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Rh Several gales passed over Hongkong in 1870 (10th July, 13th July, 10th October), one in 1880 (23rd September) and two in 1881 (21st August, and 14th October), but with the exception of the last gale, by which many small craft were wrecked and some lives lost, these gales did no serious damage. Besides the case of the China Merchants' Steamer Haishin, which went ashore in Fat-tau-moon, opposite Sheko, there was but one extraordinary disaster. The S.S. Yesso was being moored alongside the wharf, when one of her boilers burst (November 22, 1877) and 87 persons were scalded to death. There was no unusual number of conflagrations during this period, but the average number of houses destroyed on the occasion of fires was much greater than anything previously experienced, indicating a defective condition of the Fire Brigade.

The history of the ship-building movement during this period is characterized by keen competition, ending in the triumph of the H. & W. Dock Company. The most prominent landmarks in this struggle were the launch of the Customs cruizer Li Chi from Captain Sands' slip at Westpoint (March 5, 1878); the launch of the S.S. Kiungchow built by W. B, Spratt & Co. (July 28, 1878) at Spring Gardens; the launch of the S.S. Zephyr from Captain Sands' slip (November 23, 1878); the purchase of the late Captain Sands' slips by the H. & W. Dock Company (September 1, 1879); the starting of opposition Docks at Shamshuipou by the Cosmopolitan Dock Company (February 3, 1880), and the purchase of these Docks by the H. & W. Dock Company (December 31, 1880). As to other local industries, there is to be recorded the establishment of an iron foundry at Shaukiwan (June 6, 1878), the attempt made by the Kaiming Company to start a match factory at Yaumati (June 15, 1880) and the registration (December 31, 1880) of a new Ice Company. On 1st April, 1877, postal rates were reduced (to 16 cents for a letter to England) and local rates lowered by one half. A further reduction in postal rates (to 10 cents for a letter to any country of the Postal Union) was made in 1879, when an almost uniform postal tariff was