The San Francisco call., 1909-10-01
TAFT IN FAVOR OF
SHIP SUBSIDY BILL
President Says Merchant Marine Needs Aid
To Compete With Foreign Nations
Continued from Page 1

made that in the next half century the
SSoiiilne ercial progress of the world is TO
pc seen more decidedly in the Pacific
tnah anywhere else are certainly well
founded, and under those conditions 1t
penooVes us Americans interested IN
pushing our trade into every quarter OF
lne globe to take steps TO repair con-
dition that exists in respect to our mer-
ciiait marine that is humiliatlng to our
nduonal pride and most burdenSome TO
US III competition with other nations In
obtaining of international trade.
we maintain q protective tariff TO en-
courage our manufacturing, farming
ana mining industries at home and
within our jurisdiction. but when we
assume to enter into competition upon
tne nlgh seas in trade between interna-
tlonal ports our jurisdiction to control
tnat trade, as far as the vessels of other
lations are concerned. of course. ceases,
ana the question which we have to
meet nee is how. with the greater wages
laws that we enact for the protection
or our sailors and with the protective
system making a difference in the price
between the necessares to be used In
the maintenance of merchant marine.
we shall enable that merchant marine
to compete with the merchant marine
or the rest of the world
HEAVY FOREIGN SUBSIDIES
This is not the only question, either,
tor II Will be found on an examination
or the methods pursued in other coun-
tries. with respect to their merchant
way of subsidies by the various gov
ernments to their respective ships up
ward OF $35, 100000. and this offers
another means by which in the COM
petltlon the American merchant ship Is
driven out of business and finds itself
utterly impossible to bid against its
foreign competitors.
NOT only this, but so inadequate is
the American merchant marine today
that in seeking auxiliary ships with
which to make our navy an instrument
ing 1t around the world as a feet, We
nave to call on vessels sailing under a
foreign flag to carry the coal and to
supply the other needs of such a jour
ney- Were we compelled to go into
war today our merchant marine lacks
altogether a sufficient tonnage of aux
iliary unarmed ships absolutely neces
sary to the proper operation of the
navy, and were a war to come on we
should have to purchase such vessels
from foreign countries. and this might,
under the law governing neutrals.
be most difficult.
The trade between the eastern ports
of the United States and South Amer
lea is a most valuable trade and now
growing character of this trade. have
| by subsidies and other means of en-
couragement so increased the sailings
or targe and we'll equipped vessels
from Europe to the ports of South
America as visibly to affect the pro-
portion. of trade which is coming to
the United States by the very limited
service OF a direct character between
New York and South American ports.
JAPAN's RAPID PROGRESS
I need not tell you of the inadequacy
or the American shipping marine on
power for commercial purposes in this
regard of the empire of Japan. Japan
is one of the most active and generous
countries in the matter of subsidies
IN IFS D1arPhanf ms rina fhot x,o ,ou
and the effect is only too visible in an
examination of the statistics.
For this reason it seems TO me, that
there is no subject to which congress
can better devote its attention in the
coming session than the passage of
bill which shall encourage our mer-
chant marine in such a way as to es
tablish American lines directly between
New York and other eastern ports and
south American ports, and between
our Pacific coast ports and the orient
from our foreign mails from s6 000, 900
to sS,00O.00O a year. The application
of that amount would-b be quite sufficient
TO put on satisfactory basis two or
three oriental lines and several lines
from the east to South America. Of
course, we are familiar with the argu-
ment that this would be contributing
to private companies out of the treas
ury of the United States; but we are
thus contributing in various ways on
similar principles in effect both by our
harbor bills and by our reclamation
service. We are not putting money
in the pockets of ship owners, but we
are giving them money with which
they can compete for a reasonable
profit only with the merchant marine of
the world
READY FOR NEW LAW
From my observation I think the
country is ready now to try such a law
and to witness its effect in a compara-
lively small way upon the foreign
trade of the United States. If il is
successful. experience will show how
the policy can best be expanded and
enlarged and the American commercial
flag be made to wave upon the seas
as it did before our civil war. Tt is
true that our foreign trade is great
and increasing, and this without the
merchant marine. but 1t is also true
that the ownership of merchant ma
rine greatly enhances the opportunities
for extending trade for the merchants
of the country having such merchant
marine.