Part 28

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.

IX. STATISTICS OF MANUFACTURING. 289

Approximate Annual Value of Manufactures Produced in the Principal Manufacturing Countries at dates named, 1780 to 1900.

================================================= | 1780. | 1800. | 1820. | 1840. | Countries. +-------+-------+-------+-------+ | Millions of Dollars. ----------------+-------+-------+-------+-------+ United Kingdom | 861 | 1,119 | 1,411 | 1,883 | Germany | 243 | 292 | 414 | 730 | France | 715 | 925 | 1,071 | 1,285 | Austria-Hungary | 146 | 243 | 389 | 691 | Russia | 49 | 73 | 97 | 195 | Italy | 49 | 73 | 122 | 195 | Belgium | .... | .... | .... | 292 | Spain | 49 | 97 | 146 | 219 | United States | 73 | 122 | 268 | 467 | Various | 151 | 219 | 292 | 438 | ----------------+-------+-------+-------+-------- Total | 2,336 | 3,163 | 4,210 | 6,395 | ----------------+-------+-------+-------+-------+

================================================ | 1860. | 1888. | 1896. | 1900. Countries. +-------+-------+-------+------- | Millions of Dollars. ----------------+-------+-------+-------+------- United Kingdom | 2,808 | 3,991 | 4,263 | 5,000 Germany | 1,509 | 2,837 | 3,358 | 4,601 France | 1,849 | 2,360 | 2,900 | 3,450 Austria-Hungary | 973 | 1,231 | 1,596 | 2,000 Russia | 754 | 1,767 | 1,849 | 1,980 Italy | 389 | 589 | 925 | 1,700 Belgium | 438 | 496 | 574 | 750 Spain | 292 | 414 | 589 | 615 United States | 1,908 | 7,022 | 9,636 |13,004 Various | 779 | 1,767 | 2,097 | 2,317 ----------------+-------+-------+-------+------- Total |11,699 |22,474 |27,787 |35,417 ----------------+-------+-------+-------+-------

Note.--The figures (Mulhall’s estimates prior to 1900) here given for the United States are those of gross values. The relation of “gross” to “net” value of the manufactures of the United States is explained at page 211.

Approximate Annual Value of Manufactures Produced In the Principal Manufacturing Countries at dates named, 1780 to 1900.

================================================= | 1780. | 1800. | 1820. | 1840. | Countries. +-------+-------+-------+-------+ | Millions of Dollars. ----------------+-------+-------+-------+-------+ United Kingdom | 861 | 1,119 | 1,411 | 1,883 | Germany | 213 | 292 | 414 | 730 | France | 715 | 925 | 1,071 | 1,285 | Austria-Hungary | 146 | 243 | 389 | 691 | Russia | 49 | 73 | 97 | 195 | Italy | 49 | 73 | 122 | 195 | Belgium | .... | .... | .... | 292 | Spain | 49 | 97 | 146 | 219 | United States | 48 | 81 | 179 | 311 | Various | 151 | 219 | 292 | 438 | ----------------+-------+-------+-------+-------+ Total | 2,311 | 3,122 | 4,121 | 6,239 | ----------------+-------+-------+-------+-------+

================================================ | 1860. | 1888. | 1896. | 1900. Countries. +-------+-------+-------+------- | Millions of Dollars. ----------------+-------+-------+-------+------- United Kingdom | 2,808 | 3,991 | 4,263 | 5,000 Germany | 1,509 | 2,837 | 3,358 | 4,601 France | 1,849 | 2,360 | 2,900 | 3,450 Austria-Hungary | 973 | 1,231 | 1,596 | 2,000 Russia | 754 | 1,767 | 1,849 | 1,980 Italy | 389 | 589 | 925 | 1,700 Belgium | 438 | 496 | 574 | 750 Spain | 292 | 414 | 589 | 615 United States | 1,272 | 4,681 | 6,426 | 8,371 Various | 779 | 1,767 | 2,097 | 2,317 ----------------+-------+-------+-------+------- Total |10,063 |20,133 |24,577 |30,784 ----------------+-------+-------+-------+-------

Note.--Figures are those of Mulhall, except for 1900, the figures of gross manufactures for the United States having been reduced to net on the basis of net equal to 66⅔ per cent of gross; figures for 1900, estimate of Wm. J. Clark, in Engineering Magazine, May, 1904.

Importation of Manufactures into United Kingdom and United States, respectively, at quinquennial years, 1870 to 1908.

[From official statistics of the respective governments.]

================================================== | Into the United | Into the United | Kingdom. | States. Year[D] | Millions dollars. | Millions dollars. ----------+-------------------+------------------- 1870 | 277 | 229 1875 | 354 | 241 1880 | 405 | 307 1885 | 406 | 261 1890 | 478 | 348 1895 | 483 | 296 1900 | 630 | 337 1905 | 707 | 430 1907 | 754 | 638 1908 | 696 | 528 ----------+-------------------+-------------------

[D] For United States, fiscal years; for United Kingdom, calendar years.

Commerce of the United States, the United Kingdom and Germany, from 290 1875 to 1908. Showing exports of domestic merchandise, and exports of domestic manufacture from each country named.

=======+=========================================+ | Imports of merchandise. | -------+-------------+-------------+-------------+ | United | | United | Year. | Kingdom. | Germany.[E] | States.[F] | -------+-------------+-------------+-------------+ | Dollars. | Dollars. | Dollars. | 1875 |1,819,779,000| 839,590,000| 533,005,000| 1880 |2,001,251,000| 670,945,000| 667,955,000| 1885 |1,805,316,000| 699,067,000| 577,527,000| 1890 |2,047,298,000| 990,023,000| 789,310,000| 1895 |2,027,822,000| 980,719,000| 731,970,000| 1900 |2,545,544,000|1,372,216,000| 849,941,000| 1901 |2,540,264,000|1,290,254,000| 823,172,000| 1902 |2,571,416,000|1,340,178,000| 903,321,000| 1903 |2,642,054,050|1,424,080,000|1,025,719,000| 1904 |2,681,629,000|1,514,660,000| 991,087,000| 1905 |2,749,669,000|1,696,660,000|1,117,513,000| 1906 |2,958,289,000|1,909,210,000|1,226,562,000| 1907 |3,143,293,000|2,046,187,000|1,434,421,000| 1908 | | |1,194,342,000| -------+-------------+-------------+-------------+

=======+=========================================+ | Exports of domestic merchandise. | -------+-------------+-------------+-------------+ | United | | United | Year. | Kingdom. | Germany. | States.[F] | -------+-------------+-------------+-------------+ | Dollars. | Dollars. | Dollars. | 1875 |1,087,497,000| 593,052,000| 499,284,100| 1880 |1,085,521,000| 688,500,000| 823,946,353| 1885 |1,037,124,000| 680,551,000| 726,682,946| 1890 |1,282,472,000| 791,717,000| 845,293,828| 1895 |1,100,453,000| 789,660,000| 793,392,599| 1900 |1,417,086,000|1,097,509,000|1,370,763,571| 1901 |1,362,729,000|1,054,685,000|1,460,462,806| 1902 |1,379,283,000|1,111,008,000|1,355,481,861| 1903 |1,415,179,000|1,113,313,000|1,392,231,302| 1904 |1,463,412,000|1,242,987,000|1,435,179,000| 1905 |1,605,053,000|1,364,131,000|1,491,745,000| 1906 |1,827,737,000|1,513,449,000|1,171,953,000| 1907 |2,074,125,000|1,634,803,000|1,853,718,000| 1908 | | |1,834,786,000| -------+-------------+-------------+-------------+