In order to obviate the discomfort of the soldiers, who are quartered some in one place, some in another, among the inhabitants; and to prevent the quarrels into which they get with the people, I have built for them barracks of stone and brick which are now finished, and which will accommodate four hundred. They are near the official buildings and a small fort which I have made, where they may keep their flags, and where they may be assembled aid at hand, and safe from the misfortune of fire, when there is need of such safety. With your Majesty's permission, I must state that I regret the trade of these Chinese, for it seems to me injurious. It might be forbidden on the ground of the great sums of money which they take from these islands to foreign countries. The most of the trade is in cotton stuffs--the material for which they take from this country in the first place, and bring it back woven. The natives here could just as well make these, if they chose, of their own cotton, and even better than those which come from China. They could export them to Mexico, and could have a trade worth four hundred thousand pesos. This would lead to greater care in producing and cultivating the cotton, because they would not have the Sangleys acting as middlemen. The rest that they bring is silks, very poor and sleazy, except some silk which is brought in raw or spun into thread. This last, I fear, exceeds in quantity that brought from the Spanish kingdoms; and would interfere with your Majesty's royal revenues from the silks of Granada, Murcia, and Valencia, which would be most undesirable. Besides this, there is another point deserving no slight consideration--namely, that they (the Chinese) come to these islands with freedom to sell their goods, and even settle here, and frequently marry. They do not permit us, however, to go to their country, nor may a Spaniard go thither to invest one real--a custom entirely contrary to freedom of trade. Therefore, in order to avoid other undesirable results, I have decreed that Chinese traders shall not live here under the pretext of being merchants; but that only certain workmen who are mechanics may remain, and that, when their merchandise is sold, they shall return home. The bishop and all the friars say that they cannot thus be deprived of the liberty of coming and settling here, and that no such commands or decrees can in conscience be made for them. From the pulpits they say that the governor is going to hell, because the Chinese have their laws, and we cannot dictate to them unless we first govern ourselves according to the laws and customs which we found among the Indians of this country, because it was and is theirs. In regard to what I have said concerning the trade of these Chinese, I am doubtful on only one point--namely, if this trade be abandoned, your Majesty will lose the royal duties which this commerce brings in, on the arrival and departure of the merchants. These must