The San Francisco call., 1905-05-21
SHAW DOES NOT FEAR
FOREIGN TARIFF WAR
Secretary of the Treasury
Speaks at Banquet in
Cleveland.

CLEVELAND, May 20.-The fifth an
nual dinner of the Chamber OF Com
merce was held here tonight with 800
persons in attendance. Leslie NJ. Shaw.
Secretary of the Treasury, spoke on
.Non-Partisan Statesman snip" He
spoke in part as follows:
Il cannot believe that any country
seriously considers putting in operation
q revision of tariffs imposing new and
severe Determinations against the
people of the United States Such ac-
ton would be most unfortunate from
every point OF view to both countries
Certain it is the United States has
done nothing and will do nothing to
invite such a course. If. however, at
any time any country should do this.
and 1 wish expressly TO say that ] re-
fer to no particular country, for some
countries already do ii, then there re-
main for the people of the United
States four possible policies. Without
expressing an opinion as to their rela-
tive merits. I will state them as con-
cisely as possible. The responsibility
of determination rests alone with Con-
gress.
First-The United States could con-
tinue her present policy of reserVing
to her own people some advantages in
her own markets and making no dis
ordinations against others. There are
those who advocate this course.
'Second-We could yield to the de-
mand of those countries which threaten
adverse tariff legislation and give to
their people material advantages over
those which makeDno such discrimina-
tions. There are those in this coun-
try. I am told, who favor material re-
ductions in present tariffs on merchan-
disc coming from certain countries and
the enforcement of present rates as
against others. I think they call this
reciprocity.
'Third-We could materially reduce
all our tariff schedules, leaving it to
the magnanimity Of others to emulate
our generosity. There are those. and
l am told there are many, who advo-
cate this policy. Without expressing
an opinion as to the merits of the
proposition. I venture TO suggest that
even the free trade policy OF Great
Britain does not exempt her from dis
ordinations by countries which adopt
the discriminating policy. nor from the
demand that the United States shall
join in discriminating against her.
"Fourth-The only remaining course
possible to be pursued is for the United
States to make Determinations against
the countries which discriminate against
US. have heard 1t intimated that an
amendment to our present tariff laws is
(but with what prospect of passage 1
cannot say) substantially as follows:
I" BE 1t enacted, that whenever any
country grants to the people Of any other
country privileges within its markets
which are withheld from the people OF
the United States, then, and in all such
instances, the tariff duties on all mer-
chandise coming from those countries
showing such preferences shall be per
cent higher than provided in the sched-
ules of existing tariff laws
This would constitute a maximum and
minimum tariff, the maximum TO be en-
forced only against such countries as
exact maximum rate against US
81 understand that those who advocate
this course meet the charge that it means
tariff war with the suggestion that the
United States will not first declare such
war. Being forced to follow the exam
| pie of other countries is not the, equiva-
! lent of a declaration of war. while yield
| ing to the demand that the United States
shall discriminate against those who do
not discriminate against her might in
volve neutral powers in universal tariff
war. Such a war would necessarily harm
us but it would harm more seriously
still those who drove US into it. The
United States prefers to treat all alike
and fully appreciates like treatment by
others