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 THE FAR EASTERN QUESTION
 
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 THE 
 
 FAR EASTERN QUESTION 
 
 BY 
 
 VALENTINE CHIROL 
 
 ILoutiou 
 AIACMILLAX AND CO., Ltd. 
 
 NEW YORK : MACMILLAN & CO. 
 1896 
 The Ri^Iit of Translation and Reproduction is Reserrni
 
 KiCHARD Cl.AV AND SoNS, LlMIiED. 
 LONDON AND liVNGAV,
 
 PREFACE 
 
 Dear Mr. Walter, 
 
 I am indebted to you both for the opportunity of 
 studying the Far Eastern question on the spot at a 
 moment of exceptional interest, and for permission 
 to make the fullest use of the letters which I have 
 lately written on the subject for the Times, It is 
 therefore only a debt of sincere gratitude which I 
 am attempting very inadequately to discharge in 
 asking you to accept the dedication of this small 
 volume. I can put forward no other plea to recom- 
 mend it than an earnest desire to draw public 
 attention to a question which, for good or for evil, 
 must eventually affect the most vital interests of the 
 British Empire — commercial, industrial, and political. 
 The war between China and Japan has inaugurated 
 a new drama in the worlds history, of which only 
 the first act has so far been played. The scene is
 
 vi 1M<EFACE 
 
 laid at present on the other side of the globe, but 
 the action in its further development and ultimate 
 consequences may reach into the home of every 
 working man in this country. 
 
 Yours sincerely, 
 
 Valentine Chirol. 
 
 To Arthur Walter, Esq.
 
 CONTENTS 
 
 CHAPTER I 
 
 PAGE 
 
 ENGLAND'S POSITION BEIORE AND AFTER THE WAR r 
 
 CHAPTER II 
 
 CHINA AFTER THE WAR 9 
 
 CHAPTER III 
 
 THE MORAL BANKRUPTCY OF CHINA 20 
 
 CHAPTER I\' 
 
 THE CHINESE CAPITAL , 34 
 
 CHAPTER \' 
 
 EUROPEAN DIPLOMACY AND THE TSUNGLI-YAMEN 45 
 
 CHAPTER \T 
 
 THE FOREIGN POWERS AT PEKING (>2 
 
 CHAPTER \'!I 
 
 THE GENESIS OF MISSIONARY OUTRAGES IN CHINA jS
 
 viii CONTEXTS 
 
 CHAPTER \TII 
 
 TAGE 
 
 THE FIXAXCIAI. POSITION OF CHINA 94 
 
 CHAPTER IX 
 
 FROM CHINA TO JAPAN Io8 
 
 CHAPTER X 
 
 AN(;i.O-JAPANESE RELATIONS 124 
 
 CHAPTER XI 
 
 INDUSTRIAL JAPAN 1 38 
 
 CHAPTER XII 
 
 THE COMMERCIAL AND INDUSTRIAL INTERESTS OF GREAT 
 
 KRITAIN 154 
 
 CHAPTER XIII 
 
 THE INDUSTRIAL FUTURE OF CHINA 167 
 
 CHAPTER XIV 
 
 WANTED: AN IMPERIAL POLICY 179
 
 LIST OF ILLUSTRATIONS 
 
 FULL-PAGE ILLUSTRATIONS 
 
 TO FACK PACE 
 
 A CITY GATE, PEKING Frontispiece. 
 
 INSIDE PEKING, FROM THE WALLS JJ 
 
 PRISONERS IN CANGUES, PEKING 38 
 
 THE FRONT OF A FASHIONABLE SWEETMEAT SHOP IN PF.KLXC 40 
 
 BRITISH MARINES DETACHED TO GUARD H.M. LEGATION AT 
 
 PEKING DRILLING INSIDE THE COMPOUND 42 
 
 CHINESE GUARDS OUTSIDE H.M. LEiJATION AT PEKINCi ... 44 
 
 A CHINESE COURT OF JUSTICE 90 
 
 ILLUSTRATIONS IN THE TEXT 
 
 I'AOE 
 
 ON THE PEI-HO, GOING UP TO PEKING 36 
 
 A STATION MASTER ON CHINA'S ONLY RAILW.VY lOI 
 
 A CHINESE BRAYE MI 
 
 MAPS 
 
 MAP OF CHINA ^ 
 
 ,- End of I 'olmnc 
 MAP OF JAPAN j
 
 THE FAR EASTERN QUESTION
 
 THE FAR EASTERN QUESTION 
 
 CHAPTER I 
 
 England's position before and after the war 
 
 One of the last public speeches delivered on a 
 non-political occasion by the late Prime Minister 
 before the Government over which he presided 
 resigned office contained the following memorable 
 passage : — 
 
 We have hitherto been favoured with one Eastern question, 
 which we have always endeavoured to lull as something too 
 portentous for our imagination, but of late a Far Eastern question 
 has been superadded, which, I confess, to my apprehension is, 
 in the dim vistas of futurity, infinitely graver than even that 
 question of which we have hitherto known. 
 
 The only point open to criticism in Lord Rose- 
 bery's otherwise statesmanlike utterance, is that it 
 seemed to relegate to a remote future the necessity 
 of grappling with a crisis in the Far East which was 
 already at that moment big with momentous con- 
 sequences to the political and commercial interests 
 of the British Empire. The relief which the Prime 
 
 B
 
 2 THE FAR EASTERN QUESTION chap. 
 
 Minister naturally felt at the termination of actual 
 hostilities between China and Japan can, however, 
 have only temporarily obscured his vision of the 
 ominous circumstances which attended the ultimate 
 re-establishment of peace. Even before he sur- 
 rendered office events had occurred at Peking which 
 must have convinced him that the final ratification of 
 the Treaty of Shimonoseki merely set forth some of 
 the terms of a new and vastly more difficult problem, 
 which, if it is to be solved without detriment to the 
 legitimate influence of Great Britain, calls for the 
 immediate exertion of the best efforts of British 
 statesmanship and diplomacy. 
 
 Until little more than a twelvemonth slq-q Great 
 Britain had enjoyed for upwards of fifty years — i.e., 
 ever since she first broke down by force of arms the 
 great barrier of Chinese exclusiveness — an almost 
 undisputed ascendency in the Far East. Her 
 prestige as a great Asiatic Empire, the splendid 
 strategical positions which she holds at Singapore 
 and Hong-kong, the steady maintenance of a com- 
 manding naval force in the China seas, the over- 
 whelming preponderancy of her trading flag, the 
 magnitude of her commercial interests, of which an 
 import and export trade of some forty millions ster- 
 ling per annum conveys only a partial idea, the un- 
 rivalled prosperity of her settlements in the treaty 
 ports of China and Japan, the widespread diffusion 
 of her language as the lingua franca of the East — 
 all combined to secure for her a paramount influence
 
 I ENGLAND'S POSITION 3 
 
 in those regions, which was almost openly recog- 
 nised by the two leading Powers of the extreme 
 Orient and tacitly admitted even by the great 
 Powers of Europe. 
 
 Within the following twelve months the situation 
 was completely changed, China and Japan had 
 been allowed to embark, in spite of the urgent 
 counsels of Great Britain, upon a sanguinary and 
 needless conflict, and the theory of China's latent 
 resources as a fighting Power, upon which our 
 Asiatic policy for some time past had been largely 
 built up, was violently shattered. Japan, on the 
 other hand, whose national evolution had been only 
 very imperfectly realised in England, triumphantly 
 asserted her claim to take a respectable rank 
 amongst the naval and military Powers of the world. 
 The overtures made by England with a view to 
 arrest the progress of hostilities during the earlier 
 stages of the war were rejected by the European 
 Powers whose co-operation she invited, whilst the 
 naval forces which they gradually collected in the 
 Yellow Sea displaced for the first time, to our detri- 
 ment, the balance of sea power in waters where we 
 had hitherto held undisputed sway ; and when the 
 two belligerents at last settled conditions of peace 
 which, if they did not actually injure, at least very 
 closely affected both the commercial and political 
 interests of England, she stood aside apparently un- 
 concerned whilst Russia, France, and Germany 
 stepped into the place which she had vacated as 
 
 B 2
 
 4 THE FAR EASTERN QUESTION chap. 
 
 arbiter gentium in the Far East. China, perhaps 
 for the very reason that she had clone but httle to 
 deserve it, had learnt to rely implicitly upon British 
 support, and when it failed her, at the crucial 
 moment, she resented with intensified bitterness 
 what she was pleased to call England's desertion of 
 her in her hour of need, and hastened to display, 
 chiefly at our expense, an unwonted measure of 
 gratitude for the assistance which she had un- 
 expectedly received from other quarters. In open 
 violation of a convention with England barely 
 twelve months old, she surrendered to French 
 pressure territories which we had ceded to her on the 
 express condition that they should not be transferred 
 to any other Power without our consent ; and to 
 Russia she, at least temporarily, signed away her 
 financial independence upon terms of which the full 
 import can at present only be measured by the 
 dictatorial tone in which their acceptance was en- 
 forced. It is doubtful whether even the heavy price 
 already exacted by France and Russia, at least for 
 the good offices of the Asiatic Triple Alliance, will 
 avail to teach China the value of the less grasping 
 friendship upon which she has turned her back. 
 For the time being, at any rate, such advantages 
 as can be derived from a dominant position in 
 Peking, are lost to us and transferred to political 
 and commercial rivals who have already given us 
 a taste of the spirit in which they intend to exercise 
 their ascendency over the decrepit Government of
 
 I ENGLAND'S POSITION 5 
 
 China. For, if the Japanese victories have failed 
 to rouse China out of her lethargy, they have 
 exposed the full measure of her weakness, and left 
 her lying in the last extremity. A resolute hand 
 might still, perhaps, galvanize her into fresh vitality. 
 Otherwise her inheritance lies open, and the inex- 
 haustible resources in the shape of raw material and 
 labour with which nature has equipped her to be- 
 come the great industrial country of the Orient, if 
 not of the whole world, are at the mercy of the 
 strongest and the boldest. 
 
 It is useless now to waste words upon what might 
 have been if the British Government, better in- 
 formed by its technical advisers as to the real 
 value of China's naval and military armaments, 
 had exerted to the utmost the commanding influence 
 which it at that time still undoubtedly possessed at 
 Peking in order to save China, in spite of herself, 
 from the hazard of an unequal struggle. It is now 
 generally admitted that Japan was by no means so 
 anxious to precipitate a conflict as was at the time 
 assumed, and an emphatic admonition at Peking 
 that China, instead of being allowed to build upon 
 our benevolent neutrality, would, as far as we were 
 concerned, be left severely alone to bear the full 
 consequences of her own rashness would not im- 
 probably have induced her to make some conces- 
 sions in the sense of a condominmm in Korea which 
 Japan might have accepted as an adequate satis- 
 faction. Even at a later date England might have
 
 6 THE FAR EASTERN QUESTION chap. 
 
 at little risk taken upon herself, for the re-establish- 
 ment of peace, the responsibility of isolated action, 
 instead of vainly seeking to induce other Powers to 
 share it with her. There is good reason to believe 
 that in neither case would the rest of Europe at 
 any rate have seriously disputed her right to exer- 
 cise, in the common interests of all, an initiative 
 which had hitherto, by general consent, belonged 
 to her, if only in virtue of her transcendent com- 
 mercial interests. 
 
 A more open question is whether her Majesty's 
 Government was ill-advised in refusing to join 
 hands with Russia, France, and Germany when 
 they announced their determination to wrest from 
 Japan a portion of the spoils of victory. On 
 this point the late Government certainly seems 
 at least entitled to the benefit of the doubt. The 
 advantages of intervention from the Russian 
 point of view were obvious, and, in view of the 
 peculiar relations existing between Russia and 
 France, the latter could on general grounds 
 hardly withhold her co-operation, apart from the 
 special uses to which she has skilfully turned the 
 situation for her own account. Germany's action 
 is more difficult to explain, except upon the 
 assumption that she was mainly anxious to 
 illustrate, at the expense of the Franco-Russian 
 entente, the old adage that two is company 
 and three is none. But, if so, the illustration 
 has hardly turned out as she anticipated ; for
 
 I ENGLAND'S POSITION 7 
 
 she has had but cold thanks and scant con- 
 sideration from her two associates, and she has 
 neither disturbed the harmony nor shared the 
 fruits of their partnership. England would prob- 
 ably not have fared better in this respect had 
 she followed in the wake of the three Powers, 
 and she would have gratuitously alienated the 
 friendship of Japan at the very moment when its 
 value was for the first time beginning to receive 
 adequate recognition. Though the advice which 
 we had to give Japan was not particularly 
 palatable, since we could not assume the responsi- 
 bility of encouraging her to reject the demands 
 of the three Powers, our friendly attitude not 
 only made it easier for her to submit to the 
 inevitable without loss of dignity, but it helped 
 also to remove a great deal of the widespread 
 irritation to which the spitefulness of certain organs 
 of the local English Press, and the peculiar con- 
 struction alleged to have been placed by the British 
 Admiral on the duties of a neutral fleet during the 
 early part of the war, had given rise amongst 
 so sensitive and excitable a people as the Japanese. 
 Moreover, our abortive attempts to arrest the 
 progress of hostilities had been construed in Japan 
 as indicating a desire to deprive her of the fruits of 
 her military successes, and our subsequent refusal to 
 interfere with the conditions of peace agreed upon 
 by the two belligerents afforded a signal proof of 
 the sincerity of our professions that the re-esta-
 
 8 THE FAR EASTERN QUESTION CHAP. I 
 
 blishment of peace on fair and equitable terms 
 had been the sole object of our perhaps ill-timed, 
 and certainly ill-fated, endeavours. Thus the path 
 already tentatively opened up before the war by our 
 generous treatment of the question of Treaty 
 revision in Japan has been finally cleared for the 
 better appreciation on both sides of the community 
 of interests which exist between the island empires 
 of the West and of the East. If this is the only 
 point upon which one may cordially congratulate 
 Lord Rosebery's Government, it is certainly one of 
 no mean importance. Nor would it be fair to hold 
 the late Government responsible for all the entries 
 which have to be made in the debit side of this 
 balance sheet. For whatever mistakes it may have 
 committed, they were largely the result of the mis- 
 calculations inherited from previous administrations 
 for a long time back. 
 
 But the consideration of past opportunities, neg- 
 lected or not, is apt to raise party controversies, 
 which mainly serve to obscure the paramount issue 
 — namely how, under the conditions actually exist- 
 ing in the Far East, British interests can best be 
 safeguarded in the future.
 
 CHAPTER II 
 
 CHINA AFTER THE WAR 
 
 When I called upon Li Hung Chang at Tientsin on 
 my way back from Peking his first question was why 
 I had remained so much longer than I had originally 
 intended in the Chinese capital. I replied that I had 
 been looking for some sign of the awakening of 
 China. " I hope," rejoined the Viceroy with a 
 grim smile, " that your time has not been wasted." 
 In one sense certainly, as I assured his Excellency, 
 my time had not been wasted, for I had at least 
 satisfied myself that the search upon which I had 
 been engaged was a futile one. Nowhere in Peking 
 could the faintest indication be detected of a desire 
 to apply, or even of a capacity to understand, the 
 lessons of the recent war. 
 
 A more hopeless spectacle of fatuous imbecility, 
 made up in equal parts of arrogance and helplessness, 
 than the central Government of the Chinese Empire 
 presented after the actual pressure of war had been re- 
 moved it is almost impossible to conceive. Its position 
 was indeed an unenviable one. The conflict of Euro-
 
 lo THE FAR EASTERN QUESTION chap. 
 
 pean interests was waxing fast and furious within its 
 gates. The new friends whose intervention had 
 unexpectedly mitigated at the eleventh hour the 
 penalty exacted by the conquerors were clamouring 
 for payment of their good offices. The remaining 
 provisions of the Treaty of Shimonoseki had still to 
 be carried out and Formosa formally handed over 
 to Japan, whilst the secret hope could not be re- 
 linquished that something might still be made out 
 of the forces of local resistance by inciting them 
 against Japan. Futile attempts had to be made to 
 postpone for a few months or weeks or days so 
 humiliating an ordeal for the Son of Heaven as that 
 of welcoming back to Peking the official representa- 
 tive of the victorious Mikado. The armed rabble, 
 ill-paid and half-starved, which had been gradually 
 driven together from distant parts of the Empire to 
 be a terror, not, indeed, to the Japanese, but to the 
 peaceful population of the frontier provinces, had to 
 be disbanded and bribed with some small pittance of 
 their arrears to go home in a good humour. The 
 powerful satraps on whose fluctuating loyalty depends 
 the slender authority of the central Government 
 over the provinces had to be alternately coaxed and 
 squeezed, whilst the loans which they had raised and 
 the bills which they had drawn during the war under 
 the splendid pretext of national defence had to be 
 met, renewed, or whittled down. The pressure 
 which had been exercised for obvious reasons durinof 
 the war to discourage any serious outbreak of anti-
 
 II CHINA AFTER THE WAR ii 
 
 foreicjn feeline had to be relaxed in order to refute 
 the damaging imputation of too great subserviency 
 to European influence, and at the same time these 
 manifestations of national independence had still to 
 be kept within bounds, lest the long-suffering patience 
 of Europe should be put to too great a strain. In 
 and above all things the central Government had to 
 " save its face" — z'.^., to maintain those immutable 
 forms and appearances which, in the private as well 
 as in the public life of the Chinese, have nothing to 
 do with realities, but entirely overshadow them. 
 
 " Make see," as in his pidgin-English jargon the 
 Chinaman designates the art of making what is not 
 seem as if it were, is the beginning and the end of 
 Chinese statecraft. It stares at one from the mock 
 battlements of the Peking walls, where wooden 
 boards painted to look like the muzzles of heavy 
 ordnance fill the frowning embrasures, and with the 
 Vermilion Pencil it is written quite as legibly on 
 every edict initialled by the Emperor. Europe, it 
 must be admitted, had contributed certain features to 
 the situation which materially helped the central 
 Government to go on playing successfully its vener- 
 able game of " m^ke see." In the provinces at 
 least, if not in Peking, a construction could be 
 placed upon the intervention of the three Powers 
 which was eminently soothing to Chinese vanity. 
 The Japanese dwarfs had indeed been troublesomely 
 aggressive, but the Son of Heaven had only had to 
 raise his fino^er and beckon to the western vassals of
 
 12 THE FAR EASTERN QUESTION chap. 
 
 the Middle Kingdom and they had at once obeyed 
 his summons and swept the pigmies out of the 
 lorbidden territories. And who was likely to con- 
 tradict such a story ? Were not the Hunan troops, 
 who arrived at the seat of war after the conclusion 
 of the armistice, returning home convinced that the 
 mere rumour of their approach had driven the 
 Japanese to seek safety in flight before their invincible 
 legions ? Could not every coolie who had saved his 
 skin during- the war by stampeding at the first 
 sound of a Japanese bullet be trusted to save also 
 his own " face " at home by impressing his village 
 audience with a splendid story of imaginary victories 
 qzwrzLui pars magna fuit ? As for the dead they 
 tell no tales, and in a country where floods and 
 famines causing often greater loss of life than the 
 whole war against Japan are looked upon as a 
 Providential dispensation to keep down the numbers 
 of an all-too-prolific race, the "butcher's bill" is of 
 small account. It may be argued that, failing any 
 other evidence of the reality of their defeats, the 
 Chinese must at least credit the confessions of 
 disaster contained in public proclamations from the 
 Throne. But It Is doubtful whether these proclama- 
 tions ever filter down amongst the masses, and the 
 terms of exaggerated self-depreciation which even 
 the highest of the land are bound according to the 
 rules of propriety to use with reference to themselves 
 and to their own acts are seldom taken by their 
 cautious inferiors in any other than a Pickwickian
 
 II CHINA AFTER THE WAR 13 
 
 sense. Moreover, owing to what one ot the ablest 
 students of Chinese character has appropriately 
 designated as its " intellectual turbidity," a China- 
 man has no difficulty in entertaining at the same 
 time two entirely opposite and irreconcilable 
 opinions. 
 
 Another circumstance which has largely con- 
 tributed to restore the self-complacency even 
 of officials best acquainted with the true state 
 of affairs has been the eagerness shown by 
 European capitalists and Governments to press 
 their financial favours upon China. As one of them 
 remarked to me, " You tell us that we are at 
 death's door, and that nothing can save us but 
 drastic reforms ; yet, reforms or no reforms, you 
 are willing, nay anxious, to trust us with your 
 millions." That a loan to a dying man may, in 
 given circumstances, be a specially lucrative 
 operation, or that the main point in such 
 matters is the soundness, not of the borrower's 
 health, but of the security he has to offer, was a 
 consideration which did not commend itself to 
 the Chinese mind. If Europe is so eager to lend 
 her money to China, China cannot have " lost 
 face " even with Europe, much less with her own 
 people. Even if the Chinaman allows that the 
 Chinese army and navy were hopelessly beaten, 
 what of that ? Have not other nations suffered 
 terrible reverses in the field and survived them ? 
 And why w^ere the Chinese beaten ? The Im-
 
 14 THE FAR EASTERN QUESTION chap. 
 
 perial edict says because a great sea-wave de- 
 stroyed the fortified positions of the Chinese all 
 along the coast. A learned general has written 
 a treatise to prove that China's reverses were 
 due to her desertion of the sound principles and 
 methods of war handed down by the ancients, 
 and to her ill-advised adoption of European 
 armaments. Accordingly, the hammer and anvil 
 were busy all over the Empire turning out an 
 endless supply of jinghals, a mediaeval sort of 
 matchlock, and the militant youth of Peking 
 could be seen practising every afternoon with 
 the bow and arrow under the city walls — an art, 
 by the way, of which the supreme object according 
 to Chinese notions is not so much apparently to hit 
 the target as to preserve a correct and elegant 
 posture whilst bending the bow. The corruption 
 and incompetency of certain high officials have, 
 indeed, been openly admitted and censured, and 
 in some cases even punished. But there is not 
 a single Chinese official who will openly admit that 
 the corruption and incompetency, and the disasters 
 which they have involved, are the result, and the 
 inevitable result, of a system of government 
 rotten to the core. 
 
 Nor can such an admission be expected from 
 the official classes, for their existence is bound up 
 with that of the system upon which they thrive, 
 and no scheme of reforms capable of regenerating 
 China can be devised which will not cut at the
 
 II CHINA AFTER THE WAR 15 
 
 very roots of that system, and therefore threaten 
 their existence. But, if the official classes are not 
 likely to acquiesce in any practical recognition of 
 the principle that rights imply also duties, the 
 non-official classes seem, it must be confessed, 
 just as incapable of realising that they have rights 
 as well as duties. Docile to a degree seldom 
 paralleled even in other Oriental countries, they 
 accept the misgovernment of China as the natural 
 order of things. The masses are, of course, 
 profoundly ignorant of the existence of other con- 
 ditions elsewhere ; but the only difference to be 
 traced amongst those who have had a wider ex- 
 perience is that they look upon the misgovernment 
 of their country as a special and unfortunate, but 
 none the less immutable, dispensation of Providence. 
 A Chinese merchant who had lived for many years 
 in India admitted to me that China was in this 
 respect an ill-favoured country, " Plenty mandarins, 
 plenty lice ! " but he evidently regarded both 
 species of vermin as part of the scheme of creation 
 to which a Chinaman must patiently submit. The 
 singular indifference and aloofness with which the 
 non-official Chinaman contemplates the action of his 
 rulers, so long as it does not directly, immediately, 
 and tangibly affect his pecuniary interests or his 
 most cherished customs, is almost incomprehensible 
 to the Western mind. Within certain limits he 
 knows how to take care of himself and to check by 
 combination abuses which exceed the normal amount.
 
 i6 THE FAR EASTERN QUESTION chap. 
 
 But the conduct of public affairs in their broader 
 aspects he regards as something with which he can- 
 not possibly have any concern. It is the business 
 of the mandarins, and if they mismanage it that is 
 their look-out, not his. They may have mis- 
 managed the war with Japan, and they probably 
 have, for he has a shrewd idea of the worthless- 
 ness of his rulers. If so, they ought to be 
 punished for their wrong-doing, as all wrong-doers, 
 at any rate all those who are found out, ought 
 to be punished ; but that their wrong-doing affects 
 him — that he, the merchant, the artisan, the farmer, 
 will have ultimately to bear the cost of that wrong- 
 doing, he simply does not see. He himself is 
 honest, according to his lights, industrious, per- 
 severing, and, within certain limits, intelligent and 
 enterprising, and upon his own pursuits he brings 
 those qualities to bear with signal success. But 
 that his rulers should be expected to bring the 
 same qualities to bear upon the conduct of public 
 affairs, or that he has a right to demand it of them 
 because the public affairs are also his affairs, 
 is an idea which never enters his head. He 
 manages his shop or his farm, the mandarin 
 manages his Yamen, each one as best he can for 
 himself. It has always been so in China, and that 
 is with the Chinaman a sufficient explanation and 
 justification for anything. His intense conservatism 
 and pride rebel against the notion of any change, 
 even for the better.
 
 II CHINA AFTER THE WAR 17 
 
 That a community of interests and reciprocity 
 of duties must exist between the different classes 
 of a well-ordered society is an idea entirely alien 
 to the Chinese mind. In fact, the language is 
 incapable of conveying a conception of the State 
 as representing the res ptiblica. When France 
 became a republic the Chinese litei'ati were un- 
 able to translate the word, and they had to adopt 
 a mere phonetic transliteration. As in the family 
 relations the duty of filial piety is impressed by the 
 parents upon the children without any corresponding 
 recognition of what parents owe to their children, 
 so in the social relations ample stress is laid upon 
 the duty of submission towards rulers, but no 
 thought is taken of what rulers owe to those com- 
 mitted to their rule. Nothing could be more charac- 
 teristic in this respect than the terms of the Im- 
 perial edict announcing the conclusion of peace. 
 The Son of Heaven declares, indeed, that he has 
 spent sleepless nights shedding tears over the 
 disasters which have befallen his armies and his 
 fleets, over the incompetency and corruption of 
 their leaders, and over the great sea-wave which 
 has swept away the coast defences. But, if he has 
 decided to abandon all attempt to restore the 
 fortunes of war, it is not, apparently, that he 
 shrinks from exposing his defenceless country to 
 the horrors of invasion, or from sending forth his 
 wretched subjects to be butchered in an unequal 
 struggle. No, the paramount consideration upon 
 
 c
 
 i8 THE FAR EASTERN QUESTION chap- 
 
 which the Imperial decision is based is his duty to 
 the Dowager Empress, " the venerable lady who, if 
 hostilities were renewed and Peking threatened by 
 the Japanese, would have to seek refuge in flight 
 and be exposed once more to the hardships of a 
 long and arduous journey." And, as far as public 
 opinion may be said to exist, this touching exhibition 
 of filial piety produces doubtless the desired effect 
 and saves the Emperor's " face." In the same way 
 the bullet of a Japanese desperado went far to 
 save Li Huno^ Chang's " face " and to invest with 
 the redeeming touch of dramatic effect a part which, 
 however patriotic from a Western point of view, 
 must have otherwise involved, from the Chinese 
 point of view, an irreparable loss of credit. 
 
 Life, according to the Chinese classics, is a stage, 
 and on this stage the Chinaman must above all 
 contrive to perform his part in strict accordance 
 with the rules of histrionic art, i.e. with the 
 traditional canon of Chinese proprieties. To ask 
 that he should win battles because he happens to 
 have been cast for the part of a general, or that he 
 should be an upright judge because he discourses 
 eloquently on the abstract beauty of justice, would 
 be an offence against that same canon of proprieties 
 which his audience, the Chinese public, would never 
 dream of committing. Foreigners are always com- 
 mitting this offence, and it explains in a great 
 measure the hatred entertained, especially amongst 
 the upper classes, towards them, and most of all
 
 II CHINA AFTER THE WAR 19 
 
 towards the missionaries. Not only do these 
 barbarians refuse to accept the Chinese canon of 
 proprieties, but they actually set the scandalous 
 example of men and women trying to live up to 
 the standards which they profess ! 
 
 Thus, insincerity practised as a fine art and self- 
 interest on the one hand, apathy and fatalism on 
 the other, ignorance and pride on both, combine to 
 uphold the traditional order of things against the 
 sternest lessons of experience, and the prospect of 
 any spontaneous awakening of China is as remote 
 after the war as it was before. The distant thunder 
 of the Japanese guns may have disturbed for a 
 moment the heavy slumber of the worn-out giant, 
 but the nightmare has passed away, and after the 
 vain attempt to stretch his inert limbs, he has sunk 
 off into a deeper sleep than ever. As a Frenchman 
 wittily put it, "Avant la guerre la Chine dormait 
 sur une oreille ; aujourd'hui elle ronfle sur les deux 
 oreilles." 
 
 c 2
 
 CHAPTER III 
 
 THE MORAL BANKRUPTCY OF CHINA 
 
 There can hardly be a stronger proof of the 
 moral bankruptcy of China than her inability to 
 produce a single man at such a crisis in her 
 fortunes. 
 
 Of the powers that hold sway within the pink 
 walls of the Forbidden City little can be known. 
 The Emperor Kwang-Hsu appears to be a sickly 
 youth, with a melancholy but not unattractive 
 countenance, given to violent fits of passion, which 
 he gratifies in a relatively harmless way by smash- 
 ing his furniture. In the self-imposed seclusion of 
 his palace, within whose precincts only women and 
 eunuchs are allowed to dwell, he holds no com- 
 munication with the outside world except through 
 the high State officials, who, in the small hours of 
 the morning, approach him on bended knee to 
 present reports upon public affairs in which, it may 
 safely be assumed, the necessities of truth are 
 largely subordinated to the considerations of courtly 
 expediency. When he ^goes forth from time to
 
 CH. Ill THE MORAL BANKRUPTCY OF CHINA 21 
 
 time to sacrifice in one of the Imperial temples ot 
 the capital, the streets through which he passes are 
 carefully cleared and guarded, the houses on either 
 side are shut off with heavy hangings, the ground 
 is strewn with yellow sand, and everything removed 
 which might offend the sensitiveness of Imperial 
 eyes or nostrils. Through the deserted thorough- 
 fares the Son of Heaven flits, generally in the 
 stillness of night, like a ghost, borne in a lofty 
 palanquin by a troop of bearers who have been 
 carefully trained beforehand to carry on their 
 shoulders an enormous bowl filled with water to 
 the brim without allowing a drop to overflow. In 
 Eastern countries generally the real power of the 
 Sovereign decreases in the same ratio as grows 
 the bondage under which he lives to the daily 
 tyranny of a soul-killing Court etiquette. Only a 
 century ago the Emperor Kieng Lung moved 
 freely amongst his people, and took an active part 
 in all manly pursuits. Even in the passionate 
 rescripts of the Emperor Hsien Feng, just before 
 the Anglo-French expedition, there were still traces 
 of a virility which seems to have since withered 
 away, under the influence, perhaps, of long female 
 regencies. 
 
 Until last year, notwithstanding her nominal 
 retirement after the present Emperor's marriage in 
 1889, the Dowager Empress undoubtedly con- 
 tinued to exercise a paramount authority. That 
 she possesses energy and ability of a high order
 
 22 THE FAR EASTERN QUESTION chap. 
 
 is proved by the skill with which she grasped the 
 reins of power, in concert first with the widow of 
 the Emperor Hsien Feng after his death in 1861, 
 and the tenacity with which she has held them 
 more or less continuously ever since, boldly breast- 
 ing or cunningly circumventing every obstacle that 
 successively arose in her path. She has often been 
 compared to Catherine the Great, and in every- 
 thing but the broader aspects of statesmanship the 
 analogy is not infelicitous — most of all, however, 
 in regard to the greed of power, extravagance, and 
 sensuousness common to both. The anniversary 
 of her sixtieth birthday was to have been celebrated 
 last autumn on a scale of unusual magnificence. 
 Large sums were sent up from every province, 
 and still larger sums were levied by the provincial 
 officials as the free gift of a grateful people. A 
 splendid road, which at least gives some idea of 
 what Chinese roads were like in the days of the 
 Empire's prosperity, was built from Peking to the 
 residence of the Empress Dowager near the Sum- 
 mer Palace for the Imperial procession to pass 
 over. The city gate giving access to it was 
 restored in all the pristine glory of quaintly carved 
 and painted architecture, and every house and shop 
 along the road blossomed out into a galaxy of 
 newly-gilded signboards and many-coloured wood- 
 work. But the disasters of the war shed a gloom 
 over the outward celebration, and, it is believed, 
 for a time at least, disturbed the filial piety of
 
 Ill THE MORAL BANKRUPTCY OF CHINA 23 
 
 which it was intended to be the crowning illus- 
 tration. How far the Empress Dowager's influence 
 has been permanently shaken it is impossible to 
 say, but there were undoubtedly stormy scenes 
 within the palace of which an unmistakable echo 
 reached the outside world in the publication of a 
 memorial from one of the Censors vigorously 
 denouncing the baneful effects of " petticoat " 
 government. The very mild punishment inflicted 
 upon the author of this philippic showed the 
 sentiments expressed in it to have been viewed, 
 to say the least, with considerable leniency in the 
 highest quarters. 
 
 Of the high officials who form the central Govern- 
 ment at Peking I shall have more to say when I 
 come to deal with the Tsung-li-Yamen, or Board of 
 Foreign Affairs, and its relations with the European 
 representatives. Influential as some of them un- 
 questionably are, it is not in their ranks that the 
 two most conspicuous personages on the public 
 stage are at present to be found. The one is 
 Chang Chih Tung, now acting as Viceroy at 
 Nanking, and the other Li Hung Chang, the septu- 
 agenarian Viceroy of the home province of Chi-li. 
 Enemies to the knife, and representing two opposite 
 and conflicting tendencies, each of them possesses 
 qualities which at least lift him out of the herd of 
 sordid and crassly ignorant mandarins who form the 
 bulk of the ruling class. 
 
 Chang Chih Tung has the unique reputation of
 
 24 THE FAR EASTERN QUESTION chap. 
 
 having spent rather than acquired his fortune in 
 the pubHc service. Profoundly versed in Chinese 
 classical lore, an unrivalled mastery of language 
 brilliant and incisive has given him a reputation 
 and influence which could only be acquired in a 
 country where in the most literal sense of the word 
 it may be said that " Le style, c'est I'homme." He 
 is an ultra-conservative Chinaman and credited 
 with a fierce hatred of Europeans. But he is 
 sufficiently intelligent to appreciate some of the 
 results of Western science and industry, and he 
 would like to see China equipped with the weapons 
 of modern civilisation in order to wage war success- 
 fully against it. He it was who, perhaps, mainly 
 to overtrump one of Li Hung Chang's cards, 
 memorialised the throne in 1889 in favour of 
 constructing a great trunkline to connect Han-kau 
 with Peking, but he insisted with no less vehemence 
 that China must build her railways for herself and 
 with her own materials. His memorial was approved, 
 and at Wuchang, opposite Han-kau, whither he 
 had been transferred to carry out his scheme as 
 Governor-General of Hukwang, he set to work 
 with indomitable energy to erect immense factories 
 for the production of steel rails and railway material 
 of all sorts. Of the economic conditions necessary 
 to the success of any industrial enterprise he was 
 profoundly ignorant, nor would he listen to the few 
 European technical advisers whose services he had 
 been compelled to enlist. It has been a ruinous
 
 ,111 THE MORAL BANKRUPTCY OF CHINA 25 
 
 undertaking, but, if he has squandered upon it 
 all the public moneys he could lay hands upon, 
 he must at least be given the credit of having with 
 equal alacrity thrown his own private fortune into 
 the melting-pot. He was an ardent advocate of 
 war a oiitrance, and when peace was concluded 
 with Japan he stormed in his Yamen "like a wild 
 beast at bay." The proclamation of the Formosan 
 Republic is believed to have been partly instigated 
 by him, and he certainly had a considerable share in 
 organising and supplying the forces of local resist- 
 ance in the island. He is also suspected in some 
 quarters of having had a hand in fomenting the 
 anti-foreign riots in Szu-chuan. Be that as it may, 
 he is undoubtedly an honest fanatic, and, impractic- 
 able as he is, the sincerity of his crack-brained 
 enthusiasm and the cleanliness of his personal 
 character entitle him, perhaps, to more respect 
 than can properly be given to his better-known 
 rival. 
 
 Li Hung Chang is a man of a very different type. 
 Gifted with no mean intelligence and with a double 
 dose of Chinese cunning, he is too much of a sceptic 
 to allow prejudices or principles of any kind to stand 
 in his way. Brought more often than most of 
 his fellow-countrymen into contact with Europeans, 
 especially during his five-and-twenty years' resi- 
 dence at Tien-tsin as Viceroy of Chi-li, he has 
 rubbed up acquaintance with Western modes of 
 thought, and he has learned with some success.
 
 26 THE FAR EASTERN QUESTION chap. 
 
 the art of turning towards every European 
 whom he meets that facet of his character which is 
 most Hkely to impress his visitor. On proper 
 occasions he will shed crocodile's tears over the 
 iniquity of the opium trade, yet nowhere does the 
 cultivation of the native poppy receive more en- 
 couragement than in the province which he rules, 
 nowhere does the noxious plant thrive more 
 luxuriantly than on his own vast estates. He will 
 pen with the same unction a memorial to the throne 
 on the sacredness of Chinese traditions and a 
 preface to a book published for China by the 
 Society of Christian Literature. He will deplore 
 the lamentable periodicity of famines in China, 
 and nod eager assent when he is told that the 
 only remedy is to build railways which shall con- 
 vey to the stricken districts the surplus of other 
 provinces ; yet he failed utterly to cope with 
 the famine which broke out last winter in his 
 own province. Within sixty miles of Tien-tsin, on 
 the only railway line in China, famine fever carried 
 away 1,200 victims in one village, while a "corner" 
 in the grain trade was being engineered in the 
 Viceroy's Yamen, and train-loads of rice were 
 constantly passing down the line, under the very 
 eyes of a starving population, to fill not so much 
 the stomachs of the soldiers as the pockets of the 
 generals encamped at Shan-hai-kwan. With the 
 best spirit of modern civilisation Li Hung Chang 
 has probably less sympathy even than Chang Chih
 
 Ill THE MORAL BANKRUPTCY OF CHINA 27 
 
 Tung. What he wants of it is only the outward 
 appearances and appHances. Plenty of coolies with 
 uniforms and weapons and a few European in- 
 structors picked up haphazard are enough to make 
 an army, ironclad ships and heavy guns to make 
 a navy. Of the complex administrative machinery 
 required to set modern armies and navies in motion, 
 of the honesty and ability which keep that machinery 
 in constant working order, of the internal discipline 
 which maintains its cohesion, he certainly appears 
 to have had no conception, at least until the war, 
 for no one was more amazed than himself at the 
 total collapse of his picked troops and costly ships. 
 It maybe doubted whether he has even now realised 
 it, when to those who urge that China must take a 
 leaf out of Japan's book his only reply is to inquire 
 petulantly whether the Chinese are expected to 
 wear European hats and clothes like the Japanese. 
 That corruption on the hugest and most unblushing 
 scale prevails amongst the friends and relatives who 
 form his social entourage and political supporters, 
 even his admirers do not deny ; and it is difficult 
 to believe that his own hands are clean when he is 
 known to have amassed in the course of a long 
 official career a colossal fortune reputed by many 
 to be the largest possessed by any single individual 
 in the whole world, and certainly in China. Yet 
 with all his shortcomings he is still the man whose 
 influence is believed to represent' the best that can 
 be looked for in China under existing conditions.
 
 28 THE FAR EASTERN QUESTION chap. 
 
 His knowledge of public affairs, both domestic and 
 foreign, is unrivalled amongst his countrymen. He 
 held throughout the last regency a high place 
 in the confidence of the Empress-Dowager. He 
 has been more or less directly associated with all 
 the negotiations which have taken place with foreign 
 Powers during the last twenty-five years, and if he 
 was not unnaturally reluctant to undertake the 
 painful mission of proceeding to Japan as a humble 
 suitor for peace, he unquestionably discharged it 
 with dignity. If the mainspring of his actions 
 must generally be looked for in his own personal 
 interests, he realises, perhaps on that account, all 
 the more clearly, the expediency of developing at 
 least the material resources of the country and 
 the necessity of calling in for that purpose the 
 assistance of foreigners. He has already shown 
 himself the leading spirit in the few industrial 
 and commercial enterprises started by his fellow- 
 countrymen. He has founded educational and 
 even charitable establishments of which it can at 
 least be said that they are unique in China. He 
 has built the only railway in the Empire. He was 
 the first to realise the utility of telegraphs. Above 
 all, what he does he does with a will. When the 
 first telegraph line between Tien-tsin and Peking 
 was being repeatedly cut and the poles pulled down 
 he was gravely told that these acts were committed 
 by the Fungshui, the mysterious spirits of earth 
 and water disturbed in their favourite haunts by
 
 Ill THE MORAL BANKRUPTCY OF CHINA 29 
 
 a hateful European Innovation. Li Hung Chang 
 repHed that if he caught one of these Fungshui 
 interfering with the telegraph it would go badly 
 with him. The hint was sufficient. Neither 
 man nor Fungshui ever again tampered with the 
 line. 
 
 That Li Hung Chang can possibly be the 
 prophet of a great moral revival in China it is 
 difficult to believe. But it is equally difficult to 
 believe that any such prophet can arise out of 
 the ranks of the official classes. " Do men gather 
 grapes of thorns or figs of thistles ? " Their 
 existence is bound up with that of the system 
 which has produced them and upon which they 
 thrive, and the system itself is a tissue of im- 
 postures. From his youth the future mandarin 
 is taught that imposture rules the world — and not 
 only this world, but the shadowy world beyond. 
 He learns that his gods can be over-reached by 
 the merest trickery, for are not the lips of the 
 household o-od smeared over with treacle on the 
 day when he has to make his annual report to the 
 superior deities, so as to prevent any unpleasant 
 tales being told out of school, and that even the 
 duties of filial piety — the most sacred of all in his 
 eyes — can be just as laudably discharged at his 
 neighbour's expense as at his own, for what other 
 moral can he deduce from the story of the young 
 nobleman who has been held up to the admiration of 
 successive o-enerations for havinq; durincj a visit to
 
 30 THE FAR EASTERN QUESTION chap. 
 
 some friends stolen some oranges, instead of honestly 
 buying them at the nearest fruit stall, because for- 
 sooth he knew that his mother would relish them ? 
 He learns by rote an encyclopaedia of excellent 
 moral sentiments, a knowledge of which is the 
 "Open, Sesame" of public Mife, but once inside 
 the gates, and probably long before entering them, 
 he knows that to put such sentiments into practice 
 is the last thing which is expected of him. Famili- 
 arity with the Analects of Confucius will qualify him 
 to hold a public appointment, but it will not suffice 
 to secure him one. It is often assumed that, because 
 China has adopted from the most remote period the 
 principle of open competition for Government ap- 
 pointments, a sound democratic element must be 
 infused into its public services. Success in the 
 public examinations is certainly, with rare exceptions, 
 a condition precedent to any official appointment, 
 but it is by no means the only condition. One has 
 only to look down the list of the higher officials to 
 see how large a share of the good things is mono- 
 polised by influential clans and families. The 
 number of successful candidates always far exceeds 
 that of the vacancies to be filled. Unless some 
 happy accident serves them, those who have neither 
 money nor influence must needs wait till those who 
 have are provided for. The humbler literati must 
 look for a patron to help them on in their turn, and, 
 whilst they are gaining his favour by doing the 
 dirty work of his Yamen, whatever illusions they
 
 Ill THE MORAL BANKRUPTCY OF CHINA 31 
 
 may have brought with them from the healthier 
 surroundings of their youth rapidly crumble away. 
 As soon as a Chinaman enters official life he belongs 
 to an oligarchy which stands entirely apart from the 
 rest of the nation, wrapped up in its hereditary 
 pride and bound together by the closest ties of self- 
 interest. 
 
 Of equally little value will the young mandarin 
 find the Analects of the Master in helping him to 
 hold with advantage to himself an appointment, 
 nominally worth a few hundred taels a year, which 
 he may have ultimately succeeded in purchasing by 
 the payment of thousands of taels in hard cash. 
 His first duty is to repay the honest bankers who 
 have advanced him the purchase-money on the 
 mere security of his prospects, with proportionate 
 interest. This is a recognised form of business, or 
 rather of speculation in China, and by no means un- 
 profitable. The bankers or syndicate have a lien on 
 the first year's profit of the promising young man- 
 darin whom they have undertaken to finance, and on 
 the other hand they take the chances of the borrower's 
 death or removal from office before the loan has been 
 repaid. His second duty is to put aside the amount 
 necessary to purchase a renewal of his appointment, 
 which is generally held on a three years' tenure. His 
 third duty is to save something on his own account. 
 Only when these duties have been adequately dis- 
 charged can he be expected to consider what duties 
 he may owe to the public interests committed to his
 
 32 THE FAR EASTERN QUESTION chap. 
 
 charge. Of the relative scale on which these various 
 duties are conceived the following instance may 
 serve as an illustration. A Hoppo, or native 
 Customs collector, for the province of Canton paid 
 500,000 taels for his appointment, nominally worth 
 a few thousand taels a year. His own profits dur- 
 ing three years' tenure of office amounted to over 
 three million taels ! Successful robbery on such a 
 gigantic scale would be impossible were it not 
 universal. From the Palace at Peking, through 
 the provincial seats of government into the Yamens 
 of the smallest officials in remote country districts, 
 from the heart of the Empire through its arteries 
 and veins into all its extremities, there flows a 
 constant stream of unutterable corruption. That 
 public corruption should breed also the worst forms 
 of private corruption is inevitable. Peking enjoys 
 in both respects an undisputed pre-eminence. It is 
 difficult to get even a glimpse of Chinese private 
 life, but the advertisements publicly displayed in 
 the streets of the capital show its moral atmosphere 
 to be as foul as the efiluvia which assail one's 
 nostrils. Over the gate of his Yamen or over the 
 door of his private residence the mandarin displays 
 his name and title, accompanied by an unimpeach- 
 able text ; but on its blank walls he tolerates pla- 
 cards which in any European country would fall 
 within the reach of the criminal law. 
 
 There is no rule without exceptions, and even 
 amongst the official classes of China there are
 
 Ill THE MORAL BANKRUPTCY OF CHINA 33 
 
 doubtless individuals who, in both their private 
 and their public life, rise superior to the influences 
 which surround them. But they can do so only as 
 far as they are themselves personally concerned. 
 They cannot afford to challenge a conflict with the 
 whole class to which they belong. They may try 
 to keep their own hands clean, but woe betide them 
 if they try to impose such an inconvenient practice 
 upon others. With all the prestige of a great name 
 and a great position, Chang Chih Tung made the 
 attempt and failed. Li Hung Chang never even 
 made the attempt ; according to his more charitable 
 critics, because he was too clever, to waste his 
 energies on such a hopeless task ; according to 
 others because he never felt any personal disposi- 
 tion to undertake it. It may be doubted whether 
 the Son of Heaven himself could break down the 
 formidable resistance which the vested interests of 
 the official classes would offer to any comprehensive 
 scheme of reform.
 
 CHAPTER IV 
 
 THE CHINESE CAPITAL 
 
 Peking may not perhaps be in every respect a 
 representative Chinese city, but such as it is, Peking 
 is the capital of the Empire, the abode of the Son 
 of Heaven, the seat of the central Government, the 
 residence of the foreign representatives, the focus of 
 all political interests, domestic and external. It may 
 not be fair to judge of China entirely by Peking, but 
 it would be well-nigh impossible to realise what 
 China is without having seen Peking. Even to 
 approach it from the coast is an instructive intro- 
 duction to a knowledge of China, for, if to reach 
 Peking by the most direct and frequented route is 
 nowadays a matter of no serious hardship or 
 difficulty except in winter when it involves a long 
 and arduous land journey from some ice-free port, 
 one cannot fail to be impressed with the evidence 
 that whatever of hardship or difficulty there may be 
 the Chinese are determined no effort of their own 
 shall reduce. 
 
 When, from the north or from the south, his
 
 CHAP. IV THE CHINESE CAPITAL 35 
 
 Steamer has crossed the Gulf of Chi-H, the traveller 
 may consider himself lucky if he is not detained for 
 a day or two in unsuccessful attempts to get over 
 the bar at the mouth of the Pei-ho — "the heaven- 
 sent barrier" as the Chinese gratefully call it — or in 
 winding up the shifting bed of the river past the 
 Taku forts to Tien-tsin, the seaport of Peking. 
 There, unless he cares for a long and tiring ride, he 
 has to choose between the exquisite torture of a 
 ninety miles drive in a springless Chinese cart over 
 the scattered boulders and pitfalls of the Imperial 
 road, or the weariness of a native boat subject to all 
 the delays of adverse winds and unforeseen sand- 
 banks on the most tortuous of streams. If he decides 
 for the latter as the lesser of two evils, the Pei-ho 
 only takes him to within fifteen miles of Peking, and 
 from Tungchow he must ride, drive, or walk to his 
 destination, and he must, above all, time his arrival 
 so as to reach the city walls before nightfall. For 
 there is one thing at least which money will not do 
 in China. Nothing will open the gates of Peking 
 between sunset and sunrise. 
 
 He must indeed be a man of little imagination 
 who is not powerfully moved by the first sight of 
 that long line of stately battlements standing out for 
 miles and miles in bold relief against the sky. Un- 
 broken save by the curving roofs of the still more 
 lofty towers which at equal intervals surmount the 
 sixteen gates or mark the four salient angles of the 
 great quadrilateral, they conceal every trace of the 
 
 D 2
 
 -.6 
 
 THE FAR EASTERN QUESTION 
 
 CHAP. 
 
 Strange world of barbaric splendour and immeasur- 
 able squalor which lies behind them. It is true 
 they are obsolete for all purposes of practical defence, 
 they are crumbling away in places, their armaments 
 are a sham ; of the area which they enclose barely 
 one-third is built over, the rest consists of waste 
 
 msm 
 
 ON THE I'EI-HO, GOING UP TO TEKING. 
 
 stretches of sand or of cultivated fields, but even 
 then the walls of Peking remain, or perhaps it is this 
 very blending of real and counterfeit grandeur which 
 constitutes them, a monument more impressive and 
 characteristic than any other of the colossal impos- 
 ture whose massive inertia has so long been 
 interpreted to indicate an overwhelming reserve of 
 unexerted strength.
 
 IV THE CHINESE CAPITAL 37 
 
 The whole hfe of the city is concentrated in a few 
 densely populous quarters. The total population 
 formerly estimated at millions is now put down at 
 barely three quarters of a million. But what a 
 population it is that crowds the narrow lanes of the 
 bazaars in the Chinese city, that surges in and out of 
 the gateways which lead from the Tartar city into the 
 Imperial city, that flows in a ceaseless tide under the 
 pink walls of the Forbidden city ! — Mandarins of the 
 Peacock Feather, bloated eunuchs from the Palace 
 and ladies of fashion, borne swiftly along in curtained 
 chairs with the semi-transparent blinds drawn care- 
 fully down, or conveyed in hooded carts slung on 
 heavy brass-nailed wheels of which the precise build 
 and position indicate, like the crest or coronet of a 
 London barouche, the exact rank and precedence of 
 the owner ; officials of less high degree, well-to-do 
 merchants and women of the middle classes squatting 
 inside the clumsier carts which are the hackney cabs 
 of Peking ; humbler folk perched sideways on the 
 knife edge of omnibus wheelbarrows ; young bloods 
 on gaily caparisoned mules ; Yamen messengers on 
 horseback; files of heavily-loaded, long-haired camels 
 from Manchuria ; nimble, surefooted donkeys from 
 the neighbouring villages ; swaggering soldiers in 
 motley uniforms with heavy jinghals on their 
 shoulders ; yellow-robed Buddhist priests with close- 
 shaven pates shining like billiard balls in the sun ; 
 bird-fanciers with dainty pets in cages, the one 
 innocent passion of almost every Chinaman ; big
 
 38 THE FAR EASTERN QUESTION CHAP. 
 
 brawny coolies stripped to the waist with their pig- 
 tails wound round the crown of the head ; vendors 
 of sweetmeats, and vendors of rotten fish ; itinerant 
 auctioneers and pedlars of every description ; pro- 
 fessional beggars flaunting their hideous sores and 
 mutilated stumps, the stock-in-trade of a powerful 
 and wealthy guild over which a Prince of the Blood 
 presides ; astrologers and soothsayers, jugglers and 
 conjurers, each surrounded by a small crowd of 
 gaping admirers ; criminals stumbling along in 
 cangues, their heads protruding from a hole in the 
 heavy wooden board dependent from their shoulders, 
 on which are inscribed their offence and their 
 sentence ; women and girls with the enamel of last 
 week's or last month's paint and powder streaked 
 v/ith dirt and perspiration ; swarms of stolid, joyless 
 children, the boys in many cases dressed out as girls 
 in order to deceive the jealous deities whose wrath 
 disdains to wreak itself on the soulless sex; all 
 equally unwashed and malodorous, mandarins and 
 mendicants, princes and peasants, in silks or in 
 rags, but making up withal a picture of which the 
 kaleidoscopic fascination never palls. 
 
 Nor is the frame within which the picture is set 
 less strange or striking ; here a spacious thorough- 
 fare encumbered with tumbledown shanties and 
 matted hovels of bamboo, but lined on either side 
 with the daintily carved and gilded woodwork' of 
 monumental shop fronts and bright with a profusion 
 of gaudy signboards and flags and streamers and
 
 Prisoneks in Cangues, Peking. {To face p. 38.
 
 IV THE CHINESE CAPITAL 39 
 
 many-coloured hangings ; there a corner of the 
 mysterious pink walls behind which rise in the very 
 heart of the city as in an inmost sanctuary, the 
 yellow-tiled roofs of the Imperial palaces, the gilded 
 prison, self-imposed, of "the Solitary Man," ''the 
 August Lofty One," "the Lord of Ten Thousand 
 Years " ; there the deep archway of the Chun-man 
 gate leading out of the Tartar into the Chinese city 
 across the Beggars' Bridge, the squalid Rialto 
 of Peking ; there at the junction of some of the 
 busiest streets an elaborate triumphal arch, erected 
 to the memory of a virtuous maiden who, like one of 
 the classical exemplars of filial piety, used to strip 
 off her clothes at night in order to attract the 
 mosquitoes away from the couch on which her 
 venerable parents were reposing ; there a labyrinth 
 of narrow lanes, each more or less exclusively 
 tenanted by some particular trade, the great bazaar 
 of the Chinese city, where everything is bought and 
 sold from the priceless gems of Chinese art to the 
 foulest products of Chinese depravity ; there the 
 spacious enclosure of a Buddhist temple where, 
 enthroned amidst a strange assemblage of fierce and 
 sordid gods, the serene figure of Buddha the Com- 
 passionate seems invested with more than its usual 
 pathos ; or again in a stately grove of silver cedars 
 a severe and noble hall sacred to the memory of 
 Confucius, whose lofty aphorisms, carved in letters 
 of gold on the massive timber columns and panelled 
 ceiling read like the bitterest satire on the whole
 
 40 THE FAR EASTERN QUESTION chap. 
 
 social system which still masquerades under the 
 cloak of his high-sounding philosophy ; there, in the 
 official quarter of the city, the government Yamens, 
 buildings commonplace enough in themselves, but 
 to one at least of which dark and painful memories 
 will always attach, for it was behind the dull brick 
 walls of the Board of Punishments that the deed of 
 foul treachery, which in i860 delivered into the 
 hands of the Chinese a small band of gallant 
 Englishmen, was followed up by fouler deeds ot 
 torture under which the physical strength of 
 some, but never their stout hearts, succumbed ; 
 and ever and anon in the background, behind 
 palaces and hovels, above the painted roofs of the 
 temples and above the frequent verdure of the 
 trees looms the long-drawn line of the battlemented 
 girdle of walls gray and grim with the mystery of 
 aofes. 
 
 But unique as are the scenes which, attractive or 
 repulsive, on all sides fascinate and bewilder the 
 European traveller when he sallies forth into the 
 streets, it is at no small cost that he gratifies his 
 curiosity. All his senses are assailed at the same 
 time, his nostrils by the most pungent and loathsome 
 effluvia, his eyes by revolting sights, his ears by the 
 discordant din of a strangely uncouth tongue. In 
 the dry season he has to plough his way ankle deep 
 in dust, and in the wet season through pools of liquid 
 mud, dust and mud equally compounded of the un- 
 utterable filth of an undrained city where every
 
 The Front oi- a Kashionahi.e Swff.tmeat Shop in Peking. 
 
 \ To face / afi-
 
 IV THE CHINESE CAIM FAL 41 
 
 thoroughfare does duty for a sewer, where the door- 
 step of every house is used as a cesspool. Where- 
 ever he goes he moves in an atmosphere of hatred 
 and contempt. One by one every monument of 
 pubHc interest is being closed against him, and if he 
 contrives to buy his way into one of them, he not 
 infrequently has almost to fight his way out again. 
 In the beautiful park which surrounds the Temple 
 of Heaven the small English colony of Peking had 
 its cricket field for some years after the war of i860, 
 but now it is only from the nearest point of the city 
 walls that one can steal a glimpse of the azure dome 
 and white marble platform, where, on the night of 
 the winter solstice, alone and face to face with the 
 parental firmament, the Son of Heaven offers up 
 filial worship as the supreme mediator between 
 Heaven and earth. Most of the other temples are 
 equally forbidden ground, though in some cases, and 
 curiously enough, mainly through the friendly re- 
 lations of our missionaries with the Chinese priests, 
 one may obtain permission to visit them sitb rosa. 
 Even to the city walls access is nowadays prohibited, 
 albeit the guardians of the gates are seldom proof 
 against the offer of a small gratuity. Everywhere 
 except in the immediate neighbourhood of the 
 European legations, curiosity, mingled with undis- 
 guised hostility, dogs the foreigner's footsteps. 
 Actual outrages are rare, though outside the Anting- 
 man, the very gate which was surrendered to the 
 British forces in i860, a party of Englishmen riding
 
 42 THE FAR EASTERN QUESTION CHAr. 
 
 back to the city were greeted with a volley of stones 
 by Chinese soldiers whilst I was in Peking. But in- 
 sulting remarks and foul-mouthed curses are common 
 enough, and even when riding with the British 
 Minister and his usual escort of Chinese outriders, it 
 was occasionally advisable to put on pace in order 
 to avoid the unpleasant attentions of a noisy mob. 
 In its least offensive temper, a sovereign con- 
 tempt for the " outer barbarian " underlies the 
 boisterous humour of a Peking crowd. 
 
 To pass out of the turmoil of the Peking streets 
 into the trim compounds of one of the European 
 legations or of the few foreign residences in Peking, 
 is to enter all at once into an oasis of sweetness and 
 repose. Of these the most spacious and the 
 handsomest is unquestionably the British Legation, 
 once the palace of a Chinese prince, and still pre- 
 serving with the added comfort and orderliness of 
 European taste, the picturesque originality of Chinese 
 architecture. The familiar redcoats of British 
 marines drilling on the lawn lent perhaps an extra 
 touch of homeliness to the well-kept grounds. For 
 in view of possible troubles, most of the foreign 
 legations were provided last winter with a special 
 guard drawn from the fleets in the Gulf of Tchih-li. 
 They have since been for the greater part withdrawn, 
 but, it need scarcely be said, not, as the Peking 
 Gazette with its usual candour announced, because 
 the Chinese Government, which had tolerated their 
 presence during the war, had, upon the re-establish-
 
 * — vS_— 
 
 '.^==:
 
 IV THE CHINESE CAPITAL 43 
 
 ment of peace, ordered their withdrawal. Nor can 
 I forego the opportunity of placing it on record that 
 of all the foreign detachments sent up to Peking 
 none gave a better example of European discipline 
 and trustworthiness than our own marines, and none 
 left more friends and hearty well-wishers behind 
 them when they departed. As if to heighten the 
 contrast, the Chinese authorities had also assigned 
 to each legation a special guard of their own braves 
 who were encamped along Legation Street ; decrepit 
 old men and half-grown youths, the refuse apparently 
 of the coolies of the town, in ragged uniforms and 
 armed with every description of eccentric weapons, 
 who lay for the greater part of the day sweltering in 
 the foetid atmosphere of their tents or lounged about 
 the footpath lazily scowling at the " foreign devils " 
 whom they were supposed to protect, their evil 
 faces suggesting a new rendering of " Qiiis custodiet 
 ipsos custodesT 
 
 At night the gates, not only of the outer walls, but 
 of those which divide off the different quarters of the 
 city, are shut, and though it is estimated that as 
 much money as is spent on the lighting of London 
 goes into the pockets of the Peking Mandarins, a few 
 flickering oil-lamps only serve to make the darkness 
 visible. It is thoroughly typical of China that the 
 only telegraph station in Peking is situated, not 
 in the Tartar city, where the Palace, the foreign 
 Legations, the chief Government offices, and the resi- 
 dences of the principal officials are to be found, but
 
 44 THE FAR EASTERN QUESTION chap, iv 
 
 in the outer Chinese city ; and, as the gates between 
 the two cities are closed at night, Peking is practi- 
 cally cut off from all communication with the rest of 
 the world between sunset and sunrise. 
 
 I have attempted a slight sketch of the more 
 superficial features which in the eyes even of a casual 
 observer must differentiate the capital of the Chinese 
 Empire from that of any other State, Western or 
 Eastern, because they reflect, however imperfectly, 
 the still more profound differences which divide 
 off China from all other nations of the earth. A 
 knowledge of the surroundings amidst which Euro- 
 pean diplomacy has to carry on its daily work at 
 Peking, may afford a partial clue to the difficulties, 
 unparalleled elsewhere, with which it has to con- 
 tend as the interpreter of an unknown world of 
 thought and of ideas even more foreign to the 
 Chinese mind than any of the outward manifestations 
 of modern civilisation.
 
 -f^fe^-^'^^^^iiZ^S . . Mil.
 
 CHAPTER V 
 
 THE TSUNGLI-YAMEN 
 
 The representatives of the foreign Powers in 
 Peking have no sort of personal intercourse with 
 the Palace. After a long and stubborn struggle 
 they have, it is true, established their formal right 
 of audience on terms which are not yet perhaps alto- 
 gether satisfactory, but which are on the w^hole 
 compatible with their proper sense of dignity. The 
 heads of missions, accompanied by their staffs, pro- 
 ceed in state to one of the halls which form part of 
 the Imperial Palace, and, either singly or collectively, 
 as the case may be, they are ceremoniously ushered 
 by appointed dignitaries into the presence of the 
 Emperor, who sits almost impassive on a raised dais, 
 and barely acknowledges their profound obeisances 
 with a slight inclination of the head. The Minister 
 having read his speech in his own tongue, transla- 
 tions are read first in Chinese and then in Manchu, 
 the language of the reigning dynasty, and the 
 original is laid on a low table in front of the Emper- 
 or by the Secretary of State on duty, who, having
 
 46 THE FAR EASTERN QUESTION chap. 
 
 received it from the Minister's hands, carries it after 
 repeated prostrations up the steps of the Throne. 
 Until quite lately the Chinese official in question 
 always ascended for the purpose the side steps to the 
 right or left of the Throne, but M. Hayashi, the 
 Japanese Minister sent to Peking on the re-establish- 
 ment of diplomatic relations after the war, insisted 
 successfully that his credentials should be carried up 
 the steps actually facing the Son of Heaven — a de- 
 parture from former precedents to which the peculiar 
 circumstances of the case lent a special significance. 
 The Emperor usually whispers a few words in the 
 ear of the Secretary of State kneeling beside him, 
 who in turn conveys their purport, which is a merely 
 commonplace expression of courtesy and satisfac- 
 tion, to the foreign Minister. The audience is then 
 over, for the public audience is not followed, as in 
 other countries, and even in Eastern courts, by a 
 private audience in which more confidential commu- 
 nications may pass between the sovereign and the 
 foreign representative accredited to him. The 
 audiences at Peking are therefore mere formal cere- 
 monies, and their chief value at present is that they 
 convey a public recognition by the Son of Heaven 
 of the right of European Powers to treat with China 
 on a footing of complete equality. Except on these 
 occasions no foreigner ever sets foot within the 
 precincts of the Forbidden City. 
 
 The regular channel for communication between 
 the foreign Legations in Peking and the Chinese
 
 V THE TSUNGLI-YAMI:N 47 
 
 official world is the Tsungli-Yamen, or Board of 
 Foreign Relations, which was first constituted in 
 1 86 1 after the Anglo-French expedition had wrung 
 out of the Chinese a reluctant assent to the estab- 
 lishment of foreign legations within the walls of 
 the capital. Prince Kung, a younger brother of 
 Hsien Feng, the then reigning Emperor, Kwei 
 Liang, a Senior Grand Secretary, and Wen-Hsiang, 
 a departmental Vice-President, were appointed to be 
 the members of the new Board, and the selection of 
 three such influential personages was regarded at the 
 time as implying a final abandonment of the policy 
 of mere haughty contempt which the Middle King- 
 dom had vainly striven to maintain towards the 
 " outer barbarians." If this expectation was never 
 really fulfilled, the composition of the Tsung-li- 
 Yamen has at any rate always indicated some 
 recognition of the importance which foreign rela- 
 tions were henceforth to assume in the affairs of the 
 Empire. By successive additions the number of its 
 members was gradually raised to ten, which has now 
 come to be regarded as the normal strength of the 
 Board, and it has been always closely identified with 
 the Chun-Chi-Ch'u or Privy Council (sometimes also 
 called the Grand Council), the highest department 
 of State, which transacts its business daily, or rather 
 nightly, between the hours of 3 and 5 a.m. in the 
 presence of the Emperor himself. Most of the 
 members of the Privy Council whose number, for- 
 merly five, was increased to seven during the
 
 48 THE FAR EASTP:RN QUESTION chap. 
 
 Japanese war, are also members of the Tsungli- 
 Yamen, which deriv^es most of its influence and 
 prestige from this close connection with the Chung- 
 Chi-Ch'u. Half-a-dozen members or more attend 
 every day to transact business, and when an inter- 
 view takes place with a foreign Minister scarcely 
 ever less than three are present, not to speak of 
 secretaries, pipe-bearers, and servants who hand 
 round sweetmeats and cups of tea. The difficulty 
 of dealing with such an unwieldy body is obvious. 
 The chief anxiety of every member is to shirk 
 responsibility, and, though all ready enough to talk, 
 none will, if possible, take action. 
 
 Wen Hsiang, probably the ablest man who ever 
 held a seat in the Tsungli-Yamen, died in 1876, 
 and Prince Kung was left as the only original mem- 
 ber of the Board, of which he continued president 
 until he was disgraced in 1884 '^^ connection with 
 the Franco-Chinese conflict. Superseded by Prince 
 Ching, a collateral member of the Imperial family, 
 he lived for the following ten years in secluded 
 retirement, devoting his enforced leisure to the 
 building and repairing of Buddhist temples, and 
 apparently taking no part or interest in public 
 affairs. When the war with Japan broke out last 
 year he was suddenly recalled and restored to his 
 former posts of president both of the Tsungli-Yamen 
 and of the Privy Council. But he was then sixty- 
 three years of age, and old for his years. He was 
 no longer the man of mental vigour and bold resolve
 
 V THE TSUNGLI-YAM£:N 49 
 
 who had conducted the peace negotiations with Lord 
 Elgin and had overthrown the Board of Regency 
 instituted on the death of his brother, the Emperor 
 Hsien Feng. His health also had grown feeble, and 
 his visits to the Yamen are rare. 
 
 Prince Ching, who since Prince Kung's return to 
 office has to content himself with the second place, 
 is a courtly Manchu gentleman slightly over fifty 
 years of age, but even judged by the Chinese stand- 
 ard, which must alone be applied to Chinese 
 statesmen, he has never shown any conspicuous 
 qualifications other than those of birth for the high 
 positions which he has held. In consequence, it is 
 believed, of considerable friction between him and 
 Prince Kung he has once or twice during the last 
 year applied to be relieved of his responsibilities, but 
 has always met with a decided refusal from the Em- 
 peror. His duties have, however, evidently ceased 
 to be palatable, and he has largely dropped his 
 interest in them. 
 
 Of the other members composing the Tsungli- 
 Yamen whilst I was at Peking only three call for 
 any special notice, and of two out of these three the 
 telegraph has recently announced the retirement. 
 Sun Yii Wen had been for ten years in the Yamen 
 and was generally regarded as perhaps the strongest 
 and most businesslike of all its members. He has 
 in a large degree that instinctive intelligence of 
 foreign affairs which must in China supply the place 
 of educated knowledge, and he is one of the few 
 
 E
 
 50 THE FAR EASTERN QUESTION chap. 
 
 Chinese officials who have any understanding for 
 questions of commercial policy. Few important ne- 
 gotiations have taken place during his tenure of 
 office in which he has not played a leading part, 
 and generally in a spirit of prudence and conciliatory 
 moderation. It is by no means the least among his 
 titles to distinction in the eyes of his fellow country- 
 men that he is the father-in-law of the present Duke 
 Confucius, his daughter having married the eldest 
 lineal descendant of the Master. Hsii-Yung-I, who 
 has now accompanied him into retirement, is a man 
 of a very different type. An ultra-Conservative 
 Chinaman, he seemed to hold a permanent brief on 
 the reactionary side. Narrow-minded and intolerant, 
 his attitude was that of a pettifogging attorney, al- 
 ways on the look-out for a formal flaw in his adver- 
 sary's argument, and, rather than renounce the 
 satisfaction of a temporary and personal success, he 
 would recklessly sacrifice the larger interest at stake. 
 Having constant access in the twofold capacity of 
 Privy Councillor and Imperial Tutor to the person 
 of the Emperor, he had acquired in an exceptional 
 degree the confidence of the Son of Heaven. A 
 master of all the intricacies and formalism of Chinese 
 official style, he has probably drafted more Imperial 
 decrees than any other living Chinaman, and to his 
 ready pen quite as much as to his restless energy he 
 owed the formidable influence which he until recently 
 exercised over the Emperor's mind. To his inspir- 
 ation was generally ascribed the young Sovereign's
 
 V THE TSUNGLI-YAM^N 51 
 
 incipient revolt against the imperious tutelage of the 
 Empress-Regent. He was the soul of the war party, 
 and he would have wrecked his country rather than 
 yield to the Japanese demands. Although in his 
 seventieth year, he looks scarcely more than fifty, 
 and his muscular, plebeian frame, no less than a 
 certain uncouth ruggedness of manner, distinguishes 
 him from his more courtly and weakly colleagues. 
 Another and greater distinction he also possesses. 
 Like Chang Chih Tung, whom he resembles, how- 
 ever, morally rather than intellectually, he is believed 
 to be above all pecuniary temptation. In fact he 
 represents the only type of patriotism to which a 
 Chinaman seems capable of attaining — a patriotism 
 which unfortunately manifests itself only in an un- 
 reasoning devotion to forms and formulse. Change 
 of any kind comes to be looked upon as in itself 
 wrong, and the past is worshipped at the expense 
 of the present and the future, merely because 
 it is the past. To this form of patriotism one 
 cannot at least deny the merit of sincerity, since 
 even Chinamen whose lives show no trace of any 
 higher ideal than those of their fellows are prepared 
 occasionally to die for it. When the present Em- 
 peror, who was placed on the throne as an infant by 
 a Palace coup de main, attained his majority a few 
 years ago and went for the first time to perform 
 before the ancestral tablets sacrificial rites for the 
 proper discharge of which he lacks, according to the 
 most rigid orthodoxy, the indispensable qualification 
 
 E 2
 
 52 THE FAR EASTERN QUESTION chap. 
 
 of direct lineal descent, a high Mandarin emphasised 
 his protest against this unlawful act of usurpation by 
 committing suicide before the eyes of the Sovereign 
 after having duly handed to him on bended knees 
 an elaborate treatise on the subject. 
 
 Another and entirely different school of politicians, 
 approximating rather to the Li Hung Chang type, 
 is represented in the Tsungli-Yamen by Chang Yin 
 Huan, a Cantonese and a protdgd of the Viceroy of 
 Chi-H, who has risen like him from the lowest rung 
 of the official ladder. As Chinese Minister to the 
 United States, Spain, and Peru, he has, however, 
 enjoyed wider opportunities than his patron of famil- 
 iarising himself with Western ideas, for which he, at 
 least in private, professes the most liberal admir- 
 ation. But the position to which he has risen is 
 generally ascribed not so much to the experience he 
 has acquired abroad as to his intimate acquaintance 
 with native methods of smoothing the path to official 
 promotion. Of an easy-going and self-indulgent 
 temperament, he is not likely to jeopardise his 
 chances in a vain attempt to undertake a task which 
 the late Marquis Tseng, on his return from Europe, 
 soon found it hopeless to persevere in. Pleasant 
 manners, an intelligent enjoyment of European so- 
 cial life, undoubted natural abilities, and an article 
 of which he assumed the authorship in Blackwood 
 on " The Awakening of China," secured to the 
 former Chinese Minister in London the reputation 
 of an earnest and enlightened reformer. With the
 
 V THE TSUNGLI-YAM^N 53 
 
 dramatic instinct of his nation, the Marquis Tseng 
 played to the European gallery with conspicuous 
 success, and, consciously or unconsciously, threw a 
 prodigious amount of dust in its eyes. When he was 
 recalled to China and given a seat in the Tsungli 
 Yamen, our optimism knew no bounds. But the 
 Marquis Tseng of the Chinese Legation in London, 
 and the Marquis Tseng of the Tsungli-Yamen in 
 Peking, were soon shown to be two very different 
 people. It would be hard to say how far personal 
 inclination and how far superior pressure operated 
 towards the change, but it certainly presented all 
 the outward features of as pretty a case of socio- 
 logical " reversion " as could well be conceived. 
 
 It is, indeed, folly to expect that in such an atmo- 
 sphere as that of the Tsungli-Yamen European ex- 
 perience can form a title to anything but hatred and 
 suspicion. Of the ten members of that Board 
 Chang-Yin-Hsian has alone ever been outside of 
 China. Yung-Lu, the Governor of the city of Pe- 
 king, who acted for some time as Tartar General at 
 Hsian-Fu, is the only other member who has served 
 during his official career outside of the walls of Pe- 
 king. That is to say that the vast majority of the 
 officials entrusted with the foreign relations of China 
 have spent their lives in a city and amidst surround- 
 ings for which no sort of parallel could be found in 
 Europe outside, perhaps, of the darkest period ot 
 the Middle Ages, and even then the analogy would 
 be in many respects lame and inadequate.
 
 54 THE FAR EASTERN QUESTION chap. 
 
 ' I was granted during my stay at Peking the 
 favour of an interview with the TsungH-Yamen — 
 a favour, I beHeve, never before granted to a 
 foreigner enjoying no official position — and during 
 a couple of hours I had the honour of discussing 
 with their Excellencies some of the burning ques- 
 tions of the day. The strongest impression which 
 I carried away with me was that the whole world 
 of thought in which the Western mind is trained 
 and lives seems to be as alien to the Chinese 
 mind as the language which we speak. The 
 wisdom of their sages, which is the Alpha and 
 Omega of their vaunted education, consists of 
 unexceptionable aphorisms, which have about as 
 much influence on their actions as the excellent 
 commonplaces which in the days of our youth 
 we have all copied out to improve our caligraphy 
 had in moulding our own characters. History, 
 geography, the achievements of modern science, 
 the lessons of political economy, the conditions 
 which govern the policy of Western States, the 
 influence of public opinion, of the press, of parlia- 
 mentary institutions, are words which convey no 
 real meaning to their ears. It is useless to 
 appeal to feelings of honour or of patriotism, 
 which, if they exist at all, take an entirely 
 different and to us inexplicable shape, and it is 
 equally vain to quote the teachings of political 
 history, for outside of their own immediate ex- 
 perience it is a sealed book to them. Their
 
 V THE TSUNGLI-YAMEN 55 
 
 Excellencies talk glibly of the balance of power 
 in Europe, but Austria still seems to be hope- 
 lessly mixed up in their minds with Holland, 
 and of the two the latter apparently still occupies 
 as a colonial Power by far the higher position. An 
 incidental reference to Tunis elicited the fact that 
 they had never realised the existence of such a 
 State, or of an African Empire of France, though 
 they had acquired some information with regard 
 to the position of Egypt, presumably from French 
 sources. Nor is it easy to treat questions even 
 of material development with ministers, one of 
 whom deliberately maintained that China's im- 
 munity from railways had been the salvation of 
 Peking during the recent war. 
 
 Outside of its official relations with the foreign 
 representatives, the Chinese world knows nothing, 
 and wants to know nothing, of the Western world. 
 The members of the Tsungli-Yamen themselves 
 have scarcely any intercourse with the foreign 
 representatives at Peking beyond making a few 
 formal calls on stated occasions and offering them 
 an annual banquet at their official residence. One 
 or two may sometimes accept invitations to a 
 foreign legation, but no mandarin can frequent 
 a foreigner's house without exposing himself to 
 suspicion and obloquy. Even the unsuccessful 
 literati, who are driven to accept employment as 
 writers in the European Legations, will not 
 compromise themselves by showing any open
 
 56 THE FAR EASTERN QUESTION chap. 
 
 recognition of their employers when they meet 
 them in a public thoroughfare. The whole atmo- 
 sphere of Peking is saturated with hatred and 
 contempt of the foreigner, and the street urchins, 
 who shout opprobrious epithets or fling mud and 
 stones from a safe distance at him as he passes, 
 merely have the youthful courage of opinions which 
 their elders only venture to betray by a sullen 
 scowl or a muttered imprecation. The lower 
 classes, again, merely follow the example set by 
 the upper classes, and as I told their Excellencies 
 of the Yamen, in allusion to a recent experience of 
 my own, so long as powerful officials are afraid 
 to invite a foreigner inside their house without 
 cautioning him not to come in a chair or on horse- 
 back, but in a closed Peking cart, lest public 
 curiosity should be aroused, and his host " lose 
 face " with his neighbours, there can never be 
 that freedom and friendliness of intercourse out of 
 which in other countries arises between foreigners 
 and natives, with a better knowledge of each other, 
 a greater mutual consideration for each other's 
 feelings and interests. "You complain that we 
 misunderstand and misrepresent you because we 
 do not really know you, but you give us no 
 opportunity of knowing you, and you do not 
 disguise your reluctance to know us. You, the 
 rulers of the country, hold ostentatiously aloof 
 from us, and those whom you rule naturally take 
 their cue from your behaviour. Every nation, like
 
 V THE TSUNGLIYAM^N 57 
 
 every individual, must have something to learn 
 from its neighbours ; but China is like a man who 
 should imacjine that he could learn what all his 
 fellow creatures were like by the continuous con- 
 templation and adoration of his own face in the 
 mirror." Their Excellencies bowed polite assent, 
 but Hsti-Yung-I looked as if my face at least was 
 one of which he had seen quite enough. 
 
 It is not, indeed, only the official representatives 
 of the European Powers whom the ruling classes 
 insist on keeping at arm's length. They are not 
 much more accessible to the Europeans in their 
 own employ. If there is one man whose services 
 ought to entitle him to the complete confidence of 
 the Chinese Government it is certainly Sir Robert 
 Hart, the Inspector - General of the Imperial 
 Maritime Customs. He has created the only 
 sound administration in China and given her the 
 only revenue upon which any credit can be opened 
 to her. Take away the foreign Customs revenue 
 and where could China hope to raise to-day the 
 ransom exacted by her conqueror ? Yet in spite 
 of this signal claim upon her gratitude, in spite of 
 the innumerable proofs of warm devotion to her 
 interests which he has given to her, it is impossible 
 to pretend that he has ever been granted the 
 position to which he, if any one, is entitled as a 
 proved friend and trusted adviser. And what is 
 unfortunately true of Sir Robert Hart was or is 
 equally true of Captain Lang and of every other
 
 58 THE FAR EASTERN QUESTION chap. 
 
 foreigner in the Chinese service who has reHed 
 only on his own disinterested loyalty for the 
 exercise of a healthy influence. 
 
 Li Hung- Chang is, according to recent reports, 
 to stay for the present as Grand Secretary at 
 Peking, and conduct in concert with the Tsungli- 
 Yamen the negotiations for the new commercial 
 convention with Japan under Article VI. of the 
 Treaty of Shimonoseki. Whether this must be 
 looked upon as an indication of his ultimate 
 restoration to favour, or whether his final disgrace 
 has been postponed until he has exhausted the full 
 odium of the treaty for which he, according to 
 Chinese notions, remains personally responsible, 
 the event must be left to show. The fact that the 
 leader of the reactionary party, Hsu- Yung- 1, is 
 described as having been dismissed from office, 
 whereas Sun Yu Wen has been allowed to resign 
 at his own repeated request, would look more 
 favourable for the opportunist school represented 
 by the Viceroy of Chi-li if the two new members 
 of the Yamen appointed to replace them, Weng 
 Tsung Ho, Tutor to the present Emperor, and Li 
 Hung Tso, Tutor to the late Emperor, did not 
 belong to the most reactionary clique of Palace 
 wire-pullers. Still more doubtful is it whether Li 
 Hung Chang's influence, if it prevails, will be 
 exercised, and, if exercised, will be sufficient to 
 introduce into the official circles of the capital the 
 more liberal spirit towards foreigners which he
 
 V THE TSUNGLI-YAM£:N 59 
 
 has at least affected to display in his own Yamen 
 at Tient-sin, For the present his authority appears 
 to be openly flouted by the privileged advisers of 
 the Emperor, and the chief object of the Court in 
 summoning him to Peking, seems to have been to 
 subject him at greater leisure and less risk to the 
 familiar process of " squeezing," which every great 
 Mandarin has to undergo after he has sufficiently 
 enriched himself in the provinces — a process which, 
 in the case of Li Hung Chang, cannot fail, if 
 exhaustive, to be unusually lucrative. 
 
 Cramped and confined within such narrow limits 
 of official intercourse as I have just described, the 
 foreign representatives in Peking are almost entirely 
 cut off from those opportunities of social intercourse, 
 which in other countries help to extend their in- 
 fluence and widen their information. Nor is there 
 any organised expression of public opinion to which 
 they can look for guidance. Not a single news- 
 paper is published in the capital except the Peking 
 Gazette, an official record of Imperial decrees 
 and Government enactments, supplemented by a 
 more or less fabulous chronicle of events. Between 
 its lines may doubtless be read the secrets of the 
 hidden life of China. But, as has been pregnantly 
 suggested, is there not some cause for apprehension 
 that by the time the Western student of Chinese 
 life has assimilated himself to its conditions suffi- 
 ciently to penetrate its secrets, he will have in some 
 measure lost the power of conveying his knowledge
 
 6o THE FAR EASTERN QUESTION CHAP. 
 
 in a form more intellicrible to the Western world 
 than the original logogriphs of the Peking Gazette ? 
 Nothing is more strange in China than the intel- 
 lectual fascination which so peculiar an environment 
 often seems to exercise over the European mind. 
 When during the course of a protracted residence, 
 the European has thoroughly familiarised himself 
 with the language and customs and habits of 
 thought of the people, he appears in many cases 
 to have undergone a certain brain transformation 
 which leads him unconsciously to lend a Chinese 
 value to statements and expressions, apparently 
 used in their European sense. 
 
 The great brick wall which China built up in 
 the Middle Ages against the invading hordes of 
 Central Asia is gradually crumbling away, and has 
 long since failed to serve its purpose, but the solid 
 wall of intellectual petrifaction and social isolation 
 within which Chinese statesmanship still seeks to 
 defy the pressure of mere diplomacy remains as 
 yet unbroken. I have dwelt at some length on 
 this point because, in the absolute imperviousness 
 of the Chinese mind to Western modes of thought 
 must be sought the causes of the failure of a 
 policy based, as ours has been for the last twenty 
 years, on a vain attempt to gain the confidence 
 and sympathy of China in a common interest of 
 peaceful progress. So long as no serious effort 
 was required of her she was astute enough to 
 humour our illusions and to listen with apparent
 
 V THE TSUNGLI-YAM£n 6i 
 
 deference to our indulgent homilies. But the 
 language of friendly persuasion could have no real 
 or permanent hold upon her. It is no reflection 
 upon the ability of our diplomacy that French and 
 Russian diplomacy was able to achieve a temporary 
 success at Peking, for, though never actually over- 
 stepping the limits of diplomatic procedure, France 
 and Russia gave it clearly to be understood that 
 their action would not necessarily be circumscribed 
 within those limits. In the execution of the bold 
 and resolute policy agreed upon by the Cabinets 
 of Paris and St. Petersburg, M. Gerard and Count 
 Cassini were in a position to clinch every other 
 argument with that of physical force, and until 
 Chinamen have ceased to be Chinese, that is the 
 only argument of which they will fully understand 
 the value from European lips. The Chinese mind 
 and the Western mind revolve in different spheres 
 which have only one point of real contact, viz., 
 physical force. From that vantage ground only 
 can China be dominated. This principle, which 
 had been too long discarded in England, and not 
 alone under Lord Rosebery's Administration, has 
 been once more, to some extent, applied to our 
 relations with China since Lord Salisbury's return 
 to power, and thus, at least to the extent within 
 which it has been applied, Sir Nicholas O'Conor 
 has already, before leaving Peking, had the satis- 
 faction of regaining the ground which he had never 
 ceased to contest even against overwhelming odds.
 
 CHAPTER VI 
 
 THE FOREIGN POWERS AT PEKING 
 
 A GREAT war not unfrequently affects the in- 
 terests and relations of neutral onlookers quite 
 as profoundly as those of the belligerents them- 
 selves ; but seldom has so sudden and dramatic 
 an illustration of the fact been witnessed as in 
 the changes immediately wrought by the war 
 between China and Japan on the relative posi- 
 tion of the foreign Powers at Peking. It is obvious 
 that the mere collapse of China, however momen- 
 tous in itself, cannot be looked upon as the sole 
 cause of so rapid a displacement of political power 
 as that which has recently taken place there to our 
 detriment. It has, however, disclosed the real value 
 of a hitherto unknown quantity, and shown it to be 
 far inferior to that which we had, on insufficient 
 grounds, chosen to assign to it. Before the war 
 the power put forth by Great Britain in the Far 
 East plits the unknown quantity representing the 
 latent resources of a friendly China was supposed to 
 be superior, or at least equal, to the power put forth
 
 CHAP. VI THE FOREIGN POWERS AT PEKING 63 
 
 by our rivals viiniis the same unknown quantity. 
 Now the value oi x is discovered, and we find it, on 
 the one hand, far inferior to what we had assumed, 
 and, on the other hand, transferred, such as it is, to 
 the other side of the equation. Nor is this all. 
 The rise of Japan as a considerable military and 
 naval Power introduces a new factor, or one at least 
 which we had been disposed until recently to ignore, 
 and one cannot yet feel quite sure on which side to 
 place it. To this extent the war has really dis- 
 turbed the old equation ; but in other respects the 
 main factors still remain the same, only the war 
 has placed them more conspicuously before our eyes, 
 and in a truer, if less flattering, light. The great 
 competing interests, political and commercial, remain 
 to-day as they were yesterday — those of England, 
 France, Russia, and, in a lesser degree, Germany ; 
 but to-day we are compelled to realise more forcibly 
 how fierce the competition has grown. 
 
 The interests of Russia are mainly and professedly 
 political. For the last two centuries her eyes have 
 been turned towards the East, though until the 
 Crimean war, and perhaps even until the last Russo- 
 Turkish war, they never swept far beyond the 
 adjoining regions of South-Eastern Europe and 
 Western Asia. In that direction the resolute atti- 
 tude of England and the issue of the Berlin 
 Congress curtailed the facilities for further expan- 
 sion which she had hoped to create by the treaty of 
 San Stefano. The subsequent revolt of Bulgaria,
 
 64 THE FAR EASTERN QUESTION chap. 
 
 the shiftiness of Servia, and the estrangement of 
 Roumania, together with the alHance of Austria and 
 Germany, opposed fresh barriers to any advance 
 upon Constantinople. But, if these events made 
 the immediate reaHsation of her traditional policy 
 in the shape originally contemplated impracticable, 
 they only incited her to find some new outlet for 
 the eastern trend of her energies. In the same 
 measure in which Russian activity in the Balkan 
 Peninsula and Asia Minor diminished during the 
 eighties, it increased in Central Asia. Here again, 
 however, in spite of such successes as the annexa- 
 tion of Merv and of the chief central Asian 
 Khanates, the expansion of Russia found itself 
 checked by the close alliance which had sprung up 
 between the Ameer of Afghanistan and the Indian 
 Government, and still more by the completion of 
 our new line of defence along the North-Western 
 frontier of India. Headed off once more by un- 
 expected forces, Russia's Drang nach Osten was 
 again merely deflected into new channels. She 
 seems at last in the nineties to have found in the 
 Far East the line of least resistance, which she had 
 so long been looking for. Marching with the south- 
 eastern frontier of her vast Asiatic dominions lies 
 an empire teeming with undeveloped wealth, yet 
 crumbling away with internal dry-rot, a prey in 
 every way ready to her hand. 
 
 How far Russia's plans had been formed in ex- 
 pectation of a speedy collapse of China it is difficult
 
 VI THE FOREIGN POWERS AT PEKING 65 
 
 to say, but though perhaps she alone shared with 
 Japan a thorough knowledge of Chuia's military 
 weakness, she would probably have preferred to 
 see its exposure postponed for a few years. Of 
 the magnitude of her plans she had been careful 
 to furnish little indication, beyond such as could 
 be gathered from the energy with which the con- 
 version of Vladivostok into a place of arms of the 
 first rank had been completed and the construction 
 of the Trans-Siberian Railway of late prosecuted. 
 Her diplomacy had never asserted itself with any 
 ostentation at Peking, and, though less yielding and 
 indulgent than our own, it had always displayed a 
 spirit of conciliatory moderation. During the 
 earlier stages of the war, and even up to the 
 signature of the Treaty of Shimonoseki, Russia 
 kept her own counsel, though there is little doubt 
 now that before Li Hung Chang left for the 
 Japanese headquarters to negotiate the terms of 
 peace he had already been taken into her con- 
 fidence, and that when he agreed to the cession 
 of the Leao-tong peninsula he was aware of her 
 determination to forbid the fulfilment of the con- 
 tract. So great was the reserve which she main- 
 tained that the constant flow of reinforcements 
 going out to strengthen her naval and military 
 forces in the Far East passed comparatively un- 
 noticed. At last with a fleet more powerful, in 
 the opinion of many competent judges, than any 
 ever before concentrated in those waters and with
 
 66 THE FAR EASTERN QUESTION chap. 
 
 an army of 80,000 men ready for action on land, 
 she was in a position to speak, and in no uncertain 
 accents. The inherent weakness of China had 
 been proved to demonstration, and her senile 
 decay could no longer be allowed to jeopardise 
 the reversionary interests of Russia. By her inter- 
 vention Russia openly proclaimed her determination 
 to assume henceforth the guardianship of the 
 Chinese Empire until such time as by the laws 
 of nature, assisted or unassisted, the sick man of 
 the Far East should pass away and his inherit- 
 ance be formally appropriated. Russia's oppor- 
 tunity had come, and not those alone upon whose 
 assistance she might have naturally counted came 
 forth to improve it for her benefit. 
 
 The co-operation of France must be looked upon 
 in present circumstances as available for Russia 
 whenever and wherever the latter chooses to invoke 
 it. But in the Far East it is secured to her not 
 only by considerations of general policy but by a 
 special community of interests. France has gradu- 
 ally annexed considerable territories in the south- 
 eastern extremity of the Asiatic continent, which 
 she has already christened with the significant 
 name of " Empire d'Indo-Chine." If her possessions 
 have hardly yet attained to the dignity of an 
 empire, they hold the germs and the promise of 
 empire. Bordering on the three Chinese provinces 
 of Yun-nan, Kwang-si, and Kwang-tung, and 
 within easy reach of Szu-chuan, they possess in
 
 VI THE FOREIGN POWERS AT PEKING 67 
 
 the two important waterways of the Songka and 
 the Mekong unrivalled facilities for penetrating into 
 the heart of China. Her prestige, dimmed for a 
 while by the blunders which marred the substantial 
 success of the Tongking campaign, had been largely 
 retrieved by the boldness with which she had 
 handled the Siamese question ; but at Peking it 
 was still under the shadow of Lang Son. To 
 restore it by a sensational coup de tJiMtre and 
 sweep away the barriers which still hampered her 
 advance from the south, whilst cementing her 
 friendship with Russia by joint action, was an 
 achievement bound to commend itself not only 
 to the judgment of French statesmen, but to the 
 sentiment of the French nation. 
 
 That Germany should have joined hands with 
 France and Russia is more difficult to explain. 
 Whether or not she secretly hankers after terri- 
 torial acquisitions in the Far East, her interests 
 there have been hitherto mainly and avowedly 
 commercial. How these could be served by 
 alienating a good customer like Japan, even if 
 she be a prospective rival, without apparently 
 securing any countervailing advantage in China 
 it is not easy to conceive. If Germany expected 
 to arrest the growing intimacy of France and 
 Russia she must have been promptly undeceived. 
 At Tokio, where Germany had everything to lose 
 by the course upon which she had embarked, all 
 the outward appearances at least of complete 
 
 F 2
 
 68 THE FAR EASTERN QUESTION CHAP. 
 
 harmony between these strange alHes were main- 
 tained for a considerable time, if not up to the 
 present date. But at Peking, where Germany, it 
 must be presumed, looked for her reward, scarcely 
 a month had passed before she was politely 
 elbowed out and ignored by her two partners, and 
 the officials of the Tsungli-Yamen were not slow 
 to take the cue thus given to them. No sooner 
 had the intervention of the three Powers established 
 the necessary claim upon the gratitude of China 
 than France and Russia proceeded to monopolise 
 for themselves not only its substantial but its formal 
 manifestations. The French and Russian Ministers 
 suddenly discovered that they had in their pigeon- 
 holes official letters of which the war had delayed 
 delivery to the Emperor. On the one hand, there 
 was a letter notifying the accession of the Emperor 
 Nicholas II., and, on the other, one announcing 
 the election of M. Faure as President of the 
 French Republic. With a curious affectation of 
 impossible secrecy an audience was arranged, to 
 which the Russian and French Ministers proceeded 
 in great state. There they received, according to 
 their own account, in terms of unprecedented 
 cordiality, the solemn thanks of the Son of 
 Heaven himself for the great services rendered 
 to him by their respective Governments. This 
 was the first public intimation conveyed to Ger- 
 many that her company was no longer required 
 or desired. The negotiations with regard to the
 
 VI THE FOREIGN POWERS AT PEKING 69 
 
 Franco- Russian loan were soon to furnish further 
 evidence in the same sense of a still more sub- 
 stantial nature. The association, or, rather, the 
 complete fusion, of French and Russian interests 
 to the exclusion of all others was reflected in the 
 ostentatiously intimate relations of the French and 
 Russian Ministers. M. Gerard and Count Cassini 
 were the Siamese twins of Peking diplomacy. It 
 would be invidious to inquire whose was the ruling 
 mind of the two. The qualities of the one seemed 
 exactly to supply what the other appeared to lack, 
 and the two toQ^ether formed a whole to whose 
 conspicuous ability one could not as a spectator 
 refuse a tribute of admiration. It would not be 
 either right or just to infer that England and 
 Germany were a whit less adequately represented, 
 but, unfortunately, the political situation precluded 
 that close co-operation between them which might 
 have secured the success at least temporarily denied 
 to their separate and individual efforts. 
 
 But, if Germany might well feel aggrieved at the 
 cavalier treatment which she has received at the 
 hands of France and Russia, she has suffered only 
 negatively. Ours has been the positive loss. 
 Whether or not we might temporarily have miti- 
 gated Franco-Russian hostility by accepting the 
 part for which Germany volunteered, we have now 
 to reckon with that hostility as a stubborn fact. 
 The first-fruits of the Franco- Russian under- 
 standing were the convention, signed at Peking
 
 70 THE FAR EASTERN QUESTION chap. 
 
 on June 20, between France and China, by which 
 the latter not only gave away a territory ceded 
 to her by us little more than a year ago on the 
 express condition that she should not transfer it 
 without our consent to any other Power, but 
 actually recognised French claims over a province 
 which forms an integral part of the British Empire. 
 The districts made over to the French, as Mr. 
 Holt Hallet has recently pointed out, comprise a 
 far larger territory than w^as at first understood. 
 For besides Muang U-neua and Muang U-tai, 
 which lie in the upper basin of the Nam U, the 
 whole of the principalities of Kiang Hung in 
 the basins of the Nam Him and Nam La are 
 surrendered to the French. In fact more than 
 half of the Burmese Shan State of Kiang Hung 
 which we generously settled scarcely eighteen 
 months ago upon China to hold in trust for our- 
 selves, has been coolly handed over by her to 
 France. Nor is that all. Over and above this 
 gross violation of our Treaty rights, she has 
 entered into a series of engagements granting a 
 privileged position to the French in one of the 
 richest provinces of her Empire. There are few 
 regions in China containing greater mineral wealth 
 than Yunnan. Under the Convention of June 20, 
 Szumao, the most important trade centre in the 
 south-west of Yunnan, is to be thrown open to 
 French trade in the same way as the Treaty Ports 
 of China are now open to foreign trade generally.
 
 VI THE FOREIGN POWERS AT PEKING 71 
 
 A French Consul is to be allowed to reside there, 
 and telegraphic communication is to be established 
 with the nearest French station ; facilities are to 
 be given for the development of French trade on 
 the waterways and government roads which give 
 access to the ereat tea districts of Puerh and 
 I-pang; reductions in favour of French goods are 
 to be granted in regard to both customs and inland 
 taxation ; permission on terms to be subsequently 
 negotiated is to be given for carrying into Chinese 
 territory the French railways already existing, or 
 at present only projected from Annam and Ton- 
 king ; and last, but not least, it is stipulated that 
 none of the above privileges shall be extended by 
 China to any other foreign country. But even 
 more significant than the concessions wrung out 
 of the feebleness of China was the way in which 
 they were wrung out. England's preponderancy, 
 however much it might be ridiculed as a thing 
 of the past, was too fresh in the memory of the 
 Tsungli-Yamen for the distracted members of that 
 board to face with equanimity the prospect of 
 setting her at defiance. The pressure exerted 
 by the French representative, with his Russian 
 colleague at his back, in order to enforce the 
 immediate signature of the convention in the teeth 
 of England's protest gives the measure of the 
 importance which he at any rate attached to it. 
 In vain the Chinese officials begged for time to 
 at least consider the British Minister's objections.
 
 72 THE FAR EASTERN QUESTION chap. 
 
 Their appeals only provoked M. Gerard to use 
 language of a more distinctly minatory character, 
 and the convention was signed by the President of 
 the Tsungli-Yamen practically under moral duress. 
 This convention has not yet, it is true, been ratified 
 by the Emperor of China, and, unless in the mean- 
 time some solution can be found compatible with 
 our rights and interests, one must hope that the 
 Chinese Government may still be deterred from ir- 
 revocably consummating such an act of international 
 bad faith. But whatever may be its ultimate deci- 
 sion, it cannot altogether undo the effects of its own 
 weakness in conceding, or of M. Gerard's high- 
 handedness in imposing, the discharge, at the 
 expense of others, of whatever obligations of 
 " gratitude " China may have contracted towards 
 France. The same methods moreover were shortly 
 to be called into requisition to elicit a further ex- 
 pression of Chinese "gratitude." 
 
 To meet the war indemnity due to Japan, China 
 required financial assistance on an unprecedented 
 scale. France and Russia realised with masterly 
 promptitude that, if they gave that assistance on 
 their own terms, the financial control of China would 
 pass into their hands. The only security which 
 China had to offer was the revenues, derived chiefly 
 from British trade, of an administration created and 
 maintained chiefly by British energy and ability. 
 Although that administration owed its existence and 
 continuance mainly to British influence, we had
 
 VI THE FOREIGN POWERS AT PEKING 73 
 
 never claimed to derive from it any exclusive advan- 
 tage. It was officially recognised as a Chinese 
 administration, under the title of the Imperial 
 Maritime Customs, its European staff was recruited 
 amongst foreigners of almost every nationality, and 
 every flag trading with China benefited on an equal 
 footing by its services. If the number of British 
 officials exceeded that of other foreigners in its 
 employ, and if the supreme management had been 
 entrusted to an Englishman in the person of the 
 Inspector- General, Sir Robert Hart, this was but 
 a natural recognition of the proportion which British 
 trade in the treaty ports of China bears to that of 
 other countries. The revenues of such an adminis- 
 tration were eminently fitted to form the basis of a 
 financial operation in which all the Powers desirous 
 of furnishing China with the means of putting her 
 house in order might have combined. Had France 
 and Russia been really anxious to prove the sincerity 
 of their professed disinterestedness, they would have 
 welcomed the opportunity of placing the independence 
 of China under the guarantee of international finance. 
 But nothing was further from their thoughts. British 
 and German financiers were prepared to join hands 
 with French and Russian, and to provide jointly 
 with them in one comprehensive operation the whole 
 amount which China requires for the fulfilment of 
 her obligations towards Japan. France and Russia 
 would not even allow the Chinese Government to 
 take any such proposals into consideration. They
 
 74 THE FAR EASTERN QUESTION chap. 
 
 had not only settled to their own satisfaction the 
 terms upon which an exclusively Franco- Russian 
 loan was to be made to China, but, even before 
 having secured the formal assent of the Chinese 
 Government, they had actually published the con- 
 ditions and announced the issue. The Tsungli- 
 Yamen vainly protested that it had only accepted in 
 principle the proffered assistance of Russia, and had 
 never intended to bind itself unconditionally. Even 
 Chinese statesmen could not help feeling that there 
 was something ominously unprecedented in a loan 
 forced down the borrower's throat at the point, as 
 it were, of the bayonet. But they had awakened 
 too late to the gravity of the situation. The only 
 concession which the Chinese struggled hard to 
 extract from their masterful protectors was the sub- 
 stitution of the guarantee of the French bankers for 
 that of the Russian Government on the face of the 
 loan. That the guarantee of the Russian Govern- 
 ment would still stand behind that of the French 
 bankers was, of course, a secret to no one, but the 
 Son of Heaven's dignity would at least not be 
 wounded by the Tsar's signature running across his 
 own seal of State. But even to that extent China 
 was not allowed to save her " face," The French 
 and Russian Ministers conveyed a significant hint 
 that the Leao-tong peninsula had not yet been 
 restored by the Japanese. A sharp turn of the 
 thumbscrew and the thing was done. 
 
 Whether or not the Franco-Russian loan was
 
 VI THE FOREIGN POWERS AT PEKING 75 
 
 accompanied, like the Franco-Chinese convention, 
 by secret provisions granting exclusive privileges to 
 the contracting parties, the financial leverage which 
 France and Russia thereby acquire was in itself an 
 adequate reward of the energy they put forth to 
 secure it. The reported creation of a Franco- Russian 
 bank at Shanghai would seem, however, to confirm 
 the belief prevalent at the time in Peking, that the 
 unpublished provisions of this financial arrangement 
 would prove quite as edifying as those already given 
 to publicity. What will be the ultimate success of 
 this strange attempt to assume a financial tutelage 
 over China must depend chiefly upon the ability of 
 France and Russia to follow up the advantage which 
 they have gained at the outset. From the enthusiasm 
 with which the first loan appeared to be taken up in 
 Paris there seemed little reason to doubt that they 
 need be guided in future dealings of the same nature 
 only by considerations of political expediency. 
 Holding henceforth the power of the purse at Peking 
 with the power of the sword behind it, Franco- 
 Russian diplomacy would have found itself armed 
 with a double-edged weapon against which all the 
 resources of diplomacy would have availed but little. 
 That such were the hopes at one time entertained 
 may be inferred from the stipulations by which China 
 not only debarred herself from raising any fresh loan 
 for a period of six months, but promised to give 
 France and Russia an option whenever the time 
 came for her to neofotiate another loan. In the
 
 76 THE FAR EASTERN QUESTION chap. 
 
 meantime, however, events which governments can- 
 not always control, have disturbed these calculations. 
 Political clouds in the Near East and a senseless 
 speculation in gold mines have once more produced 
 one of those chronic crises to which the Parisian 
 money market is so often subject. With the best 
 will in the world the French financiers cannot appar- 
 ently for the present come forward again to the assist- 
 ance of their Russian friends, and Russia is equally un- 
 able without their assistance to come forward again at 
 Pekino- in the unwonted character of a lender. In 
 these circumstances the field must necessarily be left 
 open to the English and German capitalists whose 
 overtures the Tsungli-Yamen was only a few months 
 ago so peremptorily compelled to reject. If they are 
 not disposed now to offer anything like the same terms 
 which they would have accepted in the summer 
 before two such formidable powers as France and 
 Russia had taken rank before them as creditors of 
 China, the Chinese Government will only have to 
 thank itself for the inevitable result of such hybrid 
 politico-financial engagements as those into which it 
 allowed itself to be coerced in spite of all friendly 
 warnings. Were it possessed of the real instincts of 
 statesmanship, it would not grudge the price it may 
 have to pay for an even partial recovery of the 
 financial independence which it had so seriously 
 compromised, but of course if it possessed any such 
 instincts it would not originally have signed its 
 independence away with such lightheartedness.
 
 VI THE FOREIGN POWERS AT PEKING ^^ 
 
 For our own j^art we may congratulate our good 
 fortune rather than our merits if in this matter 
 unforeseen circumstances have compelled Russia 
 and France to throw up the game at the very 
 moment when they had succeeded in dealing most 
 of the trumps into their own hands.
 
 CHAPTER VII 
 
 THE GENESIS OF MISSIONARY OUTRAGES IN CHINA 
 
 What is commonly called the missionary question 
 in China adds, it must be admitted, no slight burden 
 to the responsibilities and difficulties of foreign and 
 especially of British diplomacy at Peking. No 
 question is perhaps enveloped in such a cloud of 
 prejudice. On the one hand there are many people 
 both at home and in China who, having no sympathy 
 with missionary work or being thoroughly convinced 
 of its uselessness in existing circumstances, look 
 upon the missionaries as busy-bodies and intruders, 
 who have only themselves to thank when their mis- 
 placed zeal brings them to grief. On the other hand 
 the missionaries themselves and their friends at 
 home are so profoundly impressed with the sacred- 
 ness of their task that in its performance they are 
 absolutely deaf to any considerations of human pru- 
 dence or political caution until in the throes of some 
 ghastly life and death struggle, the natural instinct 
 of self-preservation extorts from them a passionate 
 appeal to their fellow citizens for assistance and 
 protection. But to discuss the value or expediency
 
 CHAP. VII MISSIONARY OUTRAGES IN CHINA 79 
 
 of missionary labour in China is neither practicable 
 nor useful. On a question which is approached by 
 different people from such opposite points of view, 
 the conclusions arrived at cannot fail to be conflict- 
 ing. Those who look at the preaching of the 
 Gospel to all nations of the earth as a Divine com- 
 mand which must be obeyed at all costs cannot be 
 expected to acquiesce in the judgment of those who 
 would measure the value of spiritual labours by 
 material results. Two points alone need be borne 
 in mind. First of all, foreign missionaries, whatever 
 we may think of them, are just as much entitled to 
 protection in the lawful pursuit of their calling under 
 the treaties to which China has subscribed as the 
 foreign merchant or the foreign official. Secondly, 
 even if, judged by a mundane standard, its material 
 results have not been proportionate to the amount 
 of blood and treasure expended, missionary work in 
 China is not only a proselytizing but also a human- 
 ising agency, and every missionary establishment is 
 a centre from which civilising influences radiate over 
 the whole area of its operations. 
 
 Herein lies to a Qrreat extent the secret of the 
 hostility displayed, especially amongst the official 
 classes in China, towards the missionaries. The 
 influence of Western civilisation, in whatever shape 
 it manifests itself, is an abomination in the eyes of 
 the rulers of China, whose days would be counted 
 were it ever to permeate the masses. The hatred 
 directed against the missionaries is only a peculiarly
 
 8o THE FAR EASTERN QUESTION chap. 
 
 virulent form of the hatred directed afjainst Euro- 
 peans generally, and it is easy to understand why it 
 should be a peculiarly virulent one. Missionary 
 work is practically the only agency through which 
 the influence of Western civilisation can at present 
 reach the masses. The European merchant is 
 scarcely brought into contact with any other than 
 the trading classes, and his influence is at any rate 
 localised within the immediate vicinity of the treaty 
 ports where he resides. That of foreign officials is 
 mainly restricted within a similar area and confined 
 to the Chinese officials with whom he has to deal. 
 The missionary alone goes out into the byways as well 
 as the highways, and, whether he resides in a treaty 
 port or in some remote province, strives to live with 
 and among and for the people. The life which he 
 lives, whether it be the ascetic life of the Roman 
 Catholic missionary, or the family life of a Protestant 
 missionary with wife and children, is in itself a 
 standing reproach to the life of gross self-indulgence 
 led by the average Mandarin. But in the eyes of the 
 latter it becomes a public scandal when, in glaring 
 contrast to every vice of native rule, the foreign 
 missionary in his daily dealings with the people of 
 his district conveys a continuous object-lesson of 
 justice and kindliness, of unselfishness and integrity. 
 It is this aspect of missionary work which goads 
 the official Chinaman into fury, and incites him to 
 traduce the character of the missionaries by those 
 foul calumnies which invariably precede every out-
 
 VII MISSIONARY OUTRAGES IX CHINA 8i 
 
 break of so-called popular feeling. That the feeling 
 which finds vent in anti-missionary riots and out- 
 rages is not really popular in its origin is patent 
 from the fact that in the rural districts, where the 
 influence of the official classes is relatively small, 
 scarcely a trace of it is ever seen. It is mainly con- 
 fined to the town and cities, where the mob is under 
 the immediate control of the Mandarins. There 
 they have " the stupid people," as with almost naive 
 arrogance they openly call the lower classes whom 
 they rule, in the hollow of their hands. No less 
 sickening than monotonous is the uniformity of the 
 methods employed by them to engineer an out- 
 break. The hold which the missionaries may have 
 acquired on the respect of even the dregs of 
 an urban population by the blamelessness of their 
 lives must first be weakened by spreading vile 
 rumours of unspeakable vices veiled under the 
 appearances of virtue. The Roman Catholic con- 
 vent and the family hearth of the Protestant 
 missionary are converted by the foul imagination of 
 their traducers into dens of abominable vice, and un- 
 fortunately, in the congenial atmosphere through 
 which they circulate, such tales find only too ready 
 credence. Where imposture and hypocrisy reign 
 supreme amongst the highest of the land, what 
 inherent improbability can there be for the 
 average Chinaman in stories which merely represent 
 the foreigner as an impostor and a hypocrite like 
 the rest ? When once the personal confidence 
 
 G
 
 82 THE FAR EASTERN QUESTION chap. 
 
 which the foreigner may have succeeded in inspiring 
 has been sapped, it is an easy task to inflame 
 against him the passions of the mob by a fresh 
 series of calumnies purporting to chsclose the real 
 objects of his mysterious presence in a foreign land. 
 That he should have left his far-off country only 
 to bear into a strange land a message of peace and 
 goodwill amongst men is an idea so alien to the 
 Chinese mind that it can never wholly grasp it. It 
 is naturally prone to suspicion, and what suspicion 
 more natural than that, behind all the appearances 
 of a harmless craze, there should lurk a sinister 
 design ? The medical services which so many 
 missionaries render impartially to the highest and 
 the humblest, in a country where no serious effort 
 is made to cope with disease, might be expected 
 to establish some claim on public confidence and 
 gratitude, but, as a matter of fact, there is no branch 
 of missionary activity which is so liable to malevo- 
 lent misconstruction. Medicine in China is still 
 largely looked upon as a black art akin to sorcery, 
 and, when one remembers of what loathsome in- 
 gredients the healing drugs of the Chinese medicine 
 man are often made up, one need not wonder at 
 the readiness with which the ignorant masses are 
 made to believe that remedies so efficacious as 
 those administered by the " foreign devil " must 
 be compounded of unutterably fiendish substances. 
 That cans of preserved milk are the boiled down 
 brains of Chinese children, that the eyes and other
 
 VII MISSIONARY OUTRAGES IX CHINA 83 
 
 parts of the human body are the most potent sub- 
 stances employed in the European pharmacopoeia, 
 presents nothing incredible or even improbable to 
 the ordinary Chinaman ; for crimes of this nature are 
 sufficiently common amongst his own fellow country- 
 men to be duly mentioned in the penal code which 
 provides special forms of punishment for " murder 
 committed in order to obtain drugs from the human 
 body." When therefore placards, issued with the 
 explicit or implicit sanction of the local Yamen, 
 declare that a foreigner has actually been caught 
 red-handed in his barbarous laboratory ; when, as 
 was the case the other day in Szu-chuan, an official 
 message is sent by the provincial authority over the 
 Government telegraph announcing that living proofs 
 of these horrible practices have been produced in 
 open Court, can one be surprised at the results ? 
 Whilst a maddened populace wreaks a brutal ven- 
 geance in atonement of its imaginary wrongs, the 
 Mandarin either personally supervises, or is con- 
 veniently blind to, the scenes of arson, pillage, and 
 bloodshed which he or his superiors have prompted. 
 It is only in a few exceptional cases, chiefly 
 amongst subordinate officials, that the instincts of 
 common humanity assert themselves and a tardy 
 effort is made to provide the hunted victims with 
 a temporary refuge in the Yamen, or to secure their 
 retreat to some neighbouring city where the re- 
 sponsibility for their ultimate fate willl rest upon 
 more robust shoulders.
 
 84 THE FAR EASTERN QUESTION chap. 
 
 Calumnies of this particular kind have preceded 
 and produced every serious outbreak from the 
 Tien-tsin massacre in 1870 to the most recent 
 outrages. They clearly appeal, in the opinion of 
 those who spread them, to a more responsive 
 chord than any other charge which can possibly 
 be brought against the missionary. Religious 
 fanaticism plays only a subordinate and acces- 
 sory part in them. The Mandarin is himself too 
 much of a sceptic, the ordinary Chinaman too 
 eclectic in his religious practices, for the mere 
 question of creed to produce such violent explo- 
 sions. People who combine a platonic adhesion 
 to the teachings of Confucius with the practice 
 of Buddhist or Taoist forms of worship, and, 
 indeed, often with that of both forms imparti- 
 ally, cannot be charged with religious exclusivism. 
 " Worship the gods as if they were present " is 
 an inscription constantly recurring over the gates 
 of Chinese temples, and in amplification of this 
 text the author of " Chinese Characteristics " 
 quotes two sayings current amongst the masses : — 
 
 " Worship the gods as if they came, 
 And if you don't it's all the same." 
 
 " Worship the gods as if they were there, 
 But if you worship not the gods don't care." 
 
 Under one of the greatest of her rulers 
 Christianity obtained open and almost official 
 recognition in China. Two centuries ago Jesuit
 
 VII .MISSIONARY OUTRAGES IN CHINA 85 
 
 missionaries were the favourite and most trusted 
 advisers of the Emperor Kiang Hsi, and, had the 
 Vatican not been induced by their rivals to condemn 
 the concihatory spirit in which they sought to temper 
 the abruptness of a great rehgious transition, China 
 might have been gradually and peacefully opened up 
 to the influences of Christian civilisation. One of 
 the most interesting sights in Peking is the 
 ancient graveyard where these early pioneers of 
 Christianity elected to be laid to rest in tombs 
 of an orthodox Chinese type, surrounded by the 
 sacrificial emblems connected with the loftiest 
 of Chinese rites — viz., that of ancestral worship. 
 So wide and deep was the prestige of their great 
 names that up to the present day pilgrims still 
 occasionally travel from remote provinces of the 
 empire to burn incense and offer up sacrifices on 
 the funereal altar at their graves. Even now 
 it cannot be said that Christianity as a creed is 
 persecuted in China, Native Christians are not, 
 in fact, excluded qua Christians from official ap- 
 pointments, and, if they hold none of the higher 
 posts, it is partly because they are recruited 
 mainly amongst the less influential classes, and 
 partly because they disqualify themselves for 
 posts which, as most of the higher ones do, 
 involve participation in religious ceremonies in- 
 compatible with the creed they profess. 
 
 Alleged insults to some popular local deity, 
 and more often still the imputation of abomin-
 
 86 THE FAR EASTERN QUESTION chap. 
 
 able practices in connection with their own rites, 
 undoubtedly form part of the systematic vilifica- 
 tion by which popular feeling is manufactured 
 against the missionaries ; but fanaticism alone is 
 not sufficiently real or powerful to drive the 
 masses into revolt against those whom in their 
 cooler moments they will themselves acknowledge 
 to be their best friends. How is it, then, it may 
 be asked, that the victims of these outbreaks 
 seem to be invariably missionaries, whilst the 
 merchant is left unmolested and the European 
 traveller can penetrate as a rule unmolested into 
 the most distant provinces of the Empire ? The 
 answer is, I think, obvious. These outbreaks 
 are, in the first place, specially directed against the 
 missionaries for the reasons above set forth ; and 
 in the second place, the more remote districts 
 in which many of the missionaries reside afford 
 exceptional facilities for preparing them without 
 attracting the notice of any inconveniently vigilant 
 foreign official, and of carrying them out without 
 running too great a risk of direct and im- 
 mediate reprisals from any foreign Power. The 
 murder of Mr. Margary in Yun-nan, however, 
 showed that, where the presence of an official 
 foreio^ner was considered undesirable, similar and 
 even simpler means could be as readily and as 
 successfully adopted to remove him as if he were 
 only a mere missionary. 
 
 Nor can it be denied that the singular forbear-
 
 VII MISSIONARY OUTRAGES IX CHINA 87 
 
 ance shown by foreign Powers, and especially, 
 perhaps, by England, in connection with these 
 periodical outrages, has in itself contributed to 
 their recurrence. For the last five-and-twenty 
 years their history has repeated itself almost year 
 by year. Riots have taken place, valuable 
 property has been destroyed, and, even where no 
 lives have been actually sacrificed, violence and 
 outrage have been done to innocent and unoffend- 
 ing people. The sequel has been invariably the 
 same. Representations have, of course, been 
 made to the central Government, commissions of 
 inquiry have been instituted, and, after months 
 and years of equivocation and evasion, in sheer 
 weariness of spirit, the execution of a few coolies 
 or underlings and a modicum of pecuniary com- 
 pensation have been accepted as an adequate 
 atonement for conspiracies which strike, and are 
 intended to strike, not only at the actual victims, 
 but at the influence and prestige of every one of 
 their fellow-countrymen, and indeed of every 
 European. For it is idle to imagine that China- 
 men really discriminate either between the 
 nationalities or the professions of the different 
 foreigners who live amongst them. The first great 
 blow struck with relative impunity at the safety 
 of European life and property was the destruction 
 of the French mission and the massacre, chiefly 
 of French priests and nuns, at Tien-tsin on June 
 29, 1870. At that time no direct telegraphic com-
 
 88 THE FAR EASTERN QUESTION chap. 
 
 munication existed between Tien-tsin and Europe. 
 If it had existed, or even if the facihties then 
 existing had been used with ordinary promptitude, 
 the course of European history itself might have 
 been changed. For, had the news of the massacre 
 been received in Paris before the war fever against 
 Prussia had reached its height, Napoleon III. 
 might have eagerly seized the opportunity of 
 deflecting into a less dangerous channel the French 
 craving for military adventure and of restoring his 
 own waning prestige by a crusade against China. 
 As it was, the despatches of the French Legation 
 were delayed in transmission to the nearest tele- 
 graph station, and the news arrived in Paris on 
 July 17, the day after the fatal declaration of war 
 had been launched against Prussia, France, with 
 other and more urgent difficulties and disasters to 
 face, was compelled to accept the inadequate 
 satisfaction which China agreed to tender, and 
 from that time to this no European Government has 
 cared or known how to insist upon that measure 
 of punishment which can alone prevent the periodical 
 repetition of similar outrages. 
 
 Yet a remedy must be found. The missionaries 
 have a right to go to China, and to China they will 
 continue to go, however undesirable their presence 
 there may be considered. Possibly, though it is 
 difficult to see how, the authority of our officials at 
 the Chinese Treaty Ports might be exerted to dis- 
 countenance the peripatetic zeal of missionary free-
 
 VII MISSIONARY OUTRAGES IN CHINA 89 
 
 lances whose erratic propaganda is not controlled by 
 the experience of the more responsible missionary- 
 organisations. Possibly also the influence of the 
 latter might be more effectually brought to bear 
 upon their own subordinates to prevent them in 
 future from exposing their families, and especially 
 young girls and children of a tender age, to the 
 dangers which must always threaten isolated groups 
 of Europeans in remote provinces of the Empire. 
 But any such measures must necessarily be mere 
 palliatives. Even \i, per abstij-dinn, we could enact 
 any absolute prohibition of missionary enterprise in 
 China, such a step would only be construed by the 
 Chinese official world as a surrender of our rights, 
 and therefore as an act of weakness which would 
 certainly stimulate rather than diminish the aggres- 
 sive character of its hostility towards Europeans of 
 all classes. The missionaries, therefore, must re- 
 main, and so long as they remain, whatever amount 
 of tact they may display, however studiously they 
 may confine themselves to the task of doing good 
 according to their own lights, they will always be a 
 stone of offence to the Chinese Mandarin, who, so 
 long as he can do so with impunity for himself, will 
 continue to wreak his vengeance upon them by 
 houndinp; on to them from time to time an ignorant 
 and irresponsible mob. The remedy is simple 
 enough, and though its application may not always 
 be easy, it is the energy rather than the ability to 
 apply it which has hitherto too often failed us. The
 
 90 THE FAR EASTERN QUESTION chap. 
 
 central Government must no lonsfer be allowed to 
 shelter itself behind the difficulty which it constantly 
 pleads of exerting its authority over the provincial 
 Governors, nor the provincial Governors to dis- 
 charp-e the burden of Qfuilt on to their subordinates. 
 What is wanted is, after all, only the application of 
 a principle which no people recognise in theory 
 more fully than the Chinese — viz., that of responsi- 
 bility. In cases of treason, for instance, whole 
 families are cut off for one man's sin, and according 
 to the penal code quoted by Professor Douglas in 
 his interesting work on Chinese Society, " all the 
 male relatives of the first degree, at or above the 
 age of sixteen, of persons convicted — namely, the 
 father, grandfather, sons, grandsons, paternal uncles 
 and their sons respectively, shall, without any re- 
 gard to the place of residence, or to the natural or 
 acquired infirmities of particular individuals, be in- 
 discriminately beheaded." Nor, as he adds, is this 
 all. Every male relative who may be dwelling 
 under the roof of the offender, is doomed to death, 
 an exception being alone made in the case of young 
 boys on condition that they become eunuchs for ser- 
 vice in the Imperial Palace. In the same way the 
 highest official of every province is responsible 
 for the acts of every one of his subordinates, even 
 when his only fault is ignorance of their transgres- 
 sions. Let him be held responsible also, and above 
 all, in the case of outrages upon missionaries, where 
 his fault is connivance rather than ignorance, and
 
 VII MISSIONARY OUTRAGES IN CHINA 91 
 
 when, as was the case the other clay after the ghastly- 
 massacre in Fo-kicn, he inquires with unblushing 
 effrontery from the representatives of our outraged 
 civilisation : " How many heads do you want ? " 
 the answer should be : "Your own to begin with." 
 The interests of the Mandarin class are so closely 
 bound up together, they recognise so fully even in their 
 wrong-doings the solidarity which exists between 
 them, that the condign punishment of a single leading 
 Mandarin will strike terror into the breasts of all his 
 colleagues. The execution of a dozen common 
 malefactors can only increase the Chinaman's con- 
 tempt for European life which in his estimation even 
 the Governments of Europe must hold very cheap 
 when they are seen to accept such paltry repara- 
 tion. Under the pressure of an ultimatum backed 
 up by a powerful fleet, the central Government 
 has pronounced upon Liu-Ping-Chang, the real 
 author of the Szu-chuan outrages, what appears 
 to be an unprecedentedly severe sentence of dis- 
 grace. But it must be remembered that he had 
 already been suspended from his duties at Cheng-tu 
 more than a year before, and a high official had 
 been dispatched from Peking to take over from 
 him the seals of the vice-recjal Yamen. Yet at 
 the beginning of June he was still the virtual ruler 
 of the province, and in all the scenes of violence 
 enacted there at that time his hand was clearly 
 traced and seen to be still all-powerful. Our repre- 
 sentative in Peking will doubtless see to it that
 
 92 THE FAR EASTERN QUESTION chap. 
 
 the recent Imperial decree shall not turn out to 
 have been like former measures, mere stage thunder. 
 In any case, however, the downfall of Liu- Ping- 
 Chang, whose crimes at any rate stopped short of 
 bloodguiltiness, cannot produce any lasting effect 
 unless such fiendish atrocities as those perpetrated 
 in Fo-Kien are also more amply avenged than 
 they so far appear to have been. No commission 
 of inquiry conducted by Chinese officials, whether 
 in the presence or in the absence of European 
 Consuls, will ever reveal the connection which 
 exists between the immediate culprits and their 
 aiders and abettors in high places, nor is any 
 commission of inquiry necessary to establish a 
 connection which Chinese law itself deduces from 
 the principle of hierarchical responsibility. The 
 Powers have only to insist that the law shall be 
 enforced with the utmost rigour where missionaries 
 have suffered in the same way as it is enforced 
 where Chinamen have suffered, i.e., Chinamen 
 who possess sufficient influence and money to set 
 the law in motion. If the central Government 
 cannot or will not enforce its laws in such cases, 
 then we must take the task into our own hands. 
 We used at one time occasionally to do so, and 
 people in Canton have not yet entirely forgotten 
 that a very high official there was once placed 
 on board of a British man-of-war and deported 
 to Calcutta, where he was allowed the leisure of 
 a lifetime for repentance. Punishment in China
 
 VII MISSIONARY OUTRAGES IN CHINA 93 
 
 should be retributive if possible, but it must above 
 all be deterrent. There is an underground con- 
 nection between every viceregal Yamcn in China, 
 and an example made of one of them will be 
 felt at every provincial seat of government.
 
 CHAPTER VIII 
 
 THE FINANCIAL TOSITION OF CHINA 
 
 If China has shown greater imperviousness than 
 any other Eastern State to the influences of Western 
 civilisation, there is one point at least on which 
 her obstinacy has until recently stood her in good 
 stead. While other Eastern Powers, scarcely more 
 amenable than China to the wholesome influences 
 of the West, have eagerly welcomed the facilities 
 for reckless extravagance opened up by contact 
 with the modern money market, China has hitherto 
 shown in this direction a very laudable self-restraint. 
 The few small loans which she had from time to 
 time contracted abroad before the Japanese war 
 were always punctually discharged, and the total 
 outstanding amount is barely half a million sterling, 
 which but for the outbreak of hostilities would have 
 been paid off before now. Nor had she until then 
 any internal debt. Under the pressure of a disastrous 
 war she was driven to raise two loans abroad, one, 
 a silver loan of ^1,635,000 at 7 per cent., in
 
 CH. VIII THE FINANCIAL POSITION OF CHINA 95 
 
 December, 1 894, and one, a gold loan of ^3,000,000, 
 in February of this year. Besides these two loans, 
 contracted by the central Government on the 
 security of the Imperial Maritime Customs under 
 Sir Robert Hart's administration, the provincial 
 authorities obtained considerable advances from 
 local banks and from smaller foreign syndicates on 
 the same security. The total indebtedness repre- 
 sented by these advances has not yet been de- 
 finitely ascertained, but it may be safely put down at 
 between two and three millions sterling. In addition 
 thereto, and, at least in part, on the same security, 
 internal loans have been floated, which can only be 
 roughly estimated, but which probably do not fall far 
 short of ;j^5,ooo,ooo. Altogether, including the small 
 outstandinof balance of former foreio;n loans, the in- 
 debtedness of China at the close of the war, might 
 be estimated approximately at ;^ 12,000,000 to 
 ;^ 1 3,000,000. By the Treaty of Shimonoseki she 
 undertook to pay Japan a war indemnity of 
 200,000,000 Kuping taels, and for the retrocession 
 of the Leao-tong Peninsula the compensation which 
 she has to pay, has been fixed at another 30,000,000 
 taels, or in sterling altogether about ^40,000,000. 
 The total liabilities arising out of the expenditure 
 and penalties of war therefore amount to over 
 ;^50,ooo,ooo. How will China be able to meet 
 them ? 
 
 For a countrv of three or four hundred million
 
 96 THE FAR EASTERN QUESTION chap. 
 
 inhabitants and almost inexhaustible natural re- 
 sources such a burden ought not to be excessive. 
 But in this, as in every other respect, the same 
 standard cannot be applied to China as to other 
 countries. No trustworthy returns of revenue are 
 published, and such information as is accessible to 
 foreigners with reference to the receipts of the 
 Imperial Treasury in Peking is not only fragmentary 
 and of doubtful intrinsic value, but it is further 
 complicated by the latitude which the provincial 
 treasuries enjoy in the collection and expenditure 
 of revenue. The normal revenue which reaches 
 the Peking Treasury has of recent years been 
 variously estimated at between ^15,000,000 and 
 ^25,000,000. The discrepancy between these 
 estimates is, however, in a great measure due to 
 the different results shown by conversion at varying 
 rates of Chinese currency into sterling, and at the 
 present rate of exchange for silver it naturally 
 represents a much lower figure than it did a few 
 years ago. So long as the Chinese revenue had 
 no heavy gold payments to meet abroad, it was 
 not materially affected by the depreciation of 
 silver, but with a gold debt of ;^5o,ooo,ooo in 
 sight its situation in this respect is entirely changed. 
 Herr von Brandt, formerly German Minister in 
 Peking, and one of the best of living authorities, 
 adopts the figure of 100,000,000 taels — ^i5,ooo,ooO' 
 — as representing the annual revenue of the central
 
 THE FIXAN'CIAL POSITION OF CHINA 
 
 97 
 
 Government, and he subdivides it into the followingf 
 items : — 
 
 Taels. 
 
 Land tax ... ... ... ... ... ... ... 35,000,000 
 
 Maritime Customs, including inland duty on foreign 
 
 opium ... ... ... ... ... ... ... 23,000,000 
 
 Inland transit dues ... ... ... ... ... ... 12,000,000 
 
 Native Customs and native grown opium duty... ... 10,000,000 
 
 Salt monoply ... ... ... ... ... ... 10,000,000 
 
 Sale of titles and brevet ranks ... ... ... ... 5,000,000 
 
 Rice tribute ... 3,000,000 
 
 Licenses, &c. ... ... ... ... ... ... 2,000,000 
 
 Total ... ... ... ... Taels 100,000,000 
 
 This would appear an first sight to represent an 
 exceedingly low rate of taxation per head of 
 population, but, with the single exception of the 
 Maritime Customs, these figures, even if accurate 
 in themselves, convey no idea of the amounts 
 actually levied from the taxpayer. In view of 
 the colossal scale upon which the official classes 
 conduct their operations of public plunder, it may 
 safely be assumed that for every tael actually paid 
 into the Treasury in Peking at least four or five 
 more are extorted from the public, and melt awav 
 in the course of transmission throuo^h the nimble 
 fingers of a predatory hierarchy. It is strikingly 
 characteristic of Chinese methods that, always 
 with the exception of the Maritime Customs 
 revenue, the revenue annually paid into the 
 Peking Treasury never seems to vary. The 
 alternations of good and bad years, to which 
 China with her periodical famines and inundations 
 
 H
 
 98 THE FAR EASTERN QUESTION chap. 
 
 is more subject than perhaps any other country, 
 are never reflected in the returns of pubHc revenue. 
 In theory, no doubt, the explanation sounds plausible 
 enough, that the various provinces and districts 
 are assessed at a fixed annual sum, in accordance 
 with immemorial custom. But the same custom 
 also prescribes, at least in theory, that remissions 
 of taxation shall be allowed, especially in con- 
 nection with the land-tax, whenever unforeseen 
 visitations fall upon the tax-payer. As there are 
 few countries where such visitations are of so 
 frequent occurrence as in China, remissions of taxa- 
 tion, if they really took place, ought to produce 
 corresponding fluctuations in the aggregate receipts 
 of the Imperial Treasury. One can hardly help 
 inferring that as there is no trace of any such 
 fluctuations, the remissions themselves are only 
 " make see," like so many other things in China, 
 and that, while an immutable tradition has fixed 
 the amount with which the central Government 
 has to be satisfied, the rest is merely a matter of 
 private bargain between the provincial and the 
 Peking Mandarins. In fact, one notable exception 
 serves to prove that this is the rule. After the 
 wholesale impoverishment of the country by the 
 fearful ravages of the Taeping rebellion, the 
 assessment of the land-tax had to be reduced, 
 and the effect of this reduction was at once visible 
 in the diminished returns of public revenue which 
 have never since been brought up to their earlier
 
 VIII THE FINANCIAL POSITION OF CHINA 99 
 
 level. In the present condition of things, and so 
 long as there Is no prospect of any real reform in 
 its administration, the existing revenue probably 
 represents all that it can be expected to yield, 
 as well as all that the country can be expected 
 to pay. Perhaps, for a few years at least, some 
 shrinkage rather than any increase ought to be 
 expected ; for whilst the war was going on the 
 local authorities not infrequently levied the taxes 
 in advance, or lavished profuse promises of future 
 relief in return for immediate contributions, and 
 some of these promises might have to be at least 
 partially redeemed. 
 
 Fortunately for her, there Is one revenue upon 
 which China can rely, because, except as to owner- 
 ship, it Is Chinese only in name — to wit, the 
 Maritime Customs revenue, levied by foreigners 
 In her employ upon her foreign trade. This re- 
 venue represents about three-and-a-half millions 
 sterling at the present rate of exchange, and it 
 should therefore be sufficient to meet the Interest 
 of the debt of ^50,000,000 contracted in con- 
 nection with the recent war. It has formed the 
 security for the loans which China has already 
 raised, including the Franco-Russian loan, and 
 forms, indeed, the only security upon which under 
 existing conditions she can possibly expect to 
 borrow in foreign markets. Whether she has im- 
 proved Its value in the eyes of European financiers 
 by granting practically a first lien upon it to two 
 
 II 2
 
 loo THE FAR EASTERN QUESTION CHAP. 
 
 such masterful creditors as France and Russia, may 
 perhaps be doubted ; but it may be safely conceded 
 that, if France and Russia are not in a position 
 to reserve to themselves in future the exclusive 
 right of financing China, she will obtain assistance 
 from other quarters, and on more or less onerous 
 terms be able to meet out of the Maritime Customs 
 revenue the liabilities with which the war has 
 saddled her. 
 
 But does that dispose of the financial difficulties 
 of her position ? or does it not rather simply dis- 
 place them ? This revenue, which she has hence- 
 forth to surrender for the service of a foreign debt, 
 represents not only close upon a quarter of the 
 total revenue hitherto available for purposes of 
 general expenditure, but the most certain and 
 tangible of her revenues. She has spent it to 
 very little purpose in the past. Part of it has 
 gone to feed the Palace in Peking, a still larger 
 portion has been squandered on the creation of 
 armies and fleets which proved a mere snare and 
 delusion ; but, one way or another, it has gone to 
 keep up the appearances of Empire, and to supply 
 such stage properties as she has hitherto con- 
 descended to borrow from Western civilisation. 
 Even if no real reforms are to be looked for, if 
 the same game of " make see " is to be played in 
 the future as in the past, money will still be 
 required for it. The reorganisation of the army 
 and navy occupies a foremost place in the public
 
 VIII THE FINAN'CIAL POSITION OF CHINA loi 
 
 programme, and prospectively no doubt in the 
 private pecuniary calculations of every Mandarin, 
 "conservative," or "progressive"; and, even it 
 it once more produces only sham armies and sham 
 
 A STATION MASTER ON CHINA'S ONLY RAILWAY. 
 
 fleets, they will have to be paid for. Railways and 
 other public works, if they are to be built at all, 
 are to be built, according to the views still pre- 
 valent in Peking, by the Chinese themselves, either 
 out of revenue or with the proceeds of further
 
 I02 THE FAR EASTERN QUESTION chap. 
 
 loans, the service of which will have to be met out 
 of revenue — i.e., they are to be built with a maxi- 
 vmni of extravagance, roguery, and incompetence. 
 
 If it were conceivable that under the present 
 system of government even a relatively higher 
 standard of honesty could be introduced into the 
 public administration, the Treasury receipts might 
 at once show an increase which would easily meet 
 the new demands to be made upon it without 
 increasing the burden of taxation. But, as has 
 been already, I think, sufficiently indicated, such 
 a contingency is as inconceivable as that the 
 Emperor or his great satraps like Li Hung Chang 
 should sacrifice to the necessities of the State any 
 portion of the vast hoards of wealth which they are 
 known to have accumulated by the sweat of the 
 toiling millions whom they rule. The only altern- 
 ative which they might be compelled to contemplate 
 would be the surrender of some other branch of the 
 public revenue into the hands of a foreign adminis- 
 tration similar to that of the Maritime Customs. 
 But it must be remembered that the administration 
 of the Maritime Customs, as we know it to-day, 
 has grown up in spite of the Chinese Government 
 rather than with its active co-operation. When 
 Mr. Lay was first appointed more than thirty-five 
 years ago, to direct and assist the local authorities at 
 Shanghai in the collection of the Maritime Customs 
 of that port, the Chinese authorities never dreamt 
 of the importance which an institution so modest in
 
 VIII THE FINANCIAL POSITION OF CHINA 103 
 
 its origin was destined ultimately to acquire. The 
 dominant influence of England in Peking after the 
 war of i860 induced them to acquiesce in the 
 gradual extension of a service which annually 
 broueht into their coffers a more and more substan- 
 tial revenue. But even the brilliant success 
 achieved by Sir Robert Hart and the undoubted 
 loyalty both of the Inspector-General and of his 
 able staff to the best interests of China have never 
 overcome the jealousy and aversion of the ruling 
 classes for an organisation which they feel them- 
 selves powerless either to criticise or to upset. To 
 the present day, although — or perhaps rather 
 because — they know that every penny collected by 
 the Maritime Customs administration is faithfully 
 paid into the Chinese Treasury, they leave no stone 
 unturned to drive the import trade under native 
 control away from the ports where there is a Euro- 
 pean Customs administration to those under native 
 administration, with the result, for instance, that in 
 the Canton province the four ports where the 
 customs are collected by Sir Robert Hart's employees 
 yield a revenue of three million taels, while the forty 
 ports where they are collected by native officials 
 produce, or at least pay in, less than half a million 
 taels. While every other branch of the public 
 revenue remains absolutely stationary, that of the 
 Maritime Customs has doubled ; yet, with such an 
 object lesson in the value of integrity and order 
 constantly before its eyes, the Chinese Government
 
 I04 THE FAR EASTERN QUESTION chap. 
 
 remains obstinately blind to the substantial advan- 
 tages which would necessarily accrue from an 
 extension of the same principles of administration 
 to other departments. 
 
 Time and again it has been urged in its own 
 interests, and as a mere measure of financial policy, 
 to intrust Sir Robert Hart's administration with 
 the collection of the whole customs revenue, native 
 as well as foreign, and to place in the hands of 
 European officials the management of the salt 
 monopoly, which would be a source of immense 
 revenue if honestly and wisely administered, but is 
 to-day mainly an instrument of petty tyranny and 
 gross peculation. It is still in this direction rather 
 than in a more ambitious attempt to promote a 
 sweeping scheme of general reforms that foreign 
 pressure might at present be most usefully applied. 
 Even if the Emperor and the central Government 
 had any desire to introduce wholesale reforms into 
 the existing system of administration, they could 
 not supply the machinery for carrying their purpose 
 into effect, nor command the material force neces- 
 sary to overcome the resistance which they would 
 meet with at every point from the vested interests 
 of a powerful bureaucracy leagued together in 
 defence of time-honoured abuses. Any foreign 
 Power prepared to enforce such an undertaking 
 upon the rulers of China would have to furnish 
 both the machinery and the motive power to drive 
 it. It would practically have to take into its hands.
 
 VIII THE FIXANXIAL POSITION OF CHINA 105 
 
 to a far greater extent, for instance, than we have 
 done in Egypt, the real government of the country, 
 and, apart from the danger of international jealousy, 
 such a responsibility is not one to be lightly 
 incurred. 
 
 No country probably could be more easily ruled 
 by foreigners than China, for there is no people 
 more docile to its rulers than the Chinese. It is 
 little more than 200 years since the wearing of the 
 pigtail was imposed upon them as a badge of their 
 servitude to a new dynasty of alien conquerors, and 
 to-day there is not a Chinaman who recollects the 
 origin of, or does not glory in, his distinctive head- 
 dress. His conservatism lies in the spirit of 
 unquestioning obedience which he yields to his 
 rulers rather than in the form in which it is exacted 
 from him. But more powerful than the accidents 
 of foreign conquest has hitherto been the unchange- 
 able influence of the oroverninof classes through 
 whom the conquerors have ruled, and to whom 
 they have in turn succumbed. 
 
 In Egypt our veiled protectorate has been on the 
 whole fairly successful, because we have found 
 amongst the governing classes at least a certain 
 number of statesmen and officials willing to accept 
 the guidance of a handful of English administrators 
 and to recognise the ascendancy of England with- 
 out any direct assertion on her part of political 
 sovereignty. In China European influence, and 
 the influence of the present governing classes, are
 
 io6 THE FAR EASTERN QUESTION chap. 
 
 absolutely and hopelessly incompatible. The former 
 mig-ht sweep the latter away immediately upon the 
 assumption of direct sovereignty, and probably 
 none would regret the old order of things or refuse 
 to yield the same obedience to the new. But the 
 two could never be blended. Without the constant 
 application of physical force it is impossible to con- 
 ceive European or English officials working with 
 or through Chinese Mandarins to any effectual or 
 permanent purpose. A foreign administration like 
 that of the Imperial Maritime Customs can be 
 created and maintained, but only on condition that 
 it remains what it has been from the beginning, an 
 impermvi in imperio. Other branches of the 
 financial administration will have to be dealt with 
 in the same way if the Chinese Empire is to be pre- 
 served, not for its own sake, but for the sake of 
 European peace ; and, for the same reason, the con- 
 trol under which they will have to be placed must 
 be such as not to operate to the exclusive political 
 advantage of any single Power or group of Powers. 
 The central Government must be induced to place 
 the collection and management of other portions of 
 its revenue in the hands of European officials, im- 
 partially selected from different nationalities, who 
 will develop them in the same loyal and single- 
 minded way in which they have already developed 
 that of the Maritime Customs, and will thus enable 
 it to meet out of its own intrinsically ample re- 
 sources the growing expenditure of the future. This
 
 VIII THE FIXANXIAL POSITION OF CHINA 107 
 
 much the collective pressure of Europe ought to 
 achieve, and the authority of Peking over the pro- 
 vinces, weakened though it has doubtless been by 
 recent events, would still prove adequate for such a 
 limited purpose, if properly exerted under close and 
 constant supervision. Had France and Russia been 
 in a position to carry out in all its logical consequences 
 the policy of exclusivism upon which they originally 
 entered, by shutting out all other countries from 
 participation in further Chinese loans as they did in 
 the first, they would probably not have been dis- 
 posed to co-operate in any measure calculated, even 
 indirectly, to restrict the financial tutelage which 
 they aimed at establishing over China ; but as cir- 
 cumstances" have compelled them to leave the field 
 open for the capitalists of other countries, they can 
 hardly refuse to join with those Powers who merely 
 wish to insure, for the benefit of all the creditors of 
 China, the stability of her financial position.
 
 CHAPTER IX 
 
 FROM CHINA TO JAPAN 
 
 There can be few stronger contrasts than that 
 which presents Itself to the traveller who crosses 
 the few hundred miles of sea separating China 
 from Japan. It is like passing from night into 
 day, from an atmosphere laden with the oppressive 
 odour of decay into one charged with the ozone 
 of exuberant vitality. On the western shores of the 
 Yellbw Sea he has left behind him a countless 
 agglomeration of human beings which no homo- 
 geneity of race, language, or religion has availed 
 to weld together into a nation, a cumbersome and 
 corrupt bureaucracy which barely contrives to keep 
 the ponderous machinery of government moving in 
 the well-worn ruts of time-honoured abuses, and a 
 central authority, loose and shiftless at the best, and 
 now distracted to the verge of utter helplessness 
 and imbecility. On Its eastern shores he lands 
 amongst a people whose national vigour has been 
 strung to the highest point of tension by a stren- 
 uously centralised administration, which itself re-
 
 CHAP. IX FROM CHINA TO JAPAN 109 
 
 sponds in complete sympathy of intellect and heart 
 to the touch of enlio^htened and resolute rulers. 
 Alone amongst all Asiatic nations, Japan seems to 
 have realised in its fullest sense the modern 
 conception of patriotism, such as we understand it 
 in the West. In China the eyes of even the best 
 among the living generation are hypnotised by 
 constant contemplation of the dead past. In Japan 
 all eyes are straining towards the future. On the 
 one hand, the chaos of misrule, corruption, and 
 ignorance ; on the other, a rigid discipline based on 
 an individual sense of duty and an innate love of 
 order. In China an almost universal trend down- 
 wards into the common slough of despond ; in 
 Japan a combined effort to level upwards. In both 
 countries the low^er classes are patient and indus- 
 trious ; but whilst in China what remains to them of 
 the fruits of their industry after they have been 
 squeezed by their rulers is too often squandered in 
 opium smoking and in an insensate mania for 
 gambling, thrift is the rule in Japan. In both 
 countries they are easily governed, but in China 
 there is the dull, unreasoning resignation of the 
 overworked beast of burden, in Japan, the ready 
 acquiescence of a bright and light-hearted people 
 instinct with the joyousness of life. 
 
 No ordeal tries the mettle of a nation like war. 
 In China, save for here and there a few brutal 
 assaults upon some unoffending Japanese during the 
 exodus which followed the outbreak of hostilities, the
 
 no THE FAR EASTPZRN QUESTION CHAP. 
 
 dull indifference of the masses was rivalled only by 
 the callousness of their rulers. The army, with a 
 splendid physique, great powers of endurance, and a 
 strange indifference to death, except apparently on 
 the field of battle, showed itself to be a mere herd of 
 helpless coolies, and its officers proved themselves 
 if anything more worthless even than the rank and 
 file. The military Mandarins, despised by the 
 civilian literati, have no pride in their profession, 
 and treat their men with the same heartless con- 
 tempt which is meted out to themselves. In fact 
 they are never with their men, and least of all when 
 any fighting has to be done. A European en- 
 gineer on the Tientsin Shan-Hai-Kwang Railway, 
 over which thousands of troops were conveyed 
 during the war, assured me that he had never once 
 seen in charge of them an officer of higher rank than 
 a captain — and a Chinese captain is only a coolie 
 promoted from the ranks. The canon of proprie- 
 ties forbids an officer going near his men — except 
 in order to gamble with them and reduce their 
 pay-sheet by his winnings. The distance which 
 must be preserved on parade and in battle 
 order between the troops and the officers in com- 
 mand of them is laid down in the Chinese text- 
 books with edifying precision. It varies, according 
 to the rank of the military Mandarins, from 1,200 to 
 3,000 paces. It may be imagined what sort of 
 control an officer sitting at such a safe distance in 
 his palanquin, or, if by chance riding on horseback,
 
 IX 
 
 FROM CHINA TO JAPAN 
 
 supported in his saddle according to the rules of 
 etiquette by a posse of servants on foot is likely to 
 have over his men. A Chinese camp is very 
 Chinese indeed. To begin with, everything that 
 should be left undone is done to make it as con- 
 spicuous as possible to the enemy. Just as every 
 
 A CHINESE BRAVE. 
 
 Chinese soldier wears on his dark-coloured coat, 
 both back and front, a large white circular patch 
 embroidered with the name of his company and 
 regiment which stands out at a thousand yards like 
 the bull's eye of a target, so every Chinese camp is 
 marked out against the skyline by a gaudy array
 
 112 THE FAR EASTERN QUESTION chap. 
 
 of flags and pennants with the standard of the 
 commander flaunting above the rest on a lofty 
 scaffolding right in the centre. The camp itself 
 consists of a collection of quadrangular pens enclosed 
 by mud walls, in which the men are huddled 
 together in batches of five hundred or a thousand, 
 whilst the regimental or headquarter staffs live in 
 comparative luxury in neighbouring villages, and 
 devote their chief energy to defrauding the troops of 
 the largest possible proportion of their rations and 
 pay. What wonder that under such conditions the 
 Chinese army has been a terror not to the enemies 
 whom it was sent to fight, but to the unhappy 
 peasantry of the district where it was quartered ! Of 
 discipline there could not be a vestige, though now 
 and again a Mandarin might attempt to repress the 
 savage lawlessness of his men by some condign act 
 of severity equally savage and lawless. On one 
 occasion, for instance, a vendor of bread and cakes 
 whose shop had been ransacked by marauders 
 wearied the General by his lamentations into telling 
 him that, if he could produce one of the offenders, 
 justice should be done him. He forthwith 
 denounced one of the soldiers present, and the 
 General gave orders for the delinquent to be then 
 and there ripped open. If the result showed that 
 he had deserved punishment, well and good. If 
 not, the plaintiff would be subjected to the same 
 penalty for having traduced him. The operation 
 was performed ; from the bleeding entrails of the
 
 IX FROM CHINA TO JAPAN 113 
 
 poor wretch material evidence of his guilt was 
 produced. Chinese justice had been done ! 
 
 Japan is a nation of hero worshippers, undis- 
 criminating, perhaps, at times in the objects of its 
 worship, but always accessible to the highest forms 
 of emotion. The enthusiasm of the army for the 
 first time called out for active service was equalled 
 only by the enthusiasm of the people for the army. 
 To the impression made by the Japanese army In 
 the field upon a trained observer, Surgeon-Colonel 
 W. Taylor, who acted as British military attache 
 during the war, has recently rendered an impartial 
 testimony in the course of a lecture delivered to his 
 brother officers at Aldershot. " It was," he said, " In 
 no sense an exaggeration to say that the progress 
 made by Japan In recent years, and more especially In 
 the organisation of her army and navy, was unknown 
 to western nations up to the date when the late war 
 with China broke out. That she possessed a military 
 service of a certain strength and made up of different 
 branches considered necessary parts of a modern 
 army was doubtless known to the Intelligence 
 Departments of the European nations, but not one 
 of these had the slightest idea of the high state of 
 efficiency to which the military organisation had 
 been brought or of the splendid discipline, hardihood, 
 and bravery of the soldiers of which the Japanese 
 army was composed. Nor was it appreciated that 
 Japan had physicians and surgeons of the highest 
 standing, many of whom had taken first-class 
 
 I
 
 114 THE FAR EASTERN QUESTION chap. 
 
 honours in American and European schools, and 
 some of whom were pioneers in bacteriological and 
 other branches of scientific research. Recognising 
 that trained soldiers were worth looking after and 
 caring for, that it was necessary to keep them in 
 health, and that humanity demanded the relief or, at 
 any rate, the alleviation of all suffering, she organised 
 her Army Medical Department. The effect of that 
 organisation was such that there was no nation in 
 the world — not even Germany — to whom Japan 
 could not teach many lessons, so perfect and com- 
 plete was her system of medical service." 
 
 In the eyes of the Japanese themselves the warlike 
 achievements of a national campaign conducted on 
 the most approved principles of modern science 
 represented but the natural evolution of those feudal 
 virtues which fired the imagination of their ancestors, 
 and had ever formed the favourite themes of their 
 poets. There was not a hamlet in the most secluded 
 country side which did not thrill to every episode of 
 the war and deck itself out in all the bravery of 
 bunting and triumphal arches to welcome back its 
 own small contingent of battle-stained warriors. 
 Even the bearers and coolies, the humblest of non- 
 combatant camp-followers, had their share in the 
 joyful home-coming. In China I had seen the 
 wretched soldiers, dismissed with a mere pittance 
 from the colours, begging and bullying their way 
 home to their distant provinces. In Japan, I saw 
 the whole population of a small village in the hills
 
 IX FROM CHINA TO JAPAN 115 
 
 of Hakona turn out to struggle for the gratuitous 
 honour of taking in a batch of invalided soldiers, 
 who had been sent up from the hospitals of Tokyo 
 to recruit their strength in the more bracing air of 
 the mountains. The one explosion of savage 
 revenge provoked at Port Arthur by the atrocities 
 which the Chinese had committed upon their 
 prisoners should be remembered mainly as the 
 solitary exception to the rule of rigid discipline 
 maintained throughout the rest of the campaign, 
 and against it may well be set off the friendly rela- 
 tions universally established between the conquerors 
 and the peasantry of the Chinese districts which 
 they occupied, and the security enjoyed throughout 
 Japan by the Chinamen who elected to remain on 
 there during the war. The appeals made by so 
 many Chinamen in the neighbourhood of Wei-Hai- 
 Wei and in other districts which the Japanese have 
 to evacuate, begging to be naturalised as Japanese 
 subjects, are an eloquent tribute to the justice and 
 generosity of Japanese administration even in a 
 conquered country. 
 
 Of the statesmanship which presides over the 
 destinies of the two countries, the relative value is 
 clearly and indelibly set forth in the pages of their 
 respective history during the last thirty years. 
 Personal acquaintance with its chief exponents on 
 either side merely brings out the contrast in sharper 
 relief. I had met Li Hung Chang in Tien-tsin, 
 and a few weeks later it was my privilege to meet 
 
 I 2
 
 ii6 THE FAR EASTERN QUESTION chap. 
 
 the Japanese Prime Minister, Count I to, in Tokyo. 
 Comparisons are proverbially odious, and in this 
 case it might scarcely be a compliment to Count 
 Ito even to institute a comparison. I need merely 
 say that Count Ito not only talked with me in my 
 own language, slowly and somewhat laboriously, 
 yet with correctness and lucidity, but displayed, in 
 the course of a long conversation, a profound 
 acquaintance with the ideas and methods of 
 European civilisation, together with an independent 
 and sometimes critical but always friendly and 
 thoughtful judgment concerning the limits wathin 
 which their assimilation was desirable or possible 
 from the point of view of his own country's 
 material needs and ethical idiosyncrasies. 
 
 But even in those features which must appeal to 
 the casual traveller, the contrast is no whit less 
 startling. Of the Chinese capital I have already 
 attempted to draw what can at best be a faint and 
 very imperfect picture. But the stately isolation 
 and antiquity of Peking spread a certain glamour 
 over the remnants of a once mighty civilisation even 
 in the last stage of decomposition. To realise fully 
 the abomination of a Chinese town, one must pass 
 straight out of the cleanliness and symmetry of the 
 foreign settlements in Shanghai, into the filth and 
 stench and chaos of the native city. They are 
 divided only by a broad thoroughfare and a deep 
 archway under the ruinous walls of the Chinese 
 city. On the one side, under a peculiar but
 
 IX FROM CHINA TO JAPAN 117 
 
 eminently practical form of municipal self-govern- 
 ment, has risen within the last four decades a busy, 
 thriving, well-drained, well-ordered, well-lighted city, 
 with an excellent supply of water, with spacious 
 promenades, with handsome well-kept streets, with 
 commodious houses and fine public buildings, with 
 immense warehouses and business premises, and 
 along the whole-river side, a succession of magnifi- 
 cent quays and commodious docks, fitted in fact 
 with all the modern appliances, which have enabled 
 it to become one of the greatest shipping centres of 
 the world, and the greatest emporium of trade in 
 the Far East. On the other side, under the blight 
 of Mandarin misrule, the ancient native city is slow- 
 ly rotting away in the decrepitude and sloth of its 
 palsied old age. The more enterprising of its 
 inhabitants are gradually migrating into the 
 European settlements where as law-abiding citizens 
 they enjoy in peace and security the abundant 
 fruits of their natural intelligence and industry. 
 But upon the rest, and especially upon the ruling 
 classes, the object-lesson which lies at their very 
 doors, in even the material advantages of Western 
 civilisation, is absolutely and hopelessly wasted. 
 The European municipalities, anxious to mitigate 
 the dangers which must always arise from the 
 proximity of such a hot-bed of infection, tried to 
 induce the authorities of the native city to have 
 at least a supply of wholesome water laid on from 
 the European waterworks. Very easy terms were
 
 ii8 THE FAR EASTERN QUESTION chap. 
 
 offered, and strenuous official pressure was applied, 
 but in vain. The precincts of the Chinese city 
 were not to be contaminated by clean water filtered . 
 in European cisterns. 
 
 Outside the cities, and generally in the rural dis- 
 tricts of China, one breathes a healthier and freer 
 atmosphere. The peasantry are friendly, and the 
 further they are removed from the demoralising 
 influence of the big Mandarins, the more the con- 
 tentment of undisturbed industry is reflected in their 
 peaceful homesteads, the more also one realises that 
 whatever there is left of prosperity in China has 
 survived in spite of its rulers. Roads, canals, public 
 works of every kind, except under the pressure of 
 some alarming cataclysm, are left to shift for them- 
 selves, and what remains of them simply serves to 
 emphasise the contrast between the past and the 
 present. It is a cruel sight to see the miserable 
 waste of human toil and animal suffering entailed 
 by the neglect of the most ordinary duties of the 
 State. Long files of camels and of mules can pick 
 their way with relative ease, even under heavy bur- 
 dens, over the well-worn tracks which, except at 
 certain seasons, afford much better going than what 
 are by an excessive euphemism still termed the Im- 
 perial roads. But with the conservatism peculiar to 
 China, wheel traffic, which dates back to the time 
 when there were real roads, is still maintained long 
 after the roads have ceased to exist. Four, six, and 
 even eight horses or mules are harnessed to the
 
 IX FROM CHINA TO JAPAN 119 
 
 cumbersome overloaded waggons, and by dint of 
 blows and curses from their drivers, contrive some- 
 how to drag them along over boulders and through 
 ruts, which in any other country would be looked 
 upon as simply insurmountable. Presently there 
 comes a steep declivity, and to supply the place of a 
 brake, one or two of the unfortunate animals are 
 detached from the team, and secured by long ropes 
 from their collar-piece to the rear of the waggon. 
 Then, as the ponderous vehicle stumbles down the 
 hill-side, a couple of drivers, facing the wretched 
 beasts, belabour them on the head with the heavy 
 thongs and still heavier handles of their whips until 
 forced back upon their hind-quarters they slither 
 down the incline, panting and quivering in every 
 nerve, but counteracting by their struggles the 
 downward momentum of the cart. Perhaps it is 
 only fair to add that the men who have at the same 
 time to act as drags upon the wheels do not fare 
 very much better than the four-footed brakes in the 
 rear, except that they know what they are about, 
 and do not require to be mercilessly beaten. This 
 is however only one of many incidents which 
 illustrate the brutalising effect upon the people of 
 a callous and pitiless ruling class. Not only the 
 moral, but the physical sensitiveness to pain be- 
 comes blunted, and the most exquisite refinements 
 of torture merely arouse among the spectators feel- 
 ings of curiosity and of amusement, rather than of 
 disgust. The same kind of atrophy seems to have
 
 I20 THE FAR EASTERN QUESTION chap. 
 
 impaired even the artistic sensibility of the people, 
 and with few exceptions the best work that is pro- 
 duced in China to-day is only a feeble imitation, 
 when it is not a mere caricature, of the masterpieces of 
 earlier times. Many of the most beautiful processes 
 of workmanship have been altogether lost, and 
 the spirit which informed them in the days of Kien 
 Lung or of Kiang Hshi is extinct. There is a general 
 impression that China has merely stood still whilst 
 other nations have progressed. But she has in 
 reality proved no exception to the rule that nations 
 must move either forwards or backwards. She was 
 undoubtedly the first to invent most things, from 
 gunpowder to the Wagnerian leit motiv, of which the 
 principle is clearly discernible amidst the distressing- 
 cacophony to Western ears of her interminable 
 lyrical dramas, and she had reached a relatively 
 high standard of civilisation at a time when our 
 ancestors in Northern Europe were little better 
 than savages. But she has been able to perfect 
 nothing ; and though it is difficult to specify the 
 date when she reached the zenith of her prosperity, 
 there are ample indications that within the last one 
 or two centuries she has been from every point of 
 view steadily and even rapidly declining. What we 
 see to-day is not merely stagnation, but decay. 
 
 In Japan, on the other hand, the past is only the 
 picturesque background which throws into relief the 
 achievements of the present and the promise of the 
 future. It is needless for me to expatiate upon the
 
 IX FROM CHINA TO JAPAN I2r 
 
 natural beauties of the fair Island Empire of the 
 Far East, or upon the quaintly fascinating manners 
 of its people. For they are nowadays familiar to 
 every one, either from personal knowledge and from 
 the many excellent works produced by more com- 
 petent authorities than I can claim to be. But in 
 order thoroughly to appreciate either the country 
 or the town life of Japan, there can be no better 
 preparation than a visit to China and to the Chinese 
 capital. Tokyo may not rival Kyoto, the former 
 capital of the Mikados, in historical interest or 
 natural beauty ; but it combines, even more strik- 
 ingly, most of the graceful features of Japanese 
 national life with all the appliances of modern 
 civilisation. In its broad and well-kept streets, 
 over which stretches an intricate network of tele- 
 phone and telegraph wire, the native jinriksha still 
 holds its own with the electric tramway and the 
 omnibus. The tall chimneys of gigantic factories, 
 where the nascent industry of the Far East is 
 already competing successfully with the old manu- 
 facturing centres of the West, overshadow but do 
 not crush the tiny workshops where the skilled 
 artisan puts into his patient labour the individuality 
 of an artist's soul. The merry twinkle of thousands 
 of Japanese lanterns has not been subdued by the 
 more searching brilliancy of the great arc lights 
 which constellate the sky above. The fierce spirit 
 of olden times has departed from the Japanese forms 
 of worship ; but the stately shrines of Shiba and
 
 122 THE FAR EASTERN QUESTION chap. 
 
 Asakusa have not lost their hold upon the romantic 
 imagination of a poetic people, and the beautiful 
 parks and gardens which surround them, thrown 
 open to all comers, are the favourite resorts of 
 holiday-makers as well as of devotees. Not the 
 least interesting of the many curious and novel 
 features which Japan presents is the rapid assimi- 
 lation, by a people upon whom dogmatic Christianity 
 at least appears to take no hold, of a civilisation 
 which historical experience has hitherto led us to 
 consider well-nigh incompatible with any other form 
 of religion than Christianity. 
 
 The kindly welcome everywhere extended to the 
 foreigner by the highest and the lowest may pos- 
 sibly spring rather from the inborn courtesy of the 
 Japanese than from any special friendliness towards 
 Europeans. But the charm of polished and kindly 
 manners, no less than the exquisite Dutch-like 
 cleanliness which seems to form part and parcel 
 of the Japanese nature, materially enhances the 
 pleasure of travel in a singularly beautiful country, 
 which combines, perhaps more than any other, the 
 interest of strange and unfamiliar surroundings with 
 the requirements of physical comfort. Railways 
 running north and south from Tokyo bisect 
 in its entire length the great central island. The 
 Biwa-Canal, which, tunnelled for a couple of miles 
 through the heart of a mountain chain, has brought 
 the rich agricultural district watered by the Biwa 
 Lake into direct water communication with Kyoto,
 
 IX FROM CHINA TO JAPAN 123 
 
 is a feat of native engineering, conceived and exe- 
 cuted solely by Japanese, that may well deserve 
 comparison with the Periyar Canal in Southern 
 India, a somewhat similar work on a yet larger 
 scale, which ranks as one of the proudest achieve- 
 ments of Anglo-Indian engineering science. Har- 
 bours and lighthouses, the regulation of rivers, 
 the construction of roads and bridges, the growth 
 of thriving industrial cities such as Osaka, of busy 
 shipping centres such as Yokohama and Hiogo, the 
 rapid development of a large mercantile marine, all 
 bear witness wherever one turns to the ardour and 
 intelligence with which Japan has equipped herself 
 to take her part and to hold her own in the more 
 peaceful competitions as well as in the armed 
 struggles of the modern world. Nothing perhaps 
 is more significant in this respect than the marvel- 
 lous exhibition of native industries held this year at 
 Kyoto. In spite of the tremendous strain to which 
 the whole life of the nation was subjected, not only 
 by the war with China, but by apprehensions of 
 still graver struggles, the Japanese could yet spare 
 out of the superabundance of their energy enough 
 time and thought and enterprise to achieve a no 
 less signal if more pacific triumph in the field of 
 industry.
 
 CHAPTER X 
 
 THE JAPANESE INDUSTRIES AT THE KYOTO EXHIBITION 
 
 On the principle that a Jack-of-all-trades can be 
 master of none, it is often assumed that so versatile 
 a people as the Japanese must necessarily be super- 
 ficial. As a matter of fact thoroughness rather than 
 the superficiality generally imputed to them, seems 
 to be one of their chief characteristics. The history 
 of the recent campaign must have satisfied even 
 the most sceptical critics on this point, as far at 
 least as their military organisation and adminis- 
 tration are concerned, though it may be contended 
 that the fighting mettle of their troops was never 
 subjected to any very severe test. The industrial 
 exhibition held this year at Kyoto must have con- 
 vinced any impartial visitor that they can equally 
 excel in the arts of peace. 
 
 Everything that the Japanese do bears the 
 impress of careful thought, and one cannot help 
 believing that in selecting for the site of the most 
 important industrial exhibition hitherto held in 
 Japan the ancient capital where the Mikados were
 
 CHAP. X JAPANESE INDUSTRIES 125 
 
 enthroned before the days of the great national 
 awakening in an atmosphere of exclusiveness 
 scarcely less forbidding than that which still sur- 
 rounds the Son of Heaven in Peking, they aimed at 
 one of those subtle contrasts in which their artistic 
 nature delights. Like the ancient Greeks and the 
 Italians of the Renaissance, they have an innate 
 sense of the beautiful, and, owing to the absence of 
 all apparent effort, one is apt to overlook the intel- 
 lectual discipline under which their sesthetic instinct 
 has been trained and matured. No one, for Instance, 
 who has visited the marvellous temples of Nikko 
 can fall to have been struck with the impressiveness 
 of the frame In which they have been set. On the 
 terraced slopes of a mountain valley the royal tombs 
 of Yemitsu and Yeyasu stand out in the opalescent 
 glory of their delicate workmanship against an 
 austere and majestic grove of lofty cryptomerlas, 
 giant kings of the forest that lived for centuries 
 before and will for centuries outlive the monarchs 
 who lie buried at their feet. We know now from 
 those who have studied the art literature of Japan 
 that this contrast, both natural and symbolical, was 
 deliberately planned and purposed in all its details. 
 The Japanese cedars rival even those of California 
 in height and girth, and their imperishable grandeur 
 and sombre foliage were marked out not only to serve 
 as a foil to the exquisite daintiness and many-coloured 
 brilliancy of these dainty shrines, whose lace-like 
 tracery and carvings and lacquered panels and
 
 126 THE FAR EASTERN QUESTION chap. 
 
 burnished columns and incrustations of solid gold 
 seem amidst such surroundings to be almost as 
 diaphanous and evanescent in their beauty as the 
 wings of a butterfly or the hues of a rainbow, but 
 also to remind the worshipper that man's life, how- 
 ever bright, is only a transient sunbeam which lights 
 up but once for every one one single little spot on 
 the mysteriously revolving sphere of countless ages. 
 Equally suggestive, though of another order of 
 ideas, is the contrast between the Japan of yester- 
 day which lingers still untouched in the older 
 quarters of Kyoto, the City of many Temples, and 
 the Japan of to-day and of to-morrow which does 
 the honours of a thoroughly modern exhibition held 
 in celebration of the eleven hundredth anniversary 
 of the foundation of the city. Within sound of 
 the big bell of Chion-in, which has boomed forth 
 to so many generations of Buddhist worshippers its 
 deep-mouthed call to prayer, within sight of the 
 mediaeval castle where even after the Shogunate had 
 capitulated to Western pressure, the Mikados less 
 than thirty years ago still schemed and plotted to 
 keep the "barbarians" out of the "land of the 
 gods," Japan has given living testimony to the 
 reality of the new spirit henceforward associated in 
 her history with the year-name of Meiji. The 
 gates of Japan remained closed for more than a 
 quarter of a century longer than those of China 
 against every form of European intercourse, but 
 when they were at last thrown open, although as in
 
 X JAPANESE INDUSTRIES 127 
 
 China at first only under compulsion, they were thrown 
 almost at once wide open without any of the mental 
 reservations which have helped China to maintain in 
 spite of treaties the inflexible rigidity of her moral 
 isolation. Only twenty-seven years have elapsed 
 since the one hundred and twenty-third sovereign 
 of a dynasty which has reigned for nearly twenty- 
 seven centuries in unbroken succession over the 
 Island Empire of the Far East realised that the 
 time had arrived to apply to his country the moral 
 of the ancient Japanese proverb that " when men 
 become too old, they must be led by the young." 
 The Kyoto Exhibition contains an epitome of all 
 that Japan has learned during these twenty-seven 
 years from the ripe experience of the West, not 
 learned merely by rote and slavishly copied, but 
 inwardly digested and moulded to her own needs 
 and informed with her own spirit. 
 
 The exhibition buildings in themselves cannot 
 claim any more originality or beauty than is usually 
 to be found in such temporary structures, but from 
 the outside they are not unsightly and inside they 
 are well-lighted, well-ventilated, of course kept 
 scrupulously clean, and conveniently arranged and 
 distributed. The contents show the whole rano-e of 
 Japanese industry ; and within the short space of a 
 quarter of a century, the range of Japanese Industry 
 has so swiftly and steadily broadened out in every 
 direction that it may be said to fall very little short 
 now of the whole range of the world's industry,
 
 128 THE FAR EASTERN QUESTION chap. 
 
 whilst in all those branches which are indigenous to 
 the soil of Japan, it has lost little, if anything, of 
 its artistic originality and traditional pre-eminence. 
 A very brief inspection suffices to dispel one of the 
 many myths prevalent abroad with regard to 
 modern Japan, viz., that she has sacrificed her 
 aesthetic idealism to the practical advantages of a 
 thriving wholesale business in second-rate " art 
 manufactures." Undoubtedly in the seaports chiefly 
 frequented by the omnivorous globe-trotter as well 
 as in many European shops, plenty of Japanese 
 rubbish, not to speak of still baser imitations manu- 
 factured in Europe, can be found to-day which 
 twenty years ago no Japanese workshop would have 
 produced or existed to produce. The Japanese are 
 far too good traders to refuse to supply any demand 
 which arises in the foreign market, and they are not 
 to be blamed if the demand includes much which is 
 "cheap and vulgar." But that is not, after all, a 
 phenomenon peculiar to Japan, nor has it impaired 
 the ability of the Japanese to supply the demand 
 which still exists and grows both at home and 
 abroad for the highest and most perfect forms of 
 their national art industries. Only an expert could 
 fittingly describe all the exquisite exhibits at Kyoto 
 which testify to the splendid vitality of Japanese 
 art. The crackled ware of Satsuma, which not long 
 ago seemed doomed to extinction, has once more 
 resumed its place in the front rank of Japanese 
 ceramic art, while the egg-shell porcelains of Mino,
 
 X JAPANESE INDUSTRIES 129 
 
 the rich colouring of the Kutani ware, and the 
 potteries of Kyoto itself, show that for variety of 
 conception and for brilliancy as well as softness ot 
 tone the best specimens of the present day can well 
 stand comparison with those of the past. Nor 
 have the modern metal-workers and carvers in 
 ivory lost their cunning, though perhaps to this 
 more than to any other branch of Japanese art may 
 be applied nowadays the somewhat severe judgment 
 that " it is o^reat in small things and small in ereat 
 things." The genius which inspired the great 
 bronze Buddha of Kamakura, that immortal monu- 
 ment of " the peace which passeth all under- 
 standing," belongs to far off centuries, and its secret 
 had been lost long before there was any question of 
 contact with Europe. On the other hand the 
 Japanese lacquerers who so soon outstripped their 
 Chinese teachers have scarcely ever turned out 
 finer specimens, especially of the matchless gold 
 lacquer, than at the present day, and the art of 
 cloisonnt^ enamelling may be said to have been only 
 now brought to perfection, the modern work of both 
 the Kyoto and the Tokyo schools, each so distinct 
 and so beautiful of its kind, combining with the 
 accuracy and sobriety of design of the older models 
 a. hitherto unknown delicacy of colouring and 
 perfection of finish. The oil and water-colour 
 paintings of the Europeanised school are merely 
 the creditable productions of young Japanese artists 
 who have studied chiefly in Paris, but there is 
 
 K
 
 I30 THE FAR EASTERN QUESTION chap. 
 
 plenty of g-ood work in the old Japanese style to 
 show that the influence of the Qrreat artisan-artists 
 did not disappear altogether with Kyosai, although 
 it is apparently the fashion to look upon his death 
 in 18S9 as the end of Japanese painting. Still less 
 can one deny to the modern Japanese embroideries, 
 and to the hand-paintings on silk and on velvet, a 
 wealth of imagination and a tastefulness of execution 
 at least equal to the best work of the past. In fact, 
 if I may be allowed as a layman to express a 
 personal opinion, which however is also that of not 
 a few more competent judges, it would seem that, 
 generally speaking, the native industries more es- 
 pecially influenced by the aesthetic temperament of 
 the people have altogether gained far more by the 
 adoption of improved modern processes than they 
 have lost by the relative vulgarisation which must 
 in some measure accompany a largely increased 
 production. 
 
 But even if one were prepared to acquiesce in 
 the verdict of the most despondent laudator tem- 
 poris acii, and to regard as inevitable the extinction 
 of all those forms of art which we are in the habit 
 of associating with Old Japan, neither the actual 
 nor the prospective achievements of Modern Japan 
 in the wider fields of the world's industries would 
 be thereby materially affected. These form after 
 all perhaps the most important, though not the 
 most attractive side of the Kyoto Exhibition, for 
 in them we have the material evidence of the extra-
 
 X JAPANESE INDUSTRIES 131 
 
 ordinary energy and quickness of apprehension and 
 adaptability of a singularly gifted race. If George 
 Eliot's definition of genius as an infinite capacity 
 for taking pains cannot be altogether accepted as 
 satisfactory, there is no people to whose genius it 
 would seem so applicable as the Japanese. At first 
 they no doubt applied themselves merely to copy the 
 products of European industry, and, as with all 
 beginners, their first attempts were often clumsy 
 and imperfect, but with unswerving tenacity of 
 purpose they kept on plodding away until they had 
 in most cases remedied their defects, and in some 
 improved even upon their models. Within twenty- 
 five years they have learned to produce thousands 
 of articles, from European boots and hats to grand 
 pianos and steam-boilers, of the very existence of 
 which they scarcely dreamed a quarter of a century 
 ago ; and not only do they produce them now in 
 ever-increasing quantities and of an excellent 
 quality, but, owing to a variety of circumstances, 
 some accidental but others permanent, they can 
 actually produce them cheaper than in the older 
 industrial centres of the West. Too much con- 
 fidence, I was told, should not be placed in the 
 indications of prices attached to the exhibits, as 
 some of the Japanese manufacturers were apt to 
 appraise their wares below the real current rates 
 with a view to influence the jury for the dis- 
 tribution of aw^ards, whilst taking care at the same 
 time to label them as " Sold " in order to avoid 
 
 K 2
 
 132 THE FAR EASTERN QUESTION chap. 
 
 the risk of having to part with them at a loss. 
 But it is only fair to say that in the few cases 
 where I was able to put this statement to the test, 
 I had no difficulty in obtaining the same articles at 
 the prices affixed to the exhibition samples. 
 
 One of the sections which naturally claims the 
 chief attention of an English visitor is that of 
 textiles, for it includes those manufactured pro- 
 ducts which already compete only too success- 
 fully with those of Lancashire and India, viz., 
 cotton yarns of every grade, and piece goods of 
 every variety. Here, too, can perhaps be seen in 
 its simplest and most striking form the ability of 
 the Japanese not only to turn out the cheapest 
 work possible where it is of a purely mechanical 
 order, but to invest it whenever there is the 
 slightest scope for their artistic feeling, as in the 
 patterns of the commonest cotton fabrics, with a 
 charm of grace and originality peculiarly their own. 
 The silk manufactures, and especially the finer 
 classes of flowered silks and brocades, of course 
 display these artistic qualities in a still higher 
 decree. The woollen industries are still in their 
 infancy in Japan, but there is enough to show how 
 rapidly the supply is following on a demand which 
 has only sprung up of quite recent years. The 
 Australians have already their eye on Japan as a 
 great future market for their wools, and considering 
 the relative proximity of the two countries, our 
 Australasian colonies may well look forward to sup-
 
 X JAPANESE INDUSTRIES 133 
 
 plying a raw material which Japan herself can hardly 
 be said to produce. 
 
 To give a list of the exhibits in the galleries 
 devoted to the miscellaneous industries of Euro- 
 pean origin, but now already acclimatised in Japan, 
 would be merely to give a list of almost every 
 article which can be purchased in Oxford Street or 
 Cheapside at the hosiers' and haberdashers', at the 
 trunk-makers' and watch-makers', at the shoe- 
 makers' and hatters', at the cutlers' and perfumers', 
 at the jewellers' and goldsmiths', at the grocers' and 
 the ironmongers', at the stationers' and saddlers', 
 at the umbrella-makers' and the toy shops, and so 
 on ad injinitiim. If for intrinsic quality and 
 fashionable finish they cannot yet be said to stand 
 comparison with the best articles of the same 
 category in first-class London shops, it would be 
 just as great a mistake to imagine that they are 
 mere "shoddy" imitations. In fact the relative 
 inferiority of quality is in most cases trifling com- 
 pared with the relative inferiority of price. Where 
 the greatest delicacy of workmanship is most 
 essential, the Japanese lightness of touch and 
 precision of eye produce almost perfect results, 
 as in the manufacture of scientific instruments, 
 mathematical, optical, photographic, and specially 
 those for purposes of surgery and dentistry. I 
 chanced to meet in front of one of the cases 
 devoted to this class of exhibits a young German 
 surgeon, the assistant of a well-known specialist,
 
 134 THE FAR EASTERN QUESTION chap. 
 
 who was lost in admiration over the finish of the 
 work, and in astonishment over its cheapness. He 
 pointed more particularly to some minute scales 
 for weighing infinitesimal quantities, which, he 
 assured me, could scarcely be matched in Europe, 
 and certainly not for less than twice the price. 
 Not less conspicuous is the ability displayed in 
 adapting agricultural and other mechanical imple- 
 ments to the special needs of the Japanese cultivator 
 and artisan. 
 
 Strangest of all, perhaps, in this strange revelation 
 of industrial life, but yesterday still unborn, and now 
 already ripening into the full vigour of maturity, is 
 the roar of steam engines and electro-motors in the 
 spacious gallery set apart for machinery, — machinery 
 not of foreign importation but of Japanese make, 
 derived indeed from foreign models, but applied to 
 the purposes of Japanese manufacture, weaving 
 looms and printing presses, spinning frames and 
 driving gear, &c. This part of the Exhibition 
 represents no doubt rather a suggestion of the 
 future than the actual achievements of the present, 
 for Japan will probably for many years to come 
 have to draw from abroad the greater part of her 
 supply of machinery which figures in the import 
 lists of 1894 for no less than half a million sterling. 
 But considering the enormously rapid strides which 
 she is making, there is really no future which can 
 be looked upon in respect of the development of 
 her industries as indefinitely remote.
 
 X JAPANESE INDUSTRIES 135 
 
 By no means the least instructive spectacle which 
 the Kyoto Exhibition presents is the attitude of the 
 native visitors of all classes and conditions whom it 
 has attracted from all parts of the country. The 
 Japanese are undoubtedly a pleasure-loving race, 
 but only on the principle that " all work and no play 
 makes Jack a dull boy," and even when on pleasure 
 bent they have essentially a frugal mind, and if 
 circumstances anyhow permit, still an eye for 
 business. The passenger rates at which the 
 Government contrives to work its railways, and to 
 work them at a large profit, are to our Western 
 notions at all times ridiculously low, scarcely one 
 farthing a mile third class, and for visitors to the 
 Exhibition return tickets have been issued at the 
 price of a single fare ; so that the Tokyo artisan, for 
 instance, can travel to Kyoto and back, a distance of 
 some 650 miles, for less than eight shillings ; and as 
 another shilling a day amply covers his expenses for 
 food and lodging, the excursion is well within the 
 reach of even his slender purse. As an illustration 
 of what Japanese prices are, a dish of hot, fresh, and 
 fragrant tea, including a teapot and a cup of coarse 
 but tasteful faience, can be purchased at any railway 
 station in Japan for the sum of three farthings ! In 
 these circumstances the Japanese who dearly loves 
 an outing and enjoys travelling for travelling's sake, 
 is not likely to grudge himself such a satisfactory 
 combination of the useful and the pleasurable. For 
 it is quite evident that he has not come to Kyoto
 
 136 THE FAR EASTERN QUESTION chap. 
 
 solely out of curiosity or in the search of mere 
 amusement, but to learn. He may stroll uncon- 
 cernedly through the galleries with which he has no 
 special concern, and laugh and joke with his 
 neiofhbours over the new-fanorled exhibits of 
 European fashion, but when he has reached the 
 section in which he is personally interested, his 
 manner at once changes, he studies everything with 
 close attention, he makes copious inquiries, and in 
 nine cases out of ten he pulls out a note-book and 
 jots down the results of his observations, slowly 
 perhaps and laboriously, but with visibly conscien- 
 tious thoroughness. He seems to look upon this 
 great temple of modern industry in which he finds 
 a special shrine set apart for his own particular 
 handicraft, much in the same light as he looks upon 
 the temples of his gods which, with their shaded 
 groves and tea-gardens and the popular fairs 
 regularly held in their vicinity, offer the threefold 
 attraction of religious devotions easily performed, 
 an enjoyable pic-nic, and useful purchases on the 
 way home. 
 
 Certainly, as one leaves behind him the Exhi- 
 bition grounds and their picturesque and animated 
 groups of men and women and children, now intent 
 upon merry-making, as half an hour ago inside the 
 building they were intent upon learning, and, stroll- 
 ing away over the silent pine-clad hills of Maruyama, 
 one looks down on the one hand over the exotic ex- 
 panse of the great city which for eleven centuries
 
 X JAPANESE INDUSTRIES 137 
 
 lived its own life there untouched by the breath of 
 our Western civilisation, and on the other over the 
 corrugated iron and glass roofs of the intensely 
 up-to-date buildings in which are stored the 
 marvellous results of a brief five and twenty years' 
 contact with the modern world of thought and 
 action, there must come over the least impression- 
 able mind an overwhelming yearning to know what 
 the future has in store for a nation so old and at the 
 same time so young, which has entered as it were 
 upon its majority in a new phase of life by displaying 
 in the same year equally signal proofs of its aptitude 
 for the arts of peace as for those of war, and which 
 seems alone at the present day capable of preserving, 
 in conjunction with the newly acquired proficiency of 
 an essentially mechanical age, its ancient inheritance 
 of artistic originality and refinement.
 
 CHAPTER XI 
 
 JAPAN AND ENGLAND 
 
 While in China the war has laid bare the 
 immeasurable rottenness hitherto half concealed 
 under the venerable cloak of an ancient civilisation, 
 in Japan it has triumphantly vindicated the reality 
 of a new civilisation against the scepticism with 
 which a social evolution of unprecedented rapidity 
 had been generally regarded. Until last year the 
 attitude of the Western world towards Japan was 
 mainly one either of thinly-veiled derision or of 
 good-natured condescension. We called her " une 
 traduction mat fait e^' or, If we were impartial enough 
 to admit that the translation was not altogether ill- 
 done, we would seldom allow that it was anything 
 more than a translation. It was a favourite common- 
 place that the Japanese were plagiarists, shallow, 
 superficial ; that they had sacrificed the picturesque 
 individuality of their national life in order to ape 
 the manners and customs of their betters ; that they 
 masqueraded in the borrowed feathers of political 
 institutions which became them no better than the
 
 CHAP. XI JAPAN AND ENGLAND 139 
 
 European clothes they had adopted in preference to 
 the graceful kimono of their ancestors ; and that 
 commercial greed had even degraded their sense of 
 artistic beauty in the vulgar attempt to compete with 
 European industries. They were losing their charm 
 as a delicate objet de vertu to be toyed with by 
 aesthetic dilettanti, and they had yet to show the 
 qualities which would stand the rough usage of a 
 work-a-day world. Another view was that they 
 were meddlesome upstarts whose restlessness w^ould 
 some day make mischief abroad unless internal 
 troubles kept them busy at home — a contingency 
 which might properly be expected from so rash an 
 experiment as that into which their new-fangled 
 constitution had launched them. A third view, 
 naturally favoured by those who, trading with or in 
 the Far East, were the first to feel the daily pinch of 
 Japanese competition, was that they were engaged 
 in a criminal conspiracy against the commercial 
 supremacy of the Western world, and that if it w^as 
 a mistake to underrate and deride them, it was folly 
 not to recognise in their conairrencc ddoyale a grave 
 public danger. There were, of course, many shrewd 
 observers able to discount the exaggerations of all 
 such views, who realised more fully the meaning 
 and bearinofs of a o-reat national transformation, with 
 which, however desirable or undesirable from 
 different standpoints, the world would have to 
 reckon. But on the whole, there was little know- 
 ledge of the real facts concerning Japan, and where
 
 I40 THE FAR EASTERN QUESTION CHAP. 
 
 there was knowledge there was little sympathy. In 
 England especially the doctrine that the Japanese 
 were superficial, aggressive, and generally objection- 
 able was as firmly rooted in many quarters as the 
 belief in the " latent power of China, our natural 
 ally." 
 
 It is easy to be wise after the event, and to-day 
 when one passes across from China to Japan, it is 
 impossible to entertain any other feeling but one of 
 profound amazement that so much doubt should have 
 existed amongst well-informed people, and even 
 amongst those who were acquainted with both 
 countries, as to the issue of a struggle between them ; 
 and still more that the sympathies of Europeans, 
 and especially of Englishmen, should have been, if 
 not universally, at least at the outset very largely, 
 enlisted on the Chinese side. The explanation of 
 this strange phenomenon can only to a slight extent 
 be found in some of the incidents which preceded 
 and accompanied the outbreak of hostilities. The 
 sinking of the Kowshing, a British ship sailing under 
 the British flag, by the Japanese fleet at a time when 
 no state of war was officially known to exist, seemed 
 at the moment to be a wanton outrage upon the 
 flag of a friendly nation. It is now known that 
 Chinese men-of-war had already worthily opened 
 hostilities by firing a few runaway shots at the 
 Japanese ships, and that though the Kowskmg still 
 flew the British ensign when she was sunk, she had 
 ceased to be a British vessel within any reasonable
 
 XI JAPAN AND ENGLAND 141 
 
 meaning of the word, since the Chinese Mandarins 
 on board had taken complete charge of her, and her 
 own officers, overpowered by numbers, could act 
 only under duress. Nor can there be any doubt 
 that the Chinese authorities in charterincr a British 
 
 o 
 
 ship for the transport of their troops instead of using 
 one of their own had from the first reckoned upon 
 the immunity of a neutral flag in the event of her 
 being overtaken by the outbreak of hostilities before 
 the completion of her errand. At any rate the 
 opinion given by the Law Officers of the Crown 
 that no case lies against the Japanese Government 
 finally disposes of the question. But the version 
 current at the time undoubtedly went far to confirm 
 the prejudice raised against Japan by the apologists 
 of China who, for her benefit, propounded afresh 
 the old fable of the wolf and the lamb. 
 
 It would be a work of supererogation now to set 
 forth the case for Japanese intervention in Korea, and 
 it is with the results rather than with the causes of the 
 war that I am concerned. Nor need one attempt 
 to dispute the fact that Japan had been steadily 
 preparing herself for a struggle with China, and 
 regarding it as inevitable was not disposed to 
 indefinitely postpone it. But whatever the precise 
 circumstances which precipitate hostilities, a nation 
 cannot properly be charged with provoking a war of 
 wanton aggression when the enemy against whom 
 it is waged has himself been for years past com- 
 passing schemes of unmistakable hostility. The
 
 143 THE FAR EASTERN QUESTION chap. 
 
 Japanese were far too well informed of all that was 
 going on in China not to be aware that as far back 
 as 1882 the Celestial Empire had determined to 
 seize the earliest opportunity of arresting the pro- 
 gress of Japan and of definitely restoring, by force 
 of arms, the supremacy which in theory it had 
 always claimed over her. In a memorial presented 
 in that year to the throne by Li Hung Chang, to 
 which, unfortunately, publicity was not given so 
 opportunely as by Prince Bismarck to Count 
 Benedetti's proposals, it is expressly stated that such 
 must be the cardinal object of China's policy. 
 "Your Majesty," he says, "has graciously ordered 
 me to undertake the responsibility of preparing the 
 plan for the invasion of Japan," and if the Viceroy 
 deprecated the immediate recourse to arms then 
 contemplated at Peking, it was only because he had 
 formed a more correct appreciation than his col- 
 leagues of the relative fighting strength of the two 
 countries. " My humble opinion is, let us not lose 
 sight of our plan of invading Japan, but let us not 
 commit the mistake of doing this in a hurried 
 manner. . . In one of the ancient maxims it is said, 
 ' Nothing is so dangerous as to expose one's scheme 
 before it is ripe.' On this account I have in a former 
 memorial recommended to your Majesty that we 
 should be extremely cautious and take care to con- 
 ceal our object, whilst neglecting nothing to raise 
 our strength in the meantime." Finally, after dis- 
 cussing what might furnish "the best case for
 
 XI JAPAN AND ENGLAND 143 
 
 bringing about a rupture with Japan and coming to 
 extremities," he repeats '•' that it is above all neces- 
 sary to strengthen our country's defences and to 
 organise a powerful navy, and the aggressive steps 
 against Japan should not be undertaken too hastily." 
 It may be argued that too much weight should not 
 be laid upon Memorials to the Throne, which are as 
 common as blackberries in China, and that in this 
 particular case Li Hung Chang really veiled under 
 the polite form of a plea for caution and delay his 
 disapproval of the schemes entertained by the 
 hotspurs of Peking. But it is difficult to recon- 
 cile this indulgent theory with the attitude 
 which China persisted in maintaining towards 
 Japan, and more especially with the policy consist- 
 ently pursued by her Resident in Korea. Indeed 
 the whole purpose of Li Hung Chang's armaments 
 was to enable him some day to chastise the Japan- 
 ese "upstarts," for whom, with the incorrigible pride 
 of his race, he even now cannot conceal his con- 
 tempt. That his own preparations for war were a 
 trifle less successful than those of the Japanese does 
 not alter the spirit or the intention in which they 
 were conceived. No one in China questioned the 
 invincibility of his ironclads and armies, and all that 
 can be charitably said on his behalf is that he him- 
 self probably never realised how entirely the con- 
 tagion of greed and ignorance, starting from his 
 own Yamen, had unfitted them for anything but the 
 spectacular displays over which he was so fond of
 
 144 THE FAR EASTERN QUESTION chap. 
 
 presiding. In these circumstances Japanese states- 
 men can no more be blamed for having taken up 
 in 1894, under conditions which they beUeved 
 favourable to their country, the challenge thrown 
 down to them in Korea by the high-handed pro- 
 ceedings of the Chinese, than was Bismarck in 1870 
 for seizing the opportunity furnished to Germany 
 by the overbearing action of the French in con- 
 nection with the Hohenzollern candidature to the 
 Spanish throne. Had the influence of England at 
 Peking been exercised to its fullest extent either by 
 the late Government when the Korean complica- 
 tions assumed a more immediately threatening 
 shape last year, or by its predecessors during the 
 long incubation of China's hostile designs against 
 Japan, the latter might have been saved the 
 necessity of vindicating by force of arms her right 
 to work out her national development free from 
 Chinese obstruction, for that was really the question 
 fought out on the battlefields of Korea and Man- 
 churia. Up to the very outbreak of war Japan 
 might have been satisfied with some substantial 
 concession implying a practical confirmation of the 
 equality of Japan already formally recognised by 
 China, especially if such a concession had been 
 made under the pressure and therefore, by implica- 
 tion, under the guarantee of England. But the fatal 
 delusion that China was not only our natural ally, 
 but an ally whose alliance was worth cultivating, 
 had led us for years past to remain conveniently
 
 XI JAPAN AND ENGLAND 145 
 
 blind to the general trend of Chinese policy 
 towards Japan, and Lord Rosebery's Government 
 in this respect merely followed at the crucial 
 moment in the footsteps of its predecessors. 
 
 What, however, weighed perhaps most strongly 
 against Japan with European, and especially 
 British, public opinion was the bitterness enter- 
 tained towards her amongst the foreign communi- 
 ties of the Far East. It would not be fair to ascribe 
 this bitterness solely to the jealousy engendered by 
 trade competition, or to a lurking belief that a shift- 
 less country like China affords a more promising field 
 for the undisturbed enterprise of Europeans than an 
 active and go-ahead country like Japan. It must be 
 admitted that there is one very important point in 
 which Japan does not bear favourable comparison 
 with China. In both countries the native commercial 
 classes are strenuous and intelligent, but whereas in 
 China their relative probity, ability, and trustworthi- 
 ness stand out conspicuous against the vices of the 
 ruling classes, they comprise in Japan some of the 
 least estimable elements in the country. Until the 
 new era of Japanese history they were looked down 
 upon by the old feudal aristocracy with a contempt 
 far more aggressive than that displayed by the 
 Chinese Mandarins towards the corresponding 
 classes in the Celestial Empire. Under these con- 
 ditions the Japanese merchant or trader, being a 
 kind of social pariah, was not restrained by the same 
 sense of self-respect which governs other classes 
 
 L
 
 146 THE FAR EASTERN QUESTION chap. 
 
 of the community, and he acquired, too often 
 justly, the reputation of being a thoroughly un- 
 scrupulous rogue. When Japan was thrown open 
 to foreign intercourse, the European merchants 
 naturally sought to guard themselves against the 
 bad faith of the native traders by measures which, 
 however necessary at the time, could not fail to 
 prove more and more galling to a hyper-sensitive 
 people in proportion as the attitude of Japanese 
 society itself towards the mercantile classes under- 
 went a more complete transformation. Trade and 
 commerce have long since ceased to be tabooed, 
 and many of the highest and ablest and most 
 honourable men in Japan are to-day directly or 
 indirectly associated with important banking, indus- 
 trial, and trading enterprises. There are now not 
 a few Japanese firms which, for absolute integrity 
 and rectitude, can bear comparison with any of 
 the European firms established in Japan. Never- 
 theless, the standard of mercantile morality, al- 
 though it has been undeniably raised, is by no means 
 as satisfactory as it should be. Only this summer, 
 for instance, a guild of Japanese merchants com- 
 bined to defeat the ends of Japanese justice by 
 compelling an English firm, under threats of a 
 general boycott, to partially waive recovery of a 
 judgment pronounced in its favour by a Japanese 
 Court of law in a really outrageous case of breach 
 of contract. Nor did a single Japanese paper 
 venture to point out that the action of this guild
 
 XI JAPAN AND ENGLAND 147 
 
 was not only an offence against commercial 
 morality but an affront to the Japanese tri- 
 bunals. Such incidents naturally breed ill- 
 feeling and distrust, and, though the remedy does 
 not lie in reprisals and recriminations, it is not 
 surprising that the European communities in Japan 
 often allow their judgment to be overborne by 
 prejudice. It is all the more to the credit of the 
 late Government that, in the face of violent local 
 opposition and of ignorance and indifference at 
 home, they Avere the first to recognise by a generous 
 revision of our treaties the right of Japan, in spite 
 of many shortcomings, to be treated no longer either 
 as a child or as an outcast amongst the civilised na- 
 tions of the world. Freely granted before the warlike 
 achievements of Japan had strengthened her claim, 
 this concession was a statesmanlike act, of which 
 the satisfactory effects upon the relations of the two 
 countries were only temporarily weakened by certain 
 unpleasant incidents connected with the earlier 
 stages of the war, and by the unabated virulence of 
 the anti-Japanese feeling in a large section of the 
 English Press of the Far East. They were sub- 
 sequently confirmed and reinforced by our refusal 
 to join with France, Russia, and Germany in their 
 imperious intervention on behalf of China, 
 
 Industrial and commercial antagonism is no 
 doubt destined to affect more and more closely 
 in the future the policy of nations, but so long as 
 it is restricted within the limits of lawful com- 
 
 L 2
 
 148 THE FAR EASTERN QUESTION chap. 
 
 petition it can hardly prove an insuperable obstacle 
 to the maintenance of friendly and even intimate 
 relations based upon a community of political 
 interests, Now, the existence of such a community 
 of political interests between the Island Empires of 
 the West and of the East is obtaining every day 
 fuller recognition in Japan as well as in England. Im- 
 pressionable and passionate as the Japanese from time 
 to time show themselves to be, a remarkable shrewd- 
 ness and solidity of judgment underlies their excita- 
 bility. If the enthusiasm with which an unbroken 
 record of military triumphs during the recent war 
 fired the patriotism of an imaginative people did credit 
 to their hearts, the sober moderation with which they 
 wore their laurels did at least equal credit to their 
 heads. Many another nation, better accustomed 
 to the intoxicating effects of victory, would have had 
 its head turned by the sincere flattery of profound 
 astonishment with which Japan's successful debut on 
 the stage of modern warfare was almost everywhere 
 received. Except for a few ebullitions of youthful 
 vanity in a yet immature press, Japan preserved 
 a coolness and sobriety of judgment which, if it did 
 not entirely preserve her from committing political 
 mistakes, enabled her to rectify them without any 
 irreparable loss of dignity, Japanese statesmen 
 would probably now be the first to admit that they 
 would have acted more wisely in not insisting on a 
 cession of continental territory from China, and with 
 greater experience they might well have foreseen
 
 XI JAPAN AND ENGLAND 149 
 
 the resistance which such a demand would provoke 
 in other quarters, especially from Russia. They 
 might, perhaps, even have realised more fully the 
 constant strain to which the retention of an outlying 
 and distant position on the mainland would have 
 subjected Japan. But admitting that they erred in 
 this matter, one is no less bound to admire the 
 suppleness and fortitude with which they accepted 
 the consequences of their error. Confronted by the 
 ultimatum of the three Powers, the Japanese Govern- 
 ment referred the issue to its military and naval 
 advisers, and when the latter, without allowing 
 themselves to be dazzled by their recent achieve- 
 ments, declined to undertake the responsibility of 
 forcibly resisting such a combination as was now 
 arrayed against them, it bowed to the inevitable 
 and, without the slightest sign of unseemly vexation, 
 relinquished, in obedience to foi'ce majeure, one of 
 the chief prizes for which the blood and treasure of 
 the country had been freely poured forth. In the 
 same spirit the nation resigned itself to the decision 
 of its Government, and, high as party feeling runs, 
 even the most hot-headed poHticians have hitherto 
 shown little disposition to make capital out of a 
 misadventure which was felt to involve no disgrace. 
 Seldom has a youthful people given surer proof of 
 the self-restraint founded upon an unerring con- 
 sciousness both of its strength and of the limitations 
 of its strength. 
 
 With the same objectivity of judgment the
 
 150 THE FAR EASTERN QUESTION chap. 
 
 Japanese, who had not unnaturally resented our 
 action during the earlier stages of the war, especi- 
 ally in warning their fleets off the treaty ports of 
 China, promptly and fully recognised and appreciated 
 the friendly attitude of England in the final crisis, 
 and, unpalatable no doubt in itself as was the 
 advice she tendered them, they were not slow to 
 realise that the conciliatory spirit in which she 
 counselled acceptance of the conditions imposed 
 by the three Powers materially facilitated a dignified 
 withdrawal from a position which had become 
 untenable. But it was not only the contrast be- 
 tween the actual attitude of Eneland and that of 
 the three Powers at this particular juncture which 
 brought home to the Japanese the existence of a 
 real community of political interests between 
 England and Japan. It was still more the light 
 thrown by their intervention in favour of China 
 upon the future policy of the three Powers in the 
 Far East, and especially of Russia. Their action 
 was practically a notice served upon Japan that 
 even though the Sick Man of the Far East were 
 lying on his death-bed she was to have no share in 
 his future inheritance. This notice she was obliged 
 to accept, and, under present conditions, she must 
 for some time to come acquiesce in its consequences. 
 From the moment, therefore, that she finds herself 
 excluded from all further participation in the spoils 
 of the Sick Man, her interests are transferred from 
 the side of those who aim more or less openly at
 
 XI JAPAN AND ENGLAND 151 
 
 the dismemberment of the Chinese Empire to 
 that which makes for the maintenance of the status 
 q2io. Instead of ranking amongst the disruptive 
 forces, she is driven to co-operate with the forces 
 of conservation in the Far East, chief amongst 
 which is EnQ;land. 
 
 No nation can be expected absolutely to renounce 
 all dreams of future aggrandisement, and the day 
 may come when the ways of England and Japan 
 in the Far East will have to part. But the dread 
 of remote continofencies must not be allowed to 
 overshadow the possibilities of present usefulness. 
 For some time to come it looks at least probable 
 that England and Japan may have to travel along 
 parallel paths. The experience of the last year 
 has taught us the value of Japan, and it has taught 
 Japan the value of moderation and prudence, with- 
 out which she cannot hope to retain the permanent 
 goodwill of England. This lesson has been con- 
 veyed to her, not only by the final outcome of the 
 war, but also by the difficulties, many of them of 
 her own creation, which now confront her in Korea. 
 Her excessive optimism, and, it must be added, her 
 own tactlessness in attempting to ride roughshod 
 over the rights and interests of others, have led her 
 into an impasse from which she may yet find it hard 
 to withdraw unscathed. In spite of all the en- 
 deavours of Count Inouye, one of the ablest of 
 her statesmen, she has to confess to-day that all 
 her efforts to introduce order, tranquillity, and good
 
 152 THE FAR EASTERN QUESTION chap. 
 
 government in Korea have been defeated, partly by 
 the incorriorible inertia and ill-will of the Koreans 
 themselves, and partly no doubt, by outside in- 
 fluences. Count Inouye has publicly explained 
 the peculiar difficulties with which he has had to 
 contend, nor in doing so has he spared his own 
 countrymen in Korea. He does not admit that 
 these difficulties are altogether insurmountable, but 
 on his own statement it may be doubted whether 
 Japan is in a position to surmount them. Even if 
 she were ripe to undertake a more arduous task 
 than that which has severely taxed our own powers 
 in Egypt, she has to reckon with the Russians, who 
 make no secret of their determination not to allow 
 Korea to be converted into a Japanese Egypt. 
 One can readily understand that in these circum- 
 stances Japan would gladly welcome an opportunity 
 of retiring honourably from such a dangerous and 
 thankless field, if she could do so without merely 
 surrendering it to another Power, whose presence 
 there would be a permanent menace to her own 
 security and independence. It should not be be- 
 yond the powers of Japanese statesmanship to pro- 
 duce some scheme which would at least temporarily 
 relieve her from responsibilities to which she is not 
 equal and from apprehensions which she cannot 
 afford to disregard. If, as seems probable, none of 
 the Powers are anxious to push matters to extrem- 
 ities, an international arrangement placing under a 
 collective guarantee the neutrality of Korea and the
 
 XI JAPAN AND ENGLAND 153 
 
 independence formally secured to her by the Treaty 
 of Shimonoseki would remove the Korean question 
 out of the forefront of dangerous controversy in the 
 Far East. In working towards this consummation, 
 Japan would be entitled to rely upon the strenuous 
 co-operation of British diplomacy. At any rate, in 
 this as in other questions, the interests of England 
 and of Japan should be arrayed on the same side, 
 and it is upon such an association of interests rather 
 than upon written engagements that must be found- 
 ed the pacific and, in the true sense of the word, 
 conservative alliances which can alone find favour 
 with British public opinion.
 
 CHAPTER XII 
 
 OUR COMMERCIAL INTERESTS 
 
 Great as are the political changes of which the 
 Treaty of Shimonoseki must be deemed rather the 
 forerunner than the final consecration, and vital as 
 must be their bearing upon the future development 
 of our trade relations with the Far East, there has 
 been hitherto generally a tendency to measure the 
 importance of that instrument, in relation to the 
 commercial interests of the British Empire, chiefly 
 by the clauses which extend the area open to 
 foreign trade in China. The benefits secured by 
 the Treaty in this respect have certainly fallen 
 short of the expectations raised by the demands 
 first formulated on behalf of the Japanese Govern- 
 ment, and there has been some disposition even 
 to suspect Japan of having merely put forward 
 those demands as a bait for European, and 
 especially for British, sympathy and support, with- 
 out any serious intention of enforcing them when 
 once China should have accepted the heavier 
 sacrifices of territory and treasure imposed upon
 
 CHAP. XII OUR COMMERCIAL INTERESTS 155 
 
 her by her conquerors. To those acquainted with 
 Oriental methods of bargaining it must seem quite 
 unnecessary to seek for any such MachiavelHan 
 explanation of the concessions to which Japan 
 ultimately consented. A Chinaman especially, 
 even when prepared from the very outset to accept 
 practically the terms offered to him, will always 
 expect some trifling point to be conceded to him 
 which shall "save his face." It is, of course, 
 to be regretted that those stipulations to which 
 we attached most value were precisely those which 
 were ultimately expunged from the Treaty. The 
 removal of the Woosung bar at the mouth of the 
 Yang-tsze-kiang would have been an immense boon 
 for the trade and shipping of Shanghai, in which 
 we are so pre-eminently interested. The opening 
 of the West river, in Kwang-tung, had long been 
 urged as a matter of vital importance for our colony 
 of Hong-kong. The opening of Siang-tan and 
 of the Siang river and Tung-ting lake would have 
 been beneficial not only commercially, but also 
 politically, as it would have given access to the 
 province of Hu-nan, hitherto a close preserve of 
 Chinese fanaticism. ; and in the same way the 
 moral effect of compelling the capital of the 
 Celestial Empire to throw open its gates to 
 foreign trade would have been of the greatest 
 possible value. But, after all, if Japan could not 
 carry every point of her original programme, she 
 can hardly be blamed for having insisted only on
 
 156 THE FAR EASTERN QUESTION chap. 
 
 those from which she anticipated the most chrect 
 benefit for herseh"", and what she has actually 
 achieved is by no means inconsiderable or value- 
 less to others than herself The free navio^ation of 
 the Yang-tsze is extended from I-chang to Chung- 
 king, and with the opening of Chung-king itself to 
 foreign trade it will enable our influence, com- 
 mercial and otherwise, to make itself felt in the 
 upper portion of the great valley in which British 
 in*;erests are already so largely concerned. The 
 opening of Su-chau and Hang-chau, and the free 
 navigation of the Woosung river and canal con- 
 necting these two cities, are of no less importance 
 to British interests in the lower basin of the 
 Yang-tsze. At Shanghai itself there is indeed 
 some disposition not to look upon these last 
 provisions of the Japanese Treaty as an un- 
 mitigated boon. It is clearly of the utmost 
 importance that the industrial development of 
 China, which, as I shall presently endeavour to 
 show, must now be looked upon as imminent, 
 should be centred, as far as possible, in places 
 where British trade has already taken firm and 
 deep root, and therefore, as far as the lower valley 
 of the Yang-tsze is concerned, at Shanghai, the 
 greatest British emporium in the whole country. 
 It is argued that the opening of Su-chau and Hang- 
 chau, though it may not immediately threaten the 
 supremacy of Shanghai, can hardly fail to affect 
 it unfavourably. Although these two great cities.
 
 XII OUR COMMERCIAL INTERESTS 157 
 
 whose beauty, wealth, and splendour were formerly 
 a favourite theme of Chinese poets, have not yet 
 recovered from the ruinous effects of the Taiping 
 rebellion, they are now once more busy and 
 populous centres of native industry, and, situated 
 as they are in the heart of the cotton and silk 
 districts of China, they will, it is feared, attract 
 away from Shanghai no small share of the native 
 and foreign capital which is waiting impatiently to 
 be invested in cotton mills and silk filatures. 
 Though these apprehensions may not be alto- 
 gether groundless, they should be considerably 
 lessened by the perusal of an interesting passage 
 which Mr. Beauclerk has specially devoted to this 
 question in the last annual report of the British 
 Legation at Peking on the foreign trade of China. 
 He is clearly of opinion that Shanghai has no 
 serious cause to dread the industrial competition 
 of Su-chau and Hang-chau, while the exceptional 
 banking facilities offered at Shanghai will continue 
 to attract native merchants to that city, which is 
 bound to remain, as in the past, the chief terminus 
 of the import trade as far as the foreign importer 
 is concerned. The whole volume of its trade can, 
 moreover, only increase w^ith the growing prosperity 
 of Su-chau and Hang-chau, and, as regards the 
 free navigation of the waterways connecting them 
 with Shanghai, one may reasonably hope that the 
 universal preponderance of our shipping will secure 
 for us a proportionate share of the local carrying
 
 158 THE FAR EASTERN QUESTION chap. 
 
 trade now opened up to foreign enterprise. In fact, 
 it will doubtless be found in this case, as in all 
 other cases hitherto, that every extension of the 
 area of foreign trade, and everything v/hich stimu- 
 lates commercial and industrial progress, tends to 
 the benefit of British trade generally. 
 
 But there are other clauses in the Treaty of Shi- 
 monoseki calculated to have much wider and further- 
 reaching consequences for British trade and industry. 
 Under Article VI. it is stipulated that Japanese 
 subjects shall be free to engage in all kinds of manu- 
 facturing industries in all the open cities, towns, 
 and ports of China, and shall be at liberty to import 
 into China all kinds of machinery, paying only the 
 stipulated import duties thereon. Further, all articles 
 manufactured by Japanese subjects in China shall, in 
 respect of inland transit and internal taxes, duties, 
 charges, and exactions of all kinds, and also in re- 
 spect of warehousing and storage facilities in the 
 interior of China, stand upon the same footing and 
 enjoy the same privileges and exemptions as mer- 
 chandise imported by Japanese subjects into China. 
 Finally, Japanese subjects purchasing goods or pro- 
 duce in the interior of China, or transporting imported 
 merchandise into the interior of China, shall have the 
 right temporarily to rent or hire warehouses for the 
 storage of the articles so purchased or transported 
 without the payment of any taxes or exactions what- 
 ever. The benefit of these provisions accrues to 
 ourselves under Article LIV. of the Treaty of Tien-
 
 XII OUR COMMERCIAL INTERESTS 159 
 
 tsin of June 26, 1858, subsequently confirmed by 
 the convention signed at Peking on October 24, 
 i860, and to all other Powers who similarly enjoy 
 the most-favoured-nation treatment. The riofhts 
 secured to foreigners under the Japanese treaty are 
 not in all respects novel — that of importing ma- 
 chinery, for instance, having already been asserted 
 by us in principle ; but they have now acquired a 
 practical value which they have hitherto lacked, even 
 where they already existed on paper. For the Japan- 
 ese will enforce them with their wonted energy, and it 
 will behove other Powers, and especially Great Britain, 
 to do the same, under penalty of being left behind 
 in the race. The Treaty of Shimonoseki opens up 
 a vast field for industrial enterprise, under foreign 
 impulse and direction, of which it is almost impos- 
 sible to exaggerate the future importance. We can 
 only measure it, to some extent, by what has already 
 happened in Japan. 
 
 The point upon which, in this connection, most 
 stress is usually laid in Europe is the damage done 
 to certain branches of European industry by the 
 extraordinarily rapid growth of Japanese industry, 
 and the results already achieved by the latter are 
 undoubtedly calculated to strike the imagination at 
 first sight with astonishment and alarm. The most 
 conspicuous of these results are those connected 
 with the cotton industry. In 1885 Japan imported 
 only $800,000 worth of raw cotton. In 1894 she 
 imported $19,500,000 worth, or more than four-and-
 
 i6o THE P^A.R EASTERN QUESTION chap. 
 
 twenty times as much. At the beginning of 1 885 there 
 were 19 spinning mills, with about 50,000 spindles, in 
 Japan, and at the end of 1893 there were 46, with 
 about 600,000 spindles. The result was, of course, 
 inevitable. The lower-grade yarns formerly im- 
 ported from abroad have practically disappeared 
 from the Japanese market, the importation of middle 
 grades is rapidly declining, and only the higher 
 grades, which Japan has not yet set herself to pro- 
 duce, still maintain their footing. The importation 
 of cotton yarns reached its high-water mark in 1888, 
 when the growing supply from the native mills had 
 not yet overtaken the growing demand arising out 
 of a general increase of national prosperity and ac- 
 tivity. In that year cotton yarns were imported 
 from Great Britain and India, in about equal pro- 
 portions, to the total amount of 62,860,000 lbs. Six 
 years later, in 1894, the importation from the same 
 countries amounted only to 21,241,000 lbs., or barely 
 one-third of the former figure. If the pinch has not 
 yet been more severely felt in England, it is due to 
 the fact that the loss has so far fallen much more 
 heavily on Bombay than upon Lancashire, for, while 
 the imports from the latter have been reduced 40 
 per cent, those from the former have suffered to the 
 extent of 90 per cent. Nor is this all. Not only at 
 the present rate of progress is the time within sight 
 when Japan will cease altogether to import goods 
 of this category, but last year for the first time 
 she actually appeared as an exporter, and for the
 
 XII OUR COMMERCIAL INTERESTS i6i 
 
 respectable figure of 4,500,000 lbs., sent chiefly to 
 China. How entirely the diminution of imports of 
 cotton goods is due to the successful competition of 
 native indu.stry appears from the fact that, wherever 
 that competition has not yet assumed such consider- 
 able proportions, the imports, as for instance of cotton 
 piece goods, have continued during the same period 
 steadily to increase — viz., from 85,500,000 in 1888 
 to close upon $7,000,000 in 1894. 
 
 The depreciation of silver, to which I shall have 
 to refer later on, has, of course, contributed very 
 largely to foster the growth of Japanese industry, 
 but it does not alone suffice to account for it. Still 
 less can it be ascribed to the artificial influence of 
 excessive State protection benefiting the producers at 
 the expense of the consumers. Everything that the 
 State could do to encourage legitimately the growth 
 of native industry has been done, but though Europ- 
 ean firms occasionally complain that the Customs 
 authorities favour the native as against the foreign 
 importer, the existing treaty tariffs have at any 
 rate hitherto been an insuperable obstacle to any 
 prohibitive form of protection. Under the revised 
 treaties Japan undoubtedly hopes to be in a position 
 to favour nascent industries at home by raising the 
 import duties on certain classes of foreign goods, but 
 as she has done so well with the moderate tariffs 
 hitherto in force, one may hope that she will not 
 abuse the liberty which she is recovering to 
 indulge in exaggerated protectionism. For if the
 
 i62 THE FAR EASTERN QUESTION chap. 
 
 Japanese as a nation have every reason to be 
 proud of the rapid strides made by native 
 industries, those investors who are personally 
 interested in them have every reason to be equally 
 satisfied with the handsome returns they yield. 
 While 93 spinning companies in Lancashire were 
 working at a loss, the cotton mills of Japan were 
 paying in 1894 dividends of 16 to 20 per cent., 
 and even more. These are results which may well 
 provoke jealousy and apprehension among European 
 manufacturers and importers of cotton goods, and, 
 though not in the same degree, similar results may 
 already be noted in connexion with many other 
 branches of industry. Ready-made clothing, boots 
 and shoes, hats and caps, umbrellas, paper of every 
 quality, beer, matches, are all represented by 
 annually diminishing figures in the import column 
 of Japanese trade returns, while the corresponding 
 figures in the export column are rising every year. 
 Silk manufactures exported from Japan have in- 
 creased in value from $54,547 in 1885 to $8,400,000 
 in 1894. The annexation of Formosa maybe ex- 
 pected to give an immense impetus to the sugar 
 industry by securing to Japan a field of almost 
 unlimited capacity for the production of raw 
 sugar. Japanese coal, the exports of which 
 have risen in value from under $2,000,000 in 
 1885 to over $6,500,000 in 1894, is rapidly driv- 
 ing English coal, except for special purposes, 
 out of every market east of Singapore, and has
 
 XII OUR COMMERCIAL INTERESTS 163 
 
 already penetrated as far west as Colombo and 
 Calcutta. 
 
 That is one side of the picture, and the one 
 upon which people in Europe generally prefer to 
 dwell. But there is another side to it which de- 
 serves at least equal attention. The opening up 
 of Japan, the growth of her native industries, the 
 development of her commercial activity have intro- 
 duced to us a competitor whose energy and enter- 
 prise seriously threaten certain branches of our 
 own trade and industry, but what effect have 
 they had upon our trade and industry taken as 
 a whole ? This is surely the material question 
 to which that of the profit or loss of individual 
 branches must remain subordinate. Ten years 
 ago the entire foreign trade of Japan amounted 
 to barely $65,500,000, in 1894 it exceeded 
 $230,000,000 — i.e,, it has increased nearly three- 
 and-a-half-fold in the space of ten years, and 
 of this increase by far the largest proportion 
 accrues to foreign imports. They have risen from 
 $28,000,000 to $117,000,000, or nearly four-and- 
 a-half- fold within one decade. During the same 
 period British shipping entered and cleared from 
 the ports of Japan has increased from under i^ 
 million tons to close upon 3 million tons. Of 
 the whole foreign trade of Japan the British Empire 
 takes to-day more than 40 per cent., or, in other 
 words, the trade between Japan and the British 
 Empire alone is to-day nearly half as much again 
 
 M 2
 
 i64 THE FAR EASTERN QUESTION chap. 
 
 as was the entire trade between Japan and all 
 foreign countries ten years ago. The balance of 
 trade, moreover, continues to be entirely In favour 
 of the British Empire, and especially of the United 
 Kingdom. The total value of Imports and exports 
 from and to the British Empire In 1894 was 
 ^9,846,134, whereof the Imports into Japan repre- 
 sented ^6,779,864, and the exports from Japan 
 only ^3,066,570, while of these amounts the United 
 Kingdom Itself only imported ^626,019, but 
 exported ^4,614,517. Nor must It be forgotten 
 that calculations made in sterling, though they 
 alone can properly represent the value of the trade 
 from the point of view of the British producer, do 
 not give an adequate Idea of the Increasing demand 
 for British produce from the point of view of the 
 Japanese consumer, who, owing to the depreciation 
 of silver, has to pay to-day nearly nine dollars of 
 his own currency for every £1 worth of British 
 goods for which ten years ago he had to pay only 
 five dollars. Thus If we take for purposes of 
 comparison the year 1888, which the pessimists 
 who croak over the impending doom of British 
 trade In the Far East generally have In mind — 
 the last year during which foreign trade already 
 deriving immense benefit from the general develop- 
 ment of the country was still relatively free from 
 the pressure of Japanese Industrial competition — we 
 find that Japan took less than $20,000,000 worth 
 of goods imported from the United Kingdom,
 
 XII OUR COMMERCIAL INTERESTS 165 
 
 whereas in 1894 the amount required to meet her 
 demands had risen in her own currency to over 
 $40,000,000. 
 
 To appreciate thoroughly the meaning of these 
 figures, it may not be inexpedient to compare them 
 with those of the foreign trade of China, which 
 has not been affected by any such remarkable 
 development of native enterprise as has been 
 witnessed in Japan. The total value of the foreign 
 trade of China has only increased from $230,000,000 
 to $435,000,000 within the same decade during 
 which that of Japan has increased from $64,000,000 
 to $230,000,000 — i.e., in China it has not quite 
 doubled, whereas in Japan it has been increased 
 nearly three-and-a-half-fold. The foreign trade of 
 Japan, with just over forty million inhabitants, 
 stands already to-day where the foreign trade of 
 China, with nearly ten times the population, stood 
 in 1885, and, at the present rate of progress in 
 both countries, another decade may see them 
 almost on a level. Even more significant in its 
 bearing upon European industries is the relative 
 growth of imports into China and Japan. In 1885 
 the imports into China amounted to $132,000,000, 
 and in 1894 to $243,000,000, an increase of about 
 80 per cent. In 1885 the imports into Japan 
 amounted to$28, 000,000 and in 1894 to $1 17,000,000, 
 an increase of over 300 per cent. Surely if statistics 
 can teach any lesson, we may learn from what we 
 have already witnessed in Japan not to look forward
 
 i66 THE FAR EASTERN QUESTION chap, xii 
 
 with dismay, but rather with confidence and satis- 
 faction, both to the further development of Japan 
 and to the impending development of China under 
 conditions even more favourable to ourselves, if 
 only we show ourselves determined to secure for 
 British enterprise the fair play which alone it 
 requires in order to reap its legitimate share of the 
 harvest wherever fresh fields are thrown open to 
 human activity.
 
 CHAPTER XIII 
 
 THE INDUSTRIAL FUTURE OF CHINA 
 
 It has been rightly said that no question can be 
 of vital importance to the British Empire that is 
 not of vital importance to the British working man. 
 In fact, in a certain sense, this is not only true, but 
 a truism. Truism, or not, however, there is scarcely 
 a question which, judged by that test, can be 
 pronounced of more vital importance than the Far 
 Eastern Question. I showed in the preceding 
 chapter that, though the growth of Japanese industry 
 had pressed heavily upon certain classes of British 
 manufactures, the general development of the 
 country had within ten years more than trebled the 
 whole volume of foreign trade with Japan and more 
 than quadrupled the foreign imports. On the 
 other hand, in China, where the stimulus of national 
 activity has hitherto been lacking, the volume of 
 foreign trade has not quite doubled within the same 
 period, and it is the exports rather than the imports 
 which show the larger proportion of increase. At 
 the present day the demand of Japan's 40 million
 
 i68 THE FAR EASTERN QUESTION chap. 
 
 inhabitants for foreign goods is equal to very nearly 
 half the consumption of China with her 300 to 400 
 million inhabitants, and, with regard to goods 
 imported direct from the United Kingdom, Japan is 
 already very nearly as good a customer as China. 
 Should China ever be opened up only to the extent 
 to which Japan is already opened up, the foreign 
 trade of China, on the basis of the present trade 
 of Japan and of the relative population of the two 
 countries, might be estimated at ^200,000,000 
 per annum. 
 
 And why should not that estimate be realised ? 
 China is endowed far beyond Japan with the natural 
 resources which favour the growth of national 
 wealth and the development of native industries. 
 She grows her own cotton whilst Japan has to 
 import it ; she grows silk of a better quality and 
 might increase its production to almost any extent ; 
 the same may be said of her teas ; she is beginning 
 to export wool in spite of the well-nigh prohibitive 
 cost of transport over impossible roads from the 
 frontiers of Mongolia to the coast ; the cultivation 
 of sugar and tobacco is capable of enormous 
 development and improvement ; in fact, there is 
 hardly any valuable crop which cannot be success- 
 fully grown in one or other region of her vast and 
 fertile soil, nor is there apparently a single mineral 
 or precious metal which does not lie buried under 
 its surface, gold, silver, and iron, and immense 
 coalfields of a quality unrivalled perhaps out of
 
 XIII THE INDUSTRIAL FUTURE OF CHINA 169 
 
 Great Britain. The trading classes of China 
 compare by no means unfavourably, both for in- 
 tegrity and, within certain limits, for enterprise, 
 with those of Japan. The people of China are as 
 hard-working and industrious as the people of 
 Japan, and make in almost every respect equally 
 good workmen, given equally favourable conditions. 
 The manager of one of the largest cotton mills at 
 Shanghai told me that in resfard to mechanical skill 
 the native hands, whether men, women, or children, 
 can stand comparison with the English hands in 
 any Lancashire mill ; they are more quickly trained 
 and far more easily managed ; they have not so 
 much muscular strength, and cannot perhaps do so 
 much work in the same time, but they make up for 
 it by their readiness to work longer hours. A 
 similar statement was made to me in a Chinese 
 filature. As for the actual supply of human labour, 
 it may be looked upon in China as practically 
 inexhaustible. No sicrht can be more instructive 
 in this respect than one which may be witnessed 
 every day, not in a remote city where labour is a 
 drug in the market, but in the busiest centre of 
 activity in the whole country — viz., at Shanghai. 
 Some of the local traffic on its waterways is carried 
 on by stern-wheelers, where the motive power is 
 supplied by human labour, steam pressure being 
 replaced by the measured tramp of coolies, who 
 tread the wheel in relays of thirty-six at a time. 
 Labour is, of course, as cheap as it is plentiful, and
 
 I70 THE FAR EASTERN QUESTION chap. 
 
 is likely to remain cheap for a much longer period 
 in China than in Japan, where the general standard 
 of living is already beginning to rise, and where 
 there are already indications of those labour 
 troubles with which Western countries have long 
 been disastrously familiar. In China, as in Japan, 
 the normal cheapness of labour has of late been 
 further accentuated in relation to European labour 
 by the depreciation of silver. 
 
 One does not require to believe in bimetallism in 
 order to recognise the enormous advantages which 
 the manufacturers in a silver country enjoy in 
 competing with gold countries. The cost of the 
 necessaries of life, as far as the masses are con- 
 cerned, has remained absolutely unaffected by the 
 fall in the value of silver, and the workman is 
 therefore quite content to receive the same wages 
 as he did formerly, for their purchasing power, as 
 far as he is concerned, is still the same. But while 
 the wages bill of the employer in China or Japan 
 has remained actually the same, it stands, in relation 
 to that of his Western competitor, at only half the 
 figure to which it formerly amounted, now that the 
 value of the silver dollar has fallen from one-fifth to 
 nearly one-tenth of the £ — i.e., from 45-. to little 
 more than 2s. gold. Thus, where, for example, for 
 the production of similar goods to the value of, say, 
 ^100, the cost of labour was, and still is, ^20 in 
 England and $50 in China or Japan, the real cost in 
 China or Japan is no longer, as it was formerly,
 
 XIII THE INDUSTRIAL FUTURE OF CHINA 171 
 
 ^10 in sterling currency as against ;^20 in England, 
 but only about ^5. And the same applies to any 
 raw material required for the purposes of manufac- 
 ture which both the gold and the silver country 
 equally produce. The silver price of Cardiff coal, 
 notwithstanding the fall of its gold price, has in- 
 creased from $10 to $15-16 silver per ton, while, 
 with the excellent plant laid down in Japan to work 
 the native mines and the construction of railways 
 to convey their output to the chief industrial centres, 
 the price of Japanese coal has fallen to $3 silver 
 per ton, or for the purposes of competition with gold 
 countries to little more than 6s. gold per ton. The 
 depreciation of silver might, in fact, be said to 
 operate as a system of protection in favour of the 
 industries of silver countries as against those of 
 gold countries. 
 
 If China possesses in as high a degree as Japan, 
 and in some respects even in a higher degree, the 
 combination of natural resources, favourable oppor- 
 tunities, and working qualities required for the 
 development of powerful industries and sound 
 commercial activity, how is it that she has hitherto 
 lagged so far behind in the race ? There is, I 
 think, but one answer to this question. Misgovern- 
 ment has in almost every direction hampered the 
 spirit of individual initiative in China where it has 
 been stimulated in Japan. The ignorance and 
 arrogance of the official classes have scouted the 
 assistance of foreign capital and foreign brains for
 
 172 THE FAR EASTERN QUESTION chap. 
 
 the guidance and education of native enterprise, and 
 their rigid exclusivcness has closed against foreign 
 enterprise every door which they were not compelled 
 to leave open under the specific provisions of treaties 
 wrung out of them by sheer physical force. Their 
 greed has multiplied the exactions under which the 
 inland trade has been left to struggle at their mercy. 
 They have obstinately refused to equip the country, 
 or allow it to be equipped, with even the most 
 elementary appliances required by the conditions of 
 modern trade. Superstition has served as a con- 
 venient pretext for forbidding the construction of 
 railways and for keeping locked up in the bowels 
 of the earth the mineral treasures with which the 
 country abounds, lest the navvy's or miner's pick- 
 axe should disturb the mysterious spirits of earth 
 and water which lurk beneath the soil. The few 
 industrial or commercial undertakings in which 
 some of the shrewder or hungrier mandarins have 
 embarked are conducted in the narrowest spirit of 
 selfish monopoly. In fact, official China has looked 
 upon foreign trade as nothing but a vehicle for 
 foreign influence, and, true to her traditions of 
 hatred and contempt for the outside barbarians, she 
 has steadily opposed the force of inert resistance to 
 everything which might conduce to its expansion, 
 and Europe, taking her at her own valuation, has 
 hitherto allowed her "latent resources" to sleep 
 undisturbed in the custody of her " latent power." 
 Events, however, have moved rapidly within the
 
 XIII THE INDUSTRIAL FUTURE OF CHINA 173 
 
 last eighteen months. The Japanese war has 
 shattered the venerable imposture which so long 
 overawed the civilised world, and the sixth article of 
 the Treaty of Shimonoseki contains practically a 
 new charter for foreign industrial and commercial 
 enterprise in China. Not only does it assert and 
 confirm the right of foreigners to engage in all 
 kinds of manufacturing industries in the open cities, 
 towns, and ports of China, but it secures for all 
 goods thus manufactured the same privileged treat- 
 ment in respect to inland transit as for goods im- 
 ported from abroad. Of scarcely less importance 
 is the provision under which foreigners purchasing 
 goods in the interior or transporting merchandise 
 into the interior will in future have the right to 
 temporarily rent or hire warehouses for storage 
 without liability to any taxes or impositions. In- 
 dustrial undertakings would probably in any case 
 have remained, for the present, confined to the 
 open ports and towns to which the Treaty of 
 Shimonoseki limits them, but the whole of China is 
 now thrown open for the exchange and transport of 
 commodities under conditions which the Japanese, 
 at any rate, may be trusted not to allow Chinese 
 officialdom to defeat or evade. Nor is it to Japan 
 alone that the pressure of war has rendered China 
 more yielding. We have seen how France and 
 Russia have already worked, for their own purposes, 
 upon her helplessness. Great Britain has perhaps 
 been more slow to realise the opportunities of the
 
 174 THE FAR EASTERN QUESTION chap. 
 
 situation, but in one respect, at least, she promptly 
 recognised the necessity of not letting herself be 
 distanced by others. For various reasons we had 
 refrained from enforcing our right to import 
 machinery into China. As soon, however, as the 
 Treaty of Shimonoscki had conferred that right 
 upon the Japanese, who would certainly not be slow 
 to render it operative, the British Legation at 
 Peking demanded the immediate issue of instruc- 
 tions to the Chinese Customs authorities for the 
 removal of all the obstacles which they had hitherto 
 placed in the way of the importation of British 
 machinery, and three months ago, for the first time, 
 British machinery was admitted without let or 
 hindrance at Shanghai. Already on the banks ot 
 the river large native-owned cotton-mills and silk 
 filatures are working successfully, despite the 
 cramping influence of their mandarin proprietors, 
 and their tall chimneys seem already to indicate the 
 future site of the great industrial metropolis ot 
 the Far East, which, combining the advantages of 
 Manchester and Liverpool with the production at 
 its very gates of all the raw materials required for 
 its manufactures, can hardly fail some day to rival, 
 and perhaps outstrip, its Western prototypes. Nor 
 can that day be far distant. All that is wanted to 
 energise Chinese labour are foreign capital and 
 foreign organisation, and, now that the barrier of 
 Chinese ofificial obstructionism is being broken 
 down, foreign capital and foreign organisation will
 
 XIII THE INDUSTRIAL FUTURE OF CHINA 175 
 
 pour in. Of these, if we are true to ourselves 
 and to our traditions, we shall contribute our 
 legitimate share and reap a proportionate harvest. 
 One large cotton mill already in course of 
 erection represents the first fruits of British 
 local enterprise, and its success, which seems 
 to be assured beyond all possibility of doubt, 
 is expected to usher in an unprecedented era ot 
 industrial activity. Even in a country like 
 China activity is contagious, unless directly 
 paralysed by official obstruction. But, in presence 
 of the pressure which the Powers will probably no 
 longer shrink from applying both at the seat of the 
 central Government and at the provincial centres, 
 that obstruction must gradually relax, as indeed the 
 whole forces of Chinese resistance have already in 
 the last few months shown signs of weakening. 
 Rumours are afloat that the Chinese Government 
 has actually decided to commence the construction 
 of a regular system of railways, and, whether those 
 rumours in their present shape are founded or un- 
 founded, China will undoubtedly have either to 
 build railways herself or to see others build them for 
 her and in spite of her. With the growth of native 
 industries, with adequate means of communication, 
 and with treaty protection against the exactions of 
 inland transport, foreign trade must expand, if not 
 with the same rapidity as in Japan, with even greater 
 prospects of continuity and intensity. If nature 
 has made Japan rich, she has created China even
 
 176 THE FAR EASTERN QUESTION chap. 
 
 richer ; and, if the average value of foreign im- 
 ports consumed to-day by every Japanese amounts 
 to nearly $3 a head, an average consumption of less 
 than 80.60 per head in China can only represent a 
 fractional part of the potential purchasing power of 
 a country endowed with almost inexhaustible natural 
 wealth. China is to-day with regard to the possibilities 
 of foreign trade and industry still almost a virgin soil 
 of which we have only scratched the outlying fringe 
 and surface. Even so it yields us an annual trade 
 harvest of a gross value of close upon ^30,000,000. 
 What it may yield when we have obtained security 
 and facility of access to the whole area and have 
 applied to it modern methods of improvement and 
 development, it goes " beyond the dreams of 
 avarice " to conceive. 
 
 It is, at any rate, a field worth struggling for, and, 
 if we are not only to maintain, but to consolidate 
 and extend, the position which we already hold, we 
 shall not do it without a struggle. The days are 
 past when our industrial supremacy went un- 
 challenged and the whole trade and commerce of 
 the world seemed to gravitate towards us as by 
 some immutable law of nature. We have keen 
 competitors in our own European neighbours. 
 Another and no less keen competitor has sprung 
 up in the Far East. But out of this very competi- 
 tion arises a compensating increase in the whole 
 volume of trade, and, so long as our individual spirit 
 of enterprise does not slacken nor the national vigour
 
 XIII THE INDUSTRIAL FUTURE OF CHINA 177 
 
 relax which is required to back it up, we have 
 no cause for despondency. No nation is better 
 equipped than ourselves for conquering a fair 
 share of the profusion of material advantag^es 
 which must accrue to the trade of the world from 
 the industrial and commercial development of the 
 Chinese Empire — an Empire whose population con- 
 stitutes nearly one-fifth of the estimated total of the 
 human race. Our language is paramount as the 
 only medium of intercourse between the peoples of 
 the Far East and of the West. We were the first 
 to break down the barriers of Chinese intolerance. 
 We have in our hands more than 60 per cent, of the 
 carrying trade by water. There is not a single 
 commercial centre where our commerce has not 
 struck older and deeper and firmer roots than that 
 of any other country. We are, in fact, the people 
 in possession. What we have to do is not only to 
 see that we are neither forcibly ejected nor squeezed 
 out by more subtle means, but also to guard care- 
 fully our prospective interests in an estate of 
 growing and perhaps immeasurable value. Those in- 
 terests are collectively those of the w^hole community 
 in an Empire built up as ours has been on industry 
 and commerce, and individually those of every work- 
 ing man for the produce of whose labour our foreign 
 markets must be maintained and extended. In no 
 part of the world is commercial power so directly 
 conditioned upon political power as in the Far East, 
 
 N
 
 178 THE FAR EASTERN QUESTION chap, xiii 
 
 and nowhere, therefore, should the rulers of the 
 British Empire be able to rely more implicitly upon 
 the support of the British democracy for the main- 
 tenance of our political power and with it of our 
 commercial power.
 
 CHAPTER XIV 
 
 WANTED, AN IMPERIAL POLICY 
 
 If, In the critical phase upon which it has now 
 entered, the Far Eastern Question must put to 
 the test all the highest qualities of British 
 statesmanship, no British Administration could 
 fortunately be placed in a better position to deal 
 with it vigorously and successfully than that to 
 which an overwhelming Parliamentary majority 
 fresh from the polls seems to assure a relatively 
 long and undisturbed tenure of office. During the 
 life of the present Parliament it will be within 
 the power of Lord Salisbury and his colleagues to 
 determine whether the course of events in the Far 
 East shall be so shaped as effectually to safeguard 
 our Imperial interests, actual and prospective, 
 political as well as commercial, or whether those 
 interests shall be allowed to drift, as has too often 
 been the case in the past, at the mercy of un- 
 expected accidents. Our position in the Far East 
 must be sustained, as it has largely been created, 
 by individual enterprise, but nothing would tend 
 
 N 2
 
 iSo THE FAR EASTERN QUESTION chap. 
 
 to restore more fully the public confidence upon 
 which individual enterprise is conditioned than 
 some definite proof that her Majesty's Government 
 are acting in pursuance of a clear, comprehensive, 
 and well- considered policy which they are prepared 
 to carry through with unflinching determination. 
 
 What should be the lines of that policy it would 
 be presumptuous to indicate, as it must largely 
 affect and be largely affected by our relations in 
 other parts of the world with those Powers whose 
 more or less friendly rivalry we have to face in the 
 Far East. But it may not be inexpedient to draw 
 attention to a few points which impress themselves 
 most strongly on the mind of an impartial observer 
 on the spot. The idea that the alliance of China 
 in her present condition is worth having, or that it 
 can be secured by conciliatory methods of in- 
 dulgence and forbearance has been, it may be 
 hoped, finally exploded by the events of the last 
 twelvemonth. Whether the maintenance of the 
 Chinese Empire itself continues to be in the future, 
 as in the past, a matter of British interest is a 
 question to which China must be left to furnish the 
 answer by her own acts. If her helplessness is 
 such that she may at any moment lapse into a 
 mere puppet in the hands of Powers who will 
 use her for purposes detrimental to our own 
 interests, if she takes no steps to arrest the process 
 of internal decay which must ultimately produce 
 total and immediate collapse on the first pressure
 
 XIV WANTED, AN IMPERIAL POLICY i8i 
 
 from outside, we can hardly be expected to show 
 much concern for the merely nominal independence 
 and integrity of an empire which has survived 
 itself. But a Power so essentially conservative 
 and so profoundly interested in the preservation 
 of peace as England cannot wish to hasten a 
 dissolution fraught with so many possibilities of 
 international conflict. If, therefore, there is any 
 remnant of vital energy in China, we should not 
 forego a last opportunity of helping her to extend 
 her precarious lease of life. Not a few of the more 
 influential among the Peking officials recognise in 
 a more or less crude fashion that for the re- 
 organisation of her army and navy, for the con- 
 solidation of her financial credit, and for the 
 development of some of her resources, China must 
 have recourse to European assistance. They 
 realise that, had she retained Captain Lang's 
 services and extended their sphere as he sug- 
 gested, her ironclads might not have been reduced 
 to vainly seeking refuge in harbour from a Japanese 
 fleet inferior in everything but skill, courage, and 
 discipline. If the experience of the war has really 
 taught her that much, it is obviously inexpedient 
 that the task of creating a new navy for her should 
 be allowed to devolve upon any other Power than 
 ourselves, and not less so that any English officer 
 should be allowed to undertake it without ample 
 guarantees for the full and unrestricted exercise 
 of executive and administrative authority without
 
 iS2 THE FAR EASTERN QUESTION chap. 
 
 which the most elementary conditions of efficiency 
 and discipline cannot possibly be secured. The 
 arrangement under which a certain number of 
 Chinese are to be trained in Russian military 
 schools and attached to the Russian Army seems 
 to indicate that Russia is quite prepared to under- 
 take the task of reorganising the land forces of 
 China as far as it may suit her own purposes. But 
 unless the Peking Government has both the will 
 and the power to centralise the administration of 
 the army, the arrangements which it may enter 
 into will presumably only affect the troops of the 
 home provinces adjoining the capital, and the 
 viceroys of the outlying provinces will continue, as 
 in the past, to carry out their own particular views, 
 like Chang Chih Tung at Nanking, who has enlisted 
 military instructors from Germany on his own 
 account, and in the vast majority of cases they will 
 most probably do nothing at all. In dealing with 
 the finances of China, I have already shown that 
 to insure the elasticity of revenue required to 
 meet the charges of the war China will probably 
 be compelled to transfer the collection of some 
 other of her revenues to a reliable European ad- 
 ministration, such as that which already exists 
 under Sir Robert Hart for the Imperial Maritime 
 Customs. In the formation of any new adminis- 
 tration on that model, or in any extension of Sir 
 Robert Hart's administration, the preponderating 
 interests of British trade and shipping, which
 
 XIV WANTED, AN IMPERIAL POLICY 183 
 
 actually contribute 15 per cent, of the total revenue 
 of China, entitle us to the fullest participation. 
 Franco-Russian loans, past or future, cannot be 
 allowed to serve as an excuse for excluding British 
 influence from the administration of revenue 
 created, sustained, and developed mainly by British 
 enterprise. Indeed, should the next Chinese loan 
 be raised, as now seems probable, in London and 
 Berlin upon the security of the Imperial Maritime 
 Customs, it will behove us rather to increase than 
 to relax our control over those revenues in view of 
 the prior lien already granted upon them to Russia 
 and France. Second mortgagees are in the nature of 
 things more closely interested than first mortgagees 
 in maintaining and developing to the utmost the 
 security successively pledged to both classes of 
 creditors. No less important is it that in regard 
 to the construction of railways, the opening of 
 mines, industrial enterprises, and all other measures 
 calculated to develop the immense natural resources 
 of China, England shall strenuously resist any 
 attempt to defeat the treaty provisions under 
 which she enjoys the most-favoured-nation treat- 
 ment. Apart from the legitimate profits which 
 British capital and British industry may properly 
 expect to derive from participation in such under- 
 takings, the exclusive control by other Powers of 
 the railways and coalfields of China would be 
 fraught in the future with very serious conse- 
 quences, military as well as commercial.
 
 i84 THE FAR EASTERN QUESTION chap. 
 
 That we are fully justified in henceforth treating 
 China without fear or fav^our she has herself been at 
 pains to prove. Whether she ultimately ratifies it 
 or not, in attempting to sign away to France by the 
 Tongking Convention of June last territories which 
 she had solemnly covenanted a little more than a 
 year ago never to transfer to a third Power without 
 our consent, she deliberately turned her back upon 
 the policy of very one-sided friendship which we 
 had hitherto pursued towards her. If the action of 
 French diplomacy in this matter was unfriendly, 
 that of the Chinese Government constituted a flag- 
 rant violation of our treaty rights for which we are 
 entitled to exact the most substantial compensation. 
 The British Government intends, it is stated, to 
 resume immediate possession of some at least of the 
 Burmese dependencies which were given in trust to 
 China by the Anglo-Chinese Convention of 1894, 
 and it would be clearly justified in declaring that 
 Convention to be altogether annulled by the Chinese 
 violation of its fundamental conditions. But, besides 
 this, there are many questions connected with the 
 regulation of our boundaries in the upper valley of 
 the Irawadi, with the adequate defence of our posi- 
 tions on the mainland opposite Hong-kong, with the 
 opening of the West river in Kwang-tung and of 
 other districts important to British trade, which are 
 awaiting settlement between ourselves and the 
 Chinese, and we shall neither abate their hostility 
 nor reconquer the wholesome respect which they
 
 XIV WANTED, AN IMPERIAL POLICY 185 
 
 had apparently ceased to entertain for us by toler- 
 ating the passive resistance which is the Alpha and 
 Omega of her statesmanship. China hates all 
 foreio^n Powers, but there are some whom she fears 
 and others whom she despises. It is not by per- 
 manently taking rank amongst the latter in her 
 estimation that we can hope either to guard our own 
 interests or to exercise upon China for her own 
 good the material pressure which can alone induce 
 her to deploy whatever recuperative powers she 
 may still possess. One can only note with satis- 
 faction that in this respect the situation already 
 shows some improvement in Peking, and that 
 during the last months of his official sojourn in 
 China, Sir Nicholas O'Conor has found several 
 opportunities of teaching the Chinese that England 
 is not yet to be treated as a qiiantite n^gligeable. 
 Nor should China be allowed to forget that, if 
 others have a claim upon her "gratitude" for 
 their intervention in her favour after the close 
 of the war, we have an equally good claim 
 upon her "gratitude" for the intervention which 
 localised hostilities during the progress of the war. 
 If Shanghai and Canton and the other central 
 and southern ports of China remained unmolested 
 by the Japanese fleet, it was due solely to the 
 friendly but firm representations which we made 
 at Tokio. 
 
 But it is not China alone that we have to deal 
 with. France and Russia bulk laro-e in the back-
 
 i86 THE FAR EASTERN QUESTION chap. 
 
 ground. The policy of the latter may not be in- 
 spired by any deliberate animosity toward Great 
 Britain, except inasmuch as our influence is exer- 
 cised, in her opinion, to shut her off from that access 
 to the open sea which she has hitherto vainly 
 sought, from the shores of the Mediterranean to 
 those of the Pacific. Directly, or indirectly, we 
 have, so far, blocked the road against her in the 
 Levant and in India, and, headed off in both direc- 
 tions, she has thrown herself with her full weight 
 upon the Far East. With regard to the precise 
 nature of the secret agreement which accompanied 
 the Franco-Russian loan we are still in the dark, but 
 there is every reason to believe that such an agree- 
 ment exists, and that, in spite of skilfully-worded 
 ddvientis, it contains provisions under which Russia 
 will have the right to use Port Arthur as a naval 
 and coaling station for her fleets, and not only to 
 run her Trans-Siberian railway through Manchuria, 
 but also to connect it ultimately with an ice-free 
 port to be subsequently determined, and which may or 
 may not turn out to be Port Arthur, either on the 
 Gulf of Chi-li or on that of Leao-tong. For the 
 moment, and possibly as a pledge for the ulterior 
 fulfilment of some such engagements, Russia seems 
 to be making herself at home in the Bay of 
 San-Kau, an equally convenient and important 
 strategical position to the south of the Gulf of 
 Chi-li at the extreme point of the Shan-Tung 
 peninsula. As far as China is concerned, Man-
 
 XIV WANTED, AN IMPERIAL POLICY 187 
 
 churia, of course, lies entirely at the niercy of 
 the Russians, and when the Leao-ton^ peninsula 
 has been restored to her, she will be nothing 
 more than a tenant holdinof on sufferance from 
 the Power which has been chiefly instrumental in 
 ousting the Japanese. Whether in so vast a field 
 room might not be found to satisfy Russia's natural 
 ambition to possess a port open all the year round 
 to her fleets without either precipitating the dis- 
 membermient of the Chinese Empire and the general 
 scramble which must ensue, or entirely displacing 
 the balance of power to the detriment of others, is a 
 question which cannot be answered until Russia has 
 frankly disclosed the limit of her demands. Much 
 must depend in this respect, from our point of view, 
 upon the extent to w^hich she has determined to 
 identify her policy in the Far East with that of 
 France. For it is, unfortunately, difficult to believe 
 that the main object of French policy there, as else- 
 where, is not -one of settled hostility to England. 
 On no other hypothesis is it possible to explain the 
 abrupt refusal of the French jNIinister in China to 
 grant the Tsungli-Yamen time even to consider the 
 British protest against the proposed cession of part 
 of the Kiang-hung province to France before sign- 
 ing the Convention of June 20. Nor have the 
 organs of French colonial expansion and others of a 
 more responsible character hesitated to describe the 
 Tongking Convention with China as only an instal- 
 ment of the policy which is designed to carry the
 
 i88 THE FAR EASTERN QUESTION chap. 
 
 French tricolour up the valley of the Mekong into 
 Yun-nan and Szu-chuan, and ultimately drive in a 
 French wedge between British Burma and the 
 valley of the Yang-tsze-kiang, the natural strong- 
 hold of British influence in China. The French 
 advance from the south would thus meet the 
 Russian advance from the north, and between the 
 two England would be finally squeezed out. 
 
 Such a policy is one in which Great Britain could 
 never acquiesce without abdicating her position in 
 the Far East. For if there is one region in China 
 with which the trade and commerce of our Empire 
 is more closely bound up than with any other, it is 
 the basin watered by the great river which, de- 
 scendinsf from the borders of our Burmese dominion, 
 flows into the Yellow Sea close to Shanghai, the 
 greatest emporium of British commerce in the Far 
 East. Nothing probably would be better calculated 
 to arrest any plans which may exist elsewhere for 
 hastening on the dismemberment of China, or even 
 to restore a little backbone to China herself, than 
 for us to make it clearly understood that we could 
 under no circumstances allow the valley of the 
 Yang-tsze to pass under the control of another 
 Power. 
 
 It is much to be regretted that, while Russia 
 has neglected no opportunity of consolidating her 
 relations with the Mongolian and Manchurian pro- 
 vinces which march with her Siberian frontier, we 
 have hitherto done little to bring the Chinese
 
 XIV WANTED, AN IMPERIAL POLICY 189 
 
 provinces of Yun-nan and Szu-chuan into closer 
 contact with our Burmese possessions. It is only 
 within the last few months that a junction has 
 been finally established between our Burmese 
 telegraph system at Bhamo and the Chinese 
 station at Tal-i-fu. Russia on the other hand, 
 by a convention concluded in August, 1892, has 
 already secured a twofold junction between the 
 Chinese lines from Tien-tsin and her stations in 
 the Amur province, the one between Ninguta 
 and Vladivostok, and the other between Tsitsihar 
 and Blagovestchensk, besides the construction of 
 a line from Peking to Kiakhta, via Kalgan, Urga, 
 and Maimatchin. Another junction still further 
 west is imminent, as a Chinese line already 
 reaches Su-chau in Kan-su, whence it is to be 
 carried across Dzungaria towards Semipalatinsk, 
 That the Russians will insist, with or without 
 the consent of China, upon carrying their Trans- 
 Siberian railway along the most convenient line 
 of country for themselves, and establishing a 
 terminus on the open sea free from the re- 
 strictions which nature imposes upon Vladivostok, 
 is obvious, and there are already indications that 
 as soon as the great northern Trans-Asiatic line 
 is completed they will turn their attention to 
 the extension eastwards of their southern line, 
 which might easily be prolonged from its pre- 
 sent terminus at Tashkent to Kuldja, and thence 
 across the heart of Mongolia to Peking, or from
 
 I90 THE FAR EASTERN QUESTION chap. 
 
 Kuldja northwards towards the upper valley of 
 the Yenisei. 
 
 Meanwhile, what has Encrland done ? She has 
 wasted years in discussing the relative merits of 
 different routes for approaching South- West China 
 from Burma, and after finally recognising the 
 insuperable difficulties of the line originally favoured 
 by the Indian Government from Bhamo to Tal-i-fu, 
 she has adopted, not the line which every con- 
 sideration, technical as well as political, appeared 
 to recommend for a great Indo-Chinese trunk line 
 from Moulmein up the Salween valley across Kiang- 
 kheng to Szumao, but a small branch line from 
 Mandalay through Theebaw to the Kunlon ferry 
 on the Salween, and thence on to the Chinese 
 frontier at Mungting, and another running also 
 from Mandalay up the valley of the Irawadi to 
 Mogaung, whence connection by road would have 
 to be established with Tal-i-fu and Yun-nan-fu. 
 Both these lines will doubtless prove useful, but 
 they must be looked upon rather as makeshifts 
 than as the adequate solution of a question which 
 has for years past been repeatedly urged upon 
 the attention of successive Governments, Can one 
 doubt, for instance, that if the construction of the 
 Moulmein- Kiang-kheng-Szumao railway had been 
 taken in hand ten years ago, there would never 
 have been room for the difficulties which have 
 recently arisen between ourselves and the French 
 with regard to the Upper Mekong Valley? To-day
 
 XIV WANTED, AN IMPERIAL POLICY 191 
 
 the French contest our rights to part of the 
 territory through which thatHne would have passed ; 
 they have wrested another part froni the Chinese ; 
 they are establishing a consulate at Szumao, where 
 we are still unrepresented ; they have acquired for 
 the development of the mineral resources Yun-nan 
 and for the construction of railways facilities which 
 cannot fail to pave the way for the political 
 absorption of those regions ; and two influential 
 French missions are already on their way out to 
 study on the spot the new line of country marked 
 out for French expansion. 
 
 The same fatal procrastination has been displayed 
 with regard to another question which has been 
 even more constantly and urgently impressed upon 
 the British Government — -viz., the appointment of 
 commercial Attaches in the Far East. While every 
 public and private report has drawn attention for 
 years past to the dangers which threaten British 
 trade and industry from the increasing fierceness of 
 European competition as well as from the growth of 
 native industries, the British Government has taken 
 no steps to procure even an adequate investigation 
 of the question. The ordinary agencies at its com- 
 mand are admittedly insufficient. Consular officers 
 may take the keenest and most intelligent interest 
 in all matters which affect British trade and industry 
 in their own districts, but their knowledge and ex- 
 perience are in the nature of things limited ; and 
 the diplomatic staff of the Legations, which both in
 
 192 THE FAR EASTERN QUESTION chap. 
 
 China and Japan are undermanned, has neither the 
 time nor the special qualifications required to deal 
 in an exhaustive and comprehensive fashion with 
 the materials at its disposal, still less to undertake 
 independent inquiries, which in many cases could 
 only be satisfactorily conducted on the spot. It is 
 surely not too much to ask that in countries where 
 our present'trade amounts to some 40 millions ster- 
 ling per annum there should be some special officer 
 appointed to watch over interests of such magnitude. 
 Our relations with the Far East are primarily and 
 essentially commercial, and their political import- 
 ance is merely the result of their commercial im- 
 portance. It is nothing less than a public scandal 
 that our political officers should be denied the assist- 
 ance of officials properly qualified to give them 
 responsible advice on the very matters which ought 
 to inform and govern their policy, and this at a time 
 when every other Government is straining its polit- 
 ical influence to the utmost for the furtherance of its 
 commercial interests. It is not necessary or desir- 
 able that diplomatists should act as touts and agents 
 for every commercial traveller clamouring for orders 
 and contracts, but it is indispensable that they should 
 have at their disposal for the legitimate protection 
 and promotion of trade and commerce technical 
 advice of the highest order. 
 
 Scarcely less unfortunate has been the absence of 
 such technical advice in military and naval matters. 
 Had the British Legations in China and Japan been
 
 XIV WANTED, AN IMPERIAL POLICY 193-. 
 
 kept regularly informed by experts of the real con- 
 dition of the armaments of both countries, we might 
 have been spared the surprise and embarrassment 
 produced by the unexpected collapse of China's re- 
 sistance. With the establishments which we possess 
 at Hong-kong and Singapore it should not be diffi- 
 cult to organise an efficient intelligence department 
 on the spot, even if financial considerations preclude 
 the appointment of military and naval Attaches from 
 home. It may be hoped also that in future the 
 British fleet in Chinese waters will be kept up to 
 such a standard of strength that its superiority 
 over any other fleet shall not turn mainly, as 
 was the case during the most critical period of 
 1895, upon the somewhat speculative question of 
 the qualitative superiority of one particular English 
 battleship over the quantitative superiority of the 
 Russian battleships. 
 
 If we are to hold our own in the Far East it is 
 upon ourselves alone that we must rely. There are, 
 indeed, Powers for whose co-operation we might 
 legitimately hope against any violent attempt in 
 other quarters to monopolise an excessive share of 
 the vast field which is opening up for human enter- 
 prise. The United States, for instance, have larger 
 and more direct interests in the Far East than any- 
 where else outside of the American continent, and 
 one can hardly imagine any circumstances in which 
 those interests would conflict with our own. There, 
 if anywhere, might be laid the foundations of that 
 
 o
 
 194 THE FAR EASTERN QUESTION chap. 
 
 close understanding between the two great branches 
 of the Anglo-Saxon race which it must be the object 
 of every far-seeing statesman on both sides of the 
 Atlantic to promote and extend. Nor in the long 
 run should the interests of Germany, in spite of fierce 
 commercial rivalry, prove antagonistic to our own. 
 What she chiefly wants is what British influence has 
 everywhere and always been exerted to secure — viz., 
 open markets and free play for commercial and in- 
 dustrial activity. Even if Germany contemplates 
 the acquisition of a coaling station off the Chinese 
 coast which would serve as a point d'appui for her fleet 
 in the event of a sudden declaration of war overtaking 
 it in Far Eastern waters, this is not a desire which 
 can be denounced as on the face of it unreasonable, 
 so long as in its fulfilment she shows a proper regard 
 for British interests and treaty rights. Nor is there 
 the slightest reason why we should bear her a per- 
 manent grudge for having elected to join hands with 
 Russia and France in their intervention in favour of 
 China whilst we preferred to hold aloof. There can 
 be no doubt as to the sincerity of the desire which 
 she so earnestly expressed at the time to see Eng- 
 land adopt the same course. There was nothing of 
 hostility to her in our refusal to do so, nor of hostility 
 to us in her abiding by her own decision. In fact, 
 inasmuch as Germany undoubtedly exercised a mod- 
 erating influence on her somewhat reluctant part- 
 ners, we at least can have no cause to regret her 
 determination.
 
 XIV WANTED, AN IMPERIAL POLICY 195 
 
 There are many circumstances which, as I have 
 already explained, should draw England and Japan 
 much closer together than in the past ; but, though 
 the interests of both countries would seem to pre- 
 scribe a common course of action, they cannot be 
 looked upon as wholly identical. There are some, 
 indeed, who think that Japan may not be proof 
 against the temptation of coming to a direct under- 
 standing with Russia for a division of the spoils of 
 China. It is certainly remarkable that within a few 
 months after Japan had been warned that her 
 presence in the Leao-tong peninsula was an intoler- 
 able menace to the safety of the Chinese Empire, 
 and before she has actually evacuated it, the most 
 responsible organ on foreign affairs in France should 
 openly invite Japan " as a natural co-heiress of the 
 Chinese Empire" to come to terms with Russia "as 
 to the division of the Sick Man's inheritance, which 
 may be already looked upon as well-nigh open." 
 Whether Japanese statesmen will listen to such 
 cynical proposals must ultimately depend in a great 
 measure upon the reliance which they may feel able 
 to place upon the friendship of England. 
 
 Meanwhile, the policy which France and Russia 
 have been lately carrying through with a high hand 
 at Peking is calculated to create legitimate appre- 
 hension in this country, for it has so far indicated 
 only too clearly a disposition to ignore our traditional 
 rights and position. But in so extensive a field it 
 should not be impossible for every Power to find
 
 196 THE FAR EASTERN QUESTION chap, xiv 
 
 adequate scope for its own activity without placing 
 undue restrictions on that of its neighbours. Un- 
 fortunately, in the present mood of French politicians, 
 the governing principle of French policy all over the 
 world seems to be rather to deal a real or imaginary 
 blow at British interests than merely to promote 
 those of France, and such a temper is hard to deal 
 with. There is, however, no sufficient reason at 
 present to believe that Russia is definitely pledged 
 to any such policy. England and Russia are, after 
 all, the two great Asiatic empires of the world, and 
 if they have been able to amicably settle their 
 differences in Central Asia they should be equally 
 able to settle their differences in Eastern Asia by 
 the exercise of similar frankness and forbearance. 
 "Live and let live" is the only principle upon 
 which the scramble for Africa could possibly have 
 been conducted without plunging Europe into 
 sanguinary struggles ; and whether the scramble for 
 the Far East be near at hand or whether it may yet 
 be averted, the same principle can alone secure a 
 pacific solution of the Far Eastern question. Great 
 Britain must, at any rate, be prepared for all events. 
 She cannot trust for the defence of rights so well 
 defined and of interests so vital as hers to the mere 
 contingency of doubtful alliances and understandings. 
 Still less can she surrender them without shaking to 
 its very foundations the whole structure of political 
 power and commercial enterprise upon which her 
 world Empire has been built up.
 
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 he Far Eastern question 
 
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