Among all the 51 banks nationwide, Shanxi merchants established 43. "Heshengyuan," the first draft bank inQixian, initiated China's international financial institute. It established franchised banks in Tokyo, Osaka, Yokohama, Kobe in Japan, and also in Korea.
Shanxi Merchants in Beijing
By the Ming Dynasty, Shanxi merchants were already very active in Beijing's business sector. In the Qing Dynasty, Shanxi merchants took the most important position. They excelled in selling crops, seasoning,paper, fabric, pigment, fruits, and so on. Some of the trademarks have been passed down even to today, such as "Du Yi Chu," "Liu Bi Ju," and "Le Ren Tang." Shanxi merchants also congregated in certain parts of Beijing, such as Caochang Hutong and Da Zha Lan.
Shanxi Merchants in South China
Shanxi merchants purchased several tea mountains and ran teahouses in thetea productionareas of Hubei, Hunan, Jianxi, andAnhui provinces. Once there were more than 100 teahouses.
Shanxi merchants also took up a street named "Haopan Street" inGuangzhoufor their banks, groceries, and medicines. As well, the merchants established some of the enterprises inGuangzhou, such as "Guang Sheng Yuan," "Guang Mao Xing," and so on. Shanxi merchants were also very active in the Yangtze Delta area.
Exploitation of International Market
Another symbol for the development of Shanxi merchants was the exploitation of the international market. In the Ming Dynasty, there was tight restriction on international trade; only people from the southeast could travel abroad for trade. Therefore Shanxi merchants traveled to the north to trade with Russians.
Starting from 1689, people from China and Russia were allowed to trade with each other. In 1727, Kiakhta became a trade center for Russia and China. The trade here remained tax-free until 1851. Shanxi merchants generated huge benefits from the Kiakhta trade.
Email to Friends
Print
Save