Cha-lan-t'un, Fu-lu-erh-chi, Tsitsi-ha-erh, A-shih-ho, I-mien-p'o, Hai-lin, Yieh-ho, Mu-lin, Chiao-chie-chan, Shuang-cheng-p'u, Lao-shao-kou, Yao-men, and K'unach'eng-tzu. The two-thirds duty regulation shall be put into effect at all the above places, and within the area around each as stipulated, with the exception, however, of Man-chu-li and Chiao-chie-chan (on the Sui-fen River) both of which places are situated within the 100-li duty-free limit. In addition to the above, there shall be two-thirds duty areas extending to a distance of three li in each direction from all the smaller stations on the Eastern Railway. If, however, such goods are shipped out of the places above mentioned and the areas described, all other places being in inland territory, the full amount of the regular duty thereon must be made up and the goods considered subject to inland trade regulations.

III.

This reduction of one-third of the regular import duty on goods shipped by railway is made by special agreement between China and Russia. China agrees, however, that not only Russian but all foreign merchandise shipped to China over the Eastern Railway, are equally affected.

Russia, on her part, agrees that all duty collected on goods which are not exempt from duty by the terms of the Russo-Chinese land trade convention shall be levied according to the new customs tariff, one-third of the regular amount being deducted.

IV.

These articles of agreement shall serve in a general way for experimental regulations for North Manchurian customs-houses. If it shall become necessary to make any additions or alterations therein, or if any corrections shall be found necessary in order that the regulations shall be in harmony with Chinese customs procedure, such changes may be considered and decided upon by both parties to this agreement after one year.

As to detailed regulations for customs-houses, the mapping of the different areas, and the locating of small stations, these matters shall be discussed and decided as soon as possible by representatives of the two countries.

EXPOSITION OF ARTICLE II.

Some controversy with regard to the interpretation of Article II of the above agreement having occurred, the Chinese board of foreign affairs at a later date officially communicated the following explanation of its understanding of that article to the Russian minister in Peking and received his acceptance of the same:

Article II of the experimental regulations agreed upon by China and Russia for the opening of customs-houses in northern Manchuria contains the following clause:

"If, however, such goods are shipped out of the places above mentioned and the areas described, all other places being in inland territory, the full amount of the regular duty thereon must be made up and the goods considered subject to inland trade regulations."

The meaning of this article is that all goods shipped out of the places mentioned and the areas described will (since all other places are considered to be within inland territory) be required to make up the full amount of the regular import duty by paying the one-third not previously collected. This additional one-third duty will take the place of a transit duty, and upon payment thereof a pass will be issued permitting the goods to be shipped to any point within the three eastern Provinces (Manchuria) under the inland trade regulations. Without such pass the goods will be subject to likin and other duties at all customs barriers passed. Furthermore, if it is proposed to ship these goods upon which the full import duty has been paid from the three eastern Provinces into China proper then a further half-duty will be collected thereon in accordance with the regular customs tariff, this being the transit duty for China proper. Upon payment of this duty a pass will be issued exempting the goods from further duty, but without such pass likin and other duties will be collected at all customs barriers passed.

And in addition it is clearly understood that this plan as explained is experimental, even as the regulations themselves, and if any additions or alterations are found necessary a consideration of the matter shall be held by both parties to this agreement one year hence.

File No. 551/78.

No. 387.]

The Acting Secretary of State to Chargé Fletcher.

DEPARTMENT OF STATE, Washington, December 31, 1907. SIR: I have to acknowledge the receipt of your dispatch, No. 778, of the 2d ultimo, reporting that a settlement of the northern Manchurian customs question has been reached by the Russian minister and the Waiwu Pu, in accordance with which goods upon entering the railway zone will pay two-thirds of the regular import duty, and that this arrangement is to be in force for one year.

The department is gratified that a settlement of this question has finally been concluded.

I am, etc.,

ROBERT BACON.

RESTRICTIONS UPON THE IMPORTATION, GROWTH, AND USE OF

OPIUM.

(For previous correspondence see Foreign Relations, 1906, p. 352 et seq.) File No. 774/23-27.

No. 497.]

Minister Rockhill to the Secretary of State.

AMERICAN LEGATION,

Peking, January 4, 1907. SIR: I have the honor to transmit to you, herewith, copy of a note from the Prince of Ch'ing dated December 17 last, asking the assistance of the Government of the United States in carrying out the recent imperial edict for the stopping of the use of opium (see my No. 400 of September 21), and in enforcing the regulations issued in conformity therewith. A copy of these regulations is inclosed. The two points in which he hopes our Government will be able to assist China in the matter are, (1) that in the foreign settlements we will, by proper orders, arrange for the inspection of premises where opium smoking is carried on, and by prohibiting the sale of opium except under certain conditions help enforce the regulations now applied by the local Chinese authorities elsewhere; and (2) that our Government will waive its right to the favored-nation treatment as regards the importation and sale in China of morphia and instruments for injecting it, and consent to put the provisions of Article XVI of our treaty of October 8, 1903, in force at once without waiting for the consent of all the other treaty powers to a similar prohibition, as I had previously informed them our Government must do, on receipt of your instruction No. 143 of April 27 last.

On receipt of this note I called on the Waiwu Pu and saw His Excellency Tang Shao-i, who is, under the Viceroy Yüan Shih-k'ai, the prime mover in this great reform. I reviewed the past action of the United States in helping China to eradicate the opium evil, the provisions of our treaty of 1844 (Article XXXIII), and that of 1880 (Article II), and the act of Congress of February 23, 1887, and assured him that China could confidently count on our hearty assist

a See Foreign Relations, 1906, p. 359.

ance in the present fight its Government is making to free the country of this curse. I expressed, however, the fear that, as the action of the United States in the past had not had the desired effect of restricting in the least the spread of opium smoking, so with the present case, if we agreed to the immediate enforcement of the provisions of Article XVI of our treaty of 1903 without similar action being agreed to by all treaty powers, the result would be the same. This seemed the more likely since his excellency told me he did not believe that morphia or instruments for its injection were imported into China from the United States.

Reverting to the terms of Article XVI of our treaty, I asked His Excellency if China had, as provided therein, framed regulations to effectually restrict the use of morphia to medical purposes, and adopted measures to prevent the manufacture in China of morphia and instruments for its injection. He replied that no such regulations had been framed as yet, nor measures adopted.

I then stated my belief that, before asking our Government to agree to the immediate enforcement of the provisions of the treaty, China should herself do all she was required to do under it. To this His Excellency assented, and said that he would bring this to the immediate attention of his Government, and that he thought suitable regulations and provisions for their enforcement could be issued and made effective at a very early date. I assured him that when this was done I would be much pleased to submit to your favorable consideration the request contained in the prince's note of the 17th of December, although I feared, as I had previously said, that independent action on our part would have little practical result. To this he could not agree, but thought, on the contrary, that it might hasten acceptance of the prohibition by all the powers.

As regards the enforcement in the international settlements of measures tending to restrict or prohibit the use of opium, I assured His Excellency that our consular officers would do all that was possible, acting in conjunction with their colleagues of course, as we had no exclusively American concessions anywhere in China.

I learn that in Shanghai the municipal council of the international settlement has been approached in the matter by the taot'ai, and that while it is disposed to take such action as will meet the wishes of the Chinese, it is not inclined to do so until it has ocular proof that the Chinese regulations are being stringently enforced in the city and in all the localities in the neighborhood of the settlement under Chinese rule.

In Tientsin the regulations are being enforced in most of the foreign concessions, but in some there appears to be considerable disinclination to do so, but perhaps this will be overcome. The loss of revenue to the Shanghai settlement from licenses for opium smoking establishments would amount to a considerable sum, and in some of the settlements, as Tientsin, Hankow, and elsewhere, it would also be considerable. As the practicability of enforcing the prohibition of opium smoking throughout the Empire is not universally conceded, it seems to me probable that no stringent measures will be taken in the treaty ports, except where, as in this province, the local authorities prove themselves able to enforce the regulations.

I have, etc.,

W. W. ROCKHILL,

No. 226.]

[Inclosure 1.-Translation.]

The Prince Ch'ing to Minister Rockhill.

FOREIGN OFFICE, Peking, December 17, 1906.

YOUR EXCELLENCY: I have the honor to inform Your Excellency that on September 20, 1906, the grand secretariat received an imperial edict, saying:

"Ever since the relaxation of the prohibition of opium smoking the evil has spread abroad over the Empire in all directions. The smokers waste their time and their property, ruin their health, and impoverish their families. The condition of poverty and weakness which has been growing during the past decades may really be traced to this. In a word, the habit is one which arouses indignation. At present the court is earnestly engaged in planning to make the State strong, and it becomes of urgent importance to warn all our people to rouse themselves and get rid of this long-standing evil and turn to paths of health and happiness.

"We hereby command that the evil habit of using opium, whether foreign or native, be entirely eradicated within ten years. As to what measures shall be taken to prohibit the smoking of opium and the cultivation of the poppy, we direct the council of state to draw up and submit to us appropriate regulations dealing with the same."

The council of state has accordingly prepared ten regulations for dealing with this matter, and, having reported them to the throne, has received an imperial rescript saying: "Let it be as proposed."

Among these ten regulations we find one in which it is stated that "as foreign opium comes from abroad, the question of dealing with it is one affecting foreign relations, and it becomes necessary to request that the board of foreign affairs be instructed to consult with the representatives of the foreign powers with a view to securing uniform action in prohibiting its import;" also a statement to the effect that "we find that morphia and the use of the hypodermic syringe for injecting the same are even more injurious to the health than opium, and stringent orders ought to be issued to all the customs authorities, in accordance with the terms of Article XI of the revised British commercial treaty with China and those of Article XVI of the revised American commercial treaty with China, to entirely forbid their import into China except for medical purposes."

My board has received a copy of the above-mentioned regulations from the grand council and is well aware that Your Excellency's Government has always sympathized with China in the matter of suppressing the opium evil; that the relations between China and the United States are most cordial; and that there is no good undertaking in which your country has not given us its assistance, and, now that we have received another decree directing us to consult and make a satisfactory arrangement, we have prepared a memorandum dealing with the matter, which we send inclosed, and which, I trust, Your Excellency will forward to your Government for its consideration.

A necessary dispatch.

SEAL OF THE WAI Wu Pu.

[Subinclosure.-Translation.]

1. There are many opium shops and opium-smoking houses in the foreign settlements, in addition to which the inns, wine shops, tea houses, and brothels are also used for purposes of opium smoking. Besides there are many hongs and shops which sell opium pipes, opium-pipe bowls, as well as the lamps and other apparatus used in opium smoking, and I have to request that your Government will issue orders to have employed in all the foreign settlements the same methods of inspection and prohibition as are used by the local Chinese authorities.

2. All countries are thoroughly acquainted with the injury done by morphia and the instruments for its injection. My board in the third moon (MarchApril) sent a note to each of the representatives in Peking of the various powers, asking their consent to the prohibition of the import of morphia and the instruments for its injection. The greater part of them have already replied, giving consent; but there are a few who have not yet replied, to whom we have written again urging action. This is a matter which must be classed as a worthy undertaking, and I have to request that your Government will at once consent to its being undertaken with a view to its thorough enforcement.

[Inclosure 2.-Translation.]

Regulations for the suppression of opium smoking.

Submitted by the council of state during the tenth moon (November-December), 1906, and approved by the throne.

(Printed in Foreign Relations 1906, pp. 366–369.)

[Inclosure 3.]

Treaty of Wangshia (1844).

ARTICLE XXXIII. Citizens of the United States

who shall trade

in opium or any other contraband article of merchandise shall be subject to be dealt with by the Chinese Government without being entitied to any countenance or protection from that of the United States

[Inclosure 4.]

Commercial treaty (Peking—1880).

ARTICLE II. The Governments of China and of the United States mutually agree and undertake that Chinese subjects shall not be permitted to import opium in any of the ports of the United States, and the citizens of the United States shall not be permitted to import opium into any of the open ports of China or transport from one open port to any other open port, or to buy and sell opium in any of the open ports of China. This absolute prohibition, which extends to vessels owned by the citizens or subjects of either power, to foreign vessels employed by them or to vessels owned by the citizens or subjects of either power and employed by other persons for the transportation of opium, shall be enforced by appropriate legislation on the part of China and the United States, and the benefits of the favored-nation clauses in existing treaties shall not be claimed by the citizens or subjects of either power as against the provisions of this article.

[Inclosure 5.]

Revised Statutes of the United States.

CHAPTER 210. An act to provide for the execution of the provisions of article two of the treaty concluded between the United States of America and the Emperor of China on the seventeenth day of November, eighteen hundred and eighty, and proclaimed by the President of the United States on the fifth day of October, eighteen hundred and eighty-one. Be it enacted, etc., That the importation of opium into any of the ports of the United States by any subject of the Emperor of China is hereby prohibited. Every person guilty of a violation of the preceding provision shall be deemed guilty of a misdemeanor, and, on conviction thereof, shall be punished by a fine of not more than five hundred dollars nor less than fifty dollars, or by imprisonment for a period of not more than six months nor less than thirty days, or by both such fine and imprisonment, in the discretion of the court.

SEC. 2. That every package containing opium, either in whole or in part, imported into the United States by any subject of the Emperor of China, shall be deemed forfeited to the United States; and proceedings for the declaration and consequences of such forfeiture may be instituted in the courts of the United States as in other cases of the violation of the laws relating to other illegal importations.

SEC. 3. That no citizen of the United States shall import opium into any of the open ports of China, nor transport the same from one open port to any other open port, or buy or sell opium in any of such open ports of China, nor shall any vessel owned by citizens of the United States, or any vessel, whether foreign or otherwise, employed by any citizen of the United States, or owned by any citizen of the United States, either in whole or in part, and employed by