March 15, 1928

LIB

James Alexander Robb (Minister of Finance and Receiver General)

Liberal

Mr. ROBB:

My information comes from

the gentlemen who are in the business, who have requested this change. Our officers have checked up the information they have given us and find that it is quite correct.

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CON

Richard Burpee Hanson

Conservative (1867-1942)

Mr. HANSON:

Is this provision in the

United States for making their rate conform with ours a regulation under their tariff board, or is it in a statute, and is it a permanent provision?

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LIB

James Alexander Robb (Minister of Finance and Receiver General)

Liberal

Mr. ROBB:

It is under their statute.

Automatically under their tariff, their rate is made to correspond with that imposed by any other country. If we put a rate of 25 per cent against the United States, they put a similar rate against us.

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CON

Richard Burpee Hanson

Conservative (1867-1942)

Mr. HANSON:

They have power to raise their rate of their own free will without reference to congress, I suppose?

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LIB
CON
LIB

James Alexander Robb (Minister of Finance and Receiver General)

Liberal

Mr. ROBB:

Does my hon. friend object

to this item?

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CON
CON

Richard Bedford Bennett (Leader of the Official Opposition)

Conservative (1867-1942)

Mr. BENNETT:

That is not the way to put it. The position is this: Should there not be added to this item a provision such as the United States has in its tariff, that if they take action to increase the duty, we by order in council may effect the same purpose? That is the only observation I have to make in respect of this item.

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LIB

James Alexander Robb (Minister of Finance and Receiver General)

Liberal

Mr. ROBB:

That is a question of policy.

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CON

Richard Bedford Bennett (Leader of the Official Opposition)

Conservative (1867-1942)

Mr. BENNETT:

It is for you to say, not us.

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UFA

Donald MacBeth Kennedy

United Farmers of Alberta

Mr. KENNEDY:

Are there not records in the department showing the amount of imports under this item last year?

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LIB

James Alexander Robb (Minister of Finance and Receiver General)

Liberal

Mr. ROBB:

I have already told my hon.

friend twice that there is no separate classification whereby we can determine the importation of this particular product. It comes in under various other classifications.

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UFA
CON

Richard Burpee Hanson

Conservative (1867-1942)

Mr. HANSON:

Supporting what my hon.

leader has said, I would point out that if we lower the duty to 10 per cent-with which I am in perfect accord, for I think it will help Canadian industry-and the United States put t'heir tariff up, automatically ours should be raised too. I have no idea in the world that

we should keep our tariff at 10 per cent, and they raise theirs next week, say, to 20 or 25 per cent, as they may do. The minister will remember that there are some very large companies in the United States making this very product, and they will naturally want their home market for themselves. I happen to know that the International Paper Company are large manufacturers of this very product in their United States mills. It may be that they will transfer that business to Canada-I hope they will; they are getting over here as fast as they can-but at the same time I do not tfhink we ought to be caught in a position where our tariff would be reduced to 10 per cent and they raise theirs back to 25 per cent. That is very likely to happen. The danger is now being pointed out to the minister, and I hope he will act accordingly. I am not opposing the item in any sense, but I am directing the minister's attention to the danger of what may happen if we do not safeguard our position.

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LIB

John Frederick Johnston (Deputy Speaker and Chair of Committees of the Whole of the House of Commons)

Liberal

The CHAIRMAN:

Shall the item carry?

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LIB
CON

Richard Bedford Bennett (Leader of the Official Opposition)

Conservative (1867-1942)

Mr. BENNETT:

No, let it stand.

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CON

Robert King Anderson

Conservative (1867-1942)

Mr. ANDERSON (Halton):

What companies are making this product in Canada, and what is their output per year?

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LIB

James Alexander Robb (Minister of Finance and Receiver General)

Liberal

Mr. ROBB:

I will get the information for

my friend later on.

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March 15, 1928