The Penn's Grove record., 1919-08-15
Dupont DYE WORKERS DOINGs
First Conference Meeting Held. Officials and Workmer
Make New Union in industry. German
Dye Patents Taken
now GERMANY KILLED AMERf-
CAN DYE INDUSTRY

CAN DYE INDUSTRY
The methods under which this
dumping policy was conducted, and its
extent, may be illustrated by a few
specific instances. Most of these oc-
Cured in branches Of the chemical in
dustry other than the manufacture of
dyes, for the simple and sufficient
reason that in this country, at least,
the dyestuff industry never reached a
point where it required much diseour-
agement. When, however, in 1910
The first determined effort was made
in this country to establish the manu-
facture of an important intermediate,
when, that is to say, the Benzol Pro
ducts Co. was organized by a group
of men interested in the heavy chemi-
cal industry, to manufacture aniline
oil Oh a large scale, the German hand
was Immediately shown. The price of
aniline oil at the time of the estab-
liShment of this company averaged
1112 cents. As soon as its manufac-
ture was fairly under way, the Ger
mar exporters commenced to cut the
price. Apparently, no definite price
was made by the Germans, but they
adopted the simple policy of offering
/ any GuoIOIlCI VI IlS llCW COtlGEl4l sup
plies al less than the price he was
paying. For example one of their
most important customers refused ar
advantage of 81a cents, stating that
he had assurance from the Germans
that whatever the price the Benzol
Products Co. made would be met and
bettered by them. Accordingly, the
new company struggled on, conducting
its operations without profit, and only
because it was supported by a group
of men of exceptional determination
and insight was it able to survive un-
til the war gave it an opportunity to
establish its business on a firm founda-
ton. Among other examples are the
following: In 1903, there were in the
United States five manufacturers OF
salicylic acid. By 1913, three of these
had failed. Of the two survivors, one
was the Heyden Chemical Co., a mere
branch of a German house, which, as
such, | have since taken over. Dur
ing the latter part of the decade refer
red to, saiicylie acid was selling in
Germany at from 26A to 301a cents.
During the same period, the German
houses were selling in this country,
after paying a duty of 5 cents, at 20
cents, or from 6 to 10 cents below
what they were getting at home.
A similar situation developed IN the
manufacture of oxalic acid. In 1901,
when there was no American manu-
f~aeture, it was sold by the Germans at
6 cents. In 1903, when the works OF
the American Acid and Alkall Co. were
started, the price was Immediately
dropped to Al cents, at about which
figure it remained until 1907 when the
American factory was shut down for
a number of months. During this shut
down period the price was instantly
raised to 8 cents. When the factory
was reopened the price was again
dropped until 1908, when the company
failed. 1t was then reorganized and IN
1909 secured the imposition of a 2
cent duty on the acid, from which time
up to the beginning of the war the
price ran at about 71a cents a pound.
: The same process was carried on IN
regard to b~icarbonate of potash. In
1900 there was no American manu-
!, facture and imports ran about 1907
!, 900 pounds. In 1901 American manu-
: facture began. This succeeded so we'll
that in 1906 imports had dropped to
| As, 1000 pounds. At this time the
t American manufacturers price was
61a cents, while the import value was
/ given at 40 cents. In the following
/ year the Germans made a determined
, and successful onslaught. Their I'M
!, port value was lowered to % cents
with a result that, instead OF 45,OOo
5 pounds, 100000 pounds were imported.
: Accordingly, in 1908, the American
| manufacturer failed. The price was
| Immediately raised to 772 cents and
remained whereabouts thereafter until
the war. Many similar instances
might be cited, but these sufficiently
indicate the method and its results.
This determined onslaught upon the
= competing industries of other coun-
: tries, this definite attempt to secure
/ world monopoly naturally created a
strong tendency toward combination.
AS has been stated, by the end of the
: nineteenth century the real manufac-
ture of dyes on a large scale was con-
centrated almost exclusively ! n SIX
> great firms. These were the follow
ing:
: Badische Analin und Soda Fabrik,
, Ludwigshafen on the Rhine, herein
I. after known as Badische; Farbenfa-
briken worm. Friedr. Bayer & Co. II
Leverkusen, hereinafter referred to as
BE-; Actien-G esellscha1t f. AMI
NATURALIZATION in Berlin, hereinafter
| referred to as Berlin; Farbwerke
: worm. Meister Lucius & Bruning in
I Hoechst am Main, hereinafter refer
red to as Hoescht; Leopold Cassella
G.m.b.H. in Frankfort, and Kalle d
leo. Aktien-Gesellschaft in Biebrich.
Each of these six great companies
had attained enormous proportions
long before the war. Only two other
; concerns have carried on manufacture
on a scale in any sense comparable.
J. These are the following: Chemische
: Fabrik Griesheim Elektron Of FRANK
fort A. NJ, a company which has alb
!, sorbed a number of smaller manufac-
turers, and Chemische Frabriken vor-
mails Weiler-ter-Meer, Uerdingen.
Continued on page 6