An item referred to the magazine le Yacht reporting that Yuan-Chi-Kai, viceroi of Petchille ordered in 1901 that the Chinese navy was to be reorganised. Tchefou was to become the main naval base of the fleet including an officers academy. Since 1901 was a part of war budget used for maintenance of the navy and development of the merchant marine. The small Chinese fleet was divided in 4 squadrons. The Peiho-squadron consisted of 6 cruisers between 1.800-4.300 ton, 1-1.250 ton gunboat and 1-335 ton destroyer, the Nan-ho squadron consisting of 5 cruisers of 1.477-2.000 ton and 19 gunboats of 300-1.200 ton, the Canton squadron consisting of 11 gunboats of 400-2.000 ton and 20 torpedo boats and the small Fou-Tcheou squadron consisting of 5-100 ton gunboats.
