Thirteen Factories

Definition

The Thirteen Factories were a group of trading houses located in Canton (now Guangzhou), China, that served as the main hub for foreign trade during the 18th and early 19th centuries. These factories facilitated trade between Western merchants and Chinese officials, becoming essential to the Canton System, which regulated foreign commerce and limited interaction with local markets.

5 Must Know Facts For Your Next Test

1. The Thirteen Factories were established during the Qing Dynasty and became operational in the late 17th century, playing a crucial role in the trade of goods such as tea, silk, and porcelain.
2. Foreign merchants were only allowed to interact with designated Chinese merchants known as the Cohong, who controlled access to the factories and negotiated trade terms.
3. The factories were situated along the Pearl River, and their location allowed for efficient shipping but also created a controlled environment for trade that favored Chinese interests.
4. The Thirteen Factories operated under strict regulations enforced by the Qing government, which aimed to maintain a balance of power and control over foreign influence in China.
5. The decline of the Thirteen Factories was marked by increasing tensions between China and Western powers, culminating in events like the Opium Wars that ultimately dismantled the Canton System.

Review Questions

• How did the Thirteen Factories operate within the framework of the Canton System, and what role did they play in regulating foreign trade?
  • The Thirteen Factories operated as a controlled environment for foreign trade under the Canton System, where Western merchants were restricted to these specific trading houses. They facilitated exchanges of goods while enforcing Qing regulations that limited direct contact between foreigners and Chinese citizens. The factories were crucial for establishing a system where trade was heavily mediated through the Cohong, ensuring that Chinese authorities maintained control over foreign commerce.
• What impact did the presence of foreign merchants at the Thirteen Factories have on Chinese society and economy during the Qing Dynasty?
  • The presence of foreign merchants at the Thirteen Factories significantly impacted Chinese society and economy by introducing new goods and influencing local market dynamics. While foreign traders brought valuable products like silver and textiles into China, they also challenged traditional economic structures. The interactions prompted some degree of cultural exchange but also led to tensions that reflected broader issues of sovereignty and control over trade practices within China.
• Evaluate the factors that led to the decline of the Thirteen Factories and how this decline influenced China's subsequent interactions with Western powers.
  • The decline of the Thirteen Factories was influenced by multiple factors including increased demand from Western powers for direct access to Chinese markets, dissatisfaction with the restrictive Canton System, and rising tensions culminating in events like the Opium Wars. This decline not only marked a shift away from controlled trade but also signaled China's weakening grip on foreign relations. As foreign influence expanded post-decline, it ultimately led to significant changes in China's economic policies and territorial integrity, altering its position in international affairs.

Related terms

Canton System:

A trade system established by the Qing Dynasty in the 18th century that restricted foreign merchants to specific areas, most notably the Thirteen Factories, and imposed strict regulations on trade practices.

Cohong: A guild of Chinese merchants who were authorized to conduct trade with foreign merchants in the Canton System, acting as intermediaries between Western traders and the Qing government.

Opium Wars:

A series of conflicts in the mid-19th century between China and Britain, primarily over trade disputes including the illegal opium trade, which eventually led to significant changes in China's foreign relations and trade policies.