The potters herald. [volume] (East Liverpool, Ohio) 1899-1982, 1940-02-01
J. Wells Testimony
On Trade Treaties
Shows Suucers May Mean
Any Type Of Pottery Under
Present Set-Up


labor board, testified before the ways
and means committee last Friday.
Just as Mr.. Duffy was later, the
pottery official was badgered while
giving his testimony, Rep. Robertson
Of Virginia breaking in repeatedly to
question Mr.. Wells about past testi-
mony he had given before the tariff
commission.
Mr.. Wells complete testimony fol-
lows:
We are opposing continuation of
reciprocal trading act because we be-
lieve it is not constitutional and par
ticularly because under it's operation
by the present administration it has
resulted in reductions of duties on
many competitive imports that al
ready have meant serious losses to
American labor and capital-and that
will mean steadily increasing losses to
both groups.
The basis that apparently has been
used by the reciprocal trading COM
mittee in working out these treaties
is fundamentally wrong. 1t would ap-
pear from study that has been made
of treaties so far effected, that the
committee has attempted to give and
take on the basis of the import and
export figures in dollars, published by
the department of commerce.
There can be nothing more ridicu-
lous than using these figures to de-
termine whether or not we have a
favorable or unfavorable balance of
trade with a given country.
There can be only one true meas
ure of whether or not we have a fav-
orable balance of trade with another
country and that is whether the hours
of labor that go into our total ex-
ports to that country equal the hours
of labor that would be required to
produce in this country the quantity
of competitive commodities that we
import.
The department of commerce figures
that are used to show whether we
have favorable or unfavorable bal
ance Of trade, show the invoice value
in this country of our exports and the
invoice value in the foreign country
of our imports-which probably would
be all right if the wages paid labor
were approximately the same in all
countries-and if all currencies were
stabilized.
AS it is now for instance we have
81 900 worth of automobiles exported
to Japan balanced against $1,000
worth of china imported from Japan.
According to published figures there
is about 5000 worth of American la
Dor which goes into that exported
81 900 worth of automobiles.
AS far as we can estimate it the
81 600 worth of imported china dis
places American china that would re-
quire $1,000 worth of American la
Dor. Now just what kind of deal
is that for the American workmen?
Obviously as duties are reduced on
competitive lines, imports of those
lines are going to increase, everything
else being equal and even if exports
of other commodities increase at the
same time, the position of the Ameri-
|
gagged in producing those competitive
products becomes progressively worse
This is point Of the most vital
Importance and it must be given the
consideration which it apparently has
failed to receive in practically all of
the treaties negotiated up to date.
| There has been a lot of loose talk
Mr.. Chairman, about the iniquitously
high duties that were granted on some
commodities in the HawleySmoot
tariff bill. have made diligent eff
fort to discover one of these industries
or one of those companies, that has
been making huge profits for its
stockholders because the Hawley-
Smoot rates shut off all competition
from abroad.
So far | have failed completely.
also have failed to locate, through
both public and private inquiry, a
single industry that raised its prices
after receiving increased protection OF
it's products under the Hawley- -Smoot
bill.
If any Of your committee knows OF
such situation existing anywhere OF
that has existed since the passage OF
our present tariff law, | would be in
tensely interested in hearing about it
TO refer to the experience of oul
own industry under the reciprocal
trading act: After hearing during
the negotiation of the British treaty
that seemed like farce to us, :. the
reduced rates were written into the
treaty exactly as the importers OF
British china and earthenware asked
for them.
The reduction on certain items OF
earthenware probably will never be 8
matter of life and death to our indus
try because Great Britain very likely
will continue to be the chief importer
of this particular ware and the volume
probably will never be eXcessive-al
though of course, whatever increase
there is means just that much less
work for our employees.
But it did burn us up when we dis
covered what the representatives OF
our state department, at the request
Of the British importers, had listed
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