Dáil Éireann debate -
Wednesday, 30 Mar 1938

Vol. 70 No. 9

Control of Imports. - Quota Order No. 36—Laminated Springs. Motions of Approval.

Minister for Industry and Commerce (Mr. Lemass)

I move:—

That Dáil Eireann hereby approves of Control of Imports (Quota No. 36) Order, 1937, made on the 5th day of November, 1937, by the Executive Council under the Control of Imports Acts, 1934 and 1937.

This quota order relates to laminated springs and the component parts of laminated springs. Formerly an ad valorem duty of 33? per cent. operated upon these articles. But for obvious reasons it was found that the protection desired to be afforded to the manufacturers of these articles in this country could not be effectively given by way of customs duties. These springs, which are imported by motor car assemblers, are invoiced at a price far below the prices at which they can be normally purchased. Furthermore, the cost of the spring forms a very small part of the price of the vehicle into which the spring is built. For this and other reasons, it was decided to afford protection to the manufacturers of these articles in this country, and, consequently, this quota order was made under the Control of Imports Acts. The imports of laminated springs have been reduced considerably, and it is contemplated that in due course these imports can be eliminated altogether. I think that none of the motor car assemblers, and the same applies to other users, has any difficulty in procuring supplies of Irish manufactured springs in adequate quantities.

Mr. Dillon

I have noticed in the public Press that some difficulty arose in connection with the people who are assembling Morris cars, and that difficulty was in connection with the springs. They felt that the spring available from the Irish manufacturer would not fit in with the spring of the Morris car, and I understand one firm of assemblers went so far as to close down their factory until such time as these springs could be had from England or until they could be manufactured here. I would like if the Minister would give an assurance to the House that if it proves impracticable to make in this country laminated springs suitable to the Morris car, that he will give the assemblers of the Morris car the right to bring in whatever springs are necessary in order to make practicable the assembling of the Morris cars in this country. I do not know if this firm will succeed in producing the kind of laminated springs that are required, but in the event of their finding themselves unable to produce them anywhere but in Cowley, Oxford, I want to know what steps the Minister will take or what he will do to maintain a supply of suitable springs?

Mr. Lemass

I am quite satisfied that the difficulties which the proprietors of that firm of assemblers stated existed did in fact exist only in their own imaginations. I understand the whole matter was only a display of childish pique arising from a dispute between a member of that firm and a director of the firm making the springs. There is no difficulty about producing in this country springs of a suitable kind, and this is borne out by the fact that another manufacturer who assembles large quantities of another type of Morris car advertises that they are themselves making these springs. The particular firm to which the Deputy refers is proceeding to establish a factory of its own for the manufacture of these springs. I understand they will soon be in production.

Mr. Dillon

I take it that if this firm make representations to the Minister that the springs manufactured in Ireland are unsuitable, and if they satisfy him that that is so, he will consider any application they may hereafter make for permission to import springs?

Mr. Lemass

I could not give that undertaking. There is no difficulty in the manufacture of laminated springs here. In fact the announcement made by this firm that they propose to make them themselves is proof of that. The difficulty related to the guarantee which they gave as to the wearing qualities of their vehicles. The laminated springs of the design required for these cars have been produced here and have been incorporated in these cars, and that continued to some extent until circumstances arose which induced that firm to take up a position of refusing to take the springs that were available and deciding to manufacture their own. The particular circumstance which they alleged was based on the fact that the allocation of the quota was based upon a set formula relating to their imports over a set period and that the quota was not sufficient to meet the requirements of this firm until they had their own factory established and producing. But there would be no difficulty in procuring the springs from a firm which had been manufacturing the springs had they wished to purchase from that firm. Their failure to purchase was due not to the fact that the springs were not suitable or that they were not produced in a proper manner. I understand there was some question as to whether the seller of the springs should go to the motor car assembler or that the motor assembler should go to the seller of the springs. It was rather a childish business altogether.

Question put and agreed to.