Hence A Party In The States Was Formed For An
Extension Of The Area Of The Treaty.
Then Canada, having established
her railway system by the aid of British capital, and having expended
large sums to
Promote public works generally, got into debt and had to
raise her taxation; and as import duties are, and must always be, most
easy of collection in a new country, and the most popular, or rather
the least unpopular, mode of taxation, she raised her import duties
generally to a scale as high on many articles, if not higher, than the
import duties of the United States. This led to complaint; and hence a
party was formed in the United States for an extension of the 'free
list,' or list of articles to be admitted duty free into Canada. It is
but fair to bear in mind that the Canadian import duties on United
States goods were the same as those on British goods; so that
whatever ground of complaint might be set up, Great Britain had the
right to the largest share of it, because she had the ocean freights to
add to the duty, and pro tanto was at a disadvantage in
competing for Canadian custom with the manufacturers of the States.
"In 1861 the Chamber of Commerce of New York moved Congress on the
whole subject. Their object was the extension of the area and purposes
of the treaty: in no sense its termination. Congress, hereupon,
referred the matter to the 'Committee on Commerce,' Mr. Ward being
chairman. That committee reported in February, 1862, in a most able
document, usually known as Mr. Ward's report. This report also
recommended a more extended area, and more extended purposes;
but in no sense the abrogation of the treaty.
In March, 1864, Mr. Ward proposed a resolution in Congress for the
appointment of commissioners to negociate an extended and improved
treaty with Great Britain. That resolution was laid over by Congress
till December, 1864. In the summer and autumn of 1864 a correspondence
sprang up between Earl Russell, Mr. Seward, Mr. Adams and others in
reference to the dangers of the invasion of the territory of the United
States by Confederate agents asylumed in Canada. Mr. Seward and Mr.
Adams strongly urged that preventive measures should be taken by Great
Britain, but Earl Russell could not see it - did nothing, and the
burning of United States steamers engaged in peaceful commerce, and the
robbery and murders at St. Albans and Vermont followed. Correspondence
in reference to the 'St. Albans' raids' was laid before Parliament last
year. The following is an extract, bearing, too, indirectly upon the
Reciprocity Treaty, from one of the letters of Mr. Adams, United States
Ambassador in London, to Earl Russell, echoing a despatch of Mr.
Seward's and dated November 23rd, 1864: -
'In the use of the word exigency, the full sense of its effect is
perfectly understood. The welfare and prosperity of the neighbouring
British Provinces are as sincerely desired on our part as they can be
by Great Britain. In a practical sense they are sources of wealth and
influence for the one country only in a less degree than for the other,
though the jurisdiction appertain only to the latter. That this is the
sincere conviction of my Government has been proved by its consent to
enter into relations of reciprocal free commerce with them almost as
intimate as those which prevail between the several States of the Union
themselves. Thus far the disposition has been to remain content with
those relations under any and all circumstances, and that disposition
will doubtless continue, provided always that the amity be
reciprocated, and that the peace and harmony on the border,
indispensable to its existence, be firmly secured. The fulfilment of
that obligation must be, however, as your Lordship cannot fail to
perceive at a glance, the essential and paramount condition of the
preservation of the compact. Even were my Government to profess its
satisfaction with less, it must be apparent that by the very force of
circumstances peace could scarcely be expected to continue long in a
region where no adequate security should be afforded to the inhabitants
against mutual aggression and reprisal.
'Political agitation, terminating at times in civil strife, is shown by
experience to be incident to the lot of mankind, however combined in
society. Neither is an evil confined to any particular region or race.
It has happened heretofore in Canada, and what is now a scourge
afflicting the United States may be likely at some time or other to re-
visit her. In view of these very obvious possibilities, I am instructed
to submit to Her Majesty's Government the question whether it would not
be the part of wisdom to establish such a system of repression now as
might prove a rock of safety for the rapidly multiplying population of
both countries for all future time.
"'I pray, &c.,
"'(Signed) CHARLES FRANCIS ADAMS.'
"But the 'Alabama' correspondence was also going on, and a new Congress
had to sit in 1865. Was it then surprising that on the 17th March,
1865, notice to put an end to the treaty was given?
"But in July, 1865, a convention, already alluded to (see Mr. Bright's
letter), composed of delegates from New York, Philadelphia, Baltimore,
Cincinnati, St. Louis, Boston, Portland, and in fact from almost every
important town and district of the States north of Washington,
assembled at Detroit to consider the expiry of the treaty and the
question of its renewal. After long and earnest deliberations they
unanimously approved the notice given, and as unanimously passed the
following resolution for transmission to the Government of the United
States: -
"'That the convention do respectfully request the President of the
United States to enter into negociations with the Government of Great
Britain, having in view the execution of a treaty between the two
countries, for reciprocity and commercial intercourse between the
United States and the several Provinces of British North America,
including British Columbia, the Selkirk Settlement, and Vancouver's
Island, upon principles which should be just and equitable to all
parties, and which also shall include the free navigation of the St.
Lawrence and other rivers of British North America, with such
improvements of the rivers, and enlargement of the canals, as shall
render them adequate for the requirements of the west communicating
with the ocean.'
"At the time of passing this resolution a 'Revenue Commission' was
sitting, and its members recommended the Secretary of the Treasury, Mr.
McCulloch, to have a special report upon the treaty and its renewal.
The task was, thereupon, committed to Mr. E. H. Derby, of Boston.
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