Jefferson's trade embargo
The Jefferson Trade Embargo from 1806 to 1810 included a variety of laws restricting trade between the United States and the rest of the world. The then American President Thomas Jefferson aimed this trade blockade mainly in the United Kingdom of Great Britain and Ireland and France .
At that time the states of Europe were at war (compare coalition wars ). The United States was considered a neutral nation in this war. Nevertheless, ships sailing under the American flag were searched by British and French warships and in some cases also hijacked. After George Washington in the Citizen-Genêt affair and John Adams in the XYZ affair had averted wars with the United Kingdom and France, respectively, Jefferson did not respond to these attacks with an immediate declaration of war, but tried to introduce a trade embargo on Great Britain and force France to respect the neutrality of the United States.
The embargo laws were gradually modified over the years 1806–1810 due to their errors and loopholes. However, the desired positive effect of a trade embargo did not materialize, and as a result, the United States under President James Madison declared war on Great Britain in 1812 (compare British-American War ).
initial situation
In 1792 war broke out between France and Austria . This war lasted (with two short interruptions) from 1792 to 1815 and over time it included all of Europe. In this war, the naval superiority of the British navy quickly became apparent, especially France and its allies from the oceans. This displacement of France as a trading nation and the concentration of Europe on mutual disputes meant that American merchant shipping became increasingly important. Groceries such as wheat , but also leather , tobacco and wool were increasingly being shipped from the United States to Europe . The registered shipping space for foreign trade rose from 123,893 gross registered tonnes in 1789 to 981,000 gross registered tonnes in 1810. In the same period, imports by American ships increased from 17.5 percent to 93 percent and exports by American ships from 30 to 90 Percent.
causes
The violation of American neutrality with regard to the war in Europe and the more difficult American trade with Europe are considered to be the cause of the trade embargo imposed by Jefferson. American maritime law - and with it the neutrality of the United States - were particularly violated by Great Britain.
Desertions from the British Navy
Many British seamen deserted from the British navy and merchant navy at the time of the coalition wars. The main reason for these desertions was poor treatment and payment on British ships. The British seafarers who had fled were mostly hired on American ships, since the United States had had a seaman's code since 1790, which stipulated that captains should treat and pay their crew well and that disregard was a punishable offense. In return, the seafarers were also bound by these seaman's rules, so if they left the ship without permission, their wages were declared forfeit and they were forced to return to board. The further the war progressed in Europe, the greater the number of deserters on the British side. It is assumed that there were around 2,500 deserters annually. According to the British government, the total number of British seamen on American ships in 1812 was around 20,000.
The United States naturalized a large number of these sailors, placing them under the protection of the American Constitution . Great Britain, on the other hand, took the view that these people could not be naturalized into the American system because they could not change their citizenship and would remain English forever. Great Britain had carried out forced recruitment on the world's seas since 1793, that is, deserters were caught during searches on foreign ships and brought back into the British Navy. One reason for these forced recruits was that the navy was increasingly lacking people to manned ships due to the consequences of the war. Ships flying the American flag were searched particularly intensively.
- A British commander stated in 1797:
- Its my duty to keep my Ship manned, and I will do so wherever I find men that speak the same language with me. ( It is my duty to keep my ship manned, and I will do so wherever I find men who speak the same language with me. )
The United States understood this British measure as a violation of American sovereignty, as it was believed that ships sailing under the American flag were also under American protection. Britain, on the other hand, declared that this doctrine did not apply to private shipping and thus claimed the right to search American merchant ships for deserters. Between 1793 and 1812, around 10,000 seamen were forcibly recruited from American ships by the British Navy.
Chesapeakea affair 1807
Main article: USS Chesapeake (1799)
A special event during this period of forced recruitment was the Chesapeake affair, in which the American frigate Chesapeake was attacked by the British warship Leopard off the coast of Virginia . After Commodore Barron of the Chesapeake informed the British captain Salusbury P. Humphreys that he would not allow a search of his ship with regard to deserted sailors, the Leopard opened fire on the Chesapeake . After the Leopard hit the Chesapeake three broadsides, the frigate, which was not prepared for sea combat, was incapable of fighting. Three Chesapeake sailors died as a result of the shelling and 18 others were wounded, including Commodore Barron.
Due to the incapacity to fight, British crew members were now able to cross over to the Chesapeake without any problems and search them for deserters. Four alleged deserters were found, who were then immediately brought to the Leopard . However, only one of these captured people was a British-born seaman, the remaining three seamen were born in the United States, but were arrested because they had briefly served in the British Navy.
This attack and the capture of American citizens off the American coast caused great outrage among the people of the United States. A rioting crowd then destroyed water tanks in Lynnhaven Bay, which were used to replenish the reserves of British ships. In addition, President Thomas Jefferson banned British warships from entering American waters and demanded reparations for the attack on the Chesapeake.
British blockades and French decrees
Not only Great Britain, but also France violated American rights in maritime trade at this time. Napoleon Bonaparte issued several decrees in which he forbade trade with Great Britain and its allies. These decrees were each tightening of the continental block that Napoleon Bonaparte had imposed on Great Britain. They were each seen as a response to Great Britain's declaration to impose a sea blockade on Europe. So Napoleon Bonaparte reacted to the declaration of the blockade of Europe with the Berlin decree a continental blockade and due to the tightening of the sea blockade by Great Britain he issued the Milan decree .
Both developments, the British naval blockade as well as the French decrees, increasingly violated American trade rights, as free trade was no longer possible.
course
The Non-Importation Act
In May 1806, Great Britain issued a sea blockade from the Elbe to Brest , to which Napoleon Bonaparte responded with the Berlin decree on November 21, 1806, in which he declared all British ports to be closed.
On April 18, 1806, the Non-Importation Act was passed in the American Congress. This law stipulated that various British goods could no longer be imported into the United States as long as they carried out compulsory recruitment on American ships and thus violated American sovereignty and neutrality on the high seas. However, this law was not to come into force until November 1806, as the British side wanted to be given the opportunity to negotiate the forced recruitment, which was ongoing at that time, and thus limit it. However, these negotiations failed, so that on November 15, 1806 the Non-Importation Act came into force.
This was President Thomas Jefferson's first attempt to resolve the conflict with Great Britain nonviolently and economically.
The Embargo Act
Great Britain tightened the sea blockade in January 1807, made free trade with France and its allies and all Great Britain's opponents of war criminalized and threatened the confiscation of ships and goods. Neutral nations should first call at British ports and pay customs duties on their goods there; only then were they allowed to call at other ports. Napoleon Bonaparte responded with the Milanese decree authorizing all ships that obeyed these British rules for capture.
The attack on the Chesapeake off the coast of Virginia on June 22, 1807 was one of the main triggers for the following embargo laws.
On December 18, 1807, the United States Senate passed the Embargo Act , which replaced the Non-Importation Act . From now on, not only was trade with Great Britain restricted, but all American ports were also closed to foreign trade. When the law came into force on December 22nd, 1807, American ships were only allowed to trade on the coast . From then on, the United States was empowered to confiscate the ships and cargo of those law breakers who trafficked with other nations.
In addition, as a preventive measure, security in the amount of twice the amount of ship and freight had to be deposited for any later disputes.
The tightening of the embargo act
The Embargo Act was tightened on January 9, 1808 with further provisions that were anchored in the so-called Supplementary Act. For example, loopholes have been plugged because until now coastal ships, fishing boats and whalers have not had to provide a double security of their value.
In March 1808 the rules of the Embargo Act were tightened further, so at that time all exports of all kinds of goods, both by land and by sea, were banned. Furthermore, President Jefferson was given further authority to decide on exceptions to export and import.
Another change was made later (known as the Enforcement Act). According to this, only licensed ships were allowed to conduct coastal trade. These ships also had to carry papers about their cargo at all times, indicating the place of origin and destination of this cargo. The American ports were authorized to confiscate the cargo if the provisions of the embargo were violated.
The repeal of the embargo act
After the provisions of the Embargo Act had been circumvented several times and a broad opposition to President Thomas Jefferson had formed, he finally repealed the Embargo Act on March 1, 1809 and replaced it with the Non-Intercourse Act. As a result, trade in all countries and goods with the exception of the warring states Great Britain and France and their colonies was allowed again. However, the United States left the option to both countries to lift these restrictions on them as soon as they would again accept American law of the sea.
On May 1, 1810, Macon Bill No. 2 enacted under the new President James Madison . Accordingly, all restrictions on Great Britain and France will be lifted if they should declare by March 3, 1811 that they will respect American neutrality rights. In the event of non-repeal, the provisions of the Non-Intercourse Act should then apply again to that country. Napoleon Bonaparte immediately declared (August 5, 1810) that his decrees had been repealed, but continued to confiscate and hijack American ships. Great Britain, however, paid no heed to this call.
Effects of the embargo
Impact on the United States
The consequences for the United States of the embargo laws were clearly felt by the citizens. The cessation of shipping led to higher unemployment among seafarers, and around 30,000 seafarers became unemployed because of the trade restrictions. Overall, unemployment rose by 100,000 as a result of the embargo.
On the other hand, the American economy had to accept a decline in the price of those products that were usually exported to Europe. This was due to the fact that the farmers were not able to sell their goods such as wheat, wool and tobacco to merchants, since they could no longer export to Europe. As a result, goods for which there was no longer a sufficient market were increasingly collecting in the farmers' camps.
Here is a comparison of the goods particularly affected by the embargo laws:
| Well | Price 1807 | Price 1808 |
|---|---|---|
| Wheat (price per bushel) | 1.33 | 1.00 |
| Wool (price per pound ) | 0.21 | 0.14 |
| Tobacco (price per hundredweight ) | 6.75 | 3.25 |
The American ports and the companies associated with them were particularly hard hit by the embargo. For example, American fishing companies had to accept losses in exports of dried and smoked fish because of the embargo . Here, too, the reason, as with the farmers, was the lack of opportunity for merchants to ship goods to Europe. The export of these goods decreased from 473,000 quintals in 1807 to 155,000 quintals in 1808. Another example is the number of sailing ships registered in the United States . After continuous growth in previous years, the number in 1808 fell again to 1,242 ships for the first time. In 1809, the number of registered ships jumped to 1,350 due to the dissolution of the embargo laws and the now again permitted trade with foreign ports.
The consequences for all foreign trade in the period before and after the embargo laws were:
- American exports fell from $ 108,343,150 in 1807 to $ 22,430,960 in 1808.
- American imports fell from $ 138,500,000 in 1807 to $ 56,990,000 in 1808.
- Customs revenues fell from $ 16,000,000 in 1807 to a few thousand dollars in 1808.
The embargo laws damaged the American economy, but did not ruin it completely. One of the reasons for this was that the US Treasury had a surplus of 17 million dollars in 1807, which meant that the consequences could be cushioned. The dealers were also able to overcome the losses from the embargo. These had made high profits in previous years and now had to accept lower prices for export goods, but this could be compensated for by a rise in prices for imported goods that were still held in the merchants' warehouse.
Consequences for Europe
The embargo was far less effective on the British side than on the American one. The Embargo Act mainly affected British manufacturers that processed American wool and tobacco . These now had to adjust to products from other countries or to close some of their operations.
However, these losses could be limited by the fact that the British were now increasingly able to conduct maritime trade with the rest of European countries, since American merchants were prohibited from trading with the rest of the world by the Embargo Act. For example, Great Britain was able to take over almost all of its trade with Spain and its colonies from the United States. In addition, British merchant ships hardly had to fear French attacks at sea, since Great Britain ruled the waters of Europe at that time.
In 1808, Great Britain also benefited from a rich harvest. As a result, the loss of American wheat deliveries could be offset by this harvest. There were no food shortages for the British population.
The embargo also had almost no effect on the French side. Napoleon Bonaparte even welcomed the embargo laws, hoping that they would weaken Britain and that British-American relations would deteriorate and that he could gain an advantage from them in the ongoing war.
Errors in the embargo policy
It is believed that Jefferson's embargo on Europe could well have had a greater impact if it had been of a longer duration. Because rising food prices and falling sales of industrial goods on the British side would have forced the government to change maritime policy towards the United States. One of the mistakes of the embargo policy under Jefferson was, among other things, to close all American ports to all foreign trade. On the one hand, the black market by American traders was promoted, on the other hand, trading with other European nations besides France and Great Britain was also canceled. An embargo that would only have excluded trade with the two warring parties could have done far less damage to the American economy than a complete closure of American ports, as trade could still have been carried out.
literature
- Henry Adams: History of the United States of America during the administrations of Thomas Jefferson . 5th edition. Literary Classics of the United States, New York 1986, ISBN 0-940450-34-8 .
- Harold Underwood Faulkner: History of the American Economy . 1st edition. Econ-Verlag, Düsseldorf 1957.
- Howard Jones: The course of American diplomacy . 2nd Edition. Dorsey Press, Chicago 1988, ISBN 0-256-06088-6 .
- Dumas Malone: Jefferson the president (= Jefferson and his time. Volume 5). 1st edition. Little, Brown and Company, Boston 1974, ISBN 0-316-54465-5 .
- Brian R. Mitchell, International historical statistics: the Americas 1750-1988 . 2nd Edition. Macmillan [u. a.], Basingstoke 1993, ISBN 0-333-58515-1 .
- Curtis Putnam Nettels: The emergence of national economy . 1st edition. Sharpe, Armonk 1989, ISBN 0-87332-096-4 .
Individual evidence
- ↑ Harold Underwood Faulkner: History of the American Economy . 1st edition. Econ-Verlag, Düsseldorf 1957, p. 227.
- ↑ a b Howard Jones: The course of American diplomacy . 2nd Edition. Dorsey Press, Chicago 1988, ISBN 0-256-06088-6 , p. 66.
- ^ Howard Jones: The course of American diplomacy . 2nd Edition. Dorsey Press, Chicago 1988, ISBN 0-256-06088-6 , pp. 66-67.
- ^ A b c Curtis Putnam Nettels: The emergence of national economy . 1st edition. Sharpe, Armonk 1989, ISBN 0-87332-096-4 , p. 328.
- ^ Brian R. Mitchell: International historical statistics: the Americas 1750–1988 . 2nd Edition. Macmillan [u. a.], Basingstoke 1993, ISBN 0-333-58515-1 , p. 228.
- ↑ Harold Underwood Faulkner: History of the American Economy . 1st edition. Econ-Verlag, Düsseldorf 1957, p. 228.
- ^ Howard Jones: The course of American diplomacy . 2nd Edition. Dorsey Press, Chicago 1988, ISBN 0-256-06088-6 , pp. 71-72.
