, 1899-09-28
SUPPLY AND DEMAND.
ONE OF THE DRAWBACKS OF
EXCEPTIONAL PROSPERITY.
The Famine In Structural Steel and
Iron an Illustration of the Phenomena
Conditions Attending the Restoration
of n Protective Tarin.


iron is perhaps the most striking
among the phenomena attendant upon
Mckinley prosperity. Nothing like it
was ever before known in this coun-
try, and certainly not in any other
country. Here we have every iron and
steel producing plant in the United
states working to its utmost capacity,
and yet there is a big shortage in the
supply, SO great Is the demand in many
lines of construction. Because of the
inability of the mills to fill orders, or
even to meet the time requirements Of
contracts already entered into, we are
told by the New York Herald that in
New York the structural work upon
many big office buildings is at a stand
still, and public schools that were to
have been opened for the fall term will
remain uncompleted; in Philadelphia
work upon warships for foreign pow
ers Is at a halt; in the West the agri-
cultural implement makers are at their
wits ends for material and are renew
ing their demands for steel for next
years delivery, and from every section
contractors and builders are calling
for impossible thirty and sixty day de-
lfveries of mill products.
The shortage in structural material,
says the Herald, is so serious that con-
tractors are vainly offering bonuses
to the manufacturers to push their
work. 1t is but a short time since
structural iron and steel were adj
vanced IS a ton. n 1t is predicted that
there will be another increase within
a few navG ArrNrdfno IN tho aynnrtS
the railroads are the most seriously
affected by this remarkable state of the
iron and steel market. and already
American agents are at work in the
English market obtaining options upon
Scotch steel. The demand for mill
products is increasing daily, and those
who are responsible for the supply
frankly admit that they are unable to
cope with the abnormal situation.
Contractors and builders are growing
desperate and are daily begging those
h hold them in bond to release them
from obligations the fulfllment of
which has been made impossible by
conditions for which they are not re-
sponsible.
From Chicago 1t is reported that
railroad tonnage is on a scale never
before equaled, and is still mounting
higher. AS for the iron and steel
trade, the exports for June actually
fell off owing to the great home de-
mand. The domestic requirement was
SO enormous tnat material could No: De
spared for foreign shipment
The demand has caused lhe resur
rection of mills believed to be dead.
Old plants that have beer idle for
years, chiefly from competitive causes.
have been reopened and put in opera
ton.
If a manufacturer wants material
three months hence he must buy now
and pay the prices that are current.
The clamor for materials is in no way
relieved. There have been large sales
of pig iron for delivery in 1900. Iron
bars cannot be bought under four
months delivery from the mill.
Vessel owners OF Chicago having
suitable bottoms for the transportation
OF iron and steel cannot fill orders.
Two years ago prices were forty-fve
to fifty cents a ton for the haul from
Lake Superior to Lake Erie. Now the
rate for ore from Duluth to Lake Erie
is $1.30 a ton. and will go higher.
In Philadelphia the big shipyards.
Notwithstanding the boom in their in
dustry, have been compelled to lay off
hundreds of men because of delay in
the arrival of material. Extensive
building operations have been halted
and others abandoned. Charles Nc
Caul said: ITO my knowledge certain
big building concerns within the last
few days have tried to contract with
local companies for structural steel. to
be delivered a year from now at pre-
vailing prices. The proposals were re-
fused"
The Phoenix Bridge Company is liza
BILE to a penalty OF $50 per day for fail
ure to complete the big bridge over the
Schuylkill river at Gray's Ferry. The
delay is due to the steel famine. The
director of public works has decided
not to enforce the penalty.
Pittsburg manufacturers Of iron and
steel say they see no relief for New
York contractors. The demand is so
far ahead of the output that it will
take many months for the trade to
catch up. The Carnegie Steel Com
pany, 1t is said, will not take orders
for structural steel for delivery I'M
der twelve months Last week S3S a
ton was paid for billets. Two years
ago the price was $14, The pig iron
manufacturers will not quote prices
for delivery this year.
The iron and steel industry. 1t will
be remembered. is projections biggest
and healthiest child. 1t is an industry
which free traders twenty-five or thirty
years ago declared could not be built
up by a protective tariff. Yet today
the United States leads the world in
the production of iron and steel. Big
as the industry has become. 1t Is not
able to supply the requirements OF the
great home market in these times of
Mckinley prosperity. AS an index Of
the general conditions that have grown
out Of the restoration of the American
policy the iron and steel situation is
interesting and instructive.
Look to Results.
When "a Motley has hean In onaratinn