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The Canton System (1757 – 1842) had pervasive effects on global trade, Chinese governance, and international relations during the Qing Dynasty. Its influence extended beyond trade to cultural, political, and economic systems, shaping both domestic and global dynamics. Here’s an analysis of its pervasive effects:
- Monopoly and Control Over Trade
• The Canton System centralized all foreign trade to the port of Guangzhou, limiting interactions with foreign merchants to the cohong, a government-approved guild of merchants.
• This allowed the Qing government to maintain strict oversight, control inflow and outflow of goods, and enforce customs regulations. It stifled foreign traders’ access to China’s vast markets and resources, keeping most of the country off-limits.
2. Economic Pervasiveness
• The system established China as a dominant global supplier of goods like tea, porcelain, and silk, making it central to the global trade network.
• Foreigners were restricted to trading silver for Chinese goods, contributing to a large trade imbalance. Britain and other countries faced shortages of silver, leading to alternative trade strategies, such as the introduction of opium by the British.
3. Social and Cultural Impact