Red Lodge daily news combined with Carbon County news., 1932-03-31
TELEPHONE NUMBER NINE
EUROPEAN DUMPING

Free traders who declare, in the face of worldwide
statistics that the Smoot- Hawley tariff law is throttling
our foreign trade because Europe can no longer sell goods
in America, would do well to read the lengthy report of
the Newark, New Jersey, Chamber of Commerce recently
made public. This report declares in no uncertain terms
that dumping of foreign goods into the Newark market
is seriously affecting the city's industry and increasing
unemployment" f~itssf sse
Importers use all sorts of schemes, some Of them frau
dulent, in trying to get around the tariff and to dump
foreign goods into the American market. German-made
shears can be bought in America cheaper than in Germany
and the report further states that the coke and coal deal
ers along the Atlantic coast are suffering because of the
import of European coal and foreign fuel oil. Pottery
plants are idle too because of foreign competition. In
part the report says:
SRecent growth Of the importation Of foreign fuels has
had the effect of demoralizing the domestic ~bituminous
coal market, causing operators to lower prices to a point
where the industry is receiving inadequate returns to pro-
vide protection to labor and capital. Three million people
are directly dependent upon the industry. Transporta-
ton systems OF this country are being seriously affected
by the decline in coal shipments. Coal constitutes the
largest single item Of railroad traffic and produces the
greatest amount of shipping revenue. The effect of the
decline OF bituminous coal shipments because of foreign
importations is evidenced by the amount of coal handling
equipment not being used and the large number of rail
road men idle. This situation creates a social disruption
and the necessity for protection against future decline in
both employment and demand.
''Foreign fuel oil displaced 100000 tons of bitumin-
Gus coal in this section in a year. From this sale of i'm
ported oil equivalent to 100000 tons of bituminous coal in
1924, the annual imports have increased to more than six
ty-eight times that quantity. The most serious effect of
this displacement of coal by oil is upon labor, especially
IN the bltuminous mining industry and in railroad trans
portation. The loss to coal operators by the importa-
ton of foreign oil amounts to $~28,900000 a year. The loss
to railroad labor is even more serious.
Gin the last year approximately 100000 tons of foreign
0ntbraaIfa ~ hnc honp 1unnnnI sp+o Nou41 Iz-4.-l
ports. This coal comes from Russia, Germany and Eng
land. In addition, these countries have recently entered
about 100000 tons of coke and briquettes. For every ton
of coke imported one and one-half tons of American btu
minous coal is displaced. The drop in the English ex-
change, due to eliminating the gold standard, is largely
responsible for this situation. Remedial and emergency
legislation should be enacted which should be in the form
of a higher import duty on foreign fuel oil, coal, coke, and
b%riquettes. From the figures quoted it is obvious that the
earnings of the coal-carrying roads, already seriously cut,
will be further reduced.
"Loss of coal tonnage has deprived thousands of rail
road and mining employees of work and has seriously af-
fected other industries. This condition has contributed I
greatly to unemployment and depression in the United
States and no compensation has been accorded domestic
industry. Newark labor has also been victim of this sit
uation." ~
Newark is a typical eastern American manufacturing f
and what is true of that enterprising community is q
OF others of the same kind. Isn't it about time we b
began to look facts in the face? The free trade argument il
our tariff has helped cause the depression has been I
worn %threadbare in its Stiffness. The fact is that in many h
instances the tariff is not effective in its purpose of equal n
the difference of labor costs at home and abroad. p
When these differences are equalized we will have an ALL tt
xound revival of American industry and not before.