http://lists.econ.utah.edu/pipermail/marxism-thaxis/2010-February/025257.html
Foreign Policy In Focus (February 02 2010)


SM: >>Especially since there was no global economy in existence during at
least seventeen of those eighteen centuries,  and also since at no
time in those eighteen centuries was China involved in international
trade to any significant extent.<<

Of course it is an anachronism to back-impose our ideas of
transnational trade in goods and services under capitalism onto the
middle ages or earlier. But 'significant' does not necessarily have to
be collocated with 'extent'.  Trade with the area of the world known
as China was significant in the movement of ideas and technologies.
For example, we can well imagine that silk was first traded to a place
like Japan or westward, ending up with the Byzantines and Persians.
And hence the desire of people to the east and west of China wanting
to learn how to produce silk on their own--and succeeding (e.g.,
Byzantines, Persians, Japan, the islands). In Japan I can think of
silk, tea, persimmon and citrus fruit cultivation and porcelain and
ceramics all being a result, initially, of trade with China (along
with immigration from what is now Korea). We could repeat the process
in accounting for the movement of technologies in sea navigation and
warfare outwards from China.

It is an irony that the control and restriction of trade is tied up
with the development of modern understanding of  'nation state' (that
is, a centralized state having control of an economy and using it as a
tax base), and it was this that earlier forms of China had (even if it
was dynastic clans of outsiders often doing the controlling, such as
Mongos and Manchus).

In terms of being the source of goods, China actually played a hand in
the silk routes (including a maritime one that took silk to the
Mediterranean), spice routes and tea routes. Put the emphasis on silk
though.

And it was the Mongols who both opened China for trade to points west
while also restricting trade in order to control and rule China (Yuan
Dynasty).

http://www.historyworld.net/wrldhis/PlainTextHistories.asp?gtrack=pthc&ParagraphID=bfz#bfz

In the 1st century BC the Romans gain control of Syria and Palestine -
the natural terminus of the Silk Road, for goods can move west more
easily from here by sea. Soon a special silk market is established in
Rome.

China, proudly self-sufficient, wants nothing that Rome can offer. And
the Han rulers are unwilling to release silk - either as thread or
woven fabric - except in exchange for gold. It has been calculated
that in the 1st century AD China has a hoard of some five million
ounces of gold. In Rome the emperor Tiberius issues a decree against
the wearing of silk. His stated reason is the drain on the empire's
reserves of gold. The Silk Road introduces global economics.

http://www.historyworld.net/wrldhis/PlainTextHistories.asp?groupid=1920&HistoryID=ab72&gtrack=pthc

World trade: from the 1st century AD

The Silk Road links east Asia and western Europe at a time when each
has, in its own region, a more sophisticated commercial network than
ever before.

The caravan routes of the Middle East and the shipping lanes of the
Mediterranean have provided the world's oldest trading system,
ferrying goods to and fro between civilizations from India to
Phoenicia. Now the Roman dominance of the entire Mediterranean, and of
Europe as far north as Britain, gives the merchants vast new scope to
the west. At the same time a maritime link, of enormous commercial
potential, opens up between India and China.
                
The map of the world offers no route so promising to a merchant vessel
as the coastal journey from India to China. Down through the Straits
of Malacca and then up through the South China Sea, there are at all
times inhabited coasts not far off to either side. It is no accident
that Calcutta is now at one end of the journey, Hong Kong at the
other, and Singapore in the middle.

Indian merchants are trading along this route by the 1st century AD,
bringing with them the two religions, Hinduism and Buddhism, which
profoundly influence this entire region.

http://www.historyworld.net/wrldhis/PlainTextHistories.asp?groupid=1920&HistoryID=ab72&gtrack=pthc

The Pax Mongolica and the Silk Road: 13th - 14th c. AD

By the middle of the 13th century the family of Genghis Khan controls
Asia from the coast of China to the Black Sea. Not since the days of
the Han and Roman empires, when the Silk Road is first opened, has
there been such an opportunity for trade. In the intervening centuries
the eastern end of the Silk Road has been unsafe because of the
Chinese inability to control the fierce nomads of the steppes (nomads
such as the Mongols), and the western end has been unsettled by the
clash between Islam and Christianity.

Now, with the Mongols policing the whole route, there is stability. In
an echo of the Pax Romana, the period is often described as the Pax
Mongolica.
                
In 1340 an Italian guide book is published giving merchants practical
advice on the journey. They should let their beards grow, to be
inconspicuous in Asia. They will be more comfortable if they hire a
woman near the Black Sea to look after their needs on the journey. The
assurance that the road is safe has an alarming ring to our ears: 'If
you are some sixty men in the company, you will go as safely as if you
were in your own house.' But the List of commodities changing hands on
the route can be guaranteed to quicken the pulse of any ambitious
trader.

Trade with the Mongol east is best known through the adventures of
three Italian merchants - Marco Polo, with his father and uncle.

http://www.historyworld.net/wrldhis/PlainTextHistories.asp?groupid=1920&HistoryID=ab72&gtrack=pthc

Chinese sea trade: 15th century

The greatest extent of Chinese trade is achieved in the early 15th
century when Zheng He, a Muslim eunuch, sails far and wide with a
fleet of large junks. At various times between 1405 and 1433 he
reaches the Persian Gulf, the coast of Africa (returning with a
giraffe on board) and possibly even Australia.

Typical Chinese exports are now porcelain, lacquer, silks, items of
gold and silver, and medicinal preparations. The junks return with
herbs, spices, ivory, rhinoceros horn, rare varieties of wood, jewels,
cotton and ingredients for making dyes.

http://www.wsu.edu/~dee/MING/COMM.HTM

Maritime Expansion
   Through most of their history, the Chinese have concentrated
largely on land commerce and exploration. However, the Yung-lo emperor
(1403-1424), the third emperor of the dynasty, began to sponsor a
series of naval expeditions between 1405; these expeditions continued
under his successors, the Hung-hsi emperor (1425) and the Hsüan-te
emperor (1426-1435).

   The reason for these naval expeditions are varied, but the Yung-lo
emperor wanted to expand trade with other countries and had a taste
for imported and exotic goods. These expeditions sailed to East Asia,
Southeast Asia, southern India, Ceylon, the Persian Gulf, and Africa.
Trading from Africa to Southeast Asia, these expeditions made China
the world's greatest commercial naval power in the world at the time,
far superior to any European power. This led to great prestige
throughout the world; it was at this time that China first received
embassies from major Islamic countries such as Europe [sic]. In 1435,
however, the court scholars convinced the emperor that the decline of
the dynasty would be signalled by a taste for exotic wares, so China
greatly contracted its commercial and maritime expansion it had begun
so auspiciously.

....

This commercial revolution included extensive trade with foreign
countries, including direct trade with Europe. By the late sixteenth
century, China was intimately a part of the growing global economy.
The Chinese were trading actively with the Portugese, the Dutch, and
the Japanese, who traded silver for Chinese silks and porcelain. The
Ming, however, had built their own merchant marine using the trees
planted by the Hong-wu emperor in the 1390's. With this fleet, which
rivalled that of any European power, the Ming shipped silks, cotton,
and porcelain to Manila in the Philippines and there traded with the
Spanish for silver, firearms, and American goods such as sugar,
potatoes, and tobacco. The Chinese porcelains, marked by the Ming
style of blue painting on a white ceramic background, became all the
rage in Europe in the seventeenth century. The Dutch, however, began
importing tea, which became wildly popular all throughout Europe.

   All this trade had made China one of the leading manufacturing
economies in the world. In exchange for raw goods such as
silver—probably half the silver mined in the Americas from the
mid-1500's to 1800 ended up in China—the Chinese shipped out
manufactured goods such as textiles and porcelain. By the mid-1500's,
China was well on its way to becoming an urban, industrial, and
mercantile economy. The growth of the industrial sector spawned a
technological boom in every area, from silk looms to paper manufacture
to the development of new machines for planting, growing, and
harvesting crops

http://en.wikipedia.org/wiki/Mongol_Empire

Trade networks
Archibishop John of Cilician Armenia, in a painting from 1287. His
dress displays a Chinese dragon, an indication of the thriving
exchanges with the Mongol Empire during the reign of Kublai Khan
(1260-1294).

Mongols prized their commercial and trade relationships with
neighboring economies and this policy they continued during the
process of their conquests and during the expansion of their empire.
All merchants and ambassadors, having proper documentation and
authorization, traveling through their realms were protected. This
greatly increased overland trade.

Genghis Khan had encouraged foreign merchants before uniting the
Mongols. They provided him information about neighboring cultures and
served as diplomats and official traders of his empire. Genghis Khan
and his family supplied them with capital and sent to Khorazm. Since
then, their ortoq (merchant partner) business had flourished under
Ogedei and Guyuk. The merchants supplied imperial palaces with
clothing, food and other provisions. Great Khans gave them paiza
exempting taxes and allowed to use relay stations of Mongol Empire.
They also served as tax farmers in China, Russia and Iran. The
merchants’ losses to banditry had to be made up by the imperial
treasury. The Mongols and their partner merchants (mostly Muslims and
Uyghurs) created a silver tax with unfixed interest rate. Because of
money laundering and overtaxing the yam, Mongke attempted to limit
abuses and sent imperial investigators to supervise the ortoq. He
decreed all merchants to pay commercial and property taxes. Mongke
also paid out all drafts drawn by high rank Mongol elites to
merchants. This policy continued in Yuan Dynasty, however, Hulegu and
his son Abagha of the Ilkhanate ignored their officials to interfere
with partner merchants in Middle East. The court of Mongol Empire
encouraged merchants, whether the Chinese, Indians, Persians, Central
Asians or Hansa venders, to trade within their realms. Mongke-Temur
granted the Genoese and the Venice exclusive rights to hold Caffa and
Azov in 1267. The Golden Horde permitted the German merchants to trade
in all over its territories including Russian principalities in
1270's.

During the thirteenth and early fourteenth centuries, European
merchants, numbering hundreds, perhaps thousands, made their way from
Europe to the distant land of China — Marco Polo is only one of the
best known of these. Well-traveled and relatively well-maintained
roads linked lands from the Mediterranean basin to China. The Mongol
Empire had negligible influence on seaborne trade. Despite the
unmaterialized Franco-Mongol alliance, trade of Western Europe
especially Italians with the Mongol territories had rapidly increased
since 1300. They established their ports, markets and guilds in China,
Russia, Crimea and Iran under the Mongols.

------------

The Tang Chinese took tea all the way to what is now Iran. This was
really a pan-Asian empire.

http://www.mnsu.edu/emuseum/prehistory/china/classical_imperial_china/tang.html

The popularity of tea was steadily growing during this period. This is
partly evidenced by including tea in one of the state monopolies (793
A.D.) when the state needed to increase its revenue. Other items that
were monopolized were salt and alcohol. Of the three monopolies, the
salt monopoly was the most profitable.



http://www.mnsu.edu/emuseum/prehistory/china/classical_imperial_china/fivedynasties.html

Despite the political division of China, four important advances
occurred. In the south, trade became increasingly important,
especially the tea trade. Efforts at state monopolization occurred in
an attempt to control the revenue of the tea trade. Salt monopolies
were developed and the salt tax was the top budget item during this
period. The second development was translucent porcelain. This also
happened in the south and was used both within China and as an export
item. The next important development was in the field of printing. In
about 940 A.D., the first printing of the Classics occurred. Attempts
at movable type began in about 1045 A.D. Printing had far reaching
effects on the Chinese people. As would occur later in Europe,
printing allowed more people to become educated as books became more
readily available. The availability of books also allowed for private
libraries. Finally, in northern China, paper money was introduced.
This introduction was due in part to the fact that metal is scarce in
China. Also, the existing copper money was very heavy and difficult to
transport. The beginnings of paper money were deposit certificates
that merchants used in provinces that prohibited the export of copper
coins. Eventually, the government would accept copper and then issue
certificates, thus creating a banking system. This money system
greatly increased trade.

http://www.mnsu.edu/emuseum/prehistory/china/classical_imperial_china/song.html

Great advances were made in the areas of technological invention,
material production, political philosophy, government, and elite
culture. The Song used gunpowder as a weapon in siege warfare, foreign
trade expanded greatly, and the Chinese had the best ships in the
world. Their ships contained as many as four decks, six masts, and a
dozen sails. The ships were guided by a stern post rudder, while
navigation was done through the use of charts and compasses. These
ships could carry 500 men. European ships on the other hand used
muscle power and an inefficient steering oar. Advances were also made
in medicine, as the first autopsy was performed in about 1145 AD on
the body of a Southern Chinese captive.

http://www.mnsu.edu/emuseum/prehistory/china/later_imperial_china/yuan.html

The excessive spending and trade restriction enacted during the Yuan
Dynasty severely depleted China economically. Canals and palaces were
built, which required the peasants to both supply more tax money and
to leave their homes to build them. Campaigns were also launched
against Japan which were not successful and destroyed many Chinese
ships. External trade, while not forbidden was made very difficult for
the Chinese. The Chinese were forbidden to learn to speak any other
language. Travel outside of China for commercial reasons was made very
difficult. Foreign merchants, however, were able to trade within China
and were given privileges by the Yuan. They were free of taxes and
were allowed to travel throughout China without restrictions. It is at
this time that Marco Polo gave his description of China. It thus
follows that he as a foreigner experienced a much friendlier China
than the native Chinese themselves did. The Mongols took over a rich
China and less than one hundred years later left an impoverished
nation.


http://www.mnsu.edu/emuseum/prehistory/china/later_imperial_china/qing.html

The impact of the west was also felt for the first time in China.
Great Britain especially was interested in trading with China for silk
and tea. However, the British did not have anything that was easy to
import to China until they began importing opium. This was devastating
to China. Many became addicted to opium, and land that had previously
been used for food began to be used to produce opium. Also, a large
amount of Chinese money left the country in payment for the opium.
Finally, in 1839 A.D. the opium trade was abolished. This set off a
war with Great Britain that came to be known as the Opium Wars, and in
1842 A.D., China was forced to sign a treaty in which Great Britain
received Hong Kong, and ports were opened to European trade. The terms
of this treaty were not fully carried out by either side, and in 1857
A.D., fighting again broke out. The British again won and the Chinese
were forced to grant more privileges to the British, that virtually
turned China into a British colony.

http://en.wikipedia.org/wiki/Radhanite

End of the Radhanite age

The fall of the Tang Dynasty of China in 908 and the destruction of
the Khazar Khaganate some sixty years later led to widespread chaos in
Inner Eurasia, the Caucasus and China. Trade routes became unstable
and unsafe, a situation exacerbated by Turkic invasions of Persia and
the Middle East, and the Silk Road largely collapsed for centuries.
Moreover, the fragmentation of the Islamic world (and to a lesser
extent, Christendom) into small states provided more opportunities for
non-Jews to enter the market. This period saw the rise of the
mercantile Italian city-states, especially Genoa, Venice, Pisa, and
Amalfi, who viewed the Radhanites as unwanted competitors.

The economy of Europe was profoundly affected by the disappearance of
the Radhanites. For example, documentary evidence indicates that many
spices in regular use during the early Middle Ages completely
disappeared from European tables in the 900s. Jews had previously, in
large parts of Western Europe, enjoyed a virtual monopoly on the spice
trade.[17]





-- 
Japan Higher Education Outlook
http://japanheo.blogspot.com/

ELT in Japan
http://eltinjapan.blogspot.com/

We are Feral Cats
http://wearechikineko.blogspot.com/

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