The times., 1901-06-19
AN IMPENDING TARIFF WAR.
Russia Applies Maximum Duties as
n RetaIiatory Measure

nSAaitatOry Measure.
Count Cassini the Russian Ambassador,
has informed this Government that tho
Russian Minister OF Finance. NJ Dewitte.
has issued an order applying tae MAXI
mum duty on bicycles and naval stores
imported into Russia from the United
States. The order Is made in accordance
with provision of the Russian tariff
and goes into effect on June p. This
action. 1t is explained. is in retaliation Of
the application by the United States OF
the fun duty on Russian petroleum. which
was formerly admitted here free
The Russians assert that no petroleum
is sent to tho United States from their
country except that which is mixed with
Belgian paraffin. Although the Dingley
law has been in effect for three years the
duty which 1t provides for has only re-
Gently been enforced. The provision under
which it is imposed stipulates that III
there be imported into the United States
petroleum produced in any country which
imposes a duty upon American petroleum
there shall be levied upon such foreign
petroleum a duty equal to that imposed
by such country
The Treasury Department officials hold
that they were Obliged to make the a--
der. as the law explicitly says that ar
ticles on the free list Of the United States
tariff shall be required to pay duty un-
der these conditions. The course of the
Russian Minister of Finance has no bear
ing on the trouble between the two eoun-
tries over the beet sugar bounty. Sec
retary Gage recently held that the Rus
sian method Of refundiuS it's tax on beet
sugar amounted to the payment Of a
bounty on that commodity. and therefore
increased the duty on Russian beet sugar
imported into the United States to an
amount equal to the bounty. In retalia-
ton for this Russia imposed the maxi
mum duties on American machinery and
other articles.
The Russian Ambassadors note was re-
ferred to the Secretary of the Treasury.
Secretary Gage holds that the Treasury
Department had no discretion In the mat
ter of imposing a duty on petroleum, as
1t was made mandatory by the Dingley
tariff act. 1t was also pointed out that
the Russian Government took the initia-
tive against American petroleum.
Secretary Gage has written a reply to
the Russian note, embOdying the follow
ing remarks; Il beg leave to submit for
your consideration the question whether
the measure now adopted by the i'm
perial Government is not Incompatible
der the existing treaty of commerce and
navigation with Russia
The Russian tariff law imposes upon
colophony, white rOsin. and brewers
pitch duty of o. % roubIe. or s.. 3OSS Amer
lean gold per pound. and on bicycles I2
roubles, or s9264 American gold The
latest report to the State Department on
the direct trade of Russia and the United
states in 1900, dated April 90 1901 shows
that 100000 pounds of white rosin.
valued at S2I2. go. was imported into Rus
sia from this country. None of the other
articles against which the additional tax
IS levied are mentioned in the report.
No recent reports about the impOrta-
tion of American bicycles into Russia
have been received. The latest figures
mentioning bicycles are those for 1897.
when only two Of them were imported di-
rect from the United States 1t is stated
IN the report, however. that 1850 BIZ
cycles were imported into Russia from
Germany and England. and great many
American bicycles entered Russia through
Germany Since then the exports of
American bicycles 10 Russia has Increased
largely. The total Russian imports di-
rect from the United States in 1900 were
valued at 81. So, Sis
This action on the part of the Cars
government IN connection with the recent
sugar duty controversy leads to the be-
LEI that tarin war which may seriously
inbarrass the commercial relations exist
ng between the two countries is impend-
ing. but 1t is not probable that this Gov
srnment viii take any action to preciDi-
tate such an international contention. tfss
matter being allowed to remain as it Il
until Congress meets