This early local post stamp was issued by the Shanghai Local Post Office (L.P.O.) on March 5, 1866, as part of the first “Small Dragon” series, one of the earliest issues from any Chinese treaty port. Printed by typography in rose-red, the design features a finely rendered central dragon in oval frame, symbolizing imperial strength and local authority. The inscriptions include “SHANGHAI L.P.O.” at top, “2 CENTS” below, and traditional Chinese characters indicating denomination and issuing office. Although typically imperforate or with trial rouletting, this example shows highly unusual experimental perforation (perf 12) at top, possibly representing a hybrid between rouletted and unofficially perforated issues—a detail of particular interest to specialists. This stamp was printed locally on thin, toned paper and originally gummed, though the gum on this copy has become uneven over time. Despite some wear, including edge irregularities and hinge remnants, this remains a rare surviving example of China's earliest philatelic history. Catalogued as Michel CN-SH 28A, Scott CN-SH 42, Yvert CN-SH 20, SG CN-SH 32. Estimate "$400 – 600".