New-York tribune., 1920-09-30
|Ercll Yards
seek Orders
Here for Ships
Tankers Considerably
4 ,ser Than Prices Asked
Fon by Shipbuilders
IN American Production
Dis. Registry Guaranteed
I1eciation of Currency
nables Foreigners to
bmpete i'm This Market

N inmunity from foreign competi-
~ held by the American shipbuilding
4 x,try since the beginning of the war
: row menaced. French shipyards are
osering tonnage in the American mar
t,s considerably under the rates quoted
av shipyards here for the same types
d 81 chips. Transfer to American reg
issry is guaranteed.
~ The initial offer made by French in
|ssserests, representing one Of the lead
iag shipyards in France, is to build two
t,nkers and guarantee delivery within
fh months Of the contract date. The
1nriee quoted works out on the present
exchange basis at about $167.50 per
ton. The tankers offered are of about
1900 deadweight tons each. Prices of
tankers as quoted by American yards
have been from 5000 to s225 ton, but
recent offers are reported as low as
$40 ton.
The extent of the difference in cost
is indicated by the fact that the French
lA vessels at s167.50 ton will run to
siJb07,500 each, while at the American
rste Of $3.50 ton they would come to
st,7f0,000, variation Of more than
100000 per vessel.
Exchange Hits United States shipyards
1t is because of the marked depreci-
alton OF the franc in comparison with
the dollar that French shipyards are
AL %n ~Ie
United States. The French quotation
per lightweight ton is $500 francs, and
en the pre-war monetary basis this
vauld have amounted to $500 per ton.
Through the depreciation of European
eurrencies, however, foreign shipbuild-
ers have been able to offer tonnage
cheaper than the shipbuilding interests
Of this country. That they have not
dose 50 heretofore has been chiefly due
TO the policy of their governments and
to the great need for ships abroad.
Now that that need is beginning to
be satisfied, however. further attempts
TO invade the American market NAV be
expected. In Great Britain the stu
alton has been complicated by the car
rying out of war pledges to build ships
fer France and the Scandinavian coun-
tries to replace tonnage lost in the
war and in consideration of Scandi-
nsvian tonnage turned over to the AL
lies during the conflict. Coupled with
Bntain's own needs, this has kept the
yards SO fully occupied that they have
not been in a position to seek orders
IN this country, nor has their govern
nent been willing that they should.
edly lower than in this country, al
though labor costs are much less than
hsre. The higher costs Of materials
ahroad than here has done much to
ofset that advantage, however. Even
nv American. steel can be laid down
IN Great Britain at lower price
than that at which it can be produced
tasre.
France Seeks Large Fleet
Shipping men here are greatly in
krested in the attempts of the French
10 invade the market for ships here,
specially as the French government is
reported to favor the acquisition of
merchant marine of 100000 gross
tons, practically as much as Germany
had before the war, when she was the
second maritime power of the world.
Il Is believed, however. that the impel-
ling motive is that France needs money
even more than ships at present and
SECS in ships a field for export that
vii aid in reestablishing financial con-
ditions on a sound basis.
Surprise is also expressed that for
dgaers should offer tankers in this
market when they are in greater de-
mand in Europe now than any other
type of ship. In fact, foreign countries
have been seeking to have tankers
built in this country, even with the ex-
easnge so heavily against them, and
oaly recently British interests placed
5ssders with American shipyards for a
number of oil-carrying vessels.
Tankers in Great Demand
( shipbuilding is now on the wane in
Great Britain, and as James French.
chef surveyor for Lloyd's Register of
Shipping in the United States and
Canada, who has just returned from
hgland, pointed out, there are num-
ssr Of yards with empty berths there.
These, however. are not fitted for the
huilding of tankers In this country
here has been keen demand for
ankers. and the bulk Of the tonnage
under construction for private account
% Of this type. Within the last month,
Aswever, a slackering has been re-
rsrted in the demand and contrac-
ton is shown IN tie volume of tanker
tsnnage on the ways. This decrease
"a demand has also been reflected in
tAs recession Of prices to under 5000
Ny deadweight ton.
Practically no completed tankers are
% the market for spot sale here. Be
suse OF this one company recently
bought number of Hog Island steel
ifeighters and is having them con-
serted into oil-carrying ships. Sew
srsl wooden steamers have also been
.seuipped as tankers.
in view Of the feared shortage OF
% It Is significant that the spccifica
nsas for the French tankers provide
ies their burning either oil or coal.