Evening star. [volume] (Washington, D.C.) 1854-1972, 1946-02-20
Ford Denies Asking
For Any Price Relief
Since 0PA Began
Says Estimates on $50
Rise Were Made Before
Ceilings Were Established
BY the Associated Press

Ford II, president OF the Ford
Motor Co., in a telegram to
Chairman Spence of the House
Banking Committee, today as
serted that his company had APP
piled for no price relief on any
OF its cars since OPA price CELL
ings were established.
Commenting on statement yes
terday by Chester Bowles, economic
stabilizer, that Mr. Ford had sought
SIS per cent increase in the price
lof Ford automobiles, young Ford
said:
In making public our estimate of
last summer that motor cars would
cost SIS per cent more to make dur
ing the first postwar year than they
cost in 1941, Mr.. Bowles failed to
make clear that these estimates
were submitted to OPA before OPA
had announced any price regula-
tons on new cars-more than a
month before OPA had given us the
basis on which price ceilings were
to be calculated.
Left Wrong Impression.
What Mr.. Bowles had to say on
this point and the manner in which
he chose to say 1t left the impression
that we had secretly applied for
SIS per cent increase in existing price
ceilings. Actually, we have applied
for no price relief on any of our
cars since OPA ceilings were
established"
The telegram, made public
through the Ford Offices at nearby
Dearborn, reiterated young Ford's
willingness to appear before the
House committee "if there Is really
any public interest to be served"
Asserting that "Of course, we
know that price ceilings on most
] finished parts for new automobiles
/ were removed last fall" Mr.. Ford
added:
But the statement of Mr.. Bowles
in this respect does not reflect all
the facts. He does not make it
clear that manufacturers who sup
ply our suppliers with parts do have
price ceilings. He also ignores the
fact that parts for trucks and all
automotive replacement parts are
still subject to ceiling prices.
/ Equipment Exempted.
THE OPA supplementary order of
August 20, 1945, to which Mr. Bowles
referred, exempts passenger car
original equipment from price CELL
ings but specifically excerpts tires,
batteries, radios, ferrous and non
ferrous castings. The regulation also
states samples under which such
items as glass. electrical wire, forg-
ings, upholstery and similar items
are not classified as parts unless at
least partially fabricated"
(Mr. Ford's telegram was read
to the committee today while
Mr.. Bowles was testifying, and
Mr.. Bowles commented:
CT agree that there Is no
sense in carrying on an argu-
ment of this kind"
(Mr. Bowles took exception to
Mr.. Ford's remarks about price
control over automobile parts.
He said controls had been re-
moved from IS per cent of such
items that car manufacturers
buy)
Mr.. Ford said his opinions on
price controls as they affect the
Ford Motor Co. already have been
expressed publicly in a telegram to
the director of war mobilization
and reconversion on January % and
again in an address in San Fran
lcisco on February g." He forwarded
copies of the telegram and the adj
dress to Chairman Spence.
His estimates Of the increased
cost of car production, he said,
turned out to be pretty accurate"
Calls Estimates Accurate.
eve estimated, TOR example," he
said, that our most popular model,
which had cost $512 to make in
1941. would cost us, under postwar
conditions, about $685.. These fig
lures do not include cost of adver-
Using and selling or any profit. We
found in November, before we
reached scheduled production, that
it was costing us 1868 to make this
model.
i Since then we have cut that cost
somewhat by increased production
efficiency, but in the meantime we
have added Sal, 600 900 to our annual
bill for wages, and still have to alb
sorb increased costs to us and our
!. lsuppliers due to the new price of
steel" Ford recently agreed to a
! (See FORD, Page A-2)