DECEMBER, 1847.] The President's Message. [30TH CONG. by General Paredes. Such may be the condition | commercially, we have the deepest interest in her of insecurity of the present Government. There can be no doubt that the peaceable and well-disposed inhabitants of Mexico are convinced that it is the true interest of their country to conclude an honorable peace with the United States; but the apprehension of becoming the victims of some military faction or usurper may have prevented them from manifesting their feelings by any public act. The removal of any such apprehension would probably cause them to speak their sentiments freely, and to adopt the measures neces sary for the restoration of peace. With a people distracted and divided by contending factions, and a Government subject to constant changes by successive revolutions, the continual successes of our arms may fail to secure a satisfactory peace. In such event, it may become proper for our commanding generals in the field to give encouragement and assurances of protection to the friends of peace in Mexico in the establishment and maintenance of a free republican Government of their own choice, able and willing to conclude a peace which would be just to them, and secure to us the indemnity we demand. This may become the only mode of obtaining such a peace. Should such be the result, the war with Mexico has forced upon us would thus be converted into an enduring blessing to herself. After finding her torn and distracted by factions, and ruled by military usurpers, we should then leave her with a republican Government, in the enjoyment of real independence and domestic peace and prosperity, performing all her relative duties in the great family of nations, and promoting her own happiness by wise laws and their faithful execution. If, after affording this encouragement and protection, and after all the persevering and sincere efforts we have made, from the moment Mexico commenced the war, and prior to that time, to adjust our differences with her, we shall ultimately fail, then we shall have exhausted all honorable means in pursuit of peace, and must continue to occupy her country with our troops, taking the full measure of indemnity into our own hands, and must enforce the terms which our honor demands. To act otherwise, in the existing state of things in Mexico, and to withdraw our army without a peace, would not only leave all the wrongs of which we complain unredressed, but would be the signal for new and fierce civil dissensions and new revolutions all alike hostile to peaceful relations with the United States. Besides, there is danger, if our troops were withdrawn before a peace was concluded, that the Mexican people, wearied with successive revolulutions, and deprived of protection for their persons and property, might at length be inclined to yield to foreign influences, and to cast themselves into the arms of some European monarch for protection from the anarchy and suffering which would ensue. This for our own safety, and in pursuance of our established policy, we should be compelled to resist. We could never consent that Mexico should be thus converted into a monarchy governed by a foreign prince. Mexico is our near neighbor, and her boundaries are conterminous with our own, through the whole extent across the North American continent,, from ocean to ocean. Both politically and regeneration and prosperity. Indeed, it is impossible that, with any just regard to our own safety, we can ever become indifferent to her fate. It may be that the Mexican Government and people have misconstrued or misunderstood our forbearance, and our objects, in desiring to conclude an amicable adjustment of the existing differences between the two countries. They may have supposed that we would submit to terms degrading to the nation; or they may have drawn false inferences from the supposed division of opinion in the United States on the subject of the war, and may have calculated to gain much by protracting it; and, indeed, that we might ultimately abandon it altogether, without insisting on any indemnity, territorial or otherwise. Whatever may be the false impressions under which they have acted, the adoption and prosecution of the energetic policy proposed must soon undeceive them. In the future prosecution of the war, the enemy must be made to feel its pressure more than they have heretofore done. At its commencement, it was deemed proper to conduct it in a spirit of forbearance and liberality. With this end in view, early measures were adopted to conciliate, as far as a state of war would permit, the mass of the Mexican population; to convince them that the war was waged not against the peaceful inhabitants of Mexico, but against their faithless Government, which had commenced hostilities; to remove from their minds the false impressions which their designing and interested rulers had artfully attempted to make, that the war on our part was one of conquest; that it was a war against their religion and their churches, which were to be desecrated and overthrown; and that their rights of person and private property would be violated. To remove these false impressions, our commanders in the field were directed scrupulously to respect their religion, their churches, and their church property, which were in no manner to be violated; they were directed also to respect the rights of persons and property of all who should not take up arms against us. Assurances to this effect were given to the Mexican people by Major-General Taylor, in a proclamation issued in pursuance of instructions from the Secretary of War, in the month of June, 1846, and again by Major-General Scott, who acted upon his own convictions of the propriety of issuing it in a proclamation of the eleventh of May, 1847. In this spirit of liberality and conciliation, and with a view to prevent the body of the Mexican population from taking up arms against us, was the war conducted on our part. Provisions and other supplies furnished to our army by Mexican citizens, were paid for at fair and liberal prices agreed upon by the parties. After the lapse of a few months, it became apparent that these assurances, and this mild treatment, had failed to produce the desired effect upon the Mexican population. While the war had been conducted on our part according to the most humane and liberal principles observed by civilized nations, it was waged in a far different spirit on the part of Mexico. Not appreciating our forbearance, the Mexican people generally became hostile to the United States, and availed themselves of every opportunity to commit the most savage excesses upon our troops. Large numbers of the population took up arms, and, engaging in guerilla warfare, robbed and murdered in the most cruel manner individual soldiers, or small parties, whom accident or other causes had separated from the main body of our army; bands of guerrilleros and robbers infested the roads, harassed our trains, and, whenever it was in their power, cut off our supplies. The Mexicans having thus shown themselves to be wholly incapable of appreciating our forbearance and liberality, it was deemed proper to change the manner of conducting the war, by making them feel its pressure according to the usages observed under similar circumstances by all other civilized nations. Accordingly, as early as the twenty-second of September, 1846, instructions were given by the Secretary of War to Major-General Taylor, to "draw supplies" for our army "from the enemy, without paying for them, and to require contributions for its support," if in that way he was satisfied he could "get abundant supplies for his forces." In directing the execution of these instructions, much was necessarily left to the discretion of the commanding officer, who was best acquainted with the circumstances by which he was surrounded, the wants of the army, and the practicability of enforcing the measure. General Taylor, on the twenty-sixth of October, 1846, replied from Monterey, that "it would have been impossible hitherto, and is so now, to sustain the army to any extent by forced contributions of money or supplies." For the reasons assigned by him, he did not adopt the policy of his instructions, but declared his readiness to do so, "should the army, in its future operations, reach a portion of the country which may be made to supply the troops with advantage." He continued to pay for the articles of supply which were drawn from the enemy's country. Similar instructions were issued to Major-General Scott, on the third of April, 1847, who replied, from Jalapa, on the twentieth of May, 1847, that if it be expected that "the army is to support itself by forced contributions levied upon the country, we may ruin and exasperate the inhabitants, and starve ourselves." The same discretion was given to him that had been to General Taylor in this respect. General Scott, for the reasons assigned by him, also continued to pay for the articles of supply for the army which were drawn from the enemy. After the army had reached the heart of the most wealthy portion of Mexico, it was supposed that the obstacles which had before that time prevented it, would not be such as to render impracticable the levy of forced contributions for its support; and on the first of September, and again on the sixth of October, 1847, the order was repeated in despatches addressed by the Secretary of War to General Scott, and his attention was again called to the importance of making the enemy bear the burdens of the war by requiring them to furnish the means of supporting our army; and he was directed to adopt this policy, unless, by doing so, there was danger of depriving the army of the necessary supplies. Copies of these despatches were forwarded to General Taylor for his govern ment. [DECEMBER, 1847. On the thirty-first of March last, I caused an order to be issued to our military and naval commanders, to levy and collect a military contribution upon all vessels and merchandise which might en ter any of the ports of Mexico in our military occupation, and to apply such contributions towards defraying the expenses of the war. By virtue of the right of conquest and the laws of war, the conqueror, consulting his own safety or convenience, may either exclude foreign commerce altogether from all such ports, or permit it upon such terms and conditions as he may prescribe. Before the principal ports of Mexico were blockaded by our navy, the revenue derived from impost duties, under the laws of Mexico, was paid into the Mexi can treasury. After these ports had fallen into our military possession, the blockade was raised, and commerce with them permitted upon prescribed terms and conditions. They were opened to the trade of all nations upon the payment of duties more moderate in their amount than those which had been previously levied by Mexico; and the revenue, which was formerly paid into the Mexican treasury, was directed to be collected by our military and naval officers, and applied to the use of our army and navy. Care was taken that the officers, soldiers, and sailors of our army and navy should be exempted from the operations of the order; and as the merchandise imported upon which the order operated must be consumed by Mexican citizens, the contributions exacted were, in effect, the seizure of the public revenues of Mexico, and the application of them to our own use. In directing this measure, the object was to compel the enemy to contribute, as far as practicable, towards the expenses of the war. For the amount of contributions which have been levied in this form, I refer you to the accompanying reports of the Secretary of War and of the Secretary of the Navy, by which it appears that a sum exceeding half a million of dollars has been collected. This amount would undoubtedly have been much larger, but for the difficulty of keeping open communications between the coast and the interior, so as to enable the owners of the merchandise im ported, to transport and vend it to the inhabitants of the country. It is confidently expected that this difficulty will, to a great extent, be soon removed by our increased forces which have been sent to the field. Measures have recently been adopted by which the internal as well as external revenues of Mexico, in all places in our military occupation, will be seized and appropriated to the use of our army and navy. The policy of levying upon the enemy contributions in every form, consistently with the laws of nations, which it may be practicable for our military commanders to adopt, should, in my judg ment, be rigidly enforced, and orders to this effect have accordingly been given. By such a policy, at the same time that our own treasury will be relieved from a heavy drain, the Mexican people will be made to feel the burden of the war, and, consulting their own interests, may be induced the more readily to require their rulers to accede to a just peace. After the adjournment of the last session of Congress, events transpired in the prosecution of the war which, in my judgment, required a greater DECEMBER, 1847.] to number of troops in the field than had been antici- | ral of the United States, early in August last, compated. The strength of the army was accordingly pleted the adjudication of the claims under this conincreased by "accepting" the services of all the vention, and made his report thereon, in pursuance volunteer forces authorized by the act of the thir- of the act of the eighth of August, 1846. The teenth of May, 1846, without putting a construc- sums to which the claimants are respectively ention on that act, the correctness of which was se- titled, will be paid on demand at the Treasury. riously questioned. The volunteer forces now in I invite the early attention of Congress to the the field, with those which had been "accepted," present condition of our citizens in China. Under serve for twelve months," and were discharged our treaty with that power, American citizens are at the end of their term of service, exhaust the withdrawn from the jurisdiction, whether civil or fifty thousand men authorized by that act. Had criminal, of the Chinese Government, and placed unit been clear that a proper construction of the act der that of our public functionaries in that country. warranted it, the services of an additional number By these alone can our citizens be tried and punished would have been called for and accepted; but for the commission of any crime; by these alone doubts existing upon this point, the power was not can questions be decided between them, involving exercised. the rights of person and property; and by these alone can contracts be enforced, into which they may have entered with the citizens or subjects of foreign powers. The merchant vessels of the United States lying in the waters of the five ports of China open to foreign commerce, are under the exclusive jurisdiction of officers of their own Government. Until Congress shall establish competent tribunals to try and punish crimes, and to exercise jurisdiction in civil eases in China, American citizens there are subject to no law. whatever. Crimes may be committed with impunity, and debts may be contracted without any means to enforce their payment. Inconveniences have already resulted from the omission of Congress to legislate upon the subject, and still greater are apprehended. The British authorities in China have already complained that this Government has not provided for the punishment of crimes, or the enforcement of contracts against American citizens in that country, whilst their Government has established tribunals by which an American citizen can recover debts due from British subjects. It is deemed important that Congress should at an early period of their session, confer the authority to raise an additional regular force to serve during the war with Mexico, and to be discharged upon the conclusion and ratification of a treaty of peace. I invite the attention of Congress to the views presented by the Secretary of War in his report upon this subject. I recommend, also, that authority be given by law to call for and accept the services of an additional number of volunteers, to be exercised at such time and to such extent as the emergencies of the service may require. In prosecuting the war with Mexico, whilst the utmost care has been taken to avoid every just cause of complaint on the part of neutral nations, and none has been given, liberal privileges have been granted to their commerce in the ports of the enemy in our military occupation. The difficulty with the Brazilian Government, which at one time threatened to interrupt the friendly relations between the two countries, will, I trust, be speedily adjusted. I have received information that an Envoy Extraordinary and Minister Plenipotentiary to the United States, will shortly be appointed by his Imperial Majesty; and it is hoped that he will come instructed and prepared to adjust all remaining differences between the two Governments in a manner acceptable and honorable to both. In the mean time, I have every reason to believe that nothing will occur to interrupt our amicable relations with Brazil. It has been my constant effort to maintain and cultivate the most intimate relations of friendship with all the independent powers of South America; and this policy has been attended with the happiest results. It is true, that the settlement and payment of many just claims of American citizens against these nations have been long delayed. The peculiar position in which they have been placed, and the desire on the part of my predecessor, as well as myself, to grant them the utmost indulgence, have hitherto prevented these claims from being urged in a manner demanded by strict justice. The time has arrived when they ought to befinally adjusted and liquidated, and efforts are now making for that purpose. It is proper to inform you that the Goverment of Peru has, in good faith, paid the first two instalments of the indemnity of thirty thousand dollars each, and the greater portion of the interest due thereon, in execution of the convention between that Government and the United States, the ratifications of which were exchanged at Lima on the thirty-first of October, 1846. The Attorney Gene Accustomed as the Chinese are to summary justice, they could not be made to comprehend why criminals who are citizens of the United States should escape with impunity, in violation of treaty obligations, whilst the punishment of a Chinese, who had committed any crime against an American citizen, would be rigorously exacted. Indeed the consequences might be fatal to American citizens in China, should a flagrant crime be committed by any one of them upon a Chinese, and should trial and punishment not follow according to the requisitions of the treaty. This might disturb, if not destroy, our friendly relations with that empire, and cause an interruption of our valuable commerce. Our treaties with the Sublime Porte, Tripoli, Tunis, Morocco, and Muscat, also require the legisla tion of Congress to carry them into execution, though the necessity for immediate action may not be so urgent as in regard to China. The Secretary of State has submitted an estimate to defray the expenses of opening diplomatic relations with the Papal States. The interesting political events now in progress in these States, as well as a just regard to our commercial interests, have, in my opinion, rendered such a measure highly expedient. Estimates have also been submitted for the outfits and salaries of chargés des affaires to the Republics of Bolivia, Gautemala, and Ecuador. The manifest importance of cultivating the most friendly relations with all the independent States upon this continent, has induced me to recommend appropriations necessary for the maintenance of these missions. 1ST SESS.] The President's Message. [DECEMBER, 1847. I recommend to Congress that an appropriation | tariff act of 1846, of more than eight million five be made, to be paid to the Spanish Government, hundred thousand dollars over that of the last for the purpose of distribution among the claim-year under the tariff of 1842. ants in "the Amistad case." I entertain the con- The expenditures during the fiscal year ending viction that this is due to Spain under the treaty on the thirtieth of June last, were fifty-nine milof the twentieth of October, 1795; and, moreover, lion four hundred and fifty-one thousand one hunthat, from the earnest manner in which the claim dred and seventy-seven dollars and sixty-five cents; continues to be urged, so long as it shall remain of which three million five hundred and twentyunsettled, it will be a source of irritation and dis- two thousand and eighty-two dollars and thirtycord between the two countries, which may prove seven cents was on account of payment of prin highly prejudicial to the interests of the United cipal and interest of the public debt, including States. Good policy, no less than a faithful com- treasury notes redeemed and not funded. The expliance with our treaty obligations, requires that penditures, exclusive of payment of public debt, the inconsiderable appropriation demanded should were fifty-five million nine hundred and twentybe made. nine thousand and ninety-five dollars and twentyeight cents. A detailed statement of the condition of the finances will be presented in the annual report of It is estimated that the receipts into the treasury the Secretary of the Treasury. The imports for for the fiscal year ending on the thirtieth of June, the last fiscal year, ending on the thirtieth of June, 1848, including the balance in the treasury on the 1847, were of the value of one hundred and forty-first of July last, will amount to forty-two million six million five hundred and forty-five thousand six hundred and thirty-eight dollars; of which the amount exported was eight million eleven thousand one hundred and fifty-eight dollars, leaving one hundred and thirty-eight million five hundred and thirty-four thousand four hundred and eighty dollars in the country for domestic use. The value of the exports for the same period was one hundred and fifty-eight million six hundred and forty-eight thousand six hundred and twenty-two dollars; of which one hundred and fifty million six hundred and thirty-seven thousand four hundred and sixty-four dollars consisted of domestic productions, and eight million eleven thousand one hundred and fifty-eight dollars of foreign articles. The receipts into the treasury for the same period amounted to twenty-six million three hundred and forty-six thousand seven hundred and ninety dollars and thirty-seven cents, of which there was derived from customs, twenty-three million seven hundred and forty-seven thousand eight hundred and sixty-four dollars and sixty-six cents; from sales of public lands, two million four hundred and ninety-eight thousand three hundred and thirty-five dollars and twenty cents; and from incidental and miscellaneous sources, one hundred thousand five hundred and seventy dollars and fifty-one cents. The last fiscal year during which this amount was received embraced five months under the operation of the tariff act of 1842, and seven months during which the tariff act of 1846 was in force. During the five months under the act of 1842, the amount received from customs was seven million eight hundred and forty-two thousand three hundred and six dollars and ninety cents, and during the seven months under the act of 1846, the amount received was fifteen million nine hundred and five thousand five hundred and fifty-seven dollars and seventy-six cents. The net revenue from customs during the year ending on the first of December, 1846, being the last year under the operation of the tariff act of 1842, was twenty-two million nine hundred and seventy-one thousand four hundred and three dollars and ten cents; and the net revenue from customs during the year ending on the first of December, 1847, being the first year under the operation of the tariff act of 1846, was about thirtyone million five hundred thousand dollars; being an increase of revenue for the first year under the eight hundred and eighty-six thousand five hundred and forty-five dollars and eighty cents, of which thirty-one million, it is estimated, will be derived from customs; three million five hundred thousand from the sale of the public lands; four hundred thousand from incidental sources, including sales made by the Solicitor of the Treasury; and six million two hundred and eighty-five thou sand two hundred and ninety-four dollars and fiftyfive cents from loans already authorized by law, which, together with the balance in the treasury on the first of July last, make the sum estimated. The expenditures for the same period, if peace with Mexico shall not be concluded, and the army shall be increased as is proposed, will amount, including the necessary payments on account of principal and interest of the public debt and treasury notes, to fifty-eight million six hundred and fifteen thousand six hundred and sixty dollars and seven cents. On the first of the present month, the amount of the public debt actually incurred, including treasu. ry notes, was forty-five million six hundred and fif ty-nine thousand six hundred and fifty-nine dollars and forty cents. The public debt due on the fourth of March, 1845, including treasury notes, was sev、 enteen million seven hundred and eighty-eight thousand seven hundred and ninety-nine dollars and sixty-two cents; and consequently the addition made to the public debt since that time is twenty. seven million eight hundred and seventy thousand eight hundred and fifty-nine dollars and seventy eight cents. Of the loan of twenty-three millions, authorized by the act of the twenty-eighth of January, 1847, the sum of five millions was paid out to the public creditors, or exchanged at par for specie; the re maining eighteen millions was offered for specie to the highest bidder not below par, by an advertise ment issued by the Secretary of the Treasury, and published from the ninth of February until the tenth of April, 1847, when it was awarded to the several highest bidders, at premiums varying from one-eighth of one per cent. to two per cent. above par. The premium has been paid into the treasu ry, and the sums awarded deposited in specie in the treasury as fast as it was required by the wants of the Government. To meet the expenditures for the remainder of the present and for the next fiscal year, ending on the thirtieth of June, 1849, a further loan, in aid DECEMBER, 1847.] The President's Message. [30TH CONG Our commerce is rapidly increasing, and is extending more widely the circle of international ex changes. Great as has been the increase of our imports during the past year, our exports of domestic products sold in foreign markets have been still greater. of the ordinary revenues of the Government, will | burdens which that policy imposed on them; and be necessary. Retaining a sufficient surplus in the our farmers and planters, under a more just and treasury, the loan required for the remainder of liberal commercial policy, are finding new and the present fiscal year will be about eighteen mil- profitable markets abroad for their augmented lion five hundred thousand dollars. If the duty products. on tea and coffee be imposed, and the graduation of the price of the public lands shall be made at an early period of your session, as recommended, the loan for the present fiscal year may be reduced to seventeen millions of dollars. The loan may be further reduced by whatever amount of expenditures can be saved by military contributions col- Our navigating interest is eminently prosperous. lected in Mexico. The most vigorous measures The number of vessels built in the United States for the augmentation of these contributions have has been greater than during any preceding period been directed, and a very considerable sum is ex- of equal length. Large profits have been derived pected from that source. Its amount cannot, how-by those who have constructed as well as by those ever, be calculated with any certainty. It is recommended that the loan to be made be authorized upon the same terms, and for the same time, as that which was authorized under the provisions of the act of the twenty-eighth of January, 1847. Should the war with Mexico be continued until the thirtieth of June, 1849, it is estimated that a further loan of twenty million five hundred thousand dollars will be required for the fiscal year ending on that day, in case no duty be imposed on tea and coffee, and the public lands be not reduced and graduated in price, and no military contributions shall be collected in Mexico. If the duty on tea and coffee be imposed, and the lands be reduced and graduated in price, as proposed, the loan may be reduced to seventeen millions of dollars, and will be subject to be still further reduced by the amount of 'the military contributions which may be collected in Mexico. It is not proposed, however, at present, to ask Congress for authority to negotiate this loan for the next fiscal year, as it is hoped that the loan asked for the remainder of the present fiscal year, aided by military contributions which may be collected in Mexico, may be sufficient. If, contrary to my expectation, there should be a necessity for it, the fact will be communicated to Congress in time for their action during the present session. In no event will a sum exceeding six millions of dollars of this amount be needed before the meeting of the session of Congress in December, 1848. who have navigated them. Should the ratio of increase in the number of our merchant vessels be progressive, and be as great for the future as during the past year, the time is not distant when our tonnage and commercial marine will be larger than that of any other nation in the world. Whilst the interests of agriculture, of commerce, and of navigation, have been enlarged and invig orated, it is highly gratifying to observe that our manufactures are also in a prosperous condition. None of the ruinous effects upon this interest which were apprehended by some, as the result of the operation of the revenue system established by the act of 1846, have been experienced. On the contrary, the number of manufactories, and the amount of capital invested in them, is steadily and rapidly increasing, affording gratifying proofs that American enterprise and skill employed in this branch of domestic industry, with no other advantages than those fairly and incidentally ac cruing from a just system of revenue duties, are abundantly able to meet successfully all competition from abroad, and still derive fair and remunerating profits. While capital invested in manufactures is yielding adequate and fair profits under the new sys tem, the wages of labor, whether employed in manufactures, agriculture, commerce or navigation, have been augmented. The toiling millions, whose daily labor furnishes the supply of food and raiment, and all the necessaries and comforts of life, are receiving higher wages, and more steady and permanent employment, than in any other country, or at any previous period of our own history. The act of the thirtieth of July, 1846, "reducing the duties on imports," has been in force since the first of December last; and I am gratified to state, that all the beneficial effects which were anticipated from its operation have been fully realized. So successful have been all branches of our inThe public revenue derived from customs during dustry, that a foreign war, which generally diminthe year ending on the first of December, 1847, ex-ishes the resources of a nation, has in no essential ceeds by more than eight millions of dollars the amount received in the preceding year under the operation of the act of 1842, which was superseded and repealed by it. Its effects are visible in the great and almost unexampled prosperity which prevails in every branch of business. While the repeal of the prohibitory and restrictive duties of the act of 1842, and the substitution in their place of reasonable revenue rates levied on articles imported according to their actual value, has increased the revenue and augmented our foreign trade, all the great interests of the country have been advanced and promoted. The great and important interests of agriculture, which had been not only too much neglected, but actually taxed under the protective policy for the benefit of other interests, have been relieved of the degree retarded our onward progress, or checked our general prosperity. With such gratifying evidences of prosperity, and of the successful operation of the revenue act of 1846, every consideration of public policy recommends that it shall remain unchanged. It is hoped that the system of impost duties which is established may be regarded as the permanent policy of the country, and that the great interests af fected by it may not again be subject to be injuri ously disturbed, as they have heretofore been, by frequent and sometimes sudden changes. For the purpose of increasing the revenue, and without changing or modifying the rates imposed by the act of 1846 on the dutiable articles embraced by its provisions, I again recommend to your favorable consideration the expediency of |