Evening star. [volume] (Washington, D.C.) 1854-1972, 1927-09-18
MERCHANT MARINE
INQUIRY IMMINENT
Presidents Indictment of
U. S. importers and Export
ers Raises Big Issue.
EY FREDERIC WILLIAM VILE.

American exporters and importers, to-
gcther with American railroads, are
TO blame for the United States ina.
bilty to operate 4 profitable merchant
marine has converted that problem
into a paramount issue. Congress Is
certain to tackle it next Winter.
Interests that demand an American
flag mercantile fleet more modern than
cur slow, war-built ships Will lie
strongly 70 the front. House or Sen.
ate, or both. may be expected TO sue-
cest a faNoriJe Capitol hill remedy.
Niz, an investigation of the startling
allegations that emanated from the
White House.
For years Washington has rcyer-
herated with charges that European
shipping combines are Systematically
engaged in throttling the American
merchant marine. Now comes the
President of the United States, who
boldly indiCts our own commercial and
railroad interests on the same count.
Mr. Coolidge does not accuse Americans
business and transportation leaders of
plotting TO hamper our overseas
trade. But their tactics. in the ham
ding of freightS to he carried across
the ocean, are biuntly assailed by the
L
marine progress.
Remedial Plans Advanced.
Two concrete projects developed
following the White House discussion
of the shipping situation. BUla OF
them were put forward as remedial
schemes. The more ambitious plan
is one calling for the creation IF
great new Government Department Of
II transportation. Under it would be
placed the United States Shipping
Board. the Merchant Fleet Corpora
ton, the Interstate Commerce Com
mission, the Railroad I."bor Board,
the Bureau of Public Roads, Bureaus
Of Navigation and all other bureaus,
divisions and branches of the Federal
Government concerned with transpor-
tation, either land or water. The plan,
its proposers assert, would eral,e the
Government to deal directly with the
evil of which President Coolidge COM
plains-the refusal of the railroads 10
cooperate with the American lner-
chant marine. There would be, under
the project in question, automatic
"co-ordination" of ell agencies con-
nected with transportation.
The other scheme, which is held
CAPABLE of going far toward meeting
mercantile marine needs, is purely
shipbuilding proposition Authorities
who prefer this method of graphing
with the situation contend that Uncle
Sans trouble is mainly due to the
fact that he hasn't a fleet of modern
vessels. With the exception of the
Leviathan, the George Washington
and some other first-class. speedy
ships, the United States possesses 10.
knot boats of wartime vintage.
Fail to Hold Their Own.
These don't begin to be able to hold
their own in competition with the
swifter and more numerous carriers
of Great Britain and Germany, to say
nothing of fine, up-to-date vessels
maintained by countries like France,
Italy, the Netherlands and even ia
pan, Canada and Sweden.
The long and short of 1t is that
hard boiled American exporters and
lean bottoms out of any patriotic mo-
tives. It's for them purely a ques-
ton of service. If John Bull will
carry Detroit automobiles, Chicago
packing products. Southern cotton.
Oklahoma oil, Montana copper or
Kansas wheat in faster ships than
Uncle Sam, Mr.. Bull gets the bust
ness. If, especially. John Bull or the
Germans made it possible for an Amer
lean exporter or importer to turn
over his capital" five times a year.
instead of three, the Briton and the
Germans are in a highly preferred
position. BY utilizing the faster
ships of European countries, the
American business man can operate
just about on the more advantageous
scale just indicated. A Hamburg
American vessel of 16 knots, for in
stance, will bring ascargo of coffee
from Brazil to the United States in
about two-thirds of the times it takes
an American flag boat to do it. The
Germans are beating us in the same
ratio in carrying trade between New
York and the ports Of Hamburg and
Bremen. Rates on high-gra freight
are practically the same. But our flag
is trailed across the Atlantic at a rel
atively tedious speed.
L. s. Observers Astounded.
When Congress gets to talking
about our sea interests in general,
apropos the failure of the Geneva
naval conference, the lack of fast
American merchant ships is going to
be freely aired. 1t has its national
defense aspect as well as its trade
character. Fast merchantmen are
convertible in wartime into auxiliary
cruisers for transport and commerce
destroying purposes. The British out
strip us fabulously in this class Of
vessels. 1t is one of the primary rea-
sons why the American delegation at
Geneva would not consider a. revision
of the Washington treaty provisions
that might have enabled Great Britain
TO mount 6-inch guns on her gigantic
armada of swift, big merchant ships.
United States Government observers
just back from Europe are astounded
by the amazing success of Germany in
recovering her pre-War position as
first-class merchant marine power
Her conquerors almost did Germany
a favor in dispossessing her Of her
Old-time mercantile fleet. The Ger
mans lost practically all Of these ships
under the treaty of Versailles, but
they've been working like beavers dur
ing the past eight years to replace
them. They have replaced them with
vessels driven by motor rather than
.ld.fashioned steam power.
DR.. Julius Klein, director of the
Bureau of Foreign and Domestic Com
merce. in a recent review of Euro
pean Business Recovery" said
German tonnage now stands at
about 3I2 million tons, largely Of the
latest motorized type, and although
this is some 80 per cent below it's pre-
war total, it is probably almost equal
to the 1913 figure in terms of actual
carrying power"
German shipping has been revived
10 no inconsiderable extent with
American money. Harold G. Moulton.
Il - T,.e ZF
at Washington, has just announced
book entitled "American Loans to
Germany" The author is Robert r.
kucZynski, an eminent Berlin econo-
mist. The book points out that in
the three years since Inauguration Of
the Dawes plan, the total par value
Of GermanX's long.term public borrow.