New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1913-05-04
SEE MENACE IN TARIFF
American Auto Makers Protest
Against Reductions
DpA8Ts" CLAUSE IS FEARED
,uou,d Result in Opening Of
Many Assembly Factories by
Foreign Manufacturers.

.o,od nrotest against the pro-
oSrction In the Underwood tarin
~ an automobile chassis and parts mas
W. nc appearance in the form OF
n sa,sf prepared by committee represent
,wentv-seven manufacturers OF Amer
,aen motor vehicles. The committee con-
80 ~ John y. WHY'S, W. {. Leland,
l,.,o,e, Charles Clifton. Hugh Chalmers
and Henry b. JOY.
White the proposed bill lists finished
..a,,oh,les al the old duty Of As per cent,
,no automobile manufacturers committee
.sserts that by reason OF lockers In the
an ,be effective duty will be 20 per cent
g. tho greater proportion Of foreign built
cold I'm this country and I'm no
- ulII n be more than 30 per cent. The
.sser,ion IS based. Of course. on the en-
no,tatlon that the European makers
lid cease 10 send finished machines 10
this country. confning their shipments TO
orass,s. on which the proposed duty IL 30
,er cent and to parts, which are listed at
% per cent.
7, the oplnion OF the committee. the
,.rdervood bill goes beyond the fondest
hones Of the foreign motor car makers
AID dealers In placing a duty OF only 80
nor cent on chassis which. to all intentS.
arc finished automobiles. In the tarit
hearings before the last Congress Charles
u Sheriff.. representing the Importers
Salon tod the Ways and Means Commit
too that only a slight modification Of tho
dutv Of Is per cent was necessary TO be
entirely satisfactory TO European FAC
tories. and suggested placing the duty AT
n or SO per cent in order to open the
American market TO European cars.
The reduction on finished parts TO 20
per cent IS regarded as an invitation 10
the foreign makers 10 open assembly
HEADQUARTERS in this country for the pur-
nose OF doing the work that is said 10
amount to only ] per cent OF the total
cost OF building an automobile. Para
graphs from the brief are as follows:
III certainly is a Joker 10 have finished
automobiles in the tariff schedules at %
per cent and to have automobile chassis
listed at 80 per cent. II is important that
according 70 the records Of the custom
house, practically all Of the imports OF
motor cars are in the form OF chassis
that is. running gear of the car. without
the body. The chassis Itself is really
completed automobile. European factories
only manufacture chassis; the chassis Is
the car itself. from the trade point OF
View
"Especially should Il be noted that the
chassis is the thing the European manu-
fscturer wants TO bring in at the mini
mum rate Of duty. European motor car
manufacturers do not make the bodies.
exoept TO a very small extent. as bodies
are too bulky and too subject to damage
in shipping, and too expensive TO ship by
reason OF their bulk in proportion to their
value.
Parts OF an automobile make an auto
mobile. \ chassis is composed OF parts.
The accepted phraseology Of the trade IS
that parts makers produce motors, aXles.
transmissons. frames. steerlngs. wheels,
magnetos. etc. The chief cost Of chassis
is in the labor and material necessary to
make up these parts, not In the labor
necessary 10 unite them into chassis.
The cost Of joining together these parts
or sections is indeed minor one. 1t Is
a negligible per cent Of the chassis cost.
rs a European manufacturer going 10
import his product into America as chas-
sis at 90 per cent duty when he can ship
II at less cost OF freight and enter II at
a lower valuation for duty purposes as
parts or sections and pay duty OF %
per cent only. and have simply to assem-
Die the sections into chassis at a cost OF
approximately per cent?
1T is clear that the foreign manu-
facturer viii provide for uniting the i'm
ported parts or sections in America.
Chassis. as such, will only be imported by
the foreign manufacturer without sufii-
cient means 70 establish an assembling
branch here or by the casual purchaser
who buys abroad.
The man In the grocery business VINO
buys an automobile sees his money dis
irbuted in payroll to the American work
men making that automobile. who. buying
groceries or clothing, spend 1t in his
store With free trade, or tariff re-
duced to the point OF ready admission of
foreign automobiles, or parts. this same
grocer or clothier sees his money going to
Europe TO pay the foreign workmen and
De spent for foreign groceries and
clothes
With the purchase Of the American
automobile the buyer benefits the Ameri-
cali manufacturer, the American work
nan and himself With the tariff reduced
10 ADMIT foreign automobiles the pur-
chasers OF them take away the means Of
existence Of the American motor car
manufacturer the American workman
ann himself 10 Just that extent
Inc manufacturers represented by the
committee Of five. which prepared the
n.Tlef, are: Autocar. American Locomo-
i've American Motors. Chalmers. Cadll-
Iae, Cole. Garford, Haynes. Hupmobile,
.Liocomobile. Kissel, Lozier. Mitchell, Ma
nnonal, Oakland Oldsmobile, Packard.
SSserless, Pierce-Arrow. Pope. REQ. Staver,
11snsvens-Duryea, Studebaker, Warren,
white and Overland.
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