[Prohibition of China trading.] The first amount was afterwards increased to $300,000, with a proportionate augmentation of the return freight; but the Spanish were forbidden to visit China, so that they were obliged to await the arrival of the junks. Finally, in 1720, Chinese goods were strictly prohibited throughout the whole of the Spanish possessions in both hemispheres. A decree of 1734 (amplified in 1769) once more permitted trade with China, and increased the maximum value of the annual freightage to Acapulco to $500,000 (silver) and that of the return trade to twice the amount.
[Higher limit on suspension of galleon voyages.] After the galleons to Acapulco, which had been maintained at the expense of the government treasury, had stopped their voyages, commerce with America was handled by merchants who were permitted in 1820, to export goods up to $750,000 annually from the Philippines and to visit San Blas, Guayaquil and Callao, besides Acapulco.
[ British occupation inspired new wants.] This concession, however, was not sufficient to compensate Philippine commerce for the injuries it suffered through the separation of Mexico from Spain. The possession of Manila by the English, in 1762, made its inhabitants acquainted with many industrial products which the imports from China and India were unable to offer them. To satisfy these new cravings Spanish men-of-war were sent, towards the close of 1764, to the colony with products of Spanish industries, such as wine, provisions, hats, cloth, hardware, and fancy articles.
[Manila oppositions to trade innovations.] The Manila merchants, accustomed to a lucrative trade with Acapulco, strenuously resisted this innovation, although it was a considerable source of profit to them, for the Crown purchased the Indian and Chinese merchandise for its return freights from Manila at double their original value. In 1784, however, the last of these ships arrived.
[Subterfuges of European traders.] After the English invasion, European vessels were strictly forbidden to visit Manila; but as that city did not want to do without Indian merchandise, and could not import it in its own ships, it was brought there in English and French bottoms, which assumed a Turkish name, and were provided with an Indian sham-captain.