“Soft Gold” Before the Gold Rush: Sea Otter Pelts in the “Competitive Expansion” of Merchant Capitalism and the Creation of a Pacific Ocean Economy

Abstract

Objective/Context: In this article, we examine how Chinese demand for pelts—of sea otters and other marine mammals—fueled the eighteenth-century competitive expansion of European and later American merchants and explorers in the Pacific islands and along the Pacific coast of North America. Sea otter pelts were a commodity directly linked to the creation of a Pacific Ocean economy, and California’s colonization resulted from imperial dynamics to which this trade gave rise. Methodology: Using both primary and secondary sources, we examine how these merchants’ quest to supply the lucrative Chinese luxury market with furs—“soft gold”—brought them into contact with indigenous peoples whose livelihoods and commercial networks would also be recruited into this global market but on quite unequal terms and with devastating consequences. Originality: The growth of this Pacific trade throughout the eighteenth century fueled geopolitical rivalries that led to the colonization of California with a system of missions and military garrisons (presidios) and, eventually, to a new ecology as a result of plants and animals brought from New Spain before the Gold Rush and the Treaty of Guadalupe Hidalgo. Many, including Marx and Engels, have claimed that the Gold Rush contributed significantly to the dynamics of industrial capitalism; nevertheless, we argue that its conditions of possibility were laid out centuries earlier via the complex geopolitical and ecological connections through which this Pacific economy was articulated. Conclusions: During the eighteenth century, the Pacific’s products were extracted and commodified in circuits whose demand center was China. It is precisely the prior existence of these global markets—centered on silver and “soft gold,” or sea otter furs—that explains the presence of Europeans and Americans in California eager to prospect for the yellow metal in 1848.