The morning news. [volume] (Savannah, Ga.) 1887-1900, 1900-03-14
THE SHIP SUBSIDY DILL.


The Morning News published an editor
ial a few days ago on the ship subsidy
bill which Senator Frye of Maine thought
of sufficient importance to answer, de-
voting column or more to it. The Morn
ing News published the answer, which
also appeared in some other papers. The
New York Commercial gave it consider
able prominence. The Morning News is
unable to reply to some of the things
stated in Senator Fryes answer because
of the want of data. For instance, the
Morning News made the point that ship
building materials are as cheap in this
country as in Europe. The Senator says
they are not now, though they were lit
tie while back. 1t is true there is a boom
Just now in all kinds of steel products
but that is because of an unusual de-
mand. 1t may be that year hence the
prices of steel products will be very much
lower than they are now. They ought 10
be a great deal lower than they are, judg-
ing from the profits made by the Carnegie
Steel Company. From a statement made
10y Mr.. Carnegie in his answer to the suit
of Mr. Frick it appears that Mr.. Frick
put about $4,000 in the Carnegie Com
pany ten years ago. and he wants to
draw out something like $l6OO000o now,
and Mr.. Carnegie admits that he is enti-
tied to draw out pretty nearly $5,000O0O.
And it seems that Mr.. Frick has already
had about 81 100000 in cash profits
Steel products enjoy the benefits of
nigh protective tariff If Senator Frye
and some of the other Republican lead
ers were to exert themselves in the direc
ton of having the tariff on steel products
reduced it is probable that they would be
so successful that steel for shipbuilding
purposes would be so much lower here
than it is in Europe, that one of the great
obstacles to successful ship building in
this country, according 10 the Senator's
showing, would be removed. In the light
of Mr. Tricks profits the Senator can
hardly deny that the profits on steel pro-
ducts are a great deal higher than they
ought to be. The Morning News puts
this question 90 the Senator: Would it
not be better to encourage ship building
by lowering the prices of ship building
materials-that is by reducing the tariff
than by taxing the people for ship sub
sides?
Mr.. Frick is authority for the state
ment that the profits of the Carnegie
Company this year will approximate 49,,
900. 1t is evident that that company
alone could pay the entire annual sub
sdy called for in the ship subsidy bill,
and still have enough left of the profits
of one year to build dozen great steam
ships like the st. Louis and the St. Paul.
Does it not seem clear to the Senator that
if he is right in his statement that steel
for ship building is cheaper in Europe
than in this country the thing for Con-
gress to do to encourage ship building is
10 remove the tariff on steel products,
thus bringing down the prices of such
products to a level with the prices of
similar products in Europe, or even be-
low them?
The Morning News cannot, in a brief
article, go over all the points made in
the article which called out an answer
from Senator Frye. They are admirably
summed up, however in the following
article which appeared in the New York
World of Monday. The Cramps have just
built cruiser for Russia. They got the
contract by the simple process of under
bidding the ship-buiders of other coun>
tries. They got the contract in precisely
the same way that an American bridge
builder got the contract for the Atbara
bridge; in precisely the same way that
American locomotive builders have got
contracts for locomotives for use on Brit
ish railways-namey, by ability to do the
work more cheaply, more quickly, and
more satisfactorily than anybody else
could do it.
But if our ship-builders have brought
their works to this state of superiority
if they can build ships more cheaply than
Englishmen or Frenchmen or Germans
can-why should they insist upon the re
tention of our antiquated and Gripping
navigation laws? Why should they ask for
bounties?"