TARIFF DISCONTENT

Evening Star, Issue 19663, 16 September 1927, Page 10

TARIFF DISCONTENT

KNOCK-OUT BLOW TO MOTOR TRADE [Special to tub ‘ Stab.*] CHRISTCHURCH, September 15. “It is a scandal. The whole thing is framed in favor of the United States of America,” said a man who is interested in the motor car industry to-day in discussing the new duties on cars with a ' Sun ’ reporter. “ Tho British Trade Delegation, which came thousands of miles on its mission, and which was feted and received with expressions of the greatest goodwill here, will be the laughing stock of the motor trade in Groat Britain.”

He pointed out that in the advice regarding the tariff which was published iu tho newspapers yesterday was omitted the fact that there is a 10 per cent, ad valorem duty (British preferential tariff) and <TS per cent, ad valorem (general tariff). The B.P.T. on motor vehicles with unassembled or completely knockcd-down bodies is 5 per cent., and the G.T. 10 per but it is impossible tor the British motor car niaindaetiirers to ship completely knockcd-down bodies, whereas foreign manufacturers can do so. Tho man whose remarks arc quoted above gave the considered opinion that foreign traders will be able to eifoct a great saving in prices of unassembled bodies, for they will reap a great advantage in respect to freights, tho unassembled cars taking much less package space. T icre was also to lie taken into consideration tho extraordinary factor of tho - advantage to foreign traders in the actual freights charged. The freights on British cars amounted to 77s a. to i, and on foreign cars shipped from American ports ot>s 9d a ton. Primage charges made slight difference to the figures quoted. Further, it was rumored, and there was an excellent reason for believing the rumor, taut foreign freights would drop very considerably in tho near luture. In foreign freights', too, there was no difference made as between main ports and open roadsteads, but British freight charges lor an onon roadstead amounted to 121 s a ton. “ It looks as if we have a system of pre-war tactics adopted by another countrv,” lie said. “ Before the wat goods 'of foreign origin shipped from Antwerp in British vessels were charged at about 25s to 28a a cubic ton, whereas (roods shipped from British ports were charged at 40s a ton. la history repenting itself from Atlantic ports? ft looks very much like it.” HO HELP TO BRITAIN [Special to tub * Star.'] WELLINGTON, September 15. _ Dissatisfaction at the tariff as it affected motor body builders was expressed to-day by Mr B. Oldfield, president oi the Wellington Motor Body Builders' Association. Tiie remission of 5 per cent, duty on unassembled cars was, in Ins opinion, a great blow to tho industry, and no help to British manufacturers, who did not go in for building cars lor assembling elsewhere, but merely benefited foreign manufacturers. It would accentuate the unemployment problem. “ The most serious aspect is the loss resulting to those who have invested capital in buildings, plant, and machinery.” STATEMENT BY MINISTER OPINION DIVIDED 111 TRADE [From Our Parliamentary Ivitortkr.] WELLINGTON, September 15. “ Can the Minister of Customs give any comfort at all to the motor body builders of. the dominion?” asked Mr Wilford in the House this afternoon. He wished to read a telegram received from a Christchurch firm, but it was ascertained that other members had received similar telegrams, and Mr Speaker ruled them all out, as tho practice could become interminable. Mr Wilford therefore confined himself to asking if the Minister could look into tiie question of alterations in tho rate of duty on imported motor chassis and parts, as lie was assured that the present position would mean ruination to tiie New Zealand motor bodv building industry. “T have received a number of communications, too,” replied Mr Downie Stewart, who went on to say that there was an obvious contradiction between the different parties interested in the industry, and lie had spent the morning investigating tiie position. So far as ho could see, half of them thought the Government’s policy was right, and tho other half held a different opinion. He was not in a position to make a statement at the moment, but there would be ample tinio to deal with it before the tariff Bill came before the House. He remembered that when a slight alteration in dutv was made in Canada a year or so ago, tiie whole of the motor body builders closed down, and then within a few days they opened again. Ho did not wish to suggest that this would happen in New Zealand.

PUBLIC WILL PAY

FILM REPRESENTATIVE’S STATEMENT [Special to the Stab.’] WELLINGTON, September 15. It was stated to-day_ by Mr Robertson, of the Film Supplies, that the increased tax on films would undoubtedly be paid by the New Zealand public, and not by the American producers or their agents. As England did not produce anywhere near sufficient feature films to keep even one New Zealand theatre going with a regular weekly supply, and did not produce short comedies, and, as all the English news films came to Now Zealand already, lie could not see how the tax would benefit the English manufacturers. The tax might even narrow, the area of choice of film. He mentioned that each week half the population of New Zealand attend tho pictures. Me emphasised the fact that tho tax was not on entertainment value, but solely on so much per foot of film. The entertainment value of one picture might be £2,000, and that of another picture of equal length only £200; yet both would pay the same duty.

NO HELP GIVEN BOOT AND SHOE INDUSTRY " lil A VERY PRECARIOUS STATE " “ At present the trade is in a very precarious state, both from a financial and trading point of view,” reads the statement issued by the _ Otago boot manufacturers after holding an extraordinary meeting in the Employers’ Association rooms to consider tho new tariff law as affecting the trade. The statement was as follows: A telegram waa forwarded to tbo executive in Wellington asking it to at.once us© its'influence to got the Government to reconsider tne clauses affecting hoots and shoes. Attention was drawn to evidence given last week in the Arbitration Court, where evidence was produced showing where one of the largest manufacturers in New eZalaml lias lost 25 per cent of their capital in two years. Boot manufacturers were prepared io give an assurance that any help in the shape of Customs tariff wood not be the cause of a rise in the price of boots.

At present, in spite of a big overseas and local rise in the price of leather caused by world-wide rise in the price of bides, the majority of manufacturers are carrying on at old prices m order to keep their plants and employees going.

At present the trade is in a very precarious slate, both from a financial and trading point of view. The present Customs duty was altered in 1921, when a reduction was made through the adoption of the ad valorem duty instead of a fixed duty per pair. Since J9M the trade has been faced with a continued rise, in wages in spite of twhich it is possible to buy New Zea-land-made shoes cheaper at present than for many years past.