34 REPORT ON COOPERATION IN AMERICAN EXPURT TRADE.
this possibility, Mr. E. W. McCullough, general manager National
Implement &amp; Vehicle Association, said:
Even apart from the war conditions, the American manufacturer
is always enormously handicapped in the exporting of his commodities,
 and whether the war is prolonged or not this handicap
will continue, because they have no direct shipping facilities under
their own control.
We have said that the American shippers’ handicap will still
exist whether the war continues or not. In explanation of this
would say that when the war ceases, notwithstanding that a considerable
 amount of tonnage will be released, both British and German
 manufacturers will be making gigantic efforts to recapture
their over-seas trade, which has at least been curtailed when not
altogether lost during the time that these nations have been at war,
and as America will stand in the light of a strong competitor, if
she can get favorable shipping freights and deliveries, having
already in many instances obtained a foothold with buyers who
previously purchased the British or German goods that will again be
on the market, it is not reasonable to suppose that these nations will
continue to give America the facilities for sending further supplies
to take the place of their own manufactures, while, even if they
should be willing to supply the vessels, they will still hold up the
freight rates on American shipping to such an extent as to make
the American landed prices noncompetitive with their own; this is
accentuated by the fact, which is well known, that the German mercantile
 marine has been, and undoubtedly will be, largely subsidized
by the German Government.
Need of American ships to stimulate foreign trade.— American
foreign trade lacks the stimulus which comes from an active and
aggressive merchant marine. Large ships under the American flag
in all parts of the globe would have a great advertising value.
Moreover, the increased travel which would result from improved
passenger service between the United States and such markets as
South America would inevitably stimulate business and would go
far to offset the superior opportunity which Europe now enjoys in
this respect.
In addition to these advantages, American vessels in over-seas
trade would operate directly to develop business. Shipowners and
agents would constitute a body of men earnestly seeking to foster
exports from the United States and imports into the domestic market
n order to obtain freight for their vessels. On this subject, a prominent
 business man of Seattle said:
If we have American ships in our foreign trade, then you would
have agents who have their money invested in property, who are
looking at all times to try to expand trade. While individually
hey might not figure largely in the American trade, yet collectively,
each individual trying for himself to build up a trade, they would
n the end create an immense trade for vessels under the American
lag.