The times., 1899-10-29
STEEL TRADE MIRACLES
The Unprecedented Developments
Of the Past Year.
The Largest Contract Ever Given
for Rails, AEEregating 100000
Tons, an Eighth of American
Mines Output for n Full Year-Ad
vnnces in Prices New Furnaces.

The developments in the steel and iron
trade in the past year are one Of the
modern miracles Every day there is a
new million dollar fairy tale of another
stupendous railway Improvement another
advance in prices, another immense iron
furnace fired, another great steel mill
started, another trust organized, another
mine opened, another stoppage of business
somewhere because miners, or railways, or
steamships, or furnaces, or mills cannot
work fast enough to anywhere near keep
up with the demand. The innumerable
ways in which the marvellous activity of
the trade shows itself. make, in themselves,
a unique story. The following are few
of the varied developments that have been
recorded in the past three days:
Several of the greatest of the railways
have united and given an order for 1,5OO,-
600 tons of rails TO a pool formed of five
great steel manufacturing trusts. The
price to be paid is S33 a. ton, so that the
order aggregates a trife less than S50,-
OOO,O 600 The rails will consume about one
eighth of the entire output of steel for an
entire year.
Several thousands of tons of pig iron
shipped to Japan two years ago from this
country with a good profit are on their
way back to America now, representing an
other good profit after shipment charges
both ways, duties, and storage charges
have been deducted. 1t is a forcibe illus
tration of the American demand for pig
iron now. and also Of the tremendous ad-
vance in prices.
Within a few days another very large
order for American locomotives has been
received from abroad, making the total
of orders for the year far greater than
ever before. A large proportion of the
foreign orders are refused by manufac-
turers only for the reason that American
orders are many months ahead Of the
supply.
Cincinnati street railway has been
obliged to order its rails from Antwerp,
Germany, because Of high prices in this
country and the inability of American
concerns to fill its order this year or for
several months after the beginning of 1900.
Southern furnaces report that they are
shipping pig iron while it is still hot, but
that they are months behind on their or
ders and refusing many orders even for
/ delivery months ahead.
A syndicate comprising English, Ameri-
blast furnaces, rolling mills, and a general
plant for the manufacture of enormous
quantities of iron and steel in MasSa-
chusetts. 1t has secured 100000 feet of
land on the water front of East Boston. 1t
will import its ore from Cuba and Spain
because it cannot secure American ores.
Buyers from Europe and from the Orient
especially the East, report immense orders
for American steel and iron manufactures
and fTIrf ber that no 10
demand abates sufficiently to let prices
down a little there will be practically un
limited markets abroad.
The activity in the iron business in
southwest Virginia Is destructive TO the
gathering of the crops, the farmers desert
ing their fields 10 work in several new
mines recently opened. The women are
taking the mems places in the tobacco
fields as far as possible.
The great advances in prices in iron and
steel during the past year have given rise
TO misgivings from week 10 week that the
users Of steel might refuse to go forward
with their plans 1t has seemed possible TO
many that railway building, ship building
and house building might be retarded and a
return of dull times begin because of the
inability or unwillingness Of concerns to
pay such tremendously advanced prices
Nothing of the kind is occurring, how
ever 1t is probable that some are holding
back their work because of high prices and
the hope of declines, but it is said TO be
quite certain that more are hurrying orders
up ahead of time for fear of still greater
advances in the future
Pig iron is selling for $24 a ton. A year
ago it was selling for IS ton. Steel rails
are quoted at $35 a ton. Last year they
sold for SIS, much less than the price OF
pig iron now. Despite this fact the rail-
ways and the city traction companies are
buying more rails this year than ever be-
fore. There are more steel-iuterior build
ings being erected than at any time in the
past, although structural steel is selling
at double its former price Every other
kind of business that uses steel is ordering
more than ever before. Farmers are pur-
chasing an unprecedented amount OF agri-
cultural machinery at double prices. The
stove manufacturers report that their bust
ness is the greatest on record, at double
prices.
It is said by experts, in summing up the
situation, that. although many new fur
naces have gone into blast that will produce
millions of tons of pig, and although the
many new steel mills will quickly convert
all this bigger output the demand is so
great that lower prices are quite out of the
question during next year.