ABSTRACT
The factories were located outside the city walls of Guangzhou and combined the functions of trading post, warehouse, and living quarters. Although foreign merchants chafed at the restrictions on their movement and autonomy, the Canton trade was extremely lucrative for Chinese and European merchants alike. Opium, a highly addictive narcotic that was small in bulk, but high in value, proved to be the solution to Europe's trade dilemma. The reverse flow of silver and rising number of addicts caused alarm within the Qing court and bureaucracy, prompting a search for solutions to the opium problem. The task of eradicating the opium trade was daunting because it not only involved dealing with foreign merchants, but also in fighting native vested interests, including sellers, buyers, and users of the drug as well as the officials charged with its interdiction. The political unraveling of the Qing dynasty at the hands of the imperialist powers led to increased calls for change.
