Evening journal., 1919-08-07

The dangers that confront the newly
orsanized American dye industry and
the necessity OF having license sys-
tenn 20 protect II are pointed out in the
report Of the Ways and Means Commit
ice OF the House OF Representatives,
made recently. The report states that
fhe war forced upon America the build
ing IN OF the dye industry and says that
as soon as the peace treaty Is ratified
This new industry VIII be exposed 10
competition from an adversary so pow
erfiIl and so desperate that no prac-
tical rate OF duty can offer any real
defense. Il shows that the whole huge
German dye industry was combined in
1915 into a single immense trust. or
ganized for The purpose OF fighting its
vav back 10 the former German world
monopoly. Even before the war. when
its supremacy was uncOntested. the
German industry's competition was ut
terly unscrupulous. the report relates.
II practiced ruthlessly every form Of
corrupt and unfair competition known
20 commerce.
What can be more certain, then. asks
The report, than that in the almost inn
mediate future, when instead OF a COM
Portable and safe supremacy. 70 faces
possible destruction, 10 will attack all
competitors with reckless disregard OF
all considerations Of business decency.
It is pointed out that Great Britain,
France and Japan have protected their
own government-aided dye industries
by license laws essentially similar TO
the one recommended. The market OF
the United States is therefore, except
that Of China, Germany's last opening
70 is 10 protect this country as other
countries are protected that the IL
cense system is recommended.
The matter is OF great interest local
ly because this territory Is now the
home Of important dye interests, the
dupont Company alone having about
$4,000 600 invested In u.
The report is as follows.
The committee on ways and means.
10 whom was referred VI. r. s07s. A
bill TO regulate the importation Of coal
tar products. TO promote the establish
ment Of the manufacture thereof in the
United States. and as incident thereto
10 amend the act OF September s. 1915,
entitled AN act TO increase the revenue
ana for other purposes. 80 having had
the same under consideration, report
il back 10 the House without amend-
ment and recommend that Che bill be
passed.
This bin amends the present law IN
four important particulars. In its tech
nical details IL follows substantially
the recommendations OF the Tarin
Commission in bringing the phraseolo-
ey Of the law up to date so as to pre-
vent evasions OF its provisions through
under-valuation or false designation OF
articles sought TO be imported. Expert
ence in the administration OF the exist
ing law has made il clear that II IS not
so worded as 10 completely give effect
n the intent Of Congress. and IT Is BE-
leved that these technical changes viii
fulnn that purpose. In the second place
II repeas that provision under wnich
the specifo duties shall be reduced at
the rate Of 20 per cent. year for five
years. 70 increases the rates OF duty
from IS per cent. sd vslorem and ? -
cents a pound on the intermediates 70
40 per cent ad val0rem and cents
pound. and upon the finished product
from 30 per cent. ad valorem and .
cents a pound to i5 per cent. ad vslorem
and Z cents a pound. Expert chemical
opinion was unanimous that the rates
Of duty on the intermediates should be
substantially the same as those upon
the finished product In the fourth
place. the dill provides that for two
years no foreign dyes can be imported
except under license granted by
board created in the bill.
The bill subdivides. as does the
present law. the materials used in the
dye industry into three classes, the
crlIdes. the intermediates, and the finish
sd product The process OF producing
.he crudes is comparatively simple, theT