Evening star., 1923-07-15
Rate by MaiI-Payable i'm Advance.
Maryland and Virginia.
All Other States.
Member of the Associated Press.
A Merchant Marine Pact Next2

The great naval powers of the world
have finally completed and ratified an
agreement 10 limit naval armament
so far as their capital ships are con
cerned. This accomplishment is hailed
as an augury of peace. Even more eff
fective. however, would be some kind
OF an agreement to halt the cut-throa,
race Of the maritime nations for the
carrying trade today.
AS matters stand no one Of the mari
time nations is making money. Prac-
tically all are losing money on their
merchant marine. or soon will be. The
entrance of the United States during
and since the world war into the
carrying trade has upset the old bal
anCe. The American people believe,
and rightly, that they are entitled to a
merchant marine to carry their prod
ucts overseas. and to bring to these
shores the products of other nations
consumed here. But the American
merchant fleet Is getting large share
Of the carrying trade, which means
much as formerly.
If the American people persist in
their desire to maintain d merchant
fleet. one of the most powerful reasons
being that it is needed as a safeguard
during possible war, the European and
oriental nations might as well recog-
nize the fact that the American fleet
is not going to be wiped off the ocean.
Ship subsidy went down to defeat in
the last Congress largely because it
could not be brought to a vote in the
short session, and because subsidy"
IS a word that does not appeal to the
American people. But the Congress
appropriated $50 100000 TO be used
during the next fiscal year to meet all
losses that the United States Emer-
gency Fleet Corporation may sustain
in the operation of it's vessels. A size
able sum. 1t will enable the Fleet Cor
poration TO continue in operation, and
TO meet any further cuts in rates that
foreign shipping interests attempt.
It is no more reasonable for the Brit
ish, the Dutch and other nations to
urge that the American merchant ma
rine should be eliminated than for the
Americans to urge that the fleets OF
Great Britain, the Netherlands, etc,
be tied up and allowed to decay. And
vice versa.
Unless the shipping business the
world over is to be run at a loss. with
possibilities of international friction
that may lead to war, there must come
some agreement among the maritime
nations to live and let live. Such a
policy in the carrying trade. it is con-
tended by those who are studying the
matter. is possible. 1t would be mis-
take. they say, to try 70 drive the ship
ping of England from the sea by build
ing millions of tons more of American
Vessels: just as it would be Il mistake
20 take from the seas the present
American fleet.
Would it not be possible to reach an
Ggreement-a gentlemen's agreement
if no other form of pact is feasible-by
which each of the carrying nations
should have it's share of the trade in
which its people are particularly inter
ested? For example, the British are
particularly interested in the carrying
trade between the United Kingdom
and the vast dominions of the British
empire; the United States is interested
in carrying its products to the Ameri-
can republics to the south and in
bringing to the United States such ar
here in great volume; it it interested,
TOO. in the carrying trade between the
Philippines and the United States and
between China and this country. These
are only few instances of what might
he called a proprietary interest Of the
nations in the carrying trade.
The United States Shipping Board
has played fair in the race for the
carrying trade. 1t has not initiated
cuts in rates, but il has met such cuts
where necessary. 1t is in a position,
backed by the richest nation in the
world, to continue to meet any and all
cuts to give American ships a share
Of the carrying trade Of the world.
But the old-estabished European lines
are being pushed harder and harder.
The time may come when government
aid to meet the situation will have to
he forthcoming in those nations, and
the governments of some Of them have
not the resources of America today.