Omaha daily bee., 1909-11-12

be undue" The general tariff Is in effect
against all nations outside the British en-
pire, with the exception OF Germany. Can
ada charges a surtaK OF SSh per cent
above It's general tariff on German pro-
ducts, this surtax being imposed in retalla-
ton for German anti Canadian discrimlna-
ton. 1t is within Canada's power to i'm
pose such a surtax on any or all American
imports.
Canada has a flexible and elastic tariff
system. The intermediate tariff provides
for certain reciprocal tariff reductions on
a liberal scale. The American tariff is alb
solutely infexible and non-elastic. The
president must impose either the maximum
duty Of 25 per cent above the regular
duties, or he must permit the regular
schedule to stand. There is no opportunity
to give and take, playing one schedule
against the other, such as other nations
have.
The Canadian parliament at its present
session most probably will rathy a tariff
treaty with France. which will place the
Canadian ~intednediate tariff In effect.
This treaty, which already has been rati-
fled by France, gives Canada many advan-
tages In France which the United States
cannot obtain. Reciprooally, Canada gives
France reductions which the United States
may not hope for. This, on It's face. con-
~stitutes discrimination against the United
States by both France and canada VIII
Mr.. Taft consider Il undue" dlscrimina-
tion7 And II Canada's action is considered
undue" will reprisals be directed only
against France and Canada, or against
England as we'll?
TA.-o .ro ~ Of fhR TftadtfOnE which
the president must decide before March 81.
The tariff board recently appointed by Mr..
Taft is now at work preparing data on
which the president will base his decisions.
II no should decide that Canada, by its
treaty with France, is unduly discriminating
against the United States, then the maxi
mum tariff will be put on goods coming
into the states from the Dominion. Where
upon Canada may. II it's rulers be so
minded. r~etallate by the use Of increase
tariff duties, export duties, surfaces and
all manner OF custom house weapons, none
Of which the United States happens to pos
cess. As Canada is the largest foreign
market for American MANUFACTURED prod
ucts the question is Of some Importance.
1t is big with possibilities, but 1t is too
early to say what are the probabilities.
1t may be a merry war, II may be a peace
full compromise. II 1t is the latter 1t will
be by virtue Of Mr.. Taft's decision that
the tieatw with France is not ~"unduly'
discriminatory. In other words, the com
promise will have No be made south Of the
boundary line. In the meantime the
Franco-Canadlan treaty will be ratified and
it's tariff schedules will be in effect. BY
reason Of that fact Canadian exports to
France win have a great advantage over
Ap,1rf-op awpnrFd TaaxfpC Nhh dafaEIG 20
the tariff experts. It is Illuminating to ex-
anime one schedule for example. Agricul.
tural implements from Canada will go into
French custom houses at a reduction oil
40 per cent under the duty charged or
American implements. This viii make q
difference Of 81. S6ron a mower, A.S2 on q
reaper, $3.50 on a binder, and so on. Al
this time the United States sends five
times as much agricultural machinery tc
France as does Canada. When the new
French treaty goes into effect American
Implements cannetseompete with those from
= Canada in the French market. The re.
suit will not affect a great American in.
dustrial corporation so very much, for the
international Harvester company will in.
crease it's Ontario plants and, move q
large section of It's b. mess across the Dor.
der. But 1t Will affect the industry OF
the country in many other particulars
Whether or not the discrimination Is
undue is for the president to decide.
The. maximum and minimum clauses OF
the Payne-AldTich bill Is supported by
some able arguments, and even its enemie,
admit that II has much merit 1t is alsC
fraught with possibilities of trouble, for 1
opens up a game at which two nations car
play. No three men gathered together by
. chance will agree upon any phase Of TN,
tariff question in America, pehaps, but 1
is the earnest hope OF the majority o.
business men on both sides OF the interna
tional boundary that a tariff war will
Canada will be averted. Canada hai
proved itself possessed of a liberal splri
in its actions concerning wood pulp ant
pulp wood; in that it has not gone nearlJ
so far as it might In protecting it's natura
monopoly OF the white paper supply. TIL,
United States will prove equally as liberal
in all probability, and there will be n,
tariff war. But the custom houses ar
there or the border and men in uniform
sit in the seat Of customs. Americans will
look to Ottawa and the Canadian Parlia
ment as they never have looked before
, and perhaps some OF them will regret tina
they have so long refused to know any
thing about their northern neighbors. TIL
Canadian tariff may yet become a para
mount issue.
BY Frederic J. Haskin:.