New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1913-02-09
THE STEEL SITUATION.

In the issue Of Saturday, February s.,
'rhe Bacae Review" has the following,
under the heading of steel and Its Ad-
VersaTies'
Such hopeful movements as the increase
i'm steel Corporation wages. in which the
independents are following suit, would
ordinarily be a sign of assurance that
this barometric industry was confident Of
long continued activity and maintained
and increasing profits One would judge
that in the citadel of Steel all was peace
and hopefulness, and the volume of or
Gcrs and range of profitable prices would
re a confirmation of this But at the very
moment the deadly guns of government
dissolution and Congressional tariff cut
ting are aimed, With intent to Kill,
straight at the vast combination of per-
fected industrial machinery, the greatest
monument to modern business and finan-
cial skill ever built up
How is it that the Steel Corporation
has been selected for slaughter by bring
ing to bear all the power of the govern
mcnt under the Sherman law to effect
its disintegration? Was the decision to
bring this action the result of the well
considered elaboration of a body of eX-
pert states men for the good of the whole
country? on the contrary, the action
was undertaken on the judgment Of one,
or at most two. men. whose reputation for
avoiding blunders has never been estab-
lshed.
And is the proposed revision of duties
affecting this industry the result of calm
and expert consideration by body OF
tariff experts, recording their conclusions
after an unprejudced investigation #
costs. profits and possibilities in this
country and abroad, so that excuses may
be cut off but legitimate business con-
tinued ard increased?
ON the contrary, the movement is alto
gether political. and although Mr.. Under
wood is as able and just d legislator as
could BE- selected. his conclusions must
necessarily lack the authority OF an eN-
pcIienCed tariff commission. The Under
wood bill has teen changed somewhat
from the bill which was vetoed by Presi-
dent Taft. but it is not understood TO be
very materially altered. The bill was
vetoed by President Taft because, in his
opinion no revision in the tariff should
be undertaken without the necessary daLa
and facts having been gathered by a
Tariff Board appointed for that purpose.
This is a conclusion based on ripened
judgment which Mr.. Taft attained after
some years Of experience and very
rough time with tariff revision.
II may be said to be the conclusions Of
q Presidential expert and is undoubtedly
sound
Why should not the Democratic party
profit By this hard won wisdom? The one
long. wise step forward in tarif progress
was the establishment of an exceptionally
able. no1portisan Tariff Board. and now
the whole thing is back again to indi-
,idual log rolling methods.
The bright side Of the picture is that for
reasonably long period the proposed new
tariff will not affect values in this country
because prices in Germany and Belgium
arc at present as high as. and i'm some in
stances higher than they are in this coun-
try. because about the same activity in
tile steel business has been obtaining there
as here
This being The case, and as long as it
continues, prices here would not be af-
fectcd by lower tariff because Europe has
not the goods to sell and if she had
prices in Antwerp and Hamburg are as
high as in Pittsburgh, and no importa-
tons would come in.
II is from this very fact that while the
PAYNE Aldricl bill reduced the tariff very
materially yet, in the leading products,
imports actually fell off.
IT, however. poor years come TO Europe
ami the demand there lets up her products
would begin to invade at least our coast
markets