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We sailed from Yokohama on
the steamer "Mongolia," March 14, 1912. and had many enjoyable addresses
and lectures which were instructive as well. Bishop Bashford, of the
Methodist Episcopal Church, gave us a very line lecture on the effects
of the revolution in China. His diocese is all of China, and he travels
all over, so he has a very comprehensive knowledge of the country and is
absolutely unbiased and fair.
On the 21st of March, at
the request of the passengers, I gave an address on the "Probable
Effects of the Panama Canal on the World's Commerce," which follows:
The Panama Canal and our
merchant marine are so closely linked that it will be necessary to speak
of the latter first. In 1862 we had the largest and far the best lot of
ships of any nation. At that time we had 2,496,900 tons engaged in the
foreign trade alone. According to the latest reports we now have less
than fiv e hundred thousand tons engaged in foreign commerce. The
Commissioner of Navigation states in his last annual report that the
entire tonnage registered for foreign trade was only 585,730; included
in this are the Hawaiian sugar fleet and Yukon River steamers; and.
strange to say, there are over one million eight hundred thousand tons
of shipping owned by American citizens, which, by our unreasonable laws,
are now compelled to run under foreign flags and register.
By our treaty with Great
Britain they claim that all American vessels passing through the Canal
must pay tolls; we claim this never was the intention, as foreign
nations can have no interest in our coastwise trade as no foreign ship
can carry cargoes from one American port to another. Therefore, the
passing of American ships free through the Canal, that is ships engaged
wholly in coastwise trade, does not interest or in any way affect
vessels belonging to a foreign country. It is quite fight, however, that
American ships engaged in the foreign trade and in competition with
foreign ships should all pay the same tolls.
Section 6, of the River
and Harbor Bill of 1884, distinctly states that no United States vessel
shall pay any tolls for passing through any canal or lock, now
constructed, or that may hereafter be constructed. This relates more
particularly to coastwise trade. Primarily, the Canal was constructed
for national defense and for interstate commerce, and, inasmuch as we
have no vessels to use in the foreign trade, it follows that this is of
secondary importance as far as the American nation is concerned. While
those views are national, they are narrow. But looking at it from the
broad viewpoint of the world's commerce, and as such as a world-wide
benefactor, we must treat all nations fairly and liberally. As for
taking money out of the public treasury and paying shipowners who use
the canal as a subsidy, we certainly have a perfect right. Vessels
passing through the Suez Canal receive a subsidy from the following
countries - Russia. Austria. Italy, Sweden, Japan, and others n a lesser
extent.
As to the influence that
the Canal will have on the world's commerce. First, domestic and
coastwise trade. This is sure to be very great as a big trade is going
on now, even handicapped as it is by trans-shipment and railroad haul
across the Isthmus of Panama. I do not think it an extravagant estimate
to say that there will be four times as much traffic as there is now.
The Commissioner of
Navigation complained, and justly, that Americans, except the
American-Hawaiian Company, are making no plans to enter this business by
building ships, but that foreign nations are making great preparations
to start lines of steamers from Europe to the west coast of the United
States. There is sure to be big immigration from Europe, as the rate to
San Francisco will not be much more from Europe than the present fare to
New York. Several large steamers are being built for this service, but
what trade will go through the Canal, other than to and from the United
States, it is difficult to predict. The rate of tolls and the saving of
distance will be the controlling factors. Congress should have removed
the uncertainty of charges before now. That the competition of the Suez
Canal must be met is a foregone conclusion They have been preparing for
it, as twice during the last two years the tolls have been reduced. The
tolls are now $1.30. The shortest distance will determine to a great
extent the route steamers will take. The saving of distance from Manila
to New York via the Panama Canal is four hundred and seventeen miles,
Hong Kong to New York five hundred and ninety-seven; but from the Orient
to Liverpool the distance is much in favor of Suez
So it can be expected, if
the tolls are the same from Hong Kong and Manila to North America,
freight would move by way of Panama. But, as the passenger steamers have
all their connections, ports of call and coaling ports, via Suez, it;
can be expected they will continue running that way. On the other hand,
everything for the Orient from Europe would continue to go that way,
saving four thousand miles. So it looks as though the American
Government is to be the greatest beneficiary of this, the greatest
engineering feat of the world.
The benefit that the
United States will get out of it will be very great, and justly so, as
they furnished all the money to build it. First, as a means of national
defense, and thereby doubling the capacity of our navy. Second, it will
bring the products of the field, orchard and forest of the Pacific Coast
within easy reach and by cheap freight to the people of the Eastern
States. Then t will reduce the cost of the manufactured articles from
the Eastern States to the people of the Pacific Coast. All this trade
exists in a small way at present, and we can confidently expect it to
increase very quickly. Third, a great increase will come from the
Orient. Japanese trade is sure to increase; the Philippine trade should
double the third year after the Canal is opened; but the greatest
increase will come from New China, when then four hundred millions of
people get properly in order— this increase will be as radical as the
throwing off of the Manchu yoke and the establishing of a Republic.
But to take advantage of
our opportunity our merchants must go after the trade, and we must have
ships. What a sad commentary on our Congress to say that they built a
canal costing four hundred millions of dollars, and by their laws
prohibited American citizens from building ships to use it in the
foreign trade. We talk of awakening China but now we must change that
and try to awaken Congress to the great prospect ahead of us.
To show that the efforts
1 have made for increasing the friendship and commerce between China and
the United States have been successful and appreciated, on two different
occasions I have been decorated by the Chinese Government
We arrived in San
Francisco March 30, after a most enjoyable trip, and after a short stay,
I made a trip to Grand Rapids, Detroit and New York, returning by way of
Seattle. |
