Evening star., 1934-09-16
! Changing Nj eth DDS in
Foreign Trade Problems
By HARDEN COLFAx.

The United States Is witnessing, not
only a change in traditional tariff pol
icy, but the working out OF new
method of handling foreign trade
problems.
Very quietly but thoroughly during
recent weeks the Departments of State
and Commerce have been working on
tentative drafts of reciprocal tarifi
treaties with a number of foreign
countries, notably in Latin America.
The other day the Secretary Of Com
merce announced that number OF
commercial attaches and trade COM
missioners are being called home from
countries with which these reciprocal
trade treaties are being negotiated, SO
that the Government may be sure 1t
has the latest detailed information
from abroad.
The conclusion of the treaty with
Cuba, which became effective Septem-
ber 3, marks the first stage, although
Americas relations with that island
republic are of a different sort than
those with the other nations of Latin
America next on the program. These
include Brazil, Colombia, Ecuador,
Venezuela, Haiti, the Dominican Re-
public and nations of Central Ameri-
ca. Belgium is also on the list.
The reciprocal agreement with Cuba
is called an exclusive" one because
the mutual concessions granted to her
do not automatically extend to other
nations. There seems to be no differ
ence of opinion as to the mutual gain
in the items of sugar and hog prod
ucts. DIR. c. T. Murchison, director
of the Bureau of Foreign and Domes-
tic Commerce, predicts that American
manufacturers will benefit substan-
TALLY from reductions in Cuban duties
on American automobiles, textiles,
leather, machinery and variety of
other standard products.
y
It Is evident that the trend of Amer
ican tariff policies of recent years has
been changed. We are no longer in
siSting that our paramount need Is to
increase our manufactures and let for
eign trade take care of itself. More
than this, in the opinion of high Gov
ernment officials, We are beginning
even to change our time -honored the
ory that mass production necessities
at home must dictate the character
and quantity of what the rest Of the
world is to buy from us. We are be-
ginning to study the balance sheets of
foreign nations to find out, not only
what we can sell and buy abroad, but
how we can make things that other
people want in the way they want
them.
The machinery for conducting
tariff negotiations is being perfected.
Formerly, reciprocal trade treaties
were matters of bargaining between
legislative bodies. Today, 1t is pointed
out, the shrewder governments of the
Old World have adopted the line of
laying down a general policy and
leaving it to the executive arm OF the
government to carry out the details.
This is what we also are now doing.
The recent decision of the President
to admit from Canada, until July l
next, certain feedstuffs, duty free, so
that the live stock in drought areas
may escape starvation, is conceded to
be striking evidence of the risks that
normally self-sufficient country
faces in becoming dependent upon
foreign food supplies. 1t is coming to
be realized that. while economic self
suficiency is fine aim, nature some
times steps in and alters things.
This new turn in tariff policy comes
at an opportune time. The foreign
tariffs division of the Bureau Of For
eign and Domestic Commerce points
out that during the past fiscal year
there were close to 1000 announce
ments of changes in tariffs and trade
regulations. Unfortunately, most Of
these changes in trade regulations
cannot be expected to have the effect
Of stimulating world commerce.
copyright. 1e34l