Continental System: Difference between revisions

Latest revision as of 19:57, 11 December 2023

System of naval blockade used during the Napoleonic War.

The Creation of the Continental System At first, the British took all French and Dutch ships in British ports and controlled the trade with neutral continental states, finally set a blockade of the Elbe and Weser rivers between June and July 1803. This blockade was an enclosure of the German cities followed by an extension to all French parts and the North sea. In response, France enforced policies to limit British trade with the continent through negotiating political coalitions. Their aim was to impose tariffs upon British exports and enforcement of other types of constraint. Napoleon did not hesitate to react: He placed two military blockades along the European coasts including the route between Brest to the Elbe river and from Ostend to the mouth of the Seine. The decisive turning point of this economic embargo was the installment of the sea blockade by Napoleon in 1806. The Berlin Decree issued in 1806 stipulated the prohibition of all trade activities with Britain, all British persons in French areas were henceforth prisoners of war, all trade in British goods was no longer allowed and all British goods must be offered at fair prize, and British ships were forbidden to call at continental ports. Yet the British did not comply with these restrictions and therefore enforced laws aiming at tightening the blockade of France and thereby regulating the trade of British enemies with their colonies. Furthermore, they brought forward constraint of French maritime trade with neutrals. The so-called First Order of Council forced neutral ships to call at British ports before proceeding to the continent.

Intentions of the Economic Warfare

These artificially created trade barriers brought about severe economic repercussions on both sides. The French system of blockade is quite often represented as "self-blockade" as it equalled more or less a tariff and quota system to restrict British exports by isolating it from the rest of continental Europe. After all, the measures of Napoleon were supposed to lower British exports and simultaneously increase its imports. Britain's Exchequer and overall economy was to be weakened by forcing it into foreign expenditure. This policy was aimed at reducing British revenues and outflowing of species. After all, Britain was supposed to not have any means to fund continental nations to lure them into an alliance against France. In the long run, Britain's specie supply was supposed to be cut and France's industrialization boosted. With regards to the objectives of the respective war parties, France was willing to maintain a continental alliance by military force and economic agreement and simultaneously, as mentioned before, wanted to expand its industry. Vice versa, the British wanted to remain powerful in economic and military terms by paying subsidies to draw continental nations away from French impact.

Implications

These economic conflicts did not only concern Britain, France or continental Europe, but also the United States. Since the US felt offended by the measures taken against continental Europe, they interfered, which brought about the Anglo-American War in 1812. The Jefferson Embargo of 1807 was issued in response to the continental policy carried out by the British and forbade any ship of belligerent parties who had taken measures against neutrals to call at America's ports. And he forbade American ships to leave these ports. After that, the proportion of grain from the US was in decline, it amounted to a twentieth of the proportion imported in 1807, bread prices rose significantly and the country was driven into a manufacturing crisis. In return, goods from the British colonies did not reach the US or the European continent. In general, the naval blockade paid off for France. In 1805 11841 cargoes of naval timber called at Britain's ports, whereas the proportion decreased to 27 ships in 1808 [this needs a source]. Simultaneously, the price for imported wood increased significantly. Due to the aforementioned low salaries and high bread prices due to lack of grain, dissatisfaction grew across England accompanied by waves of uprisings and strikes in many industrial areas, such as Manchester. Napoleon's aim to strike against British exports did, at least to some extent, pay off: British exports still accounting for 37 per cent in 1805, decreased to 25 per cent by 1808 [this needs a source]. The rate of growth of British exports during the years 1902-1814 fell from 6.4 per cent to 3.1 per cent per annum. Even the rate of imports declined form 5.4 per cent to 1.2 per cent during the same time span [source?]. However, British exports of cotton textiles increased and the Levant, Brazil and Spanish colonies were installed as new market for compensation. Besides, inflation struck the continent hard, such as the French hinterlands. France was also suffering from increasing prices for raw materials which were needed for manufacturing. Simultaneously, as in Britain the cotton textile industry was rising apart from chemicals and beet sugar production. France was thus equally affected by the aforementioned strategies.

Sources:

Davis, Lance E., and Stanley L. Engerman. Naval Blockades in Peace and War. An Economic History since 1750. Cambridge University Press, 2006.

Esdaile, Charles. "Britain and the Napoleonic Wars." The Practice of Strategy: From Alexander the Great to the Present, edited by Gray, Colin S. and John Andreas Olsen, Oxford University Press, 2011, pp. 176-195.

Lefebvre, [First Name?]. Napoleon. Routledge, 2010.

@@ Line 1: / Line 1: @@
-The Continental System
+System of naval blockade used during the Napoleonic War.
-The Political Prelude
+'''The Creation of the Continental System
+'''
+At first, the British took all French and Dutch ships in British ports and controlled the trade with neutral continental states, finally set a blockade of the Elbe and Weser rivers between June and July 1803. This blockade was an enclosure of the German cities followed by an extension to all French parts and the North sea. In response, France enforced policies to limit British trade with the continent through negotiating political coalitions. Their aim was to impose tariffs upon British exports and enforcement of other types of constraint. Napoleon did not hesitate to react: He placed two military blockades along the European coasts including the route between Brest to the Elbe river and from Ostend to the mouth of the Seine. The decisive turning point of this economic embargo was the installment of the sea blockade by Napoleon in 1806. The Berlin Decree issued in 1806 stipulated the prohibition of all trade activities with Britain, all British persons in French areas were henceforth prisoners of war, all trade in British goods was no longer allowed and all British goods must be offered at fair prize, and British ships were forbidden to call at continental ports. Yet the British did not comply with these restrictions and therefore enforced laws aiming at tightening the blockade of France and thereby regulating the trade of British enemies with their colonies. Furthermore, they brought forward constraint of French maritime trade with neutrals. The so-called First Order of Council forced neutral ships to call at British ports before proceeding to the continent.
-Prior to elaborating on the peculiarities and implications of the Napoleonic continental system and the naval blockade, it may appear intriguing to shed the light upon its beginnings. From the late 17th century to the ending of the Napoleonic Wars in 1815, France's and Britain's warfares accounted for 50 per cent of the time's wars. Between March 1802 and May 1803 France and Britain were seeking to claim ascendancy in Europe. Both countries were searching for allies whether by military force or by cash subsidy. In order to attain these objectives, they mutually enforced restrictions upon commerce and trade through tariffs and blockades, which affected the European power equilibrium and the domestic respective economies. Both the Continental System and the naval blockades put forward by the British rested upon mercantile principles, which are worth examining in the following. The main problem of Napoleonic France was that its fleet was simply outnumbered by British ships, hence, there was the need to initiate naval blockades and trade restrictions which also pertained to the other European nations on the continent.
+'''Intentions of the Economic Warfare'''
-The Creation of the Continental System
+These artificially created trade barriers brought about severe economic repercussions on both sides. The French system of blockade is quite often represented as "self-blockade" as it equalled more or less a tariff and quota system to restrict British exports by isolating it from the rest of continental Europe. After all, the measures of Napoleon were supposed to lower British exports and simultaneously increase its imports. Britain's Exchequer and overall economy was to be weakened by forcing it into foreign expenditure. This policy was aimed at reducing British revenues and outflowing of species. After all, Britain was supposed to not have any means to fund continental nations to lure them into an alliance against France. In the long run, Britain's specie supply was supposed to be cut and France's industrialization boosted. With regards to the objectives of the respective war parties, France was willing to maintain a continental alliance by military force and economic agreement and simultaneously, as mentioned before, wanted to expand its industry. Vice versa, the British wanted to remain powerful in economic and military terms by paying subsidies to draw continental nations away from French impact.
-At first, the British took all French and Dutch ships in British ports and controlled the trade with neutral continental states, finally set a blockade of the Elbe and Weser rivers between June and July 1803. This blockade was an enclosure of the German cities followed by an extension to all French parts and the North sea. In response, France enforced policies to limit British trade with the continent through negotiating political coalitions. Their aim was to impose tariffs upon British exports and enforcement of other types of constraint. Napoleon did not hesitate to react: He placed two military blockades along the European coasts including the route between Brest to Elbe river and from Ostend to the mouth of Seine. The decisive turning point of this economic embargo was the installment of the sea blockade by Napoleon in 1806. The Berlin Decree issued in 1806 stipulated the prohibition of all trade activities with Britain, all British persons in French areas were henceforth prisoners of war, all trade in British goods was no longer allowed and all British goods must be offered at fair prize, and British ships were forbidden to call at continental ports. Yet, the British did not comply with these restrictions and therefore enforced laws aiming at tightening the blockade of France and thereby regulating the trade of British enemies with their colonies. Furthermore, they brought forward constraint of French maritime trade with neutrals. The so-called First Order of Council forced neutral ships to call at British ports before proceeding to the continent.
+'''Implications'''
-Intentions of the Economic Warfare
+These economic conflicts did not only concern Britain, France or continental Europe, but also the United States. Since the US felt offended by the measures taken against continental Europe, they interfered, which brought about the Anglo-American War in 1812. The Jefferson Embargo of 1807 was issued in response to the continental policy carried out by the British and forbade any ship of belligerent parties who had taken measures against neutrals to call at America's ports. And he forbade American ships to leave these ports. After that, the proportion of grain from the US was in decline, it amounted to a twentieth of the proportion imported in 1807, bread prices rose significantly and the country was driven into a manufacturing crisis. In return, goods from the British colonies did not reach the US or the European continent. In general, the naval blockade paid off for France. In 1805 11841 cargoes of naval timber called at Britain's ports, whereas the proportion decreased to 27 ships in 1808 [this needs a source]. Simultaneously, the price for imported wood increased significantly. Due to the aforementioned low salaries and high bread prices due to lack of grain, dissatisfaction grew across England accompanied by waves of uprisings and strikes in many industrial areas, such as Manchester. Napoleon's aim to strike against British exports did, at least to some extent, pay off: British exports still accounting for 37 per cent in 1805, decreased to 25 per cent by 1808 [this needs a source]. The rate of growth of British exports during the years 1902-1814 fell from 6.4 per cent to 3.1 per cent per annum. Even the rate of imports declined form 5.4 per cent to 1.2 per cent during the same time span [source?]. However, British exports of cotton textiles increased and the Levant, Brazil and Spanish colonies were installed as new market for compensation. Besides, inflation struck the continent hard, such as the French hinterlands. France was also suffering from increasing prices for raw materials which were needed for manufacturing. Simultaneously, as in Britain the cotton textile industry was rising apart from chemicals and beet sugar production. France was thus equally affected by the aforementioned strategies.
-These measures had particular intentions which need examining. These artificially created trade barriers brought about severe economic repercussions on both sides. The French system of blockade is quite often represented as "self-blockade" as it equalled more or less a tariff and quota system to restrict British exports by isolating it from the rest of continental Europe. After all, the measures of Napoleon were supposed to lower British exports and simultaneously increase its imports. Britain's Exchequer and overall economy was to be weakened by forcing it into foreign expenditure. This policy was aimed at reducing British revenues and outflowing of species. After all, Britain was supposed to not have any means to fund continental nations to lure them into an alliance against France. In the long run, Britain's specie supply was supposed to be cut and France's industrialization boosted. With regards to the objectives of the respective war parties, France was willing to maintain a continental alliance by military force and economic agreement and simultaneously, as mentioned before, wanted to expand its industry. Vice versa, the British wanted to remain powerful in economic and military terms by paying subsidies to draw continental nations away from French impact.
+Sources:
-Implications
+Davis, Lance E., and Stanley L. Engerman. ''Naval Blockades in Peace and War. An Economic History since 1750''. Cambridge University Press, 2006.
-These economic conflicts did not only concern Britain, France or continental Europe, but also the U.S. Since the U.S. felt offended by the measures taken against continental Europe, they interfered, which brought about the Anglo-American War unleashed in 1812. The Jefferson-Embargo of 1807 was issued in response to the continental policy carried out by the British and forbade any ship of belligerent parties who had taken measures against neutrals to call at America's ports. And he forbade American ships to leave these ports. After that, the proportion of grain from the US was in decline, it amounted to a twentieth of the proportion imported in 1807, bread prices rose significantly and the country was driven into a manufacturing crisis. In return, goods from the British colonies did not reach the US or the European continent. In general, the naval blockade paid-off for France. In 1805 11841 cargoes of naval timber called at Britain's ports, whereas the proportion decreased to 27 ships in 1808. Simultaneously, the price for imported wood increased significantly. Due to the aforementioned low salaries and high bread prices due to lack of grain, dissatisfaction grew across England accompanied by waves of uprising and strikes in many industrial areas, such as Manchester. Napoleon's aim to strike against British exports did, at least to some extent, pay-off: British exports still accounting for 37 per cent in 1805, decreased to twenty five per cent by 1808. The rate of growth of British exports during the years 1902-1814 fell from 6,4 per cent to 3,1 per cent per annum. Even the rate of imports declined form 5,4 per cent to 1.2 per cent during the same time span. However, British exports of cotton textiles increased and the Levant, Brazil and Spanish colonies were installed as new market for compensation. Besides, inflation struck the continent hard, such as the French hinterlands. France was also suffering from increasing prices for raw materials which were needed for manufacturing. Simultaneously, as in Britain the cotton textile industry was rising apart from chemicals and beet sugar production. France was thus equally affected by the aforementioned strategies.
+Esdaile, Charles. "Britain and the Napoleonic Wars." ''The Practice of Strategy: From Alexander the Great to the Present'', edited by Gray, Colin S. and John Andreas Olsen, Oxford University Press, 2011, pp. 176-195.
-Sources:
+Lefebvre, [First Name?]. ''Napoleon''. Routledge, 2010.
-Davis, Lance E., and Stanley L. Engerman. ''Naval Blockades in Peace and War. An economic history since 1750''. Cambridge University Press, 2006.
-Esdaile, Charles. "Britain and the Napoleonic Wars." ''The Practice of Strategy: From Alexander the Great to the Present'', edited by Gray, Colin S. and John Andreas Olsen, Oxford University Press, 2011, pp. 176-195.
-Lefebvre. ''Napoleon''. Routledge, 2010.