The Washington herald., 1921-03-29
ANTI-DUMPlyC
BILL TOBE PUT
BEFORE TARIFF
Measure Designed to Pre-.
vent Flooding of Amer
lean Markets.
PRICE DIFFERENCE
TO BE EXTRA DUTY
U. 8. May Add Difference
Between Value and
Selling Price.

As preliminary to general tarin
revision. enactment of an anti
dumping bill Is planned to prevent
upon the American market at less
than its fair value in the country
of production. Under the program
of the congressional leaders the
anti-dumping bill will be passed at
the beginning Of the special session.
The bill to be presented in the
House will be similar to the Fordney
bill as passed by the House last
year. In substance this bill pro-
vides for an additional duty equal
to the difference between the price
at which the foreign goods are Of
fered for shipment to this country
and the value in the country OF
origin.
Halts Unfair Practices.
Such measures as the Sherman
antitrust law, the Clayton act. and
the Federal Trade Commission act
have been designed to prevent un-
fair competition among American
industries. The purpose Of the anti.
dumping bills similarly to pro.
vide the American industries with
protection against unfair practices
by their foreign competitors.
The Fordney bill provides that the
consular invoice covering merchan-
disc subject to the act, shall con-
tain in addition to the facts and de-
tails now required, the foreign
homo value, or in the absence Of
such value, the value to countries
other than the United States. or in
the absence Of such value, the cost
of prodnction. when SUCH value or
cost does not equal the sales price.
Penalties Are Drastic.
The appraiser is directed to re-
port and return to the collector of
customs a decision as to the foreign
home value of all goods or the value
to countries other than the United
States, or the cost of production as
the case may be, and the sale price.
The collector shall acertain and FIX
the amount OF the special duty pro-
vided for in the act in addition to
the duties provided by existing law
II an importer refuses to submit
for inspection his books or papers
pertaining to the value of any i'm
ported merchandise, the Secretary of
the Treasury may prohibit future
importations by such person. A
penalty of not exceeding $1,000 is
provided II an importer gives a re-
bate from a sales price in order to
evade imposition of an extra duty
May Have Ad vaIorem Rates,
Ad valorem rates of duty will be
used in the new tariff law to
a greater extent than was antici-
pated. Members of the subcom-
mittee of the House Ways and
Meahs Committee in undertaking
the actual drafting of the bill have
found it impossible to carry out
their previous plan of returning to
specific rates. This is chiefly due to
the fact that fiuctuation in prices
of goods has occurred to such an
extent that adequate protection for
domestic industries in many cases
can be assured more readily by ad
valorem rates than by specific rates.
In the present Underwood act ad
vslorcm rates are generally applied.
this form of rate being used by
Democratic tariff trainers usually
because II is best fitted to a tariff
for revenue only. The Republicans
are more willing to adopt the ad
valorem rates in view of their de-
cision to enact legislation provid-
ing for American valuation Of i'm
ports. Their chief objection to ad
valorem rates in the past has been
the possibility of differentiation
under the present system OF basing
duties on foreign values.