BOSTON PUBLIC LIBRARY
Illllllllllllil
3 9999 06542 022 4
/3^
OFFICE OF NATIONAL RECOVERY ADMINISTRATION
DIVISION OF REVIEW
WORK MATERIALS
No. 32
FOREIGN TRADE STUDY OF THE FOREST PRODUCTS INDUSTRIES
Prepared by
ARTHUR BEVAN
Foreign Trade Studies Section
Industry Unit
February, 1936
i
F 0 E E f 0 -R 1>
This "Poreij^iTi Trade Study of the Forest Products Indurs-fc^i^c,!!
\7as prepared by l.ir. Arthur- Sevan of the Poreigii Trade Studies Section.,
Mr. H. D. Gresharn in charge. It is one of three reports prepared hy
the Industries Unit of the Foreign Trade Studies Section -under the
direction of James G-. Burke, Unit Chief. Originally this unit planned
to examine a considerahle nunher of industries, dealing particularly
with the effect of the operation of codes on foreign trade. Reductions
in personnel and other limitations of activities prevented the ful-
fillment of the original plan.
The Unit was able to prepare preliminarj^ manuscripts in three
fields: forest products, automotive, and cotton textile. The manu-
script on forest products is presented in the following pages; the sub-
stance of the manuscript on the automotive industry will he incorporated
in the study of the automobile industr^^ which is being made under the
auspices of the Industry- Studies Section; the material on cotton
textiles will be turned over in tyi^ewritten forai to the Department
of Commerce for such use as later nay be deemed appropriate.
A few words are appropriate concerning the content of the material
on cotton textiles which is to be filed in manuscript form with the
Department of Commerce. Tliis study presents a considerable mass of
factual data in the following fields: the relative importance of the
industr;'- in foreign trade; trends in cotton textile foreign trade;
commodities moving in such trade; world competition; geographical
distribution of the cotton te::tile industry; sources of raw materials;
relative importance in the trade of various producing countries; changes
in tariff rates; trade agreements; exchange; and quota restrictions.
The effects of the operation of the code on foreign trade in cotton
textiles is not covered.
As indicated above the "Foreign Trade Studjr of the Forest Products
Industries," presented herein, was not carried to the point originally
contemplated. Nevertheless, mimeographing of the material which was
prepared is justified as an aid to further v;ork in the field. A con-
siderable amount of data is thus made available in conv.enient form.
L. C. Marshall
Director, Division of Review.
January 31, 1936
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TA3LE OF COMTEiraS
Page
SuiQinary. ......... r, ... ..r i . . .. 1 . 1
Conclusions. . . . •• ■ 2
Chapter . I ■-: Introdmction. . .-.•. 5
■Defining -the Industrj'-. . . . . . , 5
. . ■ Helative Importance in U. S. Commerce 5
Location of- Principal Manufacturing Areas 5
Importance in Industrial Operations in the U. S 6
Location in the U. S.- of Prin.>cipal Porest Stands 7
.... Porest Eesources of -the World.-. . ..■....■ 7
Scope of -the Study-.-. ,■.■.■...•...•.•.•....•.■.. 12
Manner in which Export Trade is Conducted 12
Other Porest Products Studies which should be made.... 12
Chapter II - Importance of Export Trade to the Lumter Industry 14
Chapter III - Hardwood Exports 19
Chapter IV - Softwood Exports 22
United States Share of World Trade 22
Chapter V - Principal Importing Countries. 25
United Kingdom ...'.... 25
Influence of. Russia aiid Baltic Shipments in United
Kingdom Market 29
Competition with Can.ada 29
China 31
Australia 34
Japan 34
Other Large Importing Countries. 34
Chapter VI - Effect of the Code on U. S. Lumber Export Market 39
Production. Control, of Exports. t 39
Price Control of Exports , 44
Chapter VII - Other Forest Products 45
Douglas Eir Plywood E>g3orts 45
Douglas Eir Door Exports 45
Chapter VIII - Imports 47
Introduction 47
Chapter IX - Effect of Section 3 (e) of the National Industrial
Recovery Act on the Lumber Industry 48
Code Provisions Affecting Imports 48
Mahogany 48
Philippine Mahogany 54
Chapter X - Pulpwood, Woodpulp and Paper 57
Introduction. .-. .■ 57
Pulpwood Industry Never Codified , 57
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TaTjIe" of Contents (Cont'd)
Fa^e
Chapter -XI — The llew^'r'irit Industry 59
Changes in TTorld Production, 1329-1933. . . 59
The Industry in the United States 59
The Industry in Canada • • • ,. 59
United' States Consumption ■. 59
United' Stafes' Production and Trade. 60
■ The Effect of the Nerrsprint Code. 60
Important Competitive Pa.ctors 61
Chapter
XII - Shingles 52
E.xport ..:.'..;...... 62
Import .■.:..•;;,...■.......'..■ 62
Gentlemen' s Agreement nith Canada 62
Appendix I 65
Bihliography 67
LIST 'OP' TABLE'S
Ta'ble 1 - Lumber Production of the U. S. hy States - 1934, 8
Table. • 2- --U. ■ S-.'Export6'6f' Lura"ber' ah5.' Timher Products "by Prin-
cipal Producing Regions -. 10
Table '3 - Forest Area§ of the World by Principal Divisions and
• ■ ■ Countries 'in Aires. ; . . . 11
Table • .4 - Softwood: ■ 'Wdi-ld 'Trade by 'iPrincipal Countries of
■Planed and ■Sav.'h Lumber - 1929-1934 15
Table ■ 5 - U. S. Production and iJxpo'rts of L-umber and Timber
P-roduct'g. ■.■.".'. ■.'.'.■. 16
Table 6
Table ■ 7
Table 8
Table 9
Table 10
U. S. Ejqjorts of Specified Lumber and Timber Products 17
Hardwood' Imports of the United Kingdom, 1929-1934 20
Softwood exports: U. S. Share World Market 23
■U. S. Exports of Specified' Lumber and Timber Products
(1933-1934) 26
Exports from British Columbia and Oregon-Washington
to the -United Kingdom 27
Table 11. - U. S. Share of- Unitdd IQngdom Softwood Market 30
Table 12 - Expo-rts from- British 'Columbia and Oreigon-Washington
• to China. '.•.•.•.•.•.'.■,".'. ...■..'.■.'.'. . . .'.".'. .'. 32
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List of TaMes (Cont'd)
Page
Tatle 13 - Silver: Monthly Average Value at New York and
London 36
Table 14 - Exports from British Columhia and Oregon-Washirigton
to Australia. .- 37
Tahle 15 - United States Imports of Specified Lumter and Timber
Products 49
Tahle 16 - Hardwoods and Softwoods: United States Imports of
Specified Lumber and Timber Products 50
Table 17 - Domestic Imports: Hardwoods and Softwoods from
Canada and all other Countries 51
Table 18 - United States Imports of Lumber and Timber Products
from Canada 52
Tabic 19 - Pacific Coast Waterborne Ltunber Shipments from
Oregon, Washington, and British Columbia to the
Atlantic Coast and California , 53
Table 20 - Shingles: U. S. Imports, total and from Canada 63
CHARTS
Chart A - Map: Principal Producing Regions of the U. S , 9
Chart B - Hardwood Imports of the United Kingdom 1929, 1932, 1934.... 21
Chart C - Softwood Exports: U. S. Share of World Market 24
Chart D - U. S. and Canada Share of U. K. Softwood Market 28
Chart E - U. S. Share China Softwood Market ,.....♦ 33
Chart E - U. S. Share of Australian Softwood Market 38
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SIMMARY OF FINDIN&S
Description of the Industry with Reference
to Foreign Trade
In s'oite of the many estimates that have heen made of the world
lumlier and timher resources, very little is known about even the approid---
mate stands F.va.ilahle for commercial exploitation. A recent private*
esti:.iats of the forest areas by grand divisions gave 7,488,000,000 acres
as the as the world total, of which 1,390,000,000 acres, were located
in the ITorth American Continent, This same estimate nentlonad the re«
sources of the United States and Alaska to be 49'0' , 000 , 000 and 106,000,-
000 acres, respectively, and those of Canada to be approximately 597,-
000,000 acres.
In 1929 there were more than 35,000 manufacturing concerns located
in the United States, which used lumber and timber as primary raw mater-
ials. The industry was fourth in the number of "'age earners, and ninth
in the value of its products, the latter being estimated at $2,000,000,-
000,
Domestic production and exborts of softwoods originate from forests
located principally in the Pacific lorthwest for Douglas Fir and Western
Pine, Spruce, and Hemlock, and in the Southeastern and G-ulf states for
long and short-leaf yellow pine. Hardwoods are produced and exported
largeily from forests, located in the Appalachian moimtains and in the
south-centra.1 states.
The Foreign Trade of the United States in Lumber
and Sawn Timber
The United States ships sawn lumber and timber to 84 different coimt-
ries. Of these, 8 countries regularly take over 70 per cent of the tota.l.
In 1929, the United States led all other exporting countries in the total
board feet of sawn lumber and timber exported to world markets. By 1934,
the, United States had dropped to fifth place, being surpassed by Finland,
Russia, Sweden and Canada.
The principal causes for the considerable ctirtailment in exports of
sawn lumber and timber from the United States during the past five years
have been the artificial trade restrictions imposed by foreign countries.
Especially important have been preferential tariffs (particularly in the
British Empire) , heavy customs duties, import quotas, exchange control,
monetar3'- manipulation, and virtual embargoes. Other factors seriously
affecting the trend have been the general reduction in consumer buying
power, increased foreign com.petition, and wealaiess in United States ex-
port merchandizing methods.
Softwoods I
Wliile l-umber exports were 11 per cent of comestic production in
1929, the same exoorts sup^olied 20.7 per cent of the world consuming
market. In 1932, e:cports were 13 per cent of the domestic production,
* "Forest Resources of the 17orld" by R. Zon and W. N. Sparhawk,
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a high point in the industrj/, out applied onl7 10,8 per cent of the
vrorld iiarket for the year. In 1934, exports rrere again 11 per cent of
domestic production, and supT?lied 12,3 per cent of the world market,
, TTliile the volume of soft'.vood lumher ex'jorts has fallen c onsiderably
since 1S29, domestic production hp.s like?,'ise declined. Domestic produc-
tion in tliat year amounted to approximately S, 345, 000 thousand "board
feet, and in 1932 to ahout 12,735,000 thousand, or a. decrease of ahout
55 per cent, Soft^^ood exports from the United 'Str.tes declined from ap-
proximately 3,285,000 thousand hoard feet in 1928, to approximately
1,387,000 thousand in 1934, or a decT-ease of not quite 57 per cent. The
ratio of exoorts to domestic prodiiction, therefore, remained suhstan-
tially unchanged - 12 per cent in 1928, and 11 per cent in '1934,
In 1929, soft-TOod lujnher imports amounted to 1,643,232 thousand
hoard fe-.-it, or 5-g- per cent of the soft-rocd domestic production of ap«
proximately' 20,000,000 thousand hoard feet. By 1934 softrrood imports Imd
fallen to 295,149 thousand hoard feet, or 2-1/5 per cent of the approx-
imate 13,000,000 thousand hoard feet of domestic production. The 1934
imports nere less than 18 per cent of the softv'ood imports in 1929,
Hardrroods
Tlie United States is the largest ^orld exporter of temperate zone
hard\."oods - the principal item of which is oak. In 1928, the domestic
production of hardwoods amounted to some 5,798,000 thousand hoard feet,
of T7hich e-pproximately 509,000 thousand, or 9 per cent, were exported*
In 1934- the domestic ;oroducti3n totaled ah~>ut 2,758,000 million board
feet, and the exports some 300,807 thousand hoa,rd feet, or 11 per cent
of the do'.uestic production,
Hanufactured hardwood lumher imioorts into the United States consist
almost entirely of insignificant quantities of tropical and suh-tropical
hard^70ods' f rom Central America, and the Carihhean, and some maple, hirch,
and similar species from Canada. The principal hardwood lumher imports,
however, are in the form of logs and squared tirahers of mahogany and other
cahinet --oods from the Carihhean, Central America, the Philippine Islands,
and the Orient,
Foreign Trade in Other Lumher Products
Of the remaining ma.nuf act\ared and semi-manufactured lumher pnd tim-
her products important in the foreign trade of the United States, cooper-
age, hox shooks, hardwood flooring, ply-woods and veneers, and T)ly-wood
doors, are leading escports. Box shooks and cooperage exports have de-
clined considerahly since 1929, on accoujit of the exchange control re-
gulations and other restrictions imposed hy the leading purchasing nations,
Ply-T/ood e-g3orts increased from 33,381,000 sq-uare feet, valued at $1,-
642,000 in 1929, to 61,621,000 square feet, valued at approximately
$1,700,000 in 1934. The er-gports of manufactured doors declined from some
2,140,000 vjiits, valued at $3,:i87,000 in 1923 to 1,475,000 doors, valued
at $1,670,000 in 1934,
Leading imports of manufactui'ed and semi-manufactured lumher and tim-
ber products consist of poles, pnlp vrood, pulp, paper, and shingles,
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Shingles inports, which consist mainly of red cedar shingles from British
ColujnTDia, declined slightly from 167,288,000 board feet in 1929 to 110,-
094,000 in 1934.
The Liomlier. GoS.e and Foreign Trade
Article VIII of the Lrunher and Timher Products Industry -Gode provi-
ded for the allocation of cornhined domestic and export quotas to donestic
producers hy the divisional and sub-divisional code authorities. The inr-
dustrjr tliroui;;h a^mendments sought revisions of the code to estahlish ex-
port prices, and the NBA sought to modify the inclusion of export pro-
duction in domestic quota allocations; "but differences in opinion prevent-
ed the approval of these proposals.
In the case of divisions or subdivisions the raw material of which is
imported, Article YIII of the Code provided for the establishment of
quotas a.nd allotments in terras of imports. In accordance with this pro-
vision a system of import control was set up for the mahogany and Philip-
pine mahogany subdivisions. In this connection proposals were made for
modifications - \?hich, however, were not adopted because of differences
of opinion, . ,
In view of the general ihcrease in the United States export trade in
sawn lumber and timber since 1932, and particularly during the period of
production-esqaort control, and "cost production" reg-ulations, it might be
concluded tha.t the operations in the industry were not affected by the
code. It should be recognized, on the other hand, ths-t this control was
mainl;^ effective "because the domestic market was so highly protected
against competition from imports; and on the other, that there was a
minimum of control over tlire saiiie industry as regards the substantial pro-
portion of its production destined for eicport.
At the same time it should be equally recognized, nevertheless, that
the domestic industry did not increase its exports to world consuming
markets to the extent of its foreign competitors, so. that there remains
the possibility that the sta'bilizing factor- of code control, particular-
ly in viev; of increasing costs, may have created a competitive disadvant-
age, which would not have been encoimtered but for the limitations im-
posed b;- the code. .
In contrast to sawn lumber and timber, with its limited export quota
allocation, the case of -douglas fir doors was indicative of the problem
arising in- subdivisions without any export control, 'Douglas fir doors,
under the subdivisional code-,^ had a highly protected domestic market,
but no control in any form over exports. There follo^^ed cut- throat com-
petition for export business, and price-cutting v/as freely indulged in
in order to' reduce the overhead of "both domestic and export producers.
This culminated in^ the imposition of dumping duties in several foreign
couatries»
■Pulpwood, Woodpulp, and Paper
A study of the foreign trade in jDulpwood, woodpulp, and paper is
of vital importance in the consideration of conservation and sustained
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yield management of our forest resources. Wood comprises about 85 iDer
cent of the raw material used for j)aper making. Approximately 44 per
cent of our domestic use is' based on foreign pulpwood, and of our entire
pulp and paper requirements, more-th.B,n 50 per cent has for some years
-■been imported in the form of either paper pulp or raw pulpwood,
Pulpwood was not included as one of the original products under the
Lumher Code. Although numerous attempts were made to bring this industry
under the Code, the proposed provisions, particularly with reference to
hours and wages, were never satisfactorily adjusted,
Newsprint Paper
From 1929 through 1932, the world production of newsprint ' decreased
14 per cent, due mainly to sharp declines in the production in Canada,
the United States, and Germany,
Some 25 companies, with an estimated aggregate capital of $300
million, oj^erated newsprint mills in the United States. In 1934 there
were approximately 24 companies engaged in the manufacture of newsprint
in Canada, with a total estimated investment amounting to $794 million,
of which $400 million was believed to' be . capital from the United States,
In June 1933, there were 6,550 workers employed in the newsprint
mills in the United States. The annual payroll for that year was calcu-
lated to be $7,150,000. ' .
The consumption of newsprint paper in the United States reached its
peak in 1929, but then detlined progressively through 1933, dropping 29
per cent during the 5-year period. Production in this country has de-
creased c^ch year since 1926. Tlie total decline from that year through
1933 was 44 per cent. Imports increased approximately 30 per cent from
1926 through 1929, and' in 1932 and 1933 they were about 3 per cent less
than for 1926.
The domestic Newsprint Industrie's Code was approved November 17,
1933, Data submitted by six individual companies to the National Recovery
Administration indicated that the total cost of production increased
approximately 22 per cent in the period between June-November 1933, and
December 1933 through May 1934. It was likewise indicated that the per-
centage of labor to total cost was about 12,9 per cent after the code
became effective. Over the snjne time interval, employment was sho\'m to
have increased 13 per cent; average hours per week to have decreased 12
per cent; the average '-'eekly wage to have increased about 1 per cent; and
the average hourly wage to have increased 1.5 per cent.
While the base price of newsprint in the United States declined 65
per cent from 1929 through 1935, the average unit value of imports over
the same period declined less than 42 per cent.
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CHAPTSH I
INTEODUCTION
DEFINING THE Il^DUSTRY
Tlie S'orest Products Industries, which are the subject of this study,
in cornrion parlance are IrnoTm a,s "The Ltunher Industry". In general, this
industry includes all thosej industries dra'>7ing their ravir materials from
the forest. It also includes some fabricating industries, hut such in-
dustries are a part of or subsidiary to the primary manufacture and
utilization of the tree, or in competition therewith. The "Lumber Indios-
try" will be used in this report in the sense of including all such
industries.
II. aSLATIATE ILIPOaTAITCE IK UKITES STATSS COH.IEaCE
The Lumber Industry, a national natural resource industry, is one
of the basic industries of the United States and rahl<:s high in the scale
of relative importance as is illustrated by the fact that over 35,000
sepe^rate aamxCacturing .concerns were registered by the agencies of the
L-uiaber Code Axithority. The decennial census: figures for 1929 show
"Forest Products" as fourth in the list of fifteen general industrial
groups in number of wage earners, and ninth in value of products. In
1929, the same authority gives the number of wage earners in the "principal
1-Ujaber industries" as 539,772 and the value of products as $1,962,082,000.
By 1935 these figures had fallen to 246,508 wage earners and $529,693,000
val'Lie of products.
III. LOCATIOIT OE PEI:'CIPAL' LIAiroFxiCTIRINCr APJLA.S
¥liile primary manufacturinj;,' is loca.ted largely in the South and
West, substantial quantities of liomber and timber products are produced
in the East and Horth. The amount of lumber and timber products produced
from farm woodlots is a ver^r considerable factor. Of the standing timber
in the United States it is estimated that 153 billit.n feet are in the
hands of public agencies and industrial owners, while that contained in
farm woodlots is estimated at 123 billion feet. {*) ilo figures are avail-
able as to the total cut of lunber and timber products from farm woodlots,
but it is knovm to be substantial. In the South the output of both hard-
wood and softwood lumber from farm woodlands is variously estimated at
30 to 40 per cent; in the Northeast at 60 to 95 per cent; in the North
Central states at 90 to 100 per cent; in the ITorth at 25 to 30 per cent,
aJid in the Uest at 5 to 15 per cent, of the output of these sections.
Other timber products a,re produced from farm woodlots in even greater
percentages, approximatel;^! 85 per cent of all hewn railroad crosst.ies,
80 per cent of all domestic pulpwood production, and a very large part of
cord\70od (fire\?ood), mine props, posts and poles. The production from
these faxm woodlots is a dominant and iciportant factor 'in the industry
and contributes a material income to a large part ^ of the 6,000,000 farms
of the United States.
(*) Senate Document :'0. 12 (Copeland report). On Senate Hesolution 175,
72nd Congress.
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IV. BJPORgJlTCE IK I^]DUST5IAL:GFEMTJ0ES^Iir THE UEllim STATES
In addition to the important position that-- the. iTunTD'ef industry oc-
cupies in the agricultural regions of each state, it may he conclusively
sho^7n that a ver^^ important pai't of many men-'afacturing and industrial
-Operations are dependent tipon the .use of ?;ood;-. either in the production
thereof as, an integral part or as a preparator-f. operation,; in the produc*-
tion- of the .finished articie., .'
■The following are approximate, percentages, of l-qmheri consumption in
-the yarioiis" 'trades and/or industries: ,. ',.,
(1) Construction and "building consumes normally ahout 40 per
cent of the total annual production; .-
(2) Planing mill products, .including flooring, . sash, doors and
finish consume ahout 25 per cent of the total annual output;
(3) In recent years lumher cons-'oraption on the farm lia,s materially
decreased to ahoLit one-third of that, used, in 1929. In that year it
was estimated hy the National Lurnher ifenufacturers '. Association that
40 per cent of the total production was used on the farm. It is noted'
that not onlj does farm woodland own and cut a sizahle proportion of
our total each ye aj", but that the said farms are one of ' the largest
.consumers in normaJL times.
(4) The railroads in 1929 purchased 15.9 per cent of the total
prodiiction for that year. The majority of this figure consists, of cross
ties; approximately 2,538,752 M feet; vAereas, switch and hridge ties
aiid timher and lumher contained 289,215 and 1,419,804 M feet, respectively.
(5) Boxes and crates consume annually ahout 15 per cent of the total,
or 4,550,000 M feet. This arao-'ant does not include cigar hoxes.
(6) The Forest Service reports that in 1928, 1,020,000. M feet of
hardwoods and 349, 000 M. feet of softwoods v/ere used in the automohile
industry. Hovrever, in 1932' these figures had decreased to 220,000 a.nd
104,383 M feet respectively. It is estimated that in 1933 this industry
used 14 per cent of the total hardwood cut.
(7) The furniture industry used 1, 249,599 M feet in 1929, of which
77 -per cent was lia,rdwoods.
(8) The casket industry consumes approximately 150,000 M feet a
yeajr..
(9) The newsprint and paper industr'^ consumed in 1931 6,722,766 cords
of pulpwood, of which 5,890,812 cords were produced In the United States.
(10) 6,384 esta'blishments of the mining industry cons"umed in 1923,
507,359 M feet of tim'ber.
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(ll) Other indnstries consumed l-ujal)er as follows:*
Hat di- Industry: ' 1928, 114,511 M feet
Patterns and flasks: 1928, 27,065 M feet
Pencils and Penholders: 1928, 38, 372' M feet
Ship 8Jid Boat Building: 1328, -98,423 and
, ,19,578 L feet of softwoods and hardwoods,
respectively.
Toy Industry: ' 1928, 37,000 LI feet
. TTood Turning and Shaping: 1928, 100,000 M feet
Construction and Repair: 1928, 1,007,417 M feet
. • Dscelsior: 1931, 14,573,368 cuhic feet
In its various ramifications the;_ products of the Lumter Industry
enter into the industrial life of every state in the Union, comprising
a-s high as 50 per cent of the total payroll of a particular state down
to a very small percentage in a few of the Great plains States, where
there is little or no primary manuf acti\re , and where "businesses in-
cluded under the code were largely fahri eating plants, such as millwork
and hox factories, L'tn-iter and other products of our forests are an
integrsi part or used in every manufacturing process, and while substi-
tutes ha.ve , increasingly replaced wood for many uses, it is still an
indis^pensalde material,
V. LOCAT-IQH 111 THE UNITES STATES OF PRII-ICIFAL FOREST STMD.S
The South and West contain most of the Comraercial Timher Stands,
"bu-t the aggregate of standing timlier of saw timber size in other areas,
inclviding farm woodlots, is suhstantial. All classes of ownership are
represented, from the large holdings of the Federal G-overnment in the
National Forests, State Forests, and large corporations to the woodlot
on the farm. The forest area of the United States is given as 495,879,000
acres, with total standing saw timber of 1,568 "billion feet "board measure.
It is estimsited that the forest lands of this country under proper su"b~
stantial yield management, are adequate to supply its needs in peipietuity.
The list of comnodities which go to make up the Lum"ber Industry
are legion, and no good purpose will he served as far as this report is
concerned in atterirpting to enumerate them. All originate from the
forests in. the form of logs, poles, piling, "oolts and cordwood, and
these products are the primary drain on our forest resources.
VI. FOREST RESOURCES OF THE WORLD
The f.orest resources of the world are largely an unlalo^Tn quantity,
the only availahle figu.res are given in total acres of forest lands.
Such fi.2-Lir.es really convey little, if any, information as to the world
supply of sa.w tira:lDer. fhile it is known that Russia, Africa, South and
Central America contain vast forests, not even estimates in "board feet
measure have "been made of the amount of sa,w tim"ber availa'ble in these
remote regions.
* The a^oove 1928 figures are taken from the Forest Service Survey.
Other figures are from the Bureau of the Census.
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TA3L5"!
LuiffiSR PROniCTIOlT OF THE UlIITEI) STATES BY STATES - 1934
STATE
TOTAL
SOrTWCODS
HAEDWOODS
Alaibsjaa.
Arizona,
Arkansas
California
Colorado
Comiecticut
Delavrare
Florida
G-eorgia
Idaho
Illinois
Indiajia
Iowa
Kansas
Kentucl'iy
Louisiana
liaine
i.ar-/land
liassa.chusetts
liichigsai
r.innesota
liississi j"_Ti
liissouri
Montana
Nebraska
New Haj.Tp shire
Hew Jersey
ITfew iiexico
i'lew York
iTorth Carolina
Ohio
Okls-h-O} la
Oregon
Pennsylvania
Shode Islrnd
South Carolina
South Dalcota
Tennessee
Texas
Utali
Ver..iont
Virginia
Washinriton
TTest Virginia
!7isconsin
WoLiing
659
,152
73
,180
627
,647
1,014
,747
49
464
11
412
5
,415
475
,343
476
,221
457
089
14
928
64
,553
2
938
2
669
122
776
774
646
178
,497
24
,095
57
,103
235
560
95
350
875
206
100
,546
171
841
154
646
7
410
101
409
58
576
57].
452
82
792
110,
936
2,379,
642
146,
752
4
315
341,
061
OtJ ,
467
299,
398
594,
479
. 10,
360
50,
213
406,
174
3,064,
270
223,
921
264,
991
18,
837
Thousand feet h.ni.)
544,583-
73,180
413,858
a/ 1,014,580 a/
49 , 370
5,79'6
3,820
428,206
417,610
455,963
250
30
u
£j
85 ^
5,159
490,635
158,623
9,436
49,368
5Q,316
67,908
664,692
27,587
171,690
135,434
1,030
18,848
438,158
337
95,512
2,360,714
39,095
261,173
33,466
56,237
514,585
10 , 237
26,357
285,541
3,045,929
37,835
123,456
18,837
£j
114,569
208,789
167 a/
94
■ 5,616
1,595
45,137
58,611
126
14,678
. 64,523
■ 2,938
2,534 t/
116,617
248,011
19,874
14,659
7,735
177,244
27,452
210 , 514
72,959
151
19,182
.6,380
39,828
133,294
82,405
15,474
18,928
107,657
932
79,888
1
233,161
79,894
123
23,846
120,633
18,341
186,086
141,535
TOTAL
15,493,539
12,735,358
a/ Includes Tevada h/ Includes Nehraska
Source: Biireau of the Census.
9613
2,758,281
cj Included with Kansas
Oj
UJ
ixj
ft::
p^
o
::>
t-l
y^
K
*v
-rf
/o
w
w
£5
la
M
M
PU
Ph
C^
^
tj
EU
•-tH
w
Eh
H
3
O
( -J
O
0-j
OJ
o
o
o
•••I*
'^%
-a: H o
k:^ a p
O El ei
§ ^ Q
o is ix;
9613
-1(V
!CABU 2
United States Exports of L\:D:aber and Timber Products a/ ty
Principal Producing Eegions
Couuuodity
19 2
-:3-
8
M ft. "b-n. : -^ of : $1,000
: total :
1 9:2 9
M ft. 13.0.
Tof
$1,000
SOFTWOODS
TOTAI SOFTWOODS
•
•
3,285,254 :
100
: 91,^40: 3,202,521
: 100 : 92,635
Douglas Fir
Southern Pine
Western Pine
Eedvi'cod
All Other
•
«■
••
:
•-
•
•
•
1,358,733 :
891,444 :
32,976 :
59,815 :
942,?;36 :
41
27
1 !
2 !
29 :
: 28,401: 1,507,623
. 36,843: 833,601
: l,911t 41,482 ,
3, 347 J 62,280 !
21,038: 757,5^5 :
HAEDWCODS
47 : 32,416
26 r 35,461
1 t 2,392
2 : 3,575
24 : 18,791
TOTAL EAHDV/'DODS
509,310 : 100 : 32,383: 525,334 : 100 : 34,220
Oak' :
236,257
47
: 14,025:
231,024
44
14,324
Gxua '.
69,850
14
! 3,640:
60,517
! 12 .
2,953
Ash !
30,083
6
: 2,003:
41,974
8 !
2,950
Poplar
38,985
7
. 2,324:
40,383 .
8 .
2,520
All Other !
: 134,125
26
10,391:
151,436
I 28
11,463
1 '.
? 3 3
•
•
1 9
3 4
19 5 0 : V 1 9 3 1
I' ft. t-TT^. : ^ of : $1,000 : M ft. b.m. : ^ of : $1,000
: total :
: total :
19 3 2
M ft. "b-m. : ^ of : $1,000
: total :
SOFTWOODS
2,246,258
. 100
; 59, 897 !
1,574,289
100
: 34, 749 :
1,065,230
100 :
18,988
1,012,639
45
: 19, 159 :
807,368 .
48
:1 1,486
505,578
47
5,700
658,606
30
: 27, 202
410,686 .
25
: 13, 928 :
336,555
32 :
9,100
31,733
1
: 1,556
24,079
1
: 916
14,353 !
1
. 519
28,412
1
: 1,512
5,999
I 1
: 347
8,219
. 1
311
514,858
: 23
: 10, 458
! 425, 157
H A B D
: 25
WOO
: 8,072
D S
! 200,525
: 19
3,358
458,393 : 100 : 28, 364
354,714 : 100 : 17, 933
256,597 : 100 : 10, 341
216,671
47
12, 537
181,292 .
51 :
8,678 •
132,347
51 :
5,211
55,314
12
2,486
41,524
: 12
1,522
29,679
12
881
47,866
. 11
3,250
33,551
9
1,739 :
27,849
11 !
1,046
28,157
5
1,667
: 21,073
6
972
16, 2o5
: 5
516
110,375
• 24
! 8,324
77,274
! 22
• 5,022
50,457
• 20
I 2.587
S 0 FTJLO 0 D S
TOTAL SCFTWCC'DS
. 1,197,916 :
100 !
22,372:
1
,385,498 ;
100 :
32,254
Douglas Fir
: 512,995 :
51
7,591:
673,584 .
49 :
10,383
Southern pine
343,815 :
29
10,447:
455,571
34 :
15,241
y,'e stern Pine
18,113 :
2
581:
28,409
2 :
1.101
Redwood
. . 14,185 :
1
495:
18,945
1 :
802
All other
208,803 :
17
1
. 3,158:
a A H D W
_0
198,789
0 D S
14 :
4,727
Source: Foreign Commerce and Kavigation of the United States
TOTAI. ".ASDnCCDS
312,073 : 100 : 13.525: 300,887
100 : 1£,477
Calc
155,549 !
50
5,831:
120.092 .
40
5,356
Gun
!• 37.993 ;
12
1,185:
34.293
11
. 1,430
Ash
: 38,697
13
: 1,5-4:
17,695
15
. 2,444
Poplar
: 21.979
7
923:
23,903
8
J. , i A/O
All Gf.-er
: 57,855
1.
: 3,003:
•
74,903
25
: 5,124
a/ I::cluder logs, savm ti-Tber, "boards, pianlcs, scantlings, tcx shooks and
railroad ties.
9613
"11-
'2hc folloviiv; ta"ble givec tlie 011I7 availaMe infom.ation:
TA3LS 2
FOF.SST A2EAS OF THE WORLD BY PRINCIPAL DIVISIONS AND COUNTRIES IN ACRES
Division and Coxintry
Total TTorld
Asiatic pjussia ' :
India :
China
Dutch East Indies
Japan , .
Asia .
Brazil
Argentina
Peru
Colui.i'bia
Bolivia.
Venezuela
South Ainerica ■■
Canada
United States
Alaska
Ilexico
North Aiaerica
Belgian Congo
Rhodesia
Nigeria
French Congo
Cameroon
Ivorj^ Coast
Africa
European Russie.
Sweden ,
Finland
Germsny
France
Poland
Rouina;iia
Norway
Europe
New Guinea
Australian Commonwealth
New Zealand
Australia and Oceania
Forest Area
7,487,696,770
1,136
153
150
260
139
520
190
000
,000
154
.339
,000
90
484
,640
2,096
014
,590
1,000
000
000
264
000
,000
224
000
000
150
000
,000
128
000
000
103
840
000
2,092
690
,000
596
745
,000
494
898
000
106
000
,000
74
100
000
1,389
,855
000
180
000
000
170
304
000
139
775
000
80
000
,000
35
000
000
30
000
000
797
458
000
445
473
000
55
550
000
49
410
,000
30.
905
840
25
508
420
21
881
140
21
758
000
17
037
570
774
118
460
160
020
000
90,
291
500
17
073
920
283
458
720
Source: "Forest Resources of the World" "by R. Zon and W. N. Sparhawk.
9613
-12-
Tnxe to the availatility of its products, the United States enters
doiiiinajitly into supplying the timher needs of the world. This is par-
ticularly time of Temperate Zone hardwoods. ■■ • ■ ■■'
VII. SCOPS OF THE STUDY ^
In vieiT of the shortage' of time available for this study, and
because of their dominant position in the field, it has teen decided to
restrict the preliminary study of exports and imports in the lumher in—
dustr;- to those constituting the most important primary products, namely,
logs, tiahers and all sa?ni lumber, "both of hardwoods and softwoods.
Hardwoods and softwoods are not generally competitive, and the proDlems
involved are distinct and different, so this report will, in general,
deal with these two broad classifications sepa.rately. Further, there
"being no direct connection between exports and imports, they will be
discussed separately.
VIII. MjaniER IK WHICH EXFOHT TRADE IS COJIDUGTED
The lumber export trade of the United States is conducted through
several channels, the most important of these being through cooperative
associations organized under the Webb-Pomerene Act. Such associations
are controlled by ajid the stock oraied by the manufacturers, members of
tile orgojiizations. The Douglas Eir Exploitation and Export Company of
Seattle, ':'aGhington, and the ipierican pitch pine Export Company of New
Orleans, are tjpiical of these organizations. Export brokers, or whole-
salers, also account for a substantial percentage, and direct shipments
from the manufacturer to the foreign buyer are a very minor factor in
the trade.
The balk of the business in foreign countries is handled through
foreign brokers. Other methods of lesser importance are through commis-
sion salesmen, and in a fev; instances through foreign buying agents in
this country.
Shipments are sold 0. I. E. and p. A. S. In the former case the
goods are sold to the foreign buyer, including the cost of handling and
loading, insurance and ocean freight, so that the quotation is the de-
livered price in ship's sling at the foreign port of delivery. In the
latter, the price includes only those costs to deliver the goods freight
alongside ship, within reach of ship's sling at the port of loading in
this countrj'',
IX. OTHER FOREST PRODUCT STUDIES WHICH SHOULD BE MADE
Other important forest products which should be studied and reviev/ed
in respect to their foreign trade aspects so as to have a reasonably com-
plete pictiire as far as the forest products industries are concerned,
are woodpulp, pulpwood and paper; plywood, doors and shingles. A very
complete study of the yroodpulp and paper industry and the effect of im-
ports on the domestic industry is in progress by the United States Tariff
Commission, under the provisions of Senate Resolution 200, and this re-
port mil be available at a la.ter date.
9 613
-13-
PulpwoocL is not included, in the proposed study of the United States
Tariff Corxiission, and 'because of its importance and the effect of im-
ports largely from Canada or the conservation of our forest resources,
it should "be -the suTi.ject of an exliaustive study, partictilarly in respect
to domestic production, which is largely from farm woodlots, often pro-
duced with poorly paid lator. The effect of large imports bri domestic
production is of extreme importance, and such a study should consider
the f^^t^^.re consumption needs of our country. "A recent puhlication "by
the Forest Service, "National Pulp and Paper Requirements in .Relation
to Forest Conservation" (Hale Report) , covers certain phases' of the
pulpijood' supply of the United States and its relation to imports.
The ejcoort of plywood, particularly Douglas Fir plywpo'd and Doors,
is of growing .importance. The proMems involved include factors differ-
ing from those of other forest products. Douglas , Fir Doors in partic-
ular present the opportunity of a comparison in contrast with lumter,
in that these doors were not produced under the provisions of Article
VIII, Production Control, of the Lumber Code, while Article IX, Cost
production, ¥;as established covering prices in the domestic market; A
study of these problems pres.ents further opportunity to analyjse con-
ditions irhich would be of value in establishing future foreign trade
relations 'for these and other products.
In respect to shingles, the problem is largely one of iinports.
The ucjiner in which this perennial problem was handled under Section 3 (e)
of the Sectional Industrial Recovery Act, a study of this trade is fully
warranted and should be completed.
The reason for outlining l^he forest products, which should by all
means be included in any final study and report on the foreign trade of
the forest products industries, is because each specific item presents
a different phase, particularly as to the effect of the Lumber Code on
foreign trade.
The woodpulp industry ti&s never codified.
The Douglas Fir plywood and Door Industries operated under cost
protection, but had no production control.
Shingles were produced under both cost protection and production
control, and importations were controlled by a quota agreement with
Canada,
Definite conclusions should only be made when the study of the
influence or lack of influence of code provisions on these subsidiary
products is completed. It is particularly desirable that the reader
should realize the limitations of this preliminary report, due to '
shortage of time and personnel.
It is believed that this report will, however, illustrate the
importance of the project and serve as an outline of the complete study
which should be comoleted.
9613
-14-
CHAPTER II
Il'iPORTANCE OF EXPORT TRADE TO THE LUMBER IKDUSTRY
TTith. an average of 10 to 12 per cent of the iDroduction of soft^TOod
1-ujnber and 11 to 18 per cent of the -oroduction of haj:'dwood liimter ex-
ported to foreign coiintries, the importance of this market to the
industry is ohvious. While the total volume of exports has fallen
consider alDly, it is significant that its position in relation to
total domestic production has "been generally maintained.
On the other hand, exports have not shown the same favorahle
relationships to the '^orld market (consumption) as represented "by
the total imports of all importing countries. From a Iott point in
1932, the rorld market shov\'s a decided increase which has not "been
reflected in our export trade. In 1929 lum"ber exports were 11 per
cent of domestic production and 20.7 per cent of the v^orld market.
In 1932 exports were 13 per cent of domestic production, a high point,
"but this represented only 10.8 per cent of the world market. In
1934, the latest availa"ble figures, exports were again 11 per cent
of domestic production, "but this only represented 12.3 per cent of
the world maxket.
9613
-15-
TASLS 4
• J a 5
♦■ t ^ N n >
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5
r^ »^ 1.1 V, n ■!
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9613
"le-^
TABLE 5
UNITED STATES PRODUCTION AND EXPORTS OP LUlviBER
AND
TIMER PRODUCTS
PRODUCTION
Year
Total
Hardwoods
Soft'-Toods:
(M ft. TD.m.)
1928
34,141,915
5,797,820
28,345,095
1939
36,886,052
7,072,687
29,813,345
1930
26,051,473
4,728,687
21,322,786
1931
16,522,643
2,670,692
13,851,951
1932
10,151,232
1,405,596
8,745,636
1933
13,961,134
2,062,261
11,898,873
1934
15,493,639
2,758,281
12,735,358
1935a/
8,575,000
1,675,000
6,900,000
EXPORTS, AND RATIO OF EXPORTS TO PRODUCTION
Year
Total
Hard^'oods
Softwoods
Exports : Ratio to : Exports : Ratio to : Exports : Ratio to
IvI ft. "b.m. :Production:M fti 11.111. :Production:M ft. "b.m, :Production
: Per Cent . ; Per Cent ; . per cent
1928
3,794,564
11.
509,310
9.
3,285,254
12.
1929
. 3,727,855
10.
525,334
7.
. 3,202,521
11.
1930
: 2,704,651
10.
458,393
10.
2,246,258
11.
1931
2,029,003
12.
354,714
13.
1,674,289
12.
1932
1,321,027
13.
256,597
18.
1,065,230
12.
1933
1,509,989
11.
312,073
15.
1,197,916
10.
1934
. 1,687,385
11.
3t0,887
11.
1,386,498
11.
1935a/
963,163
11.
• 186,843
11.
776,320
11.
a
/
8 months, - Source: National Lumter Manufacturers Association
Source: Forest Service - United Sta,tes Department of Agriculture, and
Bulletins of Census of Manufactures.
9613
-17-
\
fMSlS 6
UNITED STATES EXPORTS OF SPECIFIED TIMBER AND LUMBER PRODUCTS
1 9 2 «
Total
Logs and Hewn Timber
Haxdwoods
Southern Pine
Douglas Fir
Cedar
Other Softwoods
Sawed Timber
Southern Pine
Douglas Fir
Cedeir
Other Softwoods
Hardwoods
So. Pine (Creoeoted)
Other ( Creoeoted)
Mft.bd.m. ll.OOO
3,799,1^32 126,776
431,013
16, im
2,463
34.483
261,520
116,136
756.966
160,740
556,224
2,499
30,999
l,6lg
4,133
753
Boards. Planks, Scantlings,
(Softwoods)
Cypress
Douglas Fir (Roiigh)
Douglas Fir (dressed)
Southern Pine (Rough)
Southern Pine (dressed)
White, Western, Sugar
Pine
Cedar
Redwood
Spruce
Hemlock
Sm. So. Dim. Stock
Other Softwoods
1,
«97,o43
7,53s
703, 4o4
64,672
625,213
33,522
32,976
25,645
59,gl5
29,004
256,143
^.576
1^,535
9,516
1,297
101
515
5,953
1,670
19,443
6,751
11,262
106
895
106
284
39
59,179
492
l4,9l4
1,710
25,533
3,^71
1,911
1,184
3,347
1,223
5,101
l4o
153
1929
1930
1931
1932
19 ? ?
1934
Mft.bd.m. tl.OOO
3,727,632 126,896
379,038
16,989
10,286
57,508
176,379
117,876
699,219
127,351
541,269
854
21,849
1,988
4,389
1,519
1,923,372
11,087
846,349
62,497
597,472
21,570
41,482
16,629
62,280
27,166
166,548
,337
,955
I
7,842
1,236
425
3,934
1,534
17,531
5,551
10,955
28
498
124
291
84
62,073
638
18,950
1,798
25,137
3,519
2,392
881
3,575
1,391
188
Mft.bd.m.
2,707,904
305,526
16,750
1,%4
43,4«8
115,968
127,866
491,623
i4o,430
330,75s
634
14,817
1,235
3,283
4l2
1,365,984
6,099
592,719
45,674
440,262
60,703
31,733
9,836
28,4l2
25,74s
118,288
1,430
5,080
89,084
5.544
1,162
602
2,542
1,171
12,636
6,156
5,80J
76
217
20
4o,244
356
11,556
1,204
17,760
2,431
1,566
561
1,512
991
2,076
66
143
Mft.bd.m. $1.000
2,019,492 52,893
265,411
19,149
762
23,135
115,972
106,393
407,290
88,243
302,939
203
12,852
864
1,379
810
921,301
4,479
410,930
70,364
272,666
37,464
34,079
9,074
6,999
12,033
71,020
190
2,003
4,306
769
30
25s
2,162
1,087
7,609
'It
66
25
2i,io4
221
6,233
1,133
8,908
1,217
916
439
3f7
540
1,094
"56
Mft.bd.m. tlfOOO
1,322,710 29,320
Mft.bd.m. ^1.000 Mft.bd.m.
133.930
15,012
9,870
34,943
73,734
295,409
66,922
222,582
1,010
2,497
352
1.7S9
257
603,099
2,847
241,237
31,889
230,894
31,660
If. 353
4,267
8,219
8,301
29.287
65
SO
1.729
339
117
606
667
4,321
2,020
2,077
}l
117
12,271
l42
3,080
425
5,9S5
85s
166
?^^
431
354
1.509,225 35,764 1,687,383
168,362
18,043
151
3S,49l
3S,599
73,07s
319,762
76,510
239,491
802
95s
285
1,5S6
130
662,763
3,764
301,968
33.045
228,790
35.03s
17.35s
14.185
7,613
15,825
151*
4i4
654
681
2,362
77
"85
l4,682
, 179
6,805
1.056
663
1S7
495
302
ISI
240,702
16,805
4oi
82,282
46,602
94,612
315,157
88,584
221,462
607
1,672
1,800
599
741,035
4,611
322, R05
1^7,^35
251,043
42,588
28,409
5,27s
18,611
8,419
11,986
180
fo.PW Mft.bd.m. il.OOQ
47,462 963,163 26,300
H
17
917
773
798
3,946
2,871
28
'2
18
106
33
20,691
254
1,101
244
793
388
165
160,022
9,538
39,642
2l,4«i
89,311
170,933
54,090
113,418
779
1,760
2?3
540
53
390,043
2,762
164,601
20,281
136,611
20,504
20,239
2,055
8,973
4,929
9,055
"33
2,069
543
349
368
809
3,
2,
39
35
10,176
2,604
4i8
4,818
722
760
98
4io
189
120
I
9613
(Continued)
-18-
lABLB 6 (CoBtlnned)
UNITED STATES EXPORTS OF SPECIFIED TIMBER AND LUMBER PRODUCTS (Continued)
19 2 0
1929
1930
1 931
1932
1933
1 9 3 *^
1 9 3 5a/
Mft.bd.M. il.OQO Mft.bd.a. tl.OOO Mft.bd.a. tl.OOO Hf^tMt"' <1.QQ9 Ifft.bi^tgt tLQCQ Mft.bd.a. tl.OOO Mft.bd.a. il.OOO Mft.bd.B. ti.oon
Boards . Planks. Scantlings
(Hardwoods)
Ash
Birch, Beecb, Maple
Chestnut
Cottonwood
Gun, Red and Sap
Gobi, Tupelo and Black
Hickory
Oak
Poplar
Walnut
Mahogany
Wagon-Oak Planks
Sm. Hd. DiB. Stock
Other Hardwoods
Other Sawed Lumber
Box Shocks
Southern Pine
■'^mlock
oe
Gum
Other Hardwoods
Hardwood Flooring
RftllroRd Tiea qJ
Hardwood
3oftwood
CreoBOted
,i/
461, «47
29,625
'^55.137
30,476
2,762
400, 4i5
25.218
30,083
2.003
3«,78l
'H,196
2,857
11,449
846
11,746
723
5,^16
320
589
11,258
560
7,022
3^3
5,560
3l«
5,020
281
441954
116
52,2«5
2,556
46,015
2,274
2,071
247
7,796
4,51s
229, 4o4
^.
7,889
423
6.982
3.980
3.956
202,947
F5
13,600
221,323
13,739
11.833
38,9«5
2:324
»K),3«3
2,520
28,167
1.667
15,019
1,623
13,781
1,781
10,099
1,260
16,010
'•^
16,153
^■^i?
12,661
1,73^
6,«53
9,701
5,407
13,724
804
5,391
550
627
4,109
621
'm
1,375
252
'If^
1,315
2?8
780
190
107,515
>^,H53
98,696
3,490
77,801
2,902
15,373
1,992
12,533
577
12,474
571
67,611
4,322
125
64,881
1.903
42,151
1.222
300
1,597
66
i.»^3
69
5.261
661
6,613
359
14,844
169
1^,933
1,375
13,056
585
871
15,300
986
16,139
1,150
12,518
899
124,^94
«.S73
281
151,366
17,^1
^,33*^
470
49,928
4,753
1.641
161
g«,469
2,0««
108,405
2,579
29,269
683
27,552
1.205
25,519
1,285
15,907
797
5iZ'5?3
30,043
3.355
5,908
1,764
33,551
6,005
175,348
21,073
8,792
7.53^
5,944
6,728
2 1 424
27,660
10,172
1^^.351
1.169
1,968
9,637
13.892
63.961
1,288
46,194
16,480
16,297
1,555
174
264
1,2^6
187
187
8,354
972
783
939
323
651
469
117
1,409
^33
4iO
39
88
439
801
in
233,632
27,8%
1,425
2,312
l,ll4
22,966
5,810
1,866
127,888
16,265
5.^^76
3.285
4:91?
7.933
890
17,301
7.079
5,537
776
903
7,933
5,654
32,816
1.057
25,365
6,393
65
^4'
68^
156
182
5,009
616
4l4
392
202
362
38
490
237
142
33
39
39
299
291
235
285,511
35,995
1,204
2,332
1,564
25,917
11,079
, 2,999
1'*9,717
21,97?
5,684
3,048
5.832
6,600
11,561
5.364
2,084
'997
11,561
7,079
60, 3*^3
158
52,527
7,698
59
85
845
297
6,563
923
438
390
269
463
'^71
168
4i8
824
567
257
274,450
k:38i
l.57'^
3.991
1,856
23,833
9,167
3,879
120,092
22,903
^'783
3,086
10,032
9,^15
12,458
7,335
1,293
12,458
7,569
97,655
335
78,132
19.188
1*^,969
2.276
92
6,556
1,123
523
568
798
650
311
181
f7
63
566
1,773
^•975
685
m,»w7
20,752
1,106
1,833
IW
14,663
6.559
2,054
84,692
16,376
3.504
6,687
•^,903
8,213
6,122
1,098
2,331
8,213
830
61,636
54,098
6,507
8,807
907
79
559
206
204
•^,057
735
354
323
ill
421
166
40
44
"41
4i
64
1,082
38
790
254
aJ Seven Months, January to July 1935, InclUBive.
b/ Boards, Planks, and Scantlings (Hardwoods) Includes Mahogany.
c/ Railroad Ties converted at 30 bd.ft. per tie.
Source: Foreign Commerce and Navigation of the United States.
9613
-19-
CHAPTEE III
IIAEDWOOD EXPORTS
The United States is the largest exporter of Temperate Zone Hard-
woods, the principal item of which is oak. Efforts have teen made to
accumulate the necessary date to compile a tatle showing the world hard-
wood export market, similar to that compiled for softwood, table ^r 4.
Due to the short time available and the problem of collecting and trans-
lating all the information from the various importing countries, only a
start has been made on this compilation which, therefore, ca,nnot be in-
cluded in this report. However, the table on imports into the United
Kingdom, the largest market, illustrated the dominant position of this
country in the hardwood trade, Fnile some trade has been lost to Canada
because of the British preferential tariff, which became effective in
1332, the loss was not nearly as serious s.s with softwood, primarily be-
cause Canada cannot supply the species and quality of hardwoods which the
Unit^ Kingdom demands. The only other countries entering into competi-
tion with the United States are Poland and Japan, The amount of oak
available in Jappn is limited and should not be a large factor for any
long period of time.
Practically all hardwoods shipped in export come from the Appalachian
and Southern regions of the United States, Differing from softwoods,
there is no material difference in cutting hardwoods for the domestic
market or for export and until the product is shipped there is no way of
knowing whether the hardwood lumber will be sold in the domestic market
or shipped as export, ,
Statistical data would indicate that exports of hardwoods were not
definitely affected by code provisions. Production control was in effect
in all hardwood producing areas and in estimating consumption, the probable
amount of export shipments was included in the quota. Just what effect
this had on export trade is uncertain, altho-ugh it is generally conceded
by the manufacturers that it was a stabilizing factor. As it is impossible
to segregate domestic production and cx;oort at hardwood mills, the product
being identical, any other course would have been impossible of admin-
istration.
961S
•20-
gJHJ 7
HARDWOODS: IMPORTS INTO UNITED KINGDOM, TOTAL, AND BY COUNTRIES
: 1«2<9
: 1930
: 1931
1932 :
1933 J
1934
Country
: M ft. b.ffi.
:Per cent
: of
: total
:M ft. b.m.
:Per cent
: of
: total
:M ft. b.m.
'Per cent
of
total
M ft. b.m.i
Per oent:
of :
total :
M ft. b.m. •
Per cent:
of :
total :
M ft. b.m.:
Per cent
of
total
Total
1 J|66,043
: 100
456,501
: 100
359,309
: 100
: 350,911 ]
100
_ 351,7^
100 :
434,645 '
100
United States
! 232,1^39
'. 50
: 235,109
* 5^
" 131,309
I 50
'. 164,435
^7
: 154,663
': 44
159,456
37
Canada
: 57,662
12
• 47,166
: 10
' ^3,395
• 12
: 51,930
' 15
: 60,720
: 17
" 7«,703
' 13
Poland
: 29,3«2
6
31,gl4
' 7
: 29,105
: 3
: 23,262
3
' 39,904
: 11
: 50,3^
! 12
British India
23,6g2 :
5
20,^37
5
11,7^2
3
: 10,217
3
: 10,336
; 3
: 16,464
: 4
Africa (Fr. Poss. ) :
10,20g
2
10,332
2
: 7,077
: 2
5,512
: 2
■ 3,099
: 0.9
: -
:
Irish Free State
9,176 •
2
5,132
1
: 2,946
: 0.3
: 2,632
: 0.3
: 1,336
: 0.5
:
:
Nigeria :
sMi •
2
6,544
1
3,961
1
: 4,937
1
: 4,452
: 1
:
:
Japan !
g,i+65 :
2
10,394
2
7,04l
2
• 15,634
4
; 15,169
: 4
15,103
; 3
Australia :
7,900 '
2 •
12,044 '
3
10,313
3
: 13,399
4
: 7,696
: 2
: 3,256
: 2
Yugoslavia :
6,095 :
1 '
g,593 '
2
9,233
: 3
• 7,517
: 2
1 11,120
; 3
; 2,736
: 0.6
France :
U,099 :
0.9 '
2,722
; 0.6
2,442
0.7
: 1,1^5
0.3
: 1,132
: 0.3
'
:
Russia :
3.056 i
0.7 :
2,396
0.5
^,193
1
. 4,093 '
1
: 1,995
: 0.6
»•
! -
Latvia !
1,713 :
0.4 •
1,231
0.3 '
1,030
0.3
135
0.05
: 190
: 0.05
-
; -
All others i
63,119
14
61,532 <
13
^5,972
13
• 40,303
12
: 39,423
: 11
103,577
: 24
"The Trade of the United Kingdom with Foreign Countries and British Countries"- 1929 - 193^ inc.
Note: Converted from cubic feet at 12 bd. ft. per cubic foot.
9613
-21-
HARDWOODS
TOTAL EXPORTS TO THE UNITED KINGDOM
BY PRINCIPAL COUNTRIES
1929, 1932, AND 1934
1929
SOURCE "TRADE OF THE UNITED KINGDOM
1932
1934
N.RA.
DIVISION OF REVIEW
STATISTICS SECTION
NO 436
9613
-22-
CHAPTER IV
SOFTWOOD EXPORTS
UlI'TED STATES SHAKE OF WORLD TRADE
In 1929, the United States led the world in total Yoliime of Ixunber
and sawn timT3L-r softwood exports. By 1934 it had fallen_to fifth place.
Year
Lea^dins Softvrood L'amber E>q3orts Countries
1 2 3 4 ~'
1929
U, S.
Svreden
Finland
Russia
Canada
1930
Russia
U. S,
Sv/eden
Finland
Cana,da
1931
Russia
U. S,
Finland
Sweden
Canada
1932
Russia
Sweden
Finland
TT q
Canada
1933
Russia
Finland
Sweden
U. S.
Canada
1934
Finland
Russia
Sweden
Canada
U. S.
S^
ource: See
Tahle - V/orld
Imports and I
Exports - Of
c, 15.,
United States exports of softwoods -^nd their maniif a(»ture s , exclusive
pulp and pulp products, rose steadily in value during the year 1926 to
1929, declining 29 per cent from 1929 to 1930, and 67 per cent from 1930
to 1932. From this low point it had gained 60 per cent "by 1934, still a
loss of 30,5 per cent the peak in 1929. At the same time the T/orld mar-
ket, as represented hy total imports, fell 36.5 per cent from 1929 to
1932, hut by 1934 had risen to a point 27,5 per cent "below the 1929 fig-
ures. The accompanying chart shows the United States' share of the soft-
wood trade of the principal importing countries in rela.t-ion tr the five
principal exporting coiontries for the years 1929, 1932 and 1934, In
addition, table # C gives the total quantity of United States' soft-
wood exports and the percentage of that quantity in the. world trade.
9613
-23-
TABLE S,
SCFrraCD EXPORTS: UlIITED STATES SHARE CE WORLD IIARICET
: Per Cent: : Per cent
ye3.r : United : of : All other : of
: States : total : countries : total
(H ft. Id, m.)
192S
: 3,213,325 :
20.7
: 12,285,805:
79.3
: 15,499,130
: 100
1930
: 2,268,855
19.9
: 11,398,150:
80.1
: 14,667,005
: 100
1931
: 1,564,778
15.6
: 8,998,078:
84.4
: 10,662,856
: 100
1932
: 1,066,100
10.8
: 8,301,326:
39.2
: 9,867,426
: 100
1933
: 1,197,152 ;
10.8
: 9,380,130:
89.2
: 11,077,282
: 100
1934
: 1,386,498 :
12.3
: 9,863,893:
87.7
: 11,250,391
: 100
Source; See Tatlc - World Imports and Exports, page - 15.
961C
-24^
SOFTWOODS
WORLD EXPORTS BY PRINCIPAL COUNTRIES
1929.1932 AND 1934
PER CENT
100
ON PERCENTAGE BASIS
----- .-
-^1
wmmfmm
- — -
f 1";^ "
1
7 3
i
■ ••••••••
j--
*•".'
•M-I'^sM-!'!-!
1
'!!.;■ 14 0
1
■ -- ^
i :ii
vo ■:';!!
"
1
1- ■
i'-i
:' 3 "
^"^^^— i6 ?
:''>^>>y:-'^'^.*^-^ ■:■:■:■:-■'■■-
— —
e
|>'-''"'^'=::;'-'--'^
PER CENT
100
UNITED STATES
4LL OTHERS
IN THOUSANDS OF FEET BOARD MEASURE
mil!}.
WiiiMiiiiii^
' "-■-■■
7^a,72o
-^>>
•'l^54,[00
• •
li
iiiiiikiifci
iiii
=1.510.740 = —
S I,066,I00«C*'H
TOTAL
16.499,130
1929
TOTAL
9.867,426
1932
TOTAL
11,250,391
1934
SOURCES^ FOREIGN COMMERCE AND NAVIGATION OF THE UNITED STATES
AND SIMILAR OFFICIAL STATISTICAL PUBUCAT10NS OF SWEDEN,
FINLAND, RUSSIA, CANADA, ETC.
NRA
DIVSION Of REVIEW
STATISTICS SECTION
N0.406
9613
-25-
CHAPTER V
PRINCIPAL IMPORTING COUNTRIES
Statistics of the Bureau of Foreign and Domestic Commerce covering ex-
ports reveal that Itunher is exported from the United States to eighty-
four countries, A detailed analysis of these same statistics indicated '.
that the shipments to eight of these countries constituted 67 per cent of
the total United States' softwood exports. As the limits on time and
personnel available prohihit a detailed report on each of these coiontries,
it has "been decided that an analysis of our softwood trade with these
eight principal importing countries would give a fair perspective of our
export trade and its prohlems in the world market. While undoubtedly this
does not present the entire picture, as many different factors affect each
market, an analysis of these eight markets will illustrate the problem.
These eight major markets are the United Kingdom, Japan, China,
Canada, Argentina, Italy, Belgium and Germany,. Of these, the United
Kingdom and China have "been selected for various reasons hereinafter
disclosed. In addition, the Australian market will also he reviewed be-
cause of a particular problem affecting that market. These selections
were made because these three countries ^^resent three distinct types of
problems as follows:
1» The United Kingdom - the largest import country in the world.
2, China - a free market; that is to say, open to our competitors
on the same terms as ourselves,
3, Australia - because of the influence of the British preferential
tariffs on this m.arket.
United Kingdom
Softwood im.ports into the Uriited Kingdom in 1934 constituted 39 per
cent of the world market, e::cceding the next largest importing country,
Holland, which latter country represented 7 per cent of the world market,
by the large fig-are of 32 per cent. The accompanying chart, # D, gives
the total softwood imports in the United Kingdom and the United States'
share for the years 1929, 1932 and 1934, Great Britian has little com-
mercis,l forest and it is necessary that practically a,ll of her require-
ments must be impcrtcd-j
The principal countries competing for the softwood market in Great
BritipTi are the United States, Canada, Russia, Pinls.nd and Sweden, The
increase in the United Kingdom market in the last three years is due to
the government sponsored and encouraged building and rehabilitation pro-
gram which ha,s been going on at the rate of about 35,000 domiciles annually.
The current program of the Board of Trade for the next five years is
50,000 domiciles annually, which would indicate a further increase in
imports in this primary market..
As far as softwood shipments are concerned, it would appear that the
9513
-26-
JEABUC 9
UNITED STATES EXPORTS OF SPECIFIED LUMBER AND TIMBER PRODUCTS TO PRINCIPAL IMPORTING COUNTRIES, 1933 ~ l^jk
UNITED KINGDOM
M ft.bd.M $1,000
JAPAN CHINA
M ft.bd.M |1,000 M ft.bd.M ll,000
CANADA ARGENTINA
ft.bd.M $1,000 M ft.bd.M $1,000
ITALY BELGIUM GERMANY
ft.bd.M $1,000 M ft.bd.M $1,000 M ft.bd.M $1,000
1 9 ^ k
Total
Logs-Hewn Timber
Hardwoods
Softwoods
Sawed Timber
Hardwoods
Softwoods
Boards, Planks
. and Scantlings
' Hardwoods
Softwoods
Other Sawed Lvunber
Box Sbooks
Hardwood Flooring
Railroad Ties
1 Q ^ 3
Total
Logs-Hewn Timber
Hardwoods
Softwoods
Sabred Timber
& Hardwoods
Softwoods
Boards, Planks
and Scantlings
I Hardwoods
Softwoods
Other Sawed Lumber
Box Sbooks
Hardwood Flooring
Railroad Ties
283,227
1,150
1,150
26,232
26,175
250,258
191^,307
55,951
"60
5,W
«3
2,1^59
2,002
^^57
31,171
152
31,019
266,5^4
202,425
64,159
l4i
5,161
I4,l69
2«
2g
l,2lg
2
1,216
12,491
10,411
2,080
1
430
1
305,516 12,105
13»^
111
1,006
5
1,001
10,643
g,g44
1.799
3
319
302,779 3,665
2,265
134,833
135,«»^3
. 313
26,7«5
2,740
99,309
2,350
96,959
m,639
39,395
132
39,263
.^5
1,^^95
1.636
135. «^3 1,636
78
397
44
313,3^7 3,504
1,37^
17
1,357
1,636
1,634
494
25
H69
301,246
2,546
32,411
48,898
8
149,528
4
IS
67,«33
225.931
8,170
7.170
1,000
37,923
37,923
123,271
123,271
f.^ft?^
3,^^15
17
190
595
2
1,729
1
2
879
1,883
5
327
327
1,032
1.032
^73
98,123 3,085
42,358
253
1,920
28,860
24,530
"89
113
13,011
263
12,748
1,272
81
1,191
3«.939
24,782
14,157
102
115
1,889
578
10
46
1,601
839
" 4
7
55.328 2,118
217
8
209
'I
55
1,696
1,2W
456
3
5
138
97,55s 2,896
2,175
2,524
92,859
79 , 842
300
300
910
910
78,610
2,602
76,008
22
93
'-SI
2,646
1,752
5
5
17
17
l48
l,5Sl
56,260 2,4l8 42,849 1,583 29,947 1,366
188
20,449
S,115
27,463
^^5
439
169
270
22,335
8
22,327
34,258
9,505
24,753
4
745
402
1,265
57.032 1,818
30
20
10
610
1
609
1,178
316
862
103
1,865
5.553
35.223
30
75
628
28
600
1.846
l"846
49,7*H
11.599
38,1^2
107
56
263
1,248
2
6
25
2
23
37
37
l.5;i3
426
1.087
1,281
1,577
1.869
25,022
3^
164
1,449
2,348
1.045
1.045
28,305
1,?30
27,075
20
38
'68
186
1,062
3
52,322 1,583 33,167 1,202
190
147
32
"32
979
98
881
Source: "Foreign Commerce and Navigation of the United States" 1933-1934 - Department of Commerce.
9613
-37-
jgjBLl 10
SoftvDods: Brports from British Oolumbia and Oregon-WasUngton to
United EingdOB
Ifontk
Total
January
February
Mazeh
ipril
May
June
July
August
Septeober
October
Norember
Deo ember
Total
January
February
Maroh
April
June
July
August
September
Oetober
Hoyember
December
19 5 0
10 8 9 _— • ■ -_
British: % of: Oregon- i ^ of: British : % of: Oregon- : % of
Columbia: total: Washington; total: Colombia ;total: Washington : total
(In thousand board feet measure)
69,904
5,494
2,066
7,132
S,422
5,227
3,975
10,487
6,179
9,786
6,094
7,205
4,837
20
284,384
14,611
8,414
25,611
17,451
23,470
30,237
26,516
30,458
27,992
25,449
26,272
27,093
1 9 3 4
455,696
b/42,565
e/42,543
40,234
e/34,921
^30,266
32,329
^45,614
38,714
29,581
38,978
40,454
39,497
92
37,116
b/ 3,553
o/ 3,682
3,900
e/ 3,785
t/ 1,373
228
k/ 1,119
5,742
4,897
2,512
3,503
3,421
80
8
98,038: 24
•
4,742:
6,751:
5,121:
6,185:
10,390:
h/ 10,406:
5,278:
12,816:
12,952:
9,913:
7,070:
6,415:
305,007 : 76
21,419
17,386
26,023
41,739
34,867
h/ 38,645
22,168
25,011
22,962
16,817
19,487
19,103
19 3 6a/
280,498
33,451
26,611
28,130
32,835
'.£/ 49,520
30,005
36,065
43,881
94 : 16^922
s/
1,972
2,406
3,312
3,119
1,958
217
755
2,883
19 3 1
19 3 2
1933
British : % : : Oregon- : % : British : % : Oregon- : % : British : % : Oregon- i%
Colombia ; tolC: Washington: totl: Colittmbia :totl: Washington: tota: Colombia ;to-tfl: Washington; tol
(In thousand board feet measure]
81,356
3,190
6,277
6,179
2,240
9,232
10,133
14,951
10,059
5,313
1,948
3,913
/ 7,921
45
98,397
10,161
7,045
10,075
9,347
9,837
8,971
7,725
8,082
Of 040
5,938
5,897
n/ 6,774
55
108,315
2,442
3,926
d/ 6,634
12,295
11,506
i/13,002
14,751
4,225
9,168
10,297
a/ 7,264
12,805
71
*/
S/
3,339 : 29 :
271,072
• <
5,368 : :
6,869
2,663 : ;
8,553
4,039 :
: 11,118
4,395 :
11,620
4,240 :
: 16,763
4,359 :
( 24,918
3,161 :
: J/22, 426
2,539 :
! 1/28,061
1,865 :
: 29,326
3,651 :
I 27,181
3,441 :
! 39,670
3,618 :
: 45,585
83
55,535
4,466
3,199
3,967
5,290
5,070
6,439
J/ 7,010
1/ 5,012
3,191
4,924
2,671
4,290
a/ January to August, 1935, inclusiye.
b/ United States off gold standard on January 31, 1934,
0/ Loggers of British Columbia were on strike during February, 1934
d/ British Empire Preferential Tariff became effective on March 15, 1932.
% Poind SteSing started an upward trend in November. 1932. reaching and exceeding the
normal rate in April, 1934, in which month it rose to 5.1342.
t/ Strike of Longshoremen began May 9, 1934.
b/ Code abandoned on May 27, 1935.
W Hawley.-Smoot Tariff became effective on June 18, 1930.
i/ Revenue Act of 1932 became effective on June 21. ^^^hing its noanal value,
j/ Canadian Currency started an upward trend in July. 1933, reacning ixs noin^x
k/ Strike of longshoremen ended July 29, 1934.
1/ Code approved on August 19, 1933.
Z/ Pound Sterling reached a low of 3.2752 in ^^«^^«^' ^»f^.
t/ Canadian Currency reached a low rate of .804558 on December 16, 1931.
Source of Statistics: Pacific Lumber Inspection Bureau
17
9613
-28-
CHABT P
PER CENT
100
SOFTWOODS
EXPORTS OF LUMBER AND SAWN TIMBER TO THE
UNITED KINGDOM, BY PRINCIPAL COUNTRIES
1929. 1932 AND 1934
ON PERCENTAGE BASIS
:
^ '■" I
.,c -:
-
.6 3 V
•.•.'.'3
6
i':-!':
19 6
241
*
!"I*!'I
- 23 5
li •;■ '■■■■*'
?;':';'; :;,!,;';;:'!'■ ' 11""
26 C ,„i,;
:';■ '■ ■;,f
»'i ,' 1 •• . .■•i-i'-i
I; ■ SB4, ■ , ,:|
ii:::,.'.' ::.:>-:
■■■!';■■■•■•'■■■?. 9 ■■■■■■ ■■•-■■
;;;;.:. ;i,S.;;;;:,;
PER CENT
iOO
1929
19 32
1934
CD in
UNITED STATES
Uu^ - *
ALL OTHERS
OTAL
4,419,619
1934
SOURCES' BRANDT, LONDON
FOREIGN COMMERCE AND NAVIGATION OF THE UNITED STATES
COMMERCE OF CANADA
FOREIGN TRADE OF U.S.S.R.FOR FIRST 5-VEAR PLAN
SVERISES OFFICIELL* STATISK
N RA
DIVISION OF REVIEW
STATISTICS SECTION
NO. 411
9613
-29-
United States has relatively lost ground in the last few years.
The acconpanying table, # 10, vriiich gives the monthly shipments
from the States of 17ashington and Oregon, and the Province of British
Coliimhia, illustrates the coupetitive situation during the past six and
one-half years, and indicates the principal factors affecting the market
for American species in the United Kinghom,
Influence of Russian and Baltic Shinraents in the United Ivinp-dom Market
Other factors have ha,d their influence, particularly Russian ship"
nents from the ¥hite and Kara, Seas. Following the estahlishment of the
five-year plan in Russia, softwood shipments %o the. United Kingdom in-
creased hy leaps and hounds, at prices which were largely now competitive
as far s,s the United States and Canada were concerned. On representations
from the Cans^dian Crovernnent, ,and in retaliation for Comm.unistic activities
in the United Kingdom, an emhargo was placed hy G-reat Britian on lumher
shipments from Russia in 1935, which was later ameliorated to permit the
import of Russian Irunher on a quota "basis. Contracts have heen made
annually subsequent ther-pto^ which has definitely predeternined the amoimts
of softwood luiaher to bo admitted to the United Kingdom from Russia. The
exports- of Finland to the United Kingdom have; risen materially through
pressure to maintain its trade balance, by the sale of this one readily
convertible natural resource. The production of Swedish lumber is on a
national sustained yiel.d basi.s and there is little chance of a substantial
increase in production in that country, hence an increase in its export,
: Comipetitioja with Canaxla
: Shipment-s to the United Kingdom from the- United States have not main-
tained their -relative position, the prinpipaL change coming at the time
the British pref erentia;l tariff became effective in March, 1932. Total
shipments frojm the West; Coast in 1932, 1933 and 1934, however;, aggregate
far in excess, of any i3r;eviously reeorded shipments, so that whatever the
cause,, obviously th,e increase in shipments from British, Columbia were not
a;ll at the exrpense of the United States' manufacturers. Such factors as
e:xchan_ge rates, the. establishment of quo;tas for Russian lumbe;r,'and active
trade promotion through a. British Columbia lumber trade commissioner in
the Unitt-d Kingdom, all had their effect. Prom every indication the swing
to Canada had comiienced before the Lumber Code or IffiA and monthly ship-
ment figures would not indicate any material change following the abandon-
ment of the code in May, 1935.* -
Another important factor in the United Kinghom market has been the
trent by that country towards using cheaper gra,des of liomber in building
construction and the significance of this trent should be kept in mind.
The bulk of the lumber used today for building construction in the United
Kingdom is so-called "fifth grade". This grade of chea,per lumber is more
readily available in quantity in Russia, Sweden and Finland and more re-
cently Poland and Latvia than in either the United States or Cans.da, as
the type of timber manufactured into lupber in North America runs on the
See Chapter X, discussion of the effect of code provisions
Page 57 on export trade.
9613
-30-
TABLE 11.
SOFTWOOD EXPORTS:
IMITED STxVTES ME CUTADIAU SHAJffi OF UNITED
KliTGDOM I,J\5I'CET
: : Per Cent :
: Per cent: Total
; Per cent
Year '
- : United States : of :
Canada
: of : U.K.
: of 1
: ' ! total :
: t otal : Import
: total
(Li ft. 13.™.)
1929
: ■ 221,760
6.3
157,410
. 4.5
3,525,390
100
1930
: 253,440
■ 7.7
■ 153,350
5.0
3,276,500
100
1931
: 158,400
5.2
108,900
3.6
3,018,510
100
1932
: • 85,140
2.9
152,460
5.2
2,920,500
100
1933
95,776
2.5
4-^9,860
11.0
3,804,316
100
1934
83,419-
l.S
311,800
18.0
4,419,619
100 •
Source: See Tatle - World Imports and Exports page - 15..
9613
-31-
cverage to a much higher grade. As this is a more or less new develop-
ment, its ultimate effect on this important narhet can only he conjectur-
ed.
The effect of exchange rates and tariff provisions should receive a
great deal more detailed study, as unquestionably they are the dominant
factors in this competitive market.
CKIM
In terras of softwood lumber imports, China, in 1934, was the sixth
largest market in the world, China obtains practically all its needs
from the United States, Canada and Russia. In 1934, China was our second
largest customer, being only exceeded by Japan, and it purchased more soft-
wood Iximber from the United States than from any other nation.
It is a market which has remained open on a competitive basis and as
such is a clearer index of the effect of code provisions on export trade
than that of almost any other co-untry. Shipments from Washington, Oregon,
and British Columbia to China, shoma in table # 12,. represent the bulk
of the business and are, therefore, indicative of the trent. The in-
crease in total shipments from British Columbia in 1952 9.nd 1933 is proba-
bly attributable to more favorable exchange rates.
Also attached is a bar chart, f E , revealing the percentages and
trends of our competitors in this market.
Up to November, 1935, China's monetary system was based on a silver
standard, and therefore subject to fluctuation in a,ccordance with the
price of silver. Statistics of Chinese foreign trade bears evidence that
the value of such trade fluctuates inversely to the price of silver*
With the low prices of silver in 1929 to 1933, trade in and with
China had a boom, wholesale price indices of commodities rising as the
price of silver fell, lerding to speculation in commodities and real estate,
Tflhen silver prices in the world market started to rise in 1933, this trend
was reversed in China and wholesale price indices started to fall, with
the resultant tendency to convert commodities and real estate into money
(silver). Deflation set in and, as the price of silver rose, the country
was plunged into depression, values falling so that eventually frozen
assets in the form of lop.ns on high values established during the boom
caused the failure, early in 1935, of many important banlcs,
\?hile internal conditions in China are chaotic and ujicertain, com-
plicated Idj Japanese penetration into Manchuria and North China, there is
little doubt that silver has oeen and is, one of the dominating factors
affecting commerce and foreign tr.-^de. Obviously, a detailed study of
silver and its relationship to the China market would take more time than
is warranted in the short time available. Hov/ever, as previously pointed
out such factors .affect all countries selling to China, and thus study of
the Chinese lumber trade throws more light on the effect of external factors,
such as the Luiaber Code provisions than study of the trade of any other
important lumber importing country.
9613
Softwoods:
-3&-
TMSat 12
Exports from British Colombia and Oxygon- Was Mngtoa to
China
Honth
19 2 9 : 19 3 0
British : % ofi Oregon- : % ott British: %'6t: Oregon- : % 6t
Colxaabia ; total: Washington : total; Colaabia; total; Washington: total
J 1 9 S 1 : 1 9 S 8 ;
: British ; % J Oregon- : ^ : British : % : Oregon- : % : British : %
Colombia ; tot, : Washington: tot, : Colombia ;tot«t Washington; tot.: Colombia ; tot.; Washington; tot
1 9 S_3
Oregon- ; %
•otal
January
Fcbraary
Uaroh
^pril
ifay
Jane
ffuly
iugust
September
October
HoToaber
December
Ototal
Jaaoazy
February
Ifeirdh
i&pril
Ifey
June
July
Augnst
September
October
November
December
(la thousands M ft. b.m. )
43,323 : 11
: 334,652 : 89
: 55,224 : 21
: 212.285 : 79
•
2,529 :
• e
: 11,636 ;
• •
: 5,664 :
: 12.694 :
1,407 :
: 15,236 ;
! 1,726 :
: 15,352 :
2,826 :
: 47,245 ; :
: 3,962 :
: 11,281 :
1.453 :
: 29,859 :
. 3,921 :
1 18,153 :
2,099 :
: 31,069 : !
4,708 :
21,180 :
1.122 :
: 28,170 :
i/ 3,766 :
: 1/ 21,462 :
3,736 :
! 31,614 : :
10,511 : !
35,401 :
7,277 :
1 45,783 : i
5.616 : i
U,642 :
7.414 : i
41,323 : :
7,052 : 1
t 19,473 :
5.433 : :
29,782 : :
3,846 }
9,801 :
2,031 : :
15,927 : :
1,231 : :
12,228 :
5,996 : :
6,994 :
3.222 t ;
23,618 :
19 3 4
(In thousands U ft. b.m.)
53,854
1,594
2,683
2,276
6,576
5,622
5,486
7,467
4,908
3,679
5,870
3,979
.2/ 3,714
15
:i!/
314,477
15,847
23,884
19,761
20,513
35,979
43,473
38,467
31.210
24,335
27,740
17,595
15,683
85
53,341 : 29
:
3,201
10,062
d/ 801
1,115
J/ 2,663
3,942
6,657
4,021
8,646
n/ 4,198
8,035
131,652
19,620
6,785
:d/ 7,620
5,419
: 12,971
:J/ 10,443
6,979
17,136
11.886
12,439
/ 9,659
10,605
71
130,597: 34 : 253,518 :66
8,823:
8,115;
8,103:
8,145;
12,512:
11,206:
9,451:
it^ 18,036;
8,585:
16,228:
!jo/ 12,131
11,160
9,430
15,807
27,396
28,266
29,651
35,737
24,406
/ 25.634
18,121
. 12,948
!0/ 12.921
12,999
19 3 5a/"
b/16,265
b/12,363
: if^LO
^10,543
e/ 7,776
]^10.040
1/ 8.015
6,640
1.655
11,898
9,703
4,071
BH
:b/ 12,861
;c/ 29,118
i , 38,099
it/ 44,085
^J 15,466
l^ 1,545
:l/ 5,490
53,342
23,340
22.372
45,677
51,546
76
56,250
7,244
15,313
e/ 8,277
6,368
h/ 7,054
2,019
3,646
6.339
24
174,289
29,656
55,641
e/ 19,282
34,664
h/ 14.746
5,521
12.205
2.574
76
9613
a/ Januairy to August. 1935. InclusiTs.
V United States off gold standard on Januaiy 31, 1934.^
c / Loggers of British Columbia were on strike during February, 1934,
d/ British aapire Preferential became effectlTC on March 15, 1932.
e/ Failure of several large banks in China,
i/ Pound Sterling started an upward trend in November, 1932, reaching and exceeding the
normal rate in April, 1934, in which month it rose to 5.1342
£/ Strike of Longshoremen began May 9, 1934. >
h/ Code abandoned on May 27, 1935. '
i/ Hawley-Smoot Tariff became effective on June 18,
j/ Revenue Act of 1932 became effective on June 21.
W Silver Purchase Act became effective on June 19,
1/ Strike of Longshoremen ended July 29, 1934,*-
a/ Code approved on August 19, 1933, >
§ Pound Sterling reached a low rate 0^3^^'^^^!^ ^rS^J^eif ^53,
0/ Canadian Currency returned *° ^^^ J^^^ aSs^ on Dl^bei 16, 1931.
£/ Canadian Currency reached a low rate or ,eu4ooo
Source of Statistics: Pacific Lumber Inspection Bureau
1930.
1934.
fiHAUTi
PER CeNT
100
SOFTWOODS
EXPORTS OF LUMBER AND SAWN TIMBER
TO CHINA, BY PRINCIPAL COUNTRIES
1929,1932 AND 1934
ON PERCENTAGE BASIS '^'' "^"^
100
1929
1932
1934
f.y^'^
UNITED STATES
^P^
'«■■■«■»■
U,S S R
MILLIONS
OF UBM
0.5 -
IN THOUSANDS OF FEET BOARD MEASURE
MILLIONS
Of MSM
932
TOTAL
436,096
1934
S0I/RC£S < FOREIGN COMMERCE AND NAVIGATION OF THE UNITED STATES
THE FOREIGN TRADE OF CHINA- MARITIME CUSTOMS
COMMERCE OF CANADA
FOREIGN TRADE OF USSR. FOR FrRST S-YEAR PLAN
NRA
DIVISION OF REVIEW
STATISTICS SECTION
NO. 4 09
9013
-34-
Tatlo #13, on page 36, , gives the monthly average value of silver
in cents per ounce for the years 1953, 1934 pnd 1935 at New York a,ncL London.
AUSTRAXIA
Although Australia is not one of the eight principal important coun-
tries, it ha.s been included in this report, ;orimarily, "because it illustrates
the effect of the British Preferential Tariff on Empire trade. Statistics
covering softwood shipments to Australia from Ifashington, Oregon, and
British Columhia, the chief suppliers of softwood luraher, illustrate the
effect of the British preferential tariff which caused a decline in our
trade from 82 per cent of the total shiioped from Horth America in 1929
to 5 per cent in 1933. 'Tlaile, "ondouhtedly, exchange rates and other factors
caused minor fluctuations in the competitive situation, the dominant factor
was the preferential ta.riif. A similar study and analysis of shipments to
other British Dominion markets would prohahly reveal a similar trend.
Tahle # 14 , given on page ITo. 57, gives the exports of softvroods
hy quantity to Australia from Washington, Oregon and British Columhia dur^
ing the years 1929-1934 inclusive, and the first eight months of 1935,
A har cha,rt given on page 38 shows the trend of the lumher exports
of the ahove countries in the Australian market prior and suhsequent to the
preferential tariff of 1932.
JAPM
Japan for many years has "been our best customer for softwoods, rang-
ing from 765 million feet in 1929 to 297 million feet "board measure in
1934, All imports of softwoods into Ja,pan originate from the "United States,
Canada and Russia. Imports from Russia have fallen very materially in the
past few years from a, high point of 399 million feet in 1930 to only 13
million feet in 1934.
In recent years, Japan ha,s "bought less and less sawn lum"ber and
squares, "but has increased her purchases of logs and "bolts. A detailed
study of this important market should he made an important part of any
final report on foreign trade of the lumber industry, because it is one of
the few major markets in which we have not lost our relative position dur-
ing the past six years. Onl^'- recently, in retaliation for ta.riff restric-
tions on Japanese good into Canada, an embargo was placed on Canadian
lumber, with the result that shipments from Washington and Oregon, the
principal region of supply, materially increased.* This is probably a
teniporary condition -and Canada is eicpected to settle its current contro-
versy with Japan and then normal trade rela.tions will be resumed,
OTHER LARCrl, mCETIITG CCUITTRIES
HollaJid, Germany, Italy, France and Denmarjt -are all large importers
but the percentage shipped by the United States to these European countries
* Table # 9 , Page 26.
9813
-35-
is relatively small. Russia, Sweden and Finland supply the bulk of the
softwood shipments to these countries. Lack of time to study these major
markets does not permit any comment on the controlling factors. In
France, import quotas, established with the idea of helping to stabil-
ise the franc, have rediiced total imports*
9613
-36-
T^LE 13.
SILVER; MONTHLY AVERAGE VALUE AT IlIEll YCRK AID LGffi)CN
(Cents Per Ounce)
1933
19;
34
1935
Domestic
London
Domestic
London
Domestic
London
Yearly Average
' 34.73
31.98
47.97
44.53
64.78
59.71
Janiia.ry
25.40
23.64
44.19
40.78
54.40
50.11
Eetruary
26.07
24,08
45.23
4?.. 09
54.60
50.39
March
27.93
25.16
45.88
43.04
53.05
54.49
April
30.73
27.50
45.18
42.39
67.79
62.45
May
34.07
31.21 '
44.23
41.01
74.36
68.97
June
35<.66
32,87
45.17
42.03
71.94
66.51
July !
37.63
35. 5C
46.31
43.14
68.22
53.00
Auijust
36.07
33.54
48.99
45.12
65.62
61.04
Septerater
33.44
35,52
49.48
45.55
66.00
60.40
October !
38,19
35.41
52.38
48.55
_
_
Woveml)er ;
42.97
39.51
54. 26
50.43
-
—
Decem'ber
43.55
39.31
54.39
50.29
—
—
Source: Federal Reserve Board Bulletins
9613
-37-
TABU 14
Softwoods: Exports from British Columbia and Oregon- Washington to
Australia
: 19 2
9
:
1
9 3a
Itcntla.
: British : ?6 of:
Oregon-
: % of: British
: % of
: Oregon-
: % of
: Columbia : total:
Washington
: total
: Columbia
: total
: Washington
: total
(In thousands M ft. b.
m. )
Total
: 41«494
: IS
: 224,632
: 82
: : 33,017
: 40
: 81,903
: 60
January
: S47
: 22,965
: 7,745
: 12,275
February
: 305
: 9,774
: 855
: 15,165
Uaroh
: 1,598
: 21,290
3,807
: 4,700
April
: 3,795
: 15,551
: 4,415
: 9,344
May
1 2,431
: 14,935
: 4,461
: 3,403
<Jun« ;
2,253
: 21,122
: h/ 558
: h/ 2,836
July J
817
! 11,871
: 1,228
: 7,804
August ;
4,464
: 25,208
; 5,616
5 11,093
September :
6,463
15,546
: 1,263
: 10,340
October :
9,359
i 28,229
l 1,254
; 4,374
NoTember :
4,271
I 25,756
864
2,417
December :
6,391
I 14,385
: 951
3,152
19 3 4
1 i
) 3 5 a/
Total :
128,140 •
90 :
11,658 J
. 10 i
88,762
: 82 :
: 16,196 .
. 18
January :
c/ 9,999 :
100 :
c/ ;
0 :
8,017
: 60 :
5,314 :
40
Fdbruaiy :
d/14,368 :
96 :
d/ 607 :
4 :
8,081
; 84 :
1,536 :
16
March :
10,183 :
96 :
450 :
4 :
7,988
! 77 :
2,335 :
23
April :
e/10,720 :
90 :
e/ 1,127 :
10 :
12,563
89 :
1,550 :
11
May :
^10,816 :
95 :
t/ 593 :
5 :
_^12,900 !
83 :
g_/ 2,649 :
17
June :
8,910 :
96 :
395 :
4 :
13,945 :
93 :
970 :
7
July :
j/ 7,006 :
97 :
201 :
3 :
7,612 :
99 :
84 :
1
Augxist :
16,730 :
76 :
5,322 :
24 :
17,656 i
91 :
1,758 :
9
Septeniber :
8,479 :
97
249 :
3 :
:
- :
:
-
October :
9,730 :
100 :
- :
0 :
- J
- ;
:
-
November :
11,494 :
91 :
1,040 :
9 :
:
- :
:
-
December :
9,705,:
•
•
83 :
1,674 :
17 :
*
•
•
•
— J
—
,^__^,_^ 1 9.3 2
Oregon- : % : British : f> : Oregon- :
Columbia : tot. :Washington; tot; Columbia : tot. ;yfeLahington; tot.: Columbia ; tot.; Washington; ttfe
19 3 1
: British : "/b
19 3 3
: British : ^ : Oregon- : %
(In thousands M ft. b.m. )
50,803
1,555
946
1,744
2,131
2,572
4,323
7,260
±/ 4,667
8,261
3,957
4,868
a/ 9,119
53
26,724
3,542
684
3,473
3,401
3,989
3,961
2,192
'.k/ 1,641
1,484
1,811
533
/ 13
47
125,551 ;
92 :
4,372 •
100 :
5,979 ■
98 :
14,262
100 :
7,389
. 86 :
7,948
: 71 ;
i/11,341
: 88 :
17,938
: 96 :
12,115
:100 :
7,487
: 83 :
. 11,459
: 89 :
^15,554
: 96 :
: 9,707
: 94 :
10,986
117
1,162
3,239
i/ 1,590
780
1,508
1,392
m/ 592
606
8 : 123,734
0
2
e
14
29
12
4
0
17
11
4
6
b/ 7,371
3,806
15,062
7,331
15,631
15,569
6,511
1/13,270
7,505
15,948
8,969
6,761
95 : 6,913
:
90
78
95
86
96
99
89
99
99
99
91
96
i/
776 :
10
1,068 !
22
857
5
1,211
14
568
4
152
; 1
787
11
176
! 1
56
: 1
119
: 1
869
: 9
274
: 4
1934.
1934.
a/ January to August, inclusive. , . t iq^«
b/ Australian Pound Sterling starts an upward trend to normal in January, 1933.
o/ United States off gold standard on January 31, 1934.
V Loggers of British Columbia were on strike during February,
^ Australian Pound Sterling returned to noimal value in April,
f/ Strike of Longshoremen began May 9, 1934,
g/ Code abandoned on May 27, 1935. ,„ -.o^n
W Hawley-Smoot Tariff became effective on June 18, 1930.
f/ Bevenue Act of 1932 became effective on June 21.
j/ Strike of Longshoremen ended July 29, 1934.
§ British En5.ire Preferential became effective on August 31. 1951.
1/ Code approved on August 19, 1933. November, 1932.
^ Australian Pound Sterling '«f ^^^^^^^^J ^^J^g o^^ceSer 16. 1931.
n/ Canadian Currency reached a low rate of .804558 on l^cemo
Source of Statistics; Pacific Lumber Inspection Bureau
9613
-38-
PER CENT
100
SOFTWOODS
EXPORTS OF LUMBER AND SAWN TIMBER
TO AUSTRALIA. BY PRINCIPAL COUNTRIES
1929.1932 AND 1934
ON PERCENTAGE BASIS
UNITED 5TfiTE3
ALL OTHERS
0.4 I
IN THOUSANDS OF FEET BOARD MEASURE
TOTAL
349,470
1929
A \m~
1932
TOTAL
159390
1934
^u^
SOUffCE' BRANDT , LONDON
FOREIGN COMMERCE AND NAVIGATION OF THE UNITED STATES
COMMERCE OF CANADA
SVERIGES OFFICIELLA STATISK
NRA
DIVISION OF REVIEW
STATISTICS SECTION
NO. 410
9613
-39- ■
CHAPTLa VI
EPPECT or THE GODS OK U. S. LUt/iBSR EXF05T MAHKET
The Lirnber Code as aiDoroved "by the President on August 19, 1933,
in ac-.dition to labor ajid fair trade practice provisions, provided for
production control under Article VIII sjid cost -orotection (minimum
prices) ujider Article IX. (Heference; Approved Code No. 9.) The
possible 'effect of such provisions on export r'as a matter of conjecture,
Actup.lly, as far as specific provisions of the code were concerned,
export trade was specifically mentioned in only one instaJice.
PHODUCTION COWTaOL OE- EXPORTS
Article VIII, Production Control provided;
"(a) To effectuate the declared purpose of this code
in respect of maintaining a reasonable balance between
the production and the consumption of lumber and timber
products and to assume adequate supplies thereof, the
Aiithority shall determine, and from time to time revise,
not less frequently than each three months, except as
. hereinafter otherwise provided, estimates of expected
consmaption, including exports, of lumber and timber
products of each division and subdivision; and based
thereon it is empor-ered to establish, and from time to
time revise, production quotas for any division or sub-
division of the lumber and timber products industries."
The thou^-ht of the committee representing the industry in including
prodiiction for export in quotas was that, with the domestic market
protected, by quota restrictions pjid minimum prices, and without some
control on e:q3ort, those mills equipped and in a Toosition to engage in
export trade would enter into a mad scramble for such business, even at
extremely low iprices, in order to increase production and thereby obtain
the resultant lowering of overhead costs of all production, including
that sold in the protected domestic market. Any such action taken by
the manufacturers, with prices considerably below those in the domestic
market, might occrsion reprisals by importing countries and the invocation
of dujnping act provisions.
However, in order to insure any operator having a large enough
allotment to fill any export order, the code further -orovided in
Article VIIIS
"(h) TTiienever in the case of any eligible person it
shall be necessary in order to accept and execute orders
for export, to have an addition to his regular allotment,
provision for such necessary excess shall be made by the
Division or Subdivision agency, provided that any excess
above his allotment shall be deducted from his subsequent
allotment or allotments,"
Almost inmedia-tely following the approval of the code by the
President on August 19, 1933, one large operator on the Pacific Coast
9613
-40- ■
raised o"bjection to the inclusion of export in quota allotments and,
follorring representations to NBA., the Luinter Code Authority was
requested ty MEA to talce some steps to alleviate the situa,tion. At
a meeting of ■ the Control Comiiiittee in Portland, Oregon, in Eeceraher, 1933,
follo^7ing a hearing at which the preponderance of the manufacturers
present op-iosed any change hut, faced with the possihility that exports
would be excluded from production quotas if no action was taken, the
committee approved an amendment to the code known as Amendment No. 35;
(Reference: Minutes of National Control Comnittee Meeting,
Deceraher 12, 1933.)
"Strike out Section (h) of Artic],e VIII and insert in
lieu thereof the following:
'(h) In addition to allotnients to eligihle persons under
other sections of this Article, any such person shall- he.
entitled to a special allotment equal to 50 per cent of
his ercoorts during any allotment period as determined hy
evidence of actual shipment in export trade , and such
special allotment may he used during the actual or next
sticceeding allotment period; Provided, hoi^ever, that
ivhenever it shall he necessary for any eligible nerson,
in order to acce^Dt and execute orders for exriort, to have
an ac.c.ition to his regular and special allotments,
provision for such necessary excess for exportation
shall he made by the Division or Subdivision agency,
and such excess shall be deducted from his subsequent
allotment or allotments over a period of not to exceed
six L.ionths. ' "
The opposition to this provosed amendment was so vigorous that
the viatter wa.s held in abeyance and laid before the full meeting of
the Luiiber Code Authority, The principal objection to the -proposed
amendjient was that it "ould -oermit any nanufacturer selling in export
to produce and sell stock in the domestic market in excess of his
quota. As the code provided that all mills must be given an equitable
allotment based on a definite formula for all mills in a division,
such a provision as proposed in the amendment would be inequitable.
Following discussion, a special committee on. export was appointed by
the Cho.irnan of the Authority which, after several extended open
meeti-ngs, submitted proposals to the Authority v/hich led to the
approval of an amendment to the code, later submitted to NBA for
aporovrl and hnovm as amendment No, 54, a,s follows:
"In Article VIII, strike out Section (h) and substitute
therefor the follov/ing:
" (h) (l) Wlienever in the cs-se of any eligible person
it slir,ll be necessary, in order to accept and execute
orders for export to have an addition to his regular
?..llotnent, provision for such necessary excess shall
be -.-.lade by the Division or Subdivision agency, provided
that ajiy excess above his allotment shall be deducted
from his subsequent allot;:ent or allotments over a
period not to exceed six -^lonths.
961C
-41-
'(2) JJ'or the p-urpose of maintaining as far as practicable
the use of American lin-aber in foreign markets and to carry-
out the p-ua-;ooses of the National Industrial Recovery Act,
ea.ch Division or SuMivision may, at its option, elect in,
respect of the control of exports within such Division or
SuMivision one or more, or none, of the following options:
'A. No eligible person shall he considered to have
exceeded his allotment'for any period or if the excess
aoove his regular allotment does not exceed 50';o of his
exports as shown "by actual shipment in export trade during
the same allotment period,
•B, Any eligible person, at his option, may make
application to the agency and be given a classification
as an e:cport operator. Such person who is willing to
forego any specific portion of his regular allotment,
based on the total export and domestic quota, shall
be permitted to produce and export twice the portion
.of this allotment which he has foregone, and no such
person shall be considered to have exceeded his
allotment if the excesa above such allotment does
not exceed the amount of export production so registered
with the agency,
'C. Any Division or Subdivision may, subject to the
special conditions herein, designate certaan qualities
or items of lumber and timber products, which qualities
or iteus may be ;>3roduced by any eligible person in excess
of his allotment, provided that he furnish satisfactory
evidence to the agency of the Authority that such items
have actually been exported,'
"TTlienever and when under any of the options of this Section
any additional allotment is granted to siij eligible person
for export purposes, such eligible person shall make such
reports as the Agency may require periodically, or as often
as 'it iiay direct to prevent evasion of this Section,
"On Application of a Division or Subdivision, the Authority
ma.y authorize the aioplication of any one or more of these
options in respect to the ex;port of lumber and timber
products."
A hearing was held on this aj-aendnent on March 27 and March 30, 1934,
(See transcript of hearings on the Lumber and Timber Products Industries,
Modification Proposal - March 27, 1934 and March 30, 1934.)
Hiile supported by the large majority of the manufacturers, it was
opposed by a small group of large manufacturers on the Columbia River
and Coos Bay regions of Oregon. It was charged 'hy these objectors that
the code as written acted as an embargo on exports and asked that exports
be excluded from quotas, (Transcript of Hearing on Ltimber and Timber
Products Industries' Amendments, March 30, 1934, page 401.)
9613
-42-
A "brief filed by one of these conipaxiies (Transcript of hearing on
the L-uu-ioer and -Timber Products Industries, March 27, 1934, Sup-oleraent
No. 4), contains a statement and figures covering competition with
Canada in the China market purporting to show that the provisions of the
code vrere swinging the China l-umber trade to Canada:
"In the nine months to Septe^nher 30, 1933, Canada percentage
of the China Fir trade v/as 29,8;o.
"From October 1,' 1933 to January 31, 1934 (that is before
affected by the Canadian loggers' strike), Canada had 51.8fo,
"The United States' share had declined from 70.2^/o to 48. 2^/0.
"Sinilarly, as to all Douglas Fir ex'^ort to all countries,
before the embargo Canada, had 445oj after the embargo 64.4^.
The decline in the United States' share after the embargo
was from 55,2/o to 35,6^.
"The briefs of the t\70 gentlemen are filed i='ith discussion
of the British tariff, the U. S. tariff and the greater
depreciation of the Canadian dollar. They fail to mention
that the British and American tariffs were in full force
long before January 1, 1S33, and had a neglL-^ible effect
as betueen the nine months before the four months after
our embargo on export. More significant, they fail to
state that '.vhile the decline in the American dollar was
in full effect after the exnort embargo, yet the business
and enployment shifted to Canada thereafter,
"Tlie detail of the above fij?ures is 'as fallows;
Loss of China Fir export business from
Oregon and Washington to British Colunbia
After export embargo
B. C. Oregon-Wash.
January
February
March
Aijril
May
J"une
July
August
September
8,923
9,430
8,. 115
15,807
8,, 103
27,398
8,145
28,266
12,512
29,851
11 , 203
35 , 737
9,451
24 ',406
16,036
25,634
8,585
18,121
Both
91,078
214,650
305,7;
9613
-43-
"Slii;o;ients and ..per- )
centage .until exp.ort )
euopxgp affected .orders)
- i .",.'■■ ■•
October
November
DecemlDer
January
)
29.85^
,70.2^
lOOfo
16 , 238
12,131
11,160
16,265
55,784
12,948
12,921
12,999
12,861
51,729
Both
107 , 5:
)
)
)
51,8^
42.2fo
lOOfa
516,951
136.54fo
55,2fi
lOOfo
166,150
464,133
35,6fo
IOO5J
"Shipments and per-
centage from embargo
to B, C. strike
"Loss of total Fir 'business to all countries from U. S. to
Cenada. after export embargo;
Jan. 1 to Sept, 30) 419,596;
effective date em—)
bar go ) 44.8^0
Oct. 1, 1933 to ) 293,983
Jan. 31, 1934 to )
Canadian strike ) 64, 4^0
"It is arguable that the higher wages and shorter hours of
the United States mills are factors in the above shift of
e:r)ort trade 'from the United States to Canada. Then there
is still less excuse for denying freedom to the really com-
petent lov.' cost exporters to save such remnants of the
ikusrican ex-oort trade to China, and else^^rhere, for them-
selves and for United States labor, as their ;nore effici-
ent fighting power enables them ta do,"
It is interesting to note that this araend.ient I'ps never airoroved
by ICLA. because the Legal Division i.TOuld not auorove further discretions.ry
powers being gra.nted to t'he Authority and the Division- of Research and
Planning held the opinion that export should be specifically excluded
from quotas. To these proposals the Authority time and again refused
to accede. The result of this long dra\';n out controversy was that the
provisions of the code regarding export remained unchanged up to the
time the code was abandoned in May, 1935, An ex.?raination of the
shipments to China from Washington and Oregon, and British Columbia,
during all this Tjeriod and subsequently (See Table # 12, page 32)
proves the daiiger of using statistical data covering a short period of
time as bji index of a definite trend.
The subsequent fi,gures do not substantiate the claims of the
objectors to these code provisions, as in 1934, after Canadian currency
returned to a-iyoroximately its normal exchange rate with the U. S. dollar,
the conpetitive situation sv-iong in favor of the United States,
Of the total business, in 1S33, British Colunbia secured 34^ and
Washington and Oregon 65^; in 1934, British ColuTibia secured 24^ and
Washington and Oregon 76)^. In the first nine months of 1935, British
-44-
Golinn'bia shipraents constituted 24^ of the "business, ^Thile Washington and
Oregon shipped 76)o, . ;..^^
From the fi.eures availaMe, it is not possihle to reach a irire^cise
conclusion as to the extent to which the provisions of the lupilDer -code
affected the volume of trade, apart from other factors, such as tariffs,
emhargoes, quotas and exchange rates.
PRICE CONTaOL OF EXPORTS
Faile it was the "belief of the Lumher Code Authority that it rjas
empowered under the code to estalilish export prices, no such rjrices -ere
put into effect, because the necessity of meeting foreign competition
required rapid adjustment and change, which were not possible under the
code provision requiring ten days' notice of change. An attempt was
made to reuedy this object ionable feature and permit the establisliment
of aininujn erqoort prices. An araendiiient , kno^m as Amendment No, 49, quote.d
beloiT, Mc.s submitted to IJRA:
"Ar.ienc'^.ient i"o. 49. In Article IX add the following
nev' Section after Section (j):
*(k) Any Division or Subdivision may, siibject to
the disapproval of the Authority, establish, re-
vise and modify minimum prices and differentials,
and rules and reg-olations pertaining thereto, ap-
plying, to export sales, sales for export and sales,
for resale for ex^port, for any or all of the prod-
ucts -under its jurisdiction, to become effective
at the expiration of 48 hours or no re, as specified,
from date of issuance of notice thereof to "oersons
stibject to the jurisdiction of the Division or Sub- .,
division; -orovided that the Division or Subdivision
issuing such notice to persons subject to its jur-
isdiction shall at the same ti le and by the same
method issue similar notices to the Authority, to
, the Divisional Adiainistrative Agency (if issued by . i
a Subdivision), and at the expense thereof' to any
other Divisions and Subdivisions or persons request-
ing such notice,'"
On f-orther consideration, the industry never pushed the 'passage of
this amendment and it was never approved by MIA,
9613
-45-
CHilPTER YII
EXPORTS OF OTHER FOREST PRODUCTS
Douglas Fir Plywood Er:ports
The export of plywood, particularly Douglas Fir Plyi70od, is a grow-
ing tusiness. In 1933, Douglas Fir Plywood was approxinately 99^ of the
total exports and in 1934, approximately 9dfo, In the last few months a
sales org-.nization has been created - the Pacific Forest Industries of
Tacoma, Vfeshington. * This was organized and incorporated under the Wehh-
Poraerene Act for the purpose of stabilizing the export raarket and the
promotion of sales.
In view of its growing importance, .a detailed study of this trade
should he made,
"iftllTED STATES EXPORTS OF PLYWOOD
' 1 '
Year
Square feet
$ Value
1929
33,381,913
1,642,219
1930
37,890,534
1,542,435
1931
33,531,139
1,084,783
1932
31,735,799
755,014
1933
68,114,411
1,509,720
1934. ■
. 61,421,913
, 1,700,076
Source:
Foreign Comnerce
and Hai
ligation of
the United States
The Douglas Fir Plywood Industry was organized under the Lumber Code
as a subdivision of 'the West Coast Division, No provisions of the code
applied to exports, as Douglas Fir Plywood Inaustry did not apply for
and operate under a quota "ontil the last month the code remained in
operation. The quota, as applied, covered total production of domestic
and export for each operation. Inasmuch as the code was- ab-^ndoned be-
fore any conclusions could be reached as to the effect of n^roduction con-
trol on the export market, it is idle to speculate or attempt to drawa
comparison with the lumber export trade. It is sufficient to state that
the market was demoralized to the extent that this industry sought a
means of stabilization and applied to the Luraber Code Authority for pro-
duction control, including export production, in the quota as a means of
accomplishing that purpose. It is unfortunate that the abandonment of the
code shortly thereafter precluded any possibility of determining the
efficacy of the program,
DQUGLx^S riR DOOR EXPORTS
The export of Douglas Fir Doors, while not a very large percentage
of our total exports of forest products, is, nevertheless, important and
particularly so as it .presents an opportunity to draw comparisons with
* "Facts about Douglas Fir Plywood" - Pacific Forest Industries
9613
-4?
a93i
1932
1933
the e;cperience of l\xm'ber under code provisions, Doiiglas Pir Doors for
e:cport are sold in a highly competitive market, the major one "being the
United Kingdom where, in addition to competing with other foreign
countries, it must compote with a large donestic production fabricated
from impo:r;ted woods. ■ ■ .
UHITED STATES EXPORTS C? DOPES
Year II-ajn"ber " . $ Value .
1929 2,140,414 . 3,987,081
1930 1,806,160 3,027,341
1,987,071 2,718,949
1,009,755 1,023,433
2,091,711 2,014,699
1934 1,476,205 1,677,580
Source: Foreign Coranerce and Mr'Vigation of
the United States,
The Douglas Eir Door Industry "as .organized under the LiMil^er Code
as a subdivision of the West Coast Division, Minimum prices were estab-
lished for the domestic market hut production was not -olaced under control
through the provision of Article VIII (Production Control). No prices
\iere established ,:5or export, vrith the result that the domestic market "be-
ing protected "by minimum 3riccs was a scramble for foreign trade to ah-
sorh the overproduction which occurred through lac]-: of control and aliility
to unload surplus stocks in the dolucstic market at cut prices.
The usual procedure to ohtain "business w^s followed, with extremely
low prices, considerably below those set for the domestic market, being
offered foreign buyers. The ultima.te result of"" this price cutting was
that the British Gove rnrnL-nt , in order to protect the domestic producer,
invoked the anti-d-omping laws '-jid imposed additi-onal duty on Douglas
Pir Doors. Too late, the industry decided to remedy the situation and
took steps toward applying to the Lumber Code Authority for production
control, but the Schechter decision halted this attempt to stabilize
exports of Douglas Pir Doors, . ' '
9613
-47-
CHAPTEH VIII
IIviPORTS
IMRODU€TION
.Imports of sawn liimter and timber into the United States have
"been principally softwoods from Canada. As long as lumher was on
the free list the amounts ship'oed into this country were substantial,
but following, the imposition of $1.00 per M board feet tariff under
the Hawley-Sm-Oot Tariff Act, passed by Congr^s in June, 1930, and
$3.00 per M board feet under the Revenue Act of June, 1932, the
amount of imports dropped to an insignificant tota.l in comparison
with totcl domestic consumption.
Imports of hardwoods into the United States, with the exception
of maple from Canada and small quantities from Japan and Russ.ia, are -
largely made up. of .tropical hardwoods such as mahogany, PhilipDine
mahogany and so.^called fancy woods such as rosewood, oriental wood
and Spanish cedar. Most of .these trot)ical hardwoods are used for
special purposes or go into the furniture industry, mostly in the
form of veneer and plywood. •
Table #15, on page 49, gives the impoTts by board foot mea.sure
of our principal kinds of woods, which woods constitute a vast majority
of totai imports.
In addition. Table #16, on page 50, and Table #17 on page 51,
give peruhient information of lumber and timber imports into the United
States. (See also Table 18, p. 52 and Table 19, p. 53).
9613
-1-3-
CHA?T?1R IX
EFITECT 0? SBGTIOF 5(Ej Ori^HE .ILJIOITAL IJIDUSTPJAL E3C0VSIIY
AC7 o:: THZ LUiRZZ IM)USTIIY
While Section 3 (c; of the JTabioual Industrial Itecovery Act provi-
ded means for restrictiiag imports of products in competition with domes-
tic products produced under code prcvicions, no conjjlaint v;as filed
i,7ith iJHA. in respect to l"an"ber and sa^rn timber. The problem of imports
in their influence on domestic production, labor and conservation is
largely a question of tariff, -^s such l-omber imports have from time to
time been the subject of investigation by the United States Tariff Com-
mission, reference is made to Heport to the President on Lumber, ITo. 32,
Second Series, - United States Tariff Commission - 1952,
IThen lumber prices \7ere lo:; the $4,00 tariff acted as a virtual em-
bargo and only following a rise in prices, such as occurred during the
strike in the luiuber industry of the Douglas Pir region, did imports of
softwoods sho\? any appreciable amounto^
The trade agreement bet-veei the United States and Canada was signed
on i\Tovem.ber 15, 1935, (State Departn.'nt ajid Commerce Department docu-
ments). This agreement reduced the rate on Dumber 50^i, so that the com-
bined tariff and revenue charges'will be redi'.ced to $2,00. The only
reservation is that the reduce'd tariff vnll onl;?^ applj- to 250,000,000
feet of Doii^las Fir and western hemlock annually. This limitation is not
a quota restriction but a tariff limitation. Any amounts in excess of
the 250,000,000 feet will enter rt the old rate of $4.00. -The new rates
in the agreement 'will become effective January l,' 1936, and the effect
on imports caai onl3'- be conjectured. The reduction in ra"fees' applies to
any quantities of other soecies and will probablj'- lead to increase in
shipments, pa,rticularly s^^race, into the United States eastern market,
CODF ■•'B0-/TSI01I3 "iI'?nGTI2T& 'IKFOHTS
Tlie only provisicni affecting im-ocrts were those set up under the
Ivlahogany and the Phili-^pine f'ahogany Subdivisions., the ouroose of which
was to provide for con-.ro'i of the quantity'- of imports as no other form
of production coatrox ■. -^s feasible,
MAHOGAlff
Under Schedule "A'' Jf the Lumber Code and Lahogany Subdivision:
"COiTTEOL C? PHODUCTIOK (iLDr'ORTS) AP-TICLE VIII: Quotas of
imports or production est.-.blished for the Mahogany Sub-
division, and allotments thereof to eligible persons there-
in, in the discretion nf its Administrative Agency/ and with
the approval of the Lumber Code Authorityj may be for per-
iods greater than three months and may be b3,sed on ship-
ments, provided that no such person shall be precluded
tliereby from imports or production sufficient to maintain
at the end of any allotment -oeriod an inventory of logs
and lumber eqi\al in footage to the volune of his shii^ments
during the preceding calendar year."
9613
-49-
TABLE 15
UinTED STATES II\l[PORTS OP SPECIFIED LUMBER iED TIIvBEl PRODUCTS
1929
1930 : 1931
M ft. h.m.
$1,000.
M ft. h.m.
$1,000:M ft.h.m.
$1 , 000
To.tal - . ; :
1 , 848 , 863
54,382.
1,396,865
•
37,321:-'932,860 ;
20 , 421
Logs ■ ' ■ ; ,
192,176
3,456
101,868
2,925:151,036
. 2,442
HardiTOod's _ /,
-
-
1,687
. 511:1-2,662
725
Softv^ood's ' ■ ■ ' ' [ '
192,176
3,466
100,181
2,414:148,374
. 1,717
Cabinet: t;oo&.s in' log' \ ;
'81,264
6,633
50,507 .
3,493:- 21,994
1,390
Cabinet' Troods saffed ;
'38, Hi '
' 1,907;
31 , 387
1,677: 22,315 .
1,057
Railroad ties a/' '_ !
27,630
736
21,288
581: ■•11,842 '
291
Sawed iDoards & lUmlDer '_ :
1,504,075
41,395;
1,185,903
28,267:722,736 ;
15,080
Hardwoods '_ !
85 , 656
4,875
39 , goo
■2,051; :24,.458
1,019
Sof t'-'oods ' :
1,418,419
36,520
1,146,103
26,216:698,278 .
•14,061
Box shocks ]b/ !
5 , 007
255
5,912
378: 2,937
161
19:
52
. 1933 : - 1934
Total :
494,594 .
9 , 705
516,681
10,610:350,416
. 9,896
Logs
87,358
919
119,404
• 1,199: 37,540
t 422
Hardwoods
522
78
250
32: 52
! 10
Softwoods :
86,836
841
119,154
1,167: 37,488
! 412
Cal)inet woods in log
12,901
761
7,374
527: 11,845
! 915
Cabinet woods sav/ed :
12,263
527
21 , 281
815: 22,415
. 1,012
Railroad ties a/
12,762
302
13,542
! 357; 12,938
! 326
Sawed "boards & lumlDer ;
367,059
7,080
336,410
, 7,413:264,472
! 6,715
HardxTOods
15,276
550
26,923
! 912: 20,875
: 881
Softi-Qods
. 351,783
. 6,530
309,487
. 6,501:243,597
! 5,834
Box shocks h/
2,251
! 116
18,670
: 299: 1,205
! 506
Source: Per sign Comraercf
3 and Navigc
^.tion of
the United
States,
a/ Ties converted ?
at 30 hd. f
b. per t;
Le.
b/ Box shocks convc
3rted at 3 1
3d. ft. ]
:er shook.
9613
-50-
TABLE 16
HJffiDWQODS MD SOFTWOODS: . UKITED STATES li/IPORTS OF
SPEICIFISD LUlviBEE MB :TI]\CBER x°ROEUCTS a/
,: . :Softr,'Oods
Har.d\70ods
Total
Year ■: M ft.
$1,000
M .ft.
$1,000
M ft.
$1,000
1.929 :l, 643,232
1:930 .: 1,273, 484
1931 : 861,431
1932 ■■: 453,632
1933. .:: 460,:853
1934 ■: 295,229
40,967
29,589
16,230
7,789
8,324
7,378
205 , 631
123,381
71,429
40,962
■ 55,828
55,187
13,415
7,732
4,191
1,916
2,286
2,818
1,848,863
1,396,865
932,860
494,594
516,681
350,416
54,382
37,321
20,421
9,705
10,610
9,896
Source:. Foreign Comnerce ajid Nav-igatlon of the United States,
a/ Includes logs, luiiber and cabinet, sawn
and "bux siiooks.
boards, railroad ties,
9613
-SI-
TABLE 17
a/
DOMESTIC IMPORTS: EAHDWOODS AND SOFTWOODS FSOM CAblADA
AND ALL OTHEE COTJ-HTRIES :
, 1929
■ 1930 :
1931
: Caaada
All other
s: Canada :A11 -others
Canada
All others
Total : .
.l,645i854
203,009
(]
in M ft. t.!!!,) ■ ;
.1,216,695: 180,170 .
• •
851,257
81 , 603
Soft'-'oods ; !
1,5 63:, 29 9
79,933
1,178,560: 94,924 .
829 , 811
31 , 620
Hardwoods '
82,555
123,076
. 38,135: 85,246
•
•
21,446
49,983
: 1932
, 1933 .
1934
Total' ;
425,139
69,455
:433,774
82,907
288,438
61,978
Softwoods ;
. 410,778
42,854
'■409,114
51,739
272,449
22,780
Hardwoods-
: 14,361
, 26,601
.' 24,660
31,168
15,989
39,198
Source: Foreign. Commerce and Navigation of the United States.
a/. Includes softwood, teak ajid cabinet logs, sawed cabinet woods,
hoards and luinher, railroad ties (co-hverted at 30 hd. ft. per
tie) and hox shocks (concerted at 3 hd. ft. per shook).
9613
-52-
TIBLS 18.
UNITED STATES ILIP011TS OF LTLIBEIl AID TIIvIBEE PRODUCTS
FEOil CAKADA
1929:
19 ?0
1931
M ft. -b.m.: $1.000:1'-:: ft. '.^.m, ;$1.0G0:!. ft. 13.111. ;$1, 000
Total
Logs
Ceda.r
Eir-S-oruce:
Other (exce-pt
Cabinet)
Teak
Cabinet ttoo
log ,
Catinet "ood
Savred l)oard
Sof trroods
Hardijoods
Eailroad ties
Box Shooks ;6/
.-Hemlo ck
s in the
s - sabred
and linnhe
s a/
1,645,854
184, 552
33,437
86,994
43,092
2,777
524
1,257
64, 12'1
19
1,435,133
1,352,597
82,536
'25,124
' ■ 1,026
996
1,216,695
100,181
• 25,461
■ 74, 720
20
28,808
1,973
335
913
725
5
39,588
35,083
4, 505
' 703
^ 20
851,257
148,374
20^, 718
127, 656
16,435
1,654
188
1, 299
1,098,094
1,059 ,'982
38,112
18; 154
•243
26,243
$4,405
1,867
549
37
14
167
4
: 9
1
; 23
: , 1
692,989
14,470
671,589
21,400
' 13,474
996
^,680 .
270
. 168
: 35
1932
1953
1934
Total
Logs
Cedar y'
Eir-S::iruce-Heinlo ck
Other (e::ce-ot Caliinet)
Teak
Cahinet voods in the l3g
Cahinet noods - sawed
Sawed hop.rds and luraher
Softwoods
Hardwoods
Eailroad ties a/
Box Shooks h/
•425-, 139
,86,836
27,903
■ 58, $33
o
30
r-7
O
328,056
313,731
14,325
10,166
45
7i705
. 808
244
464
100
1
3
1
6,603
6,093
510
273
16
433, 774
,119,154
■■32^,575
■ 86 , 579
2
302,902
278,286
24,616!
11,443
231
8,008
1,164
309
762
93
1
6,501
5,699
802
333
1
288,438.
42,484
20,148
17,338
4,998
6
88
237,076
221,181
15,895
8,659
125
6,733
408
172
155
81
1
7
5,877
5,299
578
297
143
Source! Foreign Commerce find Navigation of the United States,
a/ Ec?,ilroad ties converted at 30 "bd. ft. per tie. h
h/ Shooks converted at 3 hd, ft. -ner shook.
9613
i
-53-
TAJBLt 19
PACIFIC COAST WATER-BORNI LUMBiE SHIPMENTS FROM OREGON-WASHINGTON AND BRITISH COLOMBIA
TO THE ATLANTIC COAST AND CALIFORNIA
: 19^
1910
1911
iqi2
From
* *
: OrsKon-Washlncton : British Columbia
Oreeon-Waehineton : British Columbia
*
OrsKon-WashinKton : British Columbia
OrsKon-Washinffton: British Columbia
To
• • * *
: Atlantic ! Call- : Atlantic ; Cali-
: Coast : fornia : Coast : fornia
• » •
• f •
Atlantic : Cali- : Atlantic : Cali-
Coast t fornia : Coast : fornia
• • •
Atlantic : Cali- : Atlantic : Cali-
Coast : fornia t Coast • fornia
! Atlantic: Cali- : Atlantic: Cali-
! Coast : fornia : Coast : fornia
In thousand feet board measure
Total
l,593,5l«
January
13^,785
February
ll'+,7S9
March
120,196
April
157, 25'+
143,902
May
June
146,659
July
132,979
August
151,972
September
121^,825
October
129,1^+5
November
103,645
December
• 133,367
i,i^20,37'+
79,178
117,785
117.50?
132,85*+
158,^5
138.371
118,401
109.71+3
109,404
122,658
113,624
102,462
276,438
21,481
15,410
21,296
30,186
40,314
19,357
22,353
18,208
17.390
20,131
20,732
29,580
'+1,375
1.843
1,975
2,086
4,085
2,911
5.664
f+,'453
4,128
3,559
3,126
1,342,070
106,180
135,411
77.277
112,023
113.990
a/ 47,^53
102,859
97.276
196,762
109,532
113.477
129.630
l,l43,04i
92,230
76,784
99,333
111.455
119,359
116,488
97.319
100,253
861649
87,941
83,111
72,119
208,409
17,207
21,652
14,097
18,863
20,858
a/12,986
14,257
15.429
12.175
15,788
24,981
20,116
50,079
1,428
1,312
3,428
2,192
3,940
3,900
5.577
9.450
8.751
4,888
2,948
1,236.315
130,821
92,452
90,508
95,246
108, 342
101,314
127,139
128,423
130,087
87. 1+35
, 73,573
c/ 70,975
824,153
58,829
71,467
83,629
84,539
100,493
77,462
59,237
55,354
60,287
54:584
c/
139,724
15,653
12,698
I2,i47
36,713
11,067
10,669
20,893
9,793
15,639
10,263
408
3,781
36,770
2,136
4,105
4,100
4,005
5,396
3,908
420
2,808
2,402
1,628
f'759
4,063
723,475
512,240:
84,483
32,244:
77.761
36,974:
61,204
52,738
^"^^
50,186
b/ 49, 763
43,547:
39.755:
4i,778:
53,293
54,032
42,917:
63,665
64,821
46,145:
49,106:
63,117
48,485:
48,412
33.48S:
38.516
8,865
10,987
7,186
4,167
4,880
b/..3J7
10,458
1,154
1,576
1,523
1,352
2,123
1,860
50
514
228
From
To
1933
iqi4
Oregon-Washington
Atlantic
Coast
Cali-
British Columbia
Oregon-Washington
British Columbia
Atlarrtic : Cali- : Atlantic : Cali- : Atlantic : Cali-
Ooast ! fornia : Coast : fornia : Coast : fornia
JL255-
Or ego n- Washington : British Columbia
■ I ■ '
Atlantic
Coast
Cali-
fornla
Atlantic
Coast
In thousand feet board measure
Total
848,556
621,837 :
12,474 ;
1,800
600,942
499,720
452
1,307
d/ 591. 449
578,557
d/33,062
January
58,947
33,026
48 :
_ •
1/58.500
55.066
54.663
27,463
5/, J}
_
im
■ 76,203
, 87,755
y 35,477
51,708
86,127
32
February
March
April
63.957
54,587
63,469
40^994
•+7,736
107
30
117
322
39,015
45,874
51,790
1/ 64
58
£/ 40
200
J?
May
67.161
50,821
108
g/17,629
24,830
' -
•h/52,221
^ .- .
June
95,040
104,766
83,829
. 97
373
855
2,179
—
167
20,020
30,580
6,755
July
76,887
59,004
6,856
361
1/12,487
11,599
i/ -
300
23,070
: 56,865
12,315
August
i/l24,i49
1/4, 005
247
122,076
74,579
96
• 99,405
104,827
9,295
4,602
September
82,857
55,431
46,800
858
-
65,519 •
. 61,091
31
22
107,252
84,613
October
48,773
231
-
47,299
i 55,611
31
173
-
-
November
49,098
48,046
k/ 183
83
k/ 68, 653
49,709
17
-
-
-
December
: 35,552
59
189
65,962
55.980
—
332
—
—
^
Cali-
fornla
Pacific Lumber Inspedtlon Bureau.
3.'+'+3
66
*^
374
1,770
x5l
Footnotes
:a/Hawley-Smoot Tariff effective June 18,1930-
b/Revenue Act of 1932 effective June 21.
c/Canadian currency reached low of .804558
Dec. 16, 1931.
d/January to September, inclusive.
e/U.S. off gold standard on Jan. 31, 1934.
f/Loggers of British Columbia were on strike
during February 1934.
g/Longshoremen's strike began May 9, 1934«
h/Code abandoned May 27, 1935 •
i/Long shoremen's strike ended July 29, 1934.
i/Code approved August 19, 1933'
^Canadian currency returned to normal value
in November, 1933'
9613
-54- >.
Under this provision, the Mahoganj^ Subdivision attempted to place
the import and production of mahogany -under control hut no attempt T7as
made to restrict the import of other "fancy vroods". It was not found
feasible to administer the control set up "because of the difficulty in
checking imports on arrival at port of entry in this country. The Ma-
hogany Suhdi vision Agency requested the Customs Bureau of the U. S«
TreasurjT- Department to furnish it with or to give it access to the papers
covering entrj^ of tropical woods, or to furnish it with the name of the
importer, date of entry, species and quantity. The Customs Bureau re-
fused to supply such information on the ground that it was confidential.
The result was that without some means of checking shipments, other than
the reports of known imports, administration of control of imports \7as
impossihle ajid no serious effort was made hy the Mahogany Subdivision
Agency to enforce the allotments given to importers of record.
PHILIFFII^IB likEOGAM
Under Schedule "A", 5, Philippine Mahogany Subdivision:
"(a) The Execu.tive Committee of the Philippine Mahogany Sub-
division is empowered, with the approval of the Authority
and within the limits of the total subdivision quota, to
assign a maximum import allotment to each eligible person
registered with the PhilipiTine Maiiogany Subdivision and
subject to its Jurisdiction. The Subdivision quota and
individual allotments shall be m3.de for jjeriods of six months
and as provided in this Articles
"(b) Any person complying v/ith the labor and other provi-
sions of this code applicable to this S'ubdi vision, who
brings Philippine Maiiogany or Philippine hardwood into the
United States from the philipoine Islands in quantities
su.fficient to ejiiount to wholesale distribution for resale
to v/holesalers, retailers or industrials as defined in this
code, shall be deemed an eligible person for purposes of
allotment,
"(c) Any eligible person may obtain an allotment 'bj making
applice,tion to the said Executive Committee, designating
the Philippine mill or mills from which he has arranged
to obtain his supplies. The allotment to said eligible
person shall be determined by the follov/ing formula:
Milling capacity/ 60^^ of Subidvision Quota
Total capacity /
plus
Mill shipments to U» 5. / AOjh of Subdivision Quota
Total shipments to U. S.
9613
• ■ ■ -55-
" "DEFINITION OF TEEMS
'"Mill Capacity' means the actual capacity at the tijne of
the application for allotment of the Philippine mill or .
mills designated "by an eligible person.
"'Total Capaicity' means the actual total capacity of all
Philippine mills designated hy eligible persons.
"'Mill shipments to U. S. ' -mean the average yearly shipments
to the United States from, the Philippine mill or mills
designated "by eligiole person, calculated, upon any three
calendar years since 19iS4, ' ■■ ."
"'Total shipments to U. S. ' mean the average yearly ship-
ments to the United States from all mills in the Philippine
Islands, calculated on ca.lendar years since 1924*
"In respect to mills which have not "been in operation for
,as much as three calendar years since. 1924, the 'mill
shipments to the United States' shall .he the .yearly aver-
age of actual shipments, ' ^ '• f:.
"In. the case of logging operations in which the logs were
sold Slid- shipped as logs and not majiufactu.red into Ixmiher
or timher products by the logger, the actual production of
such logs during calendar year shall he considered the
'mill capacity' of such operator.. ■
"(d) If two eligible persons designate' the same mill as
their source of supply, the total shipments to the United
States therefrom shall not exceed the -amount determined
hy the application of the formula prescribed in this
Article, and the said person .shall divide the said total
in such proportions as they are ahle to effect purchases
from such mill,
"(e) If any eligihle person to whom an allotment has heen
made advises the Subdivision agency that he will not use
all or part of his allotment within the allotment period,
or if in three months after the date of the allotment any
such person fails to use a substitute portion of his allot-
ment, and fails to show to the satisfaction of the Executive
Conimittee that he has ordered shipment of a substantial por-
tion of his allotment, the said Committee man, after public
hearing on all the facts and circurflstances, a.nd subject to
the sujjervision of the Authority, reduce the allotment of
such person for the balance of the existing quota period by
such amount as may be fair and equitable, in order to save
to the Subdivision as a whole the iDrivilege of bringing into
the United States the whole of the Subdivision quota.
In the event of such reduction of allotment, the amount
thereof shall be divided among other eligible persons
in proiDortion to their existing allotments upon appli-
cation to the said Executive Committee,
9613
-56-
"(f) In deterraining compliance ?ritli individual allot-
ments, date of lo-iding on shiplDoard in the Philippine
Islands for shipment to the United States shall 'he deemed
arrival of shipment in the United States.
"(g) No person suhject'to the jurisdiction of this Sub-
division shall import products without an import allot-
ment, or in excess of such allotment, as herein provided. "
The. Philippine Mahoganjr Subdivision instituted control of imports
shortly after the approval of the code, issuing import allotments' to
registered importers of Philippine mahogany in accordance vrith the pro-
visions of the code. In contrast to the iviahogany Subdivision, they
were eminently successful in the administration of this controls
An arrangement was made with the Philippine Islands Government to
report to the Agency, by cable every shipment of Philippine liahogany
to the United States, 'the name of the ship, and of the mill making the
shipment, the qu£.ntity, to whom consigned and the port of entryo This
information was in the hands of the Agency at least three weeks before
the shipment arrived in 'the United States, giving plenty of time to
check against allotments issued to importers. This method of control
disclosed that one importer was intending to import one-half million'
feet in excess of its allotment. The company refused to cancel the
shipment and stated its intention of violating the code in this res-
pect.
Through its attorneys, the Agency invoked a tariff regulation
denying entry to goods which are declared to be in contravention to
laws of the United States, chajging violation of the National Indus-
trial Recovery Act. Upon arrival of the shipment in Portland, Ore-
gon, the customs officials seized the parcel and impounded it in a
bonded warehouse. Following negotiations between the importer and
the Philippine Mahogany Agency, it was agreed with the customs of-
ficials that the shipment would be released on posting of a bond,
provided that the importer would reconsign the shipment to registered
importers whose Philippine Mahogany allotment for the current period
had not been filled. Thereafter, this Agency of the Lumber Code
Authority had no trouble administering the control of imports in
accordance with the previsions of the code*
Philippine Mahogany importers verbally state that they would
like to have the right and power to reestablish this control, which
resulted in stabilization of their business.
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,;■■' CHAP1IER X ■'
PULPWOOJ, WOOD PULP Aim PAPER
IWTRODUCTIOM
A. study of the foreign trade in i^-ulpvrood, pvilp and paper is of vital
importance in the consideration of conservation and sustained yield
manage-.uent of our forest resources. It largely involves the question of
imports of these forest products. Wood comiDrises about 855^ of the primary
fibrous raw ma.terial used for paper making. Approximately 44^0 of our
domestic use is based on foreign pulpwood, and of our entire pulp and
paper requirements more than 50^0 has for some yea.rs been imported in the
form of either paper pulp or raw pulpwood. Converting all domestic
pulpnood, pulp and paper consumptions into cords of pulpwood, the total
pulpvraod requirements of the United States ha,s been aiDproximately
12,000,000 cords for the, past several jeavsa (Reference; JIational
Pulp and Paper Requirements in Relation to Forest Conservation - Senate
Document No. 115.)
As previotisly stated, under Senate Resolution No. 100, 74th Congress,
first session, the U. S. Tariff Corariission is engaged in an investigation
of pulp and paper imports into the United States, but it is understood
that this report will not be available until after Janu^^ry 1, 1935,
Douestic pulpwood is largely prodiiced from farm wood-lots and small
operators and is contracted for by buyers or concentrators who represent
cr sell to the large pulp and paper mills. On the West Coast (Douglas
Pir region), prior to the depression, practically all -oulp was produced
from logs or sarmiill waste, but production of cord wood in this region
subseqiiently greA¥ rapidly because of the cheap labor available during
the depression,
PULPWOOD IivIDUSTHY l-IEVSR CODIPIED
PtO-pwood was not included as one of the original products under
the Drjiber Code and folloi.Ting nu'ierous co/rolaints and protests, charging
exploitation of labor and extremely low wages and long hours, an atte:rot
was made to include pulpwood and other Driraary forest products under the
Lumber Code, An amendment was ^ro-oosed to and acce^ited by the Lunber
Code Authority, known as "The President's Amendment", (Reference;
Transcriiot of Hearings, Liunber and Timber Products Industries,
March 12, 1934.) This amendment was fought vigorously by the pulp and
paper industry and an organization called the American Pulpwood
Associa-tion, The latter \?as not in existence prior to the ena,ctment of
the Ns^tional Industrial Recovery Act.
The American Pulpwood Association, the membership of which was
never analyzed later submitted a proposed pulpwood code. This proposed
pulpvrood code contained Tirage and hear nrovisions substantially below
those a'oproved in the Lumber Code, These wage and hour provisions
were iincicceptable to NRA, and ina.smuch as they were never satisfactorily
adjusted, no code was ever approved for the pulpwood industry.
9613
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ITithout a code, N3A coiild not have had any effect on the foreign
tra.de of this 23artic-ular industry. An intensive study would "be necessarjr
to r<6ach an;- conclusion as to Trhat would he i^roper regulations and their
suhseq_uent effect on imports and exports. Of extreme interest is the
fact that the trade agreements \7ith Canada and Sweden agree to continue
pulpr/ood, pulp and paper on the free list for the terms of the agreement.
961c
■ -59"
-CHAPTER XI.
Tim musmrsT imnsTRY
Changes in World Production, 1929-1933
ProB 1929 to 1932, the world production of ne^Tsprint decreased
14.1 jier-cent, due chiefly to a sharp decline in Canada, the United
States, and Germany, Production in S'7eden and Japan during the same
period declined a relatively small ainount. On the other hand, prodiiction
showed a remarkahle increa,se in England, Finland and Erance, and
substantial increases occurred in WeT/foundland and Norway. Ho'?7ever,
the coiintries showing increases constituted only 20.6 per cent of world
production in 1929, and 28.5 per cent in 1932. The United States and
-Canada, -rhich together produced in 1929 56.4 per cent, and in 1932 46.6
per cent of the world production, lost during the neriod 2.9 per cent
and 5,9 per cent, respectivelj^^,
. . The Industry in the United "States
The newsprint industry in the United States in 1934 was composed
of t""enty"f ive companies operating principally in the States of Maine,
New York, Oregon, Minnesota, Wisconsin, and Washington, with an estimated
aggregate capital investment of about 300 million dolla^rs. In June, 1933,
it enplo3~ed 6,550 persons, with an annual payroll of $7,150,000, In
1929 production was 1,409,000 short tons; while imports, mostly from
Ca-naxla, were 2,423,000 short tons. Domestic consumption in 1933
approximated 2,729,000 short tons, of which the United States riroduced
946,000 short tons, and of which 1,794,000 short tons were imnorted
principally from Canada,
The Industry in Canada
In 1934 there were a "jproximately 24 Cs-nadian comDanies engaged in
the }ia,nufacture of newsprint. Production in 1929 was 2,729,000 short
tons, of which 2,195,000 short tons or 80.4 per cent, were exported to
the United Stateso In 1933 Canada produced 2,017,000 short tons, of
which 1,545,000 short tons, or 76.6 per cent, were exported to the
United States, Although no official fig-ares are available, the
Department of Commerce has estimated that in 1930 over 400 million
dollars of United States capital was invested in the Canadian paper
and pu-lp industry as a whole. This is over 50 per cent of the 794
million dollar capital investment in that industry.
United States Consumption
In 1S29, the United States consumed ahout 52 per cent, or 3,813,000
short tons, of the total ^-'orld production of 7,308,000 short tons; and
in 1933 it constimed 2,831,000 short tons, or 45 per cent of a world
production of 6,275,000 short tons.
In 1S29 the domestic ;nroduction constituted 36,7 per cent of the
domestic consumption, v?hereas imports were 63.3 per cent. Of this
latter, Canada and Nevrfoundland 'suiDplied 2,327,000 short tons, or
96 per cent. Domestic production in 1933 was 34.7 per cent of tote.l
9613
-50-
constmiption, while imports rose relatively to 65.3 per cent, with Oanada
and i'le'-foTXiic-laiid sup:olying 91,4 per cent.
The consujnption of newsprint rose sterdily to 1S29, when it reached
a pealr of 3,813,000 short tons. It then declined x>rogressively to a
total of 2,711,000 short tons in 1933 - a drop of 29 per cent during
that period. End of the year stocks at the mills, at publishers and in
trsjisit in 1930 were 3,399,000 short tons, For 1933 the same figures
were 2,567,000 short tons, a reduction of 24,5 per cent,
Por 1928, the latest year for which data are availahle, the
distriDution of newsprint consumption araong states was; New York, 22
per cent; Illinois, 12 per cent; Pennsylvania, 9 per cent; Massachusetts,
6 jer cent; California, 6 per cent; Ohio, 5 per cent; Michigan, 5 "oer
cent; llissouiri, 4 ler cent; I'ennessee, 3 per cent; iiinnesota, 2 per
cent; Indiana, 2 per cent; Texas, 2 per cent. The consiTjiption in this
group of 12 states amouated to over 75 per cent of the total consurption
in the United States. Although the total consumption of newsprint in
1933 was less than that of 1928, it is probable that the percentage
relationships ha.ve not greatly changed.
United States Production and Trade
E:rports of newsprint from the United States are negligible, amoimt—
ing to 19,000 short tons in 19,29, and to only 11,000 short tons in 1933,
Production in the United States "since 1926 has declined each ^^ear.
The total decline froi 1£25 to 1933 ^ras 44 per cent.' Imports, on the
other hand, increased aroroximat'ely '30 vex cent from 1326 to 1329, ■
Thereai'ter they declined, and in 1932 and 1933 were about 3 per cent
less than imports in 1925, Nevertheless, with the ezcceution of the
year 1332, the ratio of imports to domestic production, based on annual
figures, increased steadily throughout the period 1926 to 1833, It
rose from 110 uer cent in 1926 to 175 per cent in 1929, to 178 per cent
in 1332, and to 190 per cent in 1333,
Standard newsnrint is imported into the United States free of duty,
under the Tariff A^t of 1330, In recent years Canada has supplied 85 to
90 per cent of the total imioorts. Prom 1929 to 1333 there was a slight
increase in the relativelj'- small percentages coming from Sweden, Finland,
and Germany, Based on 1928 statistics, about 90 per cent of the newsprint
produced in Canada was exported, and 80 ^^ler cent of this was shipped to
the United States, Eighteen per cent of the newsprint exported from
Sweden cjio. 15 per cent of the exports from Finland were also shipped to
this country.
Effect of the Nevjs-nrint Code
The domestic Newsprint Industry's Code was aroroved November 17,
1933, Data submitted 'oy six individual companies indicated that the
total costs of operations increased a"OT)roxinately 22 ^ler cent in the
period between June-Nove;nber 1933, and December 1933, through May 1934 -
before a.nd dui-ing code operation. It was ITcewise indicated that the
percentage of labor to total costs was 12.85 before the code, and 13.6
9613
-61-
after the code "became effective. Over the same interval employment was
sho\Tn to have increased 13 per cent; average hours per vireek to have
decreased 12 per cent; the average weekly v/age to have increased ahout
1 per cent; and the average hourly i^age to have increased 1.5 per cent.
Important Competitive Factors
Of pa,rticular significance in the competitive relationship hetr-een
the United States and Canadian newsprint industries has "been the rapid
expajision in the latter country. This has "been nainly due to the fact
that extensive tracts of tim'ber and an abundance of advantageous water
power sites ha.ve been available to producers in Canada, under Governvient
lease and. at a comparatively lovir capital cost. The situation in the
United States, on the other hand, has been that substantially all sites
affording sufficient supplies of timber and water power have been avail-
able only at a capital cost considerably greater tha,n in Canada.
iTron 1S26 through the first three qua.rters of 1932, newsprint prices
fell less than the general wholesale 7;3rice. After the first quarter of
1933, however, nev/sprint d.id not share, in the general rise in "holeso.le
prices. The average unit values of i'Hrjorts were only slightly below
domestic prices, and the addition of transportation and selling costs
wpuld apparently have brought the net price to the consumer up to or
above the; .level of the domestic price. While the base price of newsprint
in the. United States declined 65 per cent from 1929 to 1935, the average
unit value of imports over the same .interval declined less tha,n 42 per
cent.
The competitive position of the domestic newsprint industry, insofar
as it was affected by the currency situation, was substantially better
after the Code went into effect than it was from September, 1931, to
April 1933. The dollar value of the currencies of Canada, Sweden, DJid
Pinlsjid a.veraged about 12. per cent, 30 per cent, and 40 per cent,
respectively, below the par for the year 1932. Later in 1933, however,
the cxirrencies of Canada and Sweden returned almost to par, and that of
Finland to within 10 per cent . of par.
9613
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CHAPTER :CII
E:rpoi-t
The exToort of shingles has alv/ays "been in'signif leant In comparison
with domestic consujuptlon. A tev shingles have "been exported to the
West Indies, Australia., South Africa and. Hew Zealand. More recently,
the United Kingdom has Imported some shingles and this trade Is growing
quite rapidly. However, the "business Is all going to British Columhla
"because of the British preferential tariff.
, Im-Qort
The Import of shingles, all of which come from Canada, has "been an
Important factor in the shingle Industry. Of all shingles manufactxirecl,
9&fo are red cedar and are produced in the States of Washington and Oregon
and the adjoining Province of British Col-um"bia. Imports from British Co-
lum'bia have risen as high as 42/o of domestic consumption, which they did
in 1952 and 1933, .just larior to the esta"bllshment of the code.
At the request of the industr;,^, shingles were Included origi-
I'iMly under the Lum"ber Code and were constituted a division thereof with
a separate agency tO' administer it. "i7o special provisions were esta"bllsh-
ed pertinent thereto, "but the indiistiy applied for and was granted prodiic-'
tlon control and minimum prices under Article IX,
GEhTLU'IEH'S ACREY.SITT YJITH CAl'IADA
Shortl3'' after the a'^"oroval of the code, the Industry filed with MA
a complaint itnder Section 3(e) of t"hc national Industrial Recovery Act
asking that imports from British Col\Tm"bla he restricted. On the t-ecora-
mendation of InIEA the President instructed the U.S. Tariff Commission, in
accordajice with the provisions of Section 3(e) of the National Recovery
Act, to make an investlgptlon and to recommend such action as It deemed .
necessary. After hearings and investigation by the United States Tariff
Commission, it was recommended to the President that imports from Canada
(the only importing country) "be restricted to 23;o of domestic shipments.
The fig-ure of 25^o was "based on the average Imports from Canada of red cedar
shingles for the previous ten years. Su"bsequently, the State Department
Issued an announcement that a "gentlemen's agreement" had "been entered Into
with the Canadian manufacturers. This agreement was to the effect that
Canada, wotild restrict its shroments to the United States to 25fo of the
domestic shipments.
At first, considera"ble difficulty was e:ooerlenced "by the Canadians
in carrying out the agreement, due to the impossibility of chec^'ing the
shipments of the individual manufacturers, there being recalcitrants In
Canada as there were in this country who refused to cooperate, shipping
quantities of shingles to the United States without regard to the export
allotment assigned to them. In order to overcome this difficulty, the
Canadian Government \7as -persuaded by the British Colwibla manufacturers
to invoke the Dominion's Marketing Act and to establish an agency to con-
trol e:cports of shingles in accordance i/lth the provisions of this Act,
9613
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TABLE 20.
SHIFGLSS: OTITED STATES liviPOETS, TOTAL AMD FROM
CAMADA
Year Total Oanada
(in M ft. B. M. )
1929 a/ ■ 167,288 b/ 167,288
1930 a/ . 124,448 120,448
1931 a/' 98,820 98,820
1932 a/ 123,915 123,915
1933c/ 125,626 125,626
1934 c/ 110,094 110,094
Source: Poreign Corarnerce and Navigation of the United States.
a/ Converted from shingles at 1,000 shingles equal 100 td, ft.
b/ Also 300 td. ft. from Mexico,
c/ Converted from squares at 1 square equals 80 "bd. ft.
The regalations imposed ty the 0tta\7a Government required that a
quota certificate te attached to consular invoices, and ftirther provided
a severe penalty on the carriers for transporting any shipment to the
United States unless the required quota certificate was attached to the
■bill of l0,ding. The agency was empowered "by the government to issue the
quote, certificates and to administer the regulations imposed. There-
after, the agreement functioned v/ith fair success and the averages which
had acciirnulated prior to the establishment of this control were teing
rapidly assorted utd to the time of the strike in the shingle mills of
Washington and Oregon, which occurred on May 9, 1935,
In view of the cessation of shipments from the mills in the United
States, and the necessity of maintaining the markets for shingles, the
Canadian manufacturers were released temporarily from the "gentlemen's
agreement", which release remained in effect until the code was aban-
doned following the Schechter ca,se decision on May 27, 1935.
There was no doubt in the minds of the manufacturers of shingles as
to the "benefit to the industry accruing from the agreement. It was this
agreement alone which prevented a wide-open disregard of the code oc-
casioned "by the internal dissention caused "by disagreement "between the
small operators (a su'bstantial factor) and the large operators as to the .
method and "basis, of esta"blishing allotments.
The only difficulty which arose in administration was the complaint
of the Canadian manufacturers that the figures on domestic shipments were
incomplete and inaccurate. The figures were collected and su"bmitted by
the Washington and Oregon Shingle Association, the agency of the Lumber
Code Authority in the Red Cedar Shingle Division, This method of secur-
ing domestic shipment figixres was not entirely satisfactory and, in the
future, when argragreement is made, predicated on domestic shipments or
production, means of determining the amounts of such factors or factor
9613
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shoiild not "be left to, the industry benefitting, but provision should "be
made for compilation and certification of the figures by a disinterested
party, preferably under government sanction,
TiiB Canadian trade agreement reserves to the United States the right
to impose a limit on imports of red cedar shingles to 25^^ of domestic
production, thereby providing the mesn.s of continuing the agreement orig-
inally made possible by KSA. It vill be interesting to see if the ex-
perience under W3A will be used to' eliminate the possibility of dis-
satisfaction with such an agreement in this respect and thus promote
international harmony and cooperation within this important industry.
9613
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APPENDIX I.
I, The method employed in developing the foreign trade aspects of
the Forest Products "''ndustry Study in itself "brings out the necessity for
further research if any conclusions are to be reached as to the effects
of the Code as regards either the relative importance of export markets
to domestic industries, or the extent and competition in the United States
from the products of foreign industries.
II. The ultimate purpose of the completed study was to determine:
(1) the trends in the import and export trade in specified forest products
before and during the period the industry operated under the Code; and
(2) the extent to which these trends were influenced'by divisional a,nd
subdivisional code authorities acting under provisions in the Lumber and
Timber Products Industry Code.
Ill* While the Industry Steadies Section was analyzing the effects of
the Code on the domestic industry, the Poreign Trade Studies Section was
engaged in collecting and assembling data with respect to the trends in
the trade of the principal products of the industry.
rV. The present draft report represents onljr the first segment of the
work to be completed; it now remains to bring together the two independently
completed studies into a report or study in a form which v/ill allow the
experience under the Code to be of full service.
V. The propriety for further research is indicated in the rules,
regulations, and orders promulgated by divisional and subdivisional code
authorities under the powers granted or assumed by them under Article
VIII of the Lna,mber Industry Code. The record of experience (both general
and statistical) should be undertal^cn for divisions and subdivisions where
there were quotas and allotments in terms of imports, or where production-
export control or "cost protection" regulations were more vigorously put
into effect. The preliminary study particularly recommends that attention
be given to the following:
(a) The efforts of the industry, through proposed amendments
to the Code, to establish production-f or-export auotas and
the establishment of export prices, and the differences of
opinion within the industry'- and the Recovery Administration
which prevented the approval of such proposals.
(b) The activities of the Philippine Mahogany and the true
Manogany subdivisional code authorities in controlling im-
ports through their respective administrative agencies; and
especially the court actions pressed by the MIA. Litigation
Division against several importers of Philippine Mahogany
who were alleged to ha,ve exceeded their import quotas,
(c) The attempts to control the price of newsprint paper by
voluntary agreements between the Association of Newsprint
Manufacturers of the United States (Code Authority) and the
Newsprint Ercport Mamafacturers Association of Canada.
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(d) The Pacific ITorthwest Loggers Association's agreement with
British ColumLiia timber e:^cporters wherehy the latter agreed
to limit shipraents to a quota assigned "by the Association.
(e) The efforts of the domestic wood'^ulp industry to reach a
price agreement or understanding vjith Scandinavian shippers,,
while pressing for the approval of their code. (This code
was never approved). .'
(f) Tiae operations of several lumher export associations ijnder
the Weht-Pomerene Law or E^OJort Trade Act,
VI. A careful analysis of the statistical records with respect to
"cost protection" and production control when properly correlated with
the data available regarding the volume and value of imports and exports
v/ithm the several divisions -and siihdivisions of the industry should
provide a valuable record of experience.
561S
,: -67-
BIELIOGHAPHY '
"A National Plan for American Forestry," Forest Service - Dept. of Agri-
cvl tixre
"Americajia and the World's Woodpile," liy Zon and Sparhawk
""Americana," Forest Service - Department of AgricuXt-ure
"Anmoal Tables of World E^rports SJid Imports,^' Tsy ~m. Srandt's Son & Co,
Bulletins of Census of Manufacturers - Census Bureau'
"California Lumber Merchant," Forest Service'- Department of Agriculture
"Canada Lujnberman , " Forest Service - Department of Agriculture
"China's L'um'ber Trade," Foreign and Domestic Commerce - A. B. Colder -
1935
"Commerce of Ca^nada."
Commerce Yearbooks, 1928-1934
Committee Internationale du Bois - Vienna
"Coniferous Forest Sesources of the ¥orld," "by Thornsten Streyffert
"Douglas Fir Export Trade," by L. S, Force, Gen, ivigr,, Douglas Fir and
S'roloitation and Exoort Coo
Sstadistica del Comercia Exterior de Esoana
"Europe as a Harket for American Lumber," Trade Information Bulletin
"European Timber E-irports," 'by Committee Internationale du. Bois
"Facts about Douglas Fir Pljnvood," Pacific Foi^est Industries Tacoma,
Washington
Federal Reserve Boa,rd Bulletins
Files of the Lumber Code Authority " ■ '
Files of the National Recovery Administration
"Forest Resources of the World," by Zon and Sparhawk
Foreign Comiiierce and Navigation of United States - Department of Commerce
Foreign and Domestic Commerce, Bureau of - Department of Commerce
"Foreign Tariffs and Trade Regulations," by Division of Foreign Tariffs -
U. S, Tejriff Comjnission
9613
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"Poreign Trade of China," Maritime Customs
"Foreign Trade of Japan," - Department of Finance
"Foreign Trade of the United States in Forest Products," hy Bureau of
Foreign and Domestic Commerce
"Foreign Trade of U. S. S. R. for First Five Year Plan"
"Foreign Trade. Problem of the United States," hy G. W, Peek - 1935
"Forestry'- Almanac," American Tree Association
"French Luraher Market," U. S. Department of Commerce - A. H. Oxholm -1925
Hale Heport - National Pulp and Paper Sequirements in.Helation to Forest
Conservation • '
History of Code of Fair Competition for the Lumber and Timber Products
Industries
"Journal of Forestry," by the Society of American Forester's
"Lumber Trade of China," Forest Service - Department of Agriculture
Movimento Commercial Del Regno D' Italia-
National Limber Manufactturers Association' ' ' ...
National Pulp and Paoer Heq-airements in Relation to Forest Conservation
National Wooden Bo:; Association
"North Ai-.ierican Lumber E>rports and World Total," by C. I. 3. ITorges Handel
Pacific L"umber Ins'oection Bureau
Pacific northwest Loggers Association, Report of - 1934
"Practice and Procedure under the E:qport Trade Act," 195r< (Webb-Pome re ne
Law) Federal Trade Comraission
"Report to the President on Lumber," - United States Texiff Commission -
1932
"Southern Lumberman," Forest Service - Department of Agriculture
Statistical Abstract of the United States
"Statistical Bulletins of the C.I.S." - 1932-35
Sveriges Officiella Statisk
9613
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"Swedish. Forests," "by A. H, Oxholm, Biireau of Poreign and Domestic Commerce
Timter Conservation Board Quarterly Reports - 1931-35
"The Erport Trade of the United States," Bureau of Foreing and Domestic
Commerce - Miscellaneous Series #67 - 1918
"Trade of Tariff Relationships "between Canada and the United States,"
"by Joint Canada - United States Committees
Transcript of Puhlic Hearirgs on Proposed Pulpwood Code - Code Record Sec-
tion - National Recovery Administration
Transcripts of Puhlic Hearirgs on Proposed Lumher Code and its Amendments
folloxring Approval - Code Record Section - JffiA
"United States Resources," Forestry Almanac - American Tree Association
- Uc S« Tariff Comm.ission
"West Coast Lumberman" Forest Service - Department of Agriculture
"World Lumher Digest," Forest Products Division - Bureau Foreign and
Domes;tic Commerce
World Almsnac - 1935
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