The 

First Anglo-Chinese War (1839–42), known popularly as the First Opium War or simply

the Opium War, was fought between Great Britain and China over their conflicting viewpoints
on diplomatic relations, trade, and the administration of justice for foreign nationals.
Prior to the conflict Chinese officials wished to end the spread of opium, and confiscated around
20,000 chests of opium from British traders. The British government, although not officially
denying China's right to control imports of the drug, objected to this seizure and used its military
power to enforce violent redress. Alternatively, author Glenn Melancon argues that the casus
belli of the war was not opium but Britain's need to uphold its reputation, its honor, and its
commitment to global free trade. In the end, says Melancon, the government's need to maintain
its honor in Britain and prestige abroad forced the decision to go to war.[5]
In 1842, the Treaty of Nanking—the first of what the Chinese later called the unequal treaties—
granted an indemnity to Britain, the opening of five treaty ports, and the cession of Hong Kong
Island, thereby ending the trade monopoly of the Canton. The failure of the treaty to satisfy
British goals of improved trade and diplomatic relations led to the Second Opium War (1856–60).
[6]
 The war is now considered in China as the beginning of modern Chinese history.
From the inception of the Canton System by the Qing Dynasty in 1756, trade in goods from China
was extremely lucrative for European and Chinese merchants alike. However, foreign traders were
only permitted to do business through a body of Chinese merchants known as the Thirteen
Hongs and were restricted to Canton (Guangzhou). Foreigners could only live in one of
the Thirteen Factories, near Shameen Island, Canton and were not allowed to enter, much less
live or trade in, any other part of China.
Opium was produced in traditionally cotton-growing regions of India under British East India
Company monopoly (Bengal) and in the Princely states (Malwa) outside the company's control.
Both areas had been hard hit by the introduction of factory-produced cotton cloth, which used
cotton grown in Egypt. The opium was sold on the condition that it is shipped by British traders
to China. Opium as a medicinal ingredient was documented in texts as early as the Tang
dynasty but its recreational use was limited and there were laws in place against its abuse.
But opium became prevalent with the mass quantities introduced by the British. British sales of
opium in large amounts began in 1781 and between 1821 and 1837 sales increased fivefold. East
India Company ships brought their cargoes to islands off the coast, especially Lintin Island, where
Chinese traders with fast and well-armed small boats took the goods for inland distribution.[12]
A turning point came in 1834. Free trade reformers in England succeeded in ending the monopoly
of the British East India Company, leaving trade in the hands of private entrepreneurs. Americans
introduced opium from Turkey, which was of lower quality but cheaper. Competition drove down
the price of opium and increased sales.