METALS: No Subsidy

After kicking around Congress for weeks, theAdministration’s metals subsidy plan (TIME, May 19) finally died lastweek at the hands of the House of Representatives. Originally putforward to bolster prices in five depressed industries (copper, lead,zinc, tungsten, fluorspar) —and incidentally win support for thePresident’s reciprocal trade program from mining-state Congressmen—the$458 million support program ran into rough going after passing theSenate. Chief reason: many Congressmen felt that the bill would aidmainly those big international producers who are making money anywayand are doing most of the importing that has helped depress domesticprices. Another point not lost on a Congress increasingly mindful ofthe problems of inflation: copper, at least, appears on the road torecovery by itself. Though copper stocks of 242,781 tons are stillhigh, No. 1 producer Kennecott Copper Corp. brought its U.S. minersback to a six-day week, announced it was boosting production 15% due to”strong European demand” and the promise of a general pickup at home.