In the 1820s, the American whaling industry was established in the Hawaiian Islands, as there were more whales in the Pacific than in the Atlantic Ocean. However, by the 1860s, the whaling industry as a whole was in decline, which meant there were fewer American ships looking for whales in the oceans and fewer needs for American whaling vessels in Hawaii. The decline of the U.S. whaling industry in the Hawaiian Islands coincided with the discovery of oil in Pennsylvania and the beginning of the first oil era. Even in the second half of the 19th century, thanks to the invention of steel during the Second Industrial Revolution (1870-1914), whale bones were no longer as widely used in industrial products (such as corsets). The climate and soil of the Hawaiian Islands were ideal for sugar cane production; Thus, an entire industry was encouraged by American trade in the Hawaiian Islands. This was particularly true after the decline of the whaling industry in the 1860s; In the 1870s, the sugarcane industry began to supplant it as one of the most profitable commercial transactions between the United States and the Hawaiian Islands. What is remarkable is that from the late 1860s until the American annexation of the Hawaiian Islands, there was a large influx of Japanese workers to the Hawaiian Islands to work the sugar cane fields. In the United States, complaints about the contract were filed by southern sugar plantation owners, who argued that the contract benefited Hawaiian planters and sugar refineries who believed that San Francisco refineries, particularly Claus Spreckels, had an unfair advantage.  In Hawaii, the government expressed concern that the United States Act of March 3, 1883, which reduced sugar tariffs on products imported from all countries, had put it at a disadvantage. Article IV of the reciprocity contract prevented Hawaii from entering into reciprocity contracts with other countries. President Chester A.
Arthur called for an amendment to the existing treaty.  After the expiry of the seven-year contract, it remained in effect year after year. In 1884, Henry A. P. Carter and U.S. Secretary of State Frederick Theodore Frelinghuysen sent a proposal to the U.S. Senate.  After several months of negotiations, an agreement was reached on 6 December 1884, but it will last another two years and 11 months before ratification by both sides. Article II of the extension gave exclusive use of Pearl Harbor in the United States.  The treaty`s ratifications were exchanged on 9 December 1887 and the agreement was renewed for a further seven years.  In the year following Kalkaua`s election, the treaty became a reality, although the treaty was not supported by all Hawaiians. There were concerns about American ambitions to negres the islands, and many people in the business world were willing to cede the exclusive use of Pearl Harbor to the United States in exchange for the treaty.
Part of Kalakaua`s electoral platform, as “Hawaii for Hawaiians,” had been to oppose the detachment of a sovereign country. Hawaiian MP Joseph N`waha predicted the treaty would be “a treaty that gripped the nation.”  There are precedents for this course, and the notes between H.M. Plenipotentiary Ministers in Washington and the Secretary of State, before the exchange of ratifications that I had the honour of placing before the legislature, says Mr. Carter: “The amendment you have just formally communicated to me was inserted into the convention in secret session of the Senate. , and there was no opportunity to consult and review the terms of their mutual consultation. so that my government was not involved in their construction and could not have proposed changes in its work to protect against misunderstandings.