The times. [volume] (Washington [D.C.]) 1897-1901, 1900-12-15
HANNA'S BILL MAY FAIL
Outlook for the Ship Subsidy Prop
Osition Not Bright.
Senators Declare They Believe 1t to
lie ns Good M Dcnd-The Ohionn's
Significant UtternHce Mt the Close
of the Speech In Favor of His Pet
Scheme - salient Points Avoided.

There are many hopeful signs that the
Ship Subsidy bill will be defeated. The
theatrical exclamation OF Mr.. Hanna in
concluding his speech Thursday II leave
1t In your hands to do with 1t as you will.
is believed to furnish good indication OF
his private feelings regarding the fate oi
the bill. Mr.. Hanna does not require to
have house fall on him to grasp point
He has discovered that the people regard
the bill as a job pure and simple. created
to aid certain wealthy ship owners at the
national expense.
Several Senator's who were asked yes
| terday what they thought of the prospects
OF the bill declared that it was as good as
dead. This. 1t is believed. will be crafty
Ing news to the people who do not care to
see certain big ship owners draw millions
OF dollars annually from the national
Treasury in the form Of bonus.
Mr.. Hanna's speech on Thursday con-
tanned many references to the remarks
made the day before by Mr.. Clay of Geor-
gia, in opposition to the measure. but it
was noticeable that he did not attempt to
meet the salient points of that speech. but
confined himself to generaiities. For in
stance. he did not go into the question OF
the possibility of ship owning firm get
ting monopoly of a long distance trade
like that of Australia Such a monopoly
would be more than possibility-it un-
doubted!y would he created within six
months after the enactment of the pro-
posed law. SAID Senator last night:
Take. for example. an ownership in
100000 net register tons, representing
carrying capacity OF about 1,250,00O tons.
Fifty thousand net register tons. 125.00O
cargo tons applied to the Australian trade
"a voyage Of 14,G00 miles-would, under
tha law, gain subsidy of sa2. 500 or "a
cents a ton. This "a cents would be
margin which the owners Of that tonnage
could employ to keep competing tonnage
out of that trade; indeed. it would several
times enable them to accomplish that OBJ
ject for a difference of Is or 20 cents
ton in the cost of transporting bulky
staples Is controlling in any large export
business. or course, the entire Australian
trade would not be served by the 125, 900
cargo tons referred to. but the owners of
that tonnage would be in a position to
charter sufficient more to cover the re-
quirenents and distribute the subsidy over
their fleet. representing margin Of %
cents per ton on the entire traffic.
This, however. would be only a part
of the case. for with that margin which
they could at any and all times sacrifice
before they incurred loss in competing
with independent ship owners. they could
advance their freight rates and. through
system OF contracts and preferential
rates, pledge to themselves the support
of shippers who must necessarily rely
upon uniform service. If. then, the ad-
vance in their rates should encourage
outside opposition, as soon as other ton
mage was offered their rates would be
dropped again to q basis that would rep
resent a loss to sthe opposition. which
trial after several futile attempts would
ultimately be absndohed and the owners
of the subsidized ships would be left In
complete control.
"This is by no means an imaginary case.
Mr.. Hanna knows we'll that this line Of
procedure has been followed. for he has
admitted that he was put on the mari
time committed of the Senate because Of
his intimate knowledge of shipping af-
fairs. Every bit of the tonnage referred
70 might be foreign tonnage admitted to
American registry. It does not require
mathematician to see that the owners
cf this tonnage would have a 'cinch' at
the expense of Americans not SO fortu-
nateiy placed.
why. Mr.. Hanna is so anxious to see
foreign ships admitted to American reg
istry looks queer in the face of Mr.. Nc
Kinleys last letter of acceptance in which
he declared that we ought to own the
ships for cur carrying trade with the
world and we ought to build them in
American shipyards and man them with
American sailors.
Mr. Hanna also was careful not TO re-
fer to the fact that ships now may he built
in the United States as cheaply as abroad. |
Our shipyards are rapidly getting into
position to meet all the demands that may |
be made upon them. The reason why ship |
building is going on more rapidly in Great !
Britain than in the United States now is !
because English capital is better content |
THAI ours with the smaller profits that ac-
crue from ocean freightage than from |
some other pursuits. Lately there have |
been signs that American capital will turn |
to shipbui!ding with its moderate but |
safe profits. When the tide |
sets strongly in that direction it will be
seen that our ship owners can get along |
without a subsidy