Moreover, Japan gained all the unequal privileges of foreign powers in China through the war, forcing the Qing government to open four trading ports in Shashi, Chongqing, Suzhou and Hangzhou, so that Japan could set up factories at the trading ports in China, and its products could be exempted from various taxes and stored in the mainland. All these have greatly promoted Japan to import raw materials and export industrial products from China, open the China market and expand domestic industrial production.
Japan regards foreign expansion and plunder as a shortcut to develop its own capitalist economy. In fact, the Japanese government used huge war reparations, which not only expanded the army and transferred it to royal property, but also developed industries, especially military industries, which played an important role in the development of modern Japanese industry. In the iron and steel manufacturing industry, the government-run Bagan Iron Works (Iron and Steel Works), which mainly used the reparations obtained in the Sino-Japanese War of 1894-1895, was put into operation on 190 1. Its raw material is iron ore from Daye, Hubei, China. After the steel plant was put into production, its pig iron and steel output accounted for a large proportion of the total steel output in Japan. The completion and commissioning of the steel plant not only provided a large number of military materials for the future Russo-Japanese war, but also laid a solid foundation for the whole Japanese heavy industry. In shipbuilding, the naval expansion plan after the Sino-Japanese War of 1894-1895 promoted the rapid development of private shipbuilding industry, making the total number of domestic ships quickly exceed the number of imported ships. In the shipping industry, due to the needs of the war and the special protection of the government, after the Sino-Japanese War, Japan Post, Osaka Merchant Shipping and Toyo Steamboat have monopolized Japan's shipping industry. In the textile industry, after the Sino-Japanese War of 1894-1895, due to the sharp increase in the number of textiles exported to China and North Korea, the number and total output of textile enterprises increased significantly. According to statistics, in the short period of three years from 1896 to 1899, the export volume of cotton products has increased eight times, and the total output has nearly doubled.
In foreign trade, with the import of industrial raw materials and the export of finished products, the total trade volume has doubled. In banking, due to the development of capitalist economy, the number of banks has increased from 454 in 1893 to 1802 in 900, showing a sharp increase trend. After the Russo-Japanese War, Japan's capitalist economy entered a golden age. Because the post-war arms expansion increased the demand of the domestic market, by plundering the vast colonial markets such as Taiwan Province Province and North Korea, the large capital enterprises that had made huge profits during the war once again achieved rapid development.
Japan decided to implement the gold standard in 187 1, but due to the lack of necessary gold reserves, it actually implemented the silver standard. At that time, the continuous decline in the price of silver in the international market devalued the yen, leading to an increase in the price of imported products and domestic inflation. In the early Meiji period, Japan began to implement a modern monetary system. At that time, the exchange rate of gold and silver was about 1: 16, but by 1894, it was about 1: 32, and the currency depreciated by about half. Therefore, Japan deeply feels the urgency of changing the silver standard into the gold standard. While Japan suffered from the shortage of gold reserves, the huge compensation paid in pounds and gold coins in the Sino-Japanese War of 1894-1895 provided Japan with reserve funds to implement the gold standard. Taking this opportunity, Japan finally established the gold standard system in 1897, which laid the foundation for the development of capitalist economy.