FREE TRADE VS.' PROTECTIONIST' VIEWS SEEN BRINGING VIOLENT CONGRESSIONAL BATTL.E

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP70-00058R000100090088-5
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 2
• Document Creation Date: November 16, 2016
• Document Release Date: August 10, 1998
• Sequence Number: 88
• Publication Date: January 17, 1954
• Content Type: NSPR

Approtint FEIMPlita5q9ii99010431.4NEWETIRME9-009,5.8R 00100090088-5
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Date: JAN 17 195t
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re6i-9n,taffigance, -9nc.
wasrumorron t. D. c.
NEW BEDFORD (Mass.)
STANDARD-TIMES
CPYRGHT
Free Trade vs. 'Protectionist' Views Se
ringing Violent Con gressi
, By DON LARRABEE
Standard-Times Washington Writer
VeiSHINGTON tra Within ?La. .,cecning Ocilin
-Seenes battle Over free trade may' erupt into full-scale warfai
apable of splitting the Republican Administration down the nu
Ie. The fight looming in Congress over the tariff issue, if presci t
dications are correct, will be
9,14H,Battie
????????.141.1.? ..????????
CPYRGHT
r lutiorect leaders Haim \ merieart
ip
msine.ss, labor. I arm awl in') \ w
e irganizations. Pis president
Tharles P. Ta ft. 1:incinniiI i I awye r
mr1 brother of the late Senator
'3.obert A. Taft.
,
. Its list of officer., and bom-0
ore an attempted "holding" ac-
ion on the part of the President
nd those around him who favor
xpended world trade. It now
ppears unlikely there will be
fly liberalizing of existing
rade barriers.
The match that will touch off
he tariff powderkeg is a forth-
oming report by President
Eisenhower's Commission on
roreign Economic Policy, head:
ed by Clarence B. Randall, the
Inland Steel Board chairman.
The 17-man group expects to
.bave its report in the President's
''hands by next weekend.
'Escape Clause' Kept
Can Hold Own
The latter group says tarif
Were originally established t
encourage the development
Industries in the United State
Ind their main supports over th
trews, wits from the larger i
tries. But, with the develo
t of man production and it
r production costs, th
industries are now able t
Seer own without such pr
, even with lower wag
Virg? I'D", R 'is argued, are no
ItuCteetttin of secondary in
smiler business an
Sarrieulture. The comrnu .itirsecretary Weeks put it thi. r.
Ceetainly, a unanimous cum- VII= oepene-tnioft trcese c nter way last week, "I think person-s'
mission report favoring lower jorises for employment et corn joy that, so far as America .is
tariffs will get a cool reception in ,oass scores of congressiona dis- concerned, our industries can
Congress. A tentative draft of itricts and individual Con zress prosper on the basis of tough but 11
the Randall report, circulating Members respond Prot-11P" i t? fair competitioo in world trade.
among members last week pro- the fears ? and the plight ? of provided, in considering tariff st
posed an extension of a liberal- local businesses. legislation, we take account in r
fzed trade program for at least) The Eisenhower Admit) stra- some fair degree of wage differ- `;1
10 years. Jt retained the two tion is pledged to an expat sion entials after first making due al-t(
,most im ertant "protective'. fea- ,of world trade. It is awa Clog lowance 1 o r relative produc- fr
tures o existing law?the so- -the Randall Report, howevei.. to tivity."
called "peril point" and "escape ranslate this principle into con Actually, so-called "protection- s
cieuse" provision under2"which crete policy. Aware of th c na- 1st" Republicans, like Representa- a
domestic industries now seek re- tural. "protectionist" altitud of tive Simpson, find themselves in 11
lie throuth the Tariff Commis- Congress, it is doubtful the Ad- coffiplete agreement with Mr. Ii
Sion. tmmnistration will ask Crin Leteg Weeks. Simpson said recently
for more than the Randal g.oun that "big business and financial la
proposes and certainly may not eaders" who advocate unrestrict .
adopt all its recommendatic ns, d foreign imports "are not taking
Hardly Satisfy nto consideration the difference Ti
CLARENCE, B. RANI),111,
lembers include, ofTicials Of
iorne of the nation s tria)or
pronnals include
recommendation thin the Prrisi-
inegnttrhaed:;kiitgl irnercifiliii:ri; :to caxi cf.x3:(
du
t rICM' ones tu, an as -w-ed
titration of h
-.'oleman group
ill fy our pre:--rt !'cM1.1(1!,
tld WO 11 at(' *J7('
-BOY
eels that trade '-a
017111 of concealed
that they tend to be a Tere.:arei,t
On the other i ii the ;Fail-
le/It Staltrk
nmyn
!litter of Vzricub iie
rid Labor on l'.."spur,
-y." Headed (i. It lr;icl
em. is an expanded elf ,noc0 of
le National Lahor .%irmagenient
Council on r'oreimi Trade Pii!
icy. It is this group 1,, 'rich ic--13]
died the plea Of ",:e\i' !MEI;
nd fishing iuda,try fur trill
lief before the Tatiq Cornmis-
m.
Funds -Lacked
Strackbein claimed he
Ye the funds 10 fi7ht the Coie?
n group, but la-,t Ocitr)her he
cceeded in oinfyitig a group
presentative 01 0 ii m r ll
all industries and agriictiiiie
'ight against any proposab, cc
C trade and furti-ier soh' Inc
1 rethi(t imis in Tlierc
evidmice thio
tracted the atientie0 10 some
IJor
not been liou I ul of foreign
opetition. These Vim)
to C,Themical,
qric and
But, reportedly, it also pro-
posed to give the President pow-
er to reduce tariffs as much as 15
percent beltfw Present limits,
Not all members were said to Word that has leaked from the
be happy with the "liberalized" closed-door 'sessions of the (oni-
program and an opposition "mi- mission indicates the chair nan
Pnority" report is 'frankly expect- is trying desperately for a ii lan-
e& At a closed meeting on Mon- imous report, but won't tole-ate
day, sharp revisions were under- a watered-down document for
ntgiod to have been made in the unanimity's sake. Thus, tl ere
final draft as it will go to the may well be a minority resort
White House. drawn by some Republican in?in-
An interesting sidelight on the bers of Congress also serving on
modern-day trade-tariff issue is the commission, such as ROVE.-
the position in which socalled
"big business" finds itself. 'Big
business was accused in the past
Of , being the archproteetionist,
the high tariff advocate. Today,
Industries and organizations op-
posed to free trade contend it is
e'big business" that is behind the
campaign to lower trade barriers
In order to maintain the mass-
production market provided by
America's foreign aid program.
sentative Daniel Reed of IN en.'
York and Richard Simpson of
Pennsylvania. This would le ivy
matters where they now st; nd
and could hardly satisfy cit Ter t
element.
Commerce Secretary Sinc'air t
Weeks said he believes strop 1,1y
in "profitable and equitable two-
way world trade," but he lias
also said he is unwilling to lit VP
American industry compete at
the expense of the standard of
living of American labor.
O wage costs and living costs he- a
ween the United States and rim E'
ountries which are competing'
ith us." 'F
Simpson was one of the leaders h
the 1953 battle to enlarge the j )0
ariff Commission and make its , ir
ecommendations mandatory. In ,( h
e end, with the promise of the St
andall study, the Administration it
on a one-year extension of virtu- ;; s
Ily the same reciprocal trade _I til
greements program. 10
ii
Exerting Pressure 'la
Outside the Government itself, 4:7
o powerful groups are exerting
emendous pressure on both
e executive and legislative
anches. The one group, headed
John S. Coleman, president oft
rroughs. Corporation, calls it-
'If the "Committee for a -Na-
anal Trade Policy." Favoring an
pansion of international trade,,
boasts membership of sever)1
trio' Conl-
tICC" Ii 1)01\ widey
IttiOlkN as "Tariff
ctr," which a,..,ert,that Ito'
leman group and -free ti'ad
" generally completely
. plight of an estimated 5.1100.
workers whose jobs are ic?k,i)
ized by any new. flood 0!
aply-produced foreign goods
ackbein purports to speak Cot
is diverse American industrici
oat, lead and zinc mining, tex
production, cattle grazing
tery making, fruit and vege
le growing, bicycle and motor
le manufacturing.
his group appears already ti
e the three Republican 111N11
S of the Tariff Commission o
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CPYRGHT
frO
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CPYRGHT
its Hde. 1310, although the recoii.
si ructed commission has been
id up recommendations to the
White House for import relief,
the President has almost consist-
ently rejected the commission's
' report or sent it back for further
' study. This has annoyed mem-
hers of the Strackbein group and
protectionists in Congress who
feel the President's practice
lends strength to theic_ demands
for returning the writing of trade4ose who have appeared are taking jobs away from Amer--
policy to Congress where theyseretar'Y Of State 'Dulles-, cans. These are the voices more;
,say it rightfully belongs. under!tral Intelli
the Constitution. - e.,-?ciireear,? 1,Icit, apt to be heard by Congress and
u Op oreign Operations Ad-the Eisenhower Administration inions Asked thhiHarold Stassen, De-imay be fortunate to secure an
A spokesman for the Randall'
Ifense Secretary Wilson and a fewl extension of the existing trade
Commission said about 1,350 cot:,
key figures in former Adminis-;program.
porations and trade associations -
were invited to express opinions trar,tions.
1 he commission spokesman
number, 500 or 600 replies have said Chairman 'Randall, since his;
been received "displaying aptre-.appointment, has "taken pains tol
rnemious variation of response." maintain his impartiality" and
v ,hades of op,mun have has issued almost no statements
bee,. represented. but. II ic oil. the Commission s o r k.
rhe Strackbein group, how-
understood, the most concerted cvcr, adopted a resolution calling,
et-Torts to plead their ease ha' e r Randall's removal on the
hcen made by the industries who
ld be damaged grounds that he has shown preju;
feel they wou by
a lowering of barriers. dice and bias in favor of competi-
.
'Many replies have come from tive f?reigil products'
New England textile industry Book Cited
groups and the domestic fishing During the discussion of this
industry No running score ' resolution, several reference
has been kept, the spokesman were made to a recent book:
,aid. because the replies Con- "Freedom's Faith" in which, the
limn, to arrive in large quantity, Strackhein group said, Mr. Itan.
Since the commission 'was es (fall "definitely aligned himself
tahlished in October, a long list with those who favor an increasei
of ton Government leaden's, rep- of foreign competitive imports."[
re,,eming many agencies and While more and more business-
departments have gi yen testi- men have come to favor in-'
nony in off-the-record meetings creased world trade in recent
oh Handal]. The chairman years, loud cries are still being
sHa,,silied" all these conferences beard that foreign-made prod-
"" ,,ecurit.Y . reasons.. Among nets are flooding America and
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