Evening star., 1931-11-29
FOREIGN ECONOMIC
!. OUTLOOK AFFECTED
BY TARIFF ACTIONS
ManChurian "Incident" Ex-
pected to End With Inquiry
by Neutral Nations.
NEW COMMODITY PRICE
DROP DISTURBS TRADE
First Application of British Duties
Has Little Effect on United
States Exports.
Special Dispatch to The star.

Special Dispatch to The Star
NEW YORK, November 28.-Cable
and radio dispatches to the Business
Week give the following survey of busi-
ness abroad for the week ending today:
The Manchurian Crisis.-A cabinet
crisis in Toxic was added this week
to the long list of uncertainties affect
ing Far Eastern business. China still
fails to present a united political front,
which has strengthened the worlds de-
termination that "China's responsible
ity" to negotiate as an entity remains
to be Investigated. It seems likely now
that the Manchurian incident" will
end sooner or later in thorough inves-
tigation by neutrals, which will prob
ably be the best way of acquainting the
world with the Far East and will even
tually benefit all business.
Paris.-The new breakdown in COM
modify prices, the veritable orgy of in
ternational tariff making, the continued
slackening of internal productivity, and
increasing demands upon the already
strained budget-an are depressing
business and the Bourse Prices there
on are rapidly approaching the years
lows.
Exports Expand.
october foreign trade, like that of
most other countries, showed a slight
expansion of exports. The deficit of
$24 100000 Is the lowest since March,
1880, but is primarily due to heavily
| restricted imports Of rawstuffs; the 10
months foreign trade deficit of S420,-
O00o 900 is record, and compares with
| last years already exceptional $780,
! 600 900 unfavorable balance.
Foreign labor plays an important
part in the economic structure Of the
country. Many OF these foreign work.
erS cannot be exported without great
inconvenience. Workers in the coal
mines are almost entirely recruited
from foreign sources because French
workers are not easily adapted to this
type of work.
Berlin.-Only long suffering gives
| Germany the equanimity to carry on
with a show of fortitude in the face of
gloomy events ahead. The country Is
at the mercy of its creditors, but is
still trying to bring some order to
chaotic. finances.
The relapse of world prices, the fresh
crisis Ia Eastern Germany and the host
| OF new tariff threats have DISCOURAGED
! leaders. The porcelain, glass and WOOL
en- industries are disnayed by Britain's
| new so per cent anti-dumping duties.
Importers, on the other hand, are faced
with reduced allotmentS of foreign ex-
change by the Reichsbank. Previous
quotas are cut 25 per cent.
october output of coal and steel
showed further decline, causing the
Stahlverein to shift to q drastic con.
centration of production in few super
modern plants. With steel mills operat-
ing at 40 per cent of capacity and
exports making up rs per cent Of the
output, only 10 per cent Of capacity is
working to satisfy home demand.
L0ndon.-British enthusiasm ran away
with the market last week, pushed
stocks and general market optimism to
somewhat unwarranted levels. Re-
action this week, therefore, is to be ex-
pected. The tone is still good. Activity
is progressing at q generally accelerated
rate.
Anti-Dumping Duties.
At home, the first batch of Runciman
anti-dumping duties has been well re-
ceived. Abroad there is general con-
Germ over the new duties. The United
States Is not hard hit in the first levy.
Continental Europe, however, is already
feeling the effects. France is particu-
larly upset. Britain Is the country's
principal foreign market. Because feel
ing between the two countries is none
too friendly, France Is inclined to look
on the new duties as being particularly
aimed at Paris, and threatens to re-
taliate.
In Poland, the shoe, clothing and
woodworking industries are suffering
from the new impost. For years large
quantities Of these products have been
shipped to Britain, but the new ban is
prohibitive, has actually caused the can
collation. of recent orders.
Continental shipping interests are
faced with British competition At the
deprecated value of the pound, British
rates are roughly 20 per cent below the
old rates established by organized ship
perS.
The extent to which the Buy British"
campaign has gripped the ingenuity of
sellers and the Imagination of the pub
lie is evident in the campaign now de-
veloping to make Scotland o Winter
D1ay0rolInd