The Birmingham age-herald., 1921-07-02
Hy HOLLAND

New York, July 1.-tSpecial. )--Hid- den away in the details of dne story of our trade with the world for the 1z months which ended on June 30 is q strange. almost inexplicable, re- port For some years the United States has chiefly imported from other countries raw material which has made up the larger part of our imports This material has been con verted by American industry into manufactured goods, no small part of which were sold to other nations. But in the 1s months which began on July l, 1920 our imports of raw material fell off, and this falling ex- plains much of the decrease in im- ports. On the other hand we have been buying so large an amount or manufactured articles and imported them that these imports constitute no small part of the total value of our imports.
 But why, in a year of depression' when American industry was very sluggish, should we have bought the finished manufactured products of
 
 which we bought and brought into this country in the past l2 months was in money value less than one half of that which the import of these raw materials in the previous year represented in dollars. lnclud' ed in this raw material may appro- priateiy be placed crude food pro ducts. These also showed falling off in the fiscal year which has Just ended. How great this falling off was a few figures will illustrate. The money value of the raw material which we imported in the fiscal year now passed was approximately one billion dollars, but in the preceding the money value of like imports was considerably over two billions. The foodstuffs in crude condition when we imported were in money value less by a hundred and fifty millions than the value of like products which we boueht from other nations in the pre- vious year.
 On the other hand, there seems to have prevailed in this country new disposition to buy heavily Of com pletely manufactured products. These Manufactured articles which we lm- ported were of the money value Of s75o.o00, GOO, but as prices for man ufactured products have decreased then 1t must be assumed that the quantity of these imported commodi- ties must have been greatly in- creased.
 What Was the Reasons
 There appears to be no other ex- planation for this remarkable change in our world trade than that which is due to the belief that importers ri 10 UiIU of fin ished manufactured products. so that they may increase their stocks. But if they are anxious to increase thelr stocks in these goods they must req son that within a few months they will be able to market them. In other words, they look for a decided improvement in the domestic mar kets.
 Presumably importers are taking this action so that they may be well protected when the new tariff law is passed. They are apparently. of the opinion that the revised tariff will impose higher rates than those which are now contained in the existing tariff law. Manufactured articles, in- cluding manufactured foodstuffs, were the only commodities the inn ports of which were greater in | l the preceding year. It may be of some interest to know what some of these manufacturing commodities were because almost every one Of I them was a commodity which the United States is already producing. There were cotton knit goods, glass | and glassware, cutlery, needles, steel lsheets and plates. While the Amer lican steel and iron industry was working at about only 25 per cent of | capacity, yet we were importing building steel as well as steel sheets and plates.
 II It Is a strange and wholly unex- |lpected change in our foreign trade. Hit seems unerringly to indicate that II American importers are looking TOT |llarge increase in the new tariff law lon the rates imposed on imports or finished manufactured products, ana lalso that they are looking ahead Tn 1.-the belief that business conditions Twill be so improved within rev |Imonths that they can market the |l.tocks of manufactured articles (which they are importing and aiso |