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History of Trade Dollars

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Trade dollars are silver coins, which facilitated trade in China and the Far East territories. Their popularity was fueled principally by the established and known trade value of the Spanish coin 8 Reales. They formed a core transacting trade medium between the Far East and major political players of the 19th century.

Trade dollars played a critical and important role in facilitating international trade in the 19th century. Britain, Japan, France and the United States primarily produced trade dollars after the Opium Wars. The coins were minted for circulation to keep up with the demand for the 8 Reales, which returned a premium value of 7½ percent due to the higher silver content. In order for other countries to start using their own silver supply instead of paying a premium, they produced trade dollars. These coins were made slightly larger with higher silver content.

In, the late 18th century Great Britain had found that they could import opium that was grown in India and sell it to china for luxury goods. After finding this out, Great Britain created the "East India Company" which became the largest supplier of opium to China at the time. To keep up with the high demand of opium, they started to urge farmers to increase production to counteract dwindling inventory.

Great Britain purchased opium grown in India and then sold it to Chinese merchants in exchange for tea, silk, and porcelain which were very high in demand at the time in Britain. The East India Company did not carry the opium on hand due to the ban from the Chinese, Instead, they used opium smugglers to take in their product and sell it for Silver. The smugglers would then return and give the profits to the East India Company. Britain would then use their profits from the opium sales to purchase these luxury goods that were in demand.

Seeing the devastating effects which opium was causing unto the Chinese population caused the emperor to ban all the merchant sales and use of opium as well as closing all their ports in order to help fix the problems emanating from opium abuse. The emperor had previously tried to stop the opium trade on numerous occasions by using such similar tactics throughout the years but had failed every time. However, this could not stop the trade from happening due to the smugglers who traded on behalf of the British trading entities. The closing of the ports created a war between Great Britain and China after which China lost and ultimately forced to reopen numerous trade ports.

In conclusion, trade dollars facilitated international trade among various countries with a pivotal function in the Opium business in the mid-19th century. The trade dollars were the principal medium in which American and European governments shipped silver and gold into Far East markets of India and China.

Types of Trade Dollars

United States (1873-1885)


The United States Trade dollar was minted from 1873-1885.

The trade dollars weighed 420 grains as depicted on the reverse. This weight was slightly larger than the standard silver dollar at the time weighing 412.5 grains.

The obverse depicts lady liberty sitting on a bale holding out a branch in her right hand and a ribbon inscribed with the word "LIBERTY" in her left. The sea in the front and a bundle of wheat behind, "IN GOD WE TRUST" inscribed below and stars above.

The reverse depicts and eagle holding arrows and a branch, below lists the weight and purity "420 GRAINS, 900 FINE", "E PLURBUS UNUM" is Inscribed in the ribbon above, and "UNITED STATES OF AMERICA" and "TRADE DOLLAR" surrounding.

1873-1885
Weight-27.20g

Great Britain (1895-1935)


The British Trade dollar was minted from 1895-1935.

The obverse depicts Britannia Standing on land holding a trident in her right hand and a shield in her left. A merchant ship is seen sailing behind, inscribed above is the denomination "ONE DOLLAR" and below is the date.

The reverse depicts a Chinese Shou that represents Longevity, surrounded by an ornamental design with Chinese and Jawi lettering. The translated lettering in Chinese says "One Dollar" and the lettering in Jawi says "One Ringgit"

1895-1935
Weight-26.95g.

Japan (1875-1877)


The Japanese trade dollar was minted from 1875-1877.

The obverse depicts a dragon holding a Pearl, below inscribed is the denomination, weight and purity of the coin ".420 GRAINS. 900 FINE." "TRADE DOLLAR"

The reverse depicts two branches tied together with a ribbon to create a wreath, above is a flower otherwise known as a Chrysanthemum it symbolizes longevity and rejuvenation. in the middle is Chinese lettering that when translated says "Trade Easy Silver"

1875-1877
Weight-27.22g.

France (1885-1928)


The French-Indo trade dollar was minted from 1885-1928.

The obverse depicts Marianne otherwise known to the French as the goddess of liberty sitting, in her right hand is a fasces. To the left is a group of wheat and to the right is an anchor, below is the date and initials and inscribed above “REPUBLIQUE FRANÇAISE”

The reverse depicts two branches tied together with a ribbon to create a wreath, in the middle the words “PIASTRE DE COMMERCE” and surrounding the coin “INDO-CHINE FRANCAISE” and “TITRE 0,900. POIDS 27 GR” are inscribed. Translation: French Indo-china, Trade Piastre 0,900 purity, 27.215 grams.

1885-1895
Weight-27.21g.

1895-1928
Weight-27.00g.

Map of Trade Routes from 1886


Image Courtesy of David Rumsey Map Collection, www.davidrumsey.com.

Trade Dollars