That the latter of these objects would not be readily conceded by Great Britain did not admit of a doubt; but many intelligent men, possessing great political influence, had embraced the opinion that she could be forced out of that colonial system which every European power having settlements in America had adopted, by regulations restricting her navigation and commerce with the United States.

To those who entertained this opinion, no commercial treaty could be acceptable, which did not contain the concessions they required.
In addition to a general knowledge of the sentiments of the British cabinet on these points, particular evidence had lately been received of its positive decision respecting them.

A comprehensive report on American affairs had been made to the privy council by a committee of that body, which was laid before the king.

A few copies of it had been printed for the members of the cabinet, which were soon called in by a sudden order of council; but one of these copies was obtained, and transmitted to the secretary of state of the United States.

This report manifested a willingness to form a commercial treaty with the American government on principles of perfect equality, both with respect to navigation and commerce, so far as regarded the dominions of his Britannic Majesty in Europe; but it also discovered a determination, to adhere inflexibly to the existing regulations for the colonies; and to reject the principle that free bottoms make free goods.
In this state paper the opinion was advanced, that several important articles of exportation from the United States, especially tobacco, had been peculiarly favoured in Great Britain; but that these friendly regulations were not reciprocated by America.