New-York tribune., 1901-07-05
RUSSIA'S TARIFF ACTION
NEGOTIATIONS IN A FRIENDLY SPIRIT
GOING ON AT ST. PETERSBURG AND
A SETTLEMENT EXPECTED.

St Petersburg. July 4.-When Secretary
Cages action in imposing countervailing duties
on Russian sugar exported to the United States
was followed by such disproportionate reprisal
dhe imposition of 80 per cent increased duties
on the most important American importations
here, the importers of American tools and ma
chinery seemed stunned. They were disposed to
support Russia the legal aspects. but some
of them re-examined the matter and concluded
that the Russian sugar regulations amount to
practical compulsion to manufacture for export
They still doubted the expediency of Secretary
Cages action; but latterly they have concluded
that if the policy mistaken. of which, after
all, Washington, knowing the complete facts
and fostering American interests throughout
the world. the best Judge, it does not follow
that backdown Is expedent They claim
that such precedent would weaken American
commercial and political prestige. 1t is natural
ly inconvenient for importers whose incomes de-
pended on Russian trade, but 1T is realized that
the Russian market compares unfavorably with
others. and that it always Will
The actual effects of the discriminating duties
have not been disastrous as expected. The
decrease in Asiatic imports is chiefly due to the
abolition of the open port at Vladivostok
OPPOSED TO FOREIGN GOODS.
clinaton OF the Russian authorities to permit
the Importation of any goods which the Rus
slams can produce, no matter what they cost
This policy, than the tariff. obstructs for
eign trade. 1t is recalled that the government
recently narrowly restricted the of foreign
goods in the Russian army and navy factories
and the same policy is pursued wherever the
government influence extends Inasmuch as
this influence is limited merely by will, a some
what pesslmistic view of the future of foreign
trade is held here
Lawyers representing the largest financial in
terests in America who were recently here Of
fered $40 100000 to build the Viatka Railroad
provided a certain proportion OF American ma
terials was used The categorical reply from
the Finance Ministry was that not one pound
of such material could be used. The syndicate
then refused 10 accept the concession, II did
not want bond investments, but chiefly de-
sirous of securing another outlet for American
goods. The correspondent of The Associated
Press was authoritatively informed regarding
this matter that under the present circum-
stances the use of foreign railroad material is
impossible. The syndicate declined ex-
tensive fishery privileges In Eastern Siberia be-
cause Russian engineers were required and the
Russians retained full control of the enterprise.
resident representative OF American
lated by the prohibitions, recently signed let
ter to a newspaper declaring that Russia was
wrong the sugar question.
A CUNNINGLY DEVISED BOUNTY.
The correspondent of The Associated Press to-
day talked with the representative OF an Ameri-
can house whose tremendous business is suf-
fering to an unusual degree from the dscrim-
mating duties and also from the prohibitions.
He said:
Undoubtedly the Russian sugar regulations
contain a cunningly devised bounty. The car
dinal point is that company capable or pro
ducing over sixty thousand pools annually
must sell part of the excess. whether ten Or a
million poods abroad. since the share OF each
company in the domestic market, excepting the
sixty thousand pools allowed each concern,
is prorated according to the total of the
previous years production. and exported
sugar is not taxed Producers therefore
calculate the point where the losses on for
eign overbalanced the profits on protected and
regulated domestic sales
NJ de Witte. the Finance Minister shrewdly
pitted steel against sugar He is quoted as re
peating the charge that Secretary<Gage is TAX
ing interest in the American sugar ana OIL
trusts This is somewhat unguarded on his
part. considering the close relations between the
Russian sugar and steel interests and the gov
ernment. He apparently displayed more feeling
with the United States made necessary.
Perhaps this is due. partially, to the fact
that the imperial family and other in
sugar industry. Whether Mr.. Gage acted ad-
visedly In the first instance is one question.
Whether trucking is now polite eXpedient is
another question The United States must meet
Russia halfway But If Russia desires COM
merciaI 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 M. de Wtte
against Mr.. Gage 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 Ann
hassador. Charemagne Tower. who hastened
back to St Petersburg from his leave of alb
sence has been during the last few days IN
personal communication with the Minister of
Foreign Affairs Count Lamsdorf and Nj. de
Witte upon the subject of the present tariff
disagreement and it car be said upon the best
authority that the negotiations are being car
ried on in the most friendly manner. and that
the Russian authorities hope for and expect a
speedy and amicabe adjustment of the ques-
tons in dispute.