In addition to the industries above enumerated, which were carried on
as regular trades in many localities, Mr. Hamilton went on to
describe--“a vast scene of household manufacturing, which contributes
more largely to the supply of the community than could be imagined
without having made it an object of particular inquiry--” and he
continues--
“Great quantities of coarse cloths, coatings, serges and
flannels, linsey-woolseys; hosiery of wool, cotton and thread;
coarse fustians, jeans and muslins; checked and striped cotton
and linen goods; bed ticks, coverlets and counterpanes; tow
linens; coarse shirtings, sheetings, toweling and table-linen,
and various mixtures of wool and cotton, and of cotton and flax
are made in the household way and, in many instances, to an
extent not only sufficient for the supply of the families in
which they are made, but for sale, and even, in some cases, for
exportation. It is computed in a number of districts that
two-thirds, three-fourths and even four-fifths of all the
clothing of the inhabitants are made by themselves. The
importance of so great a progress as appears to have been made in
family manufactures within a few years, both in a moral and 266
political view, renders the fact highly interesting. Neither does
the above enumeration comprehend all the articles that are
manufactured as regular trades. Many others occur, which are
equally well established, but which, not being of equal
importance, have been omitted. And there are many attempts, still
in their infancy, which, though attended with very favorable
appearances, could not have been properly comprised in an
enumeration of manufactories already established. There are other
articles, also, of great importance, which, though, strictly
speaking, manufactures, are omitted as being immediately
connected with husbandry, such as flour, pot and pearl ashes,
pitch, tar, turpentine and the like.”
The “manufactories carried on as regular trades,” and included in Mr.
Hamilton’s category, says the U. S. Census Report of 1900, comprised
such as would naturally spring up in a new country to supply the
immediate necessities of the inhabitants, together with those whose
materials were most abundant and inviting. Agricultural implements and
other tools of industry were made in quantities fully equal to the
demand. Firearms were also made. The dressing of skins, especially
tanning, had become an important industry, and was carried on both in
establishments exclusively devoted to the purpose, and by many
shoemakers and farmers as a subsidiary occupation. The number of
brewers and distillers was remarkable, and nearly the entire domestic
demand for beverages was supplied by home production. Sawmills,
gristmills, brick kilns, wool-carding mills, and fulling mills existed
in great number, but always on a small scale, supplying only local
needs. The manufacture of paper, which had been a successful colonial
industry, also supplied the domestic requirements, and several glass
works existed. “Iron works have greatly increased in the United
States,” said Mr. Hamilton, “and are prosecuted with much more
advantage than formerly.” The shipbuilding industry was particularly 267
well developed and widespread. In 1793 the tonnage of the United
States exceeded that of every other nation except England. In the
main, however, the people had confined themselves to such manufactures
as could not be imported to advantage. Foreign goods, chiefly
textiles, were largely imported in exchange for agricultural products.
Such was the general condition of our manufactures at the opening of
the nineteenth century. Although some progress in this direction has
been made, the occupations of the people were chiefly agricultural;
commerce was becoming a factor of constantly increasing importance in
the development of the industrial resources of the country, while
manufactures occupied the third and subordinate position.
In 1810 Albert Gallatin, Secretary of the Treasury, in response to a
resolution of the House of Representatives of June 7, 1908, made a
report which is an admirable summary of the condition of American
manufactures at that date. Secretary Gallatin estimated that in 1809
the value of the products of American manufactures exceeded
$120,000,000. Tench Coxe’s estimate, based upon the returns obtained
at the Census of 1810, was $198,613,471. The censuses of 1810, 1820,
1830 and 1840 gave certain figures on the manufacturing industries of
the United States, but they did not approach the completeness of the
censuses of recent years, and the figures of those earlier records
must be accepted only with this view of their incompleteness. Tench
Coxe, as already shown, estimated the real value of the manufactures
of 1810 at a little less than 200 million. The censuses of 1820 and
1830 were confessedly incomplete and their showing of manufactures
does not compare favorably with the Coxe estimate for 1810. In 1840
the value of the manufactures was put at about 500 million dollars; in
1850, at one billion; in 1860, a little less than 2 billion; in 1870,
4¼ billion; in 1880, 3⅓ billion; in 1890, 9⅓ billion; in 1900, 13 268
billion; and in 1905, 16 billion--a sum three times the estimated
value of manufactures of the next great manufacturing nation, the
United Kingdom.
It must be remembered, however, that these figures of the value of the
manufactures of the United States are “gross values,” or, in other
words, contain many duplications, as explained elsewhere, and that the
net or real value of the manufactures of the country was but
two-thirds of the figures above named. Even this estimate which puts
the net or true value of the manufactures of the country at about
two-thirds of the census gross valuation still leaves the United
States so far in the lead that there can be no doubt that it is the
greatest manufacturing nation of the world. Tables printed elsewhere
in this text show that her production of manufactures is, even under
an acceptance of the “net” value and an exclusion of certain articles
not classed as manufactures by other countries, far in excess of that
of any other country.
The growth by industries cannot be shown in detail in a work of this
character. Suffice to say that every line of manufactures is now
produced in the United States, save only those in which the work is
wholly, or chiefly, performed by hand labor. The growth of the more
important industries, such as iron and steel, textiles, etc., is
pictured in sections devoted to those industries, and an outline of
the growth in the principal articles is shown in the table on another
page which presents official figures of the number of factories,
persons employed, capital invested and product turned out in the
principal manufacturing industries of the country in 1880, 1890, 1900,
and 1905.
The increase in the production of manufactures in the United States,
far in excess of home requirements, has forced our manufacturers to
seek markets in other parts of the world for their surplus product.
The result has been a rapid increase in the exportation of
manufactures. The total value of manufactures exported from the United 269
States has grown from less than 8 million dollars in 1820 to 23
million dollars in 1850, 48½ million in 1860, 70 million in 1870, 122
million in 1880, 179 million in 1890, and 485 million in 1900, since
which time the annual total has not fallen below the 400-million-dollar
line, while in the year 1908 the total exceeded 750 million dollars.
In the fiscal year 1908, the latest period for which detailed figures
of the exports by countries are available, the exports of manufactures
were valued at 750 million dollars, of which 368 million dollars’
worth went to Europe, 188 million to North America, 72 million to
South America, and 71 million to Asia, while the remainder was divided
between Oceania and Africa.
That this growth has been especially marked in recent years is shown
by the fact that the actual increase by decades in exports of
manufactures has been as follows: During the decade ending with 1830,
1.8 millions; 1840, 5.8 millions; 1850, 7.8 millions; 1860, 25.2
millions; 1870, 21.6 millions; 1880, 51.8 millions; 1890, 57.2
millions; 1900, 305.9 millions; and during the eight years ending with
1906, 265 millions. Thus the growth of exports of manufactures in the
eighteen years following 1890 was practically three times as great as
that of the entire seventy years preceding that year.
Exports of manufactures from the United States now exceed 750 million
dollars per annum and have doubled in value in a single decade. Not
only has the exportation of manufactures doubled in a decade, but the
share which products of the factory form of the total exports is
steadily increasing. In 1880 manufactures formed but 15 per cent of
the total exports of domestic products; in 1890 they formed 21 per
cent, in 1900, 35 per cent, and in 1908, 41 per cent.
With the rapid increase of population in the United States, and
therefore of the consumption of natural products, the quantity of 270
food and raw materials remaining for distribution to other parts of
the world has not increased proportionately; and with the development
of manufacturing facilities and the trend of population to the
manufacturing centers, production of manufactures has rapidly
increased, and the surplus of these manufactures which may be spared
for foreign markets has also increased. Foodstuffs, which in 1890
formed 42 per cent of the total exports of domestic products, formed
in 1908 but 28 per cent of the total; articles in a crude condition
for use in manufacturing, which in 1890 formed 36 per cent of the
totals, formed in 1908 but 30 per cent; while manufactures, as already
indicated, increased their share in the exports from 21 per cent in
1890 to 41 per cent in 1908.
In the decade ending with 1905 exports of manufactures from the United
States increased 198 per cent, while those from Germany increased 75
per cent, those from the United Kingdom 40 per cent, and those from
France 25 per cent. This rapid increase in the exports of manufactures
from the United States has brought her to the third rank in the list
of the world’s exporters of manufactures. The four greatest producers
of manufactures for exportation and the value of manufactures exported
by each of them in 1906 are as follows: The United Kingdom, 1,400
million dollars; Germany, 1,000 million; the United States, 700
million; and France, 500 million.
To Europe the exports of manufactures from the United States in 1892
was 76 million dollars, in 1901, 213 million, and in 1908, 368
million. To North America the exports of manufactures from the United
States in 1892 were 33 million dollars, in 1908, 189 million; to Asia
and Oceania the total was 25 million dollars in 1892 and 112 million
in 1908; to Africa, in 1892, less than 4 million dollars, in 1908,
more than 10 million; to South America, in 1892, 17 million, in 1908,
72 million. Considering the distribution by principal countries, it
may be said that the total exports of manufactures from the United 271
States to the United Kingdom was, in 1892, 40 million dollars, in
1902, 100 million; to British North America, in 1892, less than 10
million, in 1902, over 54 million; to Germany, in 1892, 14 million, in
1902, 30 million; to Mexico, in 1892, less than 8 million, in 1902,
over 26 million; to British Australasia, in 1892, less than 9 million,
in 1902, over 23 million; and to China, in 1892, 5½ million, in 1902,
more than 23 million.
Considering the exports by great articles or groups of articles, it
may be said that manufactures of iron and steel as a group form the
largest item in the exports of manufactures, having grown from 52
thousand dollars in 1800 to 322 thousand in 1830, 1 million dollars in
1850, about 6 million in 1860, 13 million in 1870, 25 million in 1890,
121 million in 1900, and 184 million in 1908. Mineral oils form the
second largest item among the groups of manufactures, having grown
from 30 million in 1870 to 98 million in 1908. Copper manufactures
rank third, the total exports having grown from 1½ million dollars in
1860 to 2⅓ million in 1890 and 104 million in 1908. Leather and its
manufactures have increased their exportations from 1½ million in 1860
to 6¾ million in 1880, 12 million in 1890, 27 million in 1900, and 41
million in 1908. Exports of agricultural implements have grown from 1
million dollars in 1870 to 4 million in 1890, 16 million in 1900, and
24 million in 1908. Thirty articles or groups of articles exceeded 1
million dollars in the value of their respective exports in the fiscal
year 1908. Of these thirty groups now exceeding 1 million dollars each
in value annually, not one aggregated as much as a million dollars in
1820, and only three groups exceeded 1 million in 1850; in 1860 eight
groups exceeded each 1 million; in 1880 the number of groups exceeding
1 million in value was 13; in 1890, 20; and in 1908, as already
indicated, 30 exceeded 1 million each in the value of their annual
exportations.
The causes of the rapid growth in the exports of manufactures from 272
the United States are not difficult to determine. The growth as
already indicated, has occurred chiefly since 1880, and especially in
the last decade. From 1790 to 1880 the growth was a hundred million in
ninety years’ time. This was a period which was devoted to the
development of the agricultural resources of the country and to the
construction of railroads. The value of agricultural products exported
grew in this period from 19 million dollars to 686 million, an
increase of 667 million, while exports of manufactures were increasing
100 million. From 1880 to 1900 agricultural exports showed a gain of
206 million dollars and those of manufactures 330 million. Thus the
development of domestic exports from the United States has occurred in
definitely rounded periods: The first, a long period of growth of
agricultural products; the second, a shorter and more recent period,
in which the largest growth, and especially the largest proportionate
growth, has been in exports of manufactures.
A study of the production in the United States of a few of the great
articles which form the basis of manufactures and the manufacturing
industries offers ready explanation of the great increase in the
production of manufactures and the consequent marked increase in the
exportation of manufactures. Six great articles supply the principal
requisites for manufacturing, viz, iron, copper, wood, cotton, wool,
and coal as the material which supplies the power by which they are
first assembled and afterwards converted into manufactures. The
production of pig iron in the United States which up to 1880 had never
reached 4 million tons, was by 1890, 9 million; in 1900, 13½ million,
and in 1907, 25 million. Of steel, the production in the United States
in 1880 for the first time exceeded 1 million tons; in 1890 it
exceeded 4 million tons; in 1900, more than 10 million, and in 1907,
more than 23 million. Of copper, for which the demands of the world
are now great, the United States produced in 1880, 27 thousand tons, 273
in 1890, 116 thousand tons, and in 1906, 409 thousand tons. The total
value of the mineral products of the United States was in 1880, 369
million dollars; in 1890, 619 million, and in 1908, 2,069 million, or
5½ times that of 1880. The cotton production of the United States was
in 1880, 5½ million bales, in 1890, 7½ million, and in 1908, over 13½
million. In 1880, American mills took 31 per cent of the total
American production of cotton, and in 1907 they took 32 per cent of
the greatly increased total. Of wool, the production of 1880 was 232½
million pounds; of 1890, 276 million, and that of 1908, 311 million.
Of coal, which has an important relation to manufactures, both in
supplying the motive power for the assembling of materials and heat
for smelting ores and other features of manufacturing work, as well as
the power for operating the machinery of manufacture, the production
in 1880 was 64 million tons; in 1890, 141 million; in 1900, 241
million; and in 1907, 428 million.
Of the six great articles here enumerated as the chief requisites of
manufacturing, the United States is the world’s largest producer of
all except wool. Of cotton, the United States produces three-fourths
of the world’s entire supply; of copper, fully one-half; of pig iron
and steel, the United States produces 40 per cent of the world’s
entire supply; and in 1907 produced more than Germany, the United
Kingdom, and Belgium combined, these three countries being, in the
order named, the world’s next largest producers of pig iron. Of timber
and wood suitable for use in manufacturing, the United States is the
world’s largest producer at the present time. Of wool, the United
States is only exceeded in its production by Australasia, Argentina
and Russia, its total product being in 1901, 302 million pounds
against 360 million in Russia, including Poland, Argentina, 370
million, and Australasia, 510 million.
In transportation, for assembling these great natural products for 274
use in manufacturing, the facilities in the United States by far
surpass those of any other country. The railroads have grown from 30
thousand miles in 1860 to 53 thousand miles in 1870, 93 thousand miles
in 1880, 166 thousand miles in 1890, and 240 thousand miles in 1908,
giving to the United States two-fifths of the entire railway mileage
of the world; while in transportation upon the Great Lakes the
registered tonnage of vessels passing through the Sault Ste. Marie
Canal alone in 1907 was 44 million tons, or practically three times as
much as the tonnage passing through the Suez Canal in the same year.
Proportionately the growth in exports of manufactures has been even
greater than that in production of manufactures. The census figures
show that the gross value of manufactures produced in 1850 was, in
round terms, 1 billion dollars, and in 1905, nearly 17 billion, so
that the product of 1905 may be said to be about seventeen times as
great as that of 1850; while the exportation of manufactures, which in
1850 was $17,580,456, was in 1908, $750,000,000, or forty-two times as
great as in 1850, indicating that the percentage of growth in
exportation has been more than twice as great as that in the
production of manufactures.
Of the articles which form the great and growing export trade of the
United States, those grouped under the term “manufactures” number over
two hundred distinct articles, though many of these are included
within the special groupings, such as agricultural implements, iron
and steel manufactures, mineral oils, leather and its manufactures,
etc. The group agricultural implements, for example, is subdivided
into mowers and reapers, plows and cultivators, and “all other,” the
latter term including numerous articles which are not of sufficient
value to justify at present a separate statement. The group cotton
manufactures includes cloths colored and uncolored, wearing apparel,
waste cotton, and all other. The group iron and steel includes pig 275
iron, bar iron, wire rods, billets, ingots and blooms, hoop, band and
scroll iron, rails for railways, tin plates, structural iron and
steel, wire, locks, hinges, saws and tools, car wheels, castings,
table cutlery, firearms, cash registers, electrical machinery, laundry
machinery, metal-working machinery, printing presses, pumps and
pumping machinery, shoe machinery, locomotives (stationary and
railway), typewriters, nails (cut and wire), pipes, safes, scales,
stoves and ranges, each of which is separately stated, and following
these a class “all other,” which includes the less important articles
not separately enumerated. Under the group leather and its
manufactures are included sole leather, glazed, kid, patent, split,
and other upper leather, boots and shoes, harness and saddles. Under
the general title of refined or manufactured mineral oils are included
naphthas, illuminating oil, and lubricating and heavy paraffin oil.
Under the general title of musical instruments are included organs,
pianos, and all other. Paper and its manufactures include paper
hangings, printing paper, writing paper, envelopes, and all other.
Manufactures of tobacco include cigars and cigarettes, plug tobacco,
and all other. Wood manufactures include doors, sash and blinds;
furniture; hogsheads and barrels; trimmings, moldings and other house
finishings; woodenware, wood pulp, and all other. Wool manufactures
include carpets, dress goods, flannels and blankets, wearing apparel,
separately stated, and all other.
Taking up the various groups or classes, and with them the articles
which are not subdivided, it may be said that thirty general articles
show a total exceeding $1,000,000 in the exports of recent years.
Exports of iron and steel manufactures as a whole amounted in 1908 to
184 million dollars; manufactured or refined mineral oils, 99 million;
copper manufactures, 100 million; cotton manufactures, 25 million;
leather and its manufactures, 27 million; agricultural implements, 276
24 million; chemicals, drugs and dyes, 21 million; cars and carriages,
22 million; paraffin, 8 million; paper and its manufactures, 8
million; tobacco manufactures, 5 million; scientific instruments, 11
million; fiber manufactures, 5 million; india-rubber manufactures, 7½
million; books, maps and engravings, 6 million.
Tracing the more important of these articles through the period from
1790 to 1908 it may be said that iron and steel manufactures, which
began their record in 1790 with a total exportation of $117,060, did
not reach $1,000,000 until 1840, when the total export was $1,127,877.
Even in 1850 it was only $1,953,702, but by 1860 was $5,870,114; in
1870, $13,483,163; in 1880, $14,716,524; in 1890, $25,542,208, and in
the decade from 1890 to 1900 it increased nearly fourfold, the total
for 1908 being $183,982,182 against $25,542,208 in 1890. The growth in
the exportation of manufactures of iron and steel has been more
strongly marked than that in any other important article of export
except copper. It has been coincidental with the development of the
great iron mines of the United States and the production of pig iron
and steel.
The next article in the order of its magnitude in our exportations is
refined mineral oil, which only became an article of export after the
great oil discoveries in the decade 1860-1870. Its first appearance in
the list of exports was in 1864, in which year the total amounted to
$6,918,502, the small quantities exported in preceding years not
having separately enumerated in the list of articles exported. The
value of the exportations of mineral oil increased very rapidly, the
total for 1864 being slightly less than 7 millions; for 1865, nearly
10 millions; 1866, over 18 millions; 1867, 22 millions; 1870, 30
millions; 1880, 34 millions; 1890, 44 millions; 1900, 68 millions,
and 1908, 99 millions.
Copper, which forms the third article in rank in the exports of 277
manufactures, is of recent date as an article of importance in the
export trade. The existence of large copper deposits in the United
States had been known for many years, but it was only upon the greatly
increased demand for copper owing to the developments in the use of
electricity as a motive power that the world began to demand copper in
greatly increased quantities; and to this demand the mines of the
United States promptly responded. The copper production of the United
States had never reached as much as 20,000 tons prior to 1877. By 1887
it was 81,000 tons; by 1897, 220,000 tons; and in 1907, 410,000 tons.
The most strongly marked increase occurred during the period of
1890-1907, the production of 1890 being 115,000 tons, and in 1907,
410,000 tons. The growth in exportation was coincidental with the
growth in production. The value of copper manufactures exported in
1890 was but $2,349,392; in 1891, it was $4,614,597; in 1892,
$7,226,392; in 1895, $14,468,703; in 1896, $19,720,104; in 1897,
$31,621,125; and in 1908, $104,064,580 or nearly fifty times as much
in 1908 as in 1890.
Leather and manufactures thereof grew from 1½ million in 1860 to 6½
million in 1880, 12½ million in 1890, 27 million in 1900, practically
30 million in 1902, and 42 million in 1909. Agricultural implements
have also shown a rapid increase in exportation. In 1870 they amounted
to only 1 million dollars in value; in 1880, to a little over 2
million; in 1890, nearly 4 million; in 1900, 16 million; and in 1902,
16¼ million.
Chemicals, drugs, dyes, etc., formed the largest single item of
exports in 1790, pot and pearl ashes being then the principal article
in the list, and have slowly but steadily increased, reaching a
million dollars in 1830, 2½ million in 1870, 5½ million in 1890, 12
million in 1902, and 21 million in 1908. It is proper to add that in
the later years patent medicines, which are included under this general
classification of chemicals, etc., have formed a considerable 278
proportion of this increase, the total value of patent medicines
exported being in 1902, 3 million dollars out of the total of 12
million. The chemical industry of the United States has not made as
rapid gains either in the relative value of its products, in the
supply of the home market, or in the distribution of exports as
accomplished by many other industries. The total value of the chemical
productions of the country, according to the census, was in 1880,
$38,640,458; in 1890, $59,352,548; and in 1900, $62,676,730, having
less than doubled the value of the product from 1880 to 1900, the
increase being but 60 per cent, while manufactures as a whole
increased 142 per cent.
Considering the grand divisions and countries to which we send this
$750,000,000 worth of manufactures exported from the United States, it
may be said that literally every country of the world is a purchaser
of American manufactures. In each grand division and in every country
of the world the manufactured products of the United States are being
consumed in steadily increasing quantities and varieties; and this
consumption of the products of the manufacturing establishments of the
United States by other parts of the world is a voluntary one, and not
an “invasion” in the ordinarily accepted sense of the term. The growth
in the consumption of American manufactures in other parts of the
world is quite as voluntary as is the consumption of American flour,
or meat, or cotton. This is illustrated by the fact that, while the
iron and steel manufacturing establishments have been unable to meet
the orders of the home consumers, and, therefore, have made little
effort to “invade” other markets, more than $184,000,000 worth of iron
and steel manufactures was exported in 1908, presumably, in most
cases, to fill orders from other parts of the world. The fact that the
home demand for iron and steel manufactures was in 1907 so great as to
more than double the importation of iron and steel manufactures in a
single year, shows clearly that the condition of a home market was 279
such that the iron and steel manufactures of the United States needed
make no effort to “invade” the markets of other parts of the world,
and that whatever sales they made in those lines outside of the United
States were, as a rule, in response to calls from the countries to
which these classes of merchandise are sent. The exportations of iron
and steel manufactures from the United States in the fiscal year 1908,
were: To Europe, 47 million dollars; North America, 72 million;
Oceania, 14 million; South America, 22 million; Asia, 25 million; and
Africa, 3 million. Of American copper the purchases by Europe were, in
1891, $4,433,015 in value, and in 1908, $97,324,230. For agricultural
implements the home demand is large and active, yet the exportation of
agricultural implements, presumably all or nearly all orders, was in
1908, to Europe, 13 million dollars; to North America, 2½ million; to
South America, 5 million; to Oceania, over 1 million; and to Asia and
Africa, 13 million. The railroads of the United States were in 1906
and 7, according to repeated statements, unable to obtain cars in
sufficient number to meet their requirements, yet the exportation of
cars for steam railways in the fiscal year 1908 amounted to about
$5,000,000.
The large share which manufactures form in the exports of the United
States is shown by an analysis by the Bureau of Statistics of the
Department of Commerce and Labor of the trade, by articles and groups
of articles, with every country and grand division of the world. These
figures show that manufactures formed 86 per cent of exports to South
America in 1906, 85 per cent of the exports to Oceania, 75 per cent of
the exports to Asia, 66 per cent of the exports to Africa, 62 per cent
of the exports to North America, while even to Europe manufactures
formed 27 per cent of the total domestic merchandise sent in the
fiscal year 1906.
This general group, “manufactures,” upon which the above percentages 280
are based, includes both manufactures ready for consumption and
manufactures for further use in manufacturing. The first group
includes all manufactures in the fully completed form and ready for
immediate use. The second is made up chiefly of chemicals, leather,
naval stores, lumber, copper in pigs, bars, and ingots, and various
grades of iron and steel which have passed through a process of
manufacture but are to be further used in manufacturing, such as steel
bars, billets, ingots, blooms, sheets and plates, tin plate, wire
rods, and pig iron.
Of the 75 million dollars’ worth sent to South America, 72.4 per cent
was manufactures ready for consumption and 14.02 per cent manufactures
for further use in manufacturing. Of the 105 million dollars’ worth
sent to Asia, 65.79 was manufactures ready for consumption and 9.14
per cent manufactures for further use in manufacturing. Of the 35
million dollars’ worth sent to Oceania, 72.97 per cent was
manufactures ready for consumption and 11.78 per cent manufactures for
further use in manufacturing. Of the 20 million dollars’ worth sent to
Africa, 58.79 per cent was manufactures ready for consumption and 6.85
per cent manufactures for further use in manufacturing. Of the 295
million dollars’ worth exported to North America, 50.46 per cent was
manufactures ready for consumption and 11.37 per cent manufactures for
further use in manufacturing. Of the 1,189 million dollars’ worth of
domestic merchandise sent from the United States to Europe in 1906,
12.72 per cent was manufactures ready for consumption and 14.06 per
cent manufactures for further use in manufacturing.
Thus, more than one-half of the domestic merchandise sent out of the
United States to each grand division except Europe goes in the fully
manufactured form, ready for consumption; in the case of South America
and Oceania practically three-fourths, in the case of Asia practically
two-thirds, and in the case of North America practically one-half 281
goes in the fully manufactured form.
Taking up the principal countries, the figures of the Bureau of
Statistics show that 11.85 per cent of the exports of the United
Kingdom was manufactures ready for consumption and 11.22 per cent
manufactures for further use in manufacturing. Of the exports to
Germany, 10.98 per cent was manufactures ready for consumption and
12.96 per cent manufactures for further use in manufacturing. To
France, 12.67 per cent of the exports was manufactures ready for
consumption and 18.44 per cent manufactures for further use in
manufacturing. To Canada, 48.8 per cent of the exports was
manufactures ready for consumption and 13.1 per cent manufactures for
further use in manufacturing. To Mexico, 58.77 per cent was
manufactures ready for consumption and 11.61 per cent manufactures for
further use in manufacturing. To Cuba, 45.94 per cent of the exports
was manufactures ready for consumption and 9.31 per cent manufactures
for further use in manufacturing. To Argentina, 79.93 per cent of the
exports was manufactures ready for consumption and 18.67 per cent
manufactures for further use in manufacturing. To Brazil, 72.9 per
cent of the exports was manufactures ready for consumption and 10.24
per cent manufactures for further use in manufacturing. To Chile,
74.82 per cent of the exports was manufactures ready for consumption
and 10.71 per cent manufactures for further use in manufacturing. To
China, 85.12 per cent was manufactures ready for consumption and 10.65
per cent manufactures for further use in manufacturing. To Japan,
45.89 per cent of the exports was manufactures ready for consumption
and 10.28 per cent manufactures for further use in manufacturing. To
the Philippine Islands, 59.75 per cent of the shipments was
manufactures ready for consumption and 9.13 per cent manufactures for
further use in manufacturing. To Australia, 76.48 per cent of the
exports was manufactures ready for consumption and 12.26 per cent 282
manufactures for further use in manufacturing.
Foodstuffs and manufacturers’ material form the larger share of the
merchandise sent to Europe and a considerable percentage of that sent
to North America, while to the other grand divisions neither
foodstuffs nor raw material for manufacturing form any considerable
per cent of the total. To Europe, foodstuffs (chiefly wheat flour,
corn and meats) formed 36.3 per cent of the total merchandise sent in
1906, while raw materials for use in manufacturing (chiefly cotton)
formed 36.83 per cent of the total, the remainder being, as above
indicated, manufactures ready for consumption or manufactures for
further use in manufacturing. To North America, foodstuffs formed
20.23 per cent of the total and manufacturers’ raw material 16.12 per
cent. To South America, foodstuffs formed 13.32 per cent of the total
and manufacturers’ raw material less than 1 per cent. To Asia,
foodstuffs formed 13.83 per cent and manufacturers’ raw material 11.2
per cent, this larger percentage of the raw material being due chiefly
to sales of raw cotton to Japan. To Oceania, foodstuffs formed 9.65
per cent of the total and manufacturers’ raw material 4.96 per cent.
To Africa, foodstuffs formed 28.39 per cent of the total exports and
manufacturers’ raw material 5.86 per cent.
Taking up the analysis of exports to other parts of the world, the
figures show that of the exports to the United Kingdom 34.07 per cent
was crude materials for use in manufacturing; 27.29 per cent
foodstuffs partly or wholly manufactured, including in this group
flour, meats, dried and preserved fruits, etc.; 15.46 per cent
foodstuffs in a crude condition, and food animals; 13.1 per cent
manufactures for further use in manufacturing, and 11.85 per cent
manufactures ready for consumption. Of the exports to Germany, 48.28
per cent was crude materials for use in manufacturing; 19 per cent
foodstuffs partly or wholly manufactured; 8.65 per cent foodstuffs in
a crude condition, including food animals; 12.96 per cent manufactures 283
for further use in manufacturing, and 10.98 per cent manufactures
ready for consumption. In the case of France, 55.38 per cent of the
total was crude materials for use in manufacturing; 5.52 per cent
foodstuffs partly or wholly manufactured; 7.96 per cent foodstuffs in
a crude condition; 18.44 per cent manufactures for further use in
manufacturing, and 12.67 per cent manufactures ready for consumption.
In the case of Canada, 24.39 per cent was raw materials for use in
manufacturing; 4.74 per cent foodstuffs partly or wholly manufactured;
6.23 per cent foodstuffs in a crude condition, and food animals; 13.1
per cent manufactures for further use in manufacturing and 48.8 per
cent manufactures ready for consumption.
Summing up this study of the share which manufactures formed of the
exports of the United States to the principal countries and grand
divisions in 1906, the figures show that 151 million dollars’ worth of
manufactures ready for consumption went to Europe, 149 million
dollars’ worth to North America, 69 million dollars’ worth to Asia, 54
million dollars’ worth to South America, 26 million dollars’ worth to
Oceania, and 11 million dollars’ worth to Africa; while of the
manufactures for further use in manufacturing 167 million dollars’
worth went to Europe, 33 million to North America, 10 million to South
America, 10 million to Asia, 4 million to Oceania, and a little over 1
million dollars’ worth to Africa. Thus while manufactures formed but a
comparatively small percentage of the exports to Europe because of the
large quantities of foodstuffs and raw material demanded by that
country, they actually aggregated a greater sum than the manufactures
sent to any other of the grand divisions, though in the other cases
the percentage which manufactures formed of the total was much larger
than in the trade with Europe.
Even with this large production of manufactures in the United States
it may safely be said that less than one-tenth of our manufactures 284
are exported, while those imported equal in stated value about
one-twentieth that of the home product. This statement is the result
of a comparison of the figures of production, exportation, and
importation of manufactures in the United States presented by the
Statistical Abstract of the United States, issued by the Bureau of
Statistics of the Department of Commerce and Labor.
The Census of 1905 shows the gross value of the factory product of
manufactures in 1904 at 14,802 million dollars, and estimates the
value of all other manufactures, mechanical and neighborhood, at about
2 billion, making the gross value of all manufactures produced in the
United States in 1904, 16,867 million dollars. This gross valuation,
however, includes many duplications, because the products reported by
one manufacturer often become the manufacturing material of another,
who also includes their cost in the report of the value of the
products of his factory. By deducting from the gross valuation the
value of this manufacturing material used in a partly manufactured
form, the Census Office states the net or true value of the
manufactures of the country in the census year. This process reduced
the valuation of the factory product of 1904 from the gross figure of
14,802 million, to a net valuation of 9,821 million; and an
application of the same method of reduction to the non-factory
manufactures would place the net value of all manufactures in 1904 at
10,892 million dollars. The Census of 1900, which reported the gross
value of all manufactures in 1899 at 13,014 million dollars, places
the net value for that year at 8,371 million.
The Bureau of Statistics’ figures show that the exportation in the
year ending June 30, 1905, of all articles classed by the census as
manufactures, amounted in value to 895 million dollars, a sum which
equals 8.2 per cent of the 10,892 million estimated as the net value
of all manufactures in 1904. The imports in the year ended June 30, 285
1905, of all articles similar to those classed by the census as
manufactures, were valued at 576 million dollars, which equals 5.3
per cent of the net value of the domestic manufactures of 1904.
Even these figures, which show that the valuation of manufactures
exported equals 8.2 per cent of the valuation of the manufactures
produced, and that the valuation of the manufactures imported equals
5.3 per cent of the valuation of the manufactures produced, are,
however, only approximate, in an attempt to determine the true
relation of imports or exports of manufactures to the home production.
The valuation of manufactures, supplied to the Census Office, by the
various manufacturers, states the value of the product at the place of
production; while the Bureau of Statistics’ figures of exportations
state the wholesale market value of the article at the port from which
exported. Thus the stated values of the articles exported are
doubtless in most cases higher than the stated values of the same
articles at the place of production since the cost of transportation
and dealers’ profits are presumably added in the valuations at which
the domestic merchandise in question is wholesaled at the various
ports whose current prices determine the valuation placed upon the
articles when exported. On the other hand, the values of the imported
articles quoted by the Bureau of Statistics are by law “the actual
market values or wholesale prices of such merchandise in the principal
markets of the country whence imported,” and if freights and profits
are added to this figure the valuation at the point where it actually
enters the United States would be somewhat in excess of that quoted.
Thus the value of manufactures produced are those of the place of
production, the figures of exports are those of the wholesale markets
of the port from which exported, and those of importation are those of
the wholesale market of the country whence imported. Could production, 286
exports, and imports be brought to a common basis of valuation, the
percentage which exports bear to the total production would be
slightly reduced and that which imports bear to the total production
be slightly increased; and the percentages which exports and imports,
respectively, bear to the total production would become more nearly
identical than those above quoted, of 8.2 per cent on the export side
and 5.3 per cent on the import side.
The share exported of the manufactures of the country seems to have
slowly but steadily increased. The gross valuation of manufactures
produced was, speaking in very round terms, in 1850, 1 billion
dollars; in 1860, 1¾ billion; in 1870, 4¼ billion; in 1880, 5⅓
billion; in 1890, 9⅓% billion; in 1900, 13 billion; and in 1905, 16¾
billion. Reducing these gross valuations to net value at the same
ratio as that indicated by the census reduction of 1900, the net value
of manufactures in 1850 would stand at ⅔ of 1 billion dollars, in
1860 at 1¼ billion, in 1870 at 2¾ billion, in 1880 at 3½ billion, in
1890 at 6 billion, in 1900 at 8⅓ billion, and in 1905 at a little less
than 11 billion. The exportation of all articles now classed by the
census as manufactures was in 1850, 43 million dollars; in 1860, 87
million; in 1870, 160 million (currency values); in 1880, 315 million;
in 1890, 404 million; in 1900, 803 million; and in 1905, 895 million.
These figures of net products and exports, when compared
statistically, show that the exports equalled in 1850, 6.6 per cent of
the figures of net production; in 1860, 7.2 per cent; in 1870, 5.9 per
cent; in 1880, 9.1 per cent; in 1890, 6.7 per cent; in 1900, 9.6 per
cent; and in 1905, 8.2 per cent. That the exportation has grown even
more rapidly than the production is also apparent from a comparison of
the figures of 1905 with those of 1850, since the production of
manufactures in 1905 was practically seventeen times as great as that
of 1850, while the exportation of manufactures in 1905 was twenty-one 287
times as great as in 1850.
On the import side the ratio of imports of manufactures to production
has steadily fallen. Imports of all articles now included by the
census classification of manufactures amounted in 1850 to 143 million
dollars, in 1860 to 267 million, in 1870 to 433 million (currency
values), in 1880 to 426 million, in 1890 to 481 million, in 1900 to
470 million, and in 1905 to 576 million. The percentage which imports
of manufactures bore to production of manufactures was, in 1850, 21.8
per cent; in 1860, 22 per cent; in 1870, 15.9 per cent; in 1880, 12.3
per cent; in 1890, 8 per cent; in 1900, 5.6 per cent; and in 1905, 5.3
per cent.
It is proper to add that the figures above cited as representing the
exportation of articles classed by the census as manufactures do not
coincide with the usual statement of “Manufactures Exported,” as
issued by the Bureau of Statistics from month to month and year to
year, but includes many articles classed as manufactures by the
census, but ordinarily classed by the Bureau of Statistics as
“Foodstuffs Partly or Wholly Manufactured.” The Bureau of Statistics
in its import and export statements groups under one title of
“Manufactures Ready for Consumption” all articles completely
manufactured and ready for use, such as boots and shoes, cars and
carriages, and illuminating oil; under another head, “Articles for
Further Use in Manufacturing,” all articles in a partially
manufactured state, but requiring further processes before ready for
final use, such as pig copper, pig iron, pig tin, lumber, etc.; while
the group “Foodstuffs Partly or Wholly Manufactured” includes food
articles which have undergone certain processes of preparation for
use, such as salted meats, canned fruit and vegetables, dried fruits,
flour, sugar, and other articles usually classed by the great
importing and exporting nations under the general title of foodstuffs.
The two groups, “Manufactures Ready for Use,” and “Manufactures for 288
Further Use in Manufacturing,” are usually included by the bureau in
its statements of exports of manufactures, while the third group,
“Foodstuffs Partly or Wholly Manufactured,” is not usually so classed.
In the above statement, however, in which the attempt is made to
compare imports and exports with the census figures of manufactures,
the third group, “Foodstuffs Partly or Wholly Manufactured,” is
included under the general title of manufactures, in order to make the
import and export figures comparable with the census figures of
production.
Turning to the individual articles forming the great mass of
manufactures produced or exported, the percentage of the product
exported varies greatly with the various articles or groups of
articles. Comparing the Bureau of Statistics’ figures of exports for
the fiscal year 1905 with the census figures of production in the
calendar year 1904, the percentage which the export figures bear to
those of production are, in the case of agricultural implements 18.5
per cent, bicycles and tricycles 26.8 per cent, cash registers 20.6
per cent, sewing machines 29.3 per cent, and typewriters 44.6 per
cent; while in a large proportion of articles the percentage is very
much less--boots and shoes 2.5 per cent, carriages and wagons 2.7 per
cent, structural iron 4 per cent, furniture of wood 2.6 per cent,
flour and gristmill products 5.6 per cent, and automobiles 8.3 per
cent.