The New York herald. [volume] (New York, N.Y.) 1920-1924, 1920-10-04
MATERIALS MAKERS
WANT PRICE PROBE
Also Ask for Investigation of
LabOP-Late Real Estate
Transactions.

Building material interests supplying
the construction markets of the Atlantic
seaboard instead of waiting in fear or
possible Investigation of the industry
are indeed actually counting 1t by pre-
pairing to demand that If such an in
vestigation does occur that all factors
contributing to construction cost, includ-
ing labor, be as vigorously probed. ac-
cordng to the Dow Service daily build
ing reports.
Induigent smiles accompany the re-
plies to queries made in the trade at the
weekend regarding the effect the threat
ened inquiry into the causes or present
construction costs will have upon the
price situation of basic commodities dur
ing the forthcoming year. certainly
nothing like market collapse Is dis
cernible with the supply situation over
sold from two to six months.
Orders for common brick are now
eng taken under non-cancelling con-
tracts at prices far beyond the present
open market levels. Boiler manufact-
urers as a rule cannot accept new bust
ness subject to delivery before spring OF
next year. The largest single purchaser
of electrical conduit in the world is even
at this time millions OF feet behind its
2rese1. building requirement. Cement
is only in ten days national supply, with
the railroad and highway building re-
uuirements yet to be accounted lot
Glass manufacture probably VIII not
exceed so per cent of normal \produc-
ton. There are many other items that
could be cited.
Say Investigation Is Wanted.
'oThey talk of putting some building
material men in Jail within ninety days.
said one well informed man. Let them
have thirty additional days to make
complete the investigation, and then, II
they fail to accomplish what is prom
ised, let full responsibility rest upon
those responsible for such statement"
Such an investigation will be found to
be welcomed by the entire building ma
terial and equipment industry. If the
building public has been led to believe
that there are combinations in restraint
o. trade or the artificial manipulation of
prices, the quicker the charges are
proved or dlsproved the better 1t will be
for the industry as whole and for the
peace of mind of the prospective
builder
But as the situation now stands, no
manufacturer can proceed with his pro-
ducton schedule to provide for the
building material and equipment needs
of this or any other market next year.
The general inclination Is to play safe,
close down one department after another
and wait Credits are too tight to war
rant indiscriminate manufacture OF
building materials only to be carried as
stock for an indefinite period. Prospec-
tive wage advances to building trades
artisans is too great factor making or
breaking the building construction move
ment of the immediate future to justify
the building material producer in taking
such chances.
Recent financial distress of brick MAX
ing interests supplying this market show
the extent to which the so-called price
manipulation has worked for the benefit
of the clay products manufacturer. Price
reductions recently reported have had
no more to do with the threatened in
vestigation of the Hudson River clay in
dustry than 1t has had in reducing the
price of automobiles. The price reduc-
lions have come about because the
market has been flooded with anything
but the best product of the brick plants,
not through choice. but because the Fed
eral Government deprived the industry
of fuel when coal for burning the brick
was most needed during the summer of
1919.
The manufacturers were thus forced
to burn the frost-bitten brick In winter
time. an almost unprecedented course
for the open yard brick plants of the
Hudson district to follow. Costs of
manufacture for this years brick are
not yet known, neither will they be
known until the close of the year. Only
as late as September IA an advance of
20 per cent. on towing charges was an
nounced. The wasteful and expensive
winter burning must be repeated this
year because coal cannot even now be