The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1936-05-15
Republicans Eyeing
Tariff Treatment
Copyright. 1880
BY RAYMOND CLAPPER

WASHINGTON May 15.-Some Republicans
w playing with the idea of making fight
against the Administrations policy of including the
most-favored- nation treatment in the reciprocal
trade agreements
They are encouraged to do this by George Peek,
one of the original AAA administrator who since has
parted company with the Administration and is de-
voting himself to feud with Secretary Hull over
trade policy. Peek is campaigning to aid the Re-
publcanS in the Middle West and probably will be
at Cleveland seeking a platform denunciation of
the Administration tariff policy.
II is not certain that the Republicans will 60
beyond some Specific criticism of details. II they
launch head-on attack the reciprocal trade
program, they will do it in the face of general in
dorsements OF the policy by the United States
Chamber Of Commerce and number of prominent
Republicans. including HooverS Secretaries of State
and Treasury
Three lines of attack are under discussion:
First specifi, concessions which admit farm prod
ucts notably in the Canadian agreement. Every con-
cession made the trade treaties steps some
individual toes. If the Republicans collect
large enough assortment of sore toes, they make
some capital of it.
Second. unconSttutionality The Trade Agree
ments Act virtually transfers tariff making power
from Congress to the Executive. The agreements 40
not require ratification by the Senate The issue is
whether Congress delegate power assigned to
IT in the Constitution. However there is difficulty
in obtaining court test because one has been
found who can 60 into court and make show
ing NJ specific injury.
procedure when grant tariff concession in
trade agreement, automatically extend it to all
other nations provided they in turn give us the
benefit of the most favorable rates which they allow
other countries.
NRITICS say this is in effect q scheme for q gem
~ eIal lowering of tariffs enacted by Congress and
that 1t gives away free o all other nations any
ceSSionS which obtain from nation re-
suit OF dicker. In other words that we make con-
cesSionS to nation in order to get better terms
for our goods and then, without exactng price
from the other nations automatically give them the
beoet NJ lower duties coming into the United States
Secretary Hull is in1eyble upon maintaining the
nnstfavored- ma ton treatment He regards 1t as the
hesrt OF his program
His TO his critics Is roughly that although
We do generalize our concessions TO other nations
II Is on condition that they give the benefit of anv
tariff concessions they make to any one. Therefore
IT is commended. we continually picking up con-
ceSsions from nations with whom we have no re-
ciprocal trade agreements The Administration prob
ably VIII have data this point to make pub
lie during he Campaign, which, they expect viii
SHOW that has melted many scattered concessions
in any number OF countries
Furthermore II is argued by the Administration
the arrangement inSllres that when we negotiate a
trade treaty and win concessions from, the
other party. II viii not nufy those concessions the
next day b. some lower rate deal with third coln-
Try II they make any deals with any one else we
get IN On them automatically.