Whenever a British merchantman shall arrive off any of the five ports opened to trade—viz., Canton, Foochowfow, Amoy, Ningpo, or Shanghai, pilots shall be allowed to take her immediately into port; and, in like manner, when such British ship shall have settled all legal duties and charges, and is about to return home, pilots shall be immediately granted to take her out to sea, without any stoppage or delay.

Regarding the remuneration to be given these pilots, that will be equitably settled by the British Consul appointed to each particular port, who will determine it with due reference to the distance gone over, the risk run, &c.

The Chinese Superintendent of Customs at each port will adopt the means that he may judge most proper to prevent the revenue suffering by fraud or smuggling. Whenever the pilot shall have brought any British merchantman into port, the Superintendent of Customs will depute one or two trusty custom-house officers, whose duty it will be to watch against fraud on the revenue. These will either live in a boat of their own, or stay on board the English ship, as may best suit their convenience. Their food and expenses will be supplied them from day to day from the custom-house, and they may not exact any fees whatever from either the commander or consignee. Should they violate this regulation, they shall be punished proportionately to the amount so exacted.

Whenever a British vessel shall have cast anchor at any one of the above-mentioned ports, the captain will, within four and twenty hours after arrival, proceed to the British Consulate, and deposit his ship's papers, bills of lading, manifest, &c., in the hands of the Consul; failing to do which, he will subject himself to a penalty of two hundred dollars.

For presenting a false manifest, the penalty will be five hundred dollars.

For breaking bulk and commencing to discharge, before due permission shall be obtained, the penalty will be five hundred dollars, and confiscation of the goods so discharged.

The Consul, having taken possession of the ship's papers, will immediately send a written communication to the Superintendent of Customs, specifying the register tonnage of the ship, and the particulars of the cargo she has on board; all of which being done in due form, permission will then be given to discharge, and the duties levied as provided for in the tariff.

It having been stipulated that English merchants may trade with whatever native merchants they please, should any Chinese merchant fraudulently abscond or incur debts which he is unable to discharge, the Chinese authorities, upon complaint being made thereof, will of course do their utmost to bring the offender to justice: it must, however, be distinctly understood, that if the defaulter really cannot be found, or be dead, or bankrupt, and there be not wherewithal to pay, the English merchants may not appeal to the former custom of the Hong merchants paying for one another, and can no longer expect to have their losses made good to them.

Every English merchantman, on entering any one of the above-mentioned five ports, shall pay tonnage-dues at the rate of five mace per register ton, in full of all charges. The fees formerly levied on entry and departure, of every description, are henceforth abolished.

Goods, whether imported into, or exported from, any one of the above-mentioned five ports, are henceforward to be taxed according to the tariff as now fixed and agreed upon, and no further sums are to be levied beyond those which are specified in the tariff; all duties incurred by an English merchant vessel, whether on goods imported or exported, or in the shape of tonnage-dues, must first be paid up in full; which done, the Superintendent of Customs will grant a port clearance, and this being shewn to the British Consul, he will thereupon return the ship's papers and permit the vessel to depart.

Every English merchant, having cargo to load or discharge, must give due intimation thereof, and hand particulars of the same to the Consul, who will immediately despatch a recognised linguist of his own establishment to communicate the particulars to the Superintendent of Customs, that the goods may be duly examined, and neither party subjected to loss. The English merchant must also have a properly-qualified person on the spot, to attend to his interests when his goods are being examined for duty, otherwise, should there be complaints, these cannot be attended to.

Regarding such goods as are subject by the tariff to an ad valorem duty, if the English merchant cannot agree with the Chinese officer in fixing a value, then each party shall call two or three merchants to look at the goods, and the highest price at which any of these merchants would be willing to purchase shall be assumed as the value of the goods.

To fix the tare on any article, such as tea, if the English merchant cannot agree with the custom-house officer, then each party shall choose so many chests out of every hundred, which, being first weighed in gross, shall afterwards be tared, and the average tare upon these chests shall be assumed as the tare upon the whole; and upon this principle shall the tare be fixed upon all other goods in packages.

If there should still be any disputed points which cannot be settled, the English merchant may appeal to the Consul, who will communicate the particulars of the case to the Superintendent of Customs, that it may be equitably arranged. But the appeal must be made on the same day, or it will not be regarded. While such points are still open, the Superintendent of Customs will delay to insert the same in his books, thus affording an opportunity that the merits of the case may be duly tried and sifted.

It is hereinbefore provided, that every English vessel that enters any one of the five ports shall pay all duties and tonnage-dues before she be permitted to depart. The Superintendent of Customs will select certain shroffs, or banking establishments of known stability, to whom he will give licences, authorizing them to receive duties from the English merchants on behalf of Government, and the receipt of these shroffs for any moneys paid them shall be considered as a government voucher. In the paying of these duties, different kinds of foreign money may be made use of; but as foreign money is not of equal purity with sycee silver, the English Consuls appointed to the different ports will, according to time, place, and circumstances, arrange with the Superintendents of Customs at each what coins may be taken in payment, and what per centage may be necessary to make them equal to standard or pure silver.

Sets of balance-yards for the weighing of goods, of money weights, and of measures, prepared in exact conformity to those hitherto in use at the Custom-house of Canton, and duly stamped and sealed in proof thereof, will be kept in possession of the Superintendent of Customs, and also at the British Consulate at each of the five ports, and these shall be the standards by which all duties shall be charged, and all sums paid to government. In case of any dispute arising between British merchants and Chinese officers of Customs, regarding the weights or measures of goods, reference shall be made to these standards, and disputes decided accordingly.

Whenever any English merchants shall have to load or discharge cargo, he may hire whatever kind of lighter or cargo-boat he pleases, and the sum to be paid for such boat can be settled between the parties themselves without the interference of government. The number of these boats shall not be limited, nor shall a monopoly of them be granted to any parties. If any smuggling take place in them, the offenders will of course be punished according to law. Should any of these boat-people, while engaged in conveying goods for English merchants, fraudulently abscond with the property, the Chinese authorities will do their best to apprehend them; but, at the same time, the English merchants must take every due precaution for the safety of their goods.

No English merchant ships may transship goods without special permission: should an urgent case happen where transshipment is necessary, the circumstances must first be transmitted to the Consul, who will give a certificate to that effect, and the Superintendent of Customs will then send a special officer to be present at the transshipment. If any one presumes to transship without such permission being asked for and obtained, the whole of the goods so illicitly transshipped will be confiscated.

At any place selected for the anchorage of the English merchant ships, there may be appointed a subordinate consular officer, of approved good conduct, to exercise due control over the seamen and others. He must exert himself to prevent quarrels between the English seamen and natives, this being of the utmost importance. Should anything of the kind unfortunately take place, he will in like manner do his best to arrange it amicably. When sailors go on shore to walk, officers shall be required to accompany them, and, should disturbances take place, such officers will be held responsible. The Chinese officers may not impede natives from coming alongside the ships, to sell clothes or other necessaries to the sailors living on board.

Whenever a British subject has reason to complain of a Chinese, he must first proceed to the Consulate and state his grievance; the Consul will thereupon inquire into the merits of the case, and do his utmost to arrange it amicably. In like manner, if a Chinese have reason to complain of a British subject, he shall no less listen to his complaint, and endeavour to settle it in a friendly manner. If an English merchant have occasion to address the Chinese authorities, he shall send such address through the Consul, who will see that the language is becoming; and if otherwise, will direct it to be changed, or will refuse to convey the address. If, unfortunately, any disputes take place of such a nature that the Consul cannot arrange them amicably, then he shall request the assistance of a Chinese officer, that they may together examine into the merits of the case, and decide it equitably. Regarding the punishment of English criminals, the English government will enact the laws necessary to attain that end, and the Consul will be empowered to put them in force: and, regarding the punishment of Chinese criminals, these will be tried and punished by their own laws, in the way provided for by the correspondence which took place at Nankin after the concluding of the peace.

An English government cruiser will anchor within each of the five ports, that the Consul may have the means of better restraining sailors and others, and preventing disturbances. But these government cruisers are not to be put on the same footing as merchant vessels, for as they bring no merchandise and do not come to trade, they will of course pay neither dues nor charges. The resident Consul will keep the Superintendent of Customs duly informed of the arrival and departure of such government cruisers, that he may take his measures accordingly.

It has hitherto been the custom, when an English vessel entered the port of Canton, that a Chinese Hong merchant stood security for her, and all duties and charges were paid through such security-merchant. But these security-merchants being now done away with, it is understood that the British Consul will henceforth be security for all British merchant ships entering any of the aforesaid five ports.