The Washington times., 1913-02-17
CANAL s OPENING TO
MEAN OPPORTUNITY
Will Give United States a Lead
of 1900 Miles Over Liver
pool in Commerce.

If the United States is to get an.
large benefits out of the opening of th'
Panama Canal, she must be prepared
TO meet and conquer powerful trade
rivalry of other nations, especially
Great Britain and Germany, according
10 a recent report to the Department
of Commerce and Labor by Commercial
Agent Lincoln Hutchinson.
Mr.. Hutchinson holds that the mere
opening of the canal will not produce
expansion of trade in this country but
will only provide an opportunity foI
development. This opportunity will be
eagerly seized by the peoples of all
the leading countries.
While he looks on Great Britain and
Germany as the foremost competitors
of this country, there will be numerous
other competitors. He says that i'm
portant rivals, but TO a less degree than
England and Germany, will be France,
Belgium, Italy, Spain, and Russia. Hol-
land and Austria Hungary also con-
tribute to q small extent to the trade
with China and Japan.
Provide Markets.
On the other side of the equa ton will
he the lands which provide market for
the goods of these various countries
These countries, which import Ameri-
can goods, fall into two distinct classes:
Those so definitely within the zone of
influence of the canal that the trade
roiltes~to them from the Eastern United
STATES and Europe must of necessity
be via the new waterway; those so
situated that even after the completion
OF the canal there will be alternative
rival routes still open for use
10 the former class belong the coun-
tries of the west coast of South Ameri-
ca: the west coasts of Central America,
Mexico, the United States, and British
Columbia and the Pacific islands. The
secon@ class will include New Zealand
end Australia. the Philippines and the
Orient generally, with increasing in
1lence of the canal as one passes up
the Asiatic coast to Japan.
Mr.. Hutchinson seeks to make ii plain
that If the United States is TO get-large
benefits in trade out of the canal its
merchants must study conditions; they
must understand the limitations of tine
new route: moreover. there must be in
telligent knowledge of the trade and
trade conditions of the lands that are
TO come under the influence of the new
waterway. ar-
American merchants must know who
their rivals are. what sort of goods they
handle and, in short, be prepared with
fuil knowledge of the entire situation
IN order that they may not go about
Battle of Markets.
What he says. in a most exhaustive
analysis of the conditions that viii OBJ
tain after the canal is opened. is in the
natrre of 4 warning TO America to pre-
pare for great battle for the mar
kets." He discusses this with special
reference to England and Germany as
-ivals. also with reference to other COM
petition
Considering England and Germany as
the really important rivals of the
Tinted States, Mr.. Hutchinson says
England occupies in a -way the position
of vantage and defense. and that gem
erauons of experience have given her
traders a skill that is hard to match
On the other hand. the success of Eng
fsh trade has given her traders con-
servatism that is to her disadvantage.
Germany and the United States,'' he
observes, represent the attacking
forces in this struggle for markets.
de points out that the growing Ger
man population forces that nation to
seek markets. that Germany has built
up a powerful mercantile marine. and
that II has established banking connec-
uons In many countries.
But he concludes that considering
competition as it exists today. England
over both the United States and Ger
many. This is due 10 Its immense
financial and commercial preponderance
IN most markets; its long experience as
a trader: the widespread knowledge of
the excellence of British products; and
the universal reputation of British mer-
chants for square dealing.
Trade Will Increase.
Analysing distances and other fac
tors, Mr. Hutchinson concludes that
when the canal is opened the trade OF
all the west coast of the American con-
tinent will increase and that the
growth of the American share of il |
VIII be even more marked. In other |
words. he expects America to get more |
than Its proportion of the west coast |
trade He thinks the canal will give |
America no help of Importance as to |
Chinese trade But he believes Il will |
help American trade with japan.
He points out that. with the opening |
of the canal. New York. instead of |
being 1,SS miles farther from Japan nv |
sea route than Liverpool will be j. $50 |
miles nearer than Liverpool. Compared |
with the German ports. New York's |
advantage will be even greater.
In other words, New York will have
an advantage of about 3,SOO miles over
Liverpool and German ports with re-
spect to Japan trade. Obviously. all At
lantic and Gulf ports of the United |
States will be thrown closer to japan
by water route
at is altogether probable thar the
opening of the new route will f,e fol- /
lowed by a stimulation of American
japanese trade which wifi soon nut the
United States in close rivalry with
England for the first place" says Mr..
The general conclusion OF Mr.
Hutchinson is that the United States
Is going to be put in a DacuItarir
strong position by the Opening Of