The morning call., 1892-07-02
THE IRON INDUSTRY.

The Mckinley tariff reduced the duties
on iron and its products in conformity with
the principle that duties on foreign prod
ucts should be sufficient to cover the differ
ence between the cost of labor TO the
foreign and to the American manufacturer.
The rate Of duty the present tariff retains is
sufficient TO cover that difference without
material reduction Of the rates of wages in
force at the time of It's enactment. But
within the United States competition has
grown up which threatens the Eastern iron
industries. II is the same competition
which has for a long time existed in enc
form and another between the Eastern and
Western States. II began half p century
ago when grain was offered in Eastern
markets below the cost of home production.
The East accepted the situation, and turned
their attention to other industries Farm
ers who could not make a living raising
corn learned TO make shoes. Farmers sons
and daughters locked to factories rather
than 10 farms as a means Of earning
living. Since the West and South have
turned their attention 10 manufacturing
they have crowded Eastern manufacturers
in somewhat the same way. With many
kinds of raw material on the ground the
Western manufacturers have been able in
Eastern manufacturers. For some years
there las been complaint among New Eng
land iron-manufacturers that the West was
taking their business away from them. In
some eases the New England men have
gone West TO take advantage of the COM
paratiye cheapneSs of the raw material. No
one assumes that this competition between
sections of this country can be regulated by
tariff duties. Commerce among the States
ever has been and ever must be free. He is an
Indifferent American who cannot perceive
the difference between free trade among the
members of political family and free trade
among all the nations of the earth. The
protective policy creates for Americans con-
ditlons superior to those prevailing in other
countries and confines those superior con-
ditions to our own political family. One
State or one section may be pinched by the
operation of the law Of free trade among
the States. but It's remedy lies in adopting
improved methods which will over ONE ex-
isting disadvantages or in creating new
industries.
The competition between the iron inter
ests Of the South and West and those of the
East has been growing more and more close
for years. Some time ago Abram S. Hewitt,
one cf the largest ren-manufacturers of
the Central States, offered his works to his
employees on credit at cost with per cent
interest. He saw the conflict coming, and
dreaded the labor troubles which were sure
10 follow. The Carnegie ironmills are now
reducing the rates Of labor to enable them
to compete with the iron and steel products
of the South and West Whether the redue-
ton might not be made from profits rather
than from labor will depend upon the ques-
ton whether under present rates of labor
there are any considerable profits. Be this
as il may, the reduction is not made to ena-
bic the Carnegie Company to compete with
European manufacturers. The tariff duties
give American ironmils all the advantage
they need. But American competition must
be regulated by the cost of manufacture in
the several parts of the country.