— II — 



possession of all commercial and industrial circles since it had become 

 known that the Republican party would remain at the helm, — that 

 is to say, that the contest between Taft and Bryan had been decided 

 in accordance with the wishes of the Eastern States, whose interests 

 are principally connected with foreign trade. Our New York Branch 

 informs us that during the first two months of the New Year business 

 has been extraordinarily animated, and from this fact it draws the 

 satisfactory deduction that trade and traffic are positively, although 

 slowly beginning to revive. Unfortunately, a new spectre has arisen 

 in the form of the impending revision of the Customs Tariff, which 

 is to be carried out as a matter of urgency by the new President 

 This event is not looked upon without apprehension in all industrial 

 circles in Germany, as it threatens to block the revival of commercial 

 relations with the United States. For the present nothing can be said 

 as to the extent to which various classes of industrial products will be 

 affected by changes, and the answer to the question whether or not 

 the revised Tariff contemplates increases in the Customs duties upon 

 our essential oils and perfumes, must still be left to the future. 1 ) 



It is a matter of especial satisfaction that a Treaty has recently 

 been entered into between the United States and Germany, in which 

 both countries grant each other complete freedom in the matter of the 

 exploitation of patents, and by virtue of which inventors as well as 

 owners of patents will enjoy equal treatment in both countries. The 

 text of the agreement will only be published when the Treaty has 

 been ratified by the Senate. In any case, this result of mutual good- 

 feeling will be warmly applauded, especially in view of the injury done 

 to German inventors and patentees by the compulsion to work their 

 inventions in the country itself, such as in Great Britain. 



The statistics published after the close of the year 1908 proved 

 that, both as regards foreign trade and industrial production in the 



*) Our New York branch mailed on March 31 st the following supplementary 

 information: — 



" According to the official text of the Payne Tariff Bill, a number of important 

 Essential Oils have been omitted from the Free List, which would bring them 

 under the general head of «Unenumerated Essential Oils» at 25% ad valorem. 



"The striking feature in the selection of these oils, none of which are manu- 

 factured in the United States commercially, finds ready explanation in the strong 

 desire of the originator of the Bill to provide revenue. 



"However, there is an almost endless discussion pro and con (already well 

 started) to be looked for, and whatever the end may develop, its intermediate waste 

 of time, and concommittant uncertainties, will seriously disturb not alone the market 

 of the United States, but also of the whole World. 



"It is doubtless of great importance for the manufacturing interests of the 

 United States to retain certain Essential Oils on the Free List, but we deem it, 

 under the present tentative condition of the Payne Bill, futile to point out, beyond 

 the above general reference, certain other inconsistencies affecting our line." 



