TARIFF HISTORY. Surgical and electro-medical instruments have never been specially provided for in tariff legislation, but have been included as manufactures of metal, not otherwise provided for. The rate has been 45 per cent for many years, except from 1894 to 1897, when it was 35 per cent, and since 1913, when there was a reduction to 20 per cent. COMPETITIVE CONDITIONS. There are differences in the competitive status of X-ray tubes, electro-therapeutic apparatus, and electrically lighted exploring instruments. Germany is said to possess an advantage in her ability to produce superior glass for one type of tube, relatively little used, but employed for therapeutic purposes, as distinguished from the radiographic tube. In the development of the apparatus for generating the current for the tubes, which equipment usually considerably exceeds in value the tube itself, America has also been in the lead, although this apparatus is not protected by patents to the same extent as is the radiographic tube. European makers still largely retain the induction coil form of apparatus instead of the superior high-tension transformer type (which is less bulky and more simple) made by all American manufacturers. American physicians have also led in the application of the high frequency and other forms of electric current to therapeutic purposes, and consequently in the development of the necessary apparatus, and American manufacturers do not express great concern over the possibility of foreign competition in this line of products. The use of this apparatus, though increasing, is still confined to a rather small class of physicians. In the exploring instruments, such as cystoscopes, which are electrically lighted surgical instruments competition has been greatest. For some stages of the manufacture of such instruments, long training and a high degree of skill are required. Fine fitting and workmanship are of much importance in these instruments, and as the Germans excelled in these respects many American physicians preferred imported goods before the war. During the war the quality of the domestic product was much improved and production increased; there is now no well recognized superiority in the German instruments, many physicians preferring the domestic. Germany still has the advantage in producing a superior quality of optical glass for the finely adjusted lens system. Labor costs are difficult to determine, as the product covers a diversity of articles. Wages are high for the skilled work required in finishing. Statements submitted by manufacturers indicate that some of the skilled metal finishers receive as much as $53 per week and a few of the most skilled assemblers as high as $100 per week in April 1921. This applies to cystoscopes and similar instruments, the manufacture of which is a part of the surgical instrument industry, rather than of the production of electro-medical apparatus. TARIFF CONSIDERATIONS. Electro-medical apparatus is of little importance as a possible source of revenue, as the amount imported is very small, and not likely to show any great increase. In the matter of classification, the types most largely imported are essentially surgical instruments; the other types are probably not of sufficient importance to warrant separate classification. MISCELLANEOUS ELECTRICAL SUPPLIES. * * GENERAL INFORMATION. Act of 1913, paragraph 167. Articles or wares not specially provided for in this section; * if composed wholly or in chief value of iron, steel, lead, copper, brass, nickel pewter, zinc, aluminum, or other metal, but not plated with gold or silver, and whether partly or wholly manufactured, 20 per centum ad valorem. DESCRIPTION. A large and varied class of small electrical supplies which are in general use is here included. Among these may be mentioned bells, buzzers, push buttons, heating and cooking apparatus, arc lamps, motion picture projectors, search lamps, fire alarm systems, electric time indicating and recording systems, automobile horns, and electric blasting machines. The component materials are chiefly metals. The common electric bell has a cast iron or stamped steel frame, an electromagnet consisting of two iron cores wound with cottoncovered copper wire, a gong of composition metal or iron, and vibrating parts of stamped metal. Push buttons may have cases of wood or metal, inclosing two small brass spring contacts that are pressed together by the button, which may be porcelain or composition. Heating apparatus is made in great variety, of both household and commercial types, including flatirons, percolators, toasters, small stoves, electric ranges, soldering irons, glue pots, and many others. The operation and construction of all are similar. An alloy wire of high electrical resistance is wound in the form of fine coils, close to the heating surface. The passage of the current through the high resistance generates the heat, which is communicated to the metallic plate adjoining, or, in the case of some types of stoves, it is communicated directly to the article to be heated. Arc lamps include a device for holding two carbon rods, and an electromagnetic device for separating them slightly to strike the arc, and for automatically maintaining the same separation as the rods burn away. Electric time systems and fire-alarm systems are essentially small electromagnets, or iron cores, wound with insulated copper wire, with the necessary contact-making devices, connected so as to operate the mechanism. The use of all these electrical devices has increased rapidly, owing to the convenience of electrical operation, and the instantaneous operation obtainable at distant points. DOMESTIC PRODUCTION. The United States Census reports do not specify in detail all the classes of this type of apparatus. In 1914 production of six of the principal classes' amounted to $7,547,182, and in 1919 to $65,866,343. Of these classes, electric heating appliances formed 36 per cent, and vacuum cleaners and other small motor driven devices 47 per cent in 1919. 1 Arc lamps; search lamp and projectors; heating, cooking, household, and industrial devices; annunciators and push buttons, bells, buzzers and signal gongs; and clocks and time mechanisms. Materials. The covering or casing of this class of apparatus is principally stamped or spun brass or steel, and the moving and current-carrying parts are, except in the case of heating apparatus, also stamped brass, or, in the more accurate types, machined brass or steel. The electromagnets are usually cores of cast iron, and are wound with cotton or possibly silk covered copper wire. For heating elements, nichrome wire or ribbon is largely used. It is an alloy of about 90 per cent nickel, with 10 per cent chromium, and has a high electric resistance, which develops a large amount of heat in a given length, and has a high melting point. All the materials are obtainable in ample supply in this country with the exception of nickel. Equipment. Most of the equipment is simple, and the supply is of high quality and ample. Automatic sheet-metal stamps, drills, and screw machines are largely used, and for some products brass and iron castings are required. Many of the smaller parts are made on automatic screw machines. Methods of production.-Production is highly standardized, and the articles are made in large quantities. About the only handwork is that used in the assembly of the parts. Some of the foreign product, especially that of Japan, shows evidence of handwork, often of rather poor quality. Organization. The manufacture of this class of material, especially push buttons, bells, and the like, does not require a highly developed organization or large and expensive equipment. They are not as a rule made by the large manufacturers of electrical engineering equipment, but by supply manufacturers, some of small size. Heating apparatus and projectors are made by the larger firms as well as by a number of small makers. Fire-alarm systems are mainly produced by one specialty company. Geographical distribution. The industry is located principally in the northern and northeastern manufacturing States. History of the industry. The use of electric bells and signaling apparatus depending on battery current has developed independently of the use of electric power lines and service, but not less rapidly. Importation has never been a factor in the growth of the industry. The manufacture of heating apparatus has followed the extension of power lines and the increasing use of electric service for domestic purposes. Domestic production and consumption.-Complete figures for production are not available. In 1919 the production of arc lamps and projectors amounted to $4,949,017; that of cooking, welding, and other heating apparatus to $23,537,252; vacuum cleaners and other small motor-driven devices, $31,255,943; electric clocks, $1,797,909; annunciators and push buttons, $709,941; and bells and buzzers, $3,616,281. The domestic demand is supplied entirely by domestic manufacturers, and there is some export. Domestic exports.-No complete statistics are available. Exports of arc lamps have been decreasing with the replacement of this type by the incandescent lamp, amounting in 1921 to only $13,795. Exports of heating and cooking apparatus have been increasing, and in 1921 amounted to $1,637,450; the principal destinations are Great Britain, Canada, Latin American countries, and Japan. Foreign competition is met in these markets, often in the form of material of cheap construction, made especially for the export trade. FOREIGN PRODUCTION. Germany is one of the chief producers. Japan has recently been entering the field, and has taken advantage of the opportunity afforded by the war to extend her trade in South America, Asia, and the British possessions bordering on the Pacific. The Japanese product is not uniformly of high quality, and is made to a great extent in small shops. IMPORTS. Imports of this class of goods are not reported separately. There appear to be few instances, however, of imported goods appearing in the domestic market in competition with American products. The quality of the foreign product is in no case superior to the American, and is often inferior. PRICES. Price comparisons between domestic and foreign goods are rather difficult to make on account of possible differences in quality. One domestic manufacturer stated that a German flatiron was being placed on the American market to sell for $2 wholesale, in competition with his iron selling for $4.25. The German article does not have the nichrome element, and the mica insulation is inferior, but these features would not be apparent to a household purchaser. The price of this domestic iron was about 2.5 times its pre-war price. TARIFF HISTORY. Nearly all of this class of material is dutiable under the provision for articles or wares in chief value of metal, not otherwise provided for. By the acts of 1897 and 1909 they were dutiable at 45 per cent ad valorem, and by the act of 1913 at 20 per cent. COMPETITIVE CONDITIONS. Much of the foreign material is of a quality which would be considered poor in the United States, and would not find a ready sale. Some of this cheap material is rather crudely decorated and would not find favor in this country. There are instances of foreign goods being offered in the domestic market, but as yet there has been little sale, and manufacturers report no competition of consequence from foreign sources. An investigation made by the Electrical Manufacturers Council in 1920 indicates that labor cost for heating appliances ranged from about 35 to 50 per cent of the cost of production. The highest grade of resistance wire for heating apparatus, the nichrome alloy, is controlled by American patents, but foreign makers are able to use substitutes which will serve the purpose probably almost as well. Apparatus of this type is an example of a class of electrical goods that are sold to a considerable degree on their appearance. Power apparatus, cables, and other goods used by large corporations are purchased principally by specifications, and after tests to insure quality, but electric irons and heating apparatus are sold not only by small electrical dealers but by hardware and department stores, and are usually purchased by persons |