In 1776, the United States declared its independence from the British Empire. About the same time, Britain began to create in India what historians call the Second British Empire. By 1860, Britain had become the world’s leading industrial economy and dominated the princely states and peoples of the Indian subcontinent. The following tables trace the impact of political decisions on the American and Indian textile industries. As the legislature of an independent republic, the U.S. Congress could impose tariffs (taxes on imported goods) on British textiles; as colonies, Indian governments could not do so.
| Cotton Textile Production and Consumption in India | ||||
| Year | Population (millions) | Imports from Britain (mill. yds.) | Production for Domestic Consumption (mill. yds.) | Exports to Britain (pieces, ave./year) |
| 1751 | 190 | 0 | 1,598 | 632,000 (1750–1754) |
| 1801 | 207 | 0 | 1,741 | 1,355,304 (1800–1804) |
| 1821 | 205 | 20 | 1,704 | 542,117 (1820–1824) |
| 1841 | 212 | 141 | 1,642 | 192,965 (1830–1834) |
| 1861 | 242 | 514 | 1,538 | Data not available |
| Textile Production in the United States | ||||
| Year | Number of Cotton Mill Workers | Number of Spindles (ave./decade)1 | Imports from Britain (mill. yds.) | Average U.S. Tariff (as % of item’s value) |
| 1810 | 215,000 | |||
| 1815 | 70.81 | 25.0% | ||
| 1820 | 12,000 | 936,000 | ||
| 1827 | 52.86 | 53.8% | ||
| 1830 | 55,000 | 1,038,000 | ||
| 1835 | 74.96 | 40.4% | ||
| 1840 | 72,000 | 1,243,000 | ||
| 1850 | 92,000 | 1,709,000 | 104.23 | 27.1% |
| 1859 | 225.15 | 19.6% | ||
| 1860 | 122,000 | |||
QUESTIONS FOR ANALYSIS