The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1933-06-07
i. S. PLANS
TARIFF WAR
"A LONDON
Wants Quotas Against
American Imports
Withdrawn
France Prepares for
Aggressive Trade
Action


WASHINGTON, June Sit was
stated today that the American dele
cation to the London conference will
support a general horizontal tariff
cut of 10 per cent. This proposed re-
duction would be supplemented by
new tariff truce" The tariff cut was
officially described today as "strik-
ing, dramatic, easily understood move,
evincing good faith" RooseVelts
first tariff truce, although it received
the endorsement of most of the great
nations, has remained dead letter.
Not only have innumerable separate
economic treaties been signed by the
q. S. and other countries. since the
truce" but actual tariff increases
have taken place in many countries.
More Intense Trade War.
The American plan intends that
the benefit Of any ta1%ff reductions
that may be negotiated shall be eX-
tended only to such countries as agree
to the reductions. In other words, q
departure from the most favored
nation scheme is meant. Under most
favored nation treaties, any trade ad-
vantages given to one country must
be extended to all others. The sub
stitution OF a system of regional
agreements" for the old plan will
make possible the use of trade treat
les With one set of countries as weap-
ons to bring other nations into line.
An intensification of existing trade
war conditions may be expected.
Quota Laws Opposed.
The American delegation also wants
drastic alterations to be made in ex-
listing European quota laws. At pre-
sent, for example, only per cent of
the wheat milled in Italy is allowed to
be Of foreign origin and correspond
ing figures for Germany and France
are 8 and l per cent. These quotas
automatically raise domestic prices by
cutting foreign imports to almost
nothing. The countries that have
these quota laws will not abandon
them without a struggle. The oppo-
sition to the American proposals it
is expected, will be led by France.
Englands Program.
LONDON, June with the Whit
suntide holidays, the British cabinet
is dispersed, the government offices
are closed, and even official sources
seem mystified at what the govern
ment is intending to do about the
American debt question, and at what
the government is likely to put for
ward as the program of its delegation
at the Economic Conference.
Neville Chamberlain the Chancellor
of the Exchequer, has outlined what
he beieves are the principal problems
which the conference will have to
face. These are: raising world prices
achieving monetary stability, n d
lowering tariff barriers. But as to
how these ends are TO be obtained
Chamberlain and the British govern
rent have as yet expressed no opin-
Inn. All the governments are anx-
ibus to see a rise in world prices, as
this is a way of reducing real wages
ia every country. But even on this
question, serious conflicts have al
ready developed, as each capitalist
Gountry wishes to see a greater rise
in its own price level than in those
of it's rivals, and thus secure a differ
entail trade advantage in the export
markets. On the question of tariff
reductions, the conflicts are more
Dpen. each country wishing to retain
It's domestic market, but at the same
ttt1Na icn m a
markets of other countries.
The belief is growing here, as the
date of the conference comes nearer,
that the parley will last only a short
time, and not as was first expected,
up until Christmas With the ex-
ample of the disarmament conference
before them, it is said here, the fear
is expressed that the London confer
ence is doomed if it lasts longer than
three months
France Prepares for Aggressive Role
at London.
PARIS. June 6.-The French dele
cation 10 the World Economic Con-
ference will be headed by Premier
Daladier, and will include Foreign
Minister Paul-Boncour, and Georges
Bonnet, the Finance Minister
The French Ministry of Foreign
Affairs issued statement yesterday
that France will go to the conference
with greater tariff freedom than she
has had before, and consequently with
greater bargaining power. The whole
course of French commercial policy in
the last year has been directed toward
the end Of releasing France from the
hampering most favored nation
treaties, which would have seriously
weakened her manoeuvering abilities
in the coming conference.
The French government has shown
itself to be a postmaster in the art
OF negotiating reciprocity treaties
with foreign countries whereby trade
is favored or hampered according to
whether French exports receive fav-
orable or unfavorable treatment.
WASHINGTON, June 1.-TWO
Pennsylvania Representatives moved
today in Congress for new 81 ton
i,.,.oa 70 mn mol PoprnEpy1 a