Sept. 7.
EveN radically-minded Chinese will recognize in the Note by the various Legations to the Chinese Government, published on Saturday, a fair'and broad statement of the impediments to the fruition of China's accomplishment full and unimpaired sovereignty, of China's ideal of international treaties which are altogether hi-lateral in their benefits. The interested Powers frankly state that they do not stand in the way of the achievement of this goal. They are prepared to re-Jinquish all their exceptional rights in China, They are prepared to accede to the demand for tariff autonomy and the abolition of extraterritoriality, They are willing to meet China more than half way in the realization of China's political programme. They simply ask China to give them assurances that the Chinese Government is prepared to take up the burdens entailed in such a change in a manner which will not interfere with the economic life of the country, which will provide guarantee to the life and property of their nationals who are in China, 'The Powers call attention to the fact that a similar offer was made twenty-two years ago, at the time of the signing of' the Mackay Treaty, and that little has since been done to remove the impediments in the way of the accomplishment of the ideal. The Powers were then ready to help China to an evolutionary abolition of inequalities. The Powers were then ready to place their good offices at the disposal of the Chinese Government, but, unfortunately nothing came of it, Take the matter of likin: China might by now have had a Jargely increased revenue from the Customs dues and might have been in a position to justify factually and with a wealth of evidence, the demand for full tariff autonomy. 'The abolition' of likin was all that the Powers demanded, and China promised to abolish this pernicious tax upon the economic life of the country, but then China has often promised to abolish likin in return for an agreement providing increased revenue. But likin has never been abolished. Its precent status is worse than ey in the history of the country: approximately $60,000,000 is raised every year in this way, [very little of which goes into the national treasury, the largest Jehare being utilized by local feficials for the continuance of the civil war which is really; Hresponsible for most of China's present international difficulties. Huikin is an increasing nuisance trade and within the past few hi autonomy to China. In the early days of trade, the officials in Canton, the Viceroy and the Hoppo and other officials regarded trade simply as a means for the securing of huge revenues for' themselves. Taxation was levied without system, without any definiteness either in the method of collection or the amount to be paid. Officials often collected their taxes in the form of permits to smuggle, and the members of, the Ca-hong, who were the intermediaries between the Chinese officials and the foreign traders, made enormous fortunes! out of the ilegalities of taxation rather than out of direct business. The peculiarities of the taxations on imports were so gross at the time of the signing of the Treaty of Nanking, that, it was recognized as the reali reason for the war which preceded it. The Chinese commissioners as well as the foreigners sought for a solution to this particular question: the treaty, in effect, became a tax agreement, a document governing trade relations between China and Great Britain, In that treaty, China came to terms as to the method of collecting the tax on goods. The amount so collected has grown as trade has increased, and it is to-day the only source of revenue for the Chinese Government which is efficiently collected and which is regularly paid into the national treasury. All foreigners will admit that with the changing conditions and point of view of the twentieth century, China is entitled to a revision of this agreement. For twenty-two years, the foreign Powers have been prepared to revise this agreement, not only in the amount of the revenue but in general principles. The foreign Powers are willing to meet China in friendship on this sub-Ject as on all others. Unfortunately, China stands in her own way, for instead of a general improvement of conditions, they have become infinitely complicate ed by the action of provincial authorities in imposing illegal taxes without the consent of the Central Government and in violation of treaties already in existence.
We do not call attention to this fact because we are among the die-hards who want no change. Change and reformation are a necessary concomitant of the nationalistic development of the Chinese people. Attention called to these facts because such conditions are alone responsible for China's inability to achieve her ideals. For instance, in every province the local officials are imposing what they call consumption taxes, which are, effect, additional levies on foreign goods' in contravention of treaties and in opposition to the mandates of the Central Government. These consumption taxes are never levies on products of indigenous origin, but are always either on foreign manufactured goods or on native manufactured goods the basic constituent of which is an imported raw material. The Waichiaopu has itself admitted, with regard to tobacco, for instance, that it is unable to force the Province of Chekiang to obey the mandates of the Central Government and the treaties which the Central Government has signed. Again, we do not question the amount paid of the wisdom of increasing revenue by this form of taxation. We simply call attention to the lack of uniformity, the unwillingness of the provinees to abide by the decis-ong of the central authority, the
Text read from the printed page and cleaned; old type leaves the occasional error.