Omaha daily bee., 1890-06-23
SIGNIFICANT TRADE MOVEMENT.
The Western Iron Markets Growing in
Imnortnncc,

A matter which has been the source Of
some comment lately is the prominence which
the west occupies as leader In the iron and
steel markets, says the Iron Age. Relatively
the cast has declined in importance, and this
Is more particularly true of New York. One
cause for this decline is not far 10 seek. The
falling off in imports, through the growth OF
our home industries, has shorn the seaboard
cities of a trade which once was large. One
by one the branches which were influenced
by foreign markets have emancipated them
selves. The Scotch iron importations have
dwinded until only those are willing to pay
for the metal who cling TO time-honored mix
lures, or who have not learned or will not
learn how to substitute American irons.
Once thousands of tons of foreign Bcssemer
pig iron were sold in tidewater markets. Now
only occasional small lots of special iron are
purchased for American account. Enormous
quantities OF steel billets, blooms and slabs
came into New York, Philadelphia and Balt-
more. Now sales have become so infrequent
that few importers can quote off hand. The
American rod mills have captured the mar
ket for common wire rods so that
that business has also practically
gone at least for the present. There is very
little prospect too, th..t steel rails will figure
prominently in the import lists unless the de-
mand for them develops in an unexpectedly
which we still largely depend upon foreign
makers for the greater part of our supplies
are spiegeleiscn and ferromangancse. In both
the American production has very considera-
bly, increased during the past six months,
more rapidly probably than the total demand.
But there is, we believe, another very po-
tent cause for this movement general in its
character With the westward movement of
the center of our population and our wealth,
the consuming markets have moved toward
the Mississippi 1t is west of the Allegheny
Mountains, and in the south and southwest
III which the greater part of the new develop
mcnt is progressing For new work the re-
quirements of iron and steel are always enor-
mously larger than they are for simple re-
newals and repairs. Local productive capac-
ity has fully kept pace with this development
ana in many places has gone ahead of it. The
result has been that the share which once the
eastern mills had in this business has
dwindled down to small proper
portions, and that at times the
western works have turned the aggressors,
invading the eastern markets. AS soon as
the demand in the west shows signs of fall
ing off, western mills appear as low sellers in
eastern markets, which recover only when
their competitors find more remunerative
business at home. The result has been that
the leadership in the markets of the country
has been assumed, and seems destined to re-
main in the future, with the western centers
of production. This has, of course, been a
matter of gradual growth 1t has been fore
seen by far-sighted men. 1t is no new dis
covery but it has never been so emphasized
as during the past year.
There is no remedy for it. 1t is the result
of natural causes. We do not believe that it
is the due except in an unimportant degree, to
lack of enterprise on the part of the trade
east of the Allegheny mountains. We do not
believe that the temperament of a body of
men in the different sections plays a very i'm
portant part, but no one will question that
there is such Il difference. The eastern trade
is more conservative. 1t is less likely to be
carried away by sudden revulsions of sent-
ment-a fact which, however,is probably due
to the circumstance that fluctuations in the
demand are less violent.