The Minneapolis journal., 1903-12-18
Most Favored Nation Clause.

Most Favored Nation Clause.
The president signed the Cuban
reciprocity bill yesterday, and. concur
rently, the British government noti-
fled the state department. that it ex-
pected, under the "most favored ma
ton" clause. to receive the same re-
duction Of our sugar duties on West
Indian sugar produced by her colo
MES that is accorded to Cuba under
the reciprocity treaty. 1t is stated
from Washington that Germany.
France, Austria and other beet sugar
producers will make the same de-
mand.
This question has been pretty we'll
threshed over. When the Cuban
treaty was first under discussion the
matter was considered. 1t was urged
that Cuban products could not be
brought hither without granting the
same concessions of duties as were
made to Cuba to nations with whom
we have treaties containing what is
called the most favored nation
clause" There are many such treat
les and the clause referred to was in
troduced for the purpose of securing
equality Of treatment. There would
be no equality of treatment if, for in
stance, we made concessions to Ger
many and Germany made no conces-
sions in return. Under the tariff of
1890 Germany demanded that her salt
be imported here free, but this was
denied, on the. ground that she i'm
posed a duty upon salt imported from
the United States. Secretary Olney,
at that time, stated that from the be-
ginning of our government the "most
favored nation clause" was construed
as permitting concessions to a country
which are not gratuitous, but are in
return for equivalent concessions, no
other country being entitled to conces-
sions except upon rendering the same
by quoting a long list of decisions of
federal attorneys general and secre-
taries of state. g.. -.-,--
1t will be remembered that when
the reciprocity treaty was made with
Hawaii in 1878, both Great Britain
and Germany claimed that their re-
spective treaties with Hawaii con-
tanned the "most favored nation
| clause. and they were entitled to equal
privileges with the United States as
to their export trade with the islands.
On this claim Secretary Bayard held
that by the parity clause Of the OF
dinary form of treaty, other nations
were not entitled to the same psivi-
! leges as were conceded to the United
States by the Hawaiian reciprocity
| treaty. AS far back as 1899, Secre-
| tary Livingston held that "the most
| favored nation clause refers only to
gratuitous privileges and does not
apply to privileges granted on the
condition of reciprocal advantage.
The British foreign office, after
claiming equal privileges with this
country as to Hawaiian trade under
| its own convention Of 1851 with
| Hawaii, gave UP it's contention and
| admitted that as the advantages con-
ceded to the United States are excep-
tional and in consideration of recipro-
! cal concessions on the part of the
! United States, "Great Britain cannot
! as a matter of right, claim the same
advantages for her trade under the
! strict letter of the treaty Of 1851"
1t would appear, in view of the
preCedents, that Great Britain and the
other countries mentioned, cannot
| justly claim concessions under the
most favored nation clause Of theil
treaties with this country. Germany
after her experience in the salt duty
case, ought to know better than tc
| try to make out a case for herself
| because Of the Cuban reciprocity
treaty.