The Western news. [volume] (Libby, Mont.) 1933-current, 1935-11-21
Will Mean Stiff Competition
From Sawmills North
Of the Line.
MAY DESTROY FINE
SPRUCE BUSINESS

What do you think of the new trade
agreement with Canada and the re-
duction of the tariff on lumber i'm
portations into this country from
Canada?" Walter NeiIs, of the ]. Neik
Lumber company, was asked Tuesday.
Mondays newspapers announced the
signing of trade agreement between
Canada and the United States whereby
the present administration consents
to the lowering of the lumber tariff
from $500 to $1.50.
Naturally, we do not like the new
agreement" said Mr. Neils There is
only SO much lumber consumed in the
United States. The lowering of the
tariff against Canadian lumber will
make possible a greater importation of
lumber from Canada. That can only
mean one thing-less lumber sold by
American producers. And with less
lumber sold by the American sawinills,
there naturally will be less labor for
those depending on the lumber indus
try for their living.
Reference was made to limitations
on the importation of fir lumber from
Canada, set up by the new trade pact.
We do not vet know what classes of
lumber are affected by that limitation"
said Mr.. Neils, but there is nothing in
the news reports to indicate that it
includes anything but fir. Where we
fear the greatest damage from the new
competition is ip the spruce lines. We
have worked up fine business in
spruce specialties, business extensive
enough so that we are able to keep the
box factory working nearly all winter
on this class of lumber. Most Of our
spruce logs come from east of us-be-
tween here and Kalispell If this BUSH
ness is materially curtailed it will mean
less employment in the local plant and
will also seriously affect a number OF
men who are making a living getting
out spruce logs.
Then there is another anale to this
Canadian competition. 1t affects par
ticularlv orr market east of the Mis-
sissippi. There are large bodies OF
fine white pine thinker In the eastern
part of Canada. This gives us stiff
competition in the eastern u. S. market.
Prior to the imposing of the tariff on
Canadian imports we were driven out
OF the entire Detroit district by Cana
dian lumber. In fact, we had stopned
soliciting the trade in that district. But
after the tariff was established we were
again able to enter that market and
have worked I'D n'~e business there.
Removal Of the tariff by the present
administration will not help matters
anv in that respect"
The principal reason why Canadian
mills are able to undarsell American
producer is because of a lower wage
scale prevailing in the northern coun-
try n western Canada particularly,
rnch Chinese and Hindu labor is en-
ployed and the WAGES are considerably
lower than in the United States. Re-
duction of the tariff simply means that
the American sawmills will have to
reduce their costs in order TO meet the
new competition, said Mr. Neils. Even
tually that is bound to affect the work
ers
The entire northwest is ND in arms
over the new trade pact The lumber
business is especially alarmed over
what the outcome may be- West coast
lumber officials are prophesying that
it will mean the closing Of many saw
mills.
The new trade agreement with
Canada lowers tariffs on nearly everv-
thing the west produces except metals
and in return for those concessions
Canada reduces her tariff against goods
manufactured in the eastern United
States. That means the west has been
sacrificed for the benefit Of the east,
say those who are objecting strenuous
" to this latest move of the Roosevelt
/ administration