Daily globe. [volume] (St. Paul, Minn.) 1878-1884, 1880-01-22
THE TARIFF on STEEL RAILS.

There is considerable degree OF interest
Just now in all sections of the country over
the proposition introduced into Congress to
reduce the tariff on steel rails from twenty
eight to ten dollars ton. This proposal is
heartily favored by all the railroad men in
the country. and bitterly opposed by the
proprietors of the rolling mills, and it is
quite probable that before the close of the
present session of Congress there will be- q
severe sight on the question, with the
chances, however, slightly in favor of the re-
duction.
The whole people of the country are more
or less interested in this matter. Cheap rail-
road iron will stimulate the construction of
railroads il all directions, and thus greatly
assist in developing the country. Dear iron
will produce the contrary result, and greatly
retard industry of all descriptions. Steel
rails are now selling at the enormous price
Of a hundred dollars ton. We have the
authority of the president of the Chicago
rolling mills fer the statement that the cost
Of their manufacture does not exceed forty
dollars a ton, and that fifty to sixty dollars a
ton would be fair, healthy price. The
present high price he regards as abnormal,
not at all likely to be maintained for any
length of time, but the fact that such extor-
tionate prices can obtain at all argues that
there is something wrong in cur system of
taxation.
Il is az old Democratic maxim thst people
should be permitted to purchase goods where
they can get them the cheapest. A year ago,
and holders Of manufactured material were
compelled to realize upon it even at loss,
steel rails were offered to the railroads Of
lkis country at twenty-five dollars ton.
This, aided to the tariff, brought their cost
up TO fifty dollars, and our own manufactu-
rers offered to supply the market for ten dol
lars ton less. We do not learn that any Of
them lost money on their contracts. On the
contrary nearly all of them have done pay
ing business and are making preparations to
largely increase the capacity of their works
out of the proceeds of their years profits.
But the price at which the English manufac-
turers sold their rails year age was excep-
tionally low. Nothing but dire necessity
would have induced them to offer them at
such figures. The average price in that
country has been from twenty five to thirty
dollars, leaving the purchaser to pay the cost
of transportation and the tariff.
With pig iron at its normal price the best
judges insist that steel rails can be manufac-
tured at an average cost of twenty eight dol
lars ton. Add to this the protection given
by tsn dollar tariff, and we find that our
manufacturers can easily sell the product of
their mills at very nearly forty dollars ton,
thus leaving them profit of ten to twelve
dollars ton. This ought to be sufficient to
satisfy even the most grasping monopoly.
But the motto of these organizations is to
get all they can and keep all they can get,
and we need not expect that they will sur
render the extortionate profit of eighteen
dollars additional given them by the high
protective tariff.
1t is not good policy on thu part of our
government to pamper one comparatively
small industry to the detriment of all the
railroads Of the country, and indirectly of
every individual in it. Our iron industry is
strong enough to protect itself-to compete
with the whole world, both as to the cost
and quality of its products. If there was
ever necessity for protection, it has long
since passed. 1t is now time to give the
public chance to procure the necessities
and luxuries of life without being obliged to
pay onerous tribute to the wealthy corpora
tons in whose interest the tariff was created
and maintained. We trust that Congress
will act favorably on the proposition to re-
duce the duty on this article, for it may
prove to be an entering wedge which will
cause general reduction all along the line
to strictly revenue basis.