The Waterbury Democrat., 1931-06-02

Ottawa, June 2-(U. P.) - Ap- proximate1y. 200 products in wide general use and manufactured in the United States and other coun- tries for exportation into Canada were subject to-day to the new, higher tariff rates-some as high as 40 per cent-announced by Pre-
 mier E. B. Bennett.
 Many of the rates strike directly at the pocketbooks of the Amer ican farmer, as we'll as the manu- facturer, and are intended to aid industry and employment in this country.
 The increases, which went into effect immediately upon being read in the house of commons by the premier yesterday except in stip- ulated instances, are radical in ma ture and affect nearly every pro- duct produced for export from the United States.
 Although many see the new tar
 if as a retaliatory measure against the tariff wall placed around this
 country with. passage of the United
 States Smoot-Hawley measure.
 Premier Bennett in his budget speech indicated the increases were a result of the success of new rates
 put into effect last September. Since the September increases, which also were seen as a barrier to American products because or the increased United States tariffs, the premier said ST new branch fac tories had been established here.
 Automo obiles, coal coke. corn and corn products, food, hogs, fresh meats, hams, bacon. shoulders, can ned goods, oranges and many other foods and food products are af-' fected by the increases and are among those on which high rates have been fixed.
 The automobile industry, long one of the rbarometers or of American business, faces from 27 1-2 per cent to 30 per cent tar if on automobiles ranging in price from $1,201 to $2,l00 in the second group. Cars above $2,100 are in creased from 27 1-2 per cent to 40 per cent in the third group. Tariff on the first group, cars up to $1,20O went unchanged. The increase on the higher priced automobile was made almost prohibitive by Pre- mier Bennett to discourage expor- tation here and to force the con- struction of factories for manufac- ture in this country.
 Approximately $40,O00,00O Tn au- tomobile parts are imported an nually. Previously a 25 per cent draw back of duty was allowed manufacturers, but tins IS now a polished on all parts made m Canada. On the few parts made in Canada, the drawback is increased to so per cent. This will affect nearly every United States auto and accessory manufact- urer as we'll as though with branch es here.
 Corn. formerly admitted free for and on 1-2 cents bushel duty for distilling purposes, has been put under a tarin or 20 cents a bushel.
 Production in Canada of certain steel forms previously imported IS by the new rate or " ion on plates under 60 inches. This rate formerly was imposed only on plates under 40 inches.
 Steel and iron tubing, however IS granted a favorable decrease 10 ln- duce manufacturers of products III which it Is used to establish iac- tories here. Wire cloth ana nettins' however, is increased.
 Unclassified machinery, nearly all of which previously was imported from the United States, is boosted from 80 per cent to 35 per cent.
 Premier Bennett believes these in- creases will lead to the establish ment in this country of additional branch factories for poducts previ- ously imported. by Canada and Will eventually increase employment here, He cited the substantial in- crease of factories here by United States concerns to evade the high protective tariffs immediately fol- lowing the September increases as proof of the soundness of his pres ent measure.
 Automobiles are taxed under three groups, the highest rate being 40 per cent. Automobile parts, certain steel forms and products, leather goods, furniture and other wood products, come under the higher classification thus affecting products manufactured in nearly every sec ton of the United States.
 Anthracite from Pennsylvania, of which 100000 tons hitherto had