New-York tribune., 1922-09-03

An unfortunate detail of this COM
parison is that while the outlook for
foreign, trade is improving, American
vessels are losing in their competition
for cargoes. In January, 1921, United
States ships carried SO per cent of the
imports and 33 per cent of the exports.
In January, 1922, they carried only 43
per cent of the import sand 35 per
cent of the exports. The decline in
total trade was from AZ to SO per cent.
In June, 1921, American vessels carried
against only 371s per cent in. June,
1922.
Commenting on this situation, W. J .
Love, president of the Shipping
Board Emergency Fleet Corporation,
said:
Shipping Needs StimuLant
"As compared with the great volume
of our overseas trade, the percentage
carried in American bottoms is out
of all proportion and reflects the need
for powerful stimulant to revive our
sluggish transportation factors so that
we eventually may carry more Amer
lean goods in American vessls and
utilize for home needs the money paid
to alien carriers for transporting our
goods"
Freight rates in the last few months
have resisted all efforts to force them
to lower levels The reason is plainly
evident when consideration is given
to the drastic declines extending over
two years. The following comparison
shows the situation with respect to
charter rates for full cargoes, accord
ing to a specially constructed index
figure:
Year. pnt
1911 49, average e,,..,.....s.,..... 100
1s2O.,,,... Observation-Disclosures. no
1929 thrst half) =. 39g
Charter rates are now very near the
pre-war levels, despite the fact that
the. costs of operation are distinctly
higher than they were before the war.
Shipbailding. Outlook Poor
The outlook for American shipbuild-
ing is still poor, but it is not as bad
! as last year. Prices of good vessels
have advanced from an average last
| winter of about $25 ton to around
$50 ton, but there is still wide
gap before the figures reach the $50
TO S6o ton at which American yards
can build ships, Foreign yards can
| construct boats at lower costs, prob
ably around $40 ton.
The difference between the cost of
construction and the sales prices of
| vessels is due to the enormous surplus
| OF idle tonnage, for which owners are
| forced to accept sacrifice prices in
many instances
| Many more orders for new ships are
| being placed this year than last. how
| ever, owing to the demand for special
types which cannot be duplicated in
existing fleets. For instance, Ameri-
can companies are ordering number
| of small passenger and freight ships
Tor ,o use IN the coastwise and West In
| dian services, The Shipping Board.
having concentrated on the production
| Of standardized steamers during the
war, does not. have such ships for
/ sale.
Many Firms Use Motorships
/ Many concerns also are purchasing
i sells of this nature in the world. and
! they are operating proftably because
OF lower costs while thousands of
steamers are lying idle
Present depressed conditions are
bringing about readjustment of ship
ping which will result later, in the
course Of the next two years, ina dis
tlnct revival. A large proportion OF
! the British vessels are worn out OF
obsolete, and steamship companies are
/ not adding to their fleets at present
Within short time new construction
must begin, especially if revival in
trade becomes evident. The supply oil
4 ships, which is much greater than the
demand at present, il rapidly working
down to q more even basis. When this
is accomplished, and the time does moi
seem far distant, thu stage will be Sc,
/ for a marked Improvement.