From that date to this the descent from an inflated prosperity to a mean working level has been gradual and sure.
Forty years ago the foreign trade was practically monopolised by Englishmen, who had only to place their goods on the market of any newly-opened port for them to be snapped up at almost any price by Chinese merchants, who then possessed but little knowledge of foreign wares and were exceedingly timid of their own officials. As time wore on this ignorance and timidity grew less and less, until the Chinese purchaser came to close quarters with the English importer, eliminating middlemen at the small ports and transferring operations chiefly to the great emporiums of Hongkong and Shanghai. Americans and Continentals of all nationalities arrived in rapidly-increasing numbers, bringing merchandise for the Chinese market, thus giving native buyers a much larger variety of goods from which to choose, and introducing a competition fatal to the former enormous profits.
Although the volume of both import and export trade shows a continuous yearly increase, it tends more and more to centre in the hands of a comparatively few large European firms with which Chinese merchants from all parts of the Empire directly negotiate, to the exclusion of foreigners in a small way of business.
Another reason for the decrease of profitable commercial openings is the practical extinction of China's tea trade with England, Ceylon and India now supplying the home-market, and although as great a quantity of tea is still exported from China as formerly, it nearly all goes to Russia, and this trade being in the hands of Russian monopolists, there is but little employment for other nationalities, while even here it probably will not be many years before the Russians largely follow our example in abandoning Chinese tea in preference for that of Ceylon and India.
Similarly the steam shipping, which originally was almost exclusively British-owned, is gradually passing to the credit of Chinese capitalists, if not in name yet in reality, and any new development in this line is almost sure to be mainly financed from native sources.
The opinion is largely held that accordingly as China is opened up by railways, by steam navigation on the inland waters, and by simplification of inland duties, foreigners will reap such advantages as may again enable them to quickly amass fortunes. Let there be no delusion on this point.