Savannah morning news. [volume] (Savannah) 1868-1887, 1885-12-30
IRON AND STEEL MAKERS.
A WONDERFUL I>I1VEV AL IN tn f
TRADE IN SIX MONTHS.

PHILADELPHIA, Dec pa review Of
the iron ttade Of 1885 mas just been pre-
pared by James N. Swank, General Man
aver of the American Iron and steel AS
ISOLATION. Tue beginning OF the year was
marked, he says. "by continuation OF the
DEPRESSION Of 1884. There was STEADY
sagging of prices from January TO july
except for steel rails. the quotations Tor
which improved a tribe in May. In July
and August all prices stihened ana III
September a slight advance was estap-
ishcd, steel rails taking the lead and con-
tinuing to advance until December. Inc
limitations for the four leading staples TOR
each month of the year will show that me
prices at the close of the year were much
more favorable than at the close OF the
first half OF the year.
PRICES COMPARED.
"a comparison OF prices shows that pig
iron was SIS in January, ST. 20 IN July
and SIS 25 in December. Steel rails were
S27 in January, $26 in April and $54 oO III
December. Bar iron was $40 % in Jan
nary. S36 OS in July and $50 20 in Deem
her, Cut rails were 81 10 in January,
81 in August and s. 90 in December.
These quotations are monthly averages
Tor No. ! anthracite foundry, pig iron and
best refined bar iron per gross ton at
Philadelphia, tor cut nails per keg
wholesale at Philadelphia and for steel
rails per gross ton at PennsylNania
mills. Steel rails, however, show the
greatest advance in price during the last
half of 1885. In April sales were made at
PENNSYLVANIA mills at $26 and SIG a0and
few sales are said to have been made at
the astonishingly low price of$25 30.
LOWER THAN FOREIGN PRICES.
"These prices were lower than foreign
steel rails could have been delivered al
Atlantic ports at the same date II entirely
free of duty. In May quotations adj
yanced TO S27, and the price thus estab-
ushed was substantially maintained till
the last of August, when further ad-
vance took place in consequence oil an
agreement among manufacturers TO limit
and distribute the output for 1886, which
was fixed at $4,000 tons, but restric-
ton was placed upon the price, each
manufacturer being permitted to make
his own price. The regulation of the out.
put was found to be absolutely necessary
to prevent further forcing Of rails on the
market at prices below the cost OF manu-
facture. Even railroad companies did
not desire this state of affairs to continue.
A STEADY ADVANCE.
'sFrom August to November the price
steadily advanced as a result, partly OF
the restriction OF production which had
been determined upon and partly OF the
general improvement which had taken
place in the business Of the country. and
in the last named month and IN Deem
her sales were made at $50. In Deem
Der manufacturers enlarged the limit Of
production for 1856 TO 1.000, 600 tons.
.'If ever trade combination was iusti-
fahle,n saws Mr.. Swauk. ''this steel rail
combination is entitled to be most favor
ably regarded. 1t not only gave to manu-
facturers living prices instead OF losing
prices, but it helped wonderfully in re-
storing a healthy tone to all business. A
similar combination has existed for about
two years among the European steel rail
manufacturers.
AN INCREASED DEMAND.
''But the prices OF pig iron, bar iron,
nails, steel rails, and other forms Of iron
and steel. could not have advanced in the
last half of 1885, If there had not been an
increased demand for these products.
After Sept. this increased demand be-
came everywhere noticeable. and it has
continued without interruption to the
present time. This is after all the most
gratifying feature of the revival in our
iron and steel industries. High prices
are less to be desired than a steady in
creasing demand. With an increasing
demand prices at least remain firm.
They cease ~ tend downwards, stability
is secured, ana apprehension is allayed.
What is produced is sold promptly.
TARIFF AGITATION.
'',The increased demand for iron and
steel, which occurred in the last hall OF
1885 and which was one Of the incidents
OF the general improvement in the bust
ness Of the country, might confidently be
counted on TO continue throughout the
whole of the new year but for ore little
cloud upon the horizon. If there was No
threat to-day OF tariff revision the promise
of 1886 would be bright indeed. Not tC
borrow trouble, however. it can most posi-
lively be said that a feeling OF confidence
in the future of business now prevails
throughout the entire country. We have
entirely recovered from the effects o
whatever panicky feeling prevailed a veal
or six months ago. The uncertainty abOu
silver may excite financial circles, but b
is exercising no injurious effect upon gen
eral business.
THE OUTPUT FOR 1885.
"Although complete statistics are no
in, it is certain that we made almost a,
much pig iron and as many steel rails il
1885 as in 1884. The first half OF lSS.
showed a greater depression in thes'
branches and in other branches than il
any other six months since the reeen
period of depression began, and, Of course
with restricted consumption and fallnl
prices the production Tell OF. In the frs
hal! Of 1876 the total production Of pil
iron was >. l50Sl6 net tons Of , 1000 pounds
against 2,26I, 02l ions in the first half o
1884, and 1892, j92 tons in the second halt
The production of Bessemer steel rails IL
the first half of 1855 was ib2, f46 net tons
against 593 $40 tons in the first half Q
1884. and 522. 25i tons in the last halt.
THE RECORD or 1884.
"Our production OF pig iron in 1884 wa
4.5S9,6l3 net tons, and onr production o
Bessemer steel rails was | .ll6 1921 net tons
The stocks Of PIC iron az The close Of 1873
aggregated 593 600 net tons. Al the clos
of 1885 there was certainly no increase
and there was probably a slight decrease
Railroad building in 1885 was more actiy
than has generally been supposed /
would be. In 1884 we built 1850 miles q
new railroad, anu in 1885 We built owe
5000 miles, which is 500 mi les above IN,
estimates for the year that were made a
late as July. We shall do better in 1886
THE EUROPEAN IRON TRADE.
"The European IrOn trade exhibited NJ
symptoms OF tne revival of 1885, hut on IA
contrary, the backward movement whic
has from the first more than kept cvel
pace With our own depression, con tinue
until the close OF the year. Taking th
iron making countries Of Europe as