The sun. [volume] (New York [N.Y.]) 1916-1920, 1919-06-23
CONGRESS PUZZLED
BY TARIFF REVISION
Many New Factors Growing
Out Of War Will Have to
Be Considered.
FoRDNEY AT THE HELM
How Europe is to Pay If Goods
Are Barred Is Big
Question.

AIO Du6AON - jag
Question.
specdi DsspsfcA TO TEE suS.
wAsINgroN, June 22.--with the last
hearing scheduled for Tuesday by the
Ways and Means Committee on meas
ures proposing protection for new
American industries that have come into
being or experienced rapsa development
under tho spur Of war, Congress faces
one of the most dificuit national prob
lens. revision of the tariff.
The Tuesday hearing will deal with
protection for the pearl button indus
try, and win be before o subcommittee.
With that completed the committee will
have before II q mass Of pushing data.
Protection Of American industry against
foreign competition without creating
dangerous monopoly at homo and the
production Of large revenues from I'M
ports for the Government are the basic
considerations for the proposed revision
of the tariff laws.
Whether these ends can be accom-
plished by the means Of high import du-
ties, which, Chairman Fordney points
out, under Republican Administrations
always have resulted in prosperity for
American business, Is beginning to be
questioned by the stanchest protection
lists.
Testimony before the committee dur
Ing the last week has opened the eyes
Of members to the realisation that since
the armistice was signed and with the
coming OF peace factors have entered to
make deeply complex the problem OF
tariff legislation. This testimony has
brought to q sharp focus the picture OF
the United States as leader and
server of the world rather than an in
dependent nation seeking only Its own
welfare and protection.
To Build Up Industries.
eve arc here to do what Is necessary
to build up American industry" Chair
man Fordney said. II believe that
charity begins at home. II a protective
tariff won't protect. let's find out what
will
Some of the new phases of the prob
lem facing the tariff revisionists are
stated TO be: The vastly higher wage
scale in Europe and the new policy OF
Industrial leaders in Great Britain In
recognizing as desirable higher wages
and better conditions for workers. put
ting Europe on at least as high II not
higher wage basis than this country
| the question OF how Europe is to repay
her ten million dollar debt to the United
States unless it be by selling US her
me nufactured goods as we'll as raw ma
terials; the newest problem. Of how
Europe in addition to repaying her
| pi esent Indebtedness, Is to repay the vast
new advances in the form Of raw mate
| rails. machinery and railroad equip
| ment which Frank A. Vanderlip and
Henry p. Dawson declare this country
| must mako to Europe Immediately in
| order to prevent a world catastrophe
and how to admit certain German goods
to this country, notably dyes and potash.
| without inturing those new industries In
the United States. -'-'
The committee has completed hearings
| on bills proposing to protect the fol-
| lowing industries: Tungsten. magnesite
potash. scientific instruments and chem
zeal glassware, dyestuffs and other coal
| tar chemicals.
These materials were completely oil
largely made available to the American
industries dependent upon them by thu
war. American ingenuity. enterprise
anil capital stepped into the breach and
with varying degrees OF success sup.
piled the deficiency through the tapping
Of resources that up to that time had
been either unknown or undeveloped ir
| this country.
|
| neu addition to the products of the
United States have been besieging the
| committee to make possible further de.
4 velopment OF their industries to the END
that the United States shall never agair
be found in the predicament which made
these new enterprises necessary.
Fear Foreign Competition.
| AT the present stage of their develop
ment these industries fear they are un
able to compete with the foreign pro
tducers unless they are protected and en-
abled to obtain comparatively high
prices for their products for some tim'
to come, the committee has been told
It Is understood the committee will rec
ommend this protection in the form o.
increased duties for all products con
sidered with the exception of dyestufr,
and probably potash. On dyes ant
other coal tar chemicals the committe,
has been told that the only possible wa,
to prevent Germany from again domi
mating the dye industry of the world Il
| to prevent absolutely tho importation
of all dyestuffs except those that canno
be or are not made In the United States
and upon those to levy q high duty.
The proposed licensing system to pre-
vent such entry was met at first by tn,
committee with open hostility. Repub
lican leaders were candid in expressin,
their fears of abuses and tendency I,
create monopoly through establish
nent of licensing boards as proposed.
How that particular problem Is to b
worked out no member will undertake
to predict. unless the licensing plan a
proposed Is adopted.
As to potash, the agricultural inter
ests have pointed out that American
farmers. particularly those of the South
must have great Quantities of this fer
tilizing ingredient at a reasonable price
while the American potash producer
admit It will take them five years NOR
to supplant the German supply.
Decision on this question Will prob
ably be reserved until the return from
Europe next month of representative
of the German and Alsatian producer
with a statement Of their purposes.
TupTET YTpHEn Tp0M DIT pruc,