Historical Studies (Chinese Edition)

No.4, 2017

 

From “Monopoly Tax” to “Foreign Tax”: The Canton Customs System from 1843 to 1854

(Abstract)

 

Ren Zhiyong

 

After the First Opium War, the Qing government was forced to open five trading ports in the southeast. This meant that the Canton Customs ceased to be the only trading port, thus destroying the former system. From 1843 to 1854, in response to this change, the Canton Customs made adjustments to its institutions and staff, relocating and adding tax offices with more than 100 clerks. However, the Qing government and Guangdong local authorities, bogged down in increasing the number of clerks, failed to make significant adjustments to the selection of customs superintendents and key personnel. In terms of foreign (barbarian) tax policy, tax regulations, tax rates and fiscal periods were unified, but no body for foreign tax revenue was established. In terms of tax revenue, the fortunes of the Canton Customs fluctuated as the income of Shanghai’s Jianghai Customs rose sharply; not only had the trading center shifted, but a huge amount of smuggling was going on. The rise in status of the Jianghai Customs indicated that the Guangdong-based tax system would be difficult to sustain. With regard to foreign tax expenditure, the submission of expenditure reports to the throne continued the confused financial reporting of previous periods and the practice of turning over substantial income to the Ministry of Revenue and the Imperial Household Department. The evolution of the Canton Customs shows how the Qing government of the time intended to “restore the old system” in a political sense, and “follow the path inertia” in action, policies that aimed to maintain the Canton Custom’s leading position.