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The last recorded frame on each microfiche shall contain the symbol -^ (meaning "CON- TINUED "), or the symbol 7 (meaning "END "). whichever applies. IVIaps, plates, charts, etc., may be filmed at different reduction ratios. Those too large to be entirely included in one exposure are filmed beginning in the upper left hand corner, left to right and top to bottom, as many frames as required. The following diagrams illustrate the method. L'exemplaire fiim6 f'^ C-..Qvr_, U> The EDITH and LORNE PIERCE COLLECTION of CANADI ANA ilueen's Utiiversity at Kingston NEW YORK YOUNG MEN'S REPUBLICAN UNION « 1856-1860-1864. OFFICERS. MAKK HOYT, President. DEXTER A. HAWKINS, Vice-President FRANK "W. BALLARD, Corresponding Secretary. CHARLES T. RODGERS, Treasurer. BOARD OF CONTROL. CEPHAS BRAINERD, Chairman. MARK HOYT. DEXTER A. HAWKLNfS. FRANK W BALLARD. CHARLES T. RODGERS. BENJAMIN F. MANIERRE. THOMAS L. THORNELL. WILLIAM M. FRANKLIN. CHARLES C. NOTT. GEORGE H. MATHEWS. RECIPROCITY TREATY. SPEECH OF HON. CHARLES SUMNER, OF- MASSACHUSETTS, ON THE RESOLUTION FOR THE TERMINATION OF THE RECIPROCITY TREATY BETWEEN THE UNITED STATES AND GREAT BRITAIN; In the Setiate of the United Staten, J)eeemh<^ »lat, 1804, and January 12th and 13th, 1808. The following Resolution passed the House of Represeutativ33 Dec. 13th, 1864: Joint Resolution authorizing the Pres- ident of the United States to give to the gov- ernment of Great Britain the notice re- quired for the termination of the Reciprodtg Treaty of the fifth of June, 1854. Whereas, Under the treaty made by the United States with Great Britain, procIainati»(U of which was made by the President of the United States on the IHh of September, 1854, for the purpose of extending reciprocal trade i>etween the British Nortli American Colonies and the United States, nearly all the articles which Canada has to sell are admitted into the United States tree of duty, while heavy duties i are now imposed upon many of those articles which the people of the United States have to sell, with the intention of excluding them from the Canadian markets ; and whereas the Presi- dent of the United States, in the first session of the Thirty-sixth Cong'-ces, caused to be sub- mitted to the House of Representatives an oftitiial report setting forth the ineqaiity and ii'- justice exii'-ting in our present intercourse with Canada, si bversivo of the true intent of the treaty, owing to the subsequent legislation of (Canada; and whereas, by the fifth article of the treaty pro\ ision was made that it should remain in force for ten yettrs from the date iii which it , should go into operation, and further until the I expiration of twelve months after either of the ! high contracting parties should give notice to the other of its wish to terminate the same, each of j the high contracting parties being at liberty to I give such notice to the other at the end of the said term of ten years, or at any time after- wards : and whereas by a further proclamation, issued by the President of the United States, bearing date the sixteenth day of March, one thousand eight hundred and fifty-five, it was de- clared that the said treaty should go into effect and be obsei-ved on the part of the United States; and whereas it is desirable that friendly relations should bo continued between the Uni- ted States and the British North American provinces, and that commercial intercourse should bo hereafter carried on between tham upon principles rewprocnlly beneficial and satis- factory to both parties : Therefore Resolved, by the Senate and House of Repre- sentatives of the United States of America, in Congress assembled. That the President of the United States be, and ho is herobv, authorized and requested to give to the government of the United Kingdom of Great Britain and Ireland the notice required by the fifth article of the said Reciprocity Treaty of the 5th of June, 1854, for the termination of the same. Deo. 20 — Mr. Sumner, u-om the Com. EECIPROCITY TREATY. mitteo on Foreigu Relations, in the Senate, j more advantageous to Canada than to th« reported tha following substitute : | United States ; that in short, it was unilateral . Joint RF.sohV'noJi providing for the ter- \ T^"^ feeling has of late ripened into soine- mination of the Reciprocity Treaty of fifth of ^^^^'^'^^ ^ike conviction. At the same time June, eighteen hundred and fifty-four, he- j ^^^' exigencies of the present war requiring twcen the United States and Great Britain, ^o large an expenditure, make it unreason- IVhereas, It ia provided in the Keciprocity I ^'^^ ^'^^ "' ^^^ ^''^^^"'""^ ^ treaty by which Treaty concluded at Washington, the 5th ofi*^^.''''^^"'^^^ ^'ft''« country unriuestionably June, 18.54, between the United States of the j s^^^"^-^- Tt is such considerations as these one part, and the the United Kingdom of Cicat | which have brought the public mind to itJ« Britain and Ireland of tho other part, that this J present position The unauiiabie feelings treaty " shall remain in force for ten years from I manifested toward us by the people of the date at which it may come into operation, Canada have had little inlluence on the and further until the expiration of twelve , question, unless, perhaps, they may hav<^ months after either of the high contracting par- ; ^^^.j^ed to compel us to look at it in tbe ties shall give notice .. the other of lis wish to ^ ,^, ,,f ^,,^^,,,„ ^^^^^,,^. ^j^^,,^ ^,f sentiment. T«rmmate the same ;" and whereas it appears, n^^ .• i- , n , . . . , , , by a proclamation of tho President of the i . 1>5"4'H'stiou of the fisheries is included United States, bearing date Kith March. 185,5, ' '" ^^^^'^ ^^""^''^^J'- ^'"* ^* '^ ""* ^""^ted tluit that the treaty came into operation on that ! ^*-f'^i'« the termination of t!io treaty sonu* day; and whereas, further, it is no longer fur i arrangeinoiit, either by reciprocal legishi- the interests of the United States to continue , tiou or by further negotiation, can be mad(» tho same in force: Therefore on this matter so far as it may be needed. Resolved, hy the Senate and House of Krpre- The coiauiitte, after careful consideratifdi sentatives of the United States of America, in ! '^^ ''' ^^'^^ ni(H;ting, was unanimous in its re- Congress assembled, That notice be given of the 1 port. And as the committee represents all t*rm ination of the Reciprocity Treaty, accord- j parts of the country and all sentiments of ing to the provision therein contained for the i the Senate, 1 have tliought that perhaps termination of the same; and the President of^ there miglit be a similar unanimitv among the United States is hereby charged with the | Senators. Therefore I forbear all further communication of such notice to tho govern- 1 „„.,,„„i-„ ,, i i x- x 4. V i.1, TT -i. J Tr- 1 ,. ,-. . ,. ., i remarks, and ask lor a vote, ment ot the United IvingJom of Great Britain I ,> ., ^. ^. ,, tt i x, /• .i and Ireland. I ^ ^^ motion ut Mr. Hale the furtlier ■r, .,1 iir CI II , , c.n Mr. Sumnkr made the follow- ing statement: The Reci])rocity Treaty has a beautiful name. It suggests at once exchange, equal- ity, equity; and it is because it was sup- posed to advance these ideas practically that this treaty was originally accepted by the people of the United States. If, how- ever, it shall appear that while organizing tion. But after the debate of a hw days j an exchange it i'orgets equality and equity ago, and considering the apparent unani- j in any essential respect, then must a modi- ficati<»n be made in conformity vi'ith just principles. I mean to be brief, but I hope, though brief, to make tli(! jjroper conclusion ap- parent. It is a (piestion for reason and not for jtassion or seutimout, nud in this spirit I enter upon the discussion. inity in the Senate, I have felt unwilling to occupy the time by any protracted re- marks. They iirt; not needed. The people of the United States have been uneasy under the Reciprocity Treaty fStates and the British provinces, and fourthly, the revenue of the United States. 1. The fishei-ies have bten a source of ivnxiety throughout our history, even from the beginning, and for several years pre- vious to the reciprocity treaty they had been the occasion of mutual irritation, verg- ing at times on positive outbreak. The treaty was followed by entire tranquility, which has not been for a moment disturbed. „...„^. „ ^^^^ This is a plain advantage which cannot be! but it is difficult to say how much of this (I'Miied. But so far as I have been able to | increase is due to the treaty, and how much foreign shipping which cleared during this same period was 7,391,399 tons, while the shipping of the United States which entered at our custom-house from the British prov- inces was 10,056,183 tons and the foreign shipping winch entered was 6,453,520 tons. 1 mention these things by way of contrast. In comparison with these grand movements of value the business which we have been able to do on the St. Lawrence seems to be trivial. It need not be considered as an element in the present discussion. 3. The treaty may be seen next in its bearings on the commerce between the two countries. This has increased immenselv: examine official returns, I do not find any farther evidence showing the value of the treaty in this connection, whihs opinions, is due t(j the natural growtli of population, and the facilities of transportation in both countries. If it could be traced exclusively even among those most interested in the L- iu any large measure to the treaty, it fisheries, are divided. There are partisans w„iil.l bo an element not to be disregarded, for It in Gloucester, and partisans a-ainst it | But it does not follow from the occurrence ui Maine. j of this increase rz/^cT the treaty that it was It the treaty related exclusively to the on account of the treaty. Post hoc ergo fisheries, I should not be wiliing to touch it : although the circumstance that represen- tatives of these interests differ with regard to its value may leave it open to debate. But the practical question remains, whether auy seeming advaiitage in this respect is sufficient to counterbalance the disadvantage in other respects. 2. Xext comes the navigation of the St. Lawrence. But this plausible concession propter hoc is too loose a rule for our Gov- ernmi'iit on the present occasion . The census of the United States and of British provinces will show au increase of population which nmst not be disregarded in determining the origin of this increase of commerce. Tlieve are also the railroads furnishing prompt a)id constant means of interconnuu- nication which have come into successful has proved to be little m) the efiect of a difference l)etween the amount of e.q^orts and of hnports, involving as it does the whole perilous (piestion of the balance of trade. In the view which I take on thtj present occasion, it is not necessary to con- sider it. The Reciprocity Treaty cannot be maintained or overturned on any contested principle of political economy. 4. I come, in tlie last phice, to the influ- ence of the treaty on the revenue of our country ; and liere the custom-house is our principal witness. The means of determin- ing this question will be found in the au- thentic tables which have been published from time to time in reports of the Treasury, and especially in the report made to Con- gress at this session, which I have in my hand. Looking at these tables we find certain unanswerable points. I begin with an es- timate founded on the trade before the treaty. From this it appears that, if no treaty had been made, and the trade had increased in the same ratio as before the treaty, Canada would have paid to the United States in the ten years of the treaty at least $10,373,880, from which she has been relieved. This sum is actually lost to the revenue of the United States. In return Canada has given up $2,650,890, being the amount it would have collected, if no treaty had been niad«. Hero is a vast disproportion to the detri- ment of the revenue of the United States. Here is another illustratiou, derived from the tables. During the ten years of the treaty the United States have actually paid in duties to Canada alone $10,802,962, while during this same period Canada has paid in duties to the United States the very moderate sum of $930,447. Here again is a vast disproportion, to the detriment of the revenue of the United States. The same inequality may be seen in another way. During the ten years of the treaty dutiable products of the United States have entered Canada and the other jj-rovinces to the amount of $84,347,019, while during this same period duiiahlc products of Canada and the other provinces have entered the United States only to the amount of $7,750,- 482. During this same period free produdu of the United States have entered Canada and the other provinces to the amount of $118,853,972, wh'ih free jiroducts of Canada and the other provinces have entered the United States to the amount of $178,500,184. Here, again, is a vast disproportion, to the detriment of the revenue of the United Stales. Add to these various results the statement in the report of the Secretary of the Treas- ury, which has been just laid on our tables, in the following words : "The treiity has released from duty a total sum of $4*^,:j;J3,257 in value of jioods of Canada more than of goods the produce of the United States." — Foreign and Domestic Commerce, 1364, page 93. This conclusion is in substantial harmony witli that which I had reached from an in- dependent examinatiim of the tables. From these various illustrations it is clear that the revenue of the United States has suffered by the treaty in question, and that in this important particular its advantages have not been shared equally by the two countries. Here, at least, it loses all title to its name. But the onerous character of this treaty RECIPROCITY TREATY. has become manifest in other forms since the adoption of our system of internal rev- enue. I need not remind the Senate of the extent to which M'e have gone in seeliing out objects of excise, and now there are va- rious propositions still pending in the same direction, seeking new objects ; but it is no- torious that such taxation is always gradu- ated with reference to the tariff on the same objects when imported from abroad. But here the Reciprocity Treaty steps forward w^ith its imperative veto. Thus, for in- stance, the lumber of our country is left free from excise, though I am assured that it might well bear it, simply because no coun- tervailing tax can be imposed upon lumber from the British provinces. Had a tax of five per cent, been imposed upon the lum- ber of our country, I am assured, from those familiar with the subject, that we should have received at least $5,000,000 ; all of which is lost to our annual revenue. But this is only a single illustration. There are other ways in which the treaty and our excise system come into conflict. Practical difficulties, I am assured, have already occurred in the Bureau of Internal Revenue. But this conflict will be seen in the extent to which the business of the country, and even its agriculture, is taxed now. Everything is taxed. Even the far- mer works now with taxed tools. These considerations, with the increased value of labor among us, must give new advantageij to the productive interests of Canada as compared with ours, and tend still further to the unequal operation of the treaty. Even admitting its original equality, you cannot deny that the currents of war, in these latter days, may have worked changes requiring new arrangements and adapta- tions. Mr. President, such is the result of a can- did inquiry into the operation of this treaty, as it concerns the fisheries, the navigation of the St. Lawrence, the commerce of the two countries, and the revenue of the United States. I have kept nothing back favorable to the treaty that could be ade- quately stated iu the brief space which I have allowed myself, nor have I exagge- rated its unequal operation. And now the question is, shall this con- dition of things be reconsidered ? The treaty itself, as if anticipating this exigency, furnishes the opportunity by expressly pro- vidhig for its termination at the expiration of ten years, on notice of one year from either party. Great Britain is free to give this notice ; so are the United States. Consider- ing the i>resent state of the country, it would seem to be improvident not to give the notice. We must husband our resources ; nor can a foreign Government justly expect us to con- tinue a treaty which is a drain upon our revenue. In every direction wo are now turning for subjects of taxation. Car own people are contributing in every way largely. Commerce, manufactures in every form, are obliged to come to the assistance of the country. I know no reason why the large amounts enfranchised by this treaty should enjoy the imnmnity which has been thus far conceded to them. An inequality which, in ordinary times, would have es- caped observation, becomes too apparent in the blaze of preseut responsibilities. Something has been said about accom- panyiiig the proposed notice with in,struc- tions to negotiate a new treaty. This is entirely unnecessary. A new treaty may not be advisable. It is possible that the whole matter may be settled T)y Congress under general laws. In all events, there is a full year from the 19th of March next in which to provide a substitute, either by ne- gotiation or by legislation. And this re- mark is applicable to the fisheries, as well as to -^very other interest touched by the treaty. I cannot doubt that the two con- tracting parties wall approach the whole question in the determination to settle it on the permanent foundations of justice and equity; but the first step in this direction is the notice to terminate the existing treaty. A debate ensued which lasted two days in the course of which Mr. Sumner, in reply, spoke as follows : The proposition to terminate the Reci- procity Treaty has been mystified in various 8 RECIPROCITV TREATY. ways. There has been a myHfification be- 1 the treaty causes in our internal tax-ition iZtn'R^T '""^ -/Ir . ?:^"'">^^^ ^f P''-'-*^ ^« ^ ^-l-'*^ of duties and o S: lh[!K. f i' v.'^^^l-^ Conunittee, to It is not enough to say that there is a coun- ,^hch are referred all treaties and questions tervailing advlintaqe in the increase of or With foreign powers, ^yas not the pror-er commerce. The conclusion is none the iZ committee t.. consider it, accr.rding to the ! ^xact, that our national revenue is in paired usages and traditions of the Senate. Pray | And the question is distinctly pre erte what other committee could eo ustlv deal -'^ -*'-"■- --'• •• ' ^ Fit^»emeu, with it? ^ There has also heen a mystification in ar whether, at this critical moment, in a period of war, wlicn the whole country in its wealth and labor is contributing to the sup gumeut, by an accumulation of statistics and port of our Government, any good reason can igures without end. _ We have been treated be assigned why the c mimfrce of Cana to calculatmns, sliowmg the increase of eom- should 1.e exempt from contribu?!..!! a so IS:rT..:orexnort"tr-' ''^^. ''%"'^^^^" ^''"'"'^^^■^'^ ''^^«^'^--' -anuSfrers, tti: increase ot exports and imports. I am no ness, income, tea, coffee, books, all pay (tribute. The tax-gatherer is everywhere A I home stranger to tliese calculations, but after careful study, I am satisfied that it is im- 1 except on the Canadian frontier, iu home possible to hi.d ni thein any terra finna ou there is not an interest, hardly a se timent ^rS/"i "T\:'' *^"? <15«""««ion. They | which is free from tax;tion. ^Sure y here ?i^e mi^n^; ' ■'"' '^^^^^^^^ "^ '^^ r^«™* conduct of^Caria! "^' d'ans to induce us to treat them better than In tlie remarlcs which I submitted to the Senate yesterday, I declined to dwell on these calculations, for I saw that, while involving large amounts, they were uncertain, inctm- clusiveand inapplicable. With one theory of political economy they seemed to point one way, and with another thoory they seemed to point another way. If, for instance, you accept the early theory that commerce is dis- advantageous where the imports exceed tlie exports, they seem to tell against tlie treaty ; but, if y(ju accept tlie opposite theory of later — ■' "' . . „ , way we treat ourselves. But tliere is another consideration which is decisive, even if others should fail. In view of existing Public Opinion, and consid- ering the criticisms of the Treaty, it is im- portant that onrrelations with Canada^hould be carefully revised in the light of experience. The Treaty, in autliorizing its termination at the end of ten years, seems to have an- ticipated tliis very exigency. But this re- vision cannot be made advantageously with- out proposed notice. In the case of a lease writers, they seem to tell the other ^'»\Pr"F>^<'d notice. In the case of a lease All this assumes that they are an- i '^'"^ ^ ^'S'^* ^^* terminate it at the end of ten plicable. lint nobody has yet be/n able to I ^f ^'"^ ^"^ ^ ^^^'^^'^ ""*^<'*'' ^^^ landlord, if the slxow that the general increase of commerce i ^ "™.^'*'^'' ^^ the lease had been called since the treaty Jias been cn,nfi«.l Iw +].» question, would not hesitate to give : years on a yei the lease had been called in question, would not hesitate to give the notice, if for no other reason, that he might revise the terms anew on a footing of equal- ity. For like reason M-e must give the no- tice to Great Britain. We must untie our- selves now, even if we would tie ourselves again for the future. T:ie notice will leave us " master of the ;,ituation " to this extent at least, tliat^we sliall be free to act, accord- ing to the requirements of the public good. Without this iKitice there wll be no foothold foi negotiation or legislation ; but the notice will be a foothold from which we may ac- ^ complish whatev(-r is proper and just. The frontier; M'hicli, under throueratlon of the ' ^^^^^ "^''^^ ?'^ reconsidered and then adopt- treaty, yields little or nothing, wlien it mi«ht ! '''^ '^^f ^/i''' '^ "'■'^' ^"^ entirely changed, and yield much; and, secondly, it is impaired i "T '1 o)T '^ J:«^^' ^^"^ this duty-so that through th.' check and embarassment which ^''''''" *'"^ ^^'^ ''""i'"''-' ^^^^ ^^^' '"^y ^<^g'»- since the treaty Jias been caused by the treaty. Th-r;- nnj other agencies which have had their iiitlueuce; aiul it is dillicult to say what is due to them nud what is due to the treaty. In this uncertiin+y, I have pr(>ferred to rest the proposition on the simple ground that the national revenue is impaired by this treaty. Authentic tigures place this beyond question. I forbear now from all details and content inyself with stating the indubitable conclu- sion. The national revenue is impaired iu two ways, first, at the custom-house on our J. W. PRATT & CO., Priutors, 75 Fulton Street, ^Tcw York.