The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1902-03-08
The SHIP SUBSIDY BILL

The speeches made in the senate dur
subsidy bill which has been brought for
ward again with the intention of it's pro-
motors to make a decisive fight, contain
many interesting statements, some of
which cannot be verified. ..
The plea was made that the protective
system had been applied to every indus
try in the country except that of, ship
building. This is evidently mistake,
for one Of the early acts of national legis-
lation was to place the navigation laws
upon the statute book and they embody
such large measure of protection that
no foreign-bui ship, even if owned and
operated by Americans, can obtain regis
privileges of such registration This was,
intended to protect our shipbuilding in
dustry and the same law is in operation
to-day. 1t would seeln that the industry
has the largest Kind of protection from
this source The proposed additional
measure of protection retains the objec-5
tionable feature of the former bill in that.
under the provisions for general subsidy,
vessel owners are paid so much for each
gross registered ton for each hundred
nautical miles sailed without reference
to cargo, SO that a vessel may receive
the subsidy even if she has not a pound
of freight in her hold
The subsidy is evidently to be applied to
the building up of steamship lines for
the oriental traffic and monopolizing it,
and there is nothing IN the bill limiting
at regulation of freight rates by the
government, the inevitable result being
stiffening of rates to shippers
at a time when mastery efforts are, put
forth by Americans to amplify our prom
Using trade with China and Japan. In adj
dition to the tonnage subsidy, the postal
subsidy to the large steamers carrying
the mails is to be considered. Our
shipbuilding industry has, within the past
five years, taken on great vigor and mill
lions have been invested in new ship
yards which have been and are filling
large home orders and orders from for
eigners. Mr.. J. ]. Hill, who is having two
steamers built at New London, Conn.,,
the largest vessels in point of tonnage,
world, for the Great Northern Steamship
company, says that they are building at
lower cost than ships of equal skill in
workmanship and construction can be Sc
cured abroad and that these vessels are
perfectly prepared to meet any COMPETE
tion on the ocean in the oriental trade.
This is pretty strong testimony against
the proposed subsidy policy. The Great
Northern Steamship company will be a
large participant in the distribution of
plea that subsidies are needed because
foreigners can carry freights cheaper than
Americans can, can have little weight as
will no doubt be shown by the two big
steamers mentioned when they get into
business In railway transportation the
United States beats the world in cheap
| freight rates per ton mile. In this coun-
| try the rate is 0.72 cents, as against Rus
sias 175; Germanys 1888; Austria's 20;
| Frances FL, and England's "a cents.
Water rates will likewise be cheapened
according to the measure of equipment.
| It may we'll be questioned whether it is
wise to apply the principle of protection
| by bestowing large cash subsidies upon
| it's perfect ability to live and flourish
without direct cash tonnage and mileage
! subsidies.