The Saint Paul globe., 1900-06-30
LOW RATE 70 THE ORIENT
REPORTED REDUCTION TO BE
PUT INTO EFFECT IN THE
NEAR FUTURE
MIR. HILL TO, CUT CHARGES
president of Great Northern Rail-
road 10 Take Goods From
Buffalo to Japan for
81 II Ton.
s.,..i.l tn The Chicago Record.

Special to the Chicago Record
ST. PAUL, Mimi, June 2S.-The an
rounced plans of President Hill, of the
Great Northern, will probably precipltate
one of the hottest and longest frelSht-rale
wars ever known in the history OF rail
roading. He is carefully making his
plans. and says that as soon as his two
gigantic steamships are completed and IN
the transpacific service he will establish q
through freight rate Of not more than IS
. ton from Buffalo and other points on
The Great Lakes TO Yokohama. NagasaKi'
Hongkong, Shanghai and other places on
the coasts Of Japan and China. and that
This rate may be cut to 81, half in either
ease TO go to the railroad end of the busl-
ness. ana the other half to the steamship
ines
No statement has been made in years
HAT is considered so seriously by the Of
fcials of other railroads as this, for If
L is carried into effect it will probably
mean that many of them would be forced
lo stop the handling of through freight.
lt is even said that such low charges
would give the Great Northern a prac-
icaI monopoly Of all freight bound from
the East to transpacific ports, unless the
Northern Pacific and Canadian Pacific.
which cover practically the same terri
tory. and both of which have Oriental
steamship lines. should meet the rate. In
any event, it is not seen how the rail-
roads TO the South could compete, as they
have much longer hauls, and none of
them. with the exception of the Santa
Fe (Which, however, does not reach the
iron districts Of the Great Lakes and con-
tiguous territory, has through route of
its own to the localities that furnish most
of the commodities that are used by the
Mongolians
OWNS STEAMSHIPS AND RAILROADS
one Of the reasons Mr.. Hill gives as to
why he will be able to make this reduc-
lion is that he has his own line of steam
ers running from Buffalo to Duluth, his
own road from there TO Puget sound, and
with the completion of his ocean vessels,
his own route across the Pacific, thus
giving him all the revenue from the hand
ling of the goods, which in other cases
has to be apportioned among the several
lines en- route, and enabling him to move
the consignments with only two transfers
at Duluth and Seattle.
The problem of transportation that IS
b0thering roads entering the West coast
traffic IS how to get loads both ways, as
ii is a we'll known axiom of railroad
freight business, as well as steamship,
that there is no money in hauling empty
ears one way, making it necessary to
have loaded trains all the time, else the
settled in an important measure by the
demand in the East for the fir, spruce and
cedar of Washington and Oregon, which
has reached such stage that it is now
impossible for the lumber and shingle men
10 get cars enough to handle all their
orders, BY putting on this new line OF
vessels to the Orient 1t will bring hun
dreds of cars with goods for the far East,
which, instead Of having to be returned
empty, viii be loaded with lumber and
shingles, thus increasing the slight profits
of the going trip and leaving & good mar
gin ON the total transaction.
TO fully appreciate what this prophesied
reduction means, it is necessary TO con-
slider the present prevailing rates On
cargoes from Pacific coast states to the
Orient the charge ranges from Sc a ton for
Hour TO 80 for merchandise, practically
similar rates being quoted from VAN
rouver, Seattle, Tacoma, San Francisco
and Southern California. From all points
between New York, Chicago, St. Paul,
minneapolis to the Pacific coast the pre-
vailing rates are about the following. and
the second column of figures shows the
through rates from the Eastern states to
the Orient, the statement being so much
a ton: