The Hawaiian star. [volume] (Honolulu [Oahu]) 1893-1912, 1910-08-18
SENATOR ALDRICH
TELLS ALL ABOUT
RUBBER TARIFF
(Continued from rage one.I

wv 006u ItllIIl
CONTINUED from rage One.)
mediately advanced largely the price
of crude rubber, the supply Of which
it absolutely controls
"a. That this vast rubber monopoly
the Intercontinental Rubber Company
was able, on account of the changes in
the tariff referred to, to advance
and did rapidly advance-the price OF
every rubber product, from automatic
tires to babies rattles.'
"5. That the increase in the rate on
rubber manufactures from 80 to 80 per
cent enabled the Intercontinental Rub
Der Company to realize Immediately
enormous profits, as shown by the
large dividends it had paid in the ear.
ly months of the present year, and
that the increase in rates was brought
about with this end in view
CALLS STATEMENTS FALSE.
TT is true that an increase in the
rates took place in paragraph 463,
which included certain manufactures
of India rubber, with other items, and
it is true also that l am a stakeholder
| and director in the Intercontinental
| Rubber Company, bur none of the 9TH
er statements referred to contain a
single element of truth. ! should be
glad to think that in these statements
Senator Bristow had been cruelty i'm
posed upon by some designing person,
as don't like to believe that any Sena-
tor could be guilty of deliberately ma
nufacturing statements so false in
every particular. ,-,a".-~r, -----.
Neither the Intercontinental Rub
Der Company nor nor any member of
my family has ever had any pecuniary
interest as to whether the rates for
manufactures of rubber were 20, 80 or
300 per cent, or whether crude rubber
was on the free or dutiable list.
"The Intercontinental Rubber Com
pany was incorporated in 1906, with
the general powers OF business cor
poration. There has been no change
whatever, either during or after the
session of Congress since that time in
the business or control of the company
or in the purposes for which it was
organized, these being all established
atthe time of organization, long be-
fore the tariff act of 1909 was ever
thought of.
with reference to my personal in
terest in the matter l will say that for
ten years l have been greatly inter-
esteo, financially and otherwise, in the
development of plans for extracting
crude rubber from shrubs, vines and
trees by scientific, chemical and me-
chanical processes instead of the old
fashioned tapping method now in gen.
eral use.
THE formation of the companies to
which l have alluded was for the nee
essary organization of this business in
various parts of the world. There has
never been any attempt at conceal
ment on my part, or any reason for
concealment of my deep interest in
this development. The measure of
success which has ben achieved by the
young men VINO have had the manage
ment of the companies has been
source of satisfaction and of pride to
me.
Among other things accomplished
is the yearly production in Mexico by
our company from the Cuayule shrub
of about 100000 pounds of crude rub
Der, other companies producing in Me-
xico about an equal amount. To ac-
complish this, an entirely new indus
try was established. Fifteen years
ago the Cuayule shrub on the Mexican
plains and the lands on which it grew
were practically worthless.
1--WE expect in time to accomplish
approximate results in other countries.
have no opology to make for my part
(Which has been unimportant) in this
work.
INCREASE IN RUBBER PRICES.
I'm the success attained the tariff of
the United States has played no part
whatever. The price of crude rubber
is fixed in the markets of the world by
the memorable law of supply and de-
mand. It is governed by auction sales
at London and Antwerp. The great in
crease in the price in recent years is
undoubtedly owing to the enormous
increase in demand for automobile
tires and for electrical and other in
dustrial uses with no corresponding
increase in the available supply. The
change in our tariff of per cent on
very limited number of the manufac.
lures of rubber in August, 1909, had as
little to do with it as had the move.