The Montgomery advertiser., 1901-06-22
TO EXPLAIN
 OUR POSITION Hay Will Make Repre- Sentati0n to Russia. SESSION OF THE CABINET Gage, 5 s Forth the Action of
 gs Department. Hoped ! 3 da will See It Has No Cause ? Feel Aggrieved Over
 Assessment of Duties
 on Petroleum.
SESSION OF THE CABINET
; s Forth the Action of
 2 5 Department.

Washington. June 21.-The most im- portant question discussed at today's
 Cabinet meeting was the assessment of customs duties on petroleum or its products imported from Russia. Secre- tary Gage, who has direct charge of the enforcement of the tariff laws, ex- plained the departments connection with the matter, and all members ex- pressed themselves as in entire accord with Mr. Gage, and requested that he make a statement covering the entire ground.
 As a result of the consideration of the entire matter by the Cabinet, Secretary Hay will soon make representations to the Russian Government fully explain ing the attitude of this country, and pointing out that Russia has acted hastily and under a misrepresentation of the fact in her position of retalia- tion. The statement of the Secretary of the Treasury Is substantially as fol- lows:
 secretary Gage called attention to the tariff act of July 24, 1897, known as the Dinglcy act, which, among ether things, provides that if there be im- ported into the United States crude pe- troleum 1T inc products thereof, pro- duced in any country which imposes a duty on petroleum or it's products, ex- ROI tCN AtOAAA thC OnAICu 9tdIVS, thCL . shall in such cases be levied, paid and collected a duty upon said crude pe- troleum or it's products so imported, equal to the duty imposed by such country.
 This provision was embodied in a circular issued to the officers of the customs. dated April q. 1898, and to which was appended 6 schedule of one hundred and nine countries imposing a duty on petroleum and it's products. These countries included France, Ger many. Austria-Hungafy. Russia, Spain and practically all of the leading coun- tries of the world. This circular was issUed for the purpose of carrying into effect the petroleum provision of the Dingley tariff law. On June IS, 1900, an invoice Of refined petroleum was re- ceived at Rochester. N. r., manufac- tured from crude petroleum produced in Russia. The Collector of Customs at Rochester held that the refined ar- ticle was subject to duty as a produc- tion of Russia. and assessed duty ac- cordingly. An appeal was taken from the action of the Collector to the Board of General Appraisers at New York. This Board. January 2S, 1901, sustained the Collector. holding that petroleum produced in Russia and imported into England and there refined and thence sent to this country was dutiable at a rate equal to that imposed by Russia upon petroleum into that country from the United States.
 No protest or objection, so far as the Department knows, was received from any country against the decision and the matter was not again brought to the attention of the government un- til March g. of this year. On that date the Department held that invoices of crude petroleum must be accompanied by United States consular certificate showing the country where the petro- leum was produced. In the absence of this certificate, the liquidation was to be suspended. and pending further in- formation, the rate of duties must be estimated at the highest rate levied by any country on such petroleum. Fur ther than this. the Department has never taken any action whatever on the subject of petroleum.
 Upon this statement of facts the of- ficials are at a great loss to under stand how Russia can feel aggrieved at the governments action and inaugurate a system of discriminating duties against products of the United States in consequence. It is hoped that Sec retary Hay will be able to present the facts so that Russia will rescind her action. and will show that she is not seeking to be unjust to this country in tariff matters"