The Democratic advocate. [volume] (Westminster, Md.) 1865-1972, 1899-12-23
Some Tin Plate Disclosures.
From n. Y. Journal of Commerce.

Rather too much credit has been given 10 the
Mckinley tariff for the tin plate industry Salts
factory experiments had been tried in it before the
law 1t would be nearer the truth to say that the
tin plate industry produced the tariff than to say
that the tariff produced the tin plate industry The
manufacture of the tin plates is simply branch OF
the general iron and steel trade, and when the roll
ing mills found the demand for railway material de-
clining they turned to another form of production
and would have done about the same if the Mckin-
ley tariff had not been passed. The evidence of
this is that the reduction of duty by the Wilson bill
had no particular effect in checking the growth OF
the tin plate business even at a time of great det
preston 1t is true in this in most instances ha
an especially protective duty is procured by pow
erful interest instead of being offered by Congress
for the creation of industry. When the iron and
steel interest powerful enough it proc ured the
high duty on tin plates, just the shipbuilding
interest seems now to have reached point of com
mercial power and political influence sufficient to
enable it to obtain So 900 year from the Gov
eminent.
The manufacture of tin plates having the field
guaranteed to by the exclusion of the Welsh plates
it grew rapidly and has recently suppressed domes-
tic competition by organizing itself into trust.
The almost incredible statement that the promoters
of the trust received $40 for their labor was
eorroborated the other day by Mr.. Griffith, a tin
plate manufacturer, who was on the stand before
the Industrial Commission. Only it was not ex-
actly slOO0OOOO and it did not come from the man
ufacturers whom these accomplished promoters
combined Mr. Griffith said that when the trust was
formed all the plants could have been bought for
SD 600 Co., 1t was capitalized at $50 600 600. That is
securities representing SIS 900 were put ont rep
resenting profits that would probably accure if the
trust and Congress together excluded competition,
and it was 600 of this capitalization that went
TO the promoters. The money came from the public
to whom securities were offered representing - per
cent of business and 70 per cent of power to sup
press domestic competition while Congress sup
pressed foreign competition.
As to the profits Mr.. Griffith testified that he was
[ making 20 per cent out of the business when tin
plates were 1.-THE lowest point they have touched.
since then wages and materials have gone up. but
the price of plates has advanced very much more.
The trust has an arrangement with the manufac-
turers of machinery which makes it almost impos-
possible for an outsider to get plant to so into the
business with.
Mr.. Griffith does not believe that the economy Of
a consolidated management is an Offset to the ad-
vantage of individual management Of the works.
This opinion is entertained by good many other
persons. The combinations are new that the
matter has not been sufficiently tested yet But the
world has made rapid strides in corporate mango
Iaent If board Of trustees with hired managers
can run hundred faclories scattered through sew
eral states as advsntanageously as the men who
owned them did. The combination, however Is
simplifying It's task by shutting down large PoF-
ton Of the mills AS Congress imposed an almost
prohibitory duty on tin pste ia the ostensible IN
terest Of American labor rather tan capital IL IS
particularly interesting TO learn thai Whiie the
owners Of the plants are making 100 per cent pro
fits, one-half the concerns dipping black Plates
have been driven out Of business and eighty u the
tin plate mills about quarter OF the whole nun
Der have been closed since the combination was
formed.
Altogether. Mr.. Grifeths testimony as to the val
ne to the community in general. and the working
classes in particular OF suppresSing domestic and
foreign competition was extremely interesting and
Il there were more gentlemen Of equal frankness
Gar more evidence of the same sort could probably
be accumulated good deal has beea obtaiacd
from outsiders As TO the advance Of prces i Is OF
course 70 be noted that the present boom time
and especially 50 in the iroa AMI steel trade The
advance OF prices Is not due entirely TO the tara
or the combination But the suppression u foreign
competition BY Congress and domestic competition
by combinations was Of course an Important shinE
for the makers Of plates. and as Mr. Griseth made
- per cent when plates we've $3.50 = box the al,
vantage OF q partnership between Coagrcss and
the trust Is evident