grade American piano, but its sale in foreign markets is largely restricted to the purchaser to whom expense is not the primary consideration, as it is generally higher priced than its competitors. The high Canadian tariff restricts the sale of American pianos in that country, but in several districts its sale amounts to 35 per cent or more of the total sales. In general, about 80 to 90 per cent of the South American piano market was supplied, before the war, by Germany. Although the American piano was highly regarded as to quality, it was too high priced and was not built to conform to the tastes of the purchaser in such matters as ornamentation and finish, size and weight, and method of packing for shipment. The same criticisms apply to the American piano in other fields. Before the war the American piano met keen competition in practically all foreign fields, and generally was not able to compete with the German and French product, especially the former, except in the high-grade instruments.

The American phonograph seems to have fared better than the piano in the foreign market, and it almost completely dominates the market for phonographs in the Western Hemisphere. It is also extensively sold in the European market and elsewhere, although it meets keen German competition.

The American export of organs and wind and string instruments is not so extensive, but Canada furnishes a good market for a considerable export. The American reed organ is still in good demand in some foreign countries and is generally able to compete successfully with other makes, but the demand is steadily declining. The American brass and wind instruments can not generally compete successfully with other makes in the foreign market.

Undoubtedly the exports of musical instruments would be greater were it not that piano and organ manufacturers have in some instances found it more advantageous to establish branch factories abroad, to carry out the ideas and methods of American production gauged to suit the requirements of the foreign trade, thus saving duties and obtaining the advantage of less expensive labor.

FOREIGN PRODUCTION.3

Available material on foreign production of musical instruments is very meager. Germany is the principal foreign manufacturer, especially of pianos. In 1912 it was estimated that there were 150 piano manufacturers in Berlin, whose annual production was about 10,500 pianos. The total number manufactured in Germany would no doubt exceed this many times. Commerce Reports, November 24, 1919, page 1098, states that the number of pianos exported from Germany in 1913 was 76,460. Based upon the number of pianos exported, it is quite clear that the total number manufactured in Germany before the war was large. The United States manufactured 326,274 pianos in 1914 and exported 8,846. Germany is entirely dependent upon foreign sources for its supply of cabinet woods, which has been cut off during the war. One German manufacturer of phonographs claims an annual output of about 200,000 instruments, but many of these are of the cheaper grades. Germany is the principal exporter of musical instruments to the United States.

"Foreign Trade in Musical Instruments," Special Consular Reports, No. 55, 1912.

The United Kingdom exported 10,692 pianos of domestic manufacture in 1911, but imported 19,215. According to the census of 1911, there were 5,622 male piano and organ makers in London. Based upon the number of wage earners employed, the annual output is estimated at about 30,000 pianos. Talking machines and records to the value of $335,788 were manufactured in the United Kingdom in 1907. However, in 1912, it was reported that the bulk of the trade in phonographs was of German origin. Many of the high-grade phonographs were imported from the United States. There were 3,832 organs imported into the United Kingdom in 1910, and 915 of domestic manufacture were exported. There is not much trade in organs. Wind instruments to a value of $355,354, and string instruments to the value of $72,997 were manufactured in the United Kingdom in 1907, and the demand was said to be increasing.

France produced about 25,000 pianos annually before the war. Germany exported several hundred pianos annually to France, generally pianos of the cheaper grades, and sold them under the name of the local dealer in France. France exported about 4,000 pianos annually. France exported phonographs in 1910 to a value of $779,391, while imports were valued at only $141,095. The number of instruments manufactured, however, is not known.

Italy manufactured about 1,500 pianos annually before the war and imported 4,434 in 1910, of which 3,707 were imported from Germany. The average value of the imported piano was about $130 each. The demand for phonographs was pretty well supplied before the war by German manufacturers.

Russia manufactured about 6,000 pianos annually before the war, and imported 4,501 in 1910.

Canada manufactures about 20,000 pianos annually and imported 1,697 in 1911. Canada imports phonographs largely from the United States, but manufactures her own organs.

In comparison with these figures of foreign production the United States produced 326,274 pianos in 1914, 42,806 organs, 514,154 phonographs, and musical instruments not specified to a value of $3,624,667.

IMPORTS.

Reference to table of imports shows a slight increase from year to year in the value of imports of musical instruments, until the beginning of the war, reaching their highest point in 1914, with a total value of about $2,000,000. The domestic production in that year of the combined industry totaled $120,000,000. Imports thus represented only about 1.6 per cent of the value of domestic products.

As the imports are not classified it is difficult to determine their contents. However, it is quite certain that they do not consist of the products of the principal branches of the industry in this country, i. e., pianos and organs and phonographs. The value of imports has remained practically constant in amount since the year 1872, at a little over $1,000,000 in value, with a small increase in recent years but a decrease in comparison to the value of domestic products. This fact leads to the conclusion that the imports are mainly supplementary to the domestic products, as previously stated.

PRICES.

Satisfactory price comparisons are not available, but, as indicated in the discussion of domestic exports, whenever the American piano comes into competition in the foreign market with the German or French piano it is usually undersold, when price is the primary consideration. The consular agents reported in 1912 that a German piano sold in many markets for little more than $100. A price of $130 for the cheap piano was common. Such a piano could probably pay the freight and duty charges to the United States and still undersell the cheapest American piano. The fact is, however, that this piano is not the equal in quality or durability of the cheapest American pianos. A large local dealer in pianos asserts that there need be no fear of competition from the cheaper foreign pianos, whatever their price.

TARIFF HISTORY.

The rate imposed in 1883 was 25 per cent ad valorem. The act of 1890 did not enumerate musical instruments, but the act of 1894 restored the duty of 25 per cent, and the act of 1897 raised the duty to 45 per cent, where it remained until the act of 1913, when it was reduced to 35 per cent.

Phonographs were first enumerated in 1909, when a duty of 45 per cent was imposed. This was reduced to 25 per cent in 1913.

The fluctuation in the tariff rates apparently produced no noticeable fluctuation in the value of imports. Certain it is that the ratio of the value of imports to the value of domestic products began decreasing before any tariff on imports was imposed and has continued to decrease from year to year, irrespective of any changes in the tariff rates.

COMPETITIVE CONDITIONS.

The value of products of the musical instrument and phonograph industry in 1914 reached a total of approximately $120,000,000. The total value of imports of musical instruments and phonographs in the same year was $2,228,172. The ratio of imports to domestic production has been constantly decreasing, from 7.6 per cent in 1872 to less than 2 per cent in 1914. The following is a recent statement of one of the leading manufacturers of pianos, organs, and phonographs, located in Chicago:

We believe that importation of foreign instruments such as we manufacture has been in the past so small as to be negligible.

There is no doubt that many of these instruments can be manufactured more cheaply in Germany and other foreign countries, but the quality and durability of the instruments are not such as to offer serious competition to the high-grade American instruments, especially in the case of pianos, organs, and phonographs. One of the great advantages possessed by the foreign manufacturer is a lower labor cost, and labor is one of the chief items of cost in this industry. On the other hand, the American woods used in piano manufacture are said to be superior to the foreign.

The tariff has not been of great importance in the growth of the American industry, since the cheaper foreign instruments could have

been imported and sold more cheaply than the American-made instruments in spite of the tariff. It is only logical to conclude that the cheaper grades have found a better market in other countries, and that the higher grades of foreign instruments fail to compete successfully in the American market. However, Mr. George W. Pound testified before the Committee on Ways and Means (Tariff Hearings, 1908-9, p. 7190-7201) that foreign competition had entirely driven the American orchestral or band organ out of the market. Such is certainly not the case with pianos, organs, and phonographs, which constitute the principal classes of instruments manufactured in this country.

Formerly it was considered that the American brass and wind instruments were much inferior to the imported, but these are now being manufactured extensively in this country and are considered by dealers to be the equal if not the superior of the foreign made.

TARIFF CONSIDERATIONS.

The present rate of 35 per cent on musical instruments and 25 per cent on phonographs has not brought any criticism from the manufacturers in reply to letters of inquiry sent out by the Tariff Commission. Manufacturers of violins, however, request a separate classification and a higher rate of duty for their product.

VIOLINS.

DESCRIPTION.

Stringed instruments played with a bow are made in a number of sizes, the smallest of which is the violin. The next larger is the viola, called alto or tenor, followed in order by the violoncello and double bass. All are of the same general model. The violin is usually made in three sizes-half and three-quarter sizes for children and full size, which is the most common. Violins are made practically of the same woods and of the same size and shape as they were 300 years ago in Italy. The Amati and Stradivarius models are still followed.

MATERIALS.

The woods used in making an American violin are the various species of maple found in Wisconsin, Michigan, and Ohio for the back, sides, and neck, and Oregon and Washington spruce for the top. The best maple is that which possesses a "curl" occurring in freak trees. Curly maple is scarce and consequently the greater proportion of violins is made of slightly curled or plain wood. All maple and spruce are quarter sawed to secure the "flame effect" of the curl of the maple and the narrow even grain of the spruce. Both woods must be air dried and aged for months.

METHODS OF MANUFACTURE.

The manufacture of violins is almost entirely wood carving. Tops and backs are usually made from one piece of wood. The wood is split and the corresponding edges joined to show exactly the same symmetrical grain on both sides of the center line. This

is especially true in the use of curly maple. Backs and tops are carved, both inside and out, to the exact model desired and the thickness carefully graduated. The tone quality of a violin depends to a considerable extent on accurately proportioning the thickness of wood in all parts.

Machines are used for removing the bulk of the wood from tops and backs and spindle carriers for the necks. Only the rough work can be done in this way, as the accurate work in shaping and finishing the complex curved surfaces can be done only by actual handwork. It is claimed that the overdoing of machine carving caused the failure in 1920 of one company engaged in the manufacture of commercial violins.

The edges of the top and back are purfled, that is, a three-layer, very narrow strip of black-and-white wood is inlaid near the edge, which gives a double black line. The inlay for the top and back is composed of 30 pieces.

The neck scroll is carved by hand and is an example of the skill required. Sides, consisting of six pieces, together with side linings, neck and end blocks, the bass bar, neck, finger board, nut and tailpiece nut are carefully fitted and strongly glued together. After the parts are sanded and final finishing touches given by hand carvers, the instrument is ready to receive the varnish. Varnishing and rubbing operations are repeated several times, depending on the grade of the instrument.

In the final assembling, the end pin for tailpiece and pegs are fitted and inserted, and the tailpiece, tail gut, strings, and bridge are added. In all there are about 80 separate pieces. The instrument is then ready for tuning and testing. It is not until the final test discloses the quality of tone, dependent upon the resonant quality of the wood and workmanship, that the value of the instrument can be determined. It may be worth a few dollars or several hundred.

DOMESTIC PRODUCTION.

In 1914 the census reported 135 establishments, with a capital of $992,679, employing 495 wage earners, engaged in the manufacture of violins and other stringed instruments. The total product was valued at $1,142,149. The statistics do not show what proportion of the product was violins.

Violins have been made for many years in America by individuals in small shops. The Violinists' Guide Book gives the names of 385 individuals making from 1 to perhaps 20 annually. It is estimated that the output of violins by individuals will amount to 5,000 annually.

Up to the beginning of the war, very few violins were made on what may be termed a commercial scale. Manufacturers of other small musical instruments endeavored to supply the demand, but it is stated by a manufacturer that the care necessary and the cost of handwork made it impossible to compete with the foreign instruments, and that three companies, all having had experience in the trade, and manufacturing violins exclusively, have, within the past 15 months, gone into bankruptcy, due to the large shipments of the accumulated European stocks and the increasing shipments from Japan.