Alfred Thayer Mahan - Sea Power in its Relations to the War of 1812. Volume 1

The existence of strained relations between England and Holland facilitated the adoption of the first Navigation Act, which, as things were, struck the Dutch only; they being the one great carrying community in Europe. Although both the letter and the purpose of the new law included in its prohibitions all foreign countries, the commercial interests of other states were too slight, and their commercial spirit too dull, to take note of the future effect upon themselves; whether absolutely, or in relation to the maritime power of Great Britain, the cornerstone of which was then laid. This first Act directed that no merchandise from Asia, Africa, or America, including therein English "plantations," as the colonies were then styled, 17 17 Reeves, writing in 1792, says that there seemed then no distinction of meaning between "plantation" and "colony." Plantation was the earlier term; "'colony' did not come much into use till the reign of Charles II., and it seems to have denoted the political relation." (p. 109.) By derivation both words express the idea of cultivating new ground, or establishing a new settlement; but "plantation" seems to associate itself more with the industrial beginnings, and "colony" with the formal regulative purpose of the parent state. should be imported into England in other than English-built ships, belonging to English subjects, and of which "the master and mariners are also, for the most part of them, of the people of this commonwealth." This at once reserved a large part of the external trade to English ships; and also, by the regulation of the latter, constituted them a nursery for English seamen. To the general tenor of this clause, confining importation wholly to English vessels, an exception was made for Europe only; importations from any part of which was permitted to "such foreign ships and vessels as do truly and properly belong to the people of that country or place of which the said goods are the growth, production, or manufacture." 18 18 The Navigation Acts of 1651, 1660, 1662, and 1663, as well as other subsequent measures of the same character, can be found, conveniently for American readers, in MacDonald's Select Charters Illustrative of American History. Macmillan, New York. 1899. Foreign merchantmen might therefore import into England the products of their own country; but both they and English vessels must ship such cargoes in the country of origin, not at any intermediate port. The purpose of these provisos, especially of the second, was to deprive Holland of the profit of the middleman, or the entrepôt , which she had enjoyed hitherto by importing to herself from various regions, warehousing the goods, and then re-exporting. The expense of these processes, pocketed by Dutch handlers, and the exaction of any dues levied by the Dutch Treasury, reappeared in increased cost to foreign consumers. This appreciation of the value of the entrepôt underlay much of the subsequent colonial regulation of England, and actuated the famous Orders in Council of 1807, which were a principal factor in causing the War of 1812. A second effect of these restrictions, which in later times was deemed even more important than the pecuniary gain, was to compel English ships to go long voyages, to the home countries of the cargoes they sought, instead of getting them near by in Dutch depots. This gave a corresponding development to the carrying trade—the navigation—of the Commonwealth; securing greater employment for ships and seamen, increasing both their numbers and experience, and contributing thereby to the resources of the navy in men. "A considerable carrying trade would be lost to us, and would remain with the merchants of Holland, of Hamburg, and other maritime towns, if our merchants were permitted to furnish themselves by short voyages to those neighboring ports, and were not compelled to take upon themselves the burden of bringing these articles from the countries where they were produced." 19 19 Reeves, History of the Law of Navigation, p. 162.

The Act of 1660, officially known as that of 12 Charles II., modified the provisos governing the European trade. The exclusion of goods of European origin from all transportation to England, save in ships of their own nation, was to some extent removed. This surrender was censured by some, explicitly, because it again enabled the Dutch to collect foreign articles and send them to England, thereby "permitting competition with this country in the longer part of the voyage;" to the injury, therefore, of British navigation. The remission, though real, was less than appeared; for the prohibitions of the Commonwealth were still applied to a large number of specified articles, the produce chiefly of Russia and Turkey, which could be imported only in their national ships, or those of England. As those countries had substantially no long voyage shipping, trade with them was to all practical purposes confined to English vessels. 20 20 For instance, in 1769, eighteen hundred and forty vessels passed the Sound in the British trade. Of these only thirty-five were Russian. Considerably more than half of the trade of St. Petersburg with Europe at large was done in British ships. Macpherson, vol. iii. p. 493. The concession to foreign vessels, such as it was, was further qualified by heavier duties, called aliens' duties, upon their cargoes; and by the requirement that three-fourths of their crew, entering English ports, should be of the same nationality as the ship. The object of this regulation was to prevent the foreign state from increasing its tonnage, by employing seamen other than its own. This went beyond mere protection of English vessels, and was a direct attack, though by English municipal law, upon the growth of foreign shipping.

This purpose indeed was authoritatively announced from the bench, construing the Act in the decision of a specific case. "Parliament had wisely foreseen that, if they restrained the importation or exportation of European goods, unless in our own ships, and manned with our own seamen, other states would do the same; and this, in its consequences, would amount to a prohibition of all such goods, which would be extremely detrimental to trade, and in the end defeat the very design of the Act. It was seen, however, that many countries in Europe, as France, Spain, and Italy, could more easily buy ships than build them; that, on the other hand, countries like Russia, and others in the North, had timber and materials enough for building ships, but wanted sailors. It was from a consideration of this inaptness in most countries to accomplish a complete navigation, that the Parliament prohibited the importation of most European goods, unless in ships owned and navigated by English, or in ships of the build of and manned by sailors of that country of which the goods were the growth. The consequence would be that foreigners could not make use of ships they bought, though English subjects might. This would force them to have recourse to our shipping, and the general intent of the Act, to secure the carrying trade to the English, would be answered as far as it possibly could." It was therefore ruled that the tenor of the Act forbade foreigners to import to England in ships not of their own building; and, adds the reporter, "This exposition of the Act of Navigation is certainly the true one." 21 21 Opinion of Chief Baron Parker, quoted by Reeves, pp. 187-189. Having thus narrowed foreign competition to the utmost extent possible to municipal statutes, Parliament made the carrying industry even more exclusively than before a preserve for native seamen. The Commonwealth's requirement, that "the most" of the crew should be English, was changed to a definite prescription that the master and three-fourths of the mariners should be so.