The German railway of 271 miles in Shangtung province shows the effects of the iron hand in paying small wages, the working expenses in 1910 being only thirty-five per cent. of the gross earnings. The gross earnings were $8,000 a mile. In a bare country, where mining is undeveloped, the average receipts were only seventy-one cents per passenger mile, and ninety cents per ton mile. Over 90 per cent. of the traffic is third class. The average mixed trainload is 150 tons of freight and sixty passengers. The famous beans, straw braid, grain and petroleum predominated in the traffic, but in 1912 coal was beginning to be a growing factor. The German railway in Shangtung province has set the example of planting trees. It was copied by the Pennsylvania railway. Nearly all the railways of China are copying the reforestation methods. At Tongshan, eighty miles northeast of Tientsin, are the modern shops, engineering college and town of the national railways of North China. Here the first Chinese locomotive, the “Rocket”, was built in stealth by the British mechanical, railway and mining engineer, Mr. C. W. Kinder, who has done so much for the railways and mines of North China. The college turns out railway engineers, and some of the instructors are American, like Mr. F. A. Foster. Other lecturers are British, like Mr. Kinder and Mr. Pope. Railway cars can now be built in the Tongshan shops, the Hanyang works, the Shanghai works and the Kowloon (Hongkong) works, as well as at Dalny. The Tongshan works can and have built locomotives. In 1910 the Department of Communications established at Peking a railway school. Three hundred of the six hundred students were under twenty-five years of age. There were eight foreign and thirty-five foreign-trained Chinese teachers. The course was three years. English, mainly, and French, German and Chinese were taught. There is no military drill, and the curriculum includes history, economics, railway bookkeeping and law, engineering, management of traffic, shops and stations, physics, chemistry, drawing, mathematics, geography, etc. Electric tramways have been established at Peking, Tientsin, Shanghai, Canton and the Manchurian cities, the example having been taken from Hongkong’s tramway, built in 1905. Recent photographs show the remarkable change in the bunds and roads of the treaty ports, where the automobile, electric car, rickshaw, wheelbarrow, chair and litter all have their fight for the passenger and his nimble coin. On new lines it is necessary to use blue instead of white glass in the coaches, as the coolies in their excitement over the scenery forget and put their heads through the white glass, to which they are not accustomed.