San Antonio light. [volume] (San Antonio, Tex.) 1911-1993, 1923-04-15
Harding Determined to
Maintain Merchant Ma
rine in Some Form.
CONFERENCE IS HELD
Probable That Modified
Government Operation
viii Be Accepted.
Ry DAVID LAWRENCE.

Copyright, by The San Antonio Light
Washington, ID. C., April A.
President Harding is determined thai
the American flag shall keep on fly
ing on the Seven Seas. There will
be an American merchant marine
all those abroad who hope otherwise
are doomed to disappointment. The
Presidents conference with the entire
membership Of the United States Ship
ping Board today is but the fore
runner of a series of conferences
which may last for a week or two in
an effort to find the exact formula
that will meet Mr.. Harding's objective
the maintenance of specified routes
even if the government must keep on
footing the bill.
The administration called upon the
steamship owners for suggestions.
Most of them urged that the govern
ment go out of the shipping business
and turn the whole matter over to
private operation. This the President
is unwilling to do unless assured that
an American merchant marine can
be maintained that way and thus far
no practical plan has been brought
forward from any quarter which car
ries with it that assurance under pri-
rate operation.
No Sale at Low Prices.
A combination of continued govern
ment ownership with private opera
ton and initiative may be worked out
but whatever the policy this much
can be taken for granted-there will
be no general liquidation of shipping
by sale at nominal prices as was first
thought would be the alternative of
subsidy. Having failed to get direct
aid for private operation, the govern
ment turns naturally to the formula
that will retain Americas ships on
the seas. There is no certainty that
this can be done under the American
flag and private ownership as ship
more cheaply under foreign flags. u
takes for granted that if the shipping
board sold its vessels foreign COM
panies would be among the. first to
bid for them and America would
have no merchant marine either for
peace time uses or war time auxiliary.
The American owners, on the other
hand. contend the guarantees desired
by the government as a condition of
sale make it impossible to operate
Shipping Board vessels at a profit.
Reading all the announcements that
have been made heretofore on the
subject and Analysing the statements
which have been made BY the Presi-
dent the prevailing opinion now is
that continued government ownership
is inevitable as also is a large meas
ure of government operation Of those
routes which private operators claim
are improbable.
Indirect Methods Not Feasible.
The whole matter is at the turning
point. What is decided now is likely
TO be government policy for many
years to come as Mr.. Harding no
less than any Democratic admins
tration could turn to a subsidy and
there are no indirect methods of aid
ing shipping without breaking many
of the treaties with other nations
which give the latter legal protection
against the suggested scheme of re-
uniting import duties on goods carried
IN American bottoms. Authorities diff
fer as to the right of the United
States 10 abrogate these treaties. but
g S'NH a. OoHSItSs anu the PRESIDENT
were to agree on the exact method
of terminating the pacts, the Exc
cutive branch of the government
under this and the preceding admins
tration clings tenaciously to the be-
lief that more harm would be done
to Americas relations with other pow
ers than good would be served in
material way to shipping.
The only obstacle in the way Of
continued government operation has
been the enormous expense. Congress
has grudingly appropriated moneys
Tor shipping ever since the tremendous
I. losses growing out of war necessities
and the subsidy program was pro-
jected largely because Of a desire to
relieve the taxpayer Of continued bur-
dens in respect to shipping. Some
members of Congress feel. however.
that they would rather spend money
Tor government operation than accept
the principle of paying even lesser
sums to private interests. If the
government gives any money they
want the government to expend and
control it. That also is the inclina-
ton OF the administration now that
aLAI1 -