The Washington times., 1902-04-11
Significant Words of Mr..
Clyde at Subsidy
Hearing.
PRESENT BILL UNSATISFACTORY
Head of Coastwise Line Says Owners
Want Congress to Make Up Difference
in Cost of Building and Cost of Oper-
ation-Views of Pacific Coast.

Desultory interest was manifested by
the members of the House Committee on
Merchant Marine and Fisheries. yester-
day at the hearing on the ship subsidy
bill, only about one-half the members of
the committee being present. Shipown-
era and shipbuilders maintain that the
bill. as it passed the Senate will benefit
them so little that they are entirely In
different as to its passage by the House
Some of them maintain that its defeat Is
preferable to its passage, as. If It is
passed. it may be years before it can De
amended to suit them, whereas if 1t is
defeated there will be an opportunity for
another and more satisfactory measure
to be passed by the next Congress,
Mr.. Clyde Urges Passage of Bill.
At the hearing yesterday morning. Mr..
John Clyde. OF the firm of William p.
Clyde & Co. New York and Philadelphia,
urged the passage OF the bill. Mr. Clyde
explained that he appeared entirely from
disinterested motives-that, in fact, his
comUany would derive but very little bene-
fit from the operation of the bill, which
on the other hand. would stimulate com
petition in the coastwise trade and might
even work to their disadvantage. He did
not want the committee to be led astray
by "bosh about the trust magnates and
wicked Mr.. Griscom," the president of
the International Navigation Company.
What Shipowners Want.
All he wanted, he claimed. was that
Congress should make up the difference
between the constructing American ships
in American shipyards, which he esti
mated at between 20 and 80 per cent, aud
the cost of operation, which he placed at
30 per cent. He had known lots of men
who wanted free ships. but they had their
eyes on the coastwise trade. and when
they found they could not employ their
ships in that trade they soon lost their
interest in free ships.
Asked whether the shlpowners would
have ships constructed in American ship
yards without positive assurance that the
subsidy would be continued-the bill I'M
der consideration not providing for con-
tracts-Mr. Clyde replied: IF you don't
destroy the trustfulness of shipowners by
such questions as you put to me think
the shipowners will take the chance" He
did not believe that after the subsidies
were once in operation Congress would
repeal the bill.
May Drive Capital Abroad.
Mr.. Clyde put forth the bold intima-
tion that unless the subsidy bill was
passed American capital would go abroad
to construct, own, and operate it's ships
Referring to the recent combinations of
railroad and shipping lines to reduce the
cost of transportation in the foreign
trade, Mr.. Clyde said that unless they
could build their ships in American yards
and receive subsidies to cover the differ
ence in maintaining them under the
American flag, they would purchase ship
building plants abroad and divert their
capital from this country into foreign
channels.
These people can't wait he said, sig
nifcantly.
Views of Pacific Coast.
Erastus Brainard. representing the
chamber of commerce of Seattle. made
plea for the bill for the benefit of the
Pacific Coast Mr.. Brainard said it was
all nonsense for the opponents of the bill
to claim that 1t was framed in the inter-
ests of the International Navigation
Company, the Standard Oil Company, and
j. Pierpout Morgan. for when Griseom.
Rockefeller. and Morgan were in CONNER
ciaI short clothes J. P. Nimmo and Henry
Hall, editor of the New York Tribune,
were advocating the passage OF such
bill.