The Detroit times., 1914-08-10
iany Companies Will Find
Profitable Business Open
Under American Flag
HIPS BADLY NEEDED
TO TRANSPORT PRODUCTS
Viii be Necessary to Use Coast
wise Vessels in Cross
Seas Trade
Bp gibson GARDNER.

WASHINGTON. Aug. S.--To what
xtent there are to be ships for car
ling our enormous European exports
Id imports will soon be evident In
70 practical application of the
mended registry act. The new law
dmits American-owned ships to
merican register whether the ships
ere owned by Americans previous to
ae passage OF this act or are acquir-
d subsequently by purchase. The
wv authorizes the president also to
awe the requirement that ships fly
az the American flag shall be officer
d by Americans.
There are several shipping com.
,anies owned by Americans now fly
az foreign flags. The reason they
ave done this has been the strict
eQuirements OF the American ship
ing laws, particularly in regard to
he treatment OF the seamen. II was
heaper to sail under foreign flag.
hese companies will now find the
| 'ay open to a profitable business by
ming Immediately under the Ameri-
IN flag. The United Fruit Co. Is
lie Of these. This concern flies the
ritish flag and owns nearly two doz-
1 ships which have been plying to
,ntral and South American ports,
1t which can be diverted to Euro
can ports. The New York and Pa
fic Steamship Co.. Ltd. CIV. r. Grace
Col is another American corpora
ION with IL ships, flying the British
az. The Red Star line Is an Ameri-
tn-owned line flying the Belgium
tg. While Belgium Is neutral. II
ay not remain so, and. this line will
doubt take American registry. The
ed Star line has FIVE large vessels
tn tonnage capacity of $4,000 tons
L. These various companies would
ring to our flag vessels already be-
nging to Americans with a net ton.
.ge Of $4,000 tons.
On the whole, this Is very little
Id unless supplemented by very ex-
ensive purchases by Americans OF
-eign ships the feet would be en-.
ely inadequate to carry the export
d import tonnage. Last years fig.
es show that our yearly exports to
Irope are SLAB, 100000. Our i'm
! ,rts are practically billion and a
lalf dollars worth year. This vast
-ade has been carried almost exclu.
| vely In foreign ships. Indeed the
cures show that vessels flying an
merican flag have carried but lilo
/ n cent. or 100000 net tons British
| dps carried the largest share, name
$4,000 tons. German ships car.
I'D the next largest share, 3,026. 900
lille French ships carried SS1 600
tons In other words, 81 per cent OF
the tonnage to Europe was carried In
British ships, II per cent in German
ships, these two nations alone carry.
ing So per cent of the export tonnage
20 Europe.
Since the war will probably make
Il necessary to exclude the ships OF
Great Britain, France, Germany, Rus.
"a and Austria from the carrying
-ade, only enough ships would be
1T In the balance of the world to
irry IA per cent of the exports from
ne United States to European ports,
t'he largest factor In this export
proposition Is cotton, which amounts
annually to $224,000,000 exported in
the bale Next comes breadstuffs,
@142, 100000; next meats, $117 100000
These three agricultural products
amounting to over $602 100000, are
nearly one-half our exports.
No doubt coastwise ships, when OF
sufficient TONNAGE, will be diverted
into the foreign-carrying trade and
hipmasters will begin taking long
lances with sea and water to get
eight abroad The fact that Great
itain has become involved In the
ar will bring the most serious con.
squences to the carrying trade, as
eat Britain is the greatest water
rrier in the world. IL Great Brit.
fences of this war to the United
tates would be much less serious.
There is plenty of capital In the
lnited States ready to purchase for.
ign ships and put them under the
.merican flag, and this will no doubt
e done regardless of possible inter
ational complications. The interna-
tonal law on the subject was dis.
used In the house when the act was
assed and the late counselor for the
tate department. Mr. Moore, was
uoted from his eight-volume work on
International law TO the effect that
ie London declaration might stand In
ie way of transfers of foreign ships
the American registry This ques.
son, however, resolves itself into Q
iestion of good faith. II the pur
lases are real purchases and made
good faith and with the intention
have the ships remain In the
nerican registry. II is believed there
I'll oe no violation OF neutrality.