Need for a Copper Tariff

THE American copper mining industry is threatened with disintegration and destruction. This threat is not one which may only materialize in the distant future. The destruction has already commenced. At present, many domestic mines have already closed down. .Others are operating on a greatly curtailed basis. Those operating are doing so only at tremendous loss-because the selling price of copper is below the cost of production and rapidly diminishing financial resources and credit clearly forecast the early suspension of operations in most of the industry. Unemployment in the mining districts is increasing by leaps and bounds. While this condition is due in some measure to the present unsatisfactory state of business in general, the copper industry, unlike other lines of business, sees no possibility of recovery without definite aid. The fundamental, underlying cause of present conditions in the American copper mining industry is the unprecedented rise in foreign production, and the basic change which has taken place in the world copper industry in the last three years. The American industry had begun to feel this change early in 1929 long before the general collapse of business in the fall of that year. While the distress in the industry is undoubtedly aggravated by the present economic depression, it nevertheless would have arrived and. have been present at this time, regardless of general business conditions.