the Open Door does nothing to give the Chinese the usual autonomy as regards Customs that is enjoyed by other sovereign States.[1] The treaty of 1842 on which the system rests, has no time-limit of provision for denunciation by either party, such as other commercial treaties contain. A low tariff suits the Powers that wish to find a market for their goods in China, and they have therefore no motive for consenting to any alteration. In the past, when we practised free trade, we could defend ourselves by saying that the policy we forced upon China was the same as that which we adopted ourselves. But no other nation could make this excuse, nor can we now that we have abandoned free trade by the Safeguarding of Industries Act.
The import tariff being so low, the Chinese Government is compelled, for the sake of revenue, to charge the maximum of 5 per cent, on all exports. This, of course, hinders the development of Chinese commerce, and is probably a mistake. But the need of sources of revenue is desperate, and it is not surprising that the Chinese authorities should consider the tax indispensable.
There is also another system in China, chiefly inherited from the time of the Taiping rebellion, namely the erection of internal customs barriers at various important points. This plan is still adopted with the internal trade. But merchants dealing with the interior and sending goods to or from a Treaty Port can escape internal customs by the payment of half the duty charged under the external tariff. As this is generally less than the internal
- ↑ If you lived in a town where the burglars had obtained possession of the Town Council, they would very likely insist upon the policy of the Open Door, but you might not consider it wholly satisfactory. Such is China's situation among the Great Powers.
