Evening star., 1938-11-27
New Trade Pact Is an Issue
In Canadian Political Parties
Conservatives Claim Dominion Is Forced to Make
Sacrifices to y. S. in Hope of Closer
Alliance in Diplomacy
Bv Norman NJ. Macleod.

OTTAWA.-Already- the ink on
the London Ottawa pacts
scarcely dry and their terms not yet
operative-political party lines in the
Dominion are beginning to be tightly
drawn on the question of the advantage
or disadvantage to Canada of the new
Hipartite trade arrangement.
The National Conservative party,
which has been in position analogous
to the lowest state of the Republican
party prior to. the recent congressional
elections, is seeing in the enlarged reci-
procity agreement a possible issue upon
which it can ride back to power.
Canada, the Conservatives contend, is
being required to make sacrifices of
major practical Importance to the Do
minion's trade and economic prosperity,
merely to serve a sentimental aim,
namely, the hope that a closer trading
alliance between the United Kingdom
and the United States will ripen into
definite political understanding
The Conservatives argue that for the
Dominion to underwrite such a project
at the expense of its own economic and
trading interests is sheer folly. The
United States will not be influenced if
;he time should ever come when Britain
wanted her political or armed support,
they contend, by the mere existence of
q trade treaty with London.
Political Support Issue.
In other words. the Conservatives ridi-
cule the suggestion that Washington's
political support is for sale at the price
OF trade treaty If a trade treaty is
offered, they say, the United States will
accept tiff it is to its interests, but will
remain unfettered in its diplomatic
policy and will recognize no obligation.
The main ground on which the Cana
dian Tories are assailing the agreement
just announced is the automatic partici-
patton In 1t OF the countries with which
Canada and the United States have most
favored nation treaties Pointing out
that the idea with which the tripartite
trade project was first mooted was a
closer trading alliance among the Eng
disappearing democracies of the North
Atlantic, the Conservatives object. that
under existing favored nation treaties.
Japan, Germany and Italy-the leading
dictatorship counties - automatically
share all the concessions which Canada
makes to the republic. This is no time,
the Canadian Tories contend. to sacrifice
the industries of the Dominion to either
Germanys or to Japan's advantage.
The Conservatives further object that
the tariff reductions granted Washington
will pillory Quebec and Ontario manu.
facturers. All the advantages which
Canada obtains under the treaty, as they
view it, are in favor of the Dominion's
primary producers-the fishermen of the
marltimes, the numbering industry of
the Eastern and Western coastal prov
inces. the dairying industry of Central
Canada and the livestock raisers of the
pralries. Canadian industry, in other
words, which has suffered substantial
tariff cuts on textiles, iron and steel,
agricultural implements and wide va
rlety of other miscellaneous manufac-
lures, is being required to give the
party" under the new treaty. Tradition
ally tariff protectionist party, the Con-
servatives visualize golden opportunity
Of regaining their dominance in the in