Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1924-07-10
GERMAN SHIPPING
GAINS 7TH PLACE
IN FACE OF LOSSES

FAM VI luSaES
Hamburg. Germany. June 22-tA.
p by MaiD - German shipping
claims to be fighting against tremen-
dous odds In Its attempt to regain
its place in the sun. The loss OF 90
per cent. of the German commercial
neet through the war and the terms
Of surrender means that German ship
owners practically have had to start
anew. By taking up loans. buying
back some Of the ships delivered TO
the entente victors under the Treaty
or Versailles. and refraining from
paying dividends in recent years. the
shipping concerns of Germany have
gradually worked mp a post war ton
mage of 100000 gross register tons.
which is about one-haif the German
pre-war tonnage, and which com
prises ! per cent. of the total worlds
tonnage as compared with IL per
cent. in 1914.
the shipping nations Of the world,
Germany has moved to seventh place
by 1924. as compared with second
place in 1914.
Count Siegfried Roedern. chairman
OF the League OF German Ship Own
ers and Freighters, in a prepared
statement replying to specific Ques-
tions, gave the following picture of
shipping conditions:
IN 1914 the German merchant ma
rine occupied second place among the
merchant fleets of the world as far as
actual tonnage was concerned. II
then comprised 100000 gross regis
ter tons and was surpassed only by
| Great Britain.
In the course of the war Germany
lost about half of her ships through
| seizure, sinking, etc. Next, in ac-
cordance with the terms of the Yer
| sailles Treaty, she had to give up
approximately the second half. In
! cIuded among the vessels that had to
| be turned over to the victors were
| all the larger passenger boats. The
Germans We're permitted to retain
! only the ships under 1000 tons and
/ onehalf the vessels between 1000
and 1000 tons. BY the peace treaty
| and the German legislation resulting
therefrom German shipping was COM
| PEELED to pay part of the war bill
| immediat ely in kind. by giving up not
only the ships already in the service,
but also those under construction.
1T was the sense of the treaty of
Versailles that this delivery by pri-
| vate capital was to be regarded as a
payment on account by the German
| Empire and hence to be refunded to
the individual concerns by the Ger
man state. The financial condition of
| the l;eich made complete indemnlfi-
! cation impossible. An agreement was
| therefore reached between the gov
eminent and the ship owners. by
! which the latter were to receive an
amount sufficient to rebuild but one
! THU d of their prewar tonnage. Be-
cause of the imitation of the last
| years the indemnity payments Of the
government did not suffice to rebuild
| the third of the old tonnage agreed
! upon. Besides. in distributing the
government indemnity, the small ship
owners were to be given the prefer
ence. so that most OF the larger con-
| Germs We're able to finance replace
nent program of but 20 per cert. Of
the pre- war tonnage out of the fund;
| furnished by the government. The
! fact that the larger concerns never
theless rebuilt on an average one
third of their old tonnage. is due
solely to their watering their stock
and assuming new debts.
"Due to the fact that a number OF
small and middle sized concerns were
able to exceed this program. and that
several new companies nave Deen
| founded. the entire German merchant
MAJ inc has now, upon completion Oh
the reconstruction program, been
| brought to 100000 tons,-in other
words, to about one-half of the pre-
war tonnage-both by new construc.
ton and through the re-purchase oil
vessels delivered.
Compared with the former Meet
the present comprises comparatively
few purely passenger ships and morc
mixed freight and passenger vessels
as we'll as freighters pure and SIM
pie. The fact that these newly con-
structed ships are equipped win
modern machinery does not counter
balance the fact that the total value
of the ships has deprecated over the
pre-war value.
Germany has taken up her princl-
nal former routes, such as those 10
North America. South America, the
Orient. Dutch East Indies and Aus
fra liza, The tonnage at the service OIL
these routes is, of course, conslder-
ablv reduced, especially since greater
emphasis must now be placed upon
the routes to Sweden, England ana
Spain inasmuch as Germany's pro-
auction of iron and coal has been
considerably diminished as q result
of the peace treaty.
"The indemnity payments for the
merchant vessels delivered were con
tinued only until March, 1929. SINCE
that time no additional payments
have been made by the Reich for the
unconpleted part of the reconstruc-
ton program.
.'The building program undertaken
nc a result of the indemnity payments
il now complete to within four or nNe
ships. 1t is self-eyident tnat Ioa
years to come the building pace Q. lne
nf the Years before the war cannot
be kept up"