legitimacy of the Portuguese monarch. Portugal kept all of its remaining overseas colonies, with the exception of Ceuta on the north African coast, who didn't recognize the Bragança Dynasty during the war. Results of the war For Portugal, its restoration of independence from Spain was clearly established, and it proved that it could fend for itself, albeit with difficulty. Its victories on the battlefield had re-awakened Portuguese nationalism. Economically, Portugal's restoration of independence freed it to pursue the course mapped out by the pioneers of commercial imperialism. During the seventeenth century, its economy depended largely upon entrepôt trade in tobacco and sugar, and the export of salt. During the eighteenth century, even though staples were not abandoned, the Portuguese economy came to be based more upon slaves, gold, leather, and wine. Portuguese trade, centered in the busy port of Lisbon, was most influenced by Anglo-Dutch capitalism and by the colonial economy in Brazil. Luís de Meneses, the Count of Ericeira, economic adviser to the prince regent, advocated the development of a native textile industry based on a Flemish model. Factories were established at Covilhã, in an area of central Portugal where there was easy access to flocks of sheep and clean mountain water, but they were highly unpopular with both local consumers and traditional weavers. Meanwhile, Portuguese attempts to develop a silk industry were undercut by the French, who wanted to monopolize that market. More importantly, after 1668, Portugal, determined to differentiate itself from Spain, turned to Western Europe, particularly France and England, for new ideas and skills. This was part of a gradual "de-Iberianization", as Portugal consolidated its cultural and political independence from Spain. Portuguese nationalism, aroused by success on the battlefield, produced hostile reactions to Spain and to Spanish things and persons. By this time, Portuguese society was composed of two basic elements: those who participated in the gradual Europeanization process, the “political nation,” and those who remained largely unchanged, the majority of the people who remained apolitical and passive. Macau - the Portuguese colony in Far East, remained loyal to the Portuguese monarch during the entire occupation period, thus it was awarded title “Cidade do Nome de Deus, Macau, Nao Ha Outra Mais Leal”, or “City of the Name of God, Macau, There Is None More Loyal” by the King John IV of Portugal in 1654. See also 1580 Portuguese succession crisis Dutch-Portuguese War, 1602–1663 History of