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iii
M'KINLEY'S MESSAGE
Tho Annual Communication of the
President to Congress.
MM IMPORTANT RECOMMENDATIONS
Outlines Our Policy In Clilnn Ajp
provrs of Ship Subsidy I'ropoitd
lii-Klln(li)ii for tho Philippines
unci Ask notification of .Uny
IkuiiccXoIc Trciily.
W.iahlngton, Deo. 4. The following
5h n comprehensive synopsis of the pres
ident'h iitiniiul nicssiigo to congress:
Tho president gives first plnco In hid
rnoHfmgo to thu troubles In Chlnu, and
our eunnoctlon with tho allied forces op
erating thoro. Ho rovlews tho onuses
lending up to tho lioxcr outbreak, und
tho first murders of foreigners In Chl
noso torrltorlo.s. In thin connootlon he
flays:
Tho Increasing grnvlty of tho conditions
In Chlnu nnd tho Imminence of peril to our
own dlvoMllcd Interests In tho empire, ns
well an to those of nil tho other treaty gov
ornments, wero noon appreciated by thli
Kovarnmont, causing It profound solicitude
Tho United Btntos from tho earliest days
of foreign Intercourses with China had fol
lowed a policy or ponco, omitting no occa
sions to testify good will, to further th
extension of lawful trade, to respoct tho
sovereignty of its government, nnd to In
uro by till liiKltlmnto nnd kindly but earn
est meanH tho fullest metis uro of protec
tion for tho Hvoh nnd property of our law
Abiding citizens nnd for tho exercise of
tholr bunellcout callings among the Chinese
puojiln.
Mindful of this, It wns fult to be appro
prlnto that our purposes Hhould bo pro
nounced In favor of such courso as would
hasten unltod action of tho powers at Pe
lting to promolo tho administrative reforms
so greatly needed for Htrnngthenlng tho
linporlnl government und maintaining the
integrity of Clilnn. In which wo believed tho
whole wostem world to bo nllko concerned.
To these ends I caused to bo uddrosscd to
tho Hevornl powers occupying territory and
maintaining sphores of Inlliionco In China
tho circular proposals of 1899, Inviting
from them declarations of tholr Intentions
and vlows as to tho desirability of the
adoption of measures Insuring tho benefits
or equality of treatment of all foreign
trado throughout China.
Vlitar of (lie Airier.
Tho history of tho efforts nindo at re
lieving tho boloaguorod legatlonors In Fo
iling Is thoroughly covered, no Important
dolull In lacking, nnd ovory engagement
with tho ChlnoNo forces Is mentioned,
"Whuthor our forces wero on traced or not.
To show tho vigor with which tho slego
of thu legations was pushed by tho Chi
Huso ho quotes roports from Minister
Conger, as follows:
"From Juno 20 until July 17," writes
Mlnlstor Conger, "thoro wus scarcely an
hour during which thero was not firing
upon somo part of our lines and Into
somo of tho legations, varying from a
Hlnglo shot to a general und continuous
nMack along tho whole lino." Artillery
was placed nround tho logntlons nnd on
tho overlooking pnlnco wails, and thou
HimdM of thrco-lneh nhells wero llred, do
utroying somo buildings and damaging
nil. Bo thickly did tho balls rnln that,
when tho ammunition of tho besieged rnn
low, flvo quarts of Chlnose bullots wero
euthored In an hour In ono compound
und recast.
Attempts wero mnde to burn tho lega
tions by sotting neighboring houses on
lire, but tho flames woio successfully
fought orr, although tho Austrian, Hoi
glan, Italian and Dutch legations wero
tlum nnd subsequently burned. With tho
aid of tho native converts, directed by
tho missionaries, to whoso holpful coop
eration Mr. Conger awards unstinted
praise, tho British legation was mudo n
vorltablo fortress. Tho llrltlsh mlnlstor,
Kir Claude Mnudonnld, was chosen goti
oral commnndor of tho defense, with tho
sooiotnry of the American legation, Mr.
K. CI, Hqulors, as chief of Htaff.
Defcnuc of the I.cKiitlouern.
To savo llfo nnd nmmunltlon tho bo
ulugod sparingly returned the Incessant Uro
of tho Clilncso soldiery, lighting only to
ropel attnek or make tin occasional suc
cessful sortie for struteglcndvantnge, such
iih that of 6f Americans, British and Rus
Hlnti marines led by dipt. Myers, of tho
United States marine corps, which result
ed in tho capture of n formidable barricade
on the wnll that gravely menaced the
Amorlcan position. It was held to the last,
nd proved tin Invaluable acquisition, be
oniiHa commanding the water gate through
which tho relief column entered.
.During tho Hlego thu defenders lost GG
hilled, lof wounded nnd seven by disease
tho last all children.
On July 14 tho boslegod had their first
communication with thu tsung-ll-yamon.
from whom a messngo enme Inviting to n
conference, which was declined. Corre
spondence, howevor, ensued nnd a sort of
itrmls'leo was agreed upon, which stopped
the bombardment and lessened tho rllle Uro
lor a time. ICvon tlien no protection what
ever was affoided, nor any nld given, save
to nond to tho legations n smail supply of
Xrult and tluco sacks of Hour.
Duplicity of Chlncac Uovrminriit.
Indeed, the only communication had with
tho Chlneso government i elated to the oc
casional delivery or dispatch of a telegram
or. to tho demands of tho tsung.ll-yumen
for the wlthdrnwal of thu legation to the
coast under escort. Not only aro tho pro
testations of the Chinese government that
it protected nnd succored tho legations
positively contiadlcted, but Irresistible
proof accumulates thnt the attacks upon
thorn wore made by Imperial troops, regu
larly uniformed, armed and oitWrm. tm.
longing to tho command of Jung l,u, tho
imperial commander In chief. Decreea en
coui aging tho rioxern. organizing them un
der prominent Imperial olllcers, provision
ing thorn, and oven granting them large
sums in tho namo of tho empress downger,
are known to exist. Members of thu
tHiing-ll-yamon who counseled protection
of tho foreigners wero beheaded. ISven In
t)ie dlstnut provinces men suspected of for
eign Hympnthy were put to death, promi
nent among theso being Chang Yon-Iloon,
lariuerly Chinese mlnlstor In Washington.
I'reiiiirndiiuit for Itcllrf,
All tho preparations for rollof by tho
combined powers uro gone into, and when
that object wns llnully uccompilshed on
August 14 tho conditions met with In Pe
king aro described as follows:
Tho Imperial family und the govern
ment had lied n fow days before. The
city wns without visible control. Tho re
maining Imperial soldiery had mado on
tho night of the 13th n last attempt to
!Xlarmlnnte the besieged, which was gnl
lojtly repelled. It fell to thu occupying
toMUR to testers order and organlzo u
pi tvlalonnl ndmlnlHtratlon.
Our Chinese Policy.
He recalls tho circular note to the now.
rs Issued by this government on July 3,
outlining our policy as ono of peace,
guaranteeing tho integrity of China, und
biiyn:
Ah was then said, "the policy of tho
government of tho United States Is to
huek u solution which muy bring about
permanent safety and peace to Clilnn,
presorvo Chlneso territorial and admin
istrative entity, protect all rights guar
atitoud to friendly powers by treaty and
International law, and sufegunrd for the
world tho prlnclplu of equal and Impar
tial trade with all parts of the Chlneso
empire"
Fulthful to thoso professions which, as
it proved, reflected tho views and purposes
of tho other cooperating governments,
all our effort havo been directed toward
udlng tho anomalous situation In China
by aegotlutlouu for a settlement at the
earliest possible moment. As noon as the
sacred duty of relieving our legation and
Its dependents was accomplished wo with
drew from active hostilities, leaving our
legation under an adequnto guard in Pe
king as a channol of negotiation nnd set
tlement -a courso adopted by others of
tho intercstoJ powers. Overture.! of the
empowered representatives of tho Chl
neso emperor have been considerately en
tertained, Accrpteil lluln' Proposition,
Tho Russian proposition looking to tho
restoration of the Imperial power In Pe
king has been accepted as In full con
sonanco with our own desires, for wo hnvo
held and hold that effective reparation for
wrongs suffered and un enduring settle
ment thnt will make their recurrence Im
possible can best bo brought about un
der un authority which thu Chinese nation
reverences and obeys. While so doing we
forego no Jot of our undoubted right to
exact exemplary and deterrent punishment
of the responsible authors and abettors of
tho criminal acts whereby we und other
nations have suffered grievous Injury,
For tho rcul culprits, the uvll counselors
who have misled tho imperial Judgment nnd
diverted the sovereign uuthorlty to their
own guilty ends, full explutlon becomes
Imperative within the rational limits of
retributive Justice. Regarding this as the
Initial condition of an acceptable settle
ment between China and the powers, I said
In my messago of October 18 to the Chi
nese emperor:
"1 trust that negotiations may begin so
soon as we nnd tho other offended govern
ments shall bo effectively satisfied of your
majesty's ability und power to treat with
Just sternnoss tho principal offenders, who
are doubly culpable, not alone toward thu
foreigners, but toward your majesty, un
der whoso rule the purpose of China to
dwell In concord with the world hnd hith
erto found expression In tho welcome and
protection assured to strancers.
The Pence Negotiations,
Taking, as a point of departure, the Im
perial edict appointing Earl LI Hung Chnng
and Prince Chlng plenipotentiaries to ar
range a settlement, and thu edict of Sep
tember IB, whereby ocrtuln high ofllclals
wero designated for punishment, this gov
ernment hns moved, In concert with tho
other powers, toward tho opening of ne
gotiations, which Mr. Conger, assisted by
Mr, llockhlll, hns been authorized to con
duct on behalf of the United Btaes.
General bases of negotiation formulated
by the government of tho French republic
huvc been rccepted with certain reserva
tions as to details, made necessary by our
own circumstances, but, like similar res
ervations by other powers, open to dis
cussion In tho progress of the negotiations.
Tho disposition of tho emperor 8 govern
ment to udmlt liability for wrongs done
to foreign governments nnd their nationals,
nnd to act upon such additional designa
tion of tho guilty persons ns tho foreign
ministers nt Peking may bo In a position
to make, gives hope of a complete settle
ment of all questions Involved, assuring
foreign rights of residence nnd Intercourse
on terms of equality for all tho world.
Fouiidntlnn of Durnhlu Pence.
I regard as ono of tho essential factors of
a durablo adjustment tho securoment of
adequate guarantees for llborty of faith,
sincu insecurity or inoso nntives who mny
embrace alien creeds Is a scarcely less ef
fectual assault upon tho rights of foreign
worship nnd teaching than would bo tho
direct Invasion thereof.
Tho matter of Indemnity for our wronged
citizens Is a question of gravo concern.
Measured In money alone, a sufllclcnt
reparation may prove to bo beyond the
ability of Chlnn to meet. All the powers
concur in empnntic disclaimers or any pur
pose of aggrandizement through the dls
mombcrment of the empire I am disposed
to think that duo compensation may bo
mado In pnrt by Increased guarantees of
security for foreign rights and Immuni
ties, nnd, most Importnnt of nil, by the
opening of China to tho equal commerce of
all tho world. These vlows havo been and
will be enrnostly advocated by our repre
sentatives. Tho government of Russia has put for
ward a suggestion thnt In tho event of pro
tracted divergence of vlows In regard to
Indemnities tho matter may be relegated
to tho court of nrhltratlon at Tho Hague. 1
fnvornbly Incline to this, bellovlng that
high trlbunnl could not fall to reach a solu
tion no less conducive to the stability and
onlarged prosperity of China Itself thun
Immediately benollclal to tho powers.
I'M rut Place at Part.
Our relations with other countries are
gonu Into In detail. Tho Paris exposi
tion Is referred to as offering an opportu
nity for a display of tho good will ex
isting between this country und Franco.
Ho notes that there wero mnny draw
backs to n proper exhibition of Amerlcun
products, but says:
Despite ull these drawbacks tho con
tribution of tlio United States wns not
only tho largest foreign display, but was
among tho earliest In plnco and thu most
orderly In arrangement. Our exhibits
were, shown In 101 out of 121 classes, und
more completely covered tho entire classi
fication than thoso of nny other nation.
In totul number they rnnk next after
those of Frnnce, and tho uttrnctlvo form
In which they wero presented secured
general attention.
A criterion of tho extent nnd success
of our participation nnd of tho thorough
ness wiin which our oxiuui's wero or
ganized Is seen in tho nwards granted to
Amorlcan exhibitors bv tho International
jury, namely, grand prizes, 210; gold med
k's, 697, silver medals, 77(5; bronzo medals,
tl, and honorable mentions, 3222,176 In
ull, being tho greatest total number
given to tho exhibition of nnv ono ex
hibiting nation, us well ns tho largest
number In ench grade. This slgnillcnnt
recognition or merit in competition with
tho chosen exhibits of all other nations
nnd tit tho hands of Juries almost wholly
mado up of representatives of Franco
and other competing countries is not
only most gratifying, but Is especially
vtiluablo, since It sots us to tho front
In International questions of supply nnd
demand, while the lnrgo proportion of
awards In thu clnsses of art nnd urtlstlc
mnuufncturcH afforded unexpected proof
of tho stimulation of national culture by
tho prosperity that (lows from national
productiveness Joined to Industrial ex
cellence Itrlntlnlis with Rrrmnny,
Of our relations with Germany the pres
ident says good will prevails. IIo advises
congress that tho question of the admis
sion of our llfu Insurance companies to
do business In that country hns been
reached and tho comiiaulus ndmlttcd. Of
the moat Inspection law of Germany ho
says:
An Imperial meat Inspection law has
boon enacted for Gormany. hllu It muv
simplify tliu inspection, it prohibits ccr
tnln products heretofore admitted. Thoro
Is still great uncertainty ns to whothor
our well-nigh extinguished Gerninn trado
In meat products can rovlvo under Its
new burdens. Much will dupond upon
regulations not yot promulgated, which
wo confidently hopo will be free from
tho dlHcrlmlnntlouH which attended thu
enforcement of tho old statutes.
Tlu AlnxUuii lloiiniliiry.
Iii connection with our relations with
Rngland ho refers to tho partial settle
ment of the Alaskan boundary dispute,
and urges such notion ns shall detl
nltely suttle this vexing question by say
ing: In this relation I mny refer again to tho
necn oi ceiinueiy mnrKing tho Alaskan
boundury where It follows tho one hundred
and forty-first mortdlan. A convention to
that end has been boforo the senate for
somo two yenrs, but as no netlon has been
tnkon I contemplate negotiating a new con
vention for a Joint determination of tho
meridian by telegrnphlo observations,
These. It Is bolleved, will give more ac
curate and unquestionable results than the
stdoronl methods horotoforo Indepundently
followed, which, ns Is known, proved dis
crepant at sovcrnl points on the line, al
though not varying at any placo moie than
700 feet.
Tint W'nv In South Africa.
A review of tho Incidents connected
with our shipping to Mouth African
points Is given, and ho says that In
this connection vexatious questions nroso
through Great Lirltalu's action in respect
to neutral cargoes, not contraband In
their own nature shipped to Portuguese
South Africa on the scoro of probable or
suspected ultimate destination to tho Doer
states.
Of tho final settlement of this question
ho nays:
Such consignments In British ships, by
which nlono direct trado Is kept up be
tween our ports and Southern Africa,
wero seized In application of a municipal
law prohibiting Urltlsh vessels from trad
ing with tho enemy without regard to nny
contraband character of tho goods, while
cargoes shipped to Delagoa Bay In neu
tral bottoms were arrested on the ground
of alleged destination to enemy's country.
Appropriate representations on our part
resultod In tho Urltlsh government agree
ing to purchase ohtrlgnt all such goods
shown to bo actunl property of American
citizens, thus closing tho Incident to thu
satisfaction of the Immediately Interest
od parties, although, unfortunately, with
out a broad settlement of tho question
of a noutral's right to send goods not
contraband per so to a noutral port ad
jacent to a belligerent area.
Ilrlntlona with Knly.
Tho lynching of tho Italians In Louisi
ana Is tho ono question standing between
this government and Italy. That coun
try Is still waiting for tho punishment of
tho pnrtloo guilty of that crime The presi
dent snys that succosslvo grand juries
havo failed to find Indictments, nnd says:
Setting tho principle at Issue high above
all consideration of merely pecuniary In
demnification, such ns this government
mnde In tho three previous cases, Italy
hns solemnly Invoked the pledges of ex
isting treaty and asked that tho Justice
to which she Is entitled shall be meted
In regard to her unfortunate countrymen
In our territory with the same full meas
ure sho herself would give to any Amer
ican wero his reciprocal treaty rights con
temned. ,
I renew the urgent recommendations I
made last year that the congress appro
priately confer upon the federal courts
jurisdiction In this class of International
cases where the ultimate responsibility of
the federal government mni be Involved,
und I Invite notion upon the bills to accom
plish this which were Introduced In the
senate and house It Is Incumbent upon us
to remedy the stntutory omission which
has led, and mny again lend, to such un
toward results. 1 have pointed out tho
necessity nnd tnc precedent lor legislation
of this character. Its enactment Is a sim
ple measure of provisory Justice townrd tho
nations with which wo as a sovereign equal
mako treaties requiring reciprocal observ
ance I,ynchliiK,
In my Inaugural address I referred to
tho general subject of lynching In these
words:
"Lynching must not bo tolerated In a
great nnd civilized country like the
United States; courts, not mobs, must
oxecuto tho penalties of the Inw. Tho
preservation of public order, tho right of
discussion, tho Integrity of courts, and
the orderly administration of justice
must contlnuo forever tho rock of safety
Ufion which our government securely
rests."
This I most urgently reiterate, and
ngaln Invito the attention of my coun
trymen to this reproach upon our civiliza
tion. The NlenrniiBiinn Cnnnl.
He advocates the speedy building of
tho Ntcarugunn canal, und recommends
tho ratification of tho Hay-Pauncefoto
treaty. On this subject ho says:
Thu all-Important matter of an Inter
oceanic canal has assumed a new phase
Adtiering to us reiusni to reopen mo ques
tion of tho forfeiture of thu contract of
the Maritime Canal company, which was
terminated for alleged non-execution In
October, lb9D, tho government of Nicara
gua has since supplemented that action
by declaring the so-styled Eyre-Cromln
option void for nonpayment of Its stipu
lated advance. Protests In relation to
these acts havo been Hied in the state de-
111110111 und aro under consideration,
eemlng Itself relieved from existing en
gagements, the Nlcaraguun government
shows a disposition to dcnl freely with the
canal question either In tho way of ne
gotiations with the United States or by
taking measures to promote the watorwuy.
Overtures for a convention to effect tho
building of a canal under the auspices
of thu United States aro under considera
tion. In the mennllmo the views of the
congress upon the general subject, In the
light of the report of the commission ap
pointed to examine the comparative merits
of the various trans-lsthmlan ship-canal
projects, may be awaited.
1 commend to the early attention of the
senate the convention with Great Britain
to facllltato tiie construction of such a
canal and to remove any objection which
might arise out of the convention com
monly culled tho Clay ton-I3ulwer treaty.
New Trenty with Sniihi.
Of our relations with Spain he snyo a
new convention of extradition Is np-
proncuiug coiuuioiion aim trusts mat u
commercial convention may follow. Of
Spain's claim to a number of the ls
lands In the Philippine group not covered
by tho Purls treaty ho says:
By the terms of tho treaty of pcaco
tho lino bounding tho ceded Philippine
group In tho southwest fnlled to Include
suvcrul small Islands lying west of tho
Sulus, which havo always been recog
nized as under Sminlsh control. Tho oc
cupation of Slbutu and Caguynn Sulu by
our navul forces elicited u claim on tho
part of Spain, the essential equity of
which could not bo gnlnsald. In order to
curu tho defect of the treaty by romov
lng nil posslblo ground of futuro mis
understanding respecting the interpreta
tion of its third article, I directed tho
negntlutlon of a supplementary treaty,
which will bo forthwith laid before tho
senate, whereby Spain quits nil title nnd
claim to the Islands named, as well ns to
any and ull Islands belonging to the Phil
ippine archipelago lying outside tho
lines ascribed in said third article, nnd
agrees that all such Islands shall bo com
prehended In tho cession of tho nrchl
pelago as fully ns If they had been ex
pressly included within thoso lines. In
consideration of this cession the United
States Is to pay to Spain tho sum of
$100,000,
Still Wiiltlntr on (lie Sultan.
Of tho claims against Turkey he says:
Wo await tho fulfillment of tho prom
ise of tho yultan to mako reparation for
tho Injuries suffored by American cit
izens In Armenia and elsewhere in tho
Turkish cmplro. Ills majesty's good dis
position In this regard has been evinced
by tho Issuance of nn Irndo for rebuild
ing thu American cotlcgo at Ilnrpoot.
"Would llxU'inl it ccliiriiclly.
He urges tho approval of tho commer
cial conventions entered Into between
tills government nnd other powers as
soon as possible that tho agricultural nnd
other Industries of the country may profit
thereby. Continuing on this subject ho
Buys:
Tho policy of reciprocity so tnanlfostly
reits upon the principles of International
equity and has beon so repoatedly ap
proved by tho pooplo of tho'Unlted States,
that thero ought to bo no hesitation In
cither branch of tho congress In giving
to It full effect.
Our Fliinnclnl .Showlni;,
Tho president points with much prldo
to tho bhowlng made by tho treasury de
partment and quotes exhaustively from
tho report of Secretnry Guge Ho shows
tho surplus for tho year to bu 171).D27,(M.1S.
and est linates tho surplus of tho coming year
utJSO.OOO.OOO. Hosaysthopreseiitcoiulltlon
of tho trenhury Isone of undoubted strength.
Thu available cash balance November 30
was tl3'J,303,704.C0. XMuler tho form of
statement prior to tho flnnnclnl law of
March H last this would havo been In
cluded In tho statement of nvallablo cash
gold coin nnd bullion held for tho redemp
tion of United States notes.
Further Financial IirtrUliitlon.
llo recommends further financial legls
lutlon In tho following words:
It will bo tho duty ns I am sure It will
bo the deposition of tho congress to pro
vide whatever further legislation Is need
ed to Insure the continued parity under
nil conditions between our two forms of
metallic money, silver and gold.
Our surplus revenues have permitted tho
secretary of the treasury since the closo
of the fiscal year to call In tho funded loan
of 1891 continued at two per cent. In tho
sum of 125,304,600. To and Including No
vember 30, J23,tCS,100 of theso bonds have
been paid. This sum, together with the
amount which may accrue from further
redemptions under the call, will he ap
plied to tho sinking: fund.
Tho law of March 14, 1900, provided for
refunding Into two per cent. 30-year bonds,
payable, principal and Interest, In gold
coin of tho present Btandard value, that
portion of the public debt represented by
the three-per-ccnt. bonds of VMS, the four-per-cents
of 107 nnd the llvo-per-cents
of 1900, of which there was outstand
ing nt the date of said law $839,149,
930. Tho holders of the old bonds presented
them for exchange March 14 and Novem
ber 30 to the amount of 1304,943,750. The
not saving to tho government on theso
transactions aggregates J9.10C.166.
llnnklntc Facilities ISxtcmlcd.
Tho bonsflclal effect of tho financial act
Of 1900, so far ns it rolates to tho modifi
cation of tho national banking act, is al
roady apparent. Tho provision for tho
Incorporation of national banks with a
capital of not less than $25,000 In places
not exceeding 3,000 Inhabitants has result
od in tho oxtcnslon of banking facilities
to many small communities hitherto un
able to provido themselves with banking
Institutions under tho national system.
Thero wero organized from tho enact
ment of the law up to and Including
Novembor 30, S69 national banks, of which
2CC wero with capital loss thnn $50,CO0 and
103 with cnpltal of $50,000 or more
It Is worthy of mention that tho greater
number of banks being organized under
the new law aro In sections where tho
need of banking facilities has beon most
pronounced. Iown stands first, with 30
batiks of tho smaller class, while Texas,
Oklahoma, Indian territory and tho mld
dlo and western sections of the country
havo also availed themsolvea largely of
tho privileges under tho now law.
Our Fordun Trade.
Our foreign trade shows a remarkable
record of commercial and Industrial prog
ress. Tho total of Imports and exports
for tho first tlmo In the history of tho
country exceeds $2,000,000,000. Tho exports
aro greater than they huve ever been
boforo, tho total for the fiscal year 1900
being $1,394.4S3,0S2, an incrcaso over 1899
of $17,459,7S6. an Increase over 1898 of $163,
000.752, over 1S97 of $:43,4S9,526, and greater
than 1S9G by $511,876,144.
The growth of manufactures In tho
United States Is evidenced by tho fact
that exports of manufactured products
largely exceed thoso of any previous year,
their valuo for 1900 being $433,851,756,
ngalnst $339,692,146 In 1S99, an Increase of
28 por cent.
Agricultural products woro also cxport
od during 1900 In greater volume than In
1S99, tho total for the year being $835,558,
123, against $784,776,142 In 1899.
Tho Imports for the year amounted to
$849,941,181, an Incrcaso over 1899 of $152,
792,695. This Incrcaso Is largely In mate
rials for manufacture, and is in response
to the rapid development of manufactur
ing in tho United States. While there
was imported for use In manufacture In
19C0 material to the valuo of $79,768,972 In
excess of 1899, It Is reassuring to observe
that thoro Is a tendency toward decrease
In the Importation of articles manufac
tured ready for consumption, -which In
1900 formed 15,17 per cent, of the total
Import, against 15.54 per cent. In 1S99 and
21.09 per cent. In 1S96.
Tlio Internal Ilcvennc Tnx.
I recommend that the congress at Its
present session reduce the Internal rev
enue taxes Imposed to meet the expenses
of the war with Spain In the sum of $30,
000,000. This reduction should bo secured
by the remission of those taxes which ex
perience has Bhown to bo the most bur
densome to the Industries of the people
I specially urge that there be Included In
whatever reduction Is made the legacy tax,
bequosts for public uses of a literary, edu
cational or charitable character.
Itccoiumenitji Ship Snbulily.
American vessels during the past three
years have carried about nine per cent,
of our exports and imports. FoTelgn ships
should carry the least, not the greatest,
nnrt of American trade The remurkublo
growth of our steel Industries, the prog
ress of shipbuilding for the domestic trade,
and our steadily maintained expenditures
for the navy havo created an opportuni
ty to place the United States In the first
rank of commercial maritime powers.
Besides realizing a proper national as
piration this will mean tho establishment
and healthy growth along all our coasts
of a distinctive natlonnl Industry, expand
ing the field for profitable employment
of Inbor and capital. It will Increase the
transportation facilities und reduce freight
charges on the vast volume of products
brought from the Interior to tho seaboard
for export, and will strengthen an arm
of tho national defcnBo upon which the
founders of the government and their
successors havo relied.
The Trust Uuctlon.
Tho trust question receives tho atten
tion of the president, nnd ho says:
"It Is apparent that uniformity of legis
lation upon this subject in tho several
states Is much to be desired. It Is to be
hoped that such uniformity, founded In a
wise and Just discrimination between what
Is Injurious and what Is useful and neces
sary in business operations, may bo ob
tained, and that means may bo round for
tho congress, within tho limitations of its
constitutional power, so to supplement nn
effective code of state legislation ns to
make a complete system of laws through
out the United States adequato to compel
a general observance of tho salutary rules
to which I have referred.
"Tho wholo oucHtlon Is so important nnd
far-reaching that I am suro no pnrt of it
will bo lightly considered, but every phaso
of It will havo tho studied deliberation of
congross, resulting In wiso und judicious
action.
"Restraint upon such combinations as aro
Injurious, and which aro within federal
Jurisdiction, should bo promptly applied
by thu congress."
The Philippines.
Considerable attention Is given tho sub
ject of tho Philippines, und In this con
nection tho scope und work of the Phil
ippine commlbslon us outlined to the com
missioners Is fully outlined for the bene
fit of congress, Of the present condi
tions In thu Islands tlio president says:
In my lust annual messago I dwelt nt
somo length upon the condition of af
fairs In the Philippines. While seeking
to Impress upon you that the gravo re
sponsibility of thu future government of
those Islands rests with tho congress of
tho United Stutes, I abstained from rec
ommending at that tlmo a specific and
final form of government for tho terri
tory nctually hold by tho United States
forces und In which, ns long us insur
rection continues, tho military arm must
necessarily be supreme I stated my pur
pose, until tho congress shall havo mado
known the formal expression of Its will.
to use the authority vested In mu by the
constitution and tho statutes to uphold
tho sovereignty of tho United States In
thoso distant Islands as In nil other places
whore our Hag rightfully floats, placing,
to thut end, at tho disposal of tho army
and navy all tlio means which the lib
erality of tho congress nnd tho peoplo
have provided. No contrary expression
of the will of tho congress having been
mnde, I havo steadfastly pursued tho pur
poso so declared, employing the civil urm
us well toward tho accomplishment of
puclllcntlon and thu Institution of local
governments within thu lines of author
ity and law.
AVe Are MiiUlnir Projrre.
Progress In thu hoped-for direction has
been favorable Our forces have suc
cessfully controlled the greater part of
tho Islunds, overcoming tho organized
forces of the Insurgents und currying
order and ailmlnlstrntlvo regularity to all
quarters. What opposition remains la for
tho most part scattered, obeying no con
certed plan of strategic autlon, operating
only by the mothods common to thu tra
ditions of guerrilla warfare, which, while
Ineffective to niter tho general control
now established, nro still sufllclcnt to
begot Insecurity umong tho populations
that havo folt the good results of our
control, nnd thus delay tho conferment
upon them of the fullest measures of
local self-government, of 6tre&ttvff. m4
of Industrial and agricultural develops
ment which wo stand ready to give t
them.
Principle Are Appreciated,
Roferrlng to the manner la which tht
work of tho commission upon tho line
laid down In his Instructions to then
has been received by tho people of th
Philippines, tho president says:
It is evident that the most enlightened!
thought of tho Philippine Islands fully ap
preciates tho Importanco of theso princi
ples and rules, and they will Inevitably
within a short time command universal
assont. Upon every division and branch
of tho government of tho Philippine,
therefore, must be imposed three lnvlol
ablo rules:
That no person shall be deprived of life,
llborty, or property without due process of
law; that private property shall not b
taken for nubllo use without Just com
pensation; that In all criminal prosecutions
the accused shall enjoy the right to a
spoftdy and public trial, to bo Informed
of tho nature and cause of tho accusation,
to bo confronted with the witnesses against
him. to havo compulsory process for ob
taining witnesses In his favor, and to hav
tho assistance of counsel for his defense;
that oxccsslve ball shall not be required,
nor oxcesslvo fines imposed, nor cruel and
unusual punishment Inflicted; that no per
son shall be put twlco In Jeopardy for th
same offense, or bo compelled in any crim
inal case to be a witness against himself;
that tho right to bo secure against unrea
sonable searches and seizures shall not b
violated; that nolther slavery nor Involun
tary servitude shall exist except as a pun
ishment for crime; that no bill of attain
der or ex post facto law shall bo passed;
that no law shall bo passed abridging th
freedom of speech or of the press, or the
rights of tho pooplo to peaceably assemble
and petition the government for a redress
of grievances; that no law shall be mad
respecting an establishment of religion or
prohibiting tho free exercise thereof, and
that the frco exercise and enjoyment of
religious profession and worship without
discrimination or preference shall forever
bo allowed.
Incournulng: rteport.
Later reports from the commission show
yet moro encouraging advanco toward
Insuring the benefits of liberty and good
government to tho Filipinos, In tho Inter
est of humanity and with tho aim of
building up an enduring, self-supporting;
and self-ndinlnlstcring community in
those far eastern seas. I would Impress
upon tho congress that whatever legisla
tion may be enacted In respect to tho Phil
ippine Islands should bo along theso gen
erous lines. Tho fortune of war has
thrown upon this nation an unsought
trust which should bo unselfishly dis
charged, and devolved upon this govern
ment a moral as well aa material respon
sibility toward theso millions whom w
have freed from an oppressive yoke.
Porto -11100.
The civil government of Porto Rico pro
vided for by the act of tho congross. ap
proved April 12, 1900, is In successful op
eration. The courts havo been estab
lished. Tho governor and his associates,
working Intelligently and harmoniously,
are meeting with commendable success.
On the 6th of Novembor a general elec
tion was held In tho Island for members
of tho legislature, and tho body elected
has been called to convene on tho first
Monday of December.
Denlinira with Cnlin.
Tho present conditions In Cuba are re
ferred to, citing the call for tho election
of delegates to a constitutional conven
tion and the meeting of the convention
which Is now In session, and closes this
part of his message with tho following:
When tho convention concludes Its la
bor I will transmit to tho congress the
constitution as framed by tho conven
tion for its consideration and for such
action as It may deem advisable.
The Army.
An Increase In tho regular army is
recommended, nnd tho need of soldiers
shown. After saying that wo need at
least 26,000 troops at homo to caro for
our cxpcnslvo fortifications and ordnance.
lie continues:
Wo have In Cuba between 5,000 and 6.000
troops. For the presont our troops In that
Island cannot be withdrawn or materially
diminished, and certainly not until the con
clusion of tho labors of the constitutional
convention now In session and a govern
ment provided' by the new constitution
shall have been established and Its stability
assured.
In Porto Rico we have reduced the gar
risons to 1,636, which Include 896 native
troops. Thero Is no room for further re
duction here. Wo will bo required to
keep a considerable forco In tho Philip
pine islands for some tlmo to come. From
the best information obtalnablo wo shall
need thero for tho lmmedlato futuro from
50,000 to 60.000 men. I am suro tho num
ber may bo reduced as the Insurgents
shall come to acknowledge the author
ity of tho United States, of which thers
aro assuring Indications.
It may bo apparent thnt wo will re
qulro nn army of about 00,000, and that
during present conditions In Cuba and
the Philippines the president should have
authority to Increase tho force to the
present number of 100,000. Included In
this number authority should bo given to
raise native troops In tho Philippines up
to 15,000. which the Taft commission b
llovo will be more effectlvo In detecting;
and suppressing guerrillas, assassins andj,
Ladrones than our own soldiers.
The full discussion of this subject by
tho secretary of war In his annunl report
la called to your earnest attention.
The Postnl Service.
Under a discussion of tho postal serv
ice ho urges an extension of the rural
free delivery system und snys:
This servlco ameliorates the Isolation of
farm life, conduces to good roads, and
quickens and extends thu dissemination of
general Information. Experience thuu far
has tended to allay the apprehension that
it would oe so exnenstvo as to torbiu its
general adoption or mako It a serious bur
den. Its actual application has shown that
It Increases postal receipts, and can be' ac
companied by reductions In other branches
of tho service, so that the augmented rev-
onucs and tlio accomplished savings to
gether materially reduco the not cost. The
evidences which point to these conclusions
aro presented In detail In the annual re
port of tho postmaster general which with
Its recommundatlons Is recommended to
the consideration of tho congress. Tho full
development of this spcclnl service, how
over, requires such a large outlay of money
that It should bo undertaken only after a
careful study and thorough understandlnc
of all that It Involves.
The Nnvy.
Tho recommendations of tho secretary
of tho navy for moro snips and un In
crease In tho personnel of the navy are
approved, as well as those of tho estab
lishment of a national navul reserve and
suitable recognition for oil ottlcers who
rendered distinguished service during the
war with Spain.
AKrlcultnre.
The department of ugrlculture has been
extending Its work during tho past year,
reaching farther for now varieties of
seeds nnd plants; cooperating moro fully
with tho states and territories in re
search along useful lines; making prog
ress In meteorological work relating to
linos of wireless telegraphy and forecasts
for ocean-going vessels; continuing In
quiry ns to animal disease; looking Into
the extent and character of food adul
teration; outlining plans for tho care,
preservation nnd Intelligent harvesting of
our woodlands: studying soils that pro
ducers may cultivate with hotter knowl
edge of conditions, and helping to clothe
desert places with grasses suitably to
our arid regions. Our Island possessions
aro being considered that their peoples
may bo helped to produco tho tropical
products now so extensively brought Into
the United States. Inquiry Into methodsJjr
of Improving our roads has been acttvoT
during tho year; help has been given to
many localities, and scientific Investiga
tion of mnterlal In tho stntes and ter
rltorlea has been Inaugurated. Irrigation
problems In our semt-arld regions aro
receiving careful and inoreosed consideration.
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