Norwich Bulletin Newspaper, December 4, 1912, Page 9

, Wednesday, December 4 Notwich Pages Nine to Twelve FIom INTERNATIONL L Opening of Panama Canal Will Create New and Worldwide Conditions, Declares - President Taft Foreign Relations Discussed in His Message to Congress— United States Should Present to the World a United Front in Its Foreign Affairs—Necessity For Greater Govern- mental Efforts in Retention and Expansion of Foreign | Trade—Benefits of the Merit System in the Diplomatic Service—Advantage of Maximum and Minimum Tariff Provision—Troubles of China, Central America, Turkey. To the Senate and House of Repre- sentatives: The foreign relations of the United States actually and potentially affect the state of the Union to a degree not widely realized and hardly surpassed by any other factor in the welfare of the whole nation. The position of the United States in the moral, intellec- tual and material relations of the fam- fly of nations should be a matter of vital interest to every patriotic citi- sen. 'The national prosperity and power impose upon us duties which we can not shirk if we are to be true to our ideals. The tremendous growth of the ex- port trade of the United States has already made that trade a very real factor in the industrial and commer cial prosperity of the country. With the development of our industries the foreign commerce of the United States must rapidly become a still more essential factor in its economie welfare. Whether we bhave a far- seeing and wise diplomacy and are not recklessly plunged into unneces- sary wars, and whether our foreign policies are based upon an intelligent grasp of present day world conditions and a clear view of the.potentialities of the future, or are governed by a temporary and timid expedieney or by narrow views beflitting an infant mation, are questions in the alterna- tive consideration of which must con- vince any thoughtful citizen that no department of national policy offers greater opportunity for promoting the interests of the whole people on the one hand, or greater chance on the other of permanent national injury, than “that which deals with the for- eign relations of the United States. The fundamental foreign policies of the United States should be raised high above the conflict of partisanship and wholly dissociated from differences as to domestic policy. fairs the United States should present to the world a united front. The intel- lectual, financial and industrial inter ests of the country and the publicist, the wage earner, the farmer and citi- zen of whatever occupation must co- operate in a spirit of high patriotism to promote that national solidariey which is indispensable to national effi- ciency and to the attainment of na- tional ideals. The relations of the United States with all foreign powers remain upon a sound basis of pejce, harmony and friendship. A greater insistence upon Justice to American citizens or inter- ests wherever it may have been denied and a stronger emphasis of the need of mutuality in commercial and other re- lations bave only served to strengthen our friendship with foreign countries by placing those friendships upon a firm foundation of realities as well as aspirations. Before briefly reviewing the more important events of the last year in our foreign relations, which it i& my duty to do as charged with their con- @uet and because diplematic affairs are not of a nature to make it appro- priate that the secretary of state make a formal annual report, I desire to toueh upon some of the essentials to + the safe management of the foreignm relations of the United States and to endeavor also to define clearly certain concrete policies which are the logical modern corollaries of the undisputed and traditional fundamentals of the foreign policy of the United States. Reorganization of the State Depart- 3 ment. ‘At the beginning of the present ad- ministration the United States, having fally entered upon its position as a Morld power, with the responsibilities thrust upon it by the results of the Spanish-American war and already en- gaged«p laying the groundwork of a vast foreign trade upon which it should one day become mere and more dependent, found itsel? without the machinery for giving thorough atten- tion to, and taking effective action upon, a mass of intricate business vi- tal te American interests in eve: country in the world. = The department of state was an archaic and inadequate machine, lack- ing most of the attributes of the for- eign office of any great modern power. With an appropriation made upon my recommendation by the cengress on Aug. B, 1909, the department of state was completely reerganized. There were created divisiens of Latin-Amer- fean affairs and of far eastefn, near eastern and western European affairs, To these divisious were called from the foreign service diplomatie.and con- sular officers possessing experience and knowledge gained by actual ssrv- ice in different papts of the world and thus familiar with: pelitical ‘and com- mercial conditions, in the reglons con- cerned. The work was 1y specfal- | ed Tho result;is | bre In its foreign af-| vieusly ove tima w..,,, < einpliusise relations one or American interests in e the globe being cu equal o This ical div feature of between the officers of the departmen tal, the diplomatic 2nd the [ branches of the foreign se thus keeps the whole diplomati eonsular establishments under the de- partment of state in close touch and »qually inspired with the aims and policy of the government. Through the newly created division of informa- tlon the foreign service is kept fully informed of what transpires from day to day in the international relationsof the country, and contemporary foreign comment affecting American interests is promptly bronsht to the attention of the department. The law offices of the department were greatly strengthened. There were added for e adrisers to co-op- erate with th plomatic and consular bureaus and t politico-geographical divisions in the innumerable matters where comm I diplom or con- sular work for such special knowledize. ‘The same officers, together with the rest of the new organization, are able all times to give to Ameri- can citiz te information as to conditfons in - for countries with which they have business and likewise te co-operate viore eTectively “with the congress and also with the other ex- ecutive departments. Merit System In Consular and Diple- matic Corps. Expert knowfedze and professional training must evidently be the essence of this reorg on. Without a train- ed foreign service there would not be men available for the work in the reor- ganized department of te. President Cleveland had taken the first step to- ward introducing the merit system in the foreign service. That had been fol- fowed by the application of the merit principle, with ex nt results, to the entire consnlar ich. Almost noth- ing, howerer, had been done in this di- rection with regard to the diplomatie service. In this age of commercial di- plomacy it was evidently of the ‘first importance to train an adequate person- nel in that branch of the service, Therefore. on Nov. 26, 1909, by an executive order I placed the diplomatie service up to the grade of secretary of embassy, inciusive. upon exactly the same strict noupartisan is of the merit sys examination for ap- pointment and promotion only for effi- clency, as had been maintained with- out exception in the consular service. Merit and Nonpartisan Character of Appointments. How faithful to the merit system and bow nonpartisan has been the conduct of the diplomatic and con- sular services in the last four years may be judged froin the following: Three amb: s now serving held at the beginning my ation. ambassadors whom | have appointed, five were by promotion from the rank of minister. ing held their present rank at the be- ginning of the administration. Of the thirty ministers whom 1 have ap- pointed, eleven were promoted from the lower grades of the foreign sery- ice or from the department of state. Of the nineteen missio, in “Latin America, where our relations are close and our interest is great, fifteen chiefs of mission are service men, three hav- ing entered the service during this ad- ministration. The thirt; ven secretaries of em- bassy or lezation who have received their imitial appointments after pass- ing successfully the réquired exami- nation were chosen for ascertained fit- ness, without regard to political af- filiations. A dearth of cardidates from southern and western states has alone made it tmpossible thus far complétely to equalize all the states’ representations in the foreign service. In the effort to equalize the representa- tion of the various states in the com: sular service I have made sixteen of the twenty-nine new appointments as cousul which have occurred daring my admini; tion from the southern states. This is 55 per cent. Every other consular appointment made, in- clading the promotion of eleven young men from the consdiar a student interpreter by promotion or tr: apon efficiency shown in the service sure to the business sts of the Unite contiinee of the resaitin benefits of thix reform, | earnestl new my s reconunendations ol legislation wuking it permanent alouy Of the ten~ Nine ministers now serv-. some such lines as those of the meas- ure now pending in congress. Larger Provision For Embassies and Legations and For Other Expenses of Qur Foreign Representatives Rec- ommended. In connection with legislation for the amelioration of the foreign service, 1 wish to invite attention to the advisa- bility of placing the salary appropria- tions upon a better basis. I believe that the best results would be obtained by a moderate scale of salaries, with adequate funds for the expenses of proper representation, based in each case upon the scale and cost of living at each post. controlled by a system of accounting and under the general di- section of the department of state. In line with the object which I have sought of placing our foreign service on 2 basis of permanency, | have at vari- ous times advocated provision by con- gress for the acquisition of government owned buildings for the residence and offices of our diplomatic,officers, so as to place them more nearly on an equal- ity with similar officers of other na- tions and to do away with the discrim- ipation which otherwise must neces- garily be made In some cases in favor of men having large private fortuunes. The act of congress which I approved on Feb. 17, 1911, was a right step in this direction. The secretary of state has already made the limited recom- mendations permitted by the act for any one year, and it is my hope that the bill introduced in the house of rep- resentatives to carry out these recom- mendations will be favorably acted on by the congress during its present ses- sion. In some Latin-American countries the expense of government owned lega- tions wil¥ be less than elsewhere, and it is certainly very urgent that in such countries as some of the republics of Central America and the Caribbean, where it is peculiarly difficult to rent suitable quarters, the representatives of the United States should be justly and adequately provided with digmified and s’htable official residences. Indeed, it is“high time that the dignity and power of this great nation should be fittingly signalized by proper buildings for the occupancy of the natiom’s rep- resentatives everywhere abroad. Diplomacy a Handmaid of Commercial Intercourse and Peace. The diplomacy of the present ad- ministration has sought to respond to modern ideas of commercial inter- courge. This policy has been charac- terized as snbstituting doilars for bul- lJets. It is onme that appeals alike to idealistic humanitarfan sentiments, to the dictates of sound policy and strat- egy and to leigitimate commercial aims. It is an effort frankly directed to the increase of American trade upon the axiomatic principle that the gov- ernment of the United States shall ex- tend all proper support to every legiti- mate and beneficial American enter- prise abroad. How great have been the results of this diplomacy, coupled with the maximum and minfmum pro- vision of the tariff law, will be seen by some censideration of the wonder- ful increase in the export trade of the United Btates. Because modern di- plomacy is commercial there has been a disposition in some quarters to at- tribute to it nome but materialistic alms. How strikingly erroneous is such an impression may be seen from a study of the results by which the diplomacy of the United States can be Judged. Successful Efforts In Prometion of Peace. In the field of work toward the ideals of peace this government negetiated, but to my regret was unable to con- summate, two arbitratien treaties which set the highest mark of the aspiration of natioms toward the sub- stitution of arbitration and reason for war in the settlement of h&rnxflonllp disputes. Through the efforts of American diplomacy several wars have been prevented or ended. I re- fer to the successful tripartite media- tion of the Argentine Republie, Bra- zil, and the United States between Peru and Ecuador, the bringing of the boundary dispute between Panama and Costa Rica to peaceful arbitra- tion; the staying of warlike prepara- tions when Haiti and the Dominican Republic were on the verge of hestil- ities; the stopping of a war in Nicara- gua; the halting of intermecine strife in Honduras. The government of the United Btates was thanked for its influence toward the restoration of amicabie re- lations between the Argentine Repub- lic and Bolivia. The diplomaey of the United States is active in seeking to assuage the remaining ill feeling be- tween this country and the republic of Colombia. In the reeent elvil war in China the United States successtully joined with the other interested pow- ers in urging am- early ecessation of hostilities. An agreement has been reached between the governments of Chile and Peru whereby the celebrated Tacna-Arica dispute, which has so long imbittered international relations on the west coast of South America, has at last been adjusted. Simultane- ously came the news that the bound- ary dispute between Peru and Ecuader had entered upon a stage of amicable settlement. The position of the United States in reference to the Tacna-Arica dispute between Chile and Peru has beea one of nonintervention. but one of friendly influence and pacific counsel through- out the period during which the dis- pute in question has been the subjeet of interchange of views between this government and the two governments immediately concerned. In the gemeral easing of international tension on the west coast of South America the tri. partite mediation, to which 1 have re- ferred. has been a most potent and beneficent factor. China. In China the policy of encouraging | financial investment to enable that country to help itself has had the re- sult of giving new life and practica’ application to the open door policy ‘T'he consistent purpese of the present administration has been to encouraw: the use of American capital in the d¢ velopment of Chios by the promotio ot those esseptial reformws to whicl ! United States the administratien has China is pledged by treaties with the United States and other powers. The hypothecation to foreign bank- ers in connection with certain indus- | trial enterprises, such as the Hukuang railways, of the national revenues upon which these reforms depended, led the department of state early in the ad- loinistration to demand for American citizens participation In such enter- prises, in order that the United States might have equal rights and an equal voice in all questions partaining to the disposition of the public revenues con- cerned. The same policy of promoting Inter- national accord among the powers hav" ing similar treaty rights as ourselves in the matters of reform, which could not | % put into practical effect without the common consent of all, was likewize adopted in the case of the loan desired by China for the reform of its curren- cy. The principle of international co- operation in matters of common inter- est upon which our policy had already been based in all of the above instances has admittedly been & great factor in that concert of the powers which has been so 2appily conspicuous during thel perilous period of transition through | which the great Chinese nation has | been passing. Central America Needs Our Help In Debt Adjustment. In Central America the aim has been to help such countries as Nicaragua and Hopduras to help themselves, | They are the immediate beneficiaries. The national benefit to the United! States is twofeld. First, it is obvious 7 that the Monroe doctrine is more vital in the neighborhood of the Panama ! ganal and the zope of the Caribbean than anywhere eise. There. too, the maintenance of that doctrine falis most heavily upon the United States. It is therefore essential that the countries within that sphere shall be removed from the jeopardy involved by henvy! foreign debt and chaotic national | finances and from the ever present | danger of international cumplimflons' due to disorder at home. Hence the United States has beem glad to encourage and support Ameri- can bankers who were willing to lend a helping hand to the financial re- habilitation of such countries because this financial rehabllitation and the protection of their custom houses from being the prey of would be dictators would remove at one stroke the men- ace of foreign creditors and the men- ace of revolutionary disorder. The second advantage to the United | States is one affecting chiefly all the | southern and gulf ports and the busi- ness and industry of the south. The republics of Central America and the Caribbean possess great natural wealth. They need only a measure of stability and the means of financial regeneration to emter upon an era of peace and prosperity, brioming profit and bhappiness to themselves and at the same time creating conditions sure to lead to a flourishing interchange of trade with this country. _1 wrish to call your especial attention to the recent occurrences in Nicaragua, for I believe the terrible evemts re- corded thare during the revolution of the past summer—the useless loss of | life, the devastation of property, the | bombardment of defenseless citles, the killing and wounding of women and children, the torturing of nencombat- ants to exact contributions, and the suffering of thousands of human be- ings—might have been averted had the department of state, through approval of the loan convention by the senate, been permitted to carry out its now well developed policy of encouraging the extending of flnancial aid to weak Central American states with the pri- mary objects of avoiding just such revolutions by assisting those repub- lics to rehabilitate their finances, to establish their eurrency on a stable basis, to remove the custom houses from the danger of revolutions by ar- | ranging for their secure administra- tion, and to establish reliable banks. During this last revelution in Nica- ragua the government of that republic | having admitted its inability to pro- tect American life and property | against acts of sheer lawlessness on the part of the malcontents and hav- ing requested this government to as- sume that office, it became necessary to land over 2,000 marines and blue- Jackets in Nicaragua, Owing to their presence the constituted government | of Nicaragua was free to devote its | attention wholly te its internal trou- bles and was thus enabled to stamp'» out the rebellion in a short space of | time. When the Red Cross supplies sent to Granada had been exhausted, 8,000 persons having been given food | in one day upon the arrival of the | American forces, our men suppHed! other unfortunate, needy Nicaraguans | from their own haversacks. I wish to congratulate the officers and men of the United States navy | and marine corps who took part in ! re-establishhxg order in Nicaragua up- ‘ on their splendid conduct and to rec- | ord with sorrow the death of seven American marines and bluejackets. Since the re-establishment of peace and order elections have been held;’ amid conditions of guiet and tranguil- | lity. Nearly all the American marines | have new been withdrawn. The coun- | try should soon be en the road to re- covery. The only apparent danger now threatening Nicaragua arises | from the shortage of funds. Although American, bankers have already ren- dered assistance, they may naturally be loath to advance a lean adequate to t the ceuntry upon its feet without the support ef some such cenvention as that of Jume, 1911, upon which the senate has mot yet acted. Enforcement of Neutrality Laws. In the general effort to contribute te the enjoyment of peace by those repub- lics which are mear neighbers of the enforced the so called neutralify stat- | utes with a new vigor, and these stat- utes were greatly strengthened in re- stricting the exportation of arms and mupitions by the joint "resolution of last- March. It is still a regrettable fact that certain American perts are made the rendezvous of professional ¢evolutionists ad others engaged in intrigue agatvst the pedre of those re- | the use of American ports as foci of publics. It must be admitted that oc- casionally a revolution in this region is justitied as a real popular movement to throw off the shackles of a vicious and tyrannical government. Such was the Nicaraguan revolution against the Ze- #yo regime. A nation enjoying our liberal insti- tutions cannot escape sympathy with a frue popular wovement and one so well Jusiied. In m;m_v cases, however, revolutions in the republics in question have no basis iu principle, but are due | merely to the machinations of con- scienceless and ambitious men, and have no effect but to bring new suffer- ing and fresh burdens to an already op- pressed people. The question whether also significant that manufactured and partly- manufactured articles continoe to be the chief commodities forming the volume of our augmented exports,, the demands of our own people for consumption requiring that an jncreas- ing proportion of our abundant agri- cultaral products be kept at home. In the fiscal year 1911 the exports of ar- ticles in the various stages of manu- facture, not inciuding foodstuffs partly i or wholly manufactured, amounted ap- jroximately to $907,500,000. In the tiscal year 1912 the total was nearly $1,022,000,000, a gain of $114,000,000. Advantage of Maximum and Minimum Tariff Provision. | The importance which our manufse- revolutionary intrigue can be best dealt with by a further amendment to the Reutrality statutes or whether it would be safer to deal with special cases by special laws is one worthy of the care- ful consideration of the congress. Visit of Secretary Knox to Central America and the Caribbean. Impressed with the particular im- portance of the relations between the United States ard the republics of Cen- tral America and the Caribbean region, which of necessity mugt begome still more intimate by reason of tne mutual advantages which will be presented by the opening of the Panama canal, I di- rected the secretary of state last Feb- ruary to visit these republics for the purpose of giving evidence of the sin- cere friendshlp and good will which the government and people of the Unit- ed States bear toward them. ‘Ten re- publics were visited. Everywhere he was received with a cordiality of wel- come and a generosity of hospltality guch as impress me deeply and to mer- it our warmest thanks. The apprecia- tion of the governments and peoples of the countries visited, which has been aprfopriately shown in various ways, leaves me no doubt that his visit will conduce to that closer union and better understanding between the Unit- ed States and those republics which I have had it much at heart to promote. Our Mexican Policy. For two years revolution and counter revolution have distraught the neigh- boring republic of Mexico. Brigandage has involved a great deal of depreda- tion upon foreign Interests. There have constantly recurred questions of ex- | treme delicacy. On several occasions | very difficuit situations have arisen on | Throughout this trying | our frontier. period the policy of the United Btates has been one of patient noninterven- | tion, steadfast recognition of constitut- ed authority in the neighboring na- tion and the exertion of every effort | to care for Amerfcan interests. I pro- foundly hope that the Mexican nation may soon resume the path of order, prosperity and progress. To that na- tion in its sore troubles the sympa- | thetic friendship of the United Btates has been demonstrated to a high de- gree. There were in Mexico at the begin- ning of the revolution some 30,000 or 40,000 American citizens engaged in | enterprises contributing greatly to the prosperity of that republic and also benefiting the important trade between the two countries, The investments of American capital in Mexico has been estimated at $1,000,000,000. The respon- sibility of endeavoring to safegnard those interests and the dangers insep- arable from propinguity to so turbulent | a situation have been great, but I am happy to have been able to adhere to the policy above outlined—a policy which I hope may soon be justified by the complete succesy of the Mexican people in regmining the blessings of peace and good order. Agricultural Credits. A mest important work aceomplished in the past year by the American dlp- lomatic officers in Europe is the inves- tigation of the agricultural credit sys- tem in the European countries. Both as a means to afford relief to the con- sumers of this country through a more thorough development of agricultural resources and as a means of more suf- ficiently maintaining the agricultural population, the project to establish credit facilities for the farmers is a concern of vital importance to this na- tion. No evidence of prosperity among well established farmers should blind us to the fact that lack of capital is prevent- ing a development of the nation's agri- | cultural resources and an adequate in- crease of the land under cultivation; that agricultural production is fast fall- ing behind the increase in population and that, in fact, although these well established farmers are maintained in increasing prosperity because of the natural inerease in population, we are not developing the industry of agricul- ture. y We are not breeding in proportionate numbers a race of independent and in- dependence loving landowners, for a lack of which no growth of cities can compensate. Our farmers have been our mainstay in times of crisis, and in future it must still largely be upon their stability and common sense that | this democracy must rely to conserve its principles of self government. The need of capital which American farmers feel today bad been experi- enced by the farmers of Europe, with their eenturies-old farms, many years ago. The problem had been success- fully solved in the old world, and it was evigent that the farmers of this eountry might profit by a study of their systems. 1 therefore ordered, through the department of state, an in- vestigation to be made by the diplo- matic officers in Europe, and I have laid the results of this investigation before the govermors of the various states with the hope that they will be used to advantsge in their forth- coming meeting. Inerease of Foreign Trade. In my last annnal message I said that the fiscal year ended Jume 30, 1911, was noteworthy as marking the highest record ef exports of Ameri- can produets to foreigr conntries. The fiscal year 1912 shows that this rate of advance has been .ynulntllned, the total domestic: exports having a valua- tion approximately of $2,200,000,000, as compared with a fraction oyer $2,- 000,000,000 the previeus year. It is 2 | tares have assumed in the commerce | of the world in competition with the manufactures of other countries again | draws attention to the duty of this | government to use its utmost endeaw- | ors to secure impartial treatinent for [ American products in all markets. fflealthy commercial rivalry in inter- national intercourse is best assured by the possession of proper means for | protecting and promoting our foreigm | trade. It is natural that c~mpetitive ! countries should view with some com- cern this steady expansion of our com- | merce. If in some instances the meas- { ure taken by them to meet it are not | entirely equitable a remedy should be | found. | In former messages I have described | the negotiations of the department of | state with foreign governments for the adjustment of the maximum and mini- | mum tariff as provided in section 2 of | the tariff law of 1809. The advam- | tages secured by the adjustment of | our trade relations under this law have : continued during the last year, amd | some additional cases of discrimina- tory treatment of which we had rea- son to complain have been removed. | The department of state has for the first time in the history of this coud- try obtained substantial most-favered- | nation treatment from all the countriss i of the world. There are, however, other instamces which, while apparently not constitut- ing undue discrimination in the sense of section 2, are nevertheless escep- { tions to the complete equity of tariff | treatment for American products that the department of state consistently has songht to obtain for Americanm commerce abroad. Neoessity For Supplementary Legisla=- tion. | These developments confirm the opin- | fon conveyed to you in my annual mes- sage of 1911, that while the maximum | and minimum provision of the tariff i law of 1909 has been fully justified by | the success achieved in removing pre- | viously existing undue discriminations | against American products, yet experi- nce has shown that this feature of the law should be amended in such | way as to provide a fully effective { means of meeting the varying degrees | of discriminatory treatment of Ameri- | ean commerce in foreign countries still encountered, as well as to protect against injurious treatment on the part | of foreign governments through either legislative or administrative measures, ; the financial interests abroad of Ameri- | ean citizens whose enterprises enlarge the market for American commodities. 1 eannot too strongly recommend to the congress the passage of some such enabling measure 28 the bill which was recommended by the seeretary of state in his letter of Dec. 18, 1911. The ob- ject of the proposed legislation is, Ia brief, to enable the executive to apply, as the case may require, to any or all commodities, whether or not on the free list from a country which discrim- inates against the United States, a graduated scale of duties up to the maximum of 25 per cent ad valerem provided in the present law. Flat tariffs are out of date. Nations no longer accord equal tariff trentment to all other nations irrespective of the treatment from them received. BSuch a | flexible power at the command of the | executive would serve to moderate amy | unfavorable tendencies on the part of those countries from which the impor tations into the United States are sub- stantially confined to articles on the free list 4s well as of the countries which find a lucrative market in the United States for their products under existing customs rates. It is very nee- essary that the American government should be equipped with weapons of negotiation adapted to modern econom- ie conditions in order that we may af all times be in a position to gain not | only technically just but actually equit- able treatment for our trade and alse for American enterprise and vested in- terests abread. Business Secured to Our Country by Direct Officlal Effort. As fllustrating the commereial bene- fits to the nation derived the new diplomacy and its effec upon the material as well as the ideal eide, it may be remarked that through direct official efforts alone there hawe | been obtained in the course of this ad- | ministration contracts from foreign governments invelving an expenditure of $50,000,000 in the factories of the United Btates. Consideration of this fact and some reflection upon the nee- essary effects of a scientific tariff sys- tem and a forelgn service alert and equipped to co-operate with the bush ness men of America earty the convie. tion that the gratifying increase in the sxport trade of this country is in sub- stantfal amount due to our improved goverAmental methods of protecting and stimulating it. It is germazs to these observations te remark that i the two years that hawp elapsed sines the suecessful negotis- tion of our new treaty with Japam, which at the time seemed to presentso many practical difficulties, our export trade to that conntry has increased at he rate of over $1,000,000 a month. Jur exports to Japan for the year end- ol June 80, 1910, were $21,959,310, while for the year ‘ended June 90, 1012, the exports were $53,478,046, a net in- erease in the sgle of American products of nearty 130 per cent. i 8pecial Claims Arbitration With Groat Britain. Under the special agreement entered inte between the United States. and Great Britain on Aug. 18, 1910, for the arbiteation of outstanding peeupiary