The Japanese settlement is far more populous, extensive, and pretentious. Their Consulate is imposing enough for a legation. They have several streets of small shops, which supply the needs chiefly of people of their own nationality, for foreigners patronize Ah Wong and Itai, and the Koreans, who hate the Japanese with a hatred three centuries old, also deal chiefly with the Chinese. But though the Japanese were outstripped in trade by the Chinese, their position in Korea, even before the war, was an influential one. They gave “postal facilities” between the treaty ports and Seoul and carried the foreign mails, and they established branches of the First National Bank[5] in the capital and treaty ports, with which the resident foreigners have for years transacted their business, and in which they have full confidence. I lost no time in opening an account with this Bank in Chemulpo, receiving an English check-book and pass-book, and on all occasions courtesy and all needed help. Partly owing to the fact that English cottons for Korea are made in bales too big for the Lilliputian Korean pony, involving reduction to more manageable dimensions on being landed, and partly to causes which obtain elsewhere, the Japanese are so successfully pushing their cottons in Korea, that while they constituted only 3 per cent. of the imports in 1887, they had risen to something like 40 per cent. in 1894.[6] There is a rapidly growing demand for yarn to be woven on native looms. The Japanese are well to the front with steam and sailing tonnage. Of 198 steamers entered inwards in 1893, 132 were Japanese; and out of 325 sailing vessels, 232 were Japanese. It is on record that an English merchantman was once seen in Chemulpo roads, but actually the British mercantile flag, unless on a chartered steamer, is not known in Korean waters. Nor was there in 1894 an English merchant in the Korean treaty ports, or an English house of business, large or small, in Korea.