Source: U. S. Department of Commerce and Federal Security Agency, County Business Patterns, 1st quarter, 1949.

TABLE I-A.-Estimated total world's cotton spinning spindles

1 Estimated. No returns received.

2 Of the 73,076 million European spindles, 57,115 million are in western Europe.

Source: International Cotton Federation.

TABLE II.-France: Wages in textile industry, January 1953

Paris region (highest wage zone):

Male:

Unskilled laborer

Specialized laborer.
Semiskilled worker.
Skilled worker____.
Highly skilled worker.

Female:

Unskilled laborer.
Specialized laborer_
Semiskilled worker..

Skilled worker____

Highly skilled worker.

Francs per hour 115.9

120.9

133.2

152.0

184.2

106. 7

112.2

121.7

133.5

153.5

Source: Ministery of Labor and Social Security, "Enquete Sur L'Activite Economique et Les Conditions D'Emploi de la Main-d'Oeuvre," January 1953.

At the official rate of exchange, 350 francs equals $1 U. S.

Prepared by: Division of Foreign Labor Conditions, Bureau of Labor Statistics, U. 8. Department of Labor, Washington, D. C., May 1953.

TABLE III.—Great Britain: Average earnings and hours worked last pay week, October 1952

Source: Ministry of Labour Gazette, March 1953. NOTE. At the official rate of exchange, 1 shilling (s.) equals 14 United States cents; 1 penny (d.) equals 1.16 United States cents.

Prepared by Division of Foreign Labor Conditions, Bureau of Labor Statistics, U. S. Department of Labor, Washington, D. C., May 1953.

TABLE IV.-India: Average hourly earnings in the textile industry, 1949 [In United States cents]

Source: Textile Wages, an International Study, International Labor Office.
Prepared by Division of Foreign Labor Conditions, Bureau of Labor Statistics, U. S. Department of
Labor, Washington, D. C., May 1953.

TABLE V. Japan: Average earnings and hours worked in textile mill products, September 1952

NOTE. At the official rate of exchange, 1 yen equals 27.78 United States cents.
Prepared by Division of Foreign Labor Conditions, Bureau of Labor Statistics, U. S. Department of
Labor, Washington, D. C., May 1953.

Source: Japanese Labor Ministry, Monthly Labor Statistics and Research Bulletin, November 1952.

TABLE VI.-Estimated distribution of economic loss to United States if domestic textile industry loses market to foreign producers

1 All products except wool carpets, rugs, and carpet yarns; estimates did not meet publication standards. Sources:

Employment and annual earnings of workers: 1951 Survey of Manufactures, Bureau of the Census, U. S. Department of Commerce.

Profits and Federal taxes of companies: Quarterly reports from Securities Exchange Commission. (1951 income taxes.)

Cost of materials, fuel, electricity and contract work: 1951 Survey of Manufactures.

State and local taxes and overhead: Computed on basis of value added by manufacture (1951 Survey of Manufactures) minus payrolls, profits, and Federal taxes.

Unemployment compensation: Computed on basis of average maximum benefits paid in key textile

States.

Income taxes from workers: Computed on basis of 1953 withholding tax table issued by Bureau of Internal Revenue. Number of dependents per worker based on percentage of employees claiming dependents as shown in statement on behalf of 25 cotton and rayon textile companies in New England before the National War Labor Board (Oct. 6, 1944).

Income taxes from companies: Quarterly reports for 1951 from Securities and Exchange Commission.

TABLE VII.-Monthly employment and man-hours data for northern cotton and synthetic textile mills, 1951 and 1952

The CHAIRMAN. We thank you very much for your presentation. Do I understand that your associate now wishes to be heard?

Mr. CHACE. Yes. My name is Malcolm B. Chace, Jr. I am president and treasurer of the Berkshire Fine Spinning Associates, manufacturers of fine combed cotton goods. We operate 11 plants in New England, mostly in small towns in Massachusetts, Rhode Island, and Vermont. We employ 9,000 people. We make goods such as broadcloths, handkerchief cloths and shirtings.

During 1953 we estimate our payroll will amount to about $23 million. We will purchase approximately $20 million worth of cotton.

I am here today to support the position taken by Mr. Sullivan of the national association, and I would like to give an example of why we feel that we need some strengthening of the escape-clause procedure. Mr. SADLAK. Mr. Chairman.

The CHAIRMAN. Mr. Sadlak.

Mr. SADLAK. Did you present a statement to the committee, Mr. Chace?

Mr. CHACE. No, sir. I am just giving examples to support the position of the national association.

I have here a sample of the cloth made in Japan. Recently we have encountered competition in our domestic market by these goods coming in.

I have here two shirts. One is made out of Berkshire material and the other is made out of Japaneses material. I would like to show these to you, if I may.

The Japanese cloth is selling for 29.7 cents in the market.

The CHAIRMAN. Pardon me, Mr. Chace. As long as you have passed these shirts up here, I remember before we got into this last war that the Japanese were putting the shirts deliverable in London far below the cost of production in Great Britain, and they were also going into the cheapest labor market in the world in Calcutta and underselling the British.

Mr. CHACE. That is correct.

The CHAIRMAN. I recall in a magazine article published at that time that the British said that the chances are 50-50 that the United States will get into a war with Japan.

Mr. CHACE. We believe as far as we can find out that Japanese textile wages are about a tenth of what ours are in New England. The market price of the Japanese goods is 29.7 cents. We are asking 33.75 cents for our goods, which is a 4-cent differential. The Japanese price is well below our cost of production.

We have one mill that is entirely operating on fabrics such as that in the shirt. It employs 800 people. How many of those goods are coming into our market we do not know as yet. That is a specialized fabric. It takes a year or two for a mill to get really into production on it. Last year was the first time we saw any of these goods in the market.

It is perfectly possible that they may come in in a flood during the coming year. The Japanese Spinners Association say that they expect to export into this country four times as many goods as they did in 1952. If these goods should turn out to be fabrics such as these, or a large percentage of them, this mill of ours employing 800 people might perfectly well be completely out of business and our workers unemployed.