Evening star. [volume] (Washington, D.C.) 1854-1972, 1927-04-10
BY JULIUS KLEIN.

Director of Bureau of Foreign and Domestic
Commerce.
There is every indication that the
industrial countries of Europe, which
are today, as they have been in the
past, our best overseas business con-
facts, are refinding themselves after
the Generalization of the war. This
means that they will inevitably be-
come more intensive competitors of
ours in all parts of the world. How
ever, since many of them need Ameri-
can raw materials, machinery. office
equipment and other wares of which
they do not produce adequate types
or quantities, we will benefit by the
prosperity of their export trade, which,
in fact, forms far larger portion of
their total trade than is the case with
us. Moreover, with their ever-increas-
ing purchasing power at home, and
their cultivation of former markets
and penetration of new ones, we will
inevitably share in the general pros
perity which their recovery is bound
to stimulate in all parts Of the world.
There are three main factors enter
ing into the competition which Europe
directs against us. In the first place
the Old World has certain special adj
vantages, such as cheap labor and, in
the case of some countries, depreciat-
ed money. In the second place the
European governments are giving
special aid to goods which are COM
petitive with ours, by subsidies, credit
insurance and a closely linked politico-
economic program in international re.
lations which is sharply differentiated
from the traditional and sound Ameri-
can policy of keeping the Govern
4,,aYs+ ot,4 n tr,@{raee, -
Restrictions Against u. S. Goods.
In the third place there are some
actual restrictions against American
goods, such as the application of
stringent customs regulations that in
a few cases border closely upon dis
elimination, the limiting of imports of
some characteristic American prod
| ucts such as films and automobiles to
a certain ratio to domestic production,
and sundry indirect restrictions
through special taxes and require
ments peculiarly affecting American
wares.
Various campaigns are under way
to strengthen the hold of Britain OH
/ the trade OF her colonies along lines
entirely within her proper sphere of
action. The so-called imperial prefer
| CAlce ~ DSiLB puSHeut ana the Wlue-
| spread publicity campaign British
Goods are Best" is still on.
| Henceforth, Britain's trade policy,
! international as well as domestic, it
! would seem. is to be shaped, and all
| else subordinated, to the common end
/ of increasing the favorable trade bal
ance. Direct and indirect state as
/ sistance Of manufacturers and ex-
/ porters is forecast. There has been
| private consideration of plans for
| ocean freight rebates on outward
( bound British goods, There seems to
be an intention again to raise the
! question Of increased protection for
] the British domestic market by means
| Of direct and indirect tariffs. Similar
/ efforts are being made on the con.
! tinent Mussolini is driving at South
! American markets with better ship
ping, better governmental trade pro-
motion, better cable service and in
other directions. Recent efforts to es-
! tabiish a German bureau Of foreign
and domestic commerce have been
noteworthy.
Exports Show Steady Advance.
/ Current export figures reveal clearly
the steady advance now under way
throughout Europe. The total exports