In 1892 an official inquiry was ordered into the economic position of 'Foreign Orientals' in Java and Madura. The final report conceded their economic indispensability, but also demonstrated their 'harmful' presence. Increasingly, all kinds of economic and social wrongdoings were attributed to the Chinese presence in Java's interior. To diminish Chinese economic dominance the revenue farm system was gradually abolished. The revolt of the Chinese in the vicinity of Batavia, which led to the death of thousands of Chinese within the city itself, had everyone stunned. The Javanese reacted with disbelief since the Chinese and the Dutch were like two sides of the same coin. The Java War strengthened Dutch political authority. With the uproot of the Chinese commercial system in the 1890s a crisis was bound to surface. In 1895 the commercial sector of Surabaya started to experience difficulties.Keywords: Chinese commercial system; Dutch political authority; Dutch-Chinese commercial relations; Java War; revenue farm system; Surabaya