BRITISH INTERESTS IN THE FAR EAST

New Zealand Mail, Issue 1676, 13 April 1904, Page 16

BRITISH INTERESTS IN THE FAR EAST

IV.

£All Rights Reserved.]

(By Archibald S. Hurd.)

Tits British people have not shown an adequate appreciation of the important British interests which are involved in the present state of affairs in the Far East, nor of the manner in which they are threatened. British merchants, notably the old: East India Company, with its “factories” at Canton and l elsewhere, were the pioneer traders in the countries washed by the Pacific, and it is a. question of ,no small moment whether the result of years of effort, the sacrifice of many lives and of much treasure, is to bring its due reward in the future or whether foreign merchants are to reap where British traders have sown. Time was when. British commercial and diplomatic prestige in the Far East w T as preeminent, and even, now Britain has more than fifty per cent, of the entire external’ trade of China, for she sends to this immense Empire about 75 per cent, pf all the foreign goods she consumes, and does more of the carrying trade than all other nations combined. In trade the subjects of King Edward have no- serious rival, except Japan and America; the trade interests of Russia., Germany and France are insignificant, but those of

the United States are progressing fast, and Japan, being near at hand, has a great advantage. European Powers believe that trade follows the flag, and their diplomatic activity is merely intended! to pave the way of the trader. British practice is for the trader to gofirst, and for the Government to tardily follow and support him more or less skilfully, and with more or less success. In China, foreign policy is inextricably intermixed with commercial policy, and l the unfortunate fact is that, while ten years ago British prestige stood supreme at Pekin, to-day it is at its lowest, and British traders are wondering how soon this state of affairs will react on trade to their detriment. Whatever the cause, it is beyond dispute that wherever British interests have been assailed:, they have suffered. Russia has triumphed in Manchuria, where British merchants had a trade valued! at £3,000,000 a year ; G ermany has obtained a firm foothold in what was styled the British sphere of influence, the Yangtse valley; France gained the advantage in the dispute as to the valley of Mekong. BRITISH INTERESTS DEFINED. What, it may be ashed, are the exact Interests which the British people have in the fate of China. They may he classified under two heads—(l) Territorial and diplomatic, (2) Commercial and shipping. A glance at the map shows that China is the neighbour of Inidia, which may be said to be wedged in between China and Persia. Avith Russia on the borders of Afghanistan!. So long as China and Persia remained independent, British statesmen had no cause for serious uneasiness from either side, and under the former ruler cf Afghanistan that buffer State fulfilled its purpose admirably, and the Ameer earned the annuity of £120,000 which Vie is paid by the Indian Government. Of late years, however, Russian influence has bee'n steadily fainiug ground in Persia and China. Russia has squeezed down on these countries. She is their banker, which means that she is in a peculiarly advantageous position to bring pressure to hear. Persia may borrow only from Russia, just as China, having omce dipped into the Russian treasury, dare not noAv float any loan except with the sanction of St. Petersburg. RUSSIA PLAYS A FRIENDLY GAME. a- One illustration, which may have been forgotten, is quoted to show the methods of Russia. After the Avar between China and Japan, Russia, supported by Germany and France, intervened as the friend of China, and compelled the victor to hand hack Port Arthur, Avhioh, with a good deal of surrounding territory, had been gained by the Japanese at the point of the sword, on the ground that the cession would be an, outrage on the sovereign rights of China. No objection Avas raised to the sum at which the indemnity barl been fixed by the Japanese authorities. Why? When the first .instalment of half the total sum of £30,000,000 became due, the Chinese exchequer was practically empty. Russia once more was anxious to show herself the friend of the vanquished and advanced the necessary money. Later, when the second instalment had to be paid, the British Government proffered a loan to supply an equipoise, and negotiations were well under way, Avhen the Chinese withdrew because they had been informed that Russia, the friend cf China,, would consider it an unfriendly

act if she went toV Great Britain foil’

money. The sequel, hhe growth of R)us_sian influence at Pekin. the running of file railway through Manchuiria, and the seizure of this large Slice of the Chinese Empire, are event's too familiar to need recital.

These incidents serve to illiterate, the methods by which Russia, ever vigilant, has built up her influence at the Courts

of Pekin and Teheran, and where Russia. is predominant British diplomacy is at a discount. The misfortunes of her neighbours have always been Russia’s opportunities, and by endless wiles and the skilful display of money—money of the French peasantry—she has succeeded in developing hen* policy of expansion in the Far and Middle East. Great Britain has protested time and again, Avoided and naggqd, but ahvays has the Muscovite Power carried out her intention,. The result of Russia’s policy, Avorked out with steady, dogged determination, is that India’s nearest neighbours, instead of being independent Poavers, have passed largely under the influence of the Czar’s Government., Whether she Avill swallow them in time Avho can say? At each step tire diplomatist has been supported by naval and military poAA*ei*. Every neAV man-of-Avar completed in the past six years has been dispatched to China waters, many of them not directly and sAviftly, hut Avith sufficient ease of movement to enable them to put in an appearance in the Persian Gulf on the Avay. IvnoAving that the Asiatic is apt to judge naval power more by the number of funnels seen silhouetted on the horizon than by the thickness of armour and the poAvev of the guns, Russia has taken pains to crowd her vessels, naval and mercantile, Avith “smoke .stacks.” BRITISH INFLUENCE IN CHINA. Great Britain and her colonies, particularly Australasia., still have the lion’s share of the trade of China, and what, amounts almost to a monopoly of the shipping. British trade holds a unique position still, in spite of all the efforts of foreign nations to hamper it. At the head of the Imperial Maritime Customs is a Briton —an Irishman, Sir Robert Hart—and China has given her word—for Avhat it is A\ r orbh—that so long as Great Britain enjoys the largest share of the trade of the country this important appointment shall be held by an Englishman. This financier and statesman has been in China for fifty years; in fact, since he graduated at Queen's College, Belfast. In 1863, be was appointed Inspector-Geneval of the Imperial Maritime Customs, and in 1896 he took over the control also of the Department of Posits, and l has .done much to improve, as far as he has been able, the educational system of the Empire. The Customs and Posts are the only tAVO' departments cf Chinese administration Avhich are well managed, and Sir Robert Hart’s work has gained for him the admiration of the Avorld, excluding, of course, Russia, which has ahvays regarded him Avlith disfavour. He possesses orders conferred on him by the late Pope, Germany, Italy, France, Austria, Norway, Portugal, Sweden, Holland and Belgium. England also OAves to him a debt of gratitude for training Mr McLeavy Brown, who for some year’s, in spite of Russian intrigue, has controlled the Maritime Customs of Korea,, besides acting as Finance Minister in that country. Gfiaat Britain occupies still a position in the Far East which is of immense importance to 1 her commerce, and surely the Government will not alloAV it to be undermined and destroyed Avithout a struggle. In another respect British interests are involved in China. As a result of various concessions. British capitalists have secured the option to lay 300 miles of railway in the Empire, and in addition the Pekin Syndicate, financed by British capitalists, Avhioh has obtained important concessions to work coal, iron and petroleum in the province of Shansi, has also the right to, lay railways from their Avorks in this province, and in the province of Honan.

A GREAT MARKET FOR BRITISH PRODUCTS.

Gireat Britain was responsible for opening China to the world, laid the first railway in the Empire (which tJhe Chinese promptly tore up because a man. was killed) and organised the Customs. She for many years liad the foreign trade of China practically to hersialf, and. has still a great stake in the country. It is, however. Russia’s diplomatic influence which is predominant at present in the Far East, and by loans and threats, the display of fighting power and by many wiles known to Russian diplomatists, she is fastening firmly on to China and Persia. The point to be borne in mind by the British- people is not the mere va’lne of the trade they do to-day with the Chinese, hut the trade which they may do in. the future. At present the external trade of China is not very extensive'relatively to* the aggregate foreign commerce of Great Britain, but what will it he in the future ? There is a population of 380,000,000 in the Chinese Empire. So long as Western civilisation was kept at bay, the simple rudimentary wants of this gigantic population were supplied from within the Empire. They had everything they had learnt to need; the best of beverages, tea; the most sustaining food for the Asiatic, -rice; and the most suitable materials for clothing, silk cotton and wool. As Western civilisation penetrates among these millions of people, now mostly occupied in primitive agricultural pursuit®, a demand will arise for the implementa of the West, for all those goods, which only nations with highly technical organisations and great resources can supply. Then these 380,000,000 people, the owners of a compact empire, rich agriculturally, strewn with deposits of coal, iron and other metals, and oil, of untold value, will reciuire

every kind of article Avhich the Western rid can send to them, in order that they may develop the resources of the land and that as prosperity spreads the general level of comfort may be raised. They Avill need machinery of every type, engines, electrical plant, agricultural and trade tools of all description, and manufactured goods of manifold kinds. When the aAvakening of China really begins, of which all observers admit that there are signs, will the British people he in a position to secure the lion’s share of this trade as the sacrifices and efforts of the past Avould Avarrant them in anticipating? Gradually the door of China is opening to the 5 traders of the world, and it is of vital importance that highly protective countries should not so, completely occupv the field as to enable them to slam the door in the face of the pioneer the British merchant.