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them all the time. If necessary we can give you the name of this importer, but would prefer not to do so, as he is one of our customers.
The statement that only one hundred and fifty men and perhaps two or three hundred girls, all told, comprise the pearl-button industry in this country, we believe to be untrue; the industry is much larger. But probably no other industry in the country has been brought so low as this one, and no more melancholy statement could be made than this one of Mr. Woodbridge's, and no better argument for protecting the pearl-button industry could be made.
NEWELL BROS. MANUFACTURING COMPANY,
Hon. WILLIAM B. ALLISON.
NEW YORK, December 27, 1888.
DEAR SIR: In addition to previous letter, would say we employ some ten to fifteen hands in this branch of business. Have made nothing out of it, and can not, because they can be imported cheaper than we can make them. We got into the business by buying out a company who sunk every cent of their capital (some $15,000), solely because they could not compete with foreign manufacturers. If there is any industry needing protection, it is this. We have no hesitation in saying that fifteen thousand to twenty thousand people could be given employment in this business, with proper protection. We sincerely hope those who are endeavoring to restore an industry which was once of quite large proportions will meet with success, and that you will not be influenced against the pearl-button manufacturers by anything which the importers of these goods and agents of foreign manufacturers may say or do. Very truly, yours,
NEWELL BROS. MANUFACTURING COMPANY.
Hon. WILLIAM B. ALLISON.
STATEMENT OF HAT MANUFACTURERS.
To the Senate Committee on Finance:
The undersigned, representing the entire fur-hat manufacturing industry of the United States, and being a committee appointed for the purpose of presenting the interests of that industry to your committee, would respectfully submit that, instead of a 50 per cent. ad valorem duty on fur hats, they desire, in addition to the present ad valorem duty of 30 per cent., a specific duty, so that the clause will read as follows:
"Hats, for men's, women's, and children's wear, composed of the fur of the rabbit, beaver, or other animals, or of which such fur is the chief component of value, wholly or partially manufactured, valued at not exceeding $5 per dozen, $1.50 per dozen; valued at more than $5 and not exceeding $10 per dozen, $3 per dozen; valued at more than $10
per dozen, $5 per dozen; and in addition thereto upon all the abovenamed articles, 30 per cent at valorem."
In support of the proposed duty we would urge
First. That practically all of the material used in the manufacture of fur hats is subject to duty, furs prepared for hatters' use being subject to 20 per cent. ad valorem, and the duty on other materials ranging upwards to above 60 per cent. on satin trimmings, which is the highest. Since the preparation of the Senate bill, a ruling in the Treasury Department has increased the duty on all silk and satin trimmings from 20 to 50 per cent. under the present law. The proposed law also increases the duty on sweat leathers, and the duty which we have heretofore paid has been increased under the present law 10 per cent. by ruling of the Treasury Department.
Second. That the duty of 30 per cent. ad valorem on fur hats, etc., has never been in any sense protective, the business having been retained in this country because American manufacturers have set the styles, and because heretofore foreign manufacturers have not adopted the improved 'methods used by American manufacturers. But recent developments show that foreign manufacturers have adopted substantially all the improvements of American manufacturers, and, with the aid of American jobbers, are putting hats upon the market of the same styles as American manufacturers; so that the American hat manufacturers must hereafter compete with foreign manufacturers in England and Belgium upon even terms, so far as style and method of manufacture are concerned, and must have, therefore, a duty which shall equalize the difference in cost of production, or the industry must be destroyed.
Third. Careful investigation satisfies us that an ad valorem duty of 50 per cent. will not be sufficient to enable the American manufacturer to compete on equal terms with the foreign manufacturer. Even if no undervaluation were probable, it would be insufficient. So far as silk or satin trimmings enter into the value of a hat, it would be less than the duty on such trimmings. It is believed that the specific duty proposed, combined with the ad valorem duty, while it would on some grades of hats be high, would on the average afford just about a fair protection to the hat industry of the United States.
Fourth. We wish to impress on this committee, as earnestly as it is possible for us to do so, the fact that the time has come in the history of this business when it must have adequate protection or be destroyed. By way of illustration we submit for the consideration of the committee the following facts and figures:
Forty-five and one half per cent. of the entire cost of fur hats, made in an American factory, represents the excess an American manufacturer is obliged to pay for labor, duties on materials, etc., above the foreign manufacturer; therefore, in order to make the foreign made fur hats cost as much as the American made fur hats, a duty of 834 per cent. ad valorem would be required.
Labor in this country is 50 to 60 per cent. of the entire cost of a hat, fur is about 20 per cent. of the entire cost, trimmings about 20 per cent. of the entire cost, and boxes and incidentals (largely labor) are about 5 per cent. of the entire cost.
s and incidentals..
We pay two and one-half times as much for our labor as the foreign manufacturer, so 60 per cent. on the cost of American labor represents the labor disadvantage of the American manufacturer. We pay 20 per cent. duty on fur, which represents 163 per cent. disadvantage in the cost of that article; and we pay 50 per cent. duty on trimmings, which is equal to 33 per cent. disadvantage on cost of trimmings.
60 per cent. on 55 per cent. labor..
per cent. of whole. 3 per cent. of whole. 6 per cent. of whole. 24 per cent. of whole. 45 per cent.
The following is an illu stration of what the result of the duty asked for would be based on a hat costing in this country $15 per dozen :
which is 45 per cent. of $15. From $15, which is the entire American cost per dozen, deduct $6.83, the entire American disadvantage, and we get as
which, when deducted from $15, leaves the American manufacturer at a disadvantage of $1.38 per dozen hats, costing in this country $15 per dozen.
COMMUNICATION FROM C. T. MERWIN.
PRESENTED BY SENATOR HAWLEY.
MILFORD, CONN., January 10, 1889.
DEAR SIR: I take the liberty to address you on the subject of the tariff relating to turnip seeds, on which there is no tariff at present. It has been in former years a very large industry in this town and in many towns in the State. The importation of turnip seed has taken this part of business almost entirely from us. I have formerly raised from 5,000 to 6,000 pounds a year and now do not raise any unless it is some special order for a few hundred pounds, and at prices which we can not afford to do and live decently and bring up a family intelligently. I know your views publicly expressed on the tariff, but wish to call your special attention to turnip seed, which is very important to seed grow. ers. Hundreds of thousands of pounds are being imported that we can raise here, and the cost to those that buy to sow would be but a trifle,
if any, more than they pay for imported seed, and our own is more reli able than the imported.
If you can do anything to get a tariff on turnip seed I shall feel very grateful, as also will a host of others.
Hon. JOSEPH R. HAWLEY.
C. T. MERWIN.
STATEMENT OF HENRY Altemus, pubLISHER AND MANUFACT
PHILADELPHIA, January 5, 1889.
DEAR SIR: Understanding that you are the chairman of the committee who has charge of revising duties on photograph albums, we wish to give you a brief outline of the difficulties that an American manufacturer of these goods has to contend with in competing with the foreign goods. Foreign goods invoiced at 100 marks ($25), bound in plush, are subject to a duty of 15 per cent. In this case the paper is considered the chief component value. Plush albums invoiced at over 100 marks per dozen are considered as having plush for chief component value, and are subject to 50 per cent. duty. As the demand calls for albums from $16 to $20 per dozen, 95 per cent. of the albums sold in this country at these prices are of foreign manufacture. We use plush, on which a duty of 50 per cent. has been paid, and it seems rather strange when foreign albums made of the same plush can be brought in at 15 per cent. It seems to us that 35 per cent. duty on all albums would be a more equitable arrangement.
STATEMENT OF BARNES & PEEL.
PATERSON, N. J., December 8, 1888.
DEAR SIR: The discussion of a tariff bill by the Senate now in session is out excuse for again trespassing upon your time by calling attention to the subject of mohair yarns.
The bill now under consideration proposes to raise the duty on mohair, with other woolen and worsted yarns, from 35 cents per pound and 40 per cent. ad valorem, which is the present rate, to 40 cents per pound and 40 per cent. ad valorem, while it leaves untouched the duty on manufactured braids and bindings at 30 cents per pound and 50 per cent,
You will perceive that this would leave us only the very slight proafforded by the duty paid by the importer on the cost of manu
to the tariff act of 1883 the duties on these articles were 50 und and 35 per cent, ad valorem, and 50 cents per pound
and 50 per cent. ad valorem, respectively. Under this protection we were able to compete successfully with foreign labor.
The statistics will show that since the change made by that act the importation of braids, etc., has very largely increased, while the domestic production has fallen off correspondingly, and should your bill become a law we could no longer manufacture mohair goods.
As we have before stated in writing of this matter, these mohair yarns are purely raw material in this country. England is the only place on the globe where they are successfully spun, dyed, and genapped.
France and Germany, the oldest and largest manufacturing centers for mohair braids, import all of their yarus from England. There is not a pound of these yarns spun in either of those countries; and though the attempt has been made here there have been no indications of success in the results.
In view of these facts, which can not be questioned, we believe that we are entitled to have the protection of our industry restored to the position previous to 1883.
We appreciate the fact that we are under a great disadvantage in having mchair yarns classed with other woolen and worsted goods, which are made in this country and the duties therefor regulated in the interests of a very large industry, but we believe that, being comparatively a small industry with great possibilities under a sufficient protection, give us the more right to fair consideration.
We trust that in discussing the schedule bearing upon this matter you may find it possible to protect us without injury to any others. Yours, very respectfully,
Hon. W. B. ALLISON,
United States Senate.
BARNES & PEEL.
STATEMENT OF JAMES M. SWANK, GENERAL MANAGER OF THE AMERICAN IRON AND STEEL ASSOCIATION.
(Office of the American Iron and Steel Association, No. 261 South Fourth street, Philadelphia.1
DECEMBER 10, 1888.
DEAR SIR: In behalf of the American Iron and Steel Association the following statement of facts is respectfully submitted concerning the causes which have thus far prevented the establishment of a tinplate industry in the United States.
Tin-plates are thin sheets of iron or steel which have been coated with tin by dipping them in a bath of that metal. Terne-plates are sheets of iron or steel which have been coated in a similar manner with an alloy of tin and lead. From 95 to 98 per cent. of the total weight of a box or bundle of tin-plates is composed of iron or steel. Terne-plates average over 90 per cent of iron or steel. As compared with tin-plates very few terne-plates are manufactured, Both products are popularly