Mr. BLANEY. We import all the inks and metal leaf that are used in printing. This is a very widespread industry. There are 350 establishments, and the competition would keep down any arbitrary advance in price to the manufacturers. There is no trust in the business, and all we ask, Mr. Chairman, is a sufficient protection that will cover the difference between the wages paid abroad and the wages paid in this country, plus a reasonable profit. BRIEF SUBMITTED FOR THE FORBES LITHOGRAPH MANUFACTURING COMPANY, BY FRANK J. BLANEY, DIRECTOR, RELATIVE TO LITHOGRAPHIC PRINTS. To Hon. SERENO E. PAYNE, BOSTON, MASS., November 20, 1908. Chairman Ways and Means Committee, House of Representatives, Washington, D. C. DEAR SIR: The Forbes Lithograph Manufacturing Company, of Boston, lithographers, established at that point, respectfully present the following recommendations as an amendment to the schedule proposed on lithographic material (paragraph 400) by the tariff committee of the National Association of Employing Lithographers. We ask that section 400 of the 1897 tariff be amended to read as follows: Proposed amendment to paragraph 400. Lithographic prints from stone, zinc, aluminum, or other material, bound or unbound (except cigar labels, flaps, bands, or other small labels), not elsewhere specified, or any article made up in chief value of lithographic prints: On paper or other material not exceeding ten one-thousandths inch in thickness_-_. Per pound. $0.30 If embossed or die cut____. 33 If both embossed and die cut. .36 Exceeding ten one-thousandths inch and not exceeding twenty one-thousandths inch in thickness_ 25 If embossed or die cut---. .27 If both embossed and die cut__. .29 On cardboard or other material exceeding twenty one-thousandths inch in thickness If embossed or die cut.. . 15 .16 If both embossed and die cut--. Lithographic labels, flaps, and bands, lettered or blank, printed from stone, zinc, aluminum, or other material: Labels and flaps, exceeding 10 square inches, if printed in less than 8 colors (bronze printing to be counted as 3 colors), but not including metal-leaf printing.. 17 .30 Smail labels and bands, less than 10 square inches, printed in less than 8 colors (bronze printing to be counted as 3 colors), but not including metal-leaf printing .60 Labels or flaps, exceeding 10 square inches, printed in 8 or more colors (bronze printing to be counted as 3 colors), but not including metalleaf printing .40 Small labels and bands, less than 10 square inches, printed in 8 or more colors (bronze printing to be counted as 3 colors), but not including metal-leaf printing.... ..80 75941-H. Doc. 1505, 60-2-Vol 6-25 Labels and flaps, exceeding 10 square inches, printed in whole or in part Small labels and bands, less than 10 square inches, printed in whole or in Per pound. $0.50 .75 1.00 1.50 .10 The reasons for our dissenting from the recommendations of the tariff committee referred to are as follows: On the item of "Paper or other material" they recommend eight one-thousandths inch in thickness as the dividing point. This is not a logical point at which to make the difference in thickness, for the reason that the same class of material that is, hangers, calendars, etc.-are printed on paper 60, 70, 80, 90, and 100 pounds to the ream of 500 sheets, size 22 by 28. The tariff committee of the employers' association took this arbitrary division from the tariff now in force, and this is entirely wrong, as will be seen from the following facts: For an importation of 100,000 show cards or hangers, size 16 by 24, lithographed on stock eight one-thousandths inch in thickness, which is 88 pounds to the ream of 500 sheets, basis 22 by 28, the weight on the shipment would be 11,000 pounds, and at the rate recommended by the committee-30 cents per pound-the duty on the importation would be $3,300, whereas if stock nine one-thousandths of an inch in thickness were used, weighing 100 pounds to the ream of 500 sheets, size 22 by 28, it would then pass to the rate suggested by the committee of 20 cents per pound-thus making the weight of the shipment of 100,000 hangers, 16 by 24, 12,400 pounds; and at the 20-cent per pound rate specified by the committee for this thickness it would make the revenue $2,480, as against $3,300 on the lighter stock, thus saving the importer $820 duty for a show card made on a thicker stock, which would be more desirable for his purpose, and the increase he would have to pay for the increase in cost of stock, owing to heavier weight, would be at the rate of 6 cents per pound-$S4-and the increased freight would not be over $6, so that the increase in the cost on account of the heavier stock would not exceed $90, which would thus give a net saving of $730 by reason of having the hangers on a heavier stock; and this, of course, would be a corresponding loss to the Government on revenues. The division we have suggested is ten one-thousandths of an inch, and instead of dropping from 30 to 20 cents per pound (as suggested by the tariff committee referred to) we recommend the rate we have named above, 25 cents per pound, which is a drop of 5 cents, owing to the increased thickness. In connection with the item under the heading of “ 'Lithographed labels, flaps, and bands," we take occasion to include small labels not exceeding 10 square inches, and the reason for this is that the same policy which properly prevails in providing a suitable rate per pound on cigar bands, owing to the small size and the large number to a pound, should dictate that any label, no matter for what purpose it may be used, should receive the same protection as the cigar band. In explanation of this and to illustrate our contention we attach hereto a sheet marked "A," on which we pasted impressions of dies used on labels for perfumery bottles and other small articles, to show size to which labels are cut. On the same sheet we have attached cigar bands, showing that the cigar band is in many cases larger than the small labels used for perfumery and other articles. Owing to the inadequate protection afforded the American lithographers on these small labels, a large quantity are imported, and foreign houses dealing almost exclusively in this branch of business maintain agencies here. On 100,000 labels, size 2 by 4, the weight would be 185 pounds if printed on stock basis 50 pounds to the ream of 500 sheets, size 22 by 28-and this is the heaviest-weight paper that is used for this purpose-and in many cases a lighter paper is used. One hundred thousand such labels made in America, if in 10 printings of a grade usually used for this work, would be sold at approximately $3.50 per thousand, or $350 for the 100,000, whereas at the rate of wages shown to prevail abroad, as given in detail by the tariff committee of the National Association of Lithographers, even the rate of tariff suggested by them would not represent the full difference between the cost of production here and abroad. With the changes suggested above, we heartily indorse the recommendations of the tariff committee referred to, but believe in incorporating the following clause as a section under this heading of "Lithographic imports: " "Lithographs cased with other products: No box, case, or other package containing any importation to this country, not included in this paragraph, shall contain any lithographic prints from stone, zinc, aluminum, or other material, or other items or goods listed in this section." The purpose of this is to prevent foreign exporters or manufacturers from including 1, 2, 3, or other small number of show cards or other lithographed or advertising matter in the cases or packages containing the product they are sending to this country to sell. As foreign importations of certain goods amount in the aggregate to a large number of cases, the inclusion of show cards, lithographs, etc., in the case or package containing the commodity not only is a source of loss to the lithographic industry of the United States, but also is a very large loss of revenue to the Government, and the above paragraph, if adopted, would cause the importer to bring his lithographed or other advertising matter into the country in separate cases, thus causing a duty to be levied on same, with a corresponding amount of revenue to the Government. (Submitted by The Forbes Lithograph Manufacturing Company, Boston, Mass., to show that small labels for any purpose should have same pound rate as cigar bands, on account of size.) Legend. We recommend that the following be incorporated into the new law: Each and every label, band, wrapper, show card, or other lithographic print from stone, zinc, aluminum, or other material, shall bear on the face of same, printed in legible letters in English, the legend "Printed in of the country of origin to follow the words "Printed in." Maximum and minimum. -," the name Should the committee in its wisdom incorporate the principle of the “maximum and minimum tariff," we earnestly pray that the foregoing rates shall be adopted as the minimum rates, and that the maximum rates shall be 20 per cent in excess thereof on each and every item. Lithographic industry in the United States. We have refrained from entering into a general discussion of the merits of the matter, believing same to be covered by the brief submitted by the tariff committee referred to, and would only add as a conclusion that the lithographic industry opens up a very large opportunity for American art, inasmuch as the different establishments are constantly buying the works of many noted artists in this country, and the young artists especially are to a considerable extent dependent upon the trade for their support and encouragement. Respectfully submitted. THE FORBES LITHOGRAPH MANUFACTURING CO., By FRANK J. BLANEY, A Director of the Company. STATEMENT OF OTTO PALM, OF NEW YORK CITY, RELATIVE TO DUTIES ON DECALCOMANIA TRANSFERS. SATURDAY, November 21, 1908. Mr. PALM. If the committee will permit, I would like to say a few words in reply to the arguments or statements that were made by Mr. Meyercord on decalcomanias. Of course, I think it is a mistake on our part to occupy the attention of this committee on such a small matter. Decalcomania is a very small item going into the lithograph paragraph. Decalcomania is not an article that is used indiscriminately as other lithographic prints are, because a lithographic print when it comes to this country is simply sold as a lithographic print, as a postal card, visiting card, New Year's card, Christmas card, or chromos or calendars. Decalcomania is something entirely different. Decalcomania as it is imported or made here is not perfect in itself; it is simply an article that goes into the manufacture of other articles, without which decalcomania is of no use whatever. For instance, the pottery industry in the United States consumes about one-half of the decalcomania. Now, if you want to foster the industry of pottery, it is necessary to bring the decalcomania into this country and manufacture it here as low as possible in order to compete with the pottery that is imported from foreign countries. Of course pottery is not the only item on which the decalcomania is used. There are a number of other items on which it is used, but the pottery industry is particularly interested in this provision. As far as we are concerned, I think we all agree that we are satisfied to let the duty on decalcomania remain as it is now. We do not ask for any reduction or any increase. Mr. UNDERWOOD. Please explain how you use it in pottery? Mr. PALM. Here is a lithograph that is printed on decalcomania paper, or, in other words, transferring paper. [Exhibiting.] Cer tain colors are printed on this transfer paper. The paper is then sold to the potters and they transfer the colors from the transfer paper to the different articles of pottery requiring decoration. The pottery is then fired once more. Without the decalcomania the pottery industry in America could not exist to-day. The CHAIRMAN. It would have to be done by hand? Mr. PALM. Yes, sir. The CHAIRMAN. Have you a specimen there where it has been transferred? Mr. PALM. There is the material right on the pottery. [Exhibiting.] That is transferred. We contend that the potter in America can not exist without decalcomania. He must have decalcomania, otherwise he is not in it. If you want to foster and help the pottery industry of America, this committee should put decalcomania on the free list instead of increasing the duty, although we do not ask that. We are satisfied as it is to-day. The imports of decalcomania into this country do not exceed $400,000. It is a mere bagatelle. I have been amazed at the statements that have been made. It is like Colonel Sellers's "There are millions in it." Decalcomania is a little item, and the potter uses more than any other manufacturer in the world. The imports into this country of decalcomania amount to about $400,000 a year. The consumption here is in the neighborhood of between $600,000 and $800,000, just a small matter. We have been in business for a number of years. We could not compete by importing the decalcomania with the selling prices here, and consequently we had to open a factory, and we are running factories, and a number of others are also running factories. The item of decalcomania is so small that it does not cut any ice, and if you make any change in the duty you will simply hamper and jeopardize the manufacturers of America. The CHAIRMAN. I think you have stated your point. Mr. PALM. Yes, sir. If you put a prohibitive duty on decalcomania, you would simply give employment to about 400 people more and, on the other hand, you would probably knock out 5,000 people in the pottery business and several hundred thousand people in some of the cther branches, if you want to go that far. Mr. UNDERWOOD. What is the rate of duty now? Mr. PALM. Under paragraph 400 it was 20 cents a pound. The duty has been changed. Decalcomania has been kicked about like a football. It has been 35 per cent, 25 per cent, and 20 per cent. Mr. UNDERWOOD. What is it now? Mr. PALM. The duty on decalcomania has been placed by one of the courts of Philadelphia, under paragraph 398, at 20 per cent ad valorem and 3 cents a pound. The CHAIRMAN. We have access to those decisions. Mr. UNDERWOOD. What does it amount to to-day, the 20 per cent ad valorem and the 3 cents a pound duty? Mr. PALM. It depends on what kind of goods you import. If the goods are very expensive goods it would amount to more than 20 cents per pound. If the goods are cheaper it would not amount to 20 cents per pound. That is under the clause which is 20 per cent ad valorem. |