The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1903-09-26
DANGER FOR
OUR EXPORTS

RemafKaD1e QTOWCn OF {frOCeCClVe |
Sentiment Abroad May Threaten
Our Foreign Trade.
Constant Raising Of Foreign Tariffs
May Check the Current Of
Our Exports.
From The Journal Bureau, Room 45, Post Build
ing Washington.
washington, Sept 26.-The remarkable
growth of the protective sentiment the
world over Is occasioning some anxiety
for the future Of the American export
trade. Frances announced increase in
meat duties Is destined to, do us damage
BY it the duty per 100 kilos will be raised
from 25 francs to SO frances. Such a
change, taken In connection with the fact
that our country is alone among the COM
nercial nations, except little Portugal, In
having to pay Frances maxim tariff
schedule, shows that our trade outlook in
that quarter Is not good. The new Ger
man tariff, which will go into operation
on a date to be selected by the emperor'si
advisers, represents a marked step In
the same direction. Any nation that gets
lower than it's conventional rates will have
to accomplish it by special arrangement.
Treaties are already under negotiation, by
Germany with Russia, and alsosW1th Italy
and Austria, the other members Of the
triple alliance.
We are at present paying Switzerland
the general tariff With that little scounat
try most Of the nations Of Europe have
commercial treaties by which they secure
better rates. In Russia nearly all Amer
lean exports pay the maximum schedules.
The minimum rate privilege which we.
formerly enjoyed was withdrawn In retail
iation for the action Of this government
in imposing countervailing duties on RusI
sian sugar several years ago. Thruout
the British dOminions, apart from any re-
lation to the adoption Of Mr. Chamber
lain's policy, there Is noticeable move
ment toward preferential tariffs for the
mother country. Canada now gives a re-
mission of 3S per cent Of her tariffs to-
English products. British South Africa
has similar plan under consideration, the
"a tie Of preference most commonly pro-
posed being 10 per cent. Australia is also
likely to move in this direction. It is pos
sible that these colonial preferences may
be intended to work the home govern
ment up to the point Of an imperial GUS
| toms union rather than as permanent pol
| icies; but, at all events, they show the
drift of the times.
| With Holland, Belgium, Great Britain,
Austria and Italy, we enjoy as good terms
as any other nation. The first three Of
| these countries, as is well known main
tain a very low tariff system. Belgium s
general average is aboutq1O per cent, while
Holland is in some respects the nearest
approach to free trade in the world. These
| two countries derive d large part of their
prosperity from their transit business, and
| they want to encourage the introduction
at their ports and over their frontiers of
| foreign goods. They are also largely en-
gagged in manufacturing and have "a dense
population which they must feed from out
side. Their position is much %$like3ethat
| of Great Britain. Belgium has 9, provision
| in her tariff penalizing imports from coun7
tries that discriminate: against her, but
the United States has never had any
| trouble on this score. ~,
In South America the tendency is to-
/ ward higher duties, not $50 much on pro-
| tectiVe grounds as because of the need
| of increasing revenue. We generally adj
nit South American products either free,
like Coffee or at such low duties that we
naturally have not been greatly discrimi-
mated against In that part Of the world.
Some of our coffee importers who are
interested in having cargoes for the re-
i turning ships, believe that five should
adopt a maximum and minimum tariff
schedule, giving coffee a duty on the max
imum list, we might compel some conces-
sions from Brazil and so open the door
for more trade. The cultivation of coffee
! In Porto Rico will also set on foot an
interest tending in this direction.
Are Our Statistics True?
One encouragement confronting any
efforts on the part Of the United States
toward keeping these tariff barriers down,
comes from our steadily issued Statistics
showing that we are exporting $400, 600, 900
| worth of goods 9nnl1n1 fh9
are importing. So long as these continue,
our statesmen and diplomats will feel that
! they need take no steps toward getting
I better. trade opportunities for our goods
abroad. Their obvious effect. is to- leth-
argyle public interest in trade outlets, and
so they work against the very policy they
are constructed to support. i
l. Some new light has been thrown by the
| statistics for India upon the much dis
tputed point whether we are really sell
ing the world several hundred million dol
lars worth more of goods than we are
buying. That country last year exported,
according to statistical records, $403, 0OO, 600
worth of goods while her imports stood
at only $264,000,0OO. Of course, there are
many reasons to account for this disparity
! in India which would not apply to us;
but even allowing for these, India should
be rolling in pecuniary wealth with such
a balance Of trade in her favor. Unfor-
!, tunately, her people are about the poorest
in the world: a
! It will be recalled that former Assistant
Secretary ;Vanderlip, in his Investigation
1 of the American invasion of Europe, sew
eral years ago, announced in unmistaka-
BILE terms his disbelief in any such dis
parity as we were claiming, and the sta
tistics in question were at that time pub.
4 lished by the branch Of the treasury de-
partment over which he had presided
Professor Joseph French Johnson of the
University of Pennsylvania followed al
} enthusiastic paper discussion of the ques
ton whether the United States could per.
, manently maintain this relation to the
worlds trade, by saying, in effect, tina
the relation did not exist. How thu
Of fact continue to sell SO many more
million dollars worth Of goods than the,
buy without utterly impoverishing the res
of mankind is not clear. Our statistics
show that every time we buy $40 wortl
of goods we sell SIS worth. India's dis
parity is about the same. ss
These figures If quoted in opposition II
any effort looking to better terms for ou
) goods in the export markets Of the world
will prove unfortunate. Y. The constan
! raising of foreign tariffs against our good
will sooner or later have an effect il
: checking the current Of our exports, ant
SO producing that glut. at home which i
!. the sure forerunner of depression Thi
was the fear which President McKinle,
, voiced in his famous Buffalo speech tw,
Il years ago. His apprehensions were doubt
less premature but that they are rea
must be acknowledged by all who study a