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politics1786

Economic treaty between Great Britain and France in 1786

September 26, 1786

The Eden Treaty of 1786 reduced tariffs between Britain and France but favored Britain so heavily that French economic grievances contributed to the French Revolution.

Quick Facts

Year
1786
Category
politics

Key Facts

Date signed
26 September 1786
British negotiator
William Eden, 1st Baron Auckland
French negotiator
Joseph Matthias Gérard de Rayneval
Treaty collapsed
1793, following outbreak of war between Britain and France
Key British influence
Adam Smith's Wealth of Nations and PM William Pitt the Younger

By the Numbers

26
Date signed
1
British negotiator
1,793
Treaty collapsed

Location

France

Cause → Event → Consequence

Cause

The loss of Britain's thirteen American colonies reduced its trade base and prompted a reassessment of commercial policy. British Prime Minister William Pitt the Younger, strongly influenced by Adam Smith's Wealth of Nations, sought to ease the prolonged economic hostility between Great Britain and France through a negotiated tariff agreement.

Event

Signed on 26 September 1786, the Eden Treaty established a framework for reducing tariffs on goods traded between Great Britain and France, effectively suspending the economic war between the two nations. British obstinacy during negotiations resulted in terms largely favorable to Britain, leaving French industries exposed to unequal competition.

Consequence

The treaty's asymmetric protections damaged French industry and commerce, deepening popular discontent. It is considered one of the economic grievances that helped ignite the French Revolution. The agreement ultimately collapsed in 1793 when the National Convention argued the British Aliens Act 1793 violated its terms, and the outbreak of war between the two countries ended any prospect of renewal.

Political Outcome

Outcome

A bilateral tariff-reduction agreement was reached, briefly ending the economic war between Britain and France, but collapsed in 1793 amid war and treaty violations.

Before

Ongoing economic war with high tariffs between Great Britain and France

After

Reduced tariffs heavily favoring Britain, weakening French industries and fueling social unrest

Signatories

William Eden, 1st Baron Auckland
British negotiator
Joseph Matthias Gérard de Rayneval
French negotiator
William Pitt the Younger
British Prime Minister, key motivator

Timeline Context

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