The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1913-10-05
SNAG IS STRUCK
IN TARIFF Law
Germany and Great Britain
May Ask for New Com
mercial Treaties.
DISCOVERY BY MR.. FOLK
English Possessions and German En-
pire, Except Prussia, Cannot Enjoy
S Per Cent Cut in Rates.

4 situation which may have far-IeaCh-
ing consequences in connection with the
new tariff has been disclosed by the let
ter of Solicitor Folk, of the State De
partment. to Senator Simmons, chair
man Of the Senate Finance Committee. 1t
is likely that the immediate effect Will
be to. bring a request from the gov
ernments of Great Britain and Germany
for the negotiation of new commercial
treaties with the Unite1 states.
The new tariff law provides that goods
imported into the United States in AmeIi-
can vessels shall pay per cent less than
the tariff schedules call for. 1t is like
wise provided, however. that the vessels
of any nation having by treaty guar
antee OF equal treatment with vessels of
the United States with regard to import
dues shall enjoy the same reduction of }
per cent Seventeen foreign governments
have such treaties with the United
States.
In examination Of the treaties of Great
Britain and Germany, p, 'uliar situa-
ton was discovered at the state Depart
ment 1t was found that the reciprocal
treatment in the case of the British
treaty, applies only TO vessels bringing
in goods which are the growth, prod
uCt or manufacture OF his Britannia
majesty's territories in Europe
This provision, of course, does not
extend. therefore, to British oversee
dominions. such as Canada, Australia,
New Zealand. Jamaica. South Africa,
or India. Consequently imports from
these outlying possessions will have
to pay the full rate of the new tariff
schedules, and will. in effect, be taxed
an additional per cent over similar
goods coming from other countries.
Only Prussia Included.
Almost an identical situation pre-
walls with respect to the German En-
pire The treaty now in force was
made with only the government of
Prussia, and it is specifically stated
that only goods of growth, produce, or
manufacture in Prussia shall enjoy
the same rates when brought in by
Prussian vessels as when by American
vessels The German government has
on many occasions indicated that it
regards this old treaty in force for
the whole empire, but in this case its
application cannot be extended, as the
territory of Prussia is expressly men
toned in the agreement Consequent
". goods from other parts of the en-
miro except Prussia and certain other
very small states. will suffer the adj
ditional per cent tax at American
custom houses.
1t is not expected that either the Brit
ish or the German governments will toll
crate this state of affairs a moment
longer than necessary, after they dis
cover the construction which the State
Department puts upon their treaties in
application to the tariff laE. Germany
has already intimated thai she would
like TO negotiate a new agreement of
commercial reciprocity with the United
States and II is expected that when the
Berlin government learns of the latest
development an attempt will be made to
expedite the working out of remedy.
England Likely TO Complain.
It is also expected that the British will
be equally quick to enter complaint, and
seek to have goods from their outlying
possessions admitted to the United states
or equal terms with goods from othe,
countries, brought in by ship.
According to Solicitor Folk, the follow
ing countries are adequately protected
and will enjoy the 5 per cent reduction
70 he given goods on American vessels.
Austria Hungary. Argentine Republic,
Belgium, Bolivia. Colombia, Denmark.
Greece. Hanseatic Republics, Italy,
japan, Liberia, Mecklenburg- SchweTin,
Netherlands, Paraguay. Prussia, Spain,
and Sweden and Norway.