The suburbs are nearly as large as the city itself. On the south, they' stretch along the river-side, and at their southwest corner are the "hongs," or foreign quarters-a long range of buildings separated from the river by a quay. There are in all 13 hongs, including those belonging to the British, American, Dutch, and other merchants. The whole territory, however, allotted to foreigners, is comparatively limited. The population of Canton is about 1,000,000, a large part of which resides on water, so that for four or five miles opposite to, and above and below the city, the river is crowded with floating dwellings. The city was only a port of trade, because the Chinese had been in the habit of going there to trade with foreigners when there were no other ports open. But the difficulty created by the rebellion has diverted the great mass of the trade from its ancient and out-of-the-way channel, and concentrated it at Shanghae. And now that the Chinese find Shanghae to be nearer to their tea and silk districts than Canton, and that they can often get better prices, and always as good as at Canton, they abandon their old and long route to a port of sale, and will continue to concentrate at Shanghae. The progress of the Shanghae trade is seen as follows:

COMPARATIVE STATEMENT OF THE EXPORT OF TEA & SILK FROM SHANGHAE. Year ending 30th June.

1844-45..

1845-46...

1846-47..

1847-48.

1848-49.

1849-50.

1850-51...

Total Black.

Total Green.

Total pounds. Silk, bales. 3,800,629 6,433

1851-52.

1852-53.

1853-54.

1854-55. 1855-56.

1856-57.

1857-58.

1858-59.

1859-60..

The destination of the teas exported from Shanghae were as follows:

EXPORT of tea and silk from SHANGHAE, From july 1, 1859, To

In the return of the exports from Shanghae, the qualities of the tea exported, black or green, are only distinguished from the years 1854-55, and only in the last year are the different countries enumerated to which the exports are destined. In 1844-45 the export of tea was only 3,800,627 lbs., and bales of silk 6,433. The very next year the quantity of tea was quadrupled, and the bales of silk rose to 15,192; and an inereased export in both tea and silk took place annually, and the year the rebels took possession of Nankin the export of tea rose to 69,431,000 lbs., and the bales of silk to 28,076. The next year, 1853-54, as might have been expected from the confusion consequent upon the subversion of the Tartar authorities at Nankin, the export of tea fell to 50,343,847 lbs., but singularly the bales of silk rose to 58,319; but much more singularly the export of tea in the following year rose to the greatest amount it has ever exhibited from Shanghae, namely, 80,221,245 lbs., and the silk amounted to 53,965 bales. From this year the export of tea fluctuated from 39,135,939 lbs. in 1858-59 to 53,463,771 lbs. in 1859–60. The silk, nevertheless, maintained very high figures; in 1856-57 it rose to 92,160 bales, the greatest amount exported in one year, and in 1860 the export had not fallen below 67,874 bales. If we contrast the first and the last of the sixteen years in the report, a marvellous progress had been made in the export trade. Tea had increased more than 1,300 per cent, and the silk more than 950 per cent. Looking to the destination of the exports in 1860, it is found that Great Britain took more than onehalf of the tes, 31,621,204 lbs., but only 19,084 bales of silk; the United States took the next greatest amount of tea, 18,299,388 lbs.; so that the Anglo-Saxon race would seem to be the greatest tea drinkers, for the rest of the world would appear to have taken from Shanghae only about 3,500,000 lbs. America took only 1,554 bales of silk, but 47,099 bales went to the continent of Europe and coastwise.

A review of this remarkable progress in the export trade of Shanghae presents some anomalous and conflicting considerations. Since the year 1853, the rebels or Taepings, have been in possession of Nankin, the ancient capital of China, and of several great tea and silk producing provin ces on the Yang tse Kiang, or Great River, and Shanghae had to be supplied either from these provinces, or from provinces beyond the rebel territories and still under the Tartar authorities, but whose products would mostly have to pass through the rebel territory to reach Shanghae. Now a portion of the Europeans in China have exhausted damnifying epithets in depicting the rebel character and proceedings-they were bloodthirsty brigands and incendiaries, carrying desolation with them-were flocks of locusts, who, wherever they alighted, left a fertile land a howling waste, and were incapable of establishing regular government, or engaging in commercial relations. These accusations were even sanctioned in print by high authorities in China. It does not appear, however, from the figures that trade has in consequence been interrupted. Annually increasing quantities of tea and silk could not be produced from howling wastes, and those products, if for the most part coming from provinces under Tartar rule, must have passed unmolested through Taeping territories, though as brigands they should have plundered them. The Taepings profess to have a divine mission to extirpate the Tartars, their foreign rulers, and to destroy idolatry; and in prosecuting these objects, in combat, in the field, and in storming cities and towns, great atrocities must

have been perpetrated; but in respect to the rural population, as contradistinguished from the Tartars, a fact is patent, that when unexpectedly repulsed in their attacks upon Shanghae in August, 1860, by French and English troops, although exasperated by a sense of betrayal, in their retreat they left uninjured the standing crops around Shanghae, and they did not molest Europeaus.

The trade of Shanghae is with the United States next in importance to that with England, and has been growing in a two-fold ratio for many years. The United States merchants early settled at Shanghae, and have developed there a large business, not only in the import of teas and silks to the United States, but in the introduction of American cotton goods, mostly drills, which are popular in most of the other free ports.

Amoy is situated on an island of the same name, in a bay of the China Sea, opposite Formosa, and is an important point for foreign trade. The city is well fortified, and the harbor admits shipping up to the quays. The population numbers about 250,000. The trade has increased to some

extent.

Fu-chow-fu, on the Min River, twenty-eight miles from its mouth, is surrounded by an amphitheatre of hills, and enclosed by castellated walls nine or ten miles in circuit, outside of which are extensive suburbs. This port is situated within seventy miles of the black tea district; and the trade there in black teas has rapidly increased since 1853; in the quarter ending September, 1860, its exports were 34,181,000 pounds. These teas cost an average of 30 cents, and sell in the United States at an average of 90 cents; and the city of Fu-chow-fu, besides its large factories for the manufacture of cotton, dyed blue cloths, &c., contains 500 ovens for the production of porcelain, which is here brought to a state of great perfection. The foreign trade of this port is extensive, as well as its commerce with all the maritime provinces and the Lew-Chew and Japanese islands. Its population is estimated at 500,000.

Ningpo is also a walled city, admirably situated for trade, at the junction of three streams, which, uniting their waters, flow hence in one stream to the ocean, eleven miles distant. Ningpo has large manufactures of silk, and a population of about 300,000 inhabitants. It is stated that about 670 junks visit this port annually from Shantung and Leas tong, freighted with oil, provisions, fruits, caps, cordage, horns, drugs, rice, and silk; 560 from Fo-kien and Hai-nan, with sugar, alum, pepper, black tea, indigo, salt, rice, and dye-woods; from Canton and the straits, several vessels; and from the interior, about 4,000 small craft every year; the total imports being estimated at $7,650,000 annually. It is several days nearer to the green tea distries than Shanghae, and has, consequently, affected to some extent the trade of that port.

The port of Tainan Formosa was opened to trade April, 1860, according to the new treaty with the United States. The island of Formosa has no good harbors, and only vessels of light draft can approach it, and Sainaw is not so good a place for trade, as either Keelang, near extensive coal mines, or Jakaw. Another new port is Suatow, in the department of Chas tchon, the northeastern part of the province of Canton, between Hong Kong and Amoy, and situated at the mouth of the Hau River, which is said to be navigable by a line-of-battle-ships fifty miles above Suatow. Sugar is one of the chief exports, and American cotton fabrics of imports. It has a good trade with the island of Formosa. The

port is on the great commercial thoroughfare between the north and south of China, and by means of its accessibility, by far the greatest value of any of the ports. It is important as a port of refuge from Typhoons. The development of American trade, which began with Shanghae, will no doubt continue to be more important at that port than elsewhere. The new treaties opening the four ports, had hardly began to operate with regularity, when the gold of California offered its stimulous to international traffic. The facilities for digging attracted great numbers of all nations to those regions, and among these the Chinese number some 50,000, for the most part very quiet, industrious, and persevering workers, who were seeking a certain amount of gold with which to return to China. During many years they numbered over 14,000 per annum in emigrants to California.

Among the Chinese emigrants in California, there are several who have engaged extensively in commercial operations. There are in that State Chinese firms, in which more than $500,000 are invested; and it is stated that more than $2,000,000 capital is invested in the trade between San Francisco and China, owned and controlled by Chinamen residing in that city. At the same time they became acquainted with the increasing production of the northwest coast, and opened a trade for them in China. The lumber of Oregon particularly, came to be in demand in Chinese cities. By this process much of the repugnance of the Chinese to foreigners was overcome, and they carried back with them more enlarged views as to international intercourse, which they did not fail to impart to their neighbors. The market for teas opened to a greater extent on the Pacific coast, and in return many new articles were exported to China. Since gold made its appearance in traffie return the development of trade with China has been as follows:

▬▬▬▬▬▬-Value of exports.

Domestic

Foreign

produce. produce.

Total.

13,697

Foreign ton. Entered Cleared U.S. from U.S.

478

306

1,174

684

--U. S. tonnage. Value of Entered Cleared imports. the U. S. from U. S. V1845... 2,079,341 196,645 2,275,995 7,285,914 21,204 17,477 1846... 1,178,188 153,553 1,331,741 6,593,881 18,937 more; 1847... 1,708,655 124,229 1,832,884 5,583,343 16,601 12,334 126,388 2,190,013 8,085,496 23,719 17,150 4 now 1848... 2,063,625 1849... 1,460,945 122,279 1,583,224 5,513,785 19,418 11,740 1850... 1,485,961 119,256 1,605,217 6,593,462 21,969 17,830 7,445 8,106 1851... 2,155,945 829,342 2,485,287 7,065,144 27,587 46,317 11,327 10,198 183,111 2,663,177 10,593,950 52,076 67,264 26,009 21,507 524,418 3.786,992 10,573,710 65,899 66,041 26,965 24,808 104,163 1,398,088 10,506,329 51,196 68,658 19,230 18,547 186,272 1,719,429 11,048,726 55,048 101,660 1856... 2.048,244 509,993 2,558,237 10,454,436 69,194 83.438 1857... 2.019,900 2,375,280 4,595,130 8,356,932 57,042 59,549 1858... 3,007,748 2,689,603 5,697,351 10,570,586 49,958 1859... 4,233,016 2,894,183 7,127,199 10,791,381 63,275 95,083 1860... 7,170,784 1,785,334 8,906,118 13,566,557 77,254 78,374 1861... 5,809,724 1,107,703 6,517,427 11,351,719 70,291 46,614 5,655 1,511

2,070,941

196654

1852... 2,480,066

1853... 3,212 574

1854... 1,293,925

1855... 1,533,057

57,972

The exports to China from the United States have grown large since 1855, and as an illustration of their nature, the following may be taken from the official figures, showing the domestic export for 1861:

Gold and silver...

Cotton goods...

Wheat and flour.....

$1,623,465 Other articles......
2,322,831

275,646 Total.....

1,487,782

$5,809,724

Gold, direct from California, and cotton goods form the chief articles of the trade. The description of cottons sent thither was nearly as fol

lows:

$2,830,425

$2,322,881

Total......... $1,094,018 $1,814,514

When it is remembered that China has a population of 420,000,000, of whom a very large proportion wear cotton goods, and the remainder, to a considerable extent, woolen, and that all these goods are made by hand, or very primitive machinery; the cottons, to a considerale extent, from material imported from India, and known to be far inferior to the American description, it seems to be a matter of almost certainty, now that American goods made by the best machinery of the East, are well introduced, that an almost limitless demand for those goods may spring up. The extent to which English goods have been introduced, is seen as follows:

In 1855 there was a decline in the movement, consequent upon political difficulties; since then the increase has been rapid, mostly in yarns to supply native factories. In this branch of business the United States have done little or nothing. The English sell an aggregate of $17,000,000 worth of cotton goods, while the United States sell little over *2,300,000. Yet the English buy the cotton of India, and of the United States, and pay freight both ways, and still take the trade from the United States, which have their own cotton.

While the increased exports to China have been mostly gold, the United States have purchased an increasing quantity of tea, and also of silks, raw silks for purposes of manufacturing here.

The apparent consumption of tea in the United States for the last three years has been as follows:

The whole quantity consumed, according to these figures in the last twelve years, has been 384,021,739 pounds, an annual average of 32,001,813 pounds. If the population and consumption of each year is taken, however, the results are as follows: