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10 and these goods, now stored in pack-houses, may be moved to places of security." It is well known that American merchants, since they came to China, have never been interfered with in their trade, either in importing or exporting goods; but owing to the English having now come up with their troops, every pass and place and passage in the river is most strictly and closely guarded by their ships. The reason why trade is impracticable and merchants are stopped in this manner is all owing to the English; they have made difficulty with other nations and stopped the trade, so that there is even no way for ready money to circulate in the vicinity of the city and river. As your Excellency already knows that as this produce is now in a dangerous condition, and the sooner it is removed the better it will be for its owners, so I, too, have lately heard that trade is very flourishing at present, at both Shanghae and Amoy, and if they remove to those ports, there will be nothing of this sort (to hinder them.) This is a friendly and very important remark, and I think your Excellency will agree with me.

MY despatch dated the 17th ultimo conveyed to your Lordship copy of a communication I made to the Viceroy of Che-keang and Fuh-keen, and of his answer. The Viceroy of the Two Keang and the Governor of Keang-soo have now replied to my letter; and I have now to forward translations of their reply. I think it is to be gathered from both, with tolerable certainty, that there is no present disposition to extend the field of hostilities; and that the Imperial Commissioner will be left alone to settle his misunderstandings with us, unless, indeed, any advantages he might obtain should create a prestige in his favour—a not very likely result.

E (ELEANG), Governor-General of Keang-nan and Keang-se, makes a communication in reply.

On the 11th instant, I received a communication from your Excellency, which I perused with particular attention.

In your anxiety not to expose the people to the horrors of war, and in your refusal to allow the rebel Chiefs to bring their ships near those of your navy, to admit them to an interview, or to accept their cooperation, there is sufficient evidence of your Excellency's desire to abide steadily by the Treaty, and so to maintain for evermore the good understanding between us. But (as regards addressing the Throne) when the Treaty of eternal friendship was made, it was with a view to the suspension of hostilities for evermore; and if the present precipitate resort to hostilities, consequent upon the refusal of the Imperial Commissioner Yeh to give satisfaction (for an insult) to the flag, were to be represented to His Majesty, (so far from answering your purpose) it would, on the contrary, baulk the desire entertained by your Excellency for a good understanding.

The Imperial Commissioner Yeh is Superintendent of Trade at the five ports, and as such, is, of course, competent to the decision of all matters what soever thereto relating. I have forwarded a copy of the letter under acknowledgment to the Imperial Commissioner Yeh, with a request that he will, without loss of time, take steps satisfactorily to restore relations to their former friendly footing. Your Excellency is near enough to him to be able conveniently to consult with him as to the course to be pursued.

It is my duty to reply to you, and I shall be obliged to you to look into what I have said.

I avail myself of the occasion to wish your Excellency abundant prosperity.