New-York tribune., 1921-01-08
Ocean Freight
War Renewed
On the Pacific
Japanese Are Again Break
ing Conference Rates;
Tie-up Of American and
British Ships Reported
Depression Is General
General Cargo Is Carried to
Continental European
Ports Now at 81 a Ton


the ocean freight markets, with rates
at the lowest level attained in the pres
ent movement. There is no indication
Of q cessation in the rate war follow
ing the French Lines action in cuttins.
conference figures, and while the dras-
tic cuts made in the earlier stages Of
the rate war are no longer the rule, n
steadily sinking tendency is manifest
In some cases freights on general
cargo TO Continental European ports
have been quoted as low as 81 q ton,
the lowest figure yet reached. Rates
in the same class were around sig a
ton last fall. No signs Of improvement
are manifest in the coal trade, rates
still ruling as low as s4.25 a ton to
Rotterdam. compared with around So
ton few months ago. Even at those
rates, however, freight offerings con-
tinue limited.
way on shipments from this coast TO
French Atlantic ports, Rotterdam, Ant
werp and Hamburg, cutting Of confer
ence rates is again reported from the
Tactic Coast Only recently it was an
nounced that the Mitsui interests and
the Blue Funnel Line had returned t..
the Orient Conference, and that
freights would be stabilized.
Rates Cut on Pacific
Moro recent reports, however, inc;-
cate that Japanese interests have
broken away from the conference and
are again cutting rates. Freights on
case oil are reported to have been re-
,luced from 60 cents TO 40 cents. A a
result, British and American vessels
engaged in this trade have been lad
up, because of the impossibility Of
profitable operation at the figures
quoted. The Japanese vessels, how
ever, are said to be taking all the case
oil offered at the low rate.
Shipping Board tonnage is suffering
most from the slump in cargo Offer
ings, and the number OF the board $
vessels now laid up as result of the
prevailing depression is reported to be
, we'll over 250.
An instance OF the difficulty in secur-
ing cargoes is the fact that at least 25
per cent of the ships leaving New York
ere said to be in ballast and are COM
PEELED to finish loading st other ports
along the coast Even under these cen
ditions, it is said, many are obliged
20 sail with half eargoes. The proper
tion of vessels coming to American
ports from abroad In ballast is said to
be larger than ever before.
British Figures Illuminating
In this connection, figures compiled
By the British Board of Trade show
that for the first eleven months Of
1920 the aggregate of American YES
sells entering British ports from the
United States with cargoes was 1,642,-
900 net tons, while the departures Of
American vessels for the United States
represented only 10000 net tons.
A new factor that Is beginning TO
initiate against an increase in the
carrying trade from the United States
is the failure of American concerns to
secure contracts in connection with the
work of reconstruction abroad.
Chiefly because OF the exchange con-
ditions, coupled with cheaper labor,
European firms are able to underbid
<14tSi iEHli QUOTATIONS., ana Il lleiQ tNdL IL
had been hoped would furnish en-
Ployment for American shipping for a
long time TO come is rapidly narrow
ing. Cancellations OF foreign orders
placed with American exporters are
also reducing shipping activity. Coal
exports have slumped to fraction of
the amount two months ago
Some Expect Improvement
In some quarters, however, improve
ment is looked for before long.
IN spite of present disconraging
conditions" says The Nautical Gazette,
almost everybody interested in ocean
commerce looks for revival Of bust
ness within the next two or three
monthsg In the export trade indica-
lions point to a further stabilization
OF pnces; reconstruction has been pro-
ceeclng apace in Europe and elsewhere,
and the present year is likely to show
some evidence of the cumulative ef-
,eces Of the work. In any event, Europe
must take American cotton and grain.
ahd there is no reason to believe that
any serious weakening Of the com.
mercial structure will be seen"
one beneficial factor in the situation
IS that because of the reduced num-
per Of vessels In operation and the
iacx of port congestion abroad, steam
eI@ are able to make a quicker turn
IouAd than formerly. and consequently
Ne" eu' tnc costa Of operation.