it is easier to lose than to gain in this trade; and if it should
be expanded your Majesty would suffer other disadvantages. This has
already been seen on some occasions when it has been tried.

The trade of Filipinas with China may be hurtful in so far as the
silver carried is concerned, because this might come to España. It is
true, the silk trade with China is of some profit to Filipinas as a
basis of trade with Nueva España--which cannot be dispensed with--to
supply the things needed from there. But this silk trade might be
substituted by carrying some of the gold of Filipinas to Nueva España
to buy what is necessary from España, to which thereby would come more
advantage; and by carrying also some of the silks which the people
of Chincheo are wont to take to Manila. These are bought in this way
more advantageously than when the Filipinas merchants go to China to
buy, as has been seen during many years' experience with the former
method. But it might even be well to put an end to the coming of the
people of Chincheo to Manila (many of whom live there by agreement),
because they have already attempted to take possession of the city;
and now, when the Hollanders are resorting thither, this should be
more carefully watched. To prevent the coming of the Chinese, your
Majesty might order the inhabitants of Macao to take to Manila the
silks, bronze, and other things needed in Filipinas which the people
of Chincheo bring. And everything will be more secure, the profit
will be much greater, and all of it will accrue to your Majesty's
subjects if it be ordered that the Chinese shall not sell anything
that the inhabitants of Macao have to sell.

The trade of Filipinas with Japon is very hurtful to your Majesty
and to your subjects, since, as they carry in it nothing but silks
from China, which the people of Eastern India and those of Macao