New-York tribune., 1917-09-07
New Rival for
Steel Corporation
In Foreign Trade
International Co,
Organizes Subsidiary
Export Concern

Definite plans have been laid by the
American International Corporation to
enter the steel export business as a
formidable rival of the United States
Steel Corporation. This fact became
known yesterday when the American
international announced the formation
of n new subsidiary, the American In
ternational Steel Corporation,to engage
in the export of steel and steel prod
ucts The new concern has a nominal
capital of S1,OOO,OOO, all the stock be-
ing owned by the parent company.
Edward VI. Hagar has been selected
as president of the new steel export
concern. Mr.. Hagar has been for many
years connected with the United States
Steel Corporation as the head of its
Universal Portland Cement Company
subsidiary. The board of directors is
made up Of the following members:
X. r. Tinsley, chairman; George j..
Baldwin, j. F. Case, Edward NJ. Hsgar,
J. w. Hook, W. S. Kies, J. S. Lowering,
NJ. A. Neeland and Charles A. Stone.
Company Has Many Facilities.
day said:
THE company intends TO develop =
foreign selling organization, which,
combined with its unusual buying
power and financial and shipping con-
nections, will bring the foreign buyer
and the American steel manufacturer
into much closer relationship than ha.
existed heretofore"
II was learned further that the new
subsidiary will devote it's attention en-
tirely to the selling of the steel and
steel products Of American independ-
ent steel mills, which at the present
time have no direct connections. This
will bring the company into close COM
petition with the export end of the
United States Steel Corporation. In
fact, it was stated yesterday on the
best of authority that in the course of
time il Is expected that the American
International Steel Corporation will
become the chief foreign competitor
of the United States Steel Corporation.
Financial Backing Strong
The new company has the financial
backing of the National City Bank and
allied interests. which were instru-
mental in bringing about the organiza-
tion of the American international Cor
poration in 1915. The parent company
was formed for the ostensible purpose
of developing export and import trade,
the use Of American materials and
manufactures abroad, the employment
of American capital and American en-
gineers in the construction of foreign
enterprises, the enlargement of the
system of ocean transportation under
the American flag and in general the
encouragement of the business men OF
the United Stetes in undertaking pro-
jectS abroad and in extending other
domestic opportunities 10 foreign coun-
tries.
In its brief existence the company
has received propositions for large un-
dertakings in all parts Of the world,
and is actually engaged in enterprises
in the Argentine, in China, India,
Japan, Ceylon. Russia, Italy, Swltzer-
land, France and Spain. Last year the
company bought the Pacific Mail feet
Of steamships, which, with other ship
ping interests in its control, will fur
nish the ships necessary for carrying
the export tonnage OF the American
international Steel Corporation. The
American international Corporation
owns the entire stock of the Allied
Machinery Company of America, which
has an extensive export business.
Russian Order a Factor
The latest departure, the organiza-
tion of the steel export subsidiary, is
largely the outcome Of a contract which
the American international received
some time ago from the Russian gov
ernment for 10000 tons of steel rails.
Inquiries from other parts of the world
indicated there was room in the foreign
field for other American steel interests
besides the United States Steel Cor
poration, and this led to the organiza-
tion Of the American international
Steel Corporation.
The new company has already opened
Offices in Buenos Ayres and in Lon
don. Offices in other parts of the
world will be opened as the field is de-
veloped.