TRADE FROBLEMS

Gisborne Times, Volume LXXXIV, Issue 12902, 1 July 1936, Page 5

TRADE FROBLEMS

AMERICA WITHDRAWS AUSTRALIAN BENEFITS. SEQUEL TO NEW TARIFF. (U.P.A. by Elec. Tel. Copyright). WASHINGTON, June 29. The Treasury Department has announced that President Roosevelt has ordered the withdrawal of all trade benefits accruing to Australia under the reciprocal trade treaties beginning 011 August 1. IMPORTS THAT MAY BE affected. (U.P.A. by E-lee. Tel. Copyright). (Received June 30, 11 p.m.). WASHINGTON. June 29Th’c order followed a communication from President- Roosevelt to Mr. Morgentliau, in which the President invoked his authority under the Reciprocal Trade Agreements Act. which' provides for the- suspension nt the, application of tariff rates to any country, “because of as discriminatory treatment of American commerce or because of other acts or policies which, in his opinion, tend to defeat the purposes set forth m the Act." President Roosevelt s letter declared : "You hereby are notified that r find as a fact that the treatment of American commerce by the Commonwealth ol Australia is discriminatory. 1. therefore, direct that the proclaimed duties shall ocas' to be applied to ihc products <> l Australia entered for consumption or withdrawn from warehouses lor consumption on or after August l.”

President Roosevelt further ordered Mr. Morgentiiau to publish his decision in an early issue of the weekh Treasury decision. Australia thus joins Germain- on the Treasury’s socalled ‘-black list” of countries excluded from trail? benefits nadir reeiprocal agreements. The practical effects on Australian imports for the present arc said by experts here not to be great. inasmuch as the United States imports important Australian products that do not figure largely in the reciprocal agreements so far negotiated. Imports likely to be affected include certain ores, sausage casings, wines, hides and skins but. in Lie event of additional agreements, with other countries, the President s action will undoubtedly assume larger practical proportions. Whether the Treasury’s order will operate against the prospects of a reciprocal trade agreement between the United States arid Australia is a matter, on which trade experts decline to make predictions.

CONCERN IN CALIFORNIA. (U.P.A. by Elec. Tel. Copyright). (Received June 39, 8.50 p.m.). LOS ANGELES, June 29. . A sub-committee dealing Avith the Australian embargoes decided to recommend the Los Angeles Chamber of Commerce to suggest that Australia appoint a Minister at Washington with a view to ironing out trad©'problems and that tile Pacific Coast Chambers of Commerce urge Australia to send a delegation of business men to America with sample of exportable goods, except primary products which compete with American products. • The opinion was expressed that Aos tralian hardwoods, minerals, metals, 'coke, coal and hides could be sold in America. It is felt that Australia is partly to blame for the unbalanced trade owing to inadequacy of sales efforts. .