Evening star. [volume] (Washington, D.C.) 1854-1972, 1905-08-25
NEW GERMAN TARIFF
MANY MANUFACTURERS REMov.
ING THEIR PLANTS
To the Countries Where Their Output
Has the Greatest Sales-Effect
Of Tariff Wall.

Iarin experts have expressed considerable
surprise that SO soon the effect of the new
German tariff should have been to cause
German manufacturers to remove their
plants from German territory to other coun-
tries IN order to continue business The
reasons for such action are not yet fully
understood here, but reports that have been
transmitted to the Department of Com
merce and Labor indicate that this move
ment has begun and that other manufac-
turers are considering the removal of their
plants before the new German tariff goes
into effect March /.
From inquiries instituted by the Saxon
Industrial Union in consequence of the re-
cent commercial treaties made by Germany
It has been ascertained that the removal of
German industries to other countries espe-
clally from Saxony, has assumed large pro-
portions, says dispatch from Berlin to
the Brunswick Landeszeitung. Thus among
other manufactures a fancy paper factory
winch has to contend against an outside
tariff increase of 100 per cent. proposes to
transfer its seat of manufacture to France
or Switzerland.
Some Factories Removing.
A chrome and colored paper factory is
negotiating for the purchase of a site In
Austria, to which country IL is no longer
possible for 1t to export. A factory for
stamped paper goods for like reason has al
ready purchased an establishment there
Inc owners OF stamping and pasteboard
factory which sells In Austria Hungary ad-
Vertlsed goods to the amount of 10000
marks &19O,4OO) think of following suit
The Swiss representative Of a polygraphic
art industry recommends the removal of
the manufacture Of their goods to Switzer-
land. according to the example Of other
firms.
Still another firm in the paper branch is
prepared to break up, and has abandoned a
newly planned building. In the reports of
this firm attention is especially called to the
numerous workmen who have become un-
employed, or who have crossed the boun-
dary, ON account of the removal of fac
tories. Moreover. different firms have re-
moved moved 10 America, or have established
branch factories in order to manufactures
there, because the American trade policy
market" = ~
This general removal of many manufac-
turing concerns from Germany to neighbor-
ing countries IS looked upon as the result
or such manufacturers to locate in the
countries in which their products are chief
~ SOLD Upon the PRONUNCIATION of the new
German tariff her neighbors proceeded to
modify their own tariffs accordingly. This
practically makes it necessary for corpora
t1ons of Europe to manufacture in the
country In which their greatest sales are
made. That in a general way is the ex-
pianation that Is accepted here for the ten
dency of certain manufacturing interests to
move to Austria Hungary and Switzerland
The concern that heretofore could conduct
its business in Germany and sell almost
wholly in Austria-Hungary now finds that
course impossible. Only those concerns
that have domestic trade far in excess of
their foreign business can, it is said af-
ford to continue to do business in Ger
many.
Erection of Tariff Walls.
For four or five years the thought of Eu-
rope has tended very strongly toward the
erection of tariff walls. The experiment as
to the effect of such a course is only now
beginning to show results. What the ulti-
mate effect of that course will be on the
interests of the countries that are pursuing
it will be made clear during the coming
years. But the fact that German interests
are being affected In this manner is noted
with the greatest interest by tariff ex-
perts who are considering what, if any, ac
ton this country will be called on to take
should the changed conditions of trade in
Germany affect unfavorably American ex-
ports.