[Footnote CH: Lloyd's Register, 1910-11.]

[Footnote CI: Senate Rept., no. 10, 59th, Cong., 1st sess.]




CHAPTER IV

GERMANY


Germany was a close follower of France in the adoption of the direct
ship bounty system. Only two months after the promulgation of the
initial French law of 1881, Bismarck brought the question before the
Reichstag, with an exhibit of this act. In an elaborate memorial (April
6, 1881) he reviewed the general subject of State bounties and subsidies
to shipping in various maritime countries, and closed with this pointed
declaration: "It is deserving of serious consideration whether, under
the circumstances as given, German shipping and German commerce can
hope" for further prosperous developments as against the competition of
other nations aided by public funds and assistance.[CJ]

At this time the German marine was represented by a substantial fleet of
merchant steamships, but all were foreign-built, mostly from British
ship-yards. The Government was paying only a postal subsidy of about
forty-seven thousand dollars--a sum in proportion to the weight of the
parcels forwarded--in the overseas trade to the participating German
steam lines. A first step had been taken indirectly in favor of domestic