SOUTH VIETNAM

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP65B00383R000200170021-1
• Release Decision: RIFPUB
• Original Classification: K
• Document Page Count: 4
• Document Creation Date: December 15, 2016
• Document Release Date: September 24, 2003
• Sequence Number: 21
• Publication Date: October 7, 1963
• Content Type: OPEN

1963
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CONGRESSIONAL RECORD HOUSE 17935
later. He has since served on the board
of managers for Washington State Phar-
maceutical Association, and was an or-
ganizer of the Pierce County Pharma-
ceutical Association. He is located in
Tacoma.
PRESIDENT RESALL CLUBS INTERNATIONAL
Long recognized for his driving energy
and imagination, Art Boyle was fittingly
elected president of the International As-
sociation of Rexall Clubs for the Dia-
mond Jubilee . Year, 1963, succeeding
J. B. Mcq leb, of Savannah, Tenn. In
that capacity, he rules over Rexall Clubs
in 47 States and 7 foreign countries-up-
ward of 12,000 Rexall stores. Art has
been part of the Rexall family since
1919. The IARC was established 48 years
ago to provide a common meeting ground
for the exchange of ideas among Rexal-
lites and to help them further commu-
nity service through supplying health
needs to the public. Art Boyle, as presi-
dent, flies 100,000 miles a year through-
out the United States and Europe, de-
livering lectures.
FAMILY MAN-CIVIC LEADER
Art Boyle has been married to the
former Edith LeLoupe, of Buckley, for
33 years. They are the parents of four
sons-a trucking executive, two teaching
school, one in the Air Force. His outside
activities include Serra International,
Knights of Columbus, Mountain View
Sanitarium, and working with the Boys
Club.
ART BOYLE SPEAKS OUT
Excerpts from his speeches-on lon-
gevity:
In the time of ancient Rome, a new-born
child's life expectancy was only 22 years. To-
day It Is 70 years-and by the year 2150 it'll
be 150, This increase in life expectancy can
be credited to our medical research explosion.
Why, 7 of 10 prescriptions filled today were
not even available 10 years ago. The com-
bined efforts of doctors, pharmacists, nurses,
hospitals, university, and Industry research
scientists and drug manufacturers have
dramatically reduced children's deaths, ma-
ternity deaths, deaths from infectious dis-
eases, and polio deaths. We're living in a
fantastic era.
On drug costs:
For years drugs in the United States top
those of any other country in quality and
safety, yet-and get this-do you realize that
the typical American spends 25 cents of each
dollar he earns on food and tobacco, 25 cents
on housing, 10 cents on clothing and Jew-
elry-and only 1 cent of each dollar on
drugs?
On college scholarships:
As a product of the school of hard
knocks-where you go out and earn your own
education-I am dead set against giving
money for college scholarships. I'd rather
see a program devised whereby a student
could apply for a loan, using it to go to col-
lege, and paying it back after graduation and
he is earning money. In short, I'm against
free rides. I want the student to appreciate
his education and to earn it.
On Rexall self-identification:
The first rule of merchandising is to have
B good place to sell your merchandise. Now
that's your drug store. Let's stop and take
a look at it. Is it neat, clean, well-lighed,
lepartmentalized, with adequately arranged
displays? Mass displays at featured spots,
spacious isles? This is what your customers
see in competitive supermarkets-this is
what they want. This is what you'll have to
try to give them. Is your store identified as
a Rexall Store so that when the public reads
or listens to our ads they'll know where and
when to go to buy Rexall products? Year
after year you spend a lot of your own money
(and more of Rexall's) to advertise your
store, Rexall products, and sundries. All
this flows down the drain if you're not identi-
fled as a Rexall Store.
On salesmanship:
A successful salesman must be enthusi-
astic, intelligent, congenial, imbued with the
power of positive thinking-one that people
will drive miles to do business with. He is a
person who forms a habit of doing the things
other salesmen don't like to do. Remember
the three H's-happy, hobby, habit. Form
the habit of doing the hobby you are happy
to do. It pays off in sales.
On organization:
This is the age of organization trade
unions, fraternal orders, social clubs, kids'
programs-everything from the AFL-CIO to
the Blue Birds. All this adds up to only one
answer for today's independent druggist.
He'll either organize or be ostracized. Here
is my proof: on the avenue where I operate
my McKinley Hill store, less than 15 years
ago there were 34 independent businesses;
now there are only 4 still open. If the in-
dependent is to survive it must organize with
other independents or lose out to chain
giants.
Mr. Speaker, this ideal for Free Enter-
prise Day has been noted by 20 Gover-
nors of America. There are 13 who have
proclaimed a Free Enterprise Day in
their States. My record may not be
complete but from a good source I find
the following Governors who have issued
a special proclamation in which they
give endorsement to and encouragement
to free enterprise and Free Enterprise
Day: Frank G. Clement, Tennessee; Carl
E. Sanders, Georgia; Frank B. Morrison,
Nebraska; Bert Combs, Kentucky; J.
Millard Tawes, Maryland; John M. Dal-
ton, Missouri; Paul J. Fannin, Arizona;
Terry Sanford, North Carolina; Albert
D. Rosellini, Washington. I am sure
there are others. In fact I am sure that
every Governor in the States believes in
our free enterprise system.
I am glad to have this opportunity to
speak for, to aid and abet, and to other-
wise encourage the extension of every
freedom that we cherish as American and
especially the free enterprise system that
has done so much for so many people
here in our country and has given free-
dom-loving people everywhere so much
hope and encouragement.
(Mr. BELL (at the request of Mr.
SCHWENGEL) was granted permission to
extend his remarks at this point in the
RECORD and to include extraneous
matter.)
Mr. BELL. Mr. Speaker, our fore-
fathers left us a great legacy. Individual
initiative and self-reliance are qualities
which we, as Americans, have inherited.
Such traditions are much more than
mere abstractions-they are reflected
in every facet of our society. Free en-
terprise is a prime example-a system
of economic organization which best
captures the basic spirit of man. Every
living thing strives for freedom. Fore-
most within man's nature is his natural
disposition to remain free, to exercise
his free will. It is contrary to the na-
ture of man to subjugate himself to an
ironclad regimen, to totalitarian disci-
pline.
The great test of our time is the clash
and competition among ideologies. In
addition to being a political system com-
munism is an economic system-one
with which the leaders of the Commu-
nist world have threatened to bury us
through economic warfare. Our form
of economic organization-that of free
enterprise-is now on trial for its life.
Time and human experience have
given trial to many grand and not so
grand economic designs through the
ages. Another chapter in that competi-
tion is being written at this very moment.
Individual initiative and the profit
motive provide incentive lacking in the
sterile environment of an impersonal
state-owned and state-directed regime.
The vigor of the competitive free enter-
prise economy is self-generated, not the
product of artificial incentives from
without or fear of reprisal.
America has a free enterprise economy.
The productive energy of our great sys-
tem has given us a level of economic
and material prosperity never before at-
tained. The productive power and the
creative genius of the American adven-
ture into a free enterprise economy pro-
vides an example for other freedom-
loving people.
Today, within the Iron Curtain coun-
tries, the inevitable winds of discontent
and unrest are beginning to blow. As
prosperity and living conditions steadily
improve in these countries, independ-
ence awakens. This is not to claim that
these peoples necessarily want a govern-
ment or a life exactly like ours. How-
ever, there is no question that they are
beginning to realize the existence of
and yearn for the freedom which we
take as a fact of life. Even today there
are reassuring signs that the yoke of
tight control may be supplanted by a
larger measure of personal freedom-
because their governments have no
choice.
The American example of industrial
might and productivity has been realized
through the vigor of free competition.
Free enterprise is our blessing, and too
infrequently we give recognition to the
principles which have made this Nation
truly great. Formal recognition by the
establishment of a Free Enterprise Day
is, therefore, fitting and proper.
(Mr. DON H. CLAUSEN (at the re-
quest of Mr. SCHWENGEL) was granted
permission to extend his remarks at this
point in the RECORD and to include extra-
neous matter.)
Mr. DON H. CLAUSEN. Mr. Speaker,
I take particular pleasure in associating
myself today with the gentleman from
Iowa [Mr. SCHWENGEL] and the other
gentlemen commenting on private enter-
prise. It seems to me to be altogether
appropriate-perhaps even getting some-
what late-for the Members of this body
to lean back and look at freedom, indi-
vidual initiative and free enterprise with
studied perspective.
Are we keeping our freedoms-the
backbone of our Republic-intact? Or
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CONGRESSIONAL RECORD HOUSE October 7
are they being eroded? Do we have coin-
plete freedom 'except in areas where It
might do harm to others, or are we now
restricting freedom in areas where some
bureaucrat-perhaps erroneously-de-
cides it may be in the public Interest?
,Are we encouraging free enterprise by
word and deed, or are we stifling it by
more and more restrictive regulations
and by Injecting the government and
taxpayer dollars Into competition with
private business?
One of the first impacts Washington
has on a new Congressman is that our
government Is big. Big in interests, big
In costs, and big in plans and perform-
ance. For fhstance, If our national debt
reaches the'anticipated peak of $320 bil-
lion, as our fiscal planners estimate, it
will have increased $37 billion in 3
years-a frightening 1 billion a month
since January of 1961.
In June of this year, at the end of the
current fiscal year, the Federal Govern-
ment had $87 billion in appropriated but
unspent Federal funds, and it is asking
for almost a hundred billion more for
next year. And, the Government has
added almost 200,000 more employees.
These are accepted facts of life in
Washington, swallowed with satisfaction
or regurgitated In anger, depending
mostly on the political philosophy that
motivates the man who has to face the
facts in Congress.
They exist and there is no avoiding
them. They exist alongside the fact that
we have a finger In almost every Inter-
national pie on the globe, and we are
now reaching for the pie that is supposed
to be In the sky and on the moon.
They exist alongside the fact that we
are a growing nation-our cities have
been exploding-our population racing
toward the 200 million mark-spurred
on with considerable impetus, I might
add, by that remarkable mother in South
Dakota and her spectacular demonstra-
tion of fertility.
Perhaps as a newcomer In Washing-
ton I am fortunate. I have had an op-
portunity to look at many of these Fed-
eral functions with some detachment be-
cause they are a going concern and the
Question is not whether they are particu-
larly good or bad, but where they are
leading us as a nation.
Just 53 years ago we were a nation of
less than 100 million people. Many of
you will agree that you were little con-
cerned with Washington and that Wash-
ington was little concerned about you
and you got along all right. There was
little Federal regulation, little Federal
coercion and little Federal money trick-
ling down.
Today, as we near the 200 million mark
in population, Federal interest In our
affairs has not doubled as our popula-
tion, It has increased ten thousand fold.
Wl~y, as we grow more numerical,
must we grow more rigidly regulated in
our personal affairs? Why Is there a
numerical limit on our personal liberty-
and will It grow more rigid when we are
.300 or 500 million Anlericans? I do not
know, but I spend a good deal of my time
and thoughts on trying to find out, be-
cause It Is a fact that this grasp for
power Is Increasing.
`' in the entire session of the 87th Con-
gress the President made 88 requests
for Federal spending and 29 requests for
increased Executive powers. In the first
6 months of the current Congress-the
88th-the President has made 207 re-
quests for money and 70 requests for in-
creased Executive power. Herein lies the
underlying point of contention In the
debate recently on the tax bill. All of
us were for the tax cut and 155 of us
wanted a positive program of expendi-
ture control so we could afford the tax
cut.
I do not. I repeat. point to these facts
other than to state that they are facts
and we must be deeply aware of them.
I cannot condone their existence or her-
ald their virtues as some do. I simply
think it is time for all of us to examine
them in detail.
And when we have done this, we
should rededicate ourselves to the en-
couragement of our citizens to a pro-
gram of self-sufficiency and a lesser de-
pendence upon the superficial resources
of the Federal Government. As we ad-
vance toward a program of orderly
progress, It is more important than ever
that we abide by the basic concepts of
our competitive free enterprise system
and work to strengthen It in order to
meet the major economic competition
throughout the world.
All we need do is to pull the bit out of
the mouth of the private enterprise sys-
tem-by making Increased rewards for
initiative the accepted practice-and
our Nation will run with a free head out
of our present economic crisis.
Mr. DORN. Mr. Speaker, may I com-
mend the distinguished and able gentle-
man from Iowa IMr. SCSWENG?zl for his
great tribute to our free enterprise sys-
tem. The free enterprise system is the
very foundation stone of the American
way of life. It fosters private property,
initiative, independence, and Individual
rights. The American free enterprise
system carved out of the most undevel-
oped continent in the world the most
highly developed and productive civiliza-
tion in all history, The free enterprise
system in the United States made of us
the arsenal of democracy in war and
since the war we have furnished the
whole world with much of Its food and
fiber.
Yes, Mr. Speaker, It was simply the
profit motive, the capitalistic system that
gave to this Nation the highest wages
and best working conditions In the his-
tory of the world. Our working men and
women have over half of the world's
automobiles, over half of the world's
radios and television sets, washing ma-
chines, and so forth. We have the best
medicare, best hospitalization programs,
and best library system, finest roads,
telephones, and railroad system on the
face of the earth. We have more
churches than the rest of the world
combined.
This is the story we need to tell the
world. Africa, South America, and Asia
need this dynamic, progressive, economic
philosophy to get their own economy
moving.
GENERAL LEAVE TO EXTEND
REMARKS
Mr. SCHWENGEL. Mr. Speaker, I
ask unanimous consent that any Mem-
bers who desire to do so may have 5
legislative days in which to extend their
remarks In the RECORD on the subject
I have just discussed.
The SPEAKER pro tempore. Is there
objection to the request of the gentle-
man from Iowa?
There was no objection.
V
SOUTH VIETNAM
The SPEAKER pro tempore. nder
previous order of the House, the gentle-
man from Massachusetts [Mr. CONTE] is
recognized for 15 minutes.
Mr. CONTE. Mr. Speaker, I throw
up my hands in despair over the recent
events in the unfortunate country of
South Vietnam. The unresolved issues
in that strategic nation amount to in-
creasing concern for all of the free na-
tions In the world face to face with the
Increasing Communist designs In the
area.
With millions of Americans, I am dis-
turbed with the worldwide wanderings of
the would-be first lady of the land, the
sister of President Diem, Madame Nhu.
This charming lady, Mr. Speaker, is
one of the potentially dangerous politi-
cal figures in the world today.
What is tragic is that with all of our
problems with enemies she has managed
to become one of the greatest. At the
same time, the country for which un-
fortunately she has become the spokes-
man has been the beneficiary of great
amounts of economic and military aid.
What has she done to thank us? She
has Insulted the President of the United
States, the presence of U.S. military
troops and almost everybody else under
the rising and setting sun.
She has become a thorn in the fight
for democracy around the world and we
are beginning to treat her as a world
figure of importance, which is precisely
what she wants. No one in recent his-
tory has captured the imagination of the
press in various parts of the world to
the extent that this shrew has.
What I want to know, Mr. Speaker, is
this :
How long is the United States going to
tolerate this woman?
We seemed to have reached the des-
peration point and the madame's own
family-at least her distinguished
father-has given up on her.
Are we going to keep pouring economic
aid into this nation without assurances
that they want to join us in the common
fight?
Are we certain that the money we are
giving to South Vietnam is not paying for
expensive hairdos in Rome and Paris?
She has also been pictured in the most
expensive stores of the Western World,
some of the same stores that have broke
other national leaders.
And even more basic, Mr. Speaker, I
would like to ask how much of a hypo-
crite can a human being become? Those
of us who have traveled to southeast Asia
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19133 CONGRESSIONAL RECORD,-, MOUSE 17937
and other parts of the world have been completely misapprehends its function What about the small independent
moved deeply by the continuing fight for or that it is determined to arrogate unto businessmen who are not affiliated with
bread that goes on; and by the general itself powers not contemplated by Con- the NAM or the U.S. Chamber of Com-
overall poverty that sickens. the human gress. merce? And who, at such a secret meet-
personality. How can Madame Nhu con-
-L am reliably informed that during the ing, speaks for the public?
tinue to travel first class around the last 3 months the Board and its agents What about the nearly 50 milli
world and continue to criticize others?
Why is she not home helping the needy
of South Vietnam? She is a false pre-
tender to a throne and a situation that
is out of hand. It would be far better for
her to cease immediately her wild spend-
ing binges and go back to the good earth
where mililons of her subjects are dying
of poverty.
. As a supporter of foreign aid programs,
I am going to insist on answers to these
questions. 'We cannot be engaged in a
struggle which has already cost countless
American lives and be insulted daily by
one woman.
I know that the distinguished Ambas-
sador, Henry Cabot Lodge, Jr., will do
everything in his power to meet this situ-
ation in the most diplomatic manner and
that he too has suggested the close watch
on our economic aid during discussions in
that country.
I simply want to say that as one who
has been in the struggle to extend and
improve our foreign aid program I am
going to have a chance of heart in rela-
tion to economic grants to Vietnam until
I can be a$sured that the American tax-
payers' money is not being washed down
the drain through the spending whims.of
one little woman whose country may very
of world communism. ' v V Mr. Speaker, these were not public ers are forced to recognize the picketing
meetings. They were private meetings AFL-CIO unions, and thereby deprive
NATIONAL LABOR RELATIONS
. BOARD
The SPEAKER pro tempore. Under
previous order of the House, the gentle-
man from Michigan [Mr. GRIFFIN] is
recognized for 15 minutes.
Mr. GRIFFIN, Mr. Speaker, from
time to time since the passage of the
Landrum-Grifnn Act in 1959, I have
called attention to some of the more dis-
turbing aspects of the performance of
the National Labor Relations Board in
its administration of those portions. of
the law for which it is responsible.
In purporting to carry out the intent
of Congress, the performance of the
NLRB has ranged from the dubious to
the ridiculous. So sorry has been its
record that only recently my distin-
guished colleague, the gentleman from
Gl+.orgia [Mr. LANDRUM], saw fit to intro-
duce a bill to divest the NLRB of all
jurisdiction in unfair labor practice cases
and to repose that responsibility in the
courts of the land. When one contem-
plates the shattering impact which re-
cent NLRB decisions have had in almost
every aspect of industrial relations, it is
small wonder that the introduction of
Mr. LANDRUM's bill has been enthusias-
tically hailed in all parts of the country.
Mr. Speaker, I rise now to focus the
attention of my colleagues on a recent
course of conduct on the part. of the
NLRB and its agents which raises new
doubts about this Board and its capacity
to function as a quasi-judicial body.
The activity which I am about to reveal
indicates either that the present Board
ings with officials of certain AFL-CIO to labor organizations? vWho speaks for
unions. In these meetings, which were their rights in such secret meetings?
held at various points throughout the What about those workers who choose
country, participants discussed what to belong to independent or other unions
they like and.do not like about current not affiliated with the AFL-CIO?
Board policies., - Within recent weeks, the Board's bias
I . am informed that these meetings in favor of big league AFL-CIO unions
were arranged at the behest of the In- and against smaller, independent unions
dustrial Union Department of the AFL- has become increasingly apparent.
CIO, and were attended for the most part For example, last month, an September
by regional union officials principally 12, the Board dealt a severe blow to an
concerned with organizational activities. independent union while it continued on
I understand that the agenda of the its way toward complete repeal of sec
meetings was concerned primarily with tion 8 (b) (7) of the Landrum-Griffin Act,
procedures, policies, rules and decisions adopted by Congress to control black-
of the Board in election cases as well as mail picketing. In Alton-Wood River
with proposals and recommendations ad- Bldg. Trades Council-144 NLRB No:
vanced by the participating union of- 59-the Board reversed its own trial ex-
ficials. aminer and held that certain picketing
Seven meetings devoted to such an and boycott activities by AFL-CIO unions
agenda were conducted on a regional in Jerseyville, Ill., were legal and did
basis by NLRB personnel in the follow- not violate section 8(b) (7). The em-
ing cites: Atlanta, Baltimore, Boston, ployees affected in that case were already
Chicago, Houston, Los Angeles and Phil- organized and lawfully represented by
adelphia. This series of regional meet- Local 50 of the Congress of Independent
ings then culminated in a final meeting Unions. However, despite the clear re-
in Washington, D.C., which was attended strictions in the Landrum-Griffin law
by the members of the NLRB as well as against picketing in such situations, the
There was no public announcement that the employees of their preference for a
such meetings were to be held. I under- union which does not happen to be affili-
recent c a
stand that they were not formal meet- In another at In with the
ings. Instead, they were conducted in recent ase, o bargaining
camera on an "off the record" basis. It Corp., contract of California, Aerjet General be fair to assume, I am sure, that atiotio, and the Interna-
would AFL
all Government employees who attended tional Association of Machinists, FLt
AFL-
meetings away from their home stations CIO, had expired and an independent
did so at Government expense. union-the United Missile and Aerospace
In order to keep the record straight, I Technicians-filed evidence of sufficient
employee support
want to make it clear that just recently ti Shortly and p thereafter, fter,d the Ifor M
the NLRB has also addressed a letter to and the the election.
company entered into new
certain business organizations, particu- a new
contract. After sitting on the case for
larly the National Association of Manu- 8 months-hopeful perhaps that the in-
facturers and the U.S. Chamber of Com- dependent union would lose its impe-
merce, inviting them to participate in tus-the Board, in precedent shattering
conferences at the national level to dis- decision, overruled its own regional di
cuss with them, presumably on a similar rector and refused to hold an election.
basis, a list of topics ranging from sub- This means that the employees there are
contracting to free speech-a subject locked into the AFL-CIO union-at least
about which the current Board seems to until the contract expires again, and are
know very little. thereby deprived of any semblance of
It is my impression that the meetings free choice as to who shall represent
now scheduled with certain national them-see Aerojet-General Corp, 144
business organizations are something of NLRB No. 42, issue September 3, 1963.
an after thought called in a belated ef- These very recent cases should serve
fort to impart an aura of fairness and to illustrate and emphasize that there
equal treatment. However, so far as I are others in the ranks of labor besides
am concerned, if meetings with a se- the AFL-CIO who have important rights
lected few business organizations are at stake when the NLRB holds secret
conducted on a similar basis, they will be meetings. And it is time that someone
grossly improper and subject in every re- should speak up in their behalf.
spect to the same criticism which I have Mr. Speaker, the National Labor Rela-
leveled at the private meetings already tions Board is an administrative tribunal
held with selected union officials. with judicial functions. The Board was
In the very nature of things-basic created by Congress to hear and decide
improprieties aside-it would be impos- cases by applying the laws as written and
sible for the Board, through such pro- intended by Congress.
cedures, to accord fair and impartial Under any circumstances, it would be
treatment to all affected parties. somewhat irregular for q judicial body
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CONGRESSIONAL RECORD - HOUSE
to call in organized pressure groups for
advice and guidance as to the adminis-
tration and interpretation of laws passed
by Congress. But, surely if the Board
feels the need for such assistance then,
at the very least, such meetings should be
public, they notice should be should give public
n in advance, and
all arguments or recommendations
should be made on the record.
No arm of government with judicial
functions should encourage or partici-
pate in-much less schedule and direct-
private off-the-record meetings with any
special interest group over whose activi-
ties it is required to pass judgment.
I submit that this new approach by
the Board to the administration of justice
is ti far cry from the fundamental con-
cept that each person is entitled to equal
treatment and consideration under the
law. Inevitably, such activities on the
part of the Board lead to criticism and
charges of favoritism which can only
serve to undermine the peoples' confi-
dence in their government.
It would be my suggestion, Mr.
Speaker, that the NLRB issue a cease
and desist order directed at itself and its
agents and put an end to this type of
activity.
(Mr. MULTER (at the request of Mr.
BURKHALTER) was granted permission to
extend his remarks at this point in the
RECORD and to include extraneous mat-
ter.)
[Mr. MULTER'S remarks will appear
hereafter in the Appendix" .1
October 7
loss continues, conceivably we could run a large part of our steel exports are sub-
out of gold sometime in late 1965. sidized through foreign aid and defense
In this climate a study by the Joint support.
Economic Committee characterized the it costs less to send a Rolls Royce from
activity of the Federal Maritime Commis- England to the United States than it
sion as "inadequate, shocking, disgrace- does to send a Chevrolet from the United
ful, and giving every indication that the States to England.
Commission has been grossly negligent The cost of shipping a bicycle is as
and gravely derelict in their duty to pro- much as three times from the United
tect American industry, the public inter- States to Europe as from Europe to the
est, and the U.S. national Interest." United States.. Cotton goods cost al-
Specifically, the reason for the intro- most twice as much to ship from the
duction of this legislation is the fact that United States to Europe as from Europe
ocean freight rates established by inter- to the United States. In the case of
national shipping conferences are often shipments to Japan, a study of selected
from ports in the United States to North conference rates shows that the cost of
Atlantic European ports, and from our shipments of angles, beams, and steel
Pacific coast ports to Japanese ports, girders is $31.10 from the United States
much higher on American exports than to Japanese ports and inbound to the
on American imports. United States only $15;50. Bolts and
One of the major contributing factors nuts cost $33.25 to export and $25.25 to
to our unfavorable balance of trade is import. Barbed wire costs $36.60 to ex-
the higher conference rates for exports. port and $18.75 to import or about half
Steel exported from the United States is of the export charge. Machine tools
an outstanding example. The Joint cost $76.50 to export and $45.50 to im-
Economic Committee found that the port into the United States.
rates on beams, angles, and girders in Trucks shipped to Japan unboxed cost
March 1962 were $28.50 per ton on U.S. $50.75 and inbound to the United States
exports, but only $19.75 on U.S. imports. only $23, a differential favoring the
On bolts the rates were $31.25 per ton on Japanese import over the U.S. export by
exports, but were only $24 on imports, 2 to 1. This discriminatory treatment
for a difference against the American ex- of American industry and the American
porter of $7.25 per ton. Conference worker contributes heavily to our grave
roblem
.
ments
p
f
p
y
-
a
ance-o
l
s were ba
in
d f
r
g
g
o
on castings an
rates
$44.25 on exports, but $29.25 on imports, For this reason I am asking for hear-
a difference of $15. The difference of ings at the earliest possible date on my
rates on screws was $22, or 90 percent loegis~ei inttto oforce equity a d f iir play
higher on exports than on imports.
In a table published by the Joint Eco- ences-the steamship cartels of the
nomic Committee, on steel generally for world. For protection of the United
three major trade routes one finds that States, its workers, and industry we must
ingots, blooms, billots, and slabs rates force a small measure of protection for
on exports were 86 percent higher than the American dollar which is so much
on imports; on wire rods, 71 percent; on Jeopardized bythiistkind of outrageous
structural shapes and pilings, 69 percent;
on rails and accessories, 91 percent; on The following table sets forth a series
nails, 34 percent; on pipe and tubing, of rates sanctioned by the Federal out
45 percent; and on barbed wire, 37 per- Maritime c Commission regard which are so of
cent.
For 1962 our exports of steel were only imports and exports as to demand vigor-
2.1 million tons and imports were 4.3 ous action by the Congress because of
million tons. It is fair to point out that the failure of the Maritime Commission:
TAn1.E 1. Comparison of conference ocean freight rates effective March 1962 on iron and
steel products for S U.S. foreign trade routes
AMENDMENT TO SHIPPING ACT OF
1916
(Mr. DINGELL (at the request of Mr.
BURKHALTER) was granted permission to
extend his remarks at this point in the
RECORD and to include extraneous
matter.)
Mr. DINGELL. Mr. Speaker, I have
today introduced legislation amending
the Shipping Act of 1916 to require that
the Federal Maritime Commission exer-
cise to the fullest its authority to disap-
prove any rate or charge of any common
carrier by water in foreign commerce,
and of any conference of such carriers,
which is detrimental to the commerce
of the United States. ,
My amendment would make the va-
lidity of the rate depend on whether or
not the rate is detrimental to the foreign
commerce of the United States. Failure
of the Maritime commission to require
that rates on our exports are competitive
with our imports requires this legislation.
We are faced with a problem of sub-
stantial gold outflow, and a significant
and continuing deficit in the imbalance
of payments of the United States.
In 1949 the U.S. gold stock was $241.2
billion. That figure is down now to $1512
billion and still falling-$12 billion of
this remaining $1512 billion stock is
frozen by the 1945 amendment to the
Federal Reserve Act of 1914, so that re-
maining to meet our dollar commitments
around the world are only $3' billion.
At this moment we owe the outside
world in excess of $25 billion, callable on
demand of relatively short notice, in
gold. We have lost $395 million of gold
so far this year. If our present rate of
[Amounts in dollars]
North Atlantic
S
U
U.S. gulf ports and
U.S. Pacific ports
.
.
ports and West
North Atlantic
and Japan 3
Germany 4
French ports 3
ht
Frei
Freight
Freight
Freight
Freight
Freight
g
rate on
rate on
rate on
rate on
rate on
rate oft
S
U
U
S
U.S.
U.S.
U.S.
U.S.
.
.
exports
.
.
imports
exports
Imports
exports
imports
girders (structural,)...
beams
l
31.25
19.751
28 50
:
17.00
50
28.10
15.50
,
es,
Ang
Bolts...-------- ---------------------
31.25
26
44
24: OD
20
25
28
50
40.25
20.
34.00
(4)
Castings and forging,------------------
.
4
.
(
13.25
17.00
30.35
15.50
liiflrts and blooms ---------------------
(
)
75
36
75
19
83.50
17.00
28
6
Itails-----------------------------
ltods, wire, plain ----------------------
.
29.60
00
46
.
18.26
90
24
.25
(1)
15.50
4
Screws---------------------------------
.
.
t
30.35
21.00
Piffys iron and steel, 6.inchcs in diamoter.
50
(28
23.00
28.50
19.00
(4)
4
KUe, barbed. -- -----------------------
reinforcing up to 40 feet---
liars
.
(4
19.75
4
4
28.10
33.60
21.00
,
oil well casings-----------------------
(4
4
(
4
4
(
1
28.10
t
shapes, plain, not fabricated---..--..-.
................
R d
(4)
(4)
(4)
4)
ll
28.26
15.50
s..................
o
I North Atlantic Continental Freight Conference tariffs.
I Gulf-French Atlantic Hamburg a c Conference-Condnental-U.S.A. Gulf Westbound Conference.
I Pacific Westbound Conference and 7Yans 1 acitFC Freight Conference of Jappan.
4 Freight rate Is either not available or the commodities are Included in another class.
4 Not available.
N4rrz.-Freight on exports on ton basis, 2,240 pounds; freight on imports on ton bads, 1,000 kilos' 2,204.6 pounds
(except Japan when import freight Is on the long ton basis, 2,240 pounds).
Source: U.S. Federal Maritime Commission, Division of Foreign Tariffs.
Approved For Release 2003/10/10 : CIA-RDP65B00383R000200170021-1