No sooner was the first sod of the railway cut on its eastern extremity
than events occurred which led to a further extension by the Russians of
the railroad toward the most strategic points in the Liao-tung peninsula
which they leased--points which had so recently been retroceded by
Japan, on Russia's advice, for the peace and independence of China and
Korea. It belongs to the history of China to recount how, at the murder
by a mob of two German Catholic missionaries in Shan-tung, the
government of the kaiser succeeded in March, 1898, in wresting from
China a ninety-nine-year lease of the Bay of Kiao-chow and its
hinterland, together with railway and mining concessions between the
shore and Tsi-nan-fu. This was a signal for the advent of a remarkable
series of territorial demarcations to be made by the rival powers of
Europe which had been no less eager than Germany to seize the first
opportunity to carve out their respective "spheres" of influence or
interest on the soil of the feeble Chinese empire. The act of Germany
disturbed the balance of power in the Far East which could not be
restored until the aggressive passions of all competing powers should
have been satiated. Great Britain obtained in February a pledge never to
alienate to any other power any portion of the extensive provinces
adjoining the Yang-tse River. This was followed by the lease to Russia
for twenty-five years, subject to renewal, of Port Arthur and
Ta-lien-wan. The Russo-Chinese agreement signed on March 27 declared
that the lease constituted no prejudice against the Chinese sovereignty
over the territory, but was designed for the protection of the Russian
navy in the waters of North China. It must be remembered that Russia
with her immense dominion of Siberia had up to this time possessed no
adequate naval station on its shores which was not bound by ice during
the winter months. Now at length she secured the almost ice-free Port
Arthur and Ta-lien-wan, of which the former and a portion of the latter
were agreed to be used exclusively for naval purposes, while the
remaining portion of Ta-lien-wan was to be opened to the merchant
vessels of all nations. The agreement further provided that a branch
line might be built by Russia from the Manchurian railway to Ta-lien-wan
and, as was later stipulated, to Port Arthur, and, if necessary, also a
line from the open port of Niu-chwang to the Yalu River on the Korean
border. A special agreement was further concluded on May 7 to supplement
the one of March 27, which has been described. The Russian lease on the
tip of the Liao-tung peninsula induced Great Britain, on July 1, to
obtain under similar terms on the opposite promontory of Shan-tung the
lease of the Bay of Wei-hai-wei. This port had still been under the
occupation of Japanese troops, pending the final payment of the Chinese
indemnity, but was now cheerfully evacuated by them to be replaced by
the forces of the power with which the relations of Japan had already
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