New Britain herald., 1921-08-31
GERMAN METHODS
 HIT U. s. BUSINESS
Drum-6re Efforts to Regain Trade Have Effect

Buenos Aires, Aug. 31.-American business in Argentina is at present being battered by a drum-tir of Ger man competition. according to Ed ward F. Feely. American Commercial Attache in Buenos Aires.
 Tn many lines,' he says, we are losing business and from the present suclook it appears that this condition will probably continue for some time as the Germans are able to offer low CT prices in number of cases when the high rate of the American dollar is taken into considerati ton.
 However it may be accepted as a certainty that in the long run Americans need have no great fear Of German or other competition. Once normal balance has been esta blished in international trade, so that the American trader will not be handi- capped by the high quotation of the dollar, I am confident that American manufacturers will be able to hold their own with any country"
 In such items as machinery, tools, small hardware of all kinds, paper. wire, etc, competition is particularly keen, and the American manufactur- CT has small chance of getting or dsrs when price alone is the principal consideration.
 Bids recently received by the Di- vision of Navigation and Ports of the Ministry of Public Works illustrate the comparison between British American and German prices. Out of ten items bid on, the Germans were able to undersell theih competitors in
 
 In several instances the low Ger man bid was far below the level of the competing bids. indicating that the firms offering the goods were will ing to sacrifice profits in order to get business. One such case, says Mir. Feely showed clear evidence of dumping, the firm making the bid quoting a price equivalent to about S1,o00 below the factory price in Ger many and not taking into account in surance, freight and other costs Of delivery.
 Many firms that before the war profited from strong German connec- tons have been making efforts to win back their places in the market. Some of these have gone so far as to help re-finance the German factories SO dS lO De dDle lO 5eI qulSh uSllN ci = ies. In one such case a sewing ma chine agency helped the factory to compete with American sewing ma chimes.
 While Germany, however. is able to undersell American merchants in the Argentine market on any items, in at least two ways American man. ufacturers have a considerable ad- vantage. These are in the matters of Gdick delivery and credits. At the present time, German manufacturers in most cases are demanding either confirmed credit before acceptance of payment in advance.
 Among other countries that are making an effort to increase their business in Argentina is Belgium which is offering steel products ir p.rticular at attractive rates bu which, like Germany, seemingly is not able to offer adequate credit facilities
 Among the recommendations that are made for strengthening American trade relations in Argentina are the maintenance of local offices under permanent American management anC the investment of American capital ir the country. It is pointed out tha while the high price of the dollars il z disadvantage in selling goods here 1t is a decided advantage in making investments.