On the Continent of Europe pottery is made very largely by female labor. As stated before, the American potter employs on an average of 19 females, women and girls, to 100 males, men and boys. England employs 80 females to 100 males, while in Germany in many of the factories 300 females to 100 males are employed. SUMMARY. Briefly summarizing the results of my investigations, I find: First. That it is impossible to show with absolute accuracy the actual difference in the cost of production of pottery wares at home and abroad. The figures I have secured represent what would be a comparatively accurate presentation, if the work was all done by journeymen, working under similar conditions, but such is not the The difference in cost, represented by the figures contained in this report, is great, but when the difference in conditions is considered, the apprentices, the hours worked, the amount of female and child labor on the one hand, and the regulations of the American trade-unions on the other, a greater difference actually exists than is possible to express in figures. case. Second. That the cost of producing pottery ware differs to a great extent in the several European countries, the cost being largest in England, decreasing in the order of the countries named: Germany, Belgium, and Holland, in the production of earthenware, and England, France, Germany, and Austria, in the order named, in the production of china. Third. That the facts and figures relative to the producing cost of English earthenware being full and accurate, only as above stated, on a basis of journeymen's wages, indicate that the total cost in America is about 78 per cent higher than the total English cost. Fourth. That by using the several elements of English cost as a basis the costs in the several continental countries can be closely approximated for comparison with the American cost figures. Fifth and finally.-That in the last analysis is the rate of wages per hour, earned by all the pottery employees in the various countries, is the final comparison of wage cost. The figures of the various foreign countries are based upon the assumption that the operatives must necessarily work approximately the full number of hours to constitute a day's work. I have, however, made some allowances for lost time. Although the rate of wages and the actual amount of wages earned differs very greatly in the several countries, compared with the United States, these differences PARAGRAPHS 92-94-POTTERY. do not account for the still greater difference in the rate per hour earned. The greater difference is accounted for largely from the fact that women, girls, and boys do much of the work done by men in the United States. The following figures are a summary of the comparisons: STATEMENT OF GEORGE KOLB, OF NEW YORK. Mr. KOLB. Mr. Chairman and gentlemen, Mr. Seigal and I, as chairman of the committee, would like to present this brief. The CHAIRMAN. Do you desire just to present your brief? Mr. KOLB. I think I would like to read it and present some samples. Hon OSCAR W. UNDERWOOD, Chairman Committee on Ways and Means, House of Representatives. Sir: Under the present tariff act and all previous ones back to the Wilson bill of August, 1894, the domestic potteries have been protected by an apparent nominal duty of 55 per cent on white and 60 per cent on decorated china upon importation into the United States, but the plain and incontrovertible fact is that the actual protection amounts to as high as 120.91 per cent. Tables showing just how there figures are arrived at are herewith shown, based on importations of various German china laid down in Baltimore as a central distributing point: EXHIBIT A. One case containing 18 dozen decorated German china cuspidors, at 3.25 marks, equals 77 cents a dozen, $13.91. Weight, 572 pounds; measure, 35 cubic feet. On the basis of 1912 ocean freight rates, it cost $16.82 to land $13.91 worth of china cuspidors in Baltimore. Attention is called to the fact that in the present year, 1913, the ocean freight rates are 31.6 per cent higher than given in this illustration and exhibits. Attached hereto and made part of this brief are other illustrations marked "Exhibits A to P." These illustrations serve to show the exorbitant character of the present tariff on chinaware and how, owing to the value of the cases and packing being dutiable at the rate of the contents plus the geographical protection, the domestic potters have been so favored far and beyond all reason for revenue and all protection of "infant industry" as to steadily drive certain lines of import chinaware entirely from the market. The leading potteries in this country are continually adding to their output and building new and larger kilns to take care of the enormous business they are absorbing. By reference to the illustration above it will be noted that while the actual value of the merchandise is $13.91, the cost of the case, which is $2.40, is 17.26 per cent of the PARAGRAPHS 92-94-POTTERY. value of its contents; the freight from factory to port of exportation is $2.11, equal to 15.16 per cent and from that point to port of entry in the United States is $2.17, equal to 15.60 per cent. While the tariff provides a tax of 60 per cent on decorated goods, by the inclusion of the value of the case and packing at the same rate of duty, the actual duty is $9.79, equal to 70.37 per cent. Taking into consideration all the various dutiable items as shown by this illustration, it costs the importer $16.82 to land $13.91 worth of merchandise, which makes 120.91 per cent actual protection on the cost price at factory. These are startling figures and show beyond cavil or question what the real protection is that has favored these domestic potteries and is driving the cheaper grades of imported ware from the market. During the last ten years the importation of decorated china have on the whole remained about stationary; in some years showing a slight increase, in others a decrease. This, in spite of the fact that in these ten years the population of the United States has greatly increased, and in the same period the production of domestic goods has increased annually, until now it reaches a yearly output of over $16,000,000. Attention is particularly directed to the fact that this growth and increase continued during the period when the duty on decorated china was only 35 per cent. A cogent argument in the nature of a concrete proposition which shows clearly the relative positions of foreign and domestic wares are the exhibits we show herewith, giving the actual cost price of certain articles laid down at the port of entry, compared with that of similar merchandise of domestic manufacture. Attention is also directed to the fact that in selling the domestic goods the domestic manufacturer has his profit and selling cost figured in the prices stated and given in the illustrative exhibits, while the prices given for the imported goods do not include the importer's profit or selling expense, but represent the bare cost of importation laid down at the port of entry. If likewise the importer's profit should be added to the price of the imported article, the difference in percentage would be still more pronounced. The value at which domestic goods are put on the market and the cost of the imported article at the port of entry indicates plainly that the present tariff is highly excessive. These are concrete examples and speak for themselves more clearly than arguments or long tables of figures. Difference in percentage of value of imported and domestic articles based on foreign cost and domestic selling price. EXHIBIT 1. Austrian dinner plate, costing $1.54 a dozen. ILLUSTRATIVE EXHIBIT 1. Domestic dinner plate, selling at $0.67 a dozen........... EXHIBIT 2. Austrian dinner plate, costing $1.32 a dozen. 128. 10 96. 1 ILLUSTRATIVE EXHIBIT 2. Domestic dinner plate, selling at 714 cents a dozen.... 851 601 EXHIBIT 3. Austrian dinner plate, costing $2.57 a dozen. Dinner set, represented by Exhibit 3, consisting of 100 pieces, costs laid down at Baltimore, including all charges, excepting importer's profit and selling expense, $16.24 a set. PARAGRAPHS 92-94—POTTERY. ILLUSTRATIVE EXHIBIT 3. Domestic dinner plate, selling at $1.424 a dozen... EXHIBIT 4. Austrian dinner plate, costing $1.54 a dozen. Dinner set, represented by Exhibit 5, consisting of 100 pieces, costs laid down at Baltimore, including all charges, excepting importer's profit and selling expense, $10.11 a set. ILLUSTRATIVE EXHIBIT 4. Domestic dinner plate, selling at $0.75 a dozen..... EXHIBIT 5. German dinner plate, costing $1.75 a dozen. Dinner set, represented by Exhibit 6, consisting of 100 pieces, same combination as above, costs laid down at Baltimore, including all charges, excepting importer's profit and selling expense, $11.15 a set. ILLUSTRATIVE EXHIBIT 5. Domestic dinner plate, selling at $0.75 a dozen.. 801 561 1051 841 134 Dinner set of 100 pieces, represented by Illustrative Exhibit 6, same combination as above, selling at $5.48 a set.... 1031 EXHIBIT 6. German plate, costs laid down in Baltimore, including all charges, excepting importer's profit and selling expense, $0.70 10/12 a dozen. ILLUSTRATIVE EXHIBIT 6. Domestic plate comparable with Exhibit No. 11. Sold in this market by the domestic potteries at $0.403 a dozen....... 74.9 It may be claimed that the imported articles for which prices are given above are china, while the domestic articles are earthenware. While this is true, we particularly direct attention to the fact that the appearance of both is the same, and that the articles of domestic earthenware above mentioned are sold in this country in direct competition with the imported chinaware. We point out further that many of the articles of domestic earthenware are plainly stamped with the word “china," indicating the intention of the domestic manufacturer to lead the consumer to believe that he is buying china and not earthenware (see Illustrative Exhibits Nos. 4 and 8). Attention is further directed to Illustrative Exhibit No. 8, marked "Dresden china," and No. 9, marked "Limoges china," and Exhibit 7, all of which are earthenware of domestic manufacture. Attention is also called to the fact that in making the above comparisons we have used similar classes of decorations. Yesterday it was stated here that $15,000,000 worth of tableware was manufactured here against importations of $11,000,000 in foreign value, but this is not correct, because in this $11,000,000 is included a goodly portion of goods that are not tableware at all, for instance; vases, statuettes, busts, figures, umbrella stands, flower pots, clock cases, steins, plaques, cuspidores, lamps, pedestals, toy tea sets, etc. We have not the figures at our disposal as no separation is made for statistical purposes by the Government, but we believe there are from 25 to 333 per cent of the total importations of white and decorated chinaware. Attention is also called to the fact that while the said $11,000,000 are correct so far as the year 1911 is concerned, during 1912 the importations decreased to $9,997,698. In view of all these statements herein made it is respectively submitted that 35 per cent duty on decorated as well as white chinaware affords ample protection to the domestic potters and the revenue. In addition, it is submitted, that no duty should be imposed on the outside cases, casks, or crates. |