Evening star., 1932-01-31
FOREIGNERS HELD
AGAINST US. CARS
Hiuh Tariffs Victimize Home
Products Abroad, Says
Auto Official.
BY CHARLES ID. HASTINGS,

BY CHARLES ID. HASTINGS,
Chairman of the Board. Hupp Motor Car
Corporation.
Discrimination now being practlced
by several important foreign govern
rents against American made auto
mobiles is sitting the activity abroad
Of the COuntry'S greatest manufacturing
industry. These unfair conditions,
existing not only in Europe and other
Eastern countries, but also in South
America. continue even though the
chief products of some of these coun-
tries are accorded special recognition
In entering the United States.
Aimed at Motor Cars.
While this discrimination, in some
cases. is directly aimed at motor cars
produced in the United States through
excessive tariff rates, other and more
subtle means of unfair discrimination
are employed in the form of national
r7lles and internal regulations when
accomplish the same purpose. MOST
of these latter conditions effect hard
ship upon the populations by prevent
ing them from purchasing the cheaper
and thus more valuable transportation
afforded by American automobiles:
There are several means OF dlscrlm-
ination abroad against American-made
motor cars. Among them are the ol-
rect discrimination in which European
made cars are permitted lower ouIy
than those made in this country, IN
direct discrimination through internal
regulations of licensing systems; round
about rate structures, arbitrary Gus
Ann eyaluations and peculiar internal
regulations or taxes; indirect dScrm-
ination through preferential treatment
accorded products produced In mother
countries; the use Of high automobile
duties which greatly reduce the uni
versal use of American motor cars, le-
Ultimate in themselves but not In line
With the favorable treatment accorded
that country's chief exports to the
United States.
Action by Spain.
The action by Spain on November
10. in which she reduced by 30 per
cent her tariff on imported goods, IN
Cluding automobiles, but excluding
those manufactured In the United
States. is the most outstanding eX-
ample of unfair discrimination seen Tor
many years. The industry as whole
has protested SPANS action Which was was
based on a FrancO-Spanish commercial
treaty. Yet she later extended these
tariff provisions to include 81 addl-
tional countries.
The automobile is the largest and
most important manufacturing indus
try in the United States. Its welfare
is directly reflected in every other in
duStry here. If it is prosperous, other
businesses assume similar proportions
of prosperity. Therefore, every effort
should be made to assist this backbone
of the Nations economic life.
A majority of foreign countries Will
tn thpir attention is ClrPCte0
to the problem in the proper and force
full manner. In some cases official ac-
ton would be we'll taken. In countries
which refuse to cooperate, and Whlch
persist in continuing these unfair poll
cies. the United States can help the
situation by invoking the provisions OIL
the tariff act of 1890, which authorizes
an increase by the President OF 5O per
cent in the prevailing rate on imports
from countries practicing unfair dis
elimination against Amerlcan-made
products.
Other Preferences Given.
Spain is not the only country dis
eliminating against Amer1can-maoe
motor vehicles. Australia has per-
sistentlv accorded British and Cana
dian-made products preference. At the
present time, the import duty on Great
Britain's cars going into Australia Is
approximately per cent; Canadlan n
cars have a duty of about 35 per cent,
while American cars are assessed upon
a considerably higher evaluatlon upon
entry because of the method OF assess
ing import duties. New Zealand as
seSsed British-made cars 10 per cent,
Canadian products 35 per cent and
American vehicles are again much
higher u.,
It seems to me that, with conditions
as they now exist, our State Depart
ment could well broaden and intensity
the efforts which it is now making,
and give special consideration to
recognition of American goods-par-
ticularly of motor cars as our, chlet
manufacturing industry-m forelgn
markets. and invoke whenever neceS-
sary, the authority given the PreSl-
dent in the tariff act Of 1880 to adjust
rates on goods coming into the United
States. With more employment by the
motor industry in this country than by
anv other of our industries, our eco
nomic plight would be greatly alleVlateo
if our foreign progress did not encoun-
ter discriminatory barriers in certain
countries.