Evening star., 1901-07-05
RUSSIA'S TARIFF POLICY
INTENDED TO ABSOLUTELY BAR
FOREIGN IMPoRTATI0NS.
Agents of American Manufactures
Hard Hit by RepYisal Aimed Mt
Sugar Duty Here.

dispatch from St. Petersburg. dated
July L. says: When Secretary Cages ac-
ton in imposing countervailing duties on
Russian sugar exported to the United Whites
was followed by SO disproportionate re-
prisaI as the imposition of 80 per cent in
creased duties on the most important
American importations here. the importers
of American tools and machinery seemed
stunned They were disposed to support
Russia on the legal aspects, but some OF
them re-examined the matter and concluded
that the Russian sugar regulations amount
to practical compulsion to manufacture lor
export
They still doubt the expediency of Secre-
tary Cages action. but latterly they nave
concluded that if the policy was MISTAKEN
of which after all. Washington, knowing
the complete facts and fostering American
interests throughout the world, was the
best Judge it does not follow that bilcr-
down is expedient. They claim tnat
such a precedent would weaken American
commercial and political prestige 1t Is, OF
course inconvenient for importers whose
incomes depended on Russian trade, but IL
is realized that the Russian market com
pares unfavorabiy to others, and that it
always will.
The actual effects of the discriminating
duties have not been as disastrous as ex-
pected The decrease in Asiatic imports Is
chiefly due to the abolition of the open
port at VladivOStok.
Attention is directed to the increasing dis
inclination of the Russian authorities to
permit the importation of any goods which
the Russians can produce, no matter what
they cost. This policy. more than the tariff,
ObStructS foreign trade. 1t is recalled that
the government recently narrowly restrict
ed the use of foreign goods in the Russian
army and navy factories, and that the same
policy is pursued wherever the government
influence extends. 1naSmuch as this inf1u-
ence is limited merely by will, a somewhat
peSSimiStic view of the future of foreign
trade is held here.
Lawyers representing the largest financial
interests In America, who were recently
here. offered 100000 to build the Niatka
railroad. provided a certain proportion cf
American materials was used. The cate
gor1cal reply from the finance minister Was
that not one pound of such material could
be used The syndicate then refused to ac-
cept the concession. as it did not want bond
investments, but was chiefly desirous of Sc
curing another outlet for American goods
Ihe correspondent was authorit atireIy in
formed in this connection that under the
present circumstances the use of foreign
railroad material is impossible. The same
syndicate declined extensive fishing priv
heges IN eastern Siberia because Russian
engineers were required and the Russians
retained fun control of the enterprise
A resident representative of an Areri
can house. whose business has been al
most annfhilated by the prohibitions re
centiy signed a letter to a newspaper de-
ciaring that Russia was wrong ON tho
sugar question The correspondent TODAY
talked with the representative of an
american house, whose tremendous bust
ness s. IS suffering to an unusual degree
from the discriminating duties and also
from the prohibitions. He said:
Undoubtedly the Russian sugar reRula-
tons contain cunningiy devised bounty.
me cardinal point is that company ca
paoie OF producing over 10000 pounds an
nually must sell part of the excess
whether ten or million pools, abroad.
since the share Of each company in the
% domestic market. excepting the 6O.OOO
pooos allowed each concern. is prorated
according to the total of the previous
years production. and exported sugar is
not taxed Producers. therefore, caiculat-
ed the point where the losses on foreign
oVerbaianced the profits on protected and
regulated domestic sales
M. de Witte. the finance minister.
shrewdly pitted steel against sugar. He is
retary Gage is taking an interest in the
American sugar and oil trusts. This Is
somewhat unguarded on his part consid-
erfng the close relations between the Rus
sion sugar and steel interests and the gov
ernment. He, apparently displayed more
feeling than the intrinsic value of the sugar
trade with the United States necessitated.
Perhaps this Is due. partially. to the fact
that the imperial family and other infiu-
entail people are largely Interested in the
sugar industry. Whether Mr. Gage acted
advisedly in the first instance Is one uues-
kiohl HetNer trucking Is now d pOiiti-
cal eXpedient Is another question. The
United States must meet Russia half way.
But. II Russia desires a commercial war,
we should fight.
Russia does not intend to allow the
United States, Germany or anybody to
have permanently a profitable trade here
Russia wants foreign money, not foreign
goods Whether Russia is trying to bluff
or bully. the Americans who support NJ.
de Wittee against Mr.. Gage are playing her
game. 1t is declared here that Russia will
never allow Washington to construe her
sugar laws. But neither can the United
States recognize the Russian Interpretation
of our tariff
1t is known here that the United States
ambassador, Charlemagne Tower who
fastened back to St. Petersburg from his
leave Of absence. mas been, during the last
few days, In personal communication with
the minister Of foreign affairs Count
Lamsdorf. and NJ. de Witte, upon the sub
ject of the present tariff disagreement
and it can be said upon the best author
ity that the negotiations are being carried
on in the most friendly manner, and that
Russian authorities hope for and expect
a speedy and amicable adjustment of the
questions In dispute.