The Hawaiian star. [volume] (Honolulu [Oahu]) 1893-1912, 1901-01-02
MERCHANT FLEET SUBSIDY
HOW TO RESTORE AMERICAN
SHIPPING.
President Harrisons Navigation Com
missioner Opposed Bill-Favors Pro-
tecting our Shipping Trade.

William w. Bates, who was commits
sioner of navigation under President
Harrison, says the Chicago Record and |
who is a recognized expert on the sub
ject, is opposing the subsidy theory for |
an American merchant marine and has |
greatly interested the farmers congress |
on the subject. He claims that our |
shipping may be restored by going back |
to the old plan of regulating trade and |
protecting American shipping, the his
tory of the decline of which he has fur |
nished the congress
Mr.. Bates goes back to the date when |
foreign ships were prohibited from car
rytng freight between American ports. |
In 1888 the first tariff was passed |
placing a tax of cents a ton upon
American vessels entering any port and |
80 cents on foreign vessels. In addition |
there was a discrimination made in !
favor of American vessels. There was
rebate of 10 per cent of the duties
made to all goods brought in American
bottoms, while foreign vessels paid the
regular rate. There was a revision of
the tariff in 1893, when the rebate sys-
tenn was changed and the rebate done
away with and an extra duty charged
upon all goods brought by foreign YES
sells. Goods brought by American ships
were taxed the regular rate.
In addition to this discriminating
duty upon tonnage and goods put on
in 1888 in favor of American vessels the
duties laid upon goods brought from the
East Indies and China were about dou-
bled If brought in foreign bottoms, but
the American ships paid regular rates.
This degree of American protection to
American vessels went along until 1904
when additional tonnage dutv called
| light money" was laid upon foreign
vessels entering American ports After
this, continuing along to 1871, there was
no change and in this time it cost from
1904 to 1917 foreign vessels 81 ton, but
the rate to American ships remained
at cents.
In 1917 a change in law was made
to vessels in the domestic trade from
which foreign vessels were prohibited,
which is to say, they could not carry
mails, or freight from one American
port to another
After the revolution, in 1884, an eff
fort was made by the continental con-
gress to get the consent of the states to
protect American shipping by discriml-
mating duties on tonnage and mer-
chandise imported, the states then each
one for itself passing a law as seemed
best to it's legislature. What was want
| ed was a uniform system for all the
| states. Thomas Jefferson was chair
man of the committee having the mat
ter in charge. In two years congress
got answers from the states. Ten pass
ed laws, but they did not conform to
the general law and the scheme fell
! through.
In 1888 the younger Pitt came into
office as British prime minister. He
| proposed to parliament a plan for per-
| feet reciprocity with respect to shipping
He proposed that there should be no
| protection in either country as against
each other. 1t was a scheme to head
off ship protection in the United States,
but the British shipowners did not see
their interest and the bill was laid aside.
The Jay treaty, which was discussed
a long time. passed in 1896. In the
treaty were some reciprocity provisions
which ran for twelve years and lapsed
| on account of the war of 1872. 1t was
agreed that the discriminating duties
which stood or both sides might stand,
| but not increased
In 1902 we had developed such
! strength in carrying our own commerce
that we were carrying 80 per cent of it.
In 1902 the British parliament passed an
act authorizing agreements especially of
| the United States, for the nOnprotection
of shipping. The law was sent to our
government and Mr.. Jefferson referred
| 1t to congress. Congress failed to re-
commend ii and nothing was done with
| it.
In 1915 there was commercial con-
vention in London for a system of mari
|
protection of shipping as against each
other with respect to transatlantic
trade. The arrangement was fixed for
four years. In 1918 convention at
London, with respect to fisheries, ex-
| tended the time ten years. Following
this there was convention in 1927
which extended the time indefinitely,
providing, however, that it should be
proper for either country, if it thought
| best to terminate, which could be done
by giving other party one years notice.
Practically therefore the convention
might have been terminated in 1929, but
we let it run.
Having done this thing for Great Bril-
| tan there were others who wanted us
to do the same for them. Sweden was
taken in in two years, then Algiers. In
1924 there were some special acts pass
! ed by congress relating to some German
cities. In 1924 there was a convention
with France. all limited to time. Den
! mark was treated with in 1926, Prussia
/ in 1928 and others from time to time.
1t is owing to these arrangements
made with the different countries for
nonprotective shipping, as against each
! other, Mr. Bates cglaims, that the Anne
! rican merchant marine has declined
and rests in its present condition.
| AN ENCOITR AGING I'IV A',J fIp IL