House Documents, Otherwise Publ. as Executive Documents

as to offer essential advantages to the industry of the states of the association, all attempts to bring those states to consent to a reduction of the duty on the importation of tobacco would be vain. The undersigned may on this subject call the attention of Mr. Wheaton to the fact, that the cultivation of tobacco is a business of importance in some of the southern states of Germany. Therefore, before the Prussian Government can return to this matter, and again present it to the deliberation of the other Governments, the undersigned must request Mr. Wheaton to say, whether he conceives himself authorized to offer concessions favorable to the industry of the states of the association, in return for a reduction of duties on the importation of unmanufactured tobacco.

The undersigned avails himself of this occasion to repeat to Mr. Wheaton the assurance of his high consideration.

HENRY WHEATON, Esq.,

Envoy Extraordinary and

WERTHER.

Minister Plenipotentiary of the United States.

BERLIN, October 1, 1839.

The undersigned, envoy extraordinary and minister plenipotentiary of the United States of America, has the honor to communicate to his excellency Baron de Werther, minister of foreign affairs, the annexed copy of a report made by Mr. Dodge, agent of the American Government for commercial affairs, concerning the question of the reduction of duties on leaf tobacco, imported into the states of the German custom-house union, in support of the various notes which the undersigned has had the honor to address to his excellency Baron de Werther on this question.

The undersigned seizes the opportunity to renew to his excellency Baron de Werther the assurances of his most distinguished consideration.

His Excellency BARON DE WERTHER,

HENRY WHEATON.

Minister of Foreign Affairs of Prussia.

Report respecting the demand of the United States of America for a diminution in the duties on the leaf tobacco of that country, consumed in the Zoll-Verein, addressed to his Excellency Henry Wheaton, Envoy Extraordinary and Minister Plenipotentiary of the said States, by his most obedient servant, Josh. Dodge, diplomatic agent attached to the said legation, at Berlin.

BERLIN, August 31, 1839.

SIR: In our memorials, under date of the 4th and 22d of July, 1838, which we had the honor of presenting to Messrs. the deputies of the zollverein, assembled at that time in Dresden, we asked for a diminution of 24 thalers per centner in the duties on the leaf-tobacco of the United States, and of 2 thalers per centner on the rice, the produce of our country; and in support of our demand, we brought forward several statistical facts showing the want of reciprocity on the part of the zoll-verein in meeting

the highly liberal policy pursued by the American Government toward the produce and manufactures of Germany, and at the same time we pointed out to them the great importance of the markets of the United States of America to the rising industry of this country, which is, in fact, dependant for its prosperity on a continuation of a good understanding with the said States, which take at least one-half of the annual exportations from Germany, of German manufactures.

As we have reason to believe that our demand for a diminution in the duty on our rice has, to a certain extent, already been favorably met by the zoll-verein, we have now, therefore, only the tobacco question to insist on; and believing that the importance of this subject to the rising industry of Germany is not fully understood by the various governments composing the zoll-verein, and that, consequently, the justness of our demand for a diminution in the duty on our leaf-tobacco has not been met and appreciated with that liberal spirit which usually characterizes their dealings with foreign nations, I will endeavor, in this communication, to place the subject in such a point of view as I think cannot be misunderstood.

I consequently will endeavor to prove satisfactorily the following points: 1st. The great importance of the markets of the United States of America to German produce and manufactures.

2d. The want of that reciprocity on the part of the zoll-verein toward the produce of the United States, which is so liberally shown by the American Government to the produce and manufactures of Germany.

3d. That there is a greater amount of articles manufactured in Germany admitted free of duty in the United States, than of the manufactures of England, in proportion to our commerce with either of those countries.

4th. That the balance of trade is, and has been, against the United States, and in favor of Germany-more so than our trade with France or England, in proportion to the extent of the commerce between the United States and either of those countries.

5th. That when the duty of 5 thalers per centner was first laid on by Prussia on our leaf-tobacco, in 1818, it only amounted to about 25 per cent. on the first cost of the said article; whereas, in consequence of a great diminution in the first cost of the same, during the ten years from 1826 to 1835, inclusive, the said duty has averaged 67 per cent.

6th. That a diminution in the duty on the leaf-tobacco of the United States would not diminish the revenues of the zoll-verein; and

7th. The disastrous consequences to the rising industry of Germany in case the actual high duty on our leaf-tobacco is persisted in by the zollverein.

1st. The table per other side will show the great importance of the markets of the United States to Germany.

No. 1.

A general statement of goods, wares, and merchandise, of the growth, produce, and manufacture of Germany, imported into the United States of America from Prussia, and the Hanse Towns, and other ports of Germany, from the 1st day of October, 1834, to the 30th day of September, 1836.