New-York tribune., 1920-11-03
Tied Up Ships
Cripple Trade
WiththeOrient
Pacific Coast h Protesting
Against Shipping Boards
Policy Giving Advantage
to Foreign Marine Lines
Relating Plan Up Again
Obstacle to Reported Entry
of u. S. Vessels Into China
Homeward Conference

the Pacific Coast that the Shipping
Board. by laying up vessels, is giving
decided advantage to Japanese and
British ships in the Orient trade.
Il is pointed out by A. +. Haines,
vice president Of the Pacific Steamship
Company that foreign concerns when
they advertise regular service of ship
sailings to any point. no matter how
isolated, carry out their schedule. Mr..
Haines states that vigorous protest will
be made on behalf of private operators
Of American shipping against any move
that Is calculated to curtail any service
operated and carried on by any ship
ming concern operating vessels on
established routes for the Shipping
Board.
Companies operating from the Pacific
Coast, he says, advertise services to
shippers in the Orient, and those ship
pers expect these schedules to be kept
up. If the Shipping Board ties up
practically half Of the rumber Of ship
concerns are operating between the
Pacific Coast and Oriental ports, he
adds, this policy will be highly bene-
fetal to British and Japanese service
out of Puget Sound, as these companies
have not curtailed their regular estab-
lished line services.
New Move for China Trade
According to reports from the Osaka
Shosen Kaisha agency at Manila, the
Shipping Board has been admitted into
what is known in the Orient as the China
Homeward Conference, move which
would give to vessels flying the Amer
ican flag the privileges enjoyed by
foreign vessels in the China trade,
The rebate question enters into this
situation, as it has in regard to the
plan to have the Shipping Board par
ticipate in the conference of steam
ships between the United Kingdom, Eu-
ropean ports and the Orient The China
conference terms are that any firm
contracting for an entire years bust
ness with any line of ships in both
the import and export trade is granted
rebate on the freight payments. AS
the granting of rebates is illegal for
vessels under the American flag, the
Europe Orient conference has been
blocked, and the same situation has
existed regarding the China confer
ence.
1t is difficult, therefore, to under
stand how the matter has been arranged
in regard to the China conference. 1t
has been reported, however, that where
the rebate system has operated as an
obstacle against Shipping Board yes
sells in the Orient trade the boards
practice has been to sanction an i'm
mediate cut in the rates on each ship
ment that would approximate the pro
portion Of the lump rebates granted by
foreign lines.
Advantage for U. s. Ships
In this way the shipper has not bad
10 wait year to receive the benefit
Of discount and the advantage has
lam with the American lines. That tn
conference should be desirous of hav-
ing the participation of American ship
ping under the existing conditions is
easily understood, but the report re-
celved by the Japanese lines agency at
Manila states that no confirmation of
the Shipping Boards concession to the
rebate plan has been received.
Another shipping group that has
'ound matters complicated because of
the Shipping Boards activities is the
ocandlnavlan-American conference This
consists OF the Norwcgia an American,
Norway MeXico-Guf, Swedish Amer
ican. Swedish Transatlantic and Dan
lsh-Amerlcan lines In addition. there
nave been q number Of private owners.
'who although not in the conference,
nave worked in agreement with it.
brltlsn publications state that the
cargo trade IS principally eastward and
oh the outward journey voyages have
oeeh made either in ballast or with
lumber. W hen lumber rates fell SO low
mat 1t could not be carried profitably.
'ne ships Of the conference and asso-
clated owners went over in ballast.
Scandinavian Rates Cut
az TINS luncture, it is reported, the
..Ih"ippihg Board vessels came in, took
NV Jumper and cut their rates accord
.nley; AS result of this, it is stated
ne stray and kleppe firms, of Bergen
sl anu Ohrlstiansand, have seeded from
sne conference and have started their
o"N regular steamer and motorsh;p
services to and from America at rates
""ich are competitive with those of
.he conference, and also with those of
me Shipping Board
NO word has been received by the
solVh Atlantic United Kingdom con-
.efehce from Admiral Benson, chair
~ m"n OF the Shipping Board, in regard
W its protest against his action in
cutting export rates on -four without
m.ot'ncaton TO the conference, despite
sne TACT that the board had solicited
cooperative action.
y. "hlle the cut was made at the So
.lcltauon of American milling inter
es's, alarmed by the great expansion
a III wheat exports, shipping men point
Out mat the reduction is not likely to
9"eii the shipments of flour. especially
80 Iar as the United Kingdom is con
Selneo; S Inc British government still
IIohtrois the cereal situation, and as 1t
";s nas been paying large annual SUBJ
Sy SSlay IN order to keep the price of
otead down for the public, Great Brit
GIL ".n Will probably continue to import
@ @meat rather than -four. not only be
Se uSuse 1t Is cheaper, but because en-
pbtoyment will thereby bo furnished for
British mllers.