The causes which led in 1866 to the repeal of a treaty so advantageous to the United States have been long well understood. The commercial classes in the eastern and western states were, on the whole, favourable to an enlargement of the treaty; but the real cause of its repeal was the prejudice in the northern states against Canada on account of its supposed sympathy for the confederate states during the Secession war. A large body of men in the north believed that the repeal of the treaty would sooner or later force Canada to join the republic; and a bill was actually introduced in the house of representatives providing for her admission—a mere political straw, it is true, but showing the current of opinion in some quarters in those days. When we review the history of those times, and consider the difficult position in which Canada was placed, it is remarkable how honourably her government discharged its duties of a neutral between the belligerents. In the case of the raid of some confederate refugees in Canada on the St. Alban’s bank in Vermont, the Canadian authorities brought the culprits to trial and even paid a large sum of money in acknowledgment of an alleged responsibility when some of the stolen notes were returned to the robbers on their release on technical grounds by a Montreal magistrate. It is well, too, to remember how large a number of Canadians fought in the union armies—twenty against one who served in the south. No doubt the position of Canada was made more difficult at that critical time by the fact that she was a colony of Great Britain, against whom both north and south entertained bitter feelings by the close of the war; the former mainly on account of the escape of confederate cruisers from English ports, and the latter because she did not receive active support from England. The north had also been much excited by the promptness with which Lord Palmerston had sent troops to Canada when Mason and Slidell were seized on an English packet on the high seas, and by the bold tone held by some Canadian papers when it was doubtful if the prisoners would be released.
Before and since the union, the government of Canada has made repeated efforts to renew a commercial treaty with the government at Washington. In 1865 and 1866, Canadian delegates were prepared to make large concessions, but were reluctantly brought to the conclusion that the committee of ways and means in congress “no longer desired trade between the two countries to be carried on upon the principle of reciprocity.” In 1866 Sir John Rose, while minister of finance, made an effort in the same direction, but he was met by the obstinate refusal of the republican party, then as always, highly protective.