The daily morning journal and courier., 1901-10-28
INDUSTRIAL CONCENTRATION IN
 GREAT BRITAIN.

INDUSTRIAL CONCENTRATION II
 GREAT BRITAIN.
 On the principle of fighting his Sa
 tanic Majesty with fire, the Britisl ironmasters and steel manufacturer
 are said to be preparing to amalga
 mate their interests in order to mee
 the competition of the American Stee
 Trust. The Germans have been tryins TOT several months to organize a com
 bination similar to that which J. P
 Morgan has created in the United
 States, while the Belgian mining ant
 iron and steel interests have been work | ing along the same lines. Recently il
 was stated that the trust idea had ex-
 tended to Spain, and that English an6
 Spanish capitalists had organized 6 syndicate to control the mining indus
 try in the country of the Dons. With combinations springing up all around | them the British iron and steel inter- ests seem to have concluded that there l Is nothing left for them to do but to
 form an industrial concentration like that of their American rivals. Accord ing to the London correspondent of the New York Tribune, this concentration is on the ever of accomplishment.
 As the United States has taken the
 lead in the organization of trusts, it
 seems to be quite natural that an
 American should be at the head of the
 movement to combine the iron and steel
 interests of Great Britain. This expert,
 1t Is stated, has made a thorough in
 spection of British plants and has sub
 mitted a plan for organizing the iron
 and steel manufacturers into one gi-
 gantic corporation. His project con
 templates a trust with s200000,0 900 of capital and absolutely no "watered stock The proposed consolidation is not to be effected for purpose of trade aggression, but is mainly for the pro- lection of the enormous amount of English capital invested in the iron and steel industry. This industry is now in a depressed condition, due, &C., cording to the American expert, to three causes: First, the machinery in English plants is old, while the methods of doing business are equally antique. Second, the British manufacturers are engaged In injurious competition among themselves, bidding against one another for the purchase of supplies and the sale of products. thereby in- crea.sing, so the Tribune's correspond ent alleges the cost of production and the expenses of management Finally the ironmasters and steel manufactur- CTS of Great Britain are not equal in technical skill and industrial organiza ton to the American and German man. ufacturers, and consequently are not able to compete with them.
 There was a time not many years ago when Great Britain led the world in the manufacture of iron and steel It is improbable that she will ever regain her lost supremacy. The natural resources of the United States are so far superior to those of the British Isles that our English friends cannot expect to compete with this country except to limited extent. If they can hold their own market and supply the needs of British colonies they will be fortunate At the present time American iron and steel and American machinery are sold in all the of Great Britain. Our Steel Trust is reported to'have sold it's in the English market at a figure with which British manufactur- ars cannot compete. American loconlo- tives have been purchased for use in British colonies, because they were su- 0erior in every way to those made in England American machinery has been sent to India and South Africa, presumably because it was better than l hat of English manufacture. Quite | recently an American firm built a steel | bridge for use in the Soudan. Tn view | # these conditions, and of the en- l ,roachments of Americans upon the do nestle and colonial trade of Great | Britain, it was evidently high time for he British industrial interests to be loing something to protect themselves the organization of trusts will prove the best means of self-defense is 
 In one respect--and a most signifi- ant one--the proposed Iron and steel consolidation in England will differ rom that which Is attempting to con rol the industry in the United States. 'here will be no excessive over-capi- alization in the English trust. "The nancial arrangements for underwrit- 1g the amalgamated company, accord lg to the Tribune's correspondent, will be easily made, as the scheme of of the properties and good i'll is conservative and is based on ard cash, without watered stock. If t he iron and steel manufacturers of reat Britain consolidate their inter sts it is not improbable that the prin- ple of concentration will be applied , other interests. In time there may e mining trusts, shipping trusts, tex le trusts and railroad trusts. As long 5 Great Britain holds on to free trade le British public will not suffer to any reat extent by combinations of manu- ,cturers. If the latter raise prices to
 high level our American trusts may ? ,me to the relief of British consumers. hat is one substantial advantage :, hich the Englishman has over the mercan. In the United States the usts are practically without compe- l ton, owing to our protective tariff. It /. i'll be interesting to see how the trust i'll work in country which does not .otect its manr lecturers.