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reigning sovereign, the success of these measures was not rapid. Li Hung Chang was restored to a seat on the Tsungli Yamen; but he was bitterly opposed by Prince Kung, the Emperor's uncle, and for twelve months it seemed as if his influence would never revive.

During this period of rather more than two years between the Treaty of Shimonoseki and the German occupation of Kiaochao, the Chinese did nothing to improve their position or to strengthen the defences of the country. A series of loans were issued to pay off the Japanese, and the balance left was used for the purchase of new ships and torpedo boats. The services of an English naval officer, Captain Dundas, have been engaged with the view of resuming the task that Captain Lang so admirably performed. It is said that Russia has supplied a certain number of officers for the training of the Manchurian garrison; but that measure, far from contributing towards the security of China, will only facilitate the process of absorption which Russia has begun. In Central and Southern China some tentative measures at military reform have been made, but the dismissal of the German officers employed at Nankin concluded those in the former region, while at Canton and on the southern frontier where Marshal Sou seems to have established cordial relations with his French neighbours, no steps whatever have yet been taken to introduce military discipline among the raw braves of the provincial garrisons. The same complete absence of result is apparent with regard to the civil and fiscal administration as is the case in the military. No reform whatever has been attempted, and to the very men who led China into disaster has been left the task of regenerating her. That simple fact explains why the last respite accorded China has proved so barren. In face of far graver perils than those that beset her in the short struggle with Japan, she finds herself with diminished fiscal resources, without an army or a navy, and, above all, without a clear policy or a leader, exposed to the attacks and encroachments of the greatest Powers and the most aggressive nations of the world. In her old age, with the remains of strength still evident and only awaiting the directing hand of a reformer, the

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picture the Chinese Empire presents would be piteous if all those who regard it were not engrossed in the designs prompted by self-interest. But for the moment China lies on the sea of time like a rudderless and mastless vessel awaiting the decree of Fate or the advent of a deliverer.

CHAPTER XXIV.

THE PARTING OF THE WAYS.

THE German occupation of Kiaochao, the important port and natural naval station on the southern side of the extreme promontory of the province of Shantung, marks the parting of the ways in China. It may be considered as commencing the dismemberment of China on the one hand, and as forming the termination of the policies previously followed by each of the Great Powers and trading nations on the other. Germany was the first to lay her hands on a portion of Chinese territory since the Japanese war, and it must be admitted that she acted with excellent judgment in that she secured probably the very finest position for a naval station and arsenal round the coast of China. Kiaochao was coveted by Russia, and in the Cassini Convention its name was mentioned as devolving on her at the right moment for occupation. Considering this fact and the close and cordial relations between the Courts of Berlin and St. Petersburg, it is impossible to arrive at any other conclusion than that Russia expressed her approbation of Germany's proceeding to effect the temporary occupation of the place to which she herself had established a prior claim. The supposition that Germany would attempt to do anything in the Far East displeasing to her neighbour on the Vistula is as impossible of belief as that Russia would acquiesce in the loss of a possession of which she had made sure. The assumption of an understanding between the German Emperor and the Russian Czar on the subject of China is the only theory on which the events of the winter of 1897-8 can be explained.

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If that theory, and it is the only plausible theory that has yet been put forward, is adopted, a key is provided for the elucidation of recent events of which every person can at his own inclination make use. In the Far East we are then bound to recognize the working out of a concerted policy that was not adopted without thought, and that was set in motion for other than British or universal purposes. For the present juncture Russia and Germany are acting in concert, and as Russia signifies France as well, this means that the triple alliance which was formed against Japan has been revived for the ulterior ends of its component members.

In November, 1897, two German men-of-war entered the harbour of Kiaochao, and ordered the Commandant to evacuate the place in reparation for the murder of two German missionaries in the Province of Shantung. They gave him 48 hours within which to obey, and he telegraphed to Pekin for instructions. The Tsungli Yamen replied to the effect that he was to offer no resistance. The German seizure of Kiaochao was thus effected without loss or difficulty, and it was also remarkable for having been made without any preliminary notice or warning to the Chinese Government. Having taken possession of Kiaochao, the German Government then announced the terms on which it would consent to evacuate it. Four of the clauses related to the reparation demanded by the outrage on the missionaries, and were not open to exception; but the fifth claimed for Germany the right to construct all railways and to work any mines in the province of Shantung. The significance of this demand lay in the fact that it arbitrarily defined a sphere of influence for Germany in China on similar lines to those adopted in Africa. The Chinese, not wholly lost to a sense of their dignity if ignorant of their power, refused to discuss the matter until Kiaochao was evacuated, and Li Hung Chang appealed to the Russian representative at Pekin.

The German occupation of Kiaochao having reopened the question of the Far East, it is not surprising that Russia at once put forward her claim to compensation in a port free from ice on the Pacific. In December the Russian Government announced that the Chinese had given them permission

to winter their fleet at Port Arthur, and in making this communication to Japan, the words used were that Port Arthur was lent "only temporarily as a winter anchorage." The Japanese reply was terse and dignified. They "credited" the statement and took note of it. In this manner Russia acquired the practical recognition of her hold on Port Arthur, but in the first instance she represented, as Germany did at Kiaochao, that her occupation was not final, and that she had only temporary objects in view. One month more gave a fresh turn to the question. Kiaochao was surrendered by China to Germany on a lease of ninety-nine years. Germany thus revealed her game. Russia carried hers one point further by adding Talienwan to Port Arthur, but in the first instance accompanying it by a declaration, to disarm hostile criticism, to the effect that "any port would be open to the ships of all the Great Powers, like other ports on the China mainland.” Having made this promise, Russia proceeded to qualify and minimize it until practically nothing was left except the substantial fact of Russian possession. One month further of ambiguity and diplomatic fence followed, and then Russia announced that she must hold Port Arthur and Talienwan on the same terms as Germany held Kiaochao. The reason

given for this demand was the curious one that their possession was essential to the proper defence of Manchuria against aggressive Powers, while in Europe no disguise was made in the matter of the fact that Russia had determined to secure these places as giving her the ice-free port to which she was entitled on the Pacific. On 27th March, 1898, a convention was signed at Pekin, giving the Russians the usufruct of Port Arthur and Talienwan. The use of the word " usufruct" gave the pundits an opportunity of displaying their knowledge, but its meaning in this instance was clear and simple. It signified that, whereas Germany had secured Kiaochao for ninety-nine years, Russia had obtained Port Arthur and Talienwan without conditions and for ever.

Germany and Russia having done so well at the expense of China, it followed that France would not be content to go away empty-handed, and she accordingly put forward her claim to compensation, and, by the aid of Russia's friendly

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