Practically, Lord Palmerston offered, on the part of the British Government, to remove nearly all the restrictions of the British Navigation Law, whenever such a proposal was met in a spirit of corresponding liberality, at the same time, however, reserving the right to take such course as Government might deem necessary where no such reciprocal feeling was shown.
Reply thereto of America.
Mr. Buchanan’s letter.
It is unnecessary to enter at great length into the explanations given in reply by foreign Governments. Some of these are, however, too important to be omitted in a work of this kind. Pre-eminently the disposition of the United States, or rather the opinion of Congress, as well as of the Executive, was essentially necessary to be known on this side of the Atlantic. Consequently Mr. John F. Crampton, our Envoy at Washington, lost no time in bringing the question before the then American Secretary of State, Mr. Buchanan.[98] That gentleman in reply said, that the most satisfactory answer he could give was to furnish a copy of the first section of the Act of Congress, approved on the 24th May, 1828, intituled “An Act, in addition to an Act intituled, ‘an Act concerning discriminating Duties of Tonnage and Import, and to equalise the duties on Prussian Vessels and their Cargoes.’” The substance of this law will be found in another part of this work,[99] and it will be remembered that it conferred a power on the American President to reciprocate by proclamation any abolition of discriminating duties of tonnage or imports made by foreign nations. Mr. Buchanan pointed out with just pride that Congress twenty years previously had offered reciprocity of trade to all the world, and that England might, by complying with the fair and equitable conditions of that Act, have at any moment placed her vessels and their cargoes, both in our direct and indirect foreign trade, on the same footing with those of America. Mr. Buchanan added that, previously to 1828, reciprocity in commerce and navigation had been practically adopted by his Government in specific treaties with Denmark, Sweden, the Hanseatic Republics, and Prussia, and had since been carried out in other treaties concluded with Austria, Russia, &c., all of these being still in force.
But the following remarkable observation made by Mr. Buchanan at the close of his letter, gives conclusive testimony that when Mr. Bancroft offered “to give us all,” i.e. the coasting trade, this offer was wholly unauthorized by the American Government.[100] The words of Mr. Buchanan were: “I might add that the President, in accordance with the spirit of this Act (of 1828) has already made a specific proposal to Great Britain through Mr. Bancroft to Lord Palmerston, dated 3rd November, 1847, to conclude a treaty providing that “British ships may trade from any port in the world to any port in the United States, and be received, protected, and, in respect to charges and duties, treated like American ships, if, reciprocally, American ships may in like manner trade from any port of the world to any port under the dominion of her Britannic Majesty”: but of course, this proposal was not intended to embrace the coasting trade of either country.”[101] Mr. Buchanan did not confine himself merely to this honest, frank disclaimer. While his own opinions, as well as those of the highly liberal and intelligent Secretary of the Treasury, Mr. R. J. Walker, whose admirable report was published at the same time, were decidedly in favour of meeting the change proposed by reciprocal legislation, he did not conceal from Mr. Crampton that it was probable some difference of opinion would manifest itself in Congress upon this question, from the unwillingness felt in some quarters to throw open the ship-building business in the United States to the formidable competition of British shipbuilders, and more particularly to that of the shipbuilders of the British North American colonies.
Many persons in England shared the apprehensions expressed by Mr. Buchanan, especially those who, having watched throughout the progress of the agitation for the repeal of the Navigation Laws, were aware of the strong Protectionist feelings then and still prevalent on the seaboard of the States, though not shared to the same extent by the non-navigating classes: they did not, therefore, believe that Congress would allow the President to put even the Act for 1828 in force without a serious struggle. However, though no opposition was offered, the expressions of Mr. Buchanan to Mr. Crampton warranted a reasonable doubt lest, when it came to the point, whether reciprocity would be granted to the ships of Great Britain. That no difficulty was started on the other side was mainly due to the meritorious reports of Mr. Walker, whose zeal in the cause of freedom of commerce and navigation deserves the highest encomium.
Reply of other Powers.
The application made to France with a view of ascertaining the disposition of the Republic to enter into a course of mutual Free-trade had no result. M. Drouyn de Lhuys, in a letter dated 31st January, 1849, (misdated 1848, see p. 209), complained of our partial non-execution of the clauses of the Convention of 1826; but, as regarded future legislation, he said in substance that, as in England the question was being subjected to the gravest consideration, so in France, now that her mission was to march in the way of liberality, the greatest circumspection was necessary. The subject was referred to the competent authorities, and a few vague words about a desire on the part of the Republic to follow the principles of reciprocity closed the despatch, for whatever the opinions of the President may have been, the people of France were not then prepared to recognise the principles of Free-trade.
Sardinia expressed a very honourable desire to meet us on the basis of reciprocity. With Russia a practical reciprocity already existed. In Austria no differential duties existed between national and English vessels. The answer, however, given by Count Bülow on the part of Prussia was by no means satisfactory, inasmuch as he could give no pledge as to future legislation, the policy of Prussia being bound up with the Zollverein States. The answer from Belgium presented difficulties. That from Portugal intimated general, but very equivocating and undecided, Free-trade principles, to the effect that, as the peculiarities of the commerce of the different nations of Europe were so various, the Minister of Portugal “could not believe in the complete acquiescence of those same nations with the plan which England proposed to follow.” A glance was directed to the benefits of Free-trade, and Viscount de Castro added: “But if this is not the time for restrictions, neither can it be for Portugal that of reducing the few that exist, as that would be the means of entirely destroying the mercantile navy.” Lord Palmerston was, however, consoled for the unfavourable answer by the assurance of the Portuguese Government that whatever were the facilities the nations of Europe might adopt in correspondence with the Bill then under discussion in the British Parliament, England would not obtain from any of those nations the almost entire monopoly she then enjoyed in her maritime intercourse with Portugal. The Viscount de Castro hoped, therefore, that “in Council” no exception would be made to injure the trade of Portugal.
In spite of the want of success (and they received but scanty support) Ministers met in their applications to foreign countries for reciprocity, they resolutely persevered in their policy, resting for their chief support almost wholly on the Free-trade party in the House of Commons. The principles of Free-trade had become the established and predominant policy of the nation, and navigation alone was the exceptional branch which, until then, had successfully resisted innovation.