The sun., 1891-02-16
STEEL ASD STEEL RAILS.
The Cost OF Production In the Northerr
and Southern States ana In Europe.

phrtInent, WIFI Wow 10 aSCeTtuInluB tnO Cost
OF producing articles dutiabls in tho United
States in leading countries where such arti-
cles are produced by units of production, In
order to show the differences In cost OF ptoduc-
tion between this country and Europe
and tho possible bearing OF these differ
ences upon tariff raeta The report covers
three features the first relating to
tho cost Of production OF the articles Sc.
lected. the second relating to the rates OF
wages. time. earnings. and efficiency OF the
labor employed, aud tho third relating to tho
cost OF living and total earnings and expend-
lures OF the men employed. For the purposes
OF this report Col. Wright has divided tho
United States into two districts tho Northern
pig 1V ron prodased ID in 2G os,sbisHments % in the
Northern district Is givon as follows:
r....,,, item. - %s!ries o. TssIsI
q. N: sssess
Cost Cost 81 a. al sss dasGsi ss
Ay!srass COS! % all materials per ,,.,. ...
AVERAGE so.t or labor. 10, per ton .a. a,
Average cost Of ali elements per
toi VI prouuct. .................... l3NS 1uI51
A comparison OF the cost of materials used In
the Northern and southern Listricts OF tho
great although the difference. so Tar us tho ore
is sonse,nsd. Is partially offset BY its yonpar:
sss. s TSe ors ns5 tine
costs per ton an average, pi 81 4lol: the, cinder.
sSIap w. ,s2;gsi; t.S llmsstone 7o.S cents:
In the southern district tor the ore is sl.ol3:
lne ~ cndsr, SCRAP, &c slosi T." limestone' @
The report ' SHOWS % the total cost on Of ons tom
Of pig irop from tho mining OF the materials to
the finished product in thirtcen establish.
the Southern. and one In Great Britain. In
the Norl hern district the direct cost Of labor ia
370io sy44 for officials and clerks. from III.
70 81 cents supplies. repairs. aud taxes. from
Go as ss so ss r. pSns SHs,s
blast furnace from sl:i9to 5000. The totals.
In the Southern district the costs per ton OF
~ ,na a5 Of furnace @ n! ranEe AZ i9oMs Direct labor
4o cents; supplies. ierairs. anu Iaxes. 60 cents
to sl.2y atransror5atlon, TO point where used; Sc
aud costs AS charged by Ula.t furnace. II cents
to *2.O7. The totals therefore range from sy lli
per ton to slO.Gl. In one establishment in
Great Brita the total cost OF those clements
Another table shows tho results Of inquiries
as % :" the SNst OF PRODUCING steel rails in thir-
United states. eight on the Continent Of Eu:
rope. and three in Great Britain In the United
one esiasshnent & and ss5ii ssS Ut The other
Yns S"st Of aeor .nS WIS and .Ss tot
the Continent the net cost Of materials varied
from rom sl.6sto sl9:ss: tho cost Of labor from
ais Varied from si6.3y to sIs.O5: the cost OF la
Dor from 1896 to t2954;. The totals therefore
Col Wright anys that tho llbor cost In one
ton Of steel rails. speaking OF labor cost after
all the materials have been assembled and are
tions for the production OF rails. should DO less
Per ton relatively in this sountEy than in Great
American producers Of rails dispense with at
least one extensive process still adhered to by
most other countries. Hence The quantity
Of ore % rssured for the Eous1inn q
in many places abroad and the labor required
to handle the materials In n way to pro iuce q
ore used In different establishments. In an
% ba sfnie n or dsre
%erH necessary ior the Of one ton
Great Britain 5.l27 rounds Of iron ore were
necessary for the production o, one ton OF prac-
Continent OF Europe 5.7Oi pounds oi ore we're
These. Col. Wight says are:far more indicative
OF the true conditions surrounding the pro-
Of
labor cost OF production in these three ,estah-
!i.hmsnts B, . was sli5s for The Unite4 States
theb United States OF s3.7S in favor OF Gr.au
Britain aud $3.49 in favor OF the continent of
Europe.
In speaking Of transportation Of steel rails
Col right says that In SOM. eases the heavy
freight charge for transporting iron and steel
rails benefits American mannfacturers in
others it places them at a serious disadvan.
tage at ports where there is water competition
with European manutaetnrers, As an illus.
rates with reference 10 steel rails. the report
quotes tho statement OF the manager OF one OF
the la-gest steel companies IN the United
States. He said that lhe difference in cost Of
production OF steel rails IN Chicago, for in
stance. and in England would not exceed So. so
or 81 per ton. and that the freight rate t$5 per
toni from Chicago to New York offered large
protection to his company.
from New York to san FEancisco is 81 40; as
Francisco. and it has. as the same manager
states. always been cheaper to ship rails from
Chicago to New York. rate IS per tom and then
ship them from there to San Francisco. than to
ship them directly from Chicago 10 San Fran
cisco Tho same manager prenafed the follow
iish rails per ton in Liverpool New York. Gil
csgo, and San Francisco IN November aud De-
cember. 1890:
Tthcs: , I. Hah