Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1910-08-12
atIsfaetlon and Of prlde % me.

our company from the GuaNule shrub
of about ten millions of pounds or
crude rubber other companies pro-
ducing in Mexico about an equal
amount. To accomplish this an en-
trely new industry was esta blished
Fifteen years ago the GuaYule shrub
on the Mexican plains and the lands
on which il grew were practically
valueless. We expect in time to ac-
eomplish approximate results in other
countries. | have no apology to make
for my part (Which haa been unim-
portanD in this work
In the success attained the tariff
of the United states has played no
part whatever
\ Price of Rubber Taxed Abroad.
The price of crude rubber is fixed
in the markets of the world by the
lnexorable law Of supply and demand.
1t 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 five per cent
on n very limited number of the man
ufacturers of rubber, in August 1909.
had as little to do with it as had the
movement Of the tides
''In 1902 the price of fine para was
20 cents q pound; in April 1910, the
price had reached SO pound, the
present price being about s2.40
pound If the price has been af-
fected 1T all by the product of the
lntereontinental Rubber company and
other kindred rubber producing COM
panies, it has been TO impede the ad-
vance by furnishing a new source of
supply.
Crude Rubber On Free List.
Crude rubber is and has been on
the free list of our tariff and there
has been no movement or suggestion
from any source To place IL on the
dutiable list. If this important raw
material which competes with no do
nestle product should be placed upon
the dutable list the duty would clear
~ be added To the cost of the rubber
to the manufacturer or the consumer
and would not affect the producer,
whose price would clearly be still
controlled by the market price of the
world
Biistow Statements Ridiculous.
"Of ell the ridiculous statements
made by the Kansas senator none is
he states that the Intereontinental
Rubber company absolutely controls
the crude rubber supply. The worlds
production of crude rabber in 1909
was about one hundred and seventy
five million of pounds, of which the
United states took about 93,000,OOO
of pounds. The production of the In
tercontinental Rubber company and
its subordinate companies was about
10 100000 pounds or less than six
per cent of the whole
'''ro say that the advance which
took place from month to month in
the price of crude rubber throughout
the world from seventy cents in 1870.
to SO in 1910 was owing to an unim-
portant increase of from thirty 10
thirty-five per cent In August 1909
on importations affecting less than
one per cent in value of the total
product of rubber, displays depth
OF ignorance which has rarely been
reached The claim that this same
change Of from thirty to thirtyflve
per cent enabled a party who never
had any interest whatever or any
with anyone engaged in
the manufacture of rubber, to adj
vance the price of all rubber por-
duets and to make enormous profits
out of such advances, discloses Il
aptitude for fiction in mar
ratiye.
LAS to the dividends paid by the In
Rubber company on its
preferred stock in the early months
of this present year / viii say that
these were deferred payments of
dividends; deferred, as
the earnings of the company had
been used in the develop
ment of its business. Not one mill of
the earnings from which dividends
were paid could be attributed S
have already stated, to the tariff Of
the United States or any change in
tariff rates.
Treasury Experts Responsible.
THE change in the tariff on manu-
facturers of rubber not otherwise
provided for. from thirty to thirty
five per cent in paragraph 463 was
not made or recommended for ~ o.
tective purpose or at the instance or
or for the benefit of any domestic
1t was made upon
the recommendation of the treasury
experts, solely for administrative pur-
poses The fact is that at the ine
the tariff act was passed the Anerl-
can manufacturer for most classes Of
goods had undisputed control of the
American market and In number OF
cases the domestic producer was able
to export some portion OF his pro-
duct to other countries.
..1'he statistics submitted by the
finance committee to the senate in
ADrll 1909 showed a value of manu-
featured products in the country IN
IgO4 OF one hundred and forty-eigni
millions of dollars, and exports in
Iao7 10 the value OF over $6,000,0 ,00D
while the imports of the classes re-
ferred 10 have never reached in value
ono and one and one-half per cent of
the domestic production.
There has been in recent years
falling off In the value
Of the imports of rubber manu-
factures. owing largely to the fact
that American manufacturers were
gradually taking possession OF
the American market FOR au-
tomobfle tires and to the fact that
tNo of the most important makers oi
tires-Michelin and the Continental
company--transferr their plants
for the supply of their American mar
ket to the United states.
when the tariff bill reached The
finance committee il was stated TO
MS by the treasury experts who had
been assigned by the president 10 as
sist the committee in the prepartion OF
that IL was extremely
desirable that the rates OF duty Inn
nosed by paragraphs 40, 421, 40 OF
he house bill on the miscellaneous
of various materials
should be uniform with the rates i'm
posed on similar manufactures ln
other parts OF the bill