The Globe-republican., 1898-11-03
UNDER ALIENCONTROL
FOREICN AND A M q r &c AN
TRANSPORTING ALLIANCES.
Z C0mbinAtioo Of Interests That May
He Expected to Oppose Measures for
the Rehabilitation Of the American
Merchant Marine.

It Is a fact, though probably not gen.
orally known outside of transportation
circles, that there is, so to speak, a
close community of interest between
the principal trunk lines Of railroad in
this country and foreign steamship
companies. This combination enables
the railroad companies to secure the
distribution of imported goods and
also to gather and deliver to the
steamship lines outward-bound car
goes, both steamship and railroad
lines apportic hing the rates Of freight
and sharing in the profits Of the trans
portation.
OF the five principal lines Of railroad
connecting the interior with Atlantic
ports, all but one have combinations
with foreign steamship lines. and thus
the carriage of the commerce OF the
country, from the various points OF
production to those Of distribution and
consumption. is almost wholly directly
or indirectly controlled by alien inter-
ests and combinations. The solitary
exception among the railroad lines
maintains an Independent system OF
steamship connection; otherwise 1t
also would probably be obliged to COM
bine with alien ocean transportation
interests In order to get its share OF
the traffic.
This shows how absolutely necessary
it is that whatever protection is at
forded to American over sea shipping
interests shall be ample and Of such a
character as to give assurance OF per-
manency in order to be entirely effec-
tive. The reciprocity navigation treat
les now in force require that at least
twelve months notice shall be given OF
their abrogation. It is easily conceiv-
able that during this interval OF
twelve months the enormous aggrega-
ton Of foreign capital employ-d IN
alien transportation lines, and the In
1uence of the railroad interests allied
with these lines, would combine with
the object Of securing the repeal or at
least the modification Of enactments OF
a character so inimical to their in
terests as provided for the imposition
of discriminating duties against i'm
ports in foreign vessels.
The profits of ocean freight carrying
are very largely derived from i'm
ported goods having high freight class
ifcation. Aliens practically enjoy the
monopoly of ocean transportation, and
through agreements among them
selves, freight rates are maintained
with general uniformity. With out
ward-bound cargoes practically as
sured, through combinations with the
principal railroad lines, and with but
little competition in passenger bust
ness, the foreign steamship companies
could we'll afford to lower rates on i'm
ports to such figure as would mate
rally lessen the profits of American
ships enjoying the protection of dis
eliminating duties against imports in
foreign vessels.
Therefore, the measure Of protection
which it is proposed to give with the
object Of promoting American ship
building interests and restoring the
American merchant marine should, at
the outset, be so liberal and Of such
character as not only to be entirely eff
fective in its purpose, but such as to
give assurance Of being maintained for
term Of years.
Capitalists could not be expected to
take the risk of establishing plants Cor
the construction of cargo ships to
compete with foreign vessels If there
should be the remotest probability OF
such modification Of the measure Of
protection. through foreign or domes-
tic influences, as would tend to dis
courage the operation of such vessels
when they were water born. Neither
would managers Of the projected ships
be likely to perfect their arrangements
for employing the vessels in the over
sea trade without some assurance that
the protection afforded would be suf-
icient to enable them successfully to
compete with alien enterprises.
1t is believed by those who have
given this matter careful consideration
that 10 per cent discriminating duty
against imports in foreign vessels is
none too great, and that any less de-
gree Of protection would be Ineffective
and. moreover. discouraging to the in
terests which are sought to be pro-
NOTED. Hon. Stephen B. Elkins. the
Trainer and the earnest advocate OF the
measure providing for discriminating
duties on imports in foreign vessels. il
his speech in the senate in April, 1897,
said:
1T is not claimed that the bill under
is perfect or will bring
all needed relief. 1t will have to be
by further legislation.
1t is claimed. however. in its behalf,
that the principle has been tried for
nearly forty years and produced the !
most beneficial results, and to restore
duties now would be a |
start in the right direction"
Though the measure is to some ex-
fenf tentative tho nrir ciplo - h. -.