GERMAN SHIPPING.

New Zealand Herald, Volume LVII, Issue 17595, 7 October 1920, Page 7

GERMAN SHIPPING.

■■ » — AGREEMENT WITH AMERICA. ADMIRAL BENSON'S DEFENCE. Australian and N.Z. Cattle Association. OJecd. 12.30 'ajm.) WASHINGTON, Oct. 5. Admiral Benson, chairman of the United States Shipping Board, denies charges that the Germans will derive unfair benefits from the. shipping combine with the Hamburg-American ' Line. He reiterates that the arrangement is fair. The United States Shipping Board has approved a contract between the Ham-burg-American Line Steamship Company and the American Ship and Commerce Corporation under which transatlantic passenger and freight services will be oper--ated between New York and other American ports and Germany, and between. Germany and ports other than those of the United States. Each service will be considered as a unit and, according to the announcement, " the fundamental principle of the agreement is that each service is an enterprise in which each party shall have the right to participate with an equal ' amount of tonnage." 'While each party may have offices in any port, the American. company will act as agent for the German concern in the United States v and the German concern will act as agent for the American company in Germany. The statement of the Shipping Board continues:— " The American Ship and Commerce Corporation agrees within one year to supply passenger ships not exceeding 40,000 tons gross register, to which the Hamburg-American Line cannot add unless it is mutually agreed that the business warrants an addition. If the growth of the business warrants an addition, the Hamburg-American Line may, if they have the ships, add ships until they have 50 per cent., after which each party is limited to 50 per cent. Provision is made for withdrawal and utilisation of tonnage if over-tonnaged. In the design' and construction of passenger ships the HamburgAmerican Line gives* then American Ship and Commerce Corporation all the tech-nical-knowledge and experience at its disposal. "For freight services between the United States and Germanyjseach party has the right to supply one-half the tonnage required for each service, but if the Hamburg- Line has not the tonnage for its half, the''American Ship and Commerce Corporation may supply it. The American Ship and Commerce-Cor-poration fixes rates on eastbound traffic and the Hamburg-American Line on west- . bound traffic."