tariff,for which the superintendents had pays ten per cent,and many other articles also pay ten per cent. fixed rates on the basis of comparison with similar but And you must know that Messer Marco Polo,who relates all enumerated articles.The Book of the Hoppo,published in the this,'was several times sent by'the Great Khan to inspect the 18th year of Ch'ien.Lung (1753)contained.(a)the import tariff amount of his customs and revenue from this ninth part of promulgated in 1687,(b)a supplementary import tariff for Manzi,and he found it to be,exclusive of the salt revenue which goods not enumerated in (a)but for which rates had been fixed we have mentioned already,210 tonans of gold,equivalent to 14,700,000 saggi of gold;one of the most enormous revenues 1Cordier,H.The Book of Ser Marco Polo,the Venetian,concerning that ever was heard of."Speaking of Zayton,which was the Kingdoms and Marvels of the East:translated and edited with notes probably the modern Ch'tanchow,he remarks-"The Great Khan by Colonel Sir Henry Yule,R.B.;C.B.;K.c.s.I.:Third edition;Revised by Henri Cordier.2 Vols.;London;1903:Vol.2;pp.37;170;215-218;&235.. . 2 CHINA'S STRUGGLE FOR TARIFF. AUTONOMY questioned or interfered with by the governments of the foreign traders concerned. Definite details of the very oldest of these tariffs have long since perished but there are still to be found in the provincial annals full particulars of former tariffs, some of them centuries old, which have been, and which in some places in modified form were, up till recently, in use' at various parts of the country at what were known as the Native CustoJli Houses, establishments which it sh(}Uld be remembered formed in pre~treaty days-and indeed up till 1854~the only Customs organization then functioning in China with jurisdiction over foreign as well as domestic trade ... During the Sung dynasty, for instance, collectors of Customs were to be found at Ningpo and Canton.. Duty was levied at one-tenth of the value of the goods, but if they were of a coarse quality only one-fifteenth was levied. Towards the end· of the thirteenth century Custom Houses were in, operation not only at Canton,.and Ningpo .but also at Shanghai, Hangchow, WenchoW', and Amoy. Messer' Marco Polo has some interesting things to recount of the. Custom Houses then functioning in the domain of ,the Great Khan. Writing of the Custom House on the bridge at Sindafu, the . modern Chengtu, he tells us that the. daily dues collected there were a thousand pieces of fine gold. and that every year duties were levied on 200,000 vessels plying upstream on the Yangtze. , He claims that the re\· nue from salt at that time y.ielded yelJ,r1y eighty tonansof gold, ,an amount Which Cordier estimates to be equal in value to £2,633,333.. "All spicery pays three and a third per cent 'on the value; and all· merchandise pays iikewise three and a third per cent; but sea-borne' goods 'from India and other distant countries pay ten per cent. The rice wine also makes a great return, ahd coals of which there is. a great quantity; and so do the twelve guilds of craftsmen that I told you of, with their 12,000 stations apiece; for every article they make pays duty. And the silk, which is produced' in such abundance makes an immense return. The silk, you must know, pays, ten per cent, and many other articles also pay ten per cent. And yoU: must know that Messer Marco Polo, Who relates aU this, 'Was' several times sent by' the Great Khan to inspect the . amount of his customs and revenue' from this ninth part. of . Manzi, and he found it to be, exclusive of the salt revenue which we have mentioned already, 210 tonans of gold, equivalent' to 14,700,000 saggi of gold; one of the most enormous 'revenues that ever was heard of." Speaking of Zayton, which Was probably the modern Ch'iianchow, he remarks~"'rhe Great. Khan THE FIVE PER CENT AD VALOREM,TREATY TARIFF 3 derives a very large revenue from .the duties paid in this city and· haven;. for you must'· know that on all the merchandise imported, including: precious stones and pearIs; he levies a duty of ten percent, or in other words takes tithe ot' everything."l By the beginning of the·fou:r:teenth.century fine grade goods were paying duty on' a twenty per cent a4 valorem basis, and coarse grade goods on a basis of approximately thit~een per cent of their ·value. Towards the close of the Ming dynasty when civil and political :affairs were much in disorde~, and when there was widespread lawlessness among merchants in their dealings with the Customs, especially as regards' the declaration and the examination of cargoes, an. experiment was tried. of collecting dU:ty on a scale graduated. according to the capacity of the vessel,""':-a taX evidently not unlike the palmeo of Spanish colonial days. In the reign ofK'ang Hai, towards the end of the seventeenth century a uniform tariff in which goods. were classified under the . four headings, clothing, food-stuffs, utens.ils, 'and miscellaneous, was put into force at the four Custom Houses . of Canton, Foochow, Nin8'po, and Shanghai.. In sharp contrast to modern ideas, tariff policy then was shaped toericourage irriportsand"iiiscourage exports; for the average rate on the , former' was four percent, while on the latter ,it wll-s sixteen per cent. A heavy. measurement fee, based on the capacity of the, vessel was also charged; During the reign of the Emperor Yung 'Cheng OJ .IE), the periods in each year during which foreign vessels might enter and clear were specifically laid down, as were also the cargoes permitted to be carried. In this reign too Customs officials instituted a ten per cent levy on the treasure imported by' foreign merchants for the purchase of Chines.e . goods,-another discouragement ·to th~ export trade. In. the ,first-year of the Emperor Ch'ien Lung (~ ~) instructions were 'issued to the Customs' Sup~rintendents to report to the Government for apptoval the names of those articles of import, not enumerated in the tariff, for which the superintendents had fixed rates on the basis <if!!omparison with similar but enumerated articles: The Book of the Hoppo, published in the . 18th year of. Ch'ien', Lung (1753) contained. (a).the import t~riff prom~Igatedin 1687, (b) a supplementary import tariff for goods not enumerated in (a) but for which rates had been fixed '. 1 Cordie~, H, The Book of Ser Marco Polo, the. Venet~an, co,!werning the Kingdoms and Marvels of the East: translate~ and ~~lted Wit!, notes by Colonel Sir Henry Yule, R.E.; C.B.; K.C.S,I.: T.hIrd edItIon; ReVIsed ~y .Henri Cordier. 2 Vols.; London; 1903: Vol. 2; pp. 37; 170; 215-218; & 235