Evening star., 1923-05-07
COMES TO DEFENSE
OF FLEXIBLE TARIFF
President Tells Southern
Delegates He Would Act
Only in Extremity.

President Harding told a delega
ton from the south which protested to
him today against opening Of the vege-
table oil schedule of the Fordney-
McCumber tariff act that he, acting
under the flexible provision Of the
tariff law, would modify rates ''only
on the most striking evidence of the
necessity for such a change in rates"
II can tell you surely" the Presi-
dent said to the delegation, that the
President would proclaim no reduc-
ton of the tariff unless there were
very pronounced reasons for it,"
In replying to the protest filed by
the delegation which was headed by
Gov-elect Walker of Georgia and
Gov Mcleod of South Carolina, the
President explained his view of the
flexible provision of the tariff law,
which provision was enacted by Con-
gress largely at the insistence of the
executive. The provision, the Presi-
dent told the delegation, is designed
Ito protect the American consumer
against inordinate charges as we'll as
the American producer against un-
fair competition"
Explain Flexible Tariff.
The President said to the delega-
ton:
Now let me say briefly in reply
it will be very brief-I am just as
cordially in favor of everything con-
sistently possible to promote agricul-
tural prosperity as any of you. l pre-
sumo 1 am a more ardent protection
iSY M
with all my heart as an American
policy, but 1 rather infer from your
presentation of the case that YOU
have not understood precisely the
flexible provision of the tariff law,
Your argument proceeds on the
theory that the authority of the
President. on the advice of the Tariff
Commission, is to lower the tariff.
when. as a matter of fact. the pro-
vision was inserted with equal pur-
pose to authorize the elevation of 1t.
We were considering a provision to
correct the difficulties growing out of
world conditions-out of the great
differences in exchange-and we
wanted a provision by which we could
protect American industry against
So one inspiration of the flexible tariff
is protection. and reduction only in
case of excessive rates. 1t is designed
to operate either way-to protect the
American consumer against inordi-
nate charges as we'll as the American
producer against unfair competition.
You stress your objection to the
policy of docketing. A policy has
been agreed upon by the tariff COM
mission and the President. We cam
not deny the filing Of petitions for
notifications, but. before action is
preliminary survey to determine
Whether the facts justify recommend
ing a hearing on the question. You
cannot forbid surveys. If you under
provision of a flexible tariff dead
letter But 1 have cautioned the
commission that the government does
not mean to throw a monkey wrench
into the machinery at time when
we are all trying to recover fully
from industrial and agricultural de-
preston.
81 can tell you surely that the Presi-
dent would proclaim no reduction OF
the tariff unless there were very pro-
nounced reasons for it. and the Presi-
dent would be justified in modifica-
tion either way only on the mosl
striking evidence of the necessity for
such a change in rates. 1 can under
stand, of course, how the suggestion
of inquiry and the announcement OF
a hearing might spread feeling
of anxiety to any given industry.
wish tnat were not SO. II Is q Ted
sonable function when the Tariff Com
mission makes these surveys and
they come to the President, and the
situation is laid before him presum-
ably without prejudice.
II know the commission is in har.
mony with the general policy which
1 have tried to enunciate to you
After you have gotten a survey OF
any field of production and the neces-
sary information on which to base g
decision. then, of course, there is
only one of two things to do-elevate
or lower the tariff. 1 do not see how
in these circumstances. you could be
injured in any way. You cannot be
under any circumstance, If the tariff
is a fair one, because it Is the intent
of the law and of the President to
give that just protection to Amer
lean industry, which Is the purpose
of the new law"