New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1908-11-26
STEEL MEN EXPECT CUT
BUT URGE PRESENT DUTY.
Metal Schedule Under Consideration
at Tariff Hearing.
Grnm rns rrtbune nureaa.l

IL
washington Nov. 25-The manufacturers OF steel
and iron in the United States are resisnedly pre-
pared for a reduction OF the tariff rms lact was
apparent to-day at the. hearing before tne ways
and Means Committee, both from the testimony
nresantAd ard the conversation In the hearing
chamber No manufacturer asked for g. reducuon
on these articles. and in most cases they ihsls'eo
that the present duty was only adequate protec-
ton 10 their industries but under keen question:
ing by members of the committee most OF them
intimated that If slight reduction were MADE they
would not be altogether disseminated Besides De
ing asked TO maintain the present duty on steel
and iron the committee was requested on behalf OF
the zinc ore producers to take that article from
the free list.
number of New York importers OF steel ana
iron asked that duties be reduced F. 5. Witheroee'
OF the Shannon & Witherbee Iron Company OF Ne"
York admitted that his industry could stand q
reduction of from Is per cent to 20 per cent OF
the present duty and Joseph G. Butler jr' repre-
senting the pig iron producers. asked that 1erro-
manganese be placed on the free list, but that no
other changes be made.
The question OF steel rails and steel oars ap-
peared to be most interesting to the committee
from the fact that they dealt at greater length
with the testimony OF the steel manufacturers
than with that of others Representatives Payne,
Underwood Clark and Cochran asked most Of the
questions and many answers were ELECTED which
appeared rather disastrous to the position OF the
steel Probably the most startling admission
was that obtained by Representative Underwood,
OF Alabama. from r. c. FELTON,, Of Harrisburg,
who represented the American Iron and Steel Asso-
citation. Under examination he said that 1t cost
s26 AZ to manufacture ton OF steel rails and lay
them down at his factory in Maryland. Mr.. I'm
derwood then discovered from him that the market
price on ton of the same rails at Antwerp
s2s, and that tbs freight to New York brought the
cost to s25 So giving the foreign producer ad-
vantage OF go cents, in New York
What is the duty ton Of steel rals?' asked
Mr.. Underwood.
Seven dollars and eighty-four cents" answered
Mr.. FELTON,.
Then you have than IS advantage of the
foreigner in New York. Are not the steel COM
palies, with this manifest advantage. willing to
stand some reduction for the benefit of the Amer
lean public?"
Those figures are wrong" answered Mr.. FELTON,.
But they are your own figures" Mr. Underwood
replied.
MY profits don't show such an advantage" was
the answer.
There was large crowd in attendance when the
hearing the metal schedule OF the tariff was be-
gun. Zinc first taken up, and s. D. Mitchell
of Carthage, Mo, and Alexander o. Ihsing, Of
Oronoga, No, asked that calamine or zinc oxide
be removed from the free list and assessed a duty
of IL cents pound.
Representative Boutell brought out the admis-
sion that the prices on zinc and sheet and pig
lead would be increased II the duty should be i'm
posed.
Willis I. King, of Pittsburs, who is s member Of
the committee appointed in New York yesterday by
the leading pig iron interests, was the first to
speak on the iron steel schedule He asked that
iron and steel be similarly classified. and that
the duty on steel bars should be increased one
tenth OF a cent. Mr. King suggested a reduction
of two-tenths OF cent in the duty on iron bars.
FEARS FOREIGN COMPETITION
Mr., King asked that the duty Of fve-tenths of a
cent On manufactured structural material and
plates retained. He was questioned at length by
Representative Cochran, Of New York and admit
ted that the American steel industry competed with
England in Canada. When Mr.. Cochran pressed
him for his reasons for wanting increase in the
tariff when his business in prosperous condi-
ton Mr.. King said
'grhe mills Of Germany and Belgium anti
ouated and have little capital If this duty is not
increased it is my belief that these European mills
will add to their capital modernize their plants
and use this country for steady market
Then you want increase in duty TO quiet
your apprehension, and not because OF any actual
difficulties you have experienced! asked MT COCK
eft IS generally believed that Andrew Carnegie
knows something about the steel industry" said
Nj. Clark. "He says that can make steel in
this country less cost than it is made elsewhere
DO you agree with him?'
Mr.. Carnegie has been out Of the steel business
for eight or nine years. and has interest in it
except for the money he draws from bonds:
Does that mean that he represents misrep-
resents tho conditions?" quered Mr.. Randall of
Texas.
IT want to be fair. don't think Mr.. Carnegie
understands the conditions" the answer.
Well isn't it true that make steel
cheaper than any one else?" asked Mr.. Clark.
mo, we cannot"
Chairman Payne read an extract from Mr.. Car
negie's article tho tariff and had II inserted in
the record OF the hearings.
M Carnegie says the cost Of making steel in
this country Is less than elsewhere said the
chairman. You denied It. Have you any informa-
80 stst VII n tha
in reaching Just conclusion on this question:"
Mr. King said would be glad to give all the
information he could.
On behalf of New York importers. J. B. Wikin-
son asked that grades of iron to be manu-
featured IN this country into products ready for
CONSUMPTION valued at less than four cents be as
sessed on 6 plane with grades valued at than
four cents He protested against additional duty
on cold rolled material.
z. c. FELTON, president Of the Pennsylvania Steel
Company. and a spokesman for producers OF steel
rails, argued that the present duty Of 81 q ton
on steel rails was reasonable. He said that any
considerable reduction would necessitate reduction
in the cost OF labor. He presented interesting
testimony about the expectation OF steel rails He
1901 his company sold steel rails abroad
at 50 40 free board at mills, less than they got
for rails in America; 1902 s. 5S, also less 1903, no
exportation 1904 &c. less, but at great loss; 1906
IS So less 1906. 81 90; 1907 5S cents less.
The average sales abroad. he explained, showed
slight book loss but IN reality small profit. This
possible because. by the of imported
materials, rebates obtained amounting to from
81 TO 81 25 ton and, by the continual operation of
the mlls as was possible by the taking OF foreign
orders, 1t not necessary to renael the pig iron
thereby saving 50 10 90 cents ton.
CARNEGIE LOOKING BACKWARD"
Mr.. FELTON, said in reply 10 questions that he be-
lieved Andrew Carnegie, when he said the steel in.
dustry could stand reduction, had in mind condi-
lions which prevailed in he early eVa