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Joseph Chamberlain at his desk at the Colonial Office The seizure of Kiaochow by Germany in November 1897 and Russia's occupation of Port Arthur signalled a scramble for western control of China that threatened British domination of China's foreign trade and control of her tariffs.
Both Salisbury and Chamberlain wanted to maintain China's integrity lest partition reduce the country's value as a market for British goods.
Though Salisbury sought a local agreement with Russia to reduce its concern for France in the Mediterranean, Chamberlain sought an agreement with another power, using the dramatic term ' alliance '.
His first suggestion was for an understanding with Japan in order to counterbalance the growing influence of Russia.
Chamberlain saw the seizures by Germany and Russia not as part of military strategy, but as an attempt to encroach on Britain's Chinese market.
When the issue was put before the cabinet early in 1898, Salisbury hoped to keep Port Arthur open to trade by cooperating with the Russians in granting a loan to the Chinese government.
Arguing that British naval power could not stop Russia, Chamberlain favoured a coordinated policy with the United States and Japan, in which the three powers would demand that any concessions extracted from China by Russia should be shared among the other powers.
The Cabinet agreed to the occupation of Weihaiwei as compensation, yet Chamberlain saw this as an empty gesture and regarding the fate of the Chinese Empire to be at stake, sought to strengthen Britain's position when Salisbury was weakened by illness in February 1898.
Believing that Britain's difficulties in China were accentuated by its isolation, Chamberlain contemplated an agreement with Germany.

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