The Chinese navy in 1909 consisted of the 4300 ton cruiser “Hai Chi” (two 8-in., ten 4.7-in. guns) of 24 knot original speed, three 3000 ton cruisers, “Hai Yung,” “Hai Schew” and “Hai Shen” (three 6-in., eight 4-in. guns) of 19.5 knot Navy. original speed, some modern gunboats built in Japan, a few miscellaneous vessels and some old torpedo boats. With the destruction of the northern fleet by the Japanese at the capture of Wei-hai-wei in 1895, the Chinese navy may be said to have ceased to exist. Previously it consisted of two divisions, the northern and southern, of which the former was by far the more formidable. The southern was under the control of the viceroy of Nanking, and took no part in the Chino-Japanese War. While the northern fleet was grappling in a death-struggle, the southern was lying snugly in the Yangtsze waters, the viceroy of Nanking apparently thinking that as the Japanese had not attacked him there was no reason why he should risk his ships.

The New Scheme.—An edict of the 15th of July 1909 created a naval and military advisory board. Nimrod Sound, centrally situated on the coast of Cheh-kiang, was chosen as naval base, and four naval schools were ordered to be established; a navigation school at Chifu, an engineering school at Whampoa, a school for naval artificers at Fuchow, and a gunnery and musketry school at Nimrod Sound. A superior naval college was founded at Peking. The coast defences were placed under the control of the naval department, and the reorganization of the dockyards undertaken. During 1910 orders for cruisers were placed abroad.

Arsenals and Dockyards.—After the loss of Port Arthur, China possessed no dockyard which could dock vessels over 3000 tons. Many years ago the Chinese government established at Fuchow a shipbuilding yard, placing it in the hands of French engineers. Training schools both for languages and practical navigation were at the same time organized, and a training ship was procured and put under the command of a British naval officer. Some twenty-five or thirty small vessels were built in the course of as many years, but gradually the whole organization was allowed to fall into decay. Except for petty repairs this establishment was in 1909 valueless to the Chinese government. There were also small dockyards at Kiang-nan (near Shanghai), Whampoa and Taku. There are well-equipped arsenals at Shanghai and at Tientsin, but as they are both placed up shallow rivers they are useless for naval repairs. Both are capable of turning out heavy guns, and also rifles and ammunition in large quantities. There are also military arsenals at Nanking, Wuchang, Canton and Chêngtu.

Forts.—A great number of forts and batteries have been erected along the coast and at the entrance to the principal rivers. Chief among these, now that the Taku forts formerly commanding the entrance to Tientsin have been demolished, are the Kiangyin forts commanding the entrance to the Yangtsze, the Min forts at the entrance of the Fuchow river, and the Bogue forts at the entrance to the Canton river. These are supplied with heavy armament from the Krupp and Armstrong factories.

Finance.

In fiscal matters, as for many other purposes, the Chinese empire is an agglomeration of a number of quasi-independent units. Each province has a complete administrative staff, collects its own revenue, pays its own civil service, and other charges placed upon it, and out of the surplus contributes towards the expenses of the imperial government a sum which varies with the imperiousness of the needs of the latter and with its own comparative wealth or poverty. The imperial government does not collect directly any part of the revenues, unless the imperial maritime customs be excepted, though these, too, pass through the books of the provincial authorities.[40]

It has hitherto been extremely difficult to obtain anything like trustworthy figures for the whole revenue of China, for the reason that no complete statistics are published by the central government at Peking.[41] The only available data are, first, the returns published by the imperial maritime customs for the duties levied on foreign trade; and, secondly, the memorials sent to Peking by the provincial authorities on revenue matters, certain of which are published from time to time in the Peking Gazette. These are usually fragmentary, being merely reports which the governor has received from his subordinates, detailing, as the case may be, the yield of the land tax or the likin for his particular district, with a dissertation on the causes which have made it more or less than for the previous period. Or the return may be one detailing the expenditure of such and such a department, or reporting the transmission of a sum in reply to a requisition of the board of revenue, with a statement of the source from which it has been met. It is only by collating these returns over a long period that anything like a complete statement can be made up. And even then these returns do not represent anything like the total of taxation paid by the people, but, as far as they go, they may be taken to represent the volume of taxation on which the Peking government can draw revenue.

The following table, taken from a memorandum by Sir Robert Hart, dated the 25th of March 1901, shows the latest official estimate (up to 1910) of the revenue and expenditure of China:—

Revenue.

Taels.[42]
Land tax26,500,000
Provincial duties1,600,000
Provincial receipts (various)1,000,000
Grain commutation3,100,000
Salt gabelle13,500,000
Li-kin16,000,000
Native customs2,700,000
Maritime customs:—
 General cargo17,000,000
 Foreign opium5,000,000
 Native opium1,800,000
————
Total88,200,000