[Marginal note:  “This recommendation is excellent, and I have therefore signed the decree.  I shall also endorse all that you shall say in regard to it in the Council, and what the members thereof shall approve:”]

Decree Regarding Chinese Trade

The King:  To the Marques de Villamanrrique, my kinsman, and viceroy, governor, and captain-general of Nueva Espana. [55] Having understood that the silks brought from China and the Philipinas Islands to your realms are quite worthless, but that nevertheless, because of the low price set upon them, they are sold and distributed; and because, if that trade continues, the trade in cloth exported from these realms would cease or be greatly decreased; and also that these silks, like other articles brought thence (all of which are of trifling value, and of no profit to the country), are bartered only for gold, silver, or coin, for there is abundance of everything else there—­a matter, too, of considerable importance, both on account of the large amount that is withdrawn and would be withdrawn for the benefit of a foreign kingdom, and because these kingdoms [Spain and Portugal] lose that whole amount, their trade being more profitable for the common good, on account of the excellence of its wares, which in their lasting qualities more than make up for the difference in price; neither is this the best means for the settlement of the said islands, since they serve only as a lading-station for this trade, and it proves a hindrance to the settlers by being of no assistance in whatever concerns their permanence and fixed residence:  therefore, having carefully considered this as well as other inconveniences set forth, it has seemed best to discontinue this trade with the Philipinas Islands and China, since, even besides the aforesaid, it has evidently caused delay in despatching the fleets, as must be the case if this sort of cargo continues to diminish.  Since the present is a fitting occasion to furnish a remedy, as so important a matter demands, I order you—­after considering the aforesaid points and others of which you may be advised (since the matter is a current one), and difficulties that might arise, if you find, to the contrary, no others so important as to overbalance them—­to give orders that there be no further trade or importation of the said merchandise and Chinese wares to that land for the purpose of sale.  You will have the merchants engaged in this commerce advised and notified of this decree.  You will provide for its public proclamation, indicating the penalty to be incurred by those who bring in contraband goods.  If you find in the execution thereof such special difficulties, as above-mentioned, as oblige you to desist, you will inform me of what occurs, together with your opinion, taking in the meantime such measures as shall seem to you most advisable.  Given at Sant Lorenco, on the nineteenth of June in the year one thousand five hundred and eighty-six.