Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-05-13
CANADIANS RESENT
HIGHER i. S. TARIFF
Dominion in Mood to Retail
late Against Schedules
in New Bill.
BY JOHN F. SINCLAIR.

Special Dispatch to The Star.
NEW YORK, May ia dis
tinguished Canadian made this state
ment recently:
mo people are more friendly than
Americans-none more generous. But
collectively-political If you please
q real weakness appears. Your form
of government allows the minority to
dominate-to override the majority.
Take your tariff fights; they always
follow political. not economic, lines"
This business man, former Cana
dian cabinet member, went on to say
that one of the troubles Of American
Government Is that nobody has any
authority.
"You 60 on the theory of checks and
balances; we go on the theory OF con-
fdence. We rely on the individual;
you rely on mass opinion: We cut
red tape to the bone. You have much
more red tape than any other nation.
You ask vouchers for everything. We
rely more on the public officials hon.
esty. Divided responsibility, overwork-
ing your checks and balances theory,
gives undue weight to the minority
that's what makes business so uncer-
tain in the United States"
This Canadians comment Is candid
ct least.
There are two ways Of doing bust
ness.
The United States has been working
on the tariff for many months. Thou
sands of words have been written about
the schedules. Nothing definite so far
has been decided. That's the American
way.
The Canadian way Is different. On
May /, without taking the trouble to
give Parliament any information re-
garding the sweeping changes in her
tariff, Finance Minister Dunning an
nounced that the new schedules would
lowing morning.
All this before the budget bill, In
which these wide fundamental changes
occur, had been passed.
Pending the adoption Of the budget,
the customs duties collected will be sub
feet to any later changes by Parliament.
But the new schedule Of tariff duties Is
now in force.
Canadas new tariff is based on re-
sentiment against the tariff bill now
pending in Washington. The Canadians,
Americas best customers, believe that
many adverse rates have been 1ncorpo-
rated in this bill for the sole purpose OF
keeping their products out Of the mar
lar evidence of this retaliatory spirit OF
the Canadians is shown by the fact that
while rates on American products are
raised, good from the British Empire
are given preferential duties.
American producers naturally are dis
turbed over the prospect OF losing $225,-
O00, 900 worth of Dominion business. AS
many as ZIG items from the. British
Empire have been placed on the free list
No. nlIrninn
between Canada and the other Domin-
ions of the British Empire will be In
creased by approximately 5000, 900, 900.
To keep pace with this new competition,
American exporters will have q special
ise on service and quality Of goods.
Countervailing duties are distinguish
ing features Of this new tariff. Canada
places the same rate on certain farm
products and other items as we impose
upon identical products imported from
Canada, If that rate is higher than the
regular rate. Agricultural machinery
and fresh fruits and vegetables are free
from all British sources.
Is this the beginning Of general
tariff retaliation? Australia, France and
other countries are threatening to take
similar action.
Sir Joseph F1avelle, chairman Of the
Canadian Bank Of Commerce, discussed
ct length with this writer some Of
Canada's business problems last week.
1.-THE people Of Canada and the
United States have been friends for
i've generations. No battleships, no
armies, no navies on the 3,000-mile
border-never any trouble.
1--WE have never consciously hurt the
United States; neither has the United
States consciously hurt US. But you
have, unconsciously, hurt us in your
constant tariff revisions. Perhaps be-
cause the American tariff is formed on
political, more than on economic,
grounds. It hurts us all the more be-
cause our politics in the past have been
modified by your policies.
But Canada, a land of immense pos
aibilities. has reached the point where
ehe must watch her own best interests.
We want to do business with America.
We always have done business with
America. We always will; we hope to
an increasing extent. But II the Amer