The Breckenridge news. (Cloverport, Ky.) 1876-1955, 1912-01-03
RUSSIA'S DOUBLE
TARIFF SYSTEM
Il May Lead TO Difficulties With
the Uni,ed States.
AFTER NEXT DEC. IS.
With Termination Of Treaty Of 1892
We No Longer Have Guarantee Of
Most Favored Nation Treatment, and
High Rates May Prevail.

4
High Rates May Prevail.
Serious tariff difficulties will auto
matically arise between Russia and
] the United States with the termination
of the treaty of 1882 on Dec. Is next
unless by that time new treaty has
been negotiated or Russia goes out of
her way. to grant rate concessions to
this country.
These difficulties will grow out of
the double tariff system of the Russien
government. One set of schedules is
to be applied to goods coming from
countries with which Russia has trea-
ties containing most favored nation"
clauses. The other rates are to be ap-
piled to imports from countries with
which Russia has not in force Any
guarantee of most favored nation"
treatment. The latter rates are known
as the general tariff" of Russia, while
the former are called the convention
al tariff" The conventional tariff was
built up through concessions to various
countries granting reductions on goods
Of particular class. Through long
operation of this system and the ex-
tension of the most favored nation"
treatment these concessions. granted
few at Il time, have become the tariff
rates ordinarily applied.
With the termination of the treaty
of 1889 the United States will no long
er have any guarantee of the most IA
vored nation tariff treatment. and TN
Ger the ordinary Interpretation of the
Russian tariff law the general tariff
rates. considerably higher than those
of the conventional tariff. will be APP
piled to American goods.
A Tariff War;
Ii this is done and the maximum
and minimum provision of the Payne
Aldrich tariff law is still in force
President Taft will be Obliged to re-
woke the proclamation granting mini
mum rates to Russian goods. The min
imum rate concession Is by law to re-
main in force only so long as the RIs-
sian government makes no discrimina-
ton against American goods. The APP
plication of the general tariff rates by
Russia will undoubtedly be construed
as discrimination. enforcing the revO-
cation of the minimum American tariff
rates.
This situation would be nothing less
than tariff war. the effect Of which,
of course. can hardly be foreseen at
this time.
For the year ended June 80, 1911, the
value Of American exports to Russia
was about twice that of Russian goods
brought into this country. Exports to
Russia. consisting chiefly of agricutur-
al implements. manufactured cotton
and steel. were valued at $24, 70i.0i9.
The value of Russian goods imported
into the United States. principally
hides. skins and manufactured wool.
were valued at $l2.203.4ti2.
State Departments Plans.
1t is the intention of the state de-
partment to make no effort to press the
negotiation Of new treaty with Rus
STA for considerable time. Ii Is be-
lieved that nothing but embarrassment
to both sides could result from endeav-
oring to open the discussion Of the
Jewish passport question and a new
treaty at present. II is intended that
Russia shall have long time to forget
about any momentary resentment of
the agitation In the United States.
Above all else the department would
wish that Russia herself would Mt
some time within the next twelve
months offer to begin negotiations Of
a new treaty. 1t is hardly expected.
however. that the Russian government
will prove to be so good natured and
helpful.
IL favorable opportunity presents It,
self within the next year the Russian
government will be invited to negoti-
ate naturalization treaty with the
United States. For more than fifty
years Russia has declined to negotiate
such a treaty. as she still adheres to
the doctrine of perpetual allegiance
and does not recognize the right Of her
subjects to become citizens of another
country and absolve themselves of all
the obligations OF Russian citizenship.
II such a treaty could be negotiated
1t is believed most Of the passport trou-
bles would automatically disappear.