APRIL 9, 1789.] Duties on Imports. [H. CF R. troduce to the committee a subject, which ap- On rum, per gallon,- -of a dollar; on all pears to me to be of the greatest magnitude; other spirituous liquorsa subject, sir, that requires our first attention, on Madeira wineand our united exertions. No gentleman here can be unacquainted with the numerous claims upon our justice; nor with the impotency which prevented the late Congress of the United States from carrying into effect the dictates of gratitude and policy. The union, by the establishment of a more effective government, having recovered from the state of imbecility that heretofore prevented a performance of its duty, ought, in its first act, to revive those principles of honor and honesty that have too long lain dormant. ; on molasses; on all other wineson common bohea teas per lb.-; on all other teas- ·; on pepper; on brown sugars—; on loaf sugars- -; on all other sugarscocoa and coffee- -on all other articles-per cent. on their value at the time and place of im portation. -; on all vessels in which goods, wares, or merchanThat there ought, moreover, to be levied on dises shall be imported, the duties following, viz. On ali vessels built within the United States, and belonging wholly to citizens thereof, at the rate of--per ton. of Powers with whom the United States have On all vessels belonging wholly to the subjects formed treaties, or partly to the subjects of such Powers, and partly to citizens of the said States, at the rate of The deficiency in our Treasury has been too notorious to make it necessary for me to animadvert upon that subject. Let us content ourselves with endeavoring to remedy the evil. To do this a national revenue must be obtained; but the system must be such a one, that, while it secures the object of revenue, it shall not be oppressive to our constituents. Happy it is for us that such a system is within our power; for some measure, like the one proposed by the Mr. BOUDINOT.--The necessity of adopting I apprehend that both these objects may be ob- honorable gentleman from Virginia, is too aptained from an impost on articles imported in-parent to need any argument in its support. The to the United States. In pursuing this measure, I know that two points occur for our consideration. The first respects the general regulation of commerce; which, in my opinion, ought to be as free as the policy of nations will admit. The second relates to revenue alone; and this is the point I mean more particularly to bring into the view of the committee. Not being at present possessed of sufficient materials for fully elucidating these points, and our situation admitting of no delay, I shall propose such articles of regulations only as are likely to occasion the least difficulty. The propositions made on this subject by Congress in 1783, having received, generally, the approbation of the several States of the Union, in some form or other, seem well calculated to become the basis of the temporary system, which I wish the committee to adopt. I am well aware that the changes which have taken place in many of the States, and in our public circumstances, since that period, will require, in some degree, a deviation from the scale of duties then affixed: nevertheless, for the sake of that expedition which is necessary, in order to embrace the spring importations, I should recommend a general adherence to the plan. This, sir, with the addition of a clause or two on the subject of tonnage, I will now read, and, with leave, submit it to the committee, hoping it nay meet their approbation, as an expedient rendered eligible by the urgent occasion there is for the speedy supplies of the federal treasury, and a speedy rescue of our trade from its present anarchy. Resolved, As the opinion of this committee, that the following duties ought to be levied on goods, wares, and merchandise, imported into the United States, viz: 9 the subjects of other Powers, at the rate of appears to be simple and sufficiently complete plan which he has submitted to the committee for the present purpose; I shall, therefore, for my own part, be content with it, and shall move you, sir, that the blanks be filled up in the by Congress in 1783. My reason for this is, manner they were recommended to be charged that those sums have been approved by the Lefloor, and of consequence must have been gislatures of every State represented on this agreeable to the sense of our constituents at that time; and, I believe, nothing since has intervened to give us reason to believe they have made an alteration in their sentiments. be deferred until the business is more matured; Mr. WHITE.-I wish filling up the blanks may nor will this be attended with a loss of time, because the forms necessary to complete a bill will require so much as to give gentlemen leisure to consider the proper quantum of impost to be laid, as well on the enumerated articles as on the common mass of merchandise rated ad valorem; for, as was hinted by my colleague, something may have occurred to render an alteration in the sums recommended in 1783 in some degree necessary; and if so, time will be given to consider the subject with more attensary delay can arise; wherefore, I move you, sir, tion in the progress of the bill, and no unnecesthat the committee now rise, report progress, and ask leave to sit again. moment necessary to fill up the blanks, nor had Mr. MADISON.-I do not consider it at this I it in contemplation at the time I offered the propositions. I supposed that most of the gentlemen would wish time to think upon the principles generally, and upon the articles particu larly; while others, who, from their situation and advantages in life, are more conversant on this H. OF R.] Duties on Imports. [APRIL 9, 1789. subject, may be induced to turn their particu-ductive of happy consequences, and it strikes lar attention to a subject they are well able to do justice to, and to assist the committee with their knowledge and information; unless such gentlemen are now prepared and disposed to proceed in filling up the blanks, I shall second the motion for the committee's rising. Mr. PARKER.-As it is impossible that gentlemen should be prepared to go into the immediate discussion of my worthy colleague's motion for raising an impost, I shall heartily concur in the motion for the committee's rising. The question on rising being put, was agreed to; when, Mr. SPEAKER resumed the chair, and Mr. PAGE reported progress. Adjourned until to-morrow. THURSDAY, April 9. me that confusion and perplexity will be best avoided by such a measure; hence, it may be proper to lay a duty at a certain rate per cent. on the value of all articles, without attempting an enumeration of any; because, if we attempt to specify every article, it will expose us to a question which must require more time than can be spared, to obtain the object that appears to be in the view of the committee. A question, I say, sir, will arise, whether the enumeration embraces every article that will bear a duty, and whether the duty to be affixed is the proper sum the article is able to bear. On this head, sir, I believe that the committee have not materials sufficient to form even the basis of the system, beside being wholly incompetent to determine the rate most advantageous to the article of revenue, and most agreeable to the interest and convenience of our constituents. Knowledge on these points can only be obtained by experience; but hitherto we have had none, at least of a general nature. The partial Mr. BOUDINOT, from the committee appoint-regulations made by the States, throw but little ed to prepare rules for the government of the House, made a further report; which, being read, was ordered to lie on the table. EGBERT BENSON, from New York, and ISAAC COLES, from Virginia, appeared and took their seats. Mr. LEONARD and Mr. WYNKOOP asked and obtained leave of absence. The SPEAKER laid before the House a letter from OLIVER ELLSWORTH, Esq. a member of the Senate, stating the appointment of a committee of that House to confer with a committee to be appointed on the part of this House, in preparing a system of rules to govern the two Houses in cases of conference, and to regulate the appointment of Chaplains. Whereupon, Messrs. BOUDINOT, SHERMAN, TUCKER, MADISON, and BLAND, were elected by ballot for that purpose. DUTIES ON IMPORTS. The House again resolved itself into a committee of the whole on the State of the Union, Mr. PAGE in the Chair. Mr. LAWRENCE. The subject of the proposition laid before the committee by the honora ble gentleman from Virginia, (Mr. MADISON,) will now, I presume, Mr. Chairman, recur for our deliberation. I imagine it to be of considerable importance, not only to the United States, but to every individual of the Union. The object of the revenue alone would place it in this situation, and in this light I mean now to consider it. If I am not mistaken, the honorable mover of the plan viewed it as a temporary system, particularly calculated to embrace the spring importations; therefore, in order to discover whether the mode laid before you is well calculated to answer this end, it will be proper to consider its operation. The plan consists of certain distinct propositions; one part is in tended to lay a specific sum on enumerated articles, the other a certain per cent. ad valorem: perhaps simplifying the system may be pro light on the subject, and its magnitude ought to induce us to use the greatest degree of caution. A system of the nature which I hinted at, will, in my opinion, be not only less complex and difficult in its formation, but likewise easier and more certain in its operation; because the more simple a plan of revenue is, the easier it becomes understood and executed: and it is, sir, an earnest wish of mine, that all our acts should partake of this nature. Moreover, by adopting the plan I have mentioned, you will embrace the spring importation and give time for digesting and maturing one upon more perfect principles; and, as the proposed system is intended to be but a temporary one, that I esteem to be best which requires the least time to form it. With great deference I have submitted these sentiments to the committee, as what occurred to me to be the better plan of the two; though, fully informed as I wish to be, and therefore I must own, it is a subject on which I am not so hope the indulgence of the committee in considering it. Mr. FITZSIMONS.-I observe, Mr. Chairman, by what the gentlemen have said, who have spoken on the subject before you, that the proposed plan of revenue is viewed by them as a temporary system, to be continued only until proper materials are brought forward and arranged in more perfect form. I confess, sir, that I carry my views on this subject much further; that I earnestly wish such a one which, in its operation, will be some way adequate to our present situation, as it respects our agriculture, our manufactures, and our commerce. An honorable gentleman (Mr. LAWRENCE) has expressed an opinion that an enumeration of articles will operate to confuse the business. APRIL 9, 1789.] Duties on Imports. [H. OF R. So far am I from seeing it in this point of view, His system appears to be simple, and its printhat, on the contrary, I conceive it will tend to ciples, I conceive, are such as gentlemen are facilitate it. Does not every gentleman dis- agreed upon, consequently a bill founded therecover that, when a particular article is offered upon would pass this House in a few days; to the consideration of the committee, he will the operation of the law would commence be better able to give his opinion upon it than early, and the treasury be furnished with moon an aggregate question? Because the partial ney to answer the demands upon it. This law and convenient impost laid on such article by would continue until mature deliberation, amindividual States is more or less known to ple discussion, and full information, enabled us every member in the committee. It is also to complete a perfect system of revenue: for, well known that the amount of such revenue is in order to charge specified articles of manumore accurately calculated and better to be facture, so as to encourage our domestic ones, relied on, because of the certainty of collec-it will be necessary to examine the present tion, less being left to the officers employed in state of each throughout the Union. This will bringing it forward to the public treasury. It certainly be a work of labor and time, and will being my opinion that an enumeration of articles perhaps require more of each than the commitwill tend to clear away difficulties, I wish as tee have now in their power. Let us, theremany to be selected as possible; for this reason fore, act upon the principles which are admitI have prepared myself with an additional num-ted, and take in the most material and prober, which I wish subjoined to those already ductive articles, leaving to a period of more anentioned in the motion on your table; among leisure and information a plan to embrace the these are some calculated to encourage the whole. productions of our country, and protect our infant manufactures; besides others tending to operate as sumptuary restrictions upon articles which are often termed those of luxury. The amendment I mean to offer is in these words: I shall read it in my place, and, if I am seconded, hand it to you for the consideration of the committee. Resolved, As the opinion of this committee, that the following duties ought to be laid on goods, wares, and merchandise imported into the United States, to wit: [The articles enumerated for duty were beer, ale, and porter; beef, pork, butter, candles, cheese, soap, cider, boots, steel, cables, cordage, twine or pack thread, malt, nails, spikes, tacks, or brads; salt, tobacco, snuff, blank books, writing, printing, and wrapping paper; pasteboard, cabinet ware; buttons; saddles; gloves, hats, millinery, castings of iron, slit, or rolled iron; leather, shoes, slippers, and golo shoes; coach, chariot, and other four wheel carriages; chaise, solo, or other two wheel carriages; nutmegs, cinnamon, cloves, raisins, figs, currants, almonds.] This motion was seconded by Mr. SCHURE MAN. Mr. TUCKER.—In common with the other gentlemen on this floor, I consider the subject which engages our present deliberations as of very great importance as it relates to our agriculture, manufactures, and commerce; I also consider it of consequence that we should give full satisfaction to our constituents by our decision, be that whatever it may; and I think this most likely to be effected by establishing a permanent regulation, although, in the interim, a temporary system may be expedient. I wish, also, in the outset of this business, to attend to the interests of every part of the Union; this, opinion of the members from the several States. I take it, can only be done by collecting the At present, I look upon it as impracticable, because the representation from the States is not upon an equal footing; we ought to have a much the subject in its fullest extent. By looking fuller House than we have before we enter on around me, I perceive there is no representative, except myself, southward of Virginia; and whatever my opinion may be with respect to the propositions before you, I must own that I wish to be acquainted with that of my colleagues; besides, I acknowledge myself incompetent to decide at this time on a subject of such magnitude; but, even if I had more competency, I should hesitate, without I could consult with the members whose interests are inseparable from that part of the Union which I have the honor to represent. Mr. WHITE.-I shall not pretend to say that there ought not to be specific duties laid upon every one of the articles enumerated in the amendment just offered; but, I am inclined to think, that entering so minutely into the detail, will consume too much of our time, and thereby lose us a greater sum than the additional impost on the last mentioned articles will bring in; because there may be doubts whether many of them are capable of bearing an increased duty; but this, sir, is not the case with those mentioned in the motion of my colleague: for I believe it will be readily admitted I have no objection, sir, to go so far into the on all sides, that such articles as rum, wines, matter as to pass a law to collect an impost ad and sugar, have the capacity of bearing an ad-valorem, whilst it is understood to be but a ditional duty besides a per cent. ad valorem. temporary system; and likewise to lay a duty I was in hopes, sir, that every thing which the committee had in contemplation would be secured by possessing a general impost, whilst a fuller consideration of the subject might be deferred to a future day, when the committee would have more leisure and information to enable them to determine and digest a plan capable of giving more general satisfaction. H. OF R.] Duties on Imports. [APRIL 9, 1789. for a division of the question. If I should lose this, and a high tonnage duty be insisted on, I shall be obliged to vote against the measure altogether; when, if the business is conducted on principles of moderation, I shall give my vote for it to a certain degree. on such enumerated articles of importation as ported, and the small enumeration which prehave been heretofore considered as proper ones cedes it: if it is in contemplation to do otherby the Congress of 1783. So far, sir, the mat-wise, I shall be under the necessity of moving ter may be plain to us, and we run no hazard of doing any thing which may give dissatisfaction to any State in the Union. The duties proposed by the Congress of 1783 were, I believe, five per cent. on the value of all goods imported, and an additional duty on a few enumerated articles. This recommendation of Congress has been so universally received by the several States, that I think we run no risk of giving umbrage to any by adopting the plan; but the other articles, which have just been of fered, are, I apprehend, to many of us so novel, and, at the same time, so important, as to make it hard to determine the propriety of taxing them in a few hours, or even in a few days. I wish, with the honorable gentleman from New York, that the system we now adopt be considered as a temporary one, securing a duty only upon such articles of importation as are generally agreed to be proper; and, on this ac count, I wish the article of tonnage, mentioned in the first list of propositions, to be postponed; because, with respect to it, the different States are not upon an equal footing. It appears evidently to bear harder upon some States than upon others. In some they wish a high duty upon tonnage, even so high as to preclude the admission of foreign vessels altogether, having sufficient to carry on their whole trade within themselves. Others again wish more moderate duties, inasmuch as it may be convenient to employ foreign shipping in their commerce; whilst some others wish only such duty to be laid as to answer the sole purpose of revenue, being constrained, for want of vessels of their own, to employ foreigners in the transportation of their productions, which productions must eventually pay every charge of this nature. I do not, sir, at this time, wish to enter into the merits of this subject; but just to state what I conceive to be the views and interests of the several States, in order that gentlemen may judge how far it would be prudent at this time to take a decisive step in matters so replete with difficulty as we see this to be, in reconciling the various and adverse interests of the Union, especially when it is considered that the vote of the committee, if carried into execution, will not place the Eastern and Southern States upon an equal footing. In order to preserve the peace and tranquility of the Union, it will become necessary that mutual deference and accommodation should take place on subjects so important as the one I have first touched upon. And, in order that this may take place, it is proper that gentlemen deliver their sentiments with freedom and candor. I have done this in a manner which I conceived it my duty to do, and shall just repeat that I wish to confine the question to that part of the motion made by the honorable gentleman from Virginia, (Mr. MADISON) which respects laying a general impost on the value of all goods im Where different interests prevail, it is to be supposed adverse sentiments will arise, and the gentlemen from those States which are interested in having a high tonnage duty laid on foreign shipping will naturally be more favorably inclined to a corresponding measure, than those from other States whose interest it would be to have little or no duty at all. Hence all that can be expected, is such a degree of accommodation as to insure the greatest degree of general good, with the least possible evil to the individuals of the political community. Mr.HARTLEY.-The business before the House is certainly of very great importance, and worthy of strict attention. I have observed, sir, from the conversation of the members, that it is in the contemplation of some to enter on this business in a limited and partial manner, as it relates to revenue alone; but, for my own part, I wish to do it on as broad a bottom as is at this time practicable. The observations of the honorable gentleman from South Carolina, (Mr. TUCKER) may have weight in some future stage of the business, for the article of tonnage will not probably be determined for several days, before which time his colleagues may arrive and be consulted in the manner he wishes; but surely no argument, derived from that principle, can operate to discourage the committee from taking such measures as will tend to protect and promote our domestic manufactures. If we consult the history of the ancient world, we shall see that they have thought proper, for a long time past, to give great encouragement to the establishment of manufactures, by laying such partial-duties on the importation of foreign goods, as to give the home manufactures a considerable advantage in the price when brought to market. It is also well known to this committee, that there are many articles that will bear a higher duty than others, which are to remain in the common mass, and be taxed withs a certain impost ad valorem. From this view of the subject, I think it both politic and just that the fostering hand of the General Government should extend toa I those manufactures which will tend to national utility. I am therefore sorry that gentlemen seem to fix their mind to so carly a period as 1783; for we very well know our circumstances are much changed since that time: we had then but few manufactures among us, and the vast quantities of goods that flowed in upon us from Europe, at the conclusion of the war, rendered those few almost useless; since then we have been forced by necessity, and various other causes, to increase Lour domestic manufactures to such a degree as to be able to furnish some in sufficient quantity to answer the consumption of the whole Union, while others are daily growing into importance. Our stock of materials is, in many instances, equal to the greatest demand, and our artisans sufficient to work them up even for exportation. In these cases, I take it to be the policy of every enlightened nation to give their manufactures that degree of encouragement necessary to perfect them, without oppressing the other parts of the community; and under this encouragement, the industry of the manufacturer will be employed to add to the wealth of the nation. Many of the articles in the list proposed by my worthy colleague will have this tendency: and therefore I wish them to be received and considered by the committee; if sufficient information cannot be obtained, as to the circumstances of any particular manufacture, so as to enable the committee to determine a proper degree of encouragement, it may be relinquished; but at present it will, perhaps, be most advisable to receive the whole. Mr. MADISON.-From what has been suggest ed by the gentlemen that have spoken on the subject before us, I am led to apprehend we shall be under the necessity of travelling further into an investigation of principles than what I supposed would be necessary, or had in contemplation when I offered the propositions before you. It was my view to restrain the first essay on this subject principally to the object of revenue, and make this rather a temporary expedient than any thing permanent. I see, however, that there are strong exceptions against deciding immediately on a part of the plan, which I had the honor to bring forward, as well as against an application to the resources mentioned in the list of articles just proposed by the gentleman from Pennsylvania. I presume, that, however much we may be disposed to promote domestic manufactures, we ought to pay some regard to the present policy of obtaining revenue. It may be remarked also, that by fixing on a temporary expedient for this purpose, we may gain more than we shall lose by suspending the consideration of the other subject until we obtain fuller information of the state of our manufactures. We have at this time the strongest motives for turning our attention to the point I have mentioned; every gentleman sees that the prospect of our harvest from the spring importations is daily vanishing; and if the committee delay levying and collecting an impost until a system of protecting duties shall be perfected, there will be no importations of any consequence on which the law is to operate, because, by that time, all the spring vessels will have arrived. Therefore, from a pursuit of this policy, we shall suffer a loss equal to the surplus which might be expected from a system of higher duties. I am sensible that there is great weight in the observation that fell from the honorable gentleman from South Carolina, (Mr. TUCKER) [H. OF R. that it will be necessary, on the one hand, to weigh and regard the sentiments of the gentlemen from the different parts of the United States; but, on the other hand, we must limit our consideration on this head, and, notwithstanding all the deference and respect we pay to those sentiments, we must consider the general interest of the Union; for this is as much every gentleman's duty to consider as is the local or State interest-and any system of impost that this committee may adopt must be founded on the principles of mutual concession. Gentlemen will be pleased to recollect, that those parts of the Union which contribute more under one system than the other, are also those parts more thinly planted, and consequently stand most in need of national protection; therefore they will have less reason to complain of unequal burthens. There is another consideration; the States that are most advanced in population, and ripe for manufactures, ought to have their particular interests attended to in some degree. While these States retained the power of making regulations of trade, they had the power to protect and cherish such institutions; by adopting the present constitution, they have thrown the exercise of this power into other hands: they must have done this with an expectation that those interests would not be neglected here. I am afraid, sir, on the one hand, that if we go fully into a discussion of the subject, we shall consume more time than prudence would dictate to spare; on the other hand, if we do not develope it, and see the principles on which we mutually act, we shall subject ourselves to great difliculties. I beg leave, therefore, to state the grounds on which my opinion, with respect to the matter under consideration, is founded, namely, whether our present system should be a temporary or a permanent one? In the first place, I own myself the friend to a very free system of commerce, and hold it as a truth, that commercial shackles are generally unjust, oppressive, and impolitic; it is also a truth, that if industry and labor are left to take their own course, they will generally be directed to those objects which are the most productive, and this in a more certain and direct manner than the wisdom of the most enlightened legislature could point out. Nor do I think that the national interest is more promoted by such restrictions, than that the interest of individuals would be promoted by legislative interference directing the particular application of its industry. For example, we should find no advantage in saying, that every man should be obliged to furnish himself, by his own labor, with those accommodations which depend on the mechanic arts, instead of employing his neighbor, who could do it for him on better terms. It would be of no advantage to the shoemaker to make his own clothes, to save the expense of the tailor's bill, nor of the tailor to make his own shoes, to save the expense of procuring them from the shoemaker. It would be better policy to suffer each |