, 1899-10-19
GERMANY is ANXIOUS
WORRIED BECAUSE OF AMERI-
CAN TRADE RIVALRY.
Loss of the Big United States
Market and Our Successful Competi-
tion In the Markets of the World Be-
gin to Attract Attention.

The German chambers of commerce
are manifesting deep concern on the
subject of the outlook for trade with
he United States. Our vice consul
general at Frankfort, Mr. Hanauer, has
transmitted to the state department
several reports of these commercial
bodice which betray not a little anxiety
At the prospect of losing the biggest of
all markets for German products. The
Frankfort chamber of m draws
attention to the fact that
To-day the United States looms up
as the greatest producer of breadstuffs,
and with all the factors of gigantic
development in metal production. 1t
has already attained such a position in
all branches of industrial power as to
enable 1t to boldly take up the gauntlet
Of competition in the International
arena. Germany has no special treaty
with the United States; the most-fa-
vored-nation clause is the basis OF the
mutual trade, but this presupposes that
both nations maintain toward each
other such tariffs as not to make the
exchange of goods prohlbitory. The
Dingley tariff has affected German ex-
ports inimically. Germany's imports
from the United States in 1898 exceeded
those OF the previous year in twenty
five leading lines. whereas she export
ed to the United States considerably
less In twenty important lines than in
1897. The question arises, Is the most
favored-nation clause without a tariff
reduction on the part of the United
States Of any value to us?"
The Dresden chamber of commerce
notes the fact that, owing to the ad-
vantages enjoyed in specializing and
subdividing the manufacture of arti-
Giles, in the immense capital employed
in every branch of trade, and in the
cleverness of American consular Off
Gals, "the United States is enabled to
sell at lower prices, though paying
higher wages than its European ri
vals," and adds:
1.-THE opinion is prevalent IN various
quarters that II the present tariff con-
tinues we must familiarize ourselves
with the thought that our export to the
United States will some day cease alto
gether, and that II we want to do bust
ness with that country we must estab-
lish branch factories there
The chamber of m of Hagen,
a center of iron and steel manufactur-
ing. puts forth a dismal wall regarding
the strained conditions which exist in
the wire n wire-tack trade, all be-
cause Of the competition of the United
States:
THE iron trade there has developed
in a Supplying manner. making the
country a productive power of the first
class. The condition of this trade in
Germany has, during the last year,
grown more and more unfavorable, be-
cause the Americans have steadily TAX
en- possession of the markets in Japan,
China and Australia, which heretofore
had been supplied mainly by German
products. The prices abroad have at
the close of the year declined SO low
that even German works hat produce
rolled wire have to give up taking
contracts. on account of the COS of the
raw material. Nor is the outlook for
the lately established wire-tack trust
at all suspicious, as 1t must submit to
heavy sacrifices in order to snatch at
least a few orders from the claws of
American competition"
Solingen's complaint is that its cut
lery industry is in a bad way, because,
owing to the closing of the American
market, the competition at home has
| become So intense as to undermine
prices, diminish profits n produce a
decline in the quality of the goods
made. The manufacture of scythes. it
is noted, was sufficiently active; but in
the future this branch is threatened
by the increasing import of American
grass mowers"
Thus we find that in many lines of
industrial activity German producers
suffer seriously because of the competi-
tion of the United States-first, in the
invasion of the German home market;
second. in the invasion of competing
markets upon which Germany has
heretofore had a firm hold; and, third,
in the diminished demand for many of
Germany's products in the valuable
American market. 1t is a condition
not likely to be improved by any recip-
rocal treaties which the United States
will be willing to make, and still less
prospect of relief is apparent in the
direction of tariff notifications. The
United States some time & ceased
making tariffs for the benefit of foreign
competitors. There is. however, one
possible help for Germany-that sug-
gested in the report of the Dresden
chamber of commerce-viz., to estab-
lish branch factories in the United
States. Many European manufacturers
have already yielded to this necessity,
and more are coming.