New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1912-07-17
TWO ISSUES AT PANAMA.


of the Panama Canal. One is to pro-
vide adequate rules and regulations for
the control and operation Of that wa
terway when in the near future 1t Is
opened to the commerce Of the world.
The other is to determine the course
which this country shall pursue in re-
lation to the disputed Interpretation of
a clause Of the Hay-Pauncefote treaty.
The suggestions that the treaty might
be ignored or interpreted at our own
will, or might be abrogated, are I'M
worthy of serious consideration. Sen
ator Root and Senator Burton have
forcibly reminded their colleagues Of
the unfortunate consequences which
might result from a too precipitate and
self-willed Interpretation Of the treaty;
and whether or not the policy of ex-
emption of American commerce from
tolls is legitimate and would finally be
declared so to be, II would seem to be
the part of prudence to run no unneces-
sary risks in so grave a matter.
The need Of performing the first Of
the duties named is urgent and impera-
tive. To neglect ii, or even TO post
pone it to the next session Of Congress,
would be to embarTass in a costly and
deplorable manner the initial opera
lions Of q great work the prompt pros
perity of which is Of immense moment
to this country. Fortunately, there IS
no good reason why that duty should
not be speedily performed. 1t IS not
inseparably connected with the other
one. 1t can be disposed Of satisfac-
torily while the other, which is so in
volved in controversy, is left for more
deliberate consideration. If rules and
regulations were adopted imposing
upon American vessels. even those en-
gagged exclusively In coastwise traffic,
the same tolls that ships of other ma
tons pay, the United States would not
be irrevocably committed to the main
tenance Of that system. 1t would be
perfectly feasible at any time to remit
tolls If we were sufficiently assured
that such a course was, as many now
believe, compatible with our treaty OBJ
legations and desirable on economic
grounds.
Meantime it could scarcely be &C.
counted an intolerable hardship for
American commerce TO be subjected TO
those conditions. There seems to be a
pretty general conviction that only our
coastwise commerce. in any case, can
properly be exempted from tolls. That
is a very important part Of our com
merce. but 1t is, in fact, the one part Of
It which least needs favors and pro-
lection, at least against foreign cOmpe-
tition. For the very fact upon which
its exemption from tolls is sought in
dicates its exemption from foreign
competition, and therefore its lack Of
need, at least on that ground, Of the
favor which il seeks. There is. as we
have already said, much reason for
arguing that coastwise commerce may
be exempted from the tolls provision Of
the treaty, and indeed It is intimated
that the British government is pre-
pared to concede as much. But there
is also ground for arguing that that
commerce, which already enjoys a COM
plete monopoly against foreign compe-
tition, should pay its proportionate
share Of the expenses Of operating the
canal which will provide it so advan-
tageous route. 1t is necessary TO
discriminate between the legality, IN
der the treaty, of exempting that COM
merce from tolls and the equity or the
desirability, on fiscal and economic
grounds, of so doing. We have hitherto
been inclined to believe In the legality
and of course the good faith and hon
orableness-of exemption, but concern
ing its economic wisdom we have re-
tanned an open mind, and we would
commend that phase Of the matter to
careful AMI deliberate consideration.