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TO FURTHER DEVELOP AN AMERICAN

MERCHANT MARINE

HEARINGS

BEFORE

THE COMMITTEE ON
THE MERCHANT MARINE AND FISHERIES

HOUSE OF REPRESENTATIVES

SEVENTY-FIRST CONGRESS

SECOND SESSION

STANFORD
LIBRARIES

p97-92

ON

H. R. 8361

A BILL TO FURTHER DEVELOP AN AMERICAN MERCHANT
MARINE, TO ASSURE ITS PERMANENCE IN THE TRANS-
PORTATION OF THE FOREIGN TRADE OF THE UNITED

STATES, AND FOR OTHER PURPOSES

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COMMITTEE ON THE MERCHANT MARINE AND FISHERIES

HOUSE OF REPRESENTATIVES

SEVENTY-FIRST CONGRESS, SECOND SESSION

WALLACE H. WHITE, JR., Maine, Chairman. FREDERICK R. LEHLBACH, New Jersey. EWIN L. DAVIS, Tennessee. ARTHUR M. FREE, California.

SCHUYLER OTIS BLAND, Virginia. CHARLES BRAND, Ohio.

CLAY STONE BRIGGS, Texas. FRANK R. REID, Illinois.,

GEORGE W. LINDSAY, New York. CHARLES L. GIFFORD, Massachusetts. CHARLES L. ABERNETHY, North Carolina. HARRY E. ROWBOTTOM, Indiana.

OSCAR L. AUF DER HEIDE, New Jersey. FREDERICK W. MAGRADY, Pennsylvania. JEREMIAH E. O'CONNELL, Rhode Island. FRANK L. BOWMAN, West Virginia. ROBERT H. CLANCY, Michigan. CHARLES A. KADING, Wisconsin. JAMES WOLFENDEN, Pennsylvania. CHARLES H. SLOAN, Nebraska. RICHARD J. WELCH, California. DAN A. SUTHERLAND, Alaska.

II

TO FURTHER DEVELOP AN AMERICAN MERCHANT MARINE

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HOUSE OF REPRESENTATIVES,
THE COMMITTEE ON THE MERCHANT MARINE AND FISHERIES,

Thursday, January 23, 1930. The CHAIRMAN (at the conclusion of the hearing on H. R. 7998). It was proposed, also, that we should take up for consideration this morning H. R. 8361, introduced by Judge Davis of Tennessee, amending section 404 of the ocean-mail title of the 1928 act. That bill has attracted considerable attention and created considerable interest in this whole subject of ocean-mail contracts. I have had a letter from the American Steamship Owners' Association stating that they have been considering that bill and the changes suggested by it, which I will read. It is dated January 21, addressed to me as chairman of the committee.

DEAR MR. WHITE: The members of our association have been giving all the time that they can to H. R. 8715 and H. R. 8361, but so far have not been able to reach such definite conclusions regarding the bills as to make it possible for

to present our views to the committee at the time now scheduled-namel to-morrow and Thursday.

We hope to conclude our deliberations this week, and trust that we have an opportunity of laying the v.ews of the association before your committee the first part of next week, if the committee feels they can hold the matter open that length of time.

We regret this delay, but the bills are so far-reaching in their effects and embody such material changes in present law, that we feel that they justify the most careful consideration of all interested in American shipping. Very truly yours,

H. B. WALKER, President. Mr. Kading. What is the other bill they refer to?

The CHAIRMAN. That is the bill we had up yesterday. I have had intimations from other shipping companies that they desired to present their views, but they have indicated, also, that they were not prepared to go on this morning. I do not know the attitude of the Shipping Board toward the bill now before us; I assume we shall want to hear from the Shipping Board on this legislation, and I assume we shall also want to give opportunity to these shipping and affiliated companies of the country to present their views. It may be, however, that there are those present now who would care to make a statement. Is there any one present at this time prepared to give us the benefit of their views on tħis proposal ?

Mr. Davis. Mr. Chairman, I have some written statements in behalf of the bill, addressed to the committee, which I desire to read; but they can be read after we hear any who are ready to be heard in person.

The CHAIRMAN. Yes.

1

Mr. Davis. There are two witnesses in particular whom I expected to be here this morning and whom I think will be here. One of them is the chairman of the Shipping Board who yesterday I asked if he would appear and make a statement in regard to the bill, and he said he would if we wanted him to do so; but I have just been informed ihat he is in an important meeting at present, but will try to get here before 12 o'clock. Also former Congressman Cleveland Newton, one of the officials representing the Mississippi Valley Association, is in the city, and we are expecting him here at any moment. Then I have a telegram from the secretary of that association. At the same time, I would like to have Mr. Newton himself make a personal statement when he arrives.

Mr. FREE. I was just going to suggest that suppose we go into executive session for a few moments and perhaps by that time your witnesses will be here.

Mr. DAVIS. Well, I see one outstanding American owner and operator of American vessels present, who I think is held in high esteem by all the members of this committee and, with the permission of the chairman and the other members of the committee, I am going to ask Mr. Herbermann, if he is willing, to express his views on this bill.

STATEMENT OF HENRY HERBERMANN, PRESIDENT EXPORT

STEAMSHIP CO.

mann.

The CHAIRMAN. Will you give your name to the reporter?

Mr. HERBERMANN. Henry Herbermann, president Export Steamship Co.

The CHAIRMAN. Operating between New York and Mediterranean ports?

Mr. HERBERMANN. Operating between New York and Mediterranean and Black Sea ports.

The CHAIRMAN. We will be very glad to hear you, Mr. Herber

Mr. HERBERMANN. I know of no man who can successfully serve two masters. I think it was the intent and purpose of this bill to help American ships. I had the pleasure of appearing before this committee in 1928, and I made statements that if we could get the aid we would operate American ships. We presently are operating 39 ships; we own 24 American ships and have chartered 15 others. At the time of my chartering American boats I could have chartered foreign boats at a much lower rate of charter money, but I felt that if we were going successfully to develop our merchant marine we should have American boats, so I hired American boats. The saving in the cost of hiring American boats and foreign boats is quite a difference, but we feel the money spent in hiring the American boats is well spent, because we keep so many foreign boats out of those particular territories in which we operate, and if our American steamship owners do not follow the same line, sooner or later the foreign steamship owners will get a foothold into the territories that we have already established. If that happens, our contest for supremacy in the carrying of our cargoes will be so much greater and, as long as I am president of the Export Steamship Co., they never will hire a foreign boat.

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