Evening star., 1927-10-30
BY FRANK ii. SIMONDS.

r YONS.-While the actual values
involved in the recent dispute
1 between Washington and Paris
IL over the new Franco-German
tariff treaty were relatively in
significant, the episode, viewed from
the European angle, had great impor-
tance. From one end of Europe to
the other there is disclosed a sense of
grievance and a desire for reprisal.
This sense of grievance patiently
grows out Of two wholly different cir
cumstances. First, Europeans are al
most daily conscious of new Amer
lean intrusion into their own lives.
and, second, they are almost equally
reminded of the determination of the
people of the United States to keep
Europeans and European things out of
America.
Markets Invaded.
The American invasion of Europe
does not consist mainly of the pres
ence of Americans. The dollar covers
a multitude of sins and much is Or
dinarily forgiven a people who an
nuallv leave millions of these dollars
in Europe. What hurts is the inva-
sion of the European market by Amer
lean manufactures.
If one goes to the movies" it is in
variably to see American films: The
trans" carry as their chief decora-
ton the advertisements of American
shaving implements. From the Chan-
mel to the ultimate Ural, the faithful
oliver performs it's uncomplalnlnS
task, American traction engines
plow the fields, American typeWrlters
invade even the foreign offices OF the
great powers.
But, by contrast, every people has
reason to know of the American pol
icy of exclusion. Our tariff laws stand
like a Chinese wall against European
manufactures, our immigration laws
hold back the millions who in many
countries constitute the burden of
unemployment. so heavy and disas-
trous Our prohibition law has car
ried disaster to the mighty wine in
dustry of France.
For 10 years Europe has been study
ing this American peril with increas-
ing absorption. And vaguely, Eu-
rope has been looking toward some
form of continental system which
might reproduce the American sys-
tenn, abolish ruinous competition,
make possible competition abroad with
the United States or. at the least, halt
the American invasion of the conti-
mental market. This Franco-German
tariff treaty was. after all, not the
first, but the second of the steps which
have been taken in this direction in
relatively recent time.
Cartel is Formed.
The first step was the great steel
and iron cartel which followed closely
upon adjustment of Franco-German
foreign policies at LOcarno. When the
war ended France found herself,
through the acquisition of Alsace-Lor-
raine, in possession of larger part
of the iron of Europe. Germany still
kept a proportionate share of the coal.
Combination was inevitable, but up to
the occupation of the Ruhr French
and German industrial magnates
fought to decide which nationality
should hold the dominating influence.
After Locarno, both national indus
tries perceived that collective ruin was
the certain consequence of further
confliction and agreed to the making
of the cartel, which was expanded to
include Belgium. Luxemburg and
Czechoslovakia, also considerable pro-
ducers. The cartel allotted to each
national industry a monopoly in it's
home market and a proporitionate
share in the European market. Over
production and consequent undersell.
ing at Improbable prices were abol.
ished.
After a year it is not possible to
say that the cartel has proven all the
success which was hoped for at the
outset. Nevertheless it has worked
and the new Franco-German tariff
treaty is logical second step. 1t car
rles national combinations into other
fields; it gives Germans certain ad.