TRADE WITH CANADA.

Hawera Star, Volume XLVIII, 29 November 1924, Page 5

TRADE WITH CANADA.

PREFERENTIAL TARIFF. BY CABLE-PRESS A RSOCIATION—COPYRIGHT OTTAWA, Nov. 27. While the Canadian Government is satisfied with the progress of negotiations concerning the change in the New Zealand tariff, certain manufacturers take the occasion to deny the accuracy of the assertion that the majority of the Canadian automobile plants would he adversely affected by the 75 per cent Canadian labour requirement. Manufacturers declare that eight makers of Canadian cars are able to meet the proposed conditions. The Government, however, replies that only one car would qualify under strict adherence to the conditions, to which manufacturers retort that . the , remainder would likewise qualify if they adopted this company’s policy. Nevertheless New Zealand’s proposal is generally regarded as extreme, but the opinion is expressed that a maximum of 50 per cent would actually he beneficial to certain manufacturers. It is suggested that this ratio would benefit the paper and fish industries, while not imposing excessive hardships on other pursuits.

A cable from Ottawa last week stated: The New Zealand and Canadian Governments are now exchanging messages regarding the proposed change in the New Zealand tariff, which hitherto has allowed preferential treatment on Canadian manufacturers if one-quarter of their total value were created by Canadian labour. New Zealand is now seeking to increase the proportion to three-quarters, which automobile manufacturers in Canada assert would adversely affect the Canadian preferential trade. They declare that the .majority of Canadian automobile factories are merely assembling plants which import much fabricated steel - from the United States. A similar protest has been made bv other manufacturers of steel products, notably agricultural machinery.