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IMPERIAL DEFENCE. flags; or, including vessels employed on the lakes and rivers of the United States 5,332,000 tons. The British Empire, therefore, possesses at the present time more than half the total merchant tonnage of the world, and nearly two-thirds of the tonnage of steamships. In any future war in which we may become involved, British commerce will undoubtedly suffer losses. Their number and extent will depend on the efficiency of the British Navy. Judging from the experience of previous wars, the losses will almost certainly be more numerous, but they should represent a less percentage of the whole.

Canada and India alone of British possessions are open to serious attack by land. British South Africa has a long land frontier, but no first-class power could contemplate a serious attack except with troops transported over sea. The defence of Australia depends absolutely on the command of the sea, and this being the case, the localisation of the vessels of the special Australian Squadron in deference to the wish of the Colonies is a grave mistake. I will endeavour to give an illustration to bring this home to the minds of every one in this hall. You know that during the past fortnight British and Russian fleets have been watching one another through the Dardanelles. If the British Government had followed the advice of Mr. Gladstone, there is little doubt that we should have been at war with Russia, and possibly with France as well, at this moment. The naval force, maintained by foreign powers in waters in the neighbourhood of Australia, whether in the Pacific or Indian Ocean, is absolutely insignificant compared to our own. In China the Russian and French squadrons are equal, if not slightly superior, to the British squadron. They 43