The first part of this article investigates the private traders along the Chekiang coast and the Portuguese settlements in Ningp'o. 1. The private trader in Ningp'o and the arrival of the foreign merchants. Before Teng Lao escaped from prison and went down to the coast in the 5th year of Chiaching, Lu Huangszu was already in Shuang-yu-kang, therefore I presume that after the expulsion from Tamao, the portuguese went to Ningpo. Since the early private traders like Chin Tzu-lao and Li Kuangt'ou were Fukienese, those who guided the Portuguese to Ningp'o were probably also Fukienese. 2. The private trader in Shuang-yu-kang and the Hsu brothers. In the 19th year of Chiaching, Hsu Erh and others persueded the Fo Lang Chi (Portuguese) to come to Chekiang coast for trade. Here we make an account about the general condition of the trade and clear up the history of Hsu brothers beginning from their stay in Shuang-yu-kang till the arise of the disturbance. 3. The rage of the private traders and its origin. In the 24-25th year of Chiaching Hsu brothers became bankrupt and ran away from their former place and invaded Chekiang and Fukien, then from private traders they gradually became pirates. The historical sweep of Shuang-yu-kang. From Chu Wan's account of his military success we may trace the development and the consequence of his attack on the pirates' den in the 27th year of Chiaching. 5. The so-called Liampoo settlements as narrated by F. Mendes Pinto. In accord with the geographical and historical facts we review the account of Peregrenacao and we conclude that the settlement was Shuang-yu-kang and Liampoo city was Kuo-chu. 6. The situation of the Portuguese settlements. The account of Mendez Pinto concerning the housing, population, institution, organization and economic situation confirmed the account of Chu Wan. 7. The destruction of the Portuguese settlements. First we indicate how L. Pereyra was kidnapped by Chinese traders and how this fact conincided with Hsu brothers bankrupt; then we study the actual conditions of the destruction and the place where the escaped ships have gone. 8. The Portuguese trading place according, to Sui-lu-chih. From the account of V. Linschoten's Le Grand Routier' de mer we prove the sea route of the Portuguese traders and their trading as well as their winter lodging places.