CARD CLOTHING. [Paragraph 146.] VARIOUS AMERICAN MANUFACTURERS OF CARD CLOTHING ASK FOR AN INCREASE OF DUTY ON THE MANUFACTURES OR A DECREASE OF DUTY ON RAW MATERIALS. WASHINGTON, D. C., November 25, 1908. COMMITTEE ON WAYS AND MEANS, Washington, D. C. GENTLEMEN: The card-clothing industry is engaged in the production of an article that does not enter into general consumption. The demand for it is consequently limited. But, while the amount of possible production is comparatively small, that industry requires a relatively large amount of capital-probably the largest amount of capital for the value of the goods produced of any industry. In this country, in round numbers, $1,200,000 of capital is employed in the annual production of $1,200,000 worth of goods. The manufacture of card clothing in the country is an industry that needs increased protection. First, because it pays to its employees wages 150 per cent higher than the wages paid to workmen of the same class in foreign countries. The American manufacturer can not, therefore, under present tariff conditions successfully compete with foreign manufacturers in the labor market; second, because, under the present tariff, in most cases, the duty on the materials entering into the construction of card clothing is greater proportionately than the duty on the manufactured article. Paragraph 146 provides for card clothing manufactured from tempered steel wire, 45 cents per square foot, all other card clothing 20 cents per square foot. The two articles entering mostly in the manufacture of card clothing are card cloth and card wire. Card cloth consists either of a certain number of plies of cotton and linen, a certain number of plies of cotton, linen, and rubber, a certain number of plies of cotton, linen, and wool, or a certain number of plies of cotton, linen, wool, and rubber. The first two items are subject to a duty of 45 per cent ad valorem, while the other two are dutiable at 44 cents a pound and 50 per cent ad valorem, and if valued over 70 cents a pound, 44 cents a pound and 55 per cent ad valorem, which is equivalent to 125 to 160 per cent duty. The wire is subject to a duty of 40 per cent ad valorem, if same is round (par. 137). Any other 45 per cent, and if tin coated, twotenths cent per pound additional. Card clothing is subject to a specific rate, regardless of the materials entering into its construction. In 1897 there were 1,600 card-setting machines in operation, while in 1906 and 1907, two good business years, there were only 1,039 such machines in operation. Likewise the amount of American-made card clothing used in this country has steadily decreased, while the amount of imported clothing has increased. Statistics show that the total sales of card clothing for the year ending June 30, 1906, were 1,313,685 square feet, of which 422,946 square feet were imported, and for the year ending June 30, 1907, were 1,399,054 square feet, of which 464,716 square feet were imported. It may be noted in this connection that one-third of the total amount sold in this country was imported. This does not include the card clothing that has been imported with carding machinery since the decision rendered by the general appraisers December 12, 1906 (G. A. 6490, T. D. 27760), which was confirmed by the United States circuit court, district of Massachusetts, December 31, 1907 (T. D. 28688), and was acquiesced in by the Treasury Department February 3, 1908 (T. D. 28732). Since this ruling card clothing imported with carding machinery has paid an ad valorem duty of 45 per cent under paragraph 193, which means that this card clothing only pays a duty of 25 cents per square foot on the lowest-priced card clothing and a duty of 36 cents per square foot on the highest-priced card clothing. We claim that this was not the intention of the present tariff bill, as it gives a decided advantage to the importer and does not allow the card-clothing manufacturer a chance to compete for this class of work. The following diagram shows the gradual increase of importations since the Dingley tariff law was enacted: Year ending June 30 1905--- 1906--- 1907 [203,502.01 square feet tempered steel, at 40 cents per square foot. 3,060.01 square feet others. J462,192.84 square feet tempered steel. 410,987.67 square feet tempered steel. f408,320.67 square feet tempered steel. [413,244.82 square feet tempered steel. 9.702.00 square feet others. [453,118.23 square feet tempered steel. 11,598.17 square feet others. These importations were a large increase over the years previous to the enactment of the Dingley law. Inasmuch as the card-clothing manufacturers of the United States are at so great a disadvantage under the present tariff and are consequently gradually losing their business to the foreign makers, we would respectfully ask that the rate of duty assessed upon card clothing be as follows: Per square foot. Card clothing manufactured from round, tempered, steel wire, unless otherwise provided for in this act--- $0.50 Card clothing made of felt face, wool face of a rubber face cloth containing wool---- .55 Card clothing manufactured with plated wire, brass wire, bronze wire, double convex wire, angular wire, sectoral wire, and all others not specially provided for in this act... Card clothing manufactured of round iron wire___. .55 .20 Unattached card clothing, imported with machinery, shall be classified as card clothing and pay the rate of duty specified in this act. Or, in lieu of increasing the present rates on the manufactured product, that such a reduction be made in the present tariff on the materials from which card clothing is made as will enable the domestic manufacturers to compete successfully with their foreign rivals. With this brief we deposit samples, with tables showing comparative cost price of card clothing made in England and the United States. Respectfully submitted. By GEORGE L. HAMILTON, North Andover, Mass. For HOWARD BROS. MFG. Co., Worcester, Mass. BECKWITH CARD CO., GEORGE L. HAMILTON, NORTH ANDOVER, MASS., FOR AMERICAN CARD-CLOTHING MANUFACTURERS, SUBMITS ADDITIONAL INFORMATION RELATIVE TO COST OF MAKING. WASHINGTON, D. C., December 1, 1908. COMMITTEE ON WAYS AND MEANS, Washington, D. C. GENTLEMEN: We beg to submit the following information: Comparative cost price of 1 square foot of card clothing set with 6-ply, 4-millimeter, felt-faced cloth and No. 34 hardened and tempered steel wire. The duty on the materials to make 1 square foot of this card clothing is For card cloth.. For card wire.. Total The rate on the finished article is $0.4500 per square foot. $0.5039 .0805 .5844 Comparative cost price of 1 square foot of card clothing set with woolen cloth (1 linen, 1 cotton), natural rubber face, and No. 32 hardened and tempered steel wire: ing is For card cloth_. For card wire Total The rate on the finished article is $0.4500 per square foot. The duty on the materials to make 1 square foot of this card cloth $0.4052 .0635 .4687 Cost of materials. Woolen cloth (1 linen, 1 cotton) natural rubber face: Comparative cost price of 1 square foot of card clothing set with 7-ply, wool-faced cloth and No. 22/26 double convex hardened and tempered steel wire. |
