Evening star., 1921-08-08
GERMAN CONTROL
OF TRADE SOUGHT
Export Manufacturers Plan
to Win Much of World
Commerce.
BY the Associated Press.


BERLIN. July 23.-German export
manufacturers are laying plans to
win control of so per cent of the
worlds commerce by. the time the
war indemnity is liQuidated. and to
do this. which they consider essential
if Germany is to meet promptlys her
obligations to former enemy coun-
tries and remain economically sound.
"feelers" have been put out for nego-
tiations for extensive credit loans. in
virtually every country once inter-
ested or now attracted by German
trade possibilities.
The German manufacturers. who are
understood to be closely cooperating
in plans to launch the campaign for
world commerce, are hoping for spe-
cial agreements with American man
ufacturers, which would not take
into consideration, in any appreciable
finance trade corporation to estab-
lish a $1,000, 900 buying fund in the
United States for TeutoEs.
Already a number of tentative
agreements have been made between
German and American firms ION pre-
war acquaintance and postwar
money values" but the fluctuating
mark and the high cost Of the dollar
have rendered any large deals on a
strictly cash basis out OF the ques-
ton.
Delay In Peace Embarrassing.
The delay in declaring the state Of
war between the two countries at an
end also has embarrassed manufac-
turers in both countries. and even
now that peace has been declared
the situation is uncertain. because 1t
is believed many weeks must elapse
before the nationals of either country
know approximately what the new
relations will be.
The Germans are placing their
principle hope for favorable relations
with American concerns in a scheme
by which they would act as Euro
pean agents for the Americans, and
would manufacture. in Germany. raw
materials sent from the United States
and sell these manufactured goods to
the Americans customers here on
percentage basis. This scheme
already has been proposed to certain
American manufacturers. Concern
| ing this plan. an informant. In close
touch with the German industrialists,
said:
Many German factories are now
| working only half-time. not because
/ there is no market for their goods,
but because they are unable to secure
raw materials at reasonable prices.
I! The cost Of production in Germany
| is so much less than it is in America
that the Americans. as well as the
Germans, could cooperate profitably
| in meeting the European demand for
manufa cturcd articles. The market
! for cotton goods, for agricultural
| machinery. for automobiles-in fact.
for all sorts of machinery-will not
| be oversupplied for many years.
Could Revive Cotton Market.
This proposal is particularly
| timely now. when it is estimated that
| the worlds surplus cotton crop this
! year will exceed last years by i've
and a half million bales. The
| European demand for cotton goous
! has been decreased by the substitutes
\ which Germans especially have been
forced to manufacture, but it would
promptly revive if the goods could
be placed cheaply before the con-
| sumers The high cost of labor and
! abroad make it next to impossible
! for the Americans to meet this de-
mand. The Germans feel they could
do it.
There is another point which the
German industrialists are making in
| their argument for corporation with
American manufacturers-the increas-
| ing output of the German mills is bound,
adversely. to affect American foreign
| trade, for Americans cannot compete
with the Germans in many lines. owing
to the difference in the cost of produc-
ton. Cooperation would give the two
countries a virtual world monopoly on
a large percentage of commerce, and be
profitable to both sides.
"If no working agreement can be
re ached in the European trade the Ger
man plans call for the sharpest compe-
tition possible. German competition al
ready is making itself manifest in the
South American trade. where the Ger
mans are rapidly regaining their pre-
war prestige. l know of one American
concern which last year shipped 5000
tons of goods to South American coun-
| tries, but in the next twelve months will
send less than $4,000 tons. The Ger
mans have sold the other $4,000 tons.
! Germany Threatens Undertaking.
1.-THE trade problem is now and always
will be simply a question of where to
buy cheaply, as long as the quality is
approximately the same, and in the
matter of quality the German manufac-
turers have received few complaints
! Some German capitalists believe it
will be ten to fifteen years before Ger
many again can WELD anything like her
old time power in world commerce, but
the more optimistic are figuring on a
shorter period.