The government granted 2,250,000 yen as a bounty to the first iron works, begun in 1892, and already the products of those iron works in hand-made articles are underselling American products on our Pacific coast. In five years, prior to those covered by Mr. Porter's figures above, Japan's exports rose from 34,800,000 to 68,400,000 yen, and her imports from 27,000,000 yen to 64,000,000 yen. Nor does there appear any reason to doubt the confident statement of British experts that development for the coming years will go on much more rapidly. Politics in the empire already turns upon fiscal and economic questions; of two bills urged in the Imperial Parliament by the progressists, one decrees the nationalization of all railways not yet owned by the state, and the other asks for an appropriation of 50,000,000 yen for the building of a new railroad. While this is going through the press it is announced that Japan has established two new steamship lines, one running from Yokohama to our own Pacific coast, and the other from Yokohama to Marseilles, stopping at Shanghai, Hong Kong, Singapore, and Columbo. The western mind has long looked upon China as given over to hopeless inertia and stagnation, but China has awakened at last. In one year the importation of illuminating oil rose 50 per cent., of window glass 58 per cent., of matches 23 per cent., and needles 20 per cent. In six years the tonnage of vessels discharging in Chinese ports rose by one-third. While these lines are going through the press Li Hung Chang is in Europe negotiating for a loan of 400,000,000 francs to be expended in internal improvements, and he gives the weight of his very high authority to the statement that China is no longer opposed to the introduction of railways. Consul-General Jernigan reports to the Department of State that the prospectus of a new industry is now before the public at his station, Shanghai. It is called the Shanghai Oil Mill Company, and purposes to manufacture oil from cotton seed. It is the logical result of the cotton mills at Shanghai, and the consequent stimulus given to the cultivation of cotton in China. Since 1890 there have been forty-five new manufacturing plants established in Shanghai. They are all in successful operation, especially the cotton factories, in which large capital is invested. He adds: