New Britain herald., 1918-06-01
Steel and Pig
Iron Markets
The Iron Age says:


Another week may pass before the
committee of the War Industries
board and the steel companies COM
plete the data which will decide how
long the industry must confine itself
to war and directly contributory
work. Meanwhile, there is a sum-
mary rejection of reports of govern
ment preparations to lay hold of the
machinery of steel production.
Further plans are on foot for new
government operations on a large
scale. Two new shipyards are one
item, and more may soon be heard Of
additional gun plants. Four large
Eastern shipyards will be greatly ex-'
tended at once, and the government
will provide larger facilities for fab
ricating plates and shapes for ships.
Preference over everything else is
now being given to plates for ships,
shell steel coming second, and rails
third in the list for special expedition.
Government plate orders already on
the books of the mills will take the
full output for the next three months.
1t is evidently the intention of the
Emergency Fleet corporation to create
a reservoir of plates against future
increase in the shipbuilding program
The advances in freight rates just
announced at Washington will bear
heavily on pig iron and steel costs.
With close to five tons of raw mate
rails and supplies represented in a ton
Of steel, the new freight schedule
means 81 to SO additional per ton
of finished material. While this in
| crement does not argue for a reduc-e
| tior in prices when the governm ent
| action is again taken next month"; the
| fact that the government now absorbs
| so large a proportion of the output
| obviously works against it's putting up
prices on itself Excess profits, sub.
| ject to heavy taxation, have a very
| different look when derived from sales
| made to the general consuming trade.
| The beginnings of adjustm by
! less essential industries are in evil
| dence. Some contracting interests
for example arc preparing to disband
| their organizations for the period of
| the war. In some light castings and
| novelty lines the chance that raw ma
| terals may he available is vanishing.
| A number Of lesser automobile com
| pani.s arc seeking government work.
| but not all are finding it.
It is realized that before many
| months not &, few manufacturers may
| be facing a suspension of operatione,
and steel makers dc not ignore the
| possibility that later. when steel be-
comes available for such outlets. their
old trade may not be in position to
! start in buying where it left off.
The survey of the pig iron trade ~
still quite incomplete. The reports
show that merchant iron devoted 10
government or essential work runs
from 65 to 90 per cent. of the total.
What is certain is that considerable
| iron now going TO foundries not on
| the essential list will be diverted.
Some 90 tons of shipbuilding
material for Japan. in storage on the
| Pacific Coast, has now been shipped,
| bat licerses have not Yet been issued
! though expected daily, on the remain
| ing l55, 900 tons of the revised ton
| mage to go in comp ensation for Japan
| built ships. All told. 1909 tons will
move at the terms of contracts written
last year, and 5000 tons at the gov
| eminent prices.