Evening star., 1922-10-06
LOW PRICE OF CRUDE RUBBER
BOON TO AUTOISTS AND HOMES
Reports Indicate in Spite of Many New
Ways of Using It Consumption Will
Not Affect Surplus or Force Rise.
FINANcIAE.
BY j. G. ROYLE.
Special Dispa tch to The Star.

Special Dispatch to The Star
NEW YORK, October 6.-The tires
under your car, the heels under your
shoes, the rubber boots and over
shoes you wear and the galoshes on
the fappers you watch this winter
will not cost any more than they
do now, so far as the basic raw ma
terial is concerned.
The price of crude rubber Is not
at its extreme low point. but 1t is
low and will remain SO. A tre-
mendous surplus exists here. in Eng
land and in the orient. In spite OF
thousands Of new ways Of using rubber.
consumption canno; reduce this surplus
for a year.
Word received by cable from ex-
perts in London says plans for drastic
curtailment of production. with or
without the regulation or co-opera-
ton OF the Dutch and British gov
eTnments. is doomed to failure. There
seems no hope Of renewing the VOL
untarry agreement for curta1imeans. l;laIs
which existed among the British
planters of Ctylon and the Malay
peninsula and the Dutch of the Dutch
East Indies. This agreement expired
last January.
No Choice for Planters.
Many planters are in the position
of the frontierSmau who caught the
bear by the tail. They cannot let
go. Their Wcrkmen are under con-
tract to them for terms of years and
they caunot afford to discharge them
and disrupt trained working force.
TIL. trees are like uairy cattle. that
continue To- give milk. and neither
dair. men nor rubber growers will
throw that product away. They Will
sell it fer what they can get
Many can produce at present prices
ana show a reasonable profit. In fact,
it would be possible to raise
production at once from its pres
ent rate OF 100000 tons to 100000
tons a year. The world is consuming
about 100000 tons annually. but in
London and Liverpool is surplus of
10000 tons and about 800. 900 tons is
on hand in this country. Consequently
tire and rubber manufacturers here
can buy when they choose without
fear of steeply rising prices. Their
products for the next year therefore
will be subject only to increases in
factory and transportation costs.
Factories on Normal Schedules.
Tire factories have not let down in
their schedules of production which
a month. according to word from
Akron today. Prices are at record
low levels, but automobile companies
still are pressing for shipments and
the present pace will be well main
tanned throughout the winter. Manu-
facturers' stocks stand close to 5.oOO.-
600 castings, but record automobile
production will require a tremendous
tire output in 1923. The fluctuation of
tire fabrics is not expected to ex-
ceed cents a pound, although the
price trend of cotton manufacturers
undoubtedly is on the up curve.
No immediate wage increase at the
tire plants is in prospect.
The trend in rubber goods Is clear
ly indicated by action of the Kelly
Springfield Tire Company in cutting
prices to 6 per cent this week and
assuming the war tax. The demand
for rubber heels is on the increase.
one manufacturer planning to turn
out 50.O00000 pairs next year. Busi-
ness also is brisk in gloves. toys, rub
Der clothing and electrical equipment.
Many Back at Work.
BY Monday the cotton mills of the
B. B. and R. knight Company in
Rhode Island will have their full
complement OF workers again. This
will mark the termination Of the
long -drawn-out textile strike in that
state. Detroit has recovered from
the effects Of the Ford shutdown and
the factories of the automobile indus
try again are employing approx
mately 25O.O00 workers.
1t is impossible. according to re-
ports received from various sections
Of the country within the last twen-
ty-four hours, not to place an op-
timistic Interpretation upon the con-
dition Of the equipment market. This
applies especially to electrical goods.
Heating devices are very active and
manufacturers are rationine their
dealers on such products. Trade in
radio equipment is reviving with the
coming of colder weather.
Demand for farm implements Is
improving, according to reports from
the midwest, but not so fast as the
call for machine tools The Atlantic
Coast Line railroad shortly will be
in the market for S5,0O0.000 worth
of rolling stock, and 1000 new
freight cars have been ordered by
the Chicago and Northwestern road.