Chapter XVIII: The Warfare Against Commerce, 1806-1812 (1)

THE BERLIN AND MILAN DECREES OF NAPOLEON, 1806 AND 1807.—THE BRITISH ORDERS IN COUNCIL, 1807-1809.—ANALYSIS OF THE POLICY OF THESE MEASURES OF THE TWO BELLIGERENTS.—OUTLINE OF CONTEMPORARY LEADING EVENTS.

Napoleon's Berlin decree alleged many reasons and contained many provisions; but the essential underlying idea was to crush the commerce of Great Britain by closing the Continent to her products of every kind.[359] The pretext was found in the Order in Council of May 16, 1806, issued by the ministry of Grenville and Fox, putting the coast of the Continent from Brest to the Elbe under blockade. Napoleon asserted that the right to blockade applied only to fortified, not to commercial, ports, which was not true; and further, that the united forces of Great Britain were unable to maintain so extensive an operation, which, if not certainly true, was at least plausible. Retaliating an abuse, if it were one, with a yet greater excess, the Berlin decree began by declaring the British islands blockaded, at a time when the emperor could not keep a ship at sea, except as a fugitive from the omnipresent fleets of his enemy. From this condition of phantom blockade it resulted that all commerce with the British Islands was forbidden; and consequently all merchandise exported from them, having been unlawfully carried, became good prize. Vessels from Great Britain could not be admitted into French ports. Further, as the British refused to surrender the old rule, by which the goods of individual enemies at sea were liable to capture, Napoleon decreed that not only the property of individual Englishmen on the Continent was to be seized, but also that of individual neutrals, if of British origin. The preamble ended with a clause defining the duration of the edict, by which the emperor burned his ships, laying down conditions which Great Britain would never accept until at her last gasp. "The present decree shall be considered as a fundamental principle of the Empire, until England has acknowledged that the law of war is one and the same on the land as on the sea; that it cannot be extended to private property of whatever kind, nor to the person of individuals not in the profession of arms, and that the right of blockade must be restricted to fortified places, actually invested by sufficient forces."

Having launched his missile, Napoleon became at once engaged in the campaign against Russia. The bloody and doubtful battle of Eylau was fought on the 8th of February, 1807, and for the next few months the emperor was too busily engaged, holding on by his teeth on the banks of the Vistula, to superintend the working of his decree.[360] Immediately upon its promulgation in Paris, the American minister demanded an explanation on several points from the Minister of Marine, who replied that he did not understand it to make any alterations in the laws respecting maritime captures, and that an American vessel could not be taken at sea merely on the ground that she was bound to, or coming from, a British port; this he inferred from the fact that such vessels were, by the seventh article, denied admission to French ports.[361] The inference, natural though it was, only showed how elastic and slippery the terms of Napoleon's orders could be. The whole edict, in fact, remained a dead letter until the struggle with Russia was decided. At first, British merchants desisted from sending to the Continent; but, as advices showed that the decree was inoperative, shipments by neutral vessels became as brisk as at any time before, and so continued until August or September, 1807.[362] The battle of Friedland, resulting in the total defeat of the Russian army, was fought on the 14th of June; on the 22d an armistice was signed; and on the 25th Alexander and Napoleon had their first interview upon the raft in the Niemen. On the 8th of July was concluded the remarkable and, to Europe, threatening Treaty of Tilsit. The czar recognized all the new states created by the emperor, and ceded to him the maritime positions of the Ionian Islands, and the mouths of the Cattaro in the Adriatic; in return for which Napoleon acquiesced in Russia's taking Finland from Sweden, and also, under certain conditions, the European provinces of the Turkish Empire as far as the Balkans. A further clause, buried in the most profound secrecy, bound Russia and France to make common cause in all circumstances; to unite their forces by land and sea in any war they should have to maintain; to take arms against Great Britain, if she would not subscribe to this treaty; and to summon, jointly, Sweden, Denmark, Portugal, and Austria to concur in the projects of Russia and France,—that is to say, to shut their ports to England and to declare war against her.[363]

At the time the Berlin decree was issued, negotiations were proceeding in London, between the United States envoys and the British ministry, concerning the several matters in dispute between the two countries; and on the 31st of December, 1806, a commercial treaty was signed by the respective commissioners. The vexed question of the trade between the hostile countries and their colonies was arranged, by a stipulation that goods imported from the colonies to the United States might be re-exported, provided, after deducting the drawback, they had paid full two per cent duties, _ad valorem_, to the Treasury; and that articles coming from the mother countries might likewise be re-shipped to the colonies, provided they remained subject to one per cent duty, after recovering the drawback. These, as well as other features of the treaty, were not acceptable to the United States, and it was not ratified by that government.

Meantime the British ministry had been considering the terms of the Berlin decree, and, instead of waiting to see how far it would become operative, determined to retort by a measure of retaliation. On the 7th of January, 1807, an Order in Council was issued by the Whig ministers, which often returned to plague them in the succeeding years, when they, in opposition, were severely criticising the better known measures of the following November. The January Order, after quoting Napoleon's decree, avowed his Majesty's unwillingness to carry to extremes his undoubted right of retaliation; and therefore, for the present, went no further than to forbid all trade by neutral vessels "from one port to another, both of which ports shall belong to, or be in possession of, France or her allies, or shall be so far under their control as that British vessels may not freely trade thereat."[364] The direct object of this step was to stop the coastwise trade in Europe; its principle was the right of retaliation; in its effect, it was an extension of the prohibition laid by the Rule of 1756. The latter forbade the direct trade between hostile colonies and the mother countries; the order of January, 1807, extended the restriction to trade between any two hostile ports. It bore particularly hard upon American ships, which were in the habit of going from place to place in Europe, either seeking the best markets or gathering a cargo. Under it, "American trade in the Mediterranean was swept away by seizures and condemnations, and that in other seas threatened with the same fate."[365]

Matters were in this state when Napoleon returned to Paris at the end of July, full of his projects against Great Britain, and against neutrals as the abettors of her prosperity. His aims were not limited to crushing her by commercial oppression; in the not distant future he intended to seize the navies of Europe and combine them in a direct assault upon her maritime power. On the 19th of July, while he was still at Dresden, Portugal was notified that she must choose between war with France or with Great Britain; and on the 31st, from Paris, a similar intimation was given to Denmark.[366] To constrain the latter, a corps under Bernadotte was collecting on her frontiers; while another, under Junot, was assembling in the south of France to invade Portugal. But in both countries Napoleon was anticipated by Great Britain. The ministry had received certain information[367] of the secret articles agreed to at Tilsit, and foresaw the danger of allowing the two navies of Denmark and Portugal to fall into the hands of the emperor. Early in August twenty-five sail-of-the-line entered the Baltic, convoying transports with twenty-seven thousand troops; the island on which Copenhagen stands was invested by the ships, and the town itself by the army. The Danish government was then summoned to surrender its fleet into the safe keeping of Great Britain, a pledge being offered that it, and all other maritime equipment delivered, should be held only as a deposit and restored at a general peace. The offer being refused, the city was bombarded from the 2d to the 5th of September, at the expiration of which time the terms demanded were yielded, the British took possession of eighteen sail-of-the-line besides a number of frigates, stripped the dockyards of their stores, and returned to England. The transaction has been visited with the most severe, yet uncalled-for, condemnation. The British ministry knew the intention of Napoleon to invade Denmark, to force her into war, and that the fleet would soon pass into his hands, if not snatched away. They avoided the mistake made by Pitt, in seizing the Spanish frigates in 1804; for the force sent to Copenhagen was sufficient to make opposition hopeless and to justify submission. To have receded before the obstinacy of the Danish government would have been utter weakness.

In Portugal Great Britain had to deal with a friendly nation, instead of the hostile prepossessions of Denmark. The French corps of invasion, under Junot, entered Spain on its way to Portugal on the 17th of October. Under the urgent and unsparing orders of Napoleon it made a march of extreme suffering with great rapidity, losing most of its numbers by the way from privation, exposure, or straggling; but when the handful that kept together entered Lisbon on the 30th of November, it found the Portuguese fleet gone, and that the court and its treasure had departed with it. The British government had for some time past expected such an attempt by Napoleon, and at the critical moment a squadron on the spot determined the vacillating regent to withdraw to Brazil.

Though foiled in his endeavors to seize the fleets, Napoleon had succeeded in formally closing the ports of the two countries to the introduction of British goods; while the bombardment at Copenhagen had served as a colorable pretext for the declaration of hostility against Great Britain made by Russia on the 20th of October. The mediation proposed by the czar had already been refused by the British ministry, unless the articles of the Treaty of Tilsit were first communicated to it;[368] but those articles were not of a character to bear such an exposure. Prussia, under the compulsion of the two empires, closed her ports against Great Britain by a proclamation dated September 2d; no navigation nor trade with England or her colonies was to be permitted, either in British or in neutral vessels.[369] Austria also acceded to the Continental System, and excluded British goods from her borders.[370] In Italy, the new kingdom of Etruria showed little zeal in enforcing Napoleon's commands to co-operate in his measures; the British carried on commerce at Leghorn, as freely as at any port in their own country. By the emperor's orders the viceroy of Italy therefore took possession of the city; and at the same time French detachments entered also the Papal States, occupied their coasts, and drove the British from them. Joseph Bonaparte being already king of Naples, the control of Napoleon and the exclusion of his enemies were thus extended over both coasts of Italy. Turkey being at this time involved in hostilities with Great Britain, the emperor was able to assert that "England sees her merchandise repelled by all Europe; and her ships, loaded with useless wealth, seek in vain, from the Sound to the Hellespont, a port open to receive them."[371] Decrees applying extreme rigor to the examination of vessels entering the Elbe and the Weser were issued on the 6th of August and 13th of November.[372] Napoleon had a special grudge against the two Hanseatic cities, Bremen and Hamburg, which had long mocked his efforts to prevent the introduction of British merchandise to the Continent; for which the commercial aptitudes of their merchants, their extensive intelligence abroad, and their noble rivers, afforded peculiar facilities. Despite all these efforts and the external appearances of universal submission, there still occurred wide-spread evasions of the emperor's orders, to which allusion must be made later. It is necessary, before doing so, to give the contemporary measures of other nations, in order that the whole situation, at once of public regulation and private disobedience, together with the final results, may come distinctly before the reader.

Great as was the power of Napoleon, it ceased, like that of certain wizards, when it reached the water. Enemies and neutrals alike bowed to his invincible armies and his superb genius when he could reach them by land; but beyond the water there was one enemy, Great Britain, and one neutral, America, whom he could not directly touch. The spirit of his course toward England and his initiatory steps have been given; it remained now to define his action toward the United States. Weak as the latter was, feeble to humiliation as had been the course of its government hitherto, and although the prepossessions of the party in power were undoubtedly strongly against Great Britain, the question was one of immense importance; but the emperor, who respected nothing but force, failed so to realize it. He stood just where the Directory stood at the end of 1797, every enemy but Great Britain overthrown, but seeing her defiant still and prosperous. Napoleon, however, had, what the Directory had not, experimental evidence of the results of such restrictions upon neutrals as were imposed by the law of January 18, 1798. It was possible to ascribe the disastrous effects to France of that measure, and its total failure to achieve the object intended, to one of two totally distinct causes. Either the law had been inadequately enforced, owing to the feeble executive efforts of the Directors and the comparatively limited extent of their influence, or else it was in its nature and essence so contrary to the true interest and policy of France that the very limitations imposed by defective power had saved her, and the ability to carry it further would have ended in utter ruin. Pursued somewhat further, the question became: Will it be possible, not for France only but for all Europe,—for the concurrence of all Europe is necessary to the effectual working of the scheme,—to dispense with the neutral carrier (whom it is the tendency of the Berlin decree to repel) for a length of time sufficient to ruin Great Britain? Can Europe forego external commerce for a longer time than Great Britain can spare the European market? Can the intercourse between the continental nations be so facilitated, the accustomed routes of import and export so modified, such changes introduced into the habits of manufacture and consumption, as will render bearable the demands made upon the patience of nations? If, as the Order in Council of January seems to indicate, Great Britain resent the attempt to keep neutrals from her ports, by retaliatory measures impeding their traffic with the Continent, upon whom will these combined French and English restrictions fall most heavily?—upon the state having a large body of merchant ships, to which neutrals are the natural rivals; or upon the nations whose shipping is small, and to whom therefore neutrals are useful, if not necessary, auxiliaries?

In a commercial war, as in any other, the question must be faced whether with ten thousand it is possible to meet him who is coming with twenty thousand. As a matter of fact, while Napoleon was contemplating a measure which would most injuriously affect neutrals, already largely employed in transporting British goods, the jealousy of British merchants and statesmen was keenly excited by the growth of this neutral carrying trade,[373] and they were casting about for a pretext and a means to cripple it. The Berlin decree revived the clamor of these men, who, being then in opposition, had condemned the Order of January, 1807, for not carrying retaliation far enough, and for directing it upon the coasting trade, which could only partially be reached, instead of upon the neutral carriage of colonial goods, which lay open everywhere to the British navy. A change of ministry in the latter part of March, 1807, brought this party again into power, after an absence from it of fourteen months since the death of Pitt. In the mean time, however, the decree had remained inoperative, through the absence of Napoleon in Poland, the decisions of the Minister of Marine as to its scope, and the connivance of the local authorities everywhere in its neglect. No further steps therefore had been taken by the new British ministry up to the time of the emperor's return to Paris. The latter at first only issued some additional regulations of a municipal character, to ensure a stricter observance, but he was soon called upon to give a momentous decision. The opinion of the Minister of Marine, as to the meaning of certain clauses of the decree,[374] was submitted to him by the Minister of Justice; and he stated that the true original intention was that French armed vessels should seize and bring into port neutrals having on board any goods of British origin, even though at the time neutral property. As to whether they should also arrest neutrals for the simple reason that they were going to, or coming from, the British Islands, his Majesty reserved his decision. This dictum of the emperor, which threw to the winds the ruling of the Minister of Marine, was given to the prize courts on the 18th of September, 1807, and shortly afterward the latter acted upon it in the case of an American ship wrecked upon the French coast; that part of her cargo which was of British origin was ordered to be sold for the benefit of the state.[375] The effect of Napoleon's pronouncements was at once seen in Great Britain. The insurance of neutral ships bound to continental ports, especially to those of Holland and Hamburg, rose from four guineas in August to eight and twelve in October, and some insurers refused to take risks even at twenty-five and thirty. In the two months of September and October sixty-five permits were issued by the Custom House to re-land and store cargoes that had actually been shipped for the Continent.[376] The Tory ministry now had the pretext it wanted for a far-reaching and exhaustive measure of retaliation.

Napoleon's decisions of September 18 were communicated to the Congress of the United States on December 18 by the President; who at the same time transmitted a proclamation from the king of Great Britain, dated October 16, directing the impressment of British seamen found serving on board any foreign merchant ship.[377] In view of the dangers to which American vessels were exposed by the action of the two belligerents, an embargo was recommended, to insure their safety by keeping them in their own ports; the real purpose, however, being to retaliate upon Great Britain, in pursuance of the policy of a Non-Importation Act directed against that country, which had gone into effect the previous July. An Act of Embargo was accordingly at once passed, and was approved on the 22d of December.[378] All registered vessels belonging to the United States were forbidden to depart from the ports in which they were then lying, except upon giving bond that their cargoes would be landed in another port of the country. This continued in force throughout the year 1808 and until March 1, 1809, when it was repealed; and for it was substituted a Non-Intercourse Act,[379] which allowed the merchant ships of the United States to go abroad in search of employment and to traffic between their own and other countries, except Great Britain and France and the colonies occupied by them, which were wholly forbidden to American vessels. They not only could not clear from home for those countries, but they were required to give bond that they would not, during the voyage, enter any of their ports, nor be directly or indirectly engaged in any trade with them. French or British ships entering a port of the United States were to be seized and condemned. This act was to continue in force until the end of the next session of Congress; and it accordingly remained the law governing the intercourse of the United States with Great Britain and France until May, 1810.

On the 11th of November, 1807, were published the great retaliatory measures of Great Britain, which for the moment filled the cup of neutrals. Setting forth the Berlin Decree as the justifying ground for their action, the Orders in Council of that date[380] proclaimed a paper blockade, of the barest form and most extensive scope, of all enemies' ports. "All ports and places of France and her allies, or of any other country at war with his Majesty, and all other ports or places in Europe from which, although not at war with his Majesty, the British flag is excluded, and all ports in the colonies of his Majesty's enemies, _shall from henceforth be subject to the same restrictions_, in point of trade and navigation, _as if the same were actually blockaded in the most strict and rigorous manner_." All trade in hostile colonial produce was likewise declared unlawful for neutrals.

An actual blockade, such as is here mentioned, requires the presence off the blockaded port of a force sufficient to make entrance or departure manifestly dangerous; in which case a vessel attempting to pass in either direction is, by that common consent of nations called International Law, justly liable to capture. To place such a force before each of the many and widely scattered harbors embraced by these Orders, was evidently beyond the power of even the vast numbers of the British navy. The object which could not be attained by the use of means acknowledged to be lawful, the British ministry determined to compass by sheer force, by that maritime supremacy which they unquestionably wielded, and which they could make effectual to the ends they had in view, namely: to maintain the commerce and shipping of Great Britain, upon which her naval strength depended, to force the enemy's trade to pass through her ports, and thus to raise her revenues to the point necessary to her salvation in the life and death struggle in which she was embarked.[381]

The entire suppression of trade with the restricted coasts, whether by neutral carriers or in the articles of import or export the world needed, was in no sense whatever the object of the British ministers. To retaliate on their enemy was the first aim, to make him suffer as he had meant to make them; but, withal, to turn his own measures against him, so that while he was straitened, Great Britain should reap some amelioration for her own troubles. Throughout this stormy and woeful period, the instinct of the British nation recognized that the hearts of the continental peoples were with them rather than with Napoleon,—and for much the same reason that the United States, contrary alike to the general interests of mankind and to her own, sided upon the whole, though by no means unanimously, against Great Britain. In either case the immediate oppressor was the object of hatred. Throughout the five years or more that the Continental blockade was in force, the Continental nations saw the British trying everywhere, with more or less success, to come to their relief,—to break through the iron barrier which Napoleon had established. During great part of that time a considerable intercourse did prevail; and the mutual intelligence thus maintained made clear to all parties the community of interests that bound them together, notwithstanding the political hostilities. Nothing appears more clearly, between the lines of the British diplomatic correspondence, than the conviction that the people were ready to further their efforts to circumvent the measures of Napoleon.

Keeping in view the purpose of making the United Kingdom the centre and warehouse of the world's commerce, it was evident that, provided this end—the chief object of the Orders in Council—were attained, the greater the commerce of the outside world was, the greater would be the advantage, or toll, resulting to Great Britain. The Orders therefore contained, besides the general principle of blockade, certain exceptions, narrow in wording but wide in application. By the first, neutrals were permitted to trade directly between their own country and the hostile colonies. They were also allowed to trade direct between the latter and the free ports of the British colonies, which were thus enabled, in their degree, to become the centres of local commerce, as Britain herself was to be the entrepôt of European and general commerce.

The second exception, which was particularly odious to neutrals, permitted the latter to go direct from a port of the United Kingdom to a restricted hostile port, although they might not start from their own country for the same, nor for any other place in Europe from which the British flag was excluded. Conversely, neutrals were at liberty to sail from any port of his Majesty's enemies forbidden to them by the Orders, provided they went direct to some port in Europe belonging to Great Britain;[382] but they might not return to their own land without first stopping at a British port.

Such, stripped of their verbiage, appears to be the gist of the Orders in Council of November 11, 1807. Neutrals might not trade directly with any ports in Europe not open to British ships; but they might trade with them by going first to a British port, there landing their cargo, reshipping it subject to certain duties,[383] and thence proceeding to a hostile port. The same process was to be observed on the return voyage; it might not be direct home, but must first be to Great Britain. The commerce of the Continent thus paid toll, going and coming; or, to repeat the words of the ministry, there was for the enemy "no trade except through Great Britain." British cruisers were "instructed to warn any vessel which shall have commenced her voyage prior to any notice of this Order, to discontinue it; and to proceed instead to some port in this kingdom, or to Gibraltar or Malta; and any vessel which, after being so warned, shall be found in the prosecution of a forbidden voyage, shall be captured." Vessels which in obedience to the warning came into a British port were to be permitted, after landing their cargo, to "report it for exportation, and allowed to proceed to their original port of destination, or to any other port at amity with his Majesty, upon receiving a certificate from the collector of the port" setting forth these facts; but from this general permission to "report," were specially excepted "sugar, coffee, wine, brandy, snuff, and tobacco," which could be exported to a restricted port only "under such conditions as his Majesty, by any license to be granted for that purpose, may direct." Licenses were generally necessary for export of any foreign produce or manufacture; while goods of British origin could be taken to a hostile country without such license. In the end, the export of cotton to the Continent was wholly forbidden, the object being to cripple the foreign manufactures. Upon the license requirements was soon built up the extraordinary licensed traffic, which played so important a subordinate part in the workings both of the Orders and of the Continental System.

Anything more humiliating and vexatious to neutrals than these Orders can scarcely be conceived. They trampled upon all previously received law, upon men's inbred ideas of their rights; and that by sheer uncontrolled force, the law of the strongest. There was also not only denial of right, but positive injury and loss, direct and indirect. Yet it must not be forgotten that they were a very real and severe measure of retaliation upon Napoleon's government; of which a contemporary German writer had truly said it was already wound up so tight the springs could almost be heard to crack. It must be remembered, too, that Great Britain was fighting for her life. The additional expense entailed upon every cargo which reached the Continent after passing through her ports, the expenses of delay, of unloading and reloading, wharfage, licenses, maintenance, fell chiefly upon the continental consumer; upon the subjects of Napoleon, or upon those whom he was holding in military bondage. Nor was this all. Although Great Britain was not able to blockade all the individual French or continental ports,—an inability due more to the dangers of the sea than to the number of the harbors,—she was able to make the approach to the French coast exceedingly dangerous, so much so that it was more to the interest of the ordinary trader to submit to the Orders than to attempt to evade them; especially as, upon arriving at a port under Napoleon's control, he found the emperor possessed with every disposition to confiscate his cargo, if a plausible pretext could be made. In the English Channel Great Britain controlled the approaches from the Atlantic to all the northern continental ports; and at Gibraltar those to the Mediterranean. The Orders were therefore by no means an empty threat. They could not but exercise a very serious influence upon the imports to the Continent, and especially upon those exotic objects of consumption, sugar, coffee, and other tropical growths, which had become so essential to the comfort of people; and upon certain raw materials, such as cotton, dye-woods and indigo. Naval stores from the Baltic for England passed so near the French coast that they might be slipped in by a lucky chance; but the neutral from the Atlantic, who was found near the coast of France or Spain, had to account for the appearances which were against him. These obstacles to direct import tended therefore to increase prices by diminishing supplies, and combined with the duties laid by Great Britain, upon the cargoes forced into her ports, to raise the cost of living throughout the Continent. The embarrassments of its unfortunate inhabitants were further augmented by the difficulty of exporting their own products; and nowhere was this more keenly felt than in Russia, where the revenues of the nobility depended largely on the British demand for naval stores, and where the French alliance and the Continental System were proportionately detested.

The object of the Orders in Council was therefore twofold: to embarrass France and Napoleon by the prohibition of direct import and export trade, of all external commerce, which for them could only be carried on by neutrals; and at the same time to force into the Continent all the British products or manufactures that it could take. A preference was secured for the latter over foreign products by the license practice, which left the course of traffic to the constant manipulation of the Board of Trade. The whole system was then, and has since been, roundly abused as being in no sense a military measure, but merely a gigantic exhibition of commercial greed; but this simply begs the question. To win her fight Great Britain was obliged not only to weaken Napoleon, but to increase her own strength. The battle between the sea and the land was to be fought out on Commerce. England had no army wherewith to meet Napoleon; Napoleon had no navy to cope with that of his enemy. As in the case of an impregnable fortress, the only alternative for either of these contestants was to reduce the other by starvation. On the common frontier, the coast line, they met in a deadly strife in which no weapon was drawn. The imperial soldiers were turned into coast-guards-men to shut out Great Britain from her markets; the British ships became revenue cutters to prohibit the trade of France. The neutral carrier, pocketing his pride, offered his service to either for pay, and the other then regarded him as taking part in hostilities. The ministry, in the exigencies of debate, betrayed some lack of definite conviction as to their precise aim. Sometimes the Orders were justified as a military measure of retaliation; sometimes the need of supporting British commerce as essential to her life and to her naval strength was alleged; and their opponents in either case taunted them with inconsistency.[384] Napoleon, with despotic simplicity, announced clearly his purpose of ruining England through her trade, and the ministry really needed no other arguments than his avowals. _Salus civitatis suprema lex._ To call the measures of either not military, is as inaccurate as it would be to call the ancient practice of circumvallation unmilitary, because the only weapon used for it was the spade.

Napoleon was not the man to accept silently the Orders in Council. On the 27th of October he had signed the treaty of Fontainebleau with Spain, arranging the partition of Portugal and taking thus the first step in the invasion of the Peninsula. On November 16 he left Fontainebleau to visit his kingdom of Italy. From the capital, Milan, he issued the decree which bears its name, on the 17th of December, 1807. Alleging the Orders as its motive, the Milan Decree declared that any ship which submitted to search by a British cruiser was thereby "denationalized;" a word for which, at sea, "outlaw" is the only equivalent. It lost the character of its own country, so far as French cruisers were concerned, and was liable to arrest as a vagrant. The decree further declared that all vessels going to, or sailing from, Great Britain, were for that fact alone good prize,—a point which, under the Berlin decree, had as yet been left open. French privateers were still sufficiently numerous to make these regulations a great additional danger to ships at sea; and the decree went on to say that, when coming under the previous provisions, they should be seized whenever they entered a French port.

The two belligerents had now laid down the general lines of policy on which they intended to act. The Orders in Council received various modifications, due largely to the importance to Great Britain of the American market, which absorbed a great part of her manufactures; but these modifications, though sensibly lightening the burden upon neutrals and introducing some changes of form, in no sense departed from the spirit of the originals. The entire series was finally withdrawn in June, 1812, but too late to avert the war with the United States, which was declared in the same month. Napoleon never revoked his Berlin and Milan decrees, although by a trick he induced an over-eager President of the United States to believe that he had done so.

In the year 1808 the emperor's purpose to overthrow the Spanish monarchy, and place one of his own family upon the throne, finally matured. He left Paris on the 2d of April, and, after a long delay at Bordeaux, on the 14th reached Bayonne. There took place his meetings with the king and infante of Spain which resulted in the former resigning his crown, to be disposed of as to Napoleon might seem best. While at Bayonne, on April 17, the emperor issued an order, directing the sequestration of all American ships which should enter the ports of France, Italy, Holland, and the Hanse towns, as being under suspicion of having come from Great Britain. The justification for this step was found in the Embargo Act of December, 1807, in consequence of which, Napoleon argued, as such ships could not lawfully have left their own country, they came really from England, and their papers were fabricated.[385] Under this ruling sequestrations continued to be made until March 23, 1810; when the Decree of Rambouillet confiscated finally the vessels and cargoes thus seized.[386] After May, 1810, the Non-Intercourse Act, which had replaced the Embargo, was temporarily suspended as regarded both Great Britain and France, and never renewed as to the latter; so the plea upon which these confiscations had proceeded was no longer valid.

Meanwhile the emperor's plans for the Peninsula met with unexpected reverses. An insurrection on the 2d of May in Madrid was followed by spontaneous popular risings in all parts of the country. On the 21st of July an army corps under General Dupont was cut off by the insurgents in Andalusia and surrendered, to the number of eighteen thousand, at Baylen; and on the 29th the new king of Spain, Joseph Bonaparte, fled from Madrid, which he had only entered on the 20th. On the 1st of August a British fleet appeared off the coast of Portugal, bearing the first division of troops destined to act in the Peninsula, under the command of Sir Arthur Wellesley. On the 21st the battle of Vimiero was fought, resulting in the defeat of Junot; who, by the Convention of Cintra, signed on the 30th, was permitted to evacuate Portugal and was conveyed to France with his army in British transports. At the same time a division of the Russian fleet which had taken refuge in Lisbon, on its return from the Mediterranean, was, by a separate convention, left in the hands of Great Britain until the conclusion of the war. The admiral had steadily refused to co-operate with Junot; in which course he probably reflected the strong feeling of the Russian upper classes against the French alliance. In consequence of these successive disasters Portugal was wholly lost, and the French army in Spain fell back to the line of the Ebro.

Napoleon realized the necessity of vigorous measures to suppress the general uprising, before it had attained organization and consistency, and determined to take the field in person; but, before removing to this distant scene of action, he thought advisable to confirm and establish his understanding with the czar, upon whose support depended so much of his position in Central Europe. The two sovereigns met for the second time, September 27, 1808, at Erfurt. The alliance formed at Tilsit was renewed; France undertook not to consent to peace until Russia obtained Finland from Sweden, Moldavia and Wallachia from Turkey; Russia guaranteed the crown of Spain to Joseph; and it was agreed that a formal proposition for peace should at once be made to England, as publicly and conspicuously as possible. The czar had already in the preceding February begun hostilities against Sweden, giving as a pretext her leaning toward Great Britain and her refusal to join with Russia and Denmark in shutting the Baltic to British fleets. Denmark also had declared war against Sweden, for carrying on which the possession of Norway then gave her facilities which she no longer has; and Prussia, on the 6th of March, had closed her ports against Swedish commerce "at the solicitation of the imperial courts of Paris and St. Petersburg."

The vital importance of the Baltic to Great Britain, both as the source whence her naval stores were drawn and as a channel whereby her commerce might find a way into the Continent remote from the active vigilance of Napoleon, imposed upon her the necessity of strenuously supporting Sweden. A fleet of sixty-two sail, of which sixteen were of the line, was accordingly sent through the Sound in April, under Sir James Saumarez, one of the most distinguished of British admirals; who, to an unusually brilliant reputation for seamanship, activity, and hard fighting, joined a calm and well-balanced temper, peculiarly fitted to deal with the delicate political situation that obtained in the North during the four years of his Baltic command. The fleet was shortly followed by a body of ten thousand troops under the celebrated Sir John Moore; but the rapid progress of the Russian arms rendered this assistance abortive, and Moore was soon transported to that scene of action in the Peninsula in connection with which his name has been immortalized.

A joint letter, addressed to the king of Great Britain by the allied emperors, was forwarded through the usual channels by the foreign ministers of both powers on the 12th of October. The British reply, dated October 28, expressed a willingness to enter into the proposed negotiations, provided the king of Sweden and the government acting in the name of the king of Spain, then a prisoner in the hands of Napoleon, were understood to be parties to any negotiation in which Great Britain was engaged. "To Spain," said the British note, "his Majesty is not bound by any formal instrument; but his Majesty has, in the face of the world, contracted with that nation engagements not less sacred, and not less binding upon his Majesty's mind, than the most solemn treaties." This reply was, in one point at least, open to severe criticism for uncalled-for insolence. To that part of the letter of the two sovereigns which attributed the sufferings of the Continent to the cessation of maritime commerce, it was retorted: "His Majesty cannot be expected to hear with unqualified regret that the system devised for the destruction of the commerce of his subjects has recoiled upon its authors, or its instruments." Nevertheless, it is impossible to withhold admiration for the undaunted attitude of the solitary Power that ruled the sea, in the face of the two mighty sovereigns who between them controlled the forces of the Continent, or to refuse recognition of the fidelity with which, against overwhelming odds, she now, as always in the time of Pitt, refused to separate her cause from that of her allies. The decision of the British court was made known to Europe by a public declaration, dated December 15, which, while expressing the same firm resolve, allowed to appear plainly the sense entertained by the ministry of the restiveness of the Continent under the yoke it was bearing.

The proposal to include the Spanish people in the negotiations was rejected by both France and Russia. Napoleon, having in the mean time returned to Paris, left there on the 29th of October to take command of the armies, which, to the number of over three hundred thousand men of all arms, had either entered Spain or were rapidly converging upon it. On the 8th of November he crossed the frontier, and on the 4th of December Madrid surrendered. Northern Spain being overrun and subdued, the capital having fallen without any real resistance, and the political prestige of the insurrection being thus seriously, if not hopelessly, injured, the emperor now proposed to divide the mass of soldiers that had so far acted under his own supreme direction. In the disorganized and helpless condition of the Spanish people, with the proved weakness and imbecility of the provisional governments, a dispersion that might otherwise be unwise became admissible. Army corps under his marshals were to overrun the southern provinces of the Peninsula, while an overwhelming force under his personal leadership was to cross the frontier, and carry the eagles to Lisbon, in accordance with his boast made before leaving Paris. From this determination he was turned aside by the sudden intelligence that the small body of British troops, commanded by Sir John Moore, which he supposed to be retreating toward Lisbon, and which he expected to drive on board the ships there, had cut loose from their connection with it, and, by a daring move to the north, were threatening his own lines of communication with France. Upon the receipt of this news, on the 21st of December, he at once postponed his previous purposes to the necessity of dislodging and driving out of Spain the little force, of less than twenty-five thousand men, that had dared thus to traverse his plans. Thus was Napoleon headed from his course by an imperious military necessity, and Spain saved at a most critical moment, by the petty army which had come from the sea, and which had only dared to make this move—well nigh desperate at the best—because it knew that, in the inevitable retreat, it would find in the sea no impassable barrier, but a hospitable host,—in truth, its own country. The Peninsula gained the time to breathe, which, unless under stern compulsion, Napoleon never granted to an enemy; and the opportunity thus lost to him never again returned.

Thus opened the year 1809. Napoleon at the head of eighty thousand men was driving before him, through the snows of northwestern Spain, some twenty thousand British troops, with the relentless energy that distinguished all his movements of pursuit. In the north, Russia, having completed the conquest of Finland, was now preparing to invade Sweden on the west of the Baltic, the king of that country was on the point of being dethroned on account of insanity, and the policy of the nation was tending to a peace with its gigantic enemy; which the latter refused to grant except upon the condition of joining the alliance against Great Britain. To this Sweden was most unwilling to accede. Her people depended wholly upon their produce of naval stores and grain and upon maritime commerce. Hence, to lose the freedom of their trade was almost tantamount to destruction, and the British ministry from the first saw that, whatever steps Sweden might be forced to take, its real wishes must be to keep open intercourse with Great Britain. From the anxious and delicate position of this small country, between these opposing claims, arose the necessity of great prudence and caution on the part of the British government, of its diplomatic representative, and of the admiral commanding the fleet. The task ultimately devolved upon the latter, when Sweden was at last forced into formal war; and to his sound judgment and self-restraint was largely due that no actual collision took place, and that, in the decisive moments of 1812, she, despite her serious causes of complaint against the czar, sided with Russia, instead of against her.

In Central Europe, Austria, since the peace of Presburg,[387] three years before, had been quietly engaged in restoring her military strength. The various changes which had taken place in Germany during that time, the establishment and growth of the Confederation of the Rhine, the destruction of the power of Prussia, the foundation of the Duchy of Warsaw, combined with the great losses of territory which she had herself undergone, had left Austria in a position that she could not possibly accept as final; while the alliance between Russia and France placed her in a state of isolation, which Napoleon had been careful to emphasize during the meeting at Erfurt. The renewal of the war between herself and France was therefore in the nature of things. The only question to be decided was when to declare it;[388] but this was a matter which Napoleon, who fully understood the political situation, was not in the habit of allowing an enemy to determine. He undertook his Spanish enterprise with the full knowledge that his absence, and that of his Grand Army, in the Peninsula must be short; he understood that a prolonged stay there, caused by lack of immediate and decisive success, would give Austria the opportunity she needed; but he had reasonable expectation of accomplishing his task, and returning with his army to his eastern frontiers, within a safe period of time. This hope was frustrated by the action of Sir John Moore. The year 1809 therefore opened with the prospect of war impending over the two empires. "From the frontiers of Austria to the centre of Paris," wrote Metternich, "I have found but one opinion accepted by the public,—that is, that in the spring at latest, Austria will take the field against France. This conclusion is drawn from the relative position of the two powers."[389]

Underlying the other contentions, affecting them all with the unheeded, quiet, but persistent action which ordinarily characterizes the exertions of sea power, fermenting continually in the hearts of the people, was the commercial warfare, the absence of that maritime peace for which the nations sighed. The Berlin and Milan decrees on the one side, the Orders in Council on the other, were still, at the opening of 1809, in full force. France, which especially needed the concurrence of neutral carriers, had taken away even the slight chances of reaching her ports which British cruisers might leave, by pronouncing confiscation on any ship which had submitted to a search, though it was powerless to resist. Great Britain, on the other hand, having shut out all competition with her own trade to the Continent by the blockade, which forbade direct access to neutral ships, was prepared to avail herself of every chance to force upon Europe, at any point, and by any means, neutral or other, any and all merchandise, manufactured or colonial, which came from her own warehouses. For this the license system offered a means of which neutrals were only too ready to avail themselves. A British license could admit them to any port from which a British blockade excluded them; and, as it was only to be obtained legitimately in a British port, the neutral carriers, when there, naturally filled up with the most paying cargo, whatever its origin.

In the years from 1806 to 1810, as at earlier periods of the revolutionary wars, Holland and the Hanse towns competed for the profits of this indirect and often contraband trade. In June, 1806, Napoleon, in pursuance of his policy of placing members of his own family upon the thrones of the Continent, had obtained the conversion of Holland from a republic to a monarchy and bestowed its crown upon his brother Louis. The latter sought from the first to identify himself with his new subjects, and constantly withstood the commands of Napoleon in favor of their interests. Foremost among these was maritime commerce, for which geographical position and generations of habit especially fitted the Dutch. With such dispositions on the part of the king, notwithstanding the jealous watchfulness and sharp remonstrances of the emperor, evasions were frequent, and the decrees even openly disregarded on different pretences. The whole community naturally engaged in undertakings at once so consonant to its habits and so remunerative when successful. From the time the Berlin decree was issued until after the war with Austria in 1809, Napoleon's attention, though often angrily attracted by Holland and the neglect of his orders, was still too much diverted to admit of the decisive measures needed to enforce them. First, the Russian war in 1807, then the affairs of the Peninsula extending through 1808, finally the Austrian war in 1809 with his hazardous position between the battles of Essling and Wagram, accompanied as the whole period was with financial difficulties and expedients due to the straits of the empire under the cessation of maritime commerce, occupied his mind almost wholly, and allowed but partial attention to the Continental System.

Neutral ships therefore continued to be openly admitted into Holland, and the emperor's demands for their confiscation to be eluded; and there was besides much smuggling, for which the character of the coast and its nearness to England offered ample facilities. From Holland the goods usually found their way without great difficulty into France, though on two occasions Napoleon, to punish Holland for her waywardness, closed the frontier against her. "Your Majesty," wrote he to Louis, "took advantage of the moment in which I had embarrassments upon the Continent, to allow the relations between Holland and England to be resumed; to violate the laws of the blockade, the only measure by which that power can be seriously injured. I showed my dissatisfaction by forbidding France to you, and made you feel that, without having recourse to my armies, I could, by closing the Rhine, the Weser, the Scheldt, and the Meuse to Holland, place her in a position more critical than by declaring war against her. I was so isolating her as to annihilate her. The blow resounded in Holland. Your Majesty appealed to my generosity.... I removed the line of custom-houses; but your Majesty returned to your former system. It is true I was then at Vienna, and had a grievous war upon my hands. All the American ships which entered the ports of Holland, while they were repelled from those of France, your Majesty received. I have been obliged a second time to close my custom-houses to Dutch commerce.... I will not conceal my intention to re-unite Holland to France, to round off her territory, as the most disastrous blow I can deal to England." He consented, however, to suspend his action, upon condition that the existing stores of colonial merchandise were confiscated, as well as the cargoes of the American ships.[390]