The Stark County Democrat. [volume] (Canton, Ohio) 1833-1912, 1900-01-23
HOLDING OUTSIDE TRADE
AT COST OF PEOPLE AT HOME.
Tariff Story That Sets Forth How the Thing Working For
the Benefit OF a Few Against the Claims of the Many
Some Pertinent Pointers.

to gether, and put this price up to $1.20.
These associations pooled and the wire
nail people contributed financially to
enable the Cut Nail association to keep
control of the market, especially in the
payment of subsidies to keep idle the
large number of Cut Nail machines" as
the Iron Age, of December 3, 1896, tells
us. The associations regulated the
amount of nails offered for sale each
month and the price at which they
should be sold. Understandings were
had with Canadian manufacturers. Nail
machine makers were subsidized not to
sell to those outside of the associations.
Jobbers who did not cut prices were
given rebates.
Prices were advanced almost steadily
for one year. BY May, 1896, wire nails
were selling at $2.70 in Chicago and $2.55
in Rittsburg. The pool held together
until December, 1896, when prices broke
more than one cent per pound.
HOME PRICES MORE THAN TWICE
EXPORT.
On December 3, 1896, the Iron Age
said that high prices of cut and wire
nails had reduced consumption from
over 5000, 900 kegs in 1891 and 1892 to
I less than 100000 in 1895 and in 1896 to
probably "far less than in 1895, not
withstanding the fact that a large
amount of nails had been exported into
foreign countries at less than half the
price that the American public paid
for their nails.
1t is often difficult to ascertain the
exact export prices. In November, 1896
however, it is a fact that the price to
| foreigners was $13O while the price to
| Americans was $270. At least one
| dealer bought a large quantity Of nails
at export prices and after shipping them
| to Amsterdam and back and paying
| freight and other charges both ways
made a handsome profit while under
selling the trust in it's own market
He, however, was boycotted by the
trust and was thereafter unable to buy
nails at any price either as an Ameri.
can or foreigner. The exports for the
fiscal year 1896 were 2S,762,1S7 pounds.
TRUST FORMED IN 1898.
Agreemtnts were broken and patched
| up in 1897 and 1898. In April, 1898, the
American Steel & Wire company, of II.
linois, was formed with $24, ZOO, 900 CAPT
tai. 1t contained IA mills, 7 of which
constituted the Consolidated Steel &
| Wire company, formed in 1892, will
| $4,O00,000 capital. This trust was no
large enough to fully regulate produc
ton and prices. 1t was swallowed III
by the American Steel & Wire company
a New Jersey corporation, formed OF
January 10, 1899, with 100000, 900 capital
| SAC, 100000 of which is per cent cumu
lative preferred stock. This trust in
| cludes practically all of the wire, wire
rod and wire nail mills of this country
The value of the 26 plants and othe
property absorbed is about $4,000, ,OOO
which even admitting the $4,000, ,OD
other capital claimed would leave owe
$50 100000 Of water. 1t owns it's owl
sources of supply.
The trust has a monopoly of the draw
and barb wire business but has con
siderable competition in woven fenc
wire. 1t also does a large business il
copper wire and copper electrical good
and in fencing, poultry netting, balinl
wire and bale tires.
| PRICES.
The effect of this trust upon price
has been almost marvellous. The follow
ing table of average monthly prices ar
from the Iron Age of January 4th, 1900.
CHICAGO (AND NEW YORK; WIRE
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