Fate of British and French Firms in China, 1949-54

This book takes a somewhat different view of international or diplomatic history by concentrating on the more profound elements of Sino-foreign relations, namely the economic and the commercial, especially with regard to Britain and France. The immediate post-revolutionary period in China is viewed here in the wider context of Britain and France's post-imperial decline and expressions such as 'imperialism imprisoned' and 'captive capitalism' are some new and interchangeable terms employed in this context. During the early 1950s, unofficial representatives of the former imperial powers such as local managers of major firms located in China, found themselves at grave personal risk, with some experiencing imprisonment owing to the authorities policies regarding their companies. The hardships suffered by these individuals under the new regime serve as symbols of the unprecedented difficulties experienced by foreign companies active in China at the same time. Behind China's treatment of foreign concerns lay the desire to secure a considerable source of income and to gain control over the substantial assets built up by foreign companies over many years. In contrast to the traditional interpretation that Chinese policies regarding the old imperial powers involved nationalization of foreign companies through the expropriation of their property, this study shows that almost no such practice took place. Rather, instances of appropriation only occurred following an indirect, subtle and protracted process. It is precisely because of the uniqueness of the process and its relative long duration that the new regime in China succeeded in achieving its goals, perhaps even exceeding hem. This study is based on hitherto inaccessible public, private and company archives in Britain, France and China.