New-York tribune., 1921-01-28
Var Between
II S. Vessels
OnRatesLikely
,oast to Coast Service,
Reserved for American
Tonnage, Is Now ON Verge
of Slashing of Freights
shin Board Seeks Truce
Withdrawing Lines Blame
Government for Flooding
Routes With Its Boats


marine freight rate war is likely
"a develop within the next few days be-
,xeen American shipping interests.
The lines affected this time will be
Ne services operating between United
s,stes Atlantic and Pacific ports, which
.re open only TO American shipping. No
lee has already been served on the
s,ercoastsl Rate Conference of the
s;shdrawal from the conference OF the
sfsight steamers on the eastbound run
anerated by the United American Lines
,nder the flag of the American
Hawaiian Company. This applies only
D the sailings from Pacific to Atlantic
ports, but it is expected that similar
action will be taken with regard to the
westerly run through the service of no.
ice to the westbound conference here.
While no cutting of rates is reported
IS yet on the Pacific Coast in regard to
ntercoastal traffic, this is looked for
soon unless an adjustment which the
Shipping Board is said to be seeking
70 make is effected.
Shipping Board Criticized
The cause behind the withdrawal of
he American Hawaiian ships is stated
to be the action Of the Shipping Board
4 placing so much of its tonnage in
he intercoastal service that it is i'm
possible for any OF the services to obtain
.athcient cargo. The withdrawal OF
he American Hawaiian ships leaves
he United American Lines free to cut
pnference rates IN order to secure a
qsater share OF the cargo available. Ii
his step is taken the other lines will
undoubtedly follow suit. Intercoastal
ntes have been maintained on a con-
siderabiy higher proportionate basis
nan those now prevailing in other
.ndes.
In connection with the present stu
lton shipping men point to the
tsciaration made by W. Averell Harri.
mar at the recent convention of Che
Nitonal Merchant Marine Association
1. Washington.
Government competition" he said
Is causing great difficulties. The
american Hawaiian Lines service is
:e-day disrupted by the competition
u operators of Shipping Board ton
nge without any interest in the ships
sney operate. 1t is fair that we should
lave to compete with other privately
owned shipping, but it is not fair to
iorce Us TO compete with governmen Mt
backed tonnage. The government car
frlve US out of business if it wills
aut II 1t does I consider it would be
national disgrace"
' Plan to Extend Service
The United American Lines have
.sn operating six vessels in the coast,
If>en2S
no weeks, and has been planning to
Increase the number of ships to nine,
9Th sailings about every ten davs'
About a dozen Shipping Board vessels
nave been placed on the same run
ander the operation Of smaller com.
panies.
At present the vessels carry chiefly
general cargo on the westbound run
rstnrning with lumber and -four as the
1rlnclpal shipments. There is very
'Hie transshlpment trade on cargoes
70 and from the Orient If the prefer
shsial rail rates provided for by the
nesenant marine act are made effect
W, however. shipping men look for
hucn increased intercoastal trade
asougn transshipments from vessels
1nder foreign flags, whose cargoes
YOU'D not receive the benefit of the
e1port and import rates, these ap-
pising only 20 shipments in Ameri-
an bottoms
shipping Board competition has been
:se subject Of much complaint from
mes operating privately Owned ton.
aage. The United American Lines. for
nssance. arc stated to have placed six
seamers in service from Hamburg to
ae River Plate. only to have their
'pehing up Of this service followed by
ae shipping Board allocate an equal
'lHoer Of its vessels to other inter
.s.s Tor operation in the Same trade
: swedish line and British line are
Aso running ships in this trade and a
.sss war Is on as result Of the sur
aus Of tonnage, which has brought
Ess to a low level.
Board Completes With Itself
since March, 1919, he United Amer
sn Lines interests point out, they have
sn operating service to Java which
~. ~ grown TO. ten vessels. with two
as'ings month. Recently, however,
e Shipping Board has had four other
.saa1ers put on the berth, thus Great
as a competition between its own ton
sAoNr "HErc bEc scarcity Ol
",goss Is especially marked.
,Aeports from Smyrna indicate how
~ handling Of Shipping Board tom
ass rs navlng disa astrous effect on
ss ireignt situation. Unable to obtain
sargo At Constantinople recently, a
ssapplnz Board vessel sailed for
ssAsrns on the chance of picking up
ssight. Finding nothing offering at
:. Aster port. It is stated, rates were
~ Until by cutting the boaro's own
sies IN half the Shipping noard ves-
"a secured 400 tons of ore after ly-
rrg mere eight days and sailed for the
s-,.ea states with this small cargo
Ah ~ said to be only one Of num-
81 cases IN which tie Shipping
sss'a nss been competing with itself
sshdinf it's ships to ports where
- sss Nss not sufficient cargo for other