Chapter 45

When the morning mist was parted by the sunlight and a gentle breeze blew, the ship finally arrived in Shanghai. It was delayed, arriving around 10 a.m., three or four hours later than the scheduled early morning time.

This was for the best. A midnight arrival would have been very inconvenient. This wasn't a future where taxis were everywhere; the main modes of transportation in Shanghai were rickshaws and trams. At midnight, there was not a soul to be seen, making disembarking very difficult unless someone was there to pick you up.

Shanghai, a place of great complexity in Chinese history, especially in modern times, appeared to Yang Yuanzhao as a city that had taken a unique development path since its opening. It was the first to have industry, the first to have trams, and the first to have private factories. During the chaotic period of the late Qing and the Republic of China, Shanghai became the stronghold of China's national economy, even though it developed under heavy clouds. Compared to the complex environments and heavy taxes in other places, the Shanghai concessions, with their relatively fair treatment, became a haven for private enterprises, a true miracle.

Unfortunately, as an industrial city, Shanghai had few advantages beyond shipping. It lacked resources and had to purchase everything externally. Its early opening and prosperity were offset by its relatively small size, high land and labor costs, all of which constrained Shanghai's development. These issues persisted throughout the late Qing and the Republic of China, remaining unresolved.

Undeniably, Shanghai was one of the most developed cities in China, with a thriving commercial sector and a rare bright spot in the industrial landscape of old China.

The first impression Yang Yuanzhao had upon arriving in Shanghai was the sheer number of people—Chinese and foreigners, bankrupt farmers and small artisans, wealthy merchants, officials, and scholars—all mingling together, forming a unique modern Shanghai. This unique character, infused with foreign influences after the city's opening, became a hallmark of the region.

Shanghai was not the first to open, and the history of foreigners in the city was far shorter than in ports like Guangzhou and Quanzhou. However, with its unique geographical location and inherent charm, Shanghai seamlessly integrated Eastern and Western cultures, spontaneously becoming the largest financial center and market in the Far East. By the Republic of China era, it was even the financial center of the Far East.

Shanghai, along the Yangtze River, radiated influence across the entire Chinese hinterland. At some point, Shanghai's importance surpassed that of Guangzhou, becoming one of the most valued cities by foreign powers. The concessions, a symbol of humiliation, grew from a small corner to a significant part of the city, with their culture deeply ingrained in Shanghai's essence.

Reflecting on Shanghai's past and present, the ship slowly approached the dock. The dock presented a different scene, with a large group of ragged workers and some burly men in black standing nearby. Old Shanghai was a picture of poverty and bustle.

On one side, the busy port and shipping industry thrived, with every dock a focal point for gangster rivalries. The docks were places of profit and foreign ships. In contrast, the slums near Zhabei grew heavier with the increasing taxes, driving many self-sufficient farmers to bankruptcy. Despite the wealth of the Yangtze River region, they could not find enough food and flocked to Shanghai, the city of gold. However, life in Shanghai was a cruel joke; it did not offer them prosperity but greater hardship.

The faces of the laborers, the people, the numb expressions—this was the true portrayal of old China. In that moment, Yang Yuanzhao realized that his mission was not just to save China from its tragic fate but also to reform the people's mindset. Otherwise, even a prosperous nation would not bring happiness but disaster.

The concessions, a unique historical mark in China since 1840, were etched into the tragic history of old China. They were "states within a state," with their own laws, enforcement, judiciary, and military presence, forming a completely foreign territory. Ironically, during the Republic of China's golden decade, the concessions were the best protectors and promoters of national industry and commerce. Elsewhere, some industries might develop due to temporary opportunities, but they were often wiped out by heavy taxes and warlord conflicts.

Before World War I and the Spanish flu, hygiene was not a priority in China or abroad. Streets were littered with garbage, and in some places, dirty water flowed freely. Only the main roads, with hired cleaners, were somewhat cleaner.

The Jenny docked at the Shanghai port. As the gangplank was lowered, a crowd of ragged dock workers swarmed over, more chaotic than in Hankou. A few burly men in black shouted loudly, and the spacious dock suddenly became crowded and complex.

Seeing this, Uncle Guang made a quick decision, ordering Daniu to find some rickshaws. They quickly left the chaotic port. As the rickshaws sped away, the unique streets of Shanghai gave Yang Yuanzhao a sense of disorientation.

The lane houses in Shanghai were beginning to take shape. The garden villas and Huangpu River shops represented the city's wealth and commerce, while the lane houses symbolized disorder. Shanghai's population was already significant, with a large influx of bankrupt farmers from northern and southern Jiangsu, Zhejiang, and Anhui, all seeking their dreams in the city. However, they found that Shanghai was not as good as they imagined. Only a few lucky ones found work in factories, barely supporting their families with hard labor. The rest often joined gangs.

The Green Gang was an inescapable part of Shanghai's history, with most figures in the city having some connection to it. The chaotic situation, exacerbated by foreign powers, made the illuminated Bund at night perhaps the most prosperous and luxurious place in China. In the dark corners, however, crime was rampant.

The rickshaws sped up, traveling on the main roads, but in the side alleys, one could see men wielding axes and knives, engaged in violent fights. This was old Shanghai, a city of chaos and gangsters.

The rickshaws slowed to a stop. The Yang family had only two shops in Shanghai, selling some specialty goods from Shanxi. Fortunately, the shops had a front and back section, with a small courtyard and guest rooms. They had sent a telegram from Wuhan, and everything was arranged, though it was slightly more modest than in Hankou.

Yang Yuanzhao did not complain. Throughout the journey, he had been thinking about how to plan and develop. Initially, the focus would be on light industry, which was known to be profitable. China's vast territory and population provided a fertile ground for light industry. For example, the annual production of 300 million yards of cotton cloth was a staggering number. From the late Qing to the Republic of China, cotton cloth and yarn were tools for Britain and Japan to plunder China's wealth, even more so than opium.

Cotton textile production was not a small-scale workshop; it required significant investment. He was familiar with the cotton textile industry of this era. Shanghai had several government and private cotton mills, including Dasheng, which mostly used steam engines. Steam engines were slow and had low power. He had a gasoline engine that, though not yet tested, could be modified to improve efficiency in cotton spinning. Enhancing efficiency in light industry would bring numerous benefits, such as cost and quality advantages. Using cotton textiles as the lead, and relying on the cotton cultivation in the Mongolian region, they could accumulate capital in the early stages. This was crucial, especially in terms of skilled workers. China was a backward society, with a severe shortage of skilled mechanical workers. For example, any issue with the imported textile machinery required foreign workers to be dispatched.

The rickshaws came to a gentle stop. The Yang family's two shops in Shanghai were modest but well-arranged.