Savannah morning news. [volume] (Savannah) 1868-1887, 1882-01-30
A Crashing Monopoly.

I
American right of making steel by that
process. and being protected by a duty
of SOS per ton on steel rails, they also
secured the monopoly of making these
rails in this country. We read that dur
ing the year 1881 this combination manu-
featured one million tons of steel rails,
which they sold at $50 per ton, although
in the absence of a protective tariff of
$2s per ton the same rails could have
been sold in the United States for about
$50 per ton. Thus the ten or twelve
mills enjoying the monopoly OF
making Bessemer steel rails in the
United States have, on account
of this protective tax of $2S
per ton, received nearly 100 per cent. in
advance of whit those rails might have
been bought for under a tariff for rove
nue. only. and it is estimated that the SOS
per ton tax. cost the railroads of the
country using steel rails $50. 800 COO last
year-a sum equal to the entire expenses
of the country during one year Of Gen.
Jackson's administration. and but little
over 500. 900 600 less than the expenses
of a years administration under Presi-
dent Pierce. And be it borne in mind
this tremendous tax on our railroads, for
the benefit of these ten or twelve steel
rail Misunderstanding establishments,
was not borne by therOads. 1t was
borne by the mass of the people
who had to pay it back to the roads
in increased passenger and freight rates,
and so in this, as in every other instance
where a protective tariff comes into con
sderation, the people were taxed extor-
tionstely that the few might accumulate
enormous and rapid wealth.
One would have imagined that, after
enjoying such a vast mine of wealth,
these steel rail monopolists would have
been satisfied, but not so. Like Oliver
Twist, they wanted more, and it seems
that they are about to be successful.
Until within few years the manufac-
ture of iron rails was a great industry in
the United States, and iron mills manu-
featured all the rails used on the 20, 900
miles of railway in the country. They
were extensive establishments in which
great sums of capital were invested, and
the expenditure for labor was large. The
4 - ho1 - %
effect of breaking up the business
Of making iron rails in a hun
dred mills. But the owners of the
iron rail mills, being excluded by
the purchased patent right and
combined exclusive manufacturers Of
Bessemer steel, began at once to import
English steel blooms and rolling them
into rails, in this way of course interfering
with the Bessemer patent right monopoly
elevcn-mill combination. They have
thus been able to operate their mills and
manufacture steel rails in spite of the
eleven-mill monopoly. and every possible
effort has been made to induce the Treas
ury Department to prevent this by so
constituting the tariff act as to make these
steel blooms pay duty as steel or as ingOt
steel rails. but so far the effort has been
unsuccessful
At length, however, Mr.. Keifers Com
mittee on Ways and Means-given by
him to the control of Pennsylvania pro
tectIonists in consideration of their hav-
ing voted for him for Speaker-has re-
ported favorably on a bill to impose
tariff OF all steel imported, whether as
blooms or otherwise, of two and quar-
ter cents per pound, or at the rate of
ffty-six dollars per ton, the tariff on
steel in the form of blooms at present be-
ing forty-five per cent. Gd Ualorema or
about thirteen dollars per ton. This bill,
if passed, will, It is evident. destroy ut
| terly the manufacture of steel rails from
steel now imported to a tax of thirteen
| dollars per ton. 1t will close every one
of the mills now manufacturing rails
| from steel blooms, aud will leave their
machinery useless and force them to dis
| charge all their labor. 1t will make the
/ tax on raw steel from which rails may
be made twice as great as the tax on
steel rails, which tax is from eighty to
one hundred per cent, and it will raise
the tax on steel blooms from twelve
dollars to fifty six per ton-from forty
five per cent. to two hundred and ten
per cent?
Commenting On this proposed iniquity
the Chicago Tribune, which, though a
Republican paper, Is opposed to the
masses of the people of the great West
being ground down still further for the
benefit of protected mono?olists, well
saws:
The sole object of this proposed bill
is not in the interest of the public, and
is confessedly not for revenue 1t has
no possible object other than to crush
out every manufacturer of steel goods in
the United States outside of the cOmbi-
nation of steel mills who own the Eng
lish patent for making Bessemer steel in
the United States.
THE House of Representatives is
called upon by the Ways and Means Com
mittee to prostitute itself to the dishon-
est workNOf swelling the enormous roy
atty on y purchased patent. The orig
| ;nal inventor Of that patent offers steel
at $50 per ton. This bill imposes a tax
| of $50 per ton on the steel made by the
same patent. McKinley's bill proposes a
| prohibition of the importation of any
steel whatever by any other rail com
pany. except at tax of 210 per cent. on
| the raw material.
"The manufacturers Of the United
States are prohibited from importing any
steel from which to make rails. under a
tax of $50 per ton. or 210 per cent, and
they are prohibited by this English pat
ent, held by this combination, to make
any Bessemer steel in the United States.
The Committee of Ways and Means,
under the plea of protection, makes it.
self the organ of this monster monopoly,
and betrays the public-betrays the
whole body of manufacturers of steel
and steel goods. Its action is scandalous,
and should be repudiated by every man
in Congress who has a face capable of
/ blushing for an act of infamy"
GA gentleman by the name of limbo
den" has written to the Louisville Courier