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: : Te ee eee - aes OS = es kere LENT AP sé Fi is 2 NETRA -e Sl I GALT oa Ie Mg Case ee ke THE OSHAWA TIMES, Thursdey, April 1,1965 23 'End Of Tariffs Requested By LBJ On New Cars, Parts WASHINGTON (CP) -- Presi- dent Johnson asked Congress to- day to give him authority to wipe out U.S. tariffs on new automobiles and parts for new cars imported from Canada. It was a move to implement a free-trade agreement he and Prime Minister Pearson signed at the LBJ ranch in Texas, Jan. 16, The tariff-abolition agreement applies at the manufacturer level only. The agreement as drawn would enlarge Canadian entry to the UjS. auto and parts market, stimulating the Cana- dian industry which is domi- nated. by the four main U.S. ear manufacturers. It replaces a subsidy scheme inaugurated by Canada to boost automotive production which drew strong opposition from some American parts makers. The legislation sent to Con- gress today with a presidential letter will also' be opposed, some parts companies have said, The legislation will start. its course through Congress by go-| ing before the ways and means committee of the House of Rep- resentatives -- the second ma- jor item. to come before that body since Congress resumed. The first was the medical care bill, now cleared. Canada implemented the auto agreement Jan. 17 by cabinet decree. SETTLES DIFFERENCES Johnson said the agreement} resolved serious differences which existed between Canada tomotive trade. "More significantly, it marks a long step forward in United States commercial relations with | her greatest trading part- ner," Johnson added, "'it testi- fies to the good will and confi- dence between us.' Johnson said the agreement already has brought results, in- cluding the revocation by Can- ada of a plan introduced in 1963 under which it subsidized auto- motive exports. It also has re- duced duties to zero on Cana- dian imports from the United States, he said. The agreement is not subject to ratification by the U.S, Sen- ate since it is not in the form of a treaty. Johnson, however, must have| the approval of both House and Senate because the agreement calls for elimination of all ter-| iffs on new cars and parts for| new cars in trade between the two countries. The president has authority to| and the United States ever au- pers involving Canadian- U.S; trade in automotive parts have been the cause of signifi- cant inefficiency in the indus- try. "Because the Canadian mar- ket is relatively. small, produc- tion runs have been shori, and costs and prices have been high," Johnson wrote. "High costs and prices in turn, sup- ported by the tariff and other restrictions, have contributed to keeping the market small." Under the legislation Johnson proposed, tariffs would be eli- minated on imports from Can-| ada, retroactive to Jan. 16,| lwhen the agreement was signed. Johnson also would be oe authority to negotiate oe agreements with any other auto-making country. However, there has been no indication so |far that any other country is linterested. HAND SEN BACK PITTSBURGH (AP)--A work- man whose severed arm was sewn back on was listed in sat- isfactory condition Wednesday in Presbyterian-University Hos- pital. The arm was pink andl there was a pulse, doctors said. Frank Roth, 43, had his left arm sheared off four inches above the elbow Tuesday by a bucket used to load sand at a plant. "SELL" YOUR PROPERTY IS where MOST PROPERTY SOLD call 728-5157 CTIVE REALTY LTD. 48 Simcoe St. South Member Oshawa and District | Real Estate Board reduce tariffs by only 50 per cent. | Johnson made his request for -neeional action in identical letters to Vice-President Hu- aamphrey and Speaker John W. McCormack. 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