These firms export approximately $25 million annually in manufactured and processed goods to all parts of the world. Last year the chamber of commerce validated certificates of origin to 109 foreign countries: The importance of foreign trade to Cedar Rapids is emphasized by the positive steps taken by its civil and business leaders to encourage and develop overseas trade. In 1947 they organized and set up a foreign trade bureau within the framework of the chamber of commerce. This bureau is unique in Iowa in that it is the only one of its kind. It assists Cedar Rapids firms with their export problems, sponsors monthly foreign trade dinner meetings, validates certificates of origin and promotes better understanding of the importance of foreign trade in our national and local economic life. 27629-58-pt. 1-51 RESIDENT MEMBERS, FOREIGN TRADE BUREAU OF THE CEDAR RAPIDS CHAMBER OF COMMERCE INDUSTRIAL Allis Chalmers Manufacturing, 2920 First Avenue NE.: John Eggert, Clifford Parmatier Amana Refrigeration Co., Amana, Iowa: Walter Wendler Barnard & Leas Manufacturing Co., 1234 12th Street SW.: George Smith Cargill, Inc., 1010 10th Avenue SW.: N. D. Bendickson Cedar Rapids Engineering, 902 17th Street NE.: Duane Plattner, George Irwin Cherry Burrell Corp., 2400 6th Street SW.: V. V. Bartlett Collins Radio Co., 855 35th Street NE.: T. A. Parks, R. R. Schenken Divine Engineering Co., Highway 218 SW.: Howard E. Divine Gordon Fennell Co., 444 Dows Building: Gordon Fennell, John Baker, Albert N. Brouwer Highway Equipment Co., 616 D Avenue NW.: Cliff Jordon Iowa Manufacturing Co., 916 16th Street NE.: Frank D'Aquila, Leo Thomsen, Kilborn Photo Paper Co., 2911 First Avenue SE.: Cliff Jordon, Ralph Atherton Link Belt Speeder Corp., 1201 Sixth Street SW.: Edward Preston, H. R. Paul Maney Laboratories, 400 First Street SE.: Mrs. Paul Maney, William Sedlak National Oats Co., 1551 H Avenue NE.: Gordon Simons Nissen Trampoline Co., 215 A Avenue NW.: George Nissen, Robert Bevenour, Kurt Baechler Penick & Ford, Ltd., First Street and 10th Avenue SW.: John Murray, Oga Anderson Quaker Oats Co., 400 Second Street NE.: William A. Vaughn, Floyd Thompson Transport Trailers, 1234 12th Street SW.: George Smith Universal Engineering, 625 C Avenue NW.: V. E. Hansen, Dan Peters TRANSPORTATION Chicago & Northwestern R. R., 326 1st Avenue NE.: C. P. Johnson Canadian National R. R., 803 American Building: E. J. Lee Cedar Rapids-Iowa City R. R., Security Building: Glen Norton Illinois Central R. R., 129 Fifth Avenue SE.: John Oliver, Jack Gorman, Blanche Swatosh Railway Express Agency, Union Depot: Mell O'Donnell Rock Island Lines, 201 Fifth Avenue SE.: Walter Okerlund Union Freightways, 1900 16th Avenue SW.: Robert Gilliatt Western Transportation Co., 2100 16th Avenue SW.: Herman Helms, Thelma CIVIC AND BUSINESS Cedar Rapids School System: Miss Lydia Hrubish Coe College, 1220 First Avenue NE.: Dr. R. C. Spencer Chamber of Commerce: Robert Caldwell, Harold Ewoldt, Richard Petska, Donald Myers, Fred C. Jones O'Dea Finance Co., 613 Third Avenue SE.: C. F. Kriz THE MARITIME ASSOCIATION OF THE PORT OF NEW YORK, Re Trade Agreements Extension Act of 1958 (H. R. 12591). Chairman, Committee on Finance, United States Senate, Washington, D. C. DEAR SENATOR BYRD: The Maritime Association of the Port of New York respectfully urges the Senate Committee on Finance to give favorable consideration to the above-captioned measure, which would continue the authority of the President to enter into trade agreements until June 30, 1963. The interest of our association in this measure is set forth herein. We respectfully request that this communication be recorded as a part of your committee's proceedings in this connection. Our organization is a membership trade association organized in 1873, comprised of approximately 1,500 individuals representing firms engaged in the maritime industry at the port of New York. The firms represented consist of shipowners and agents, freight forwarders, marine insurance organizations, shipbuilding and repairing concerns, stevedoring companies, towing and transportation organizations, and every other type of service required in order to facilitate the movement of waterborne cargoes. In serving the various firms which are represented in our organization, it would be fair to state that we indirectly represent perhaps 90 percent of all persons at the port of New York who are occupied and gainfully employed in processing the transfer of waterborne commerce at New York. Thus our entire constituency is vitally interested in the future of the Nation's trade program, and we respectfully submit that the failure on the part of your honorable committee to recommend the extension of the Trade Agreements Act, or on the part of Congress as a whole to continue the President's authorization to enter into trade agreements would have a direct harmful impact upon a very great multitude of gainfully employed citizens. It may be stated that there are approximately 1 million people in the New York port area who are directly engaged in, and whose livelihood depends upon the employment and functions which result directly from port activities, and from the extension of encouraged free trade. It has been estimated that 1 out of every 4 persons in the New York port area are directly or indirectly affected by New York port activities. Without the extension of the pending Trade Agreements Extension Act, it is self-evident that the amount of economic harm that could result to this segment of the Nation's populace would be monumental. For your information, our industry, i. e., the maritime industry, is at the present time experiencing a recessional period at least comparable to that of other industries in the Nation. Frequent articles have appeared in the public press concerning a worldwide shipping slump. Our Nation and nations of the world friendly to us, constituting the vast bulk of the world's mechant marine, are in the daily process of laying up commercial vessels, while the declared Soviet offensive moves forward. We sincerely believe that the failure to endorse friendly trade principles would be a source of great encouragement to the Soviet trade offensive, and that it would be a source of great discouragement to the nations of the world friendly toward us, who depend in large measure on trade with us for their economic survival. There is also a national defense aspect which should not be overlooked, inasmuch as it has long been agreed that the merchant marine constitutes an important arm of our defense. Without an encouraged foreign-trade program, the American merchant marine and the merchant marine of friendly nations will be forced to recede and to disintegrate in substantial measure. We respectfully submit that selfish isolation principles should not be permitted to prevail at this time when the overall national interests so clearly tip the scales of justice in the direction which dictates the favorable consideration of this important measure. Respectfully submitted. WILLIAM F. GIESEN, General Manager and Counsel. THE NATIONAL ASSOCIATION OF STEVEDORES, Re Trade Agreements Extension Act of 1958, H. R. 12591. Chairman, Senate Committee on Finance, Washington, D. C. DEAR MR. CHAIRMAN: The National Association of Stevedores respectfully urges that the Senate Finance Committee give favorable consideration to the above-captioned measure, which wou'd continue the anthority of the President to enter into trade agreements until June 30, 1963. The interest of our organization and the reason for our position in this regard is submitted herewith. We respectfully request that this communication be made a part of the record of the committee's proceedings. The National Association of Stevedores is a trade organization comprised of over 100 member firms engaged in the business of stevedoring throughout the United States. Member firms of our organization fall into various categories, i. e., they are either independent contractors, subsidiary organizations of shipping companies or in some instances direct steamship companies. It is important to understand that in all instances our constituents are engaged in the executive function of loading and discharging approximately 15,000 vessels plying the world sea routes and serving the interests of the Nation's waterborne commerce throughout the various ports of call in the United States. It is estimated that between one hundred and fifty and one hundred and seventy-five thousand men, known as longshoremen, are gainfully employed by these stevedoring concerns in order to process the cargo handling of the vessels arriving and departing in this country. This multitude of men are gainfully employed and earn a total annual wage of approximately $750 million. Inasmuch as the function of this industry is, as stated above, loading and discharging vessels, it is obvious that any diminution in the quantum of foreign trade, whether import or export, will have a direct harmful economic impact on all engaged in this industry. The failure on the part of Congress to extend the reciprocal trade program would lead to large unemployment and financial difficulty in our industry. Prescinding from our personal interests, we urge you to consider two facets of this question which we believe would seem to clearly impel your honorable Committee to report favorably on this measure at the earliest possible moment. These considerations are as follows: It has long been recognized that the merchant marine of any nation and the integrated services required to handle waterborne cargoes constitute an important segment of national defense. Any action or omission by Congress calculated to permit the disintegration of these services at a time when we are struggling with the problem of assuring survival of the American way of life, would appear to be drastically opposed to the overall welfare of the Nation. We submit that the abandonment of free trade principles at this historic time must be calculated to bring about such a harmful result. In conclusion, and again divorced from any partisan interest, we respectfully submit, the failure to extend the reciprocal trade program, at this time, would be a source of the greatest encouragement to the openly declared Soviet trade offensive. We sincerely believe that it must be evident that trade constitutes a most essential part of the basic concept of foreign aid. We believe that the honor, dignity, and respect of nations friendly toward us is largely dependent on their ability to earn their way in the world rather than to be the mere subjects of outright charity. Trade isolation by the United States and the continuation of mere aid will, we submit, only humiliate those friendly toward us and eventually alienate friendships we enjoy and must so heavily count upon in the cold war of survival. Respectfully submitted. WILLIAM F. GIESEN, STATEMENT OF ALVIN SHAPIRO, VICE PRESIDENT, AMERICAN MERCHANT MARINE INSTITUTE, INC. The American Merchant Marine Institute is a trade association of steamship owners and operators representing some 50 United States-flag companies which constitute a majority of the entire American merchant marine. Our members operate tankers, freighters, and passenger ships on all coasts of the United States, into and out of virtually every major world port. Some also engage in our domestic deep-sea trades. It is a privilege, for which we are grateful, to express our vigorous support for the extension of the reciprocal trade agreements program. Our views on this subject are, of course, in large part similar to others from whom you have heard representing particular commodities or the service industries. One vital difference, however. Foreign trade is overwhelmingly our daily diet and for many of our companies, their only diet. American-flag ships, unlike those of most nations, are by tradition, economics, or statute, unique in that they virtually consistently serve only American trades. Increased traffic on sealanes which 'oes not touch our shore does not enter the holds of American ships. For this reason, virtually all of our major companies have created trade development departments. Their endeavor is to apprise shippers of both export and import opportunities presently unknown to them or unexploited by them. Steamship management personnel overseas as well as those at home are dedicated to this task. While the motives in so doing are clearly aimed at the improvement of the individual company's economic welfare, we have in the process become partners of other segments of our economy in factory, farm, and mine, participating directly or indirectly in foreign trade. For these reasons, we have necessarily come to be students of the issues now before this committee. One additional point related to the foregoing which is of particular significance to the maritime industry. Developing new markets or maintaining established ones is far from a simple process. Many considerations are involved, not the least of which is the creation of reasonably stable trading conditions. Stability in meaningful proportions is seriously handicapped if our fundamental tariff policy is in serious question. One of the severest blows that could be struck at the American merchant marine's vessel modernization program (at present, in excess of $3 billion worth of new vessel construction is in view) would result from the rejection by Congress of the extension of the reciprocal trade agreements program. This surely would be interpreted by our customers and suppliers overseas as the end of an era of international trading cooperation. It would lead ultimately to entirely new patterns of international trade, the effect of which could be disastrous to our fleet and our national maritime policy. Further, so that you may judge the experience with which we speak, it should be emphasized that no other American industry, to our knowledge, deals so consistently in a truly international market, meeting on every voyage, foreign competition of the most serious nature. This perhaps requires some explanation. If an American industry (or individual producer) found that 15 or perhaps 25 percent of its domestic market was being satisfied from sources abroad, it would surely consider itself facing severe competition. The American maritime industry, however, now finds that not 25 percent, not 50 percent, but almost 80 percent of American demand for foreign trading shipping service is satisfied through the use of foreign bottoms. We know what foreign competition means. The timeliness of the proposal for extending the reciprocal Trade Agreements Act manifests itself at once. Daily the press informs us of the tremendous concern in and out of the Congress with the growing army of unemployed. This has recently reached over 5.1 million-a record level since 1941. At the same time we are informed that 4.5 million jobs are created by our foreign trading activity. While some issue has been generated by the use of the word "created," we certainly feel that there is no question that at least 4.5 million Americans earn their livelihood because of our world trading activity. Actually, in our opinion, this latter figure is conservative. Our own experience in evaluating direct and indirect employment generated by the American merchant marine (in excess of a quarter of a million) leads us to conclude that this type of analysis is not subject to precise statistical determination, and estimates thereof reasonably prepared tend to be conservative. The significance of our export trade to this country's total economy is perhaps more accurately, if less dramatically, revealed in the attached table. It depicts the significant portion of our total production of movable goods which enters into the export market, presently almost 10 percent. We would call your attention particularly to the last column and the relation, though not necessarily causal, between the peaks of our production prosperity and the changing level of exported portions of total production through the years past. It is important to remember that part of our economic activity and employment in world trade is created under Government-generated programs of economic and military assistance and surplus disposal. I feel quite certain that every member of this committee is hopeful that these noncommercial activities will diminish over the years and ultimately totally disappear. With this diminution or disappearance will go the livelihood of some of these 4.5 million persons, unless in place of the vacuum thus created there is developed normal commercial trade of equal or greater volume. It is, therefore, particularly at this moment of recession, especially necessary that we seek not only to maintain our present level of private export trade but actually augment that activ |