The Canadian Dominion: A Chronicle of Our Northern NeighborSkelton, Oscar D. (Oscar Douglas)
History
The Canadian Dominion: A Chronicle of Our Northern Neighbor
Skelton, Oscar D. (Oscar Douglas)
Canada -- History -- 1763-
The chief barrier to good relations was the customs tariff.
Protectionism, and the attitude of which it was born and which it bred
in turn, was still firmly entrenched in both countries. Tariff bars, it
is true, had not been able to prevent the rapid growth of trade; imports
from the United States to Canada had grown especially fast and Canada
now ranked third in the list of the Republic's customers. Yet in many
ways the tariff hindered free intercourse. Though every dictate of
self-interest and good sense demanded a reduction of duties, Canada
would not and did not take the initiative. Time and again she had
sought reciprocity, only to have her proposals rejected, often with
contemptuous indifference. When Sir Wilfrid Laurier announced in 1900
that there would be no more pilgrimages to Washington, he voiced the
almost unanimous opinion of a people whose pride had been hurt by
repeated rebuffs.
Meanwhile protectionist sentiment had grown stronger in Canada. The
opening of the West had given an expanding market for eastern factories
and had seemingly justified the National Policy. The Liberals, the
traditional upholders of freer trade, after some initial redemptions
of their pledges, had compromised with the manufacturing interests. The
Conservatives, still more protectionist in temper, voiced in Parliament
little criticism of this policy, and the free trade elements among
the farmers were as yet unorganized and inarticulate. Signs of this
protectionist revival, which had in it, as in the seventies, an element
of nationalism, were many. A four-story tariff was erected. The lowest
rates were those granted the United Kingdom; then came the intermediate
tariff, for the products of countries giving Canada special terms; next
the general tariff; and, finally, the surtax for use against powers
discriminating in any special degree against the Dominion. The provinces
one by one forbade the export of pulp wood cut on Crown Lands, in
order to assure its manufacture into wood pulp or paper in Canada. The
Dominion in 1907 secured the abrogation of the postal convention
made with the United States in 1875 providing for the reciprocal free
distribution of second class mail matter originating in the other
country. This step was taken at the instance of Canadian manufacturers,
alarmed at the effect of the advertising pages of United States
magazines in directing trade across the line. Yet even with such
developments, the Canadian tariff remained lower than its neighbor's.
Public-domain text, read in full here on John Shaqi.
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