ther leading articles of agricultural production, and
yielding in return on our part a reduction of duties on such articles
the product of their industry as should not come into competition,
or but a limited one, with articles the product of our manufacturing
industry. The Executive in giving such instructions considered itself as
acting in strict conformity with the wishes of Congress as made known
through several measures which it had adopted, all directed to the
accomplishment of this important result. The treaty was therefore
negotiated, by which essential reductions were secured in the duties
levied by the Zollverein on tobacco, rice, and lard, accompanied by a
stipulation for the admission of raw cotton free of duty; in exchange
for which highly important concessions a reduction of duties imposed by
the laws of the United States on a variety of articles, most of which
were admitted free of all duty under the act of Congress commonly known
as the compromise law, and but few of which were produced in the United
States, was stipulated for on our part. This treaty was communicated to
the Senate at an early day of its last session, but not acted upon until
near its close, when, for the want (as I am bound to presume) of full
time to consider it, it was laid upon the table. This procedure had
the effect of virtually rejecting it, in consequence of a stipulation
contained in the treaty that its ratifications should be exchanged on or
before a day which has already passed. The Executive, acting upon the
fair inference that the Senate did not intend its absolute rejection,
gave instructions to our minister at Berlin to reopen the negotiation so
far as to obtain an extension of time for the exchange of ratifications.
I regret, however, to say that his efforts in this respect have been
unsuccessful. I am nevertheless not without hope that the great
advantages which were intended to be secured by the treaty may yet
be realized.

I am happy to inform you that Belgium has, by an "_arrete royale_"
issued in July last, assimilated the flag of the United States to her
own, so far as the direct trade between the two countries is concerned.
This measure will prove of great service to our shipping interest, the
trade having heretofore been carried on chiefly in foreign bottoms.
I flatter myself that she will speedily resort to a modification of her
system relating to the tobacco trade, which would decidedly benefit the
agriculture of