RUBBER.

Hokitika Guardian, 20 January 1927, Page 3

RUBBER.

BRITISH CONTROL. SAN FRANCISCO, December 15. Despite the fact that Britain lias greatly improved the world’s rubber market under the Stevenson Act. and has released a considerable quantity ol raw rubber, bringing about a big cut in the price of rubbber. Americans continue to "slang” John Bull for his “ strangle-hold on the world's rubber supply.” A report from Detroit says: "Determined to break the strangle-hold British rubber growers have mi the industry, Henry Ford may become a rubber grower and with the products ol his own plantations outer into the tyre manufacturing business.”

Professor Carl Larue, University <>f Michigan natural science professor, has been commissioned by Ford to make a survey of the Amazon River region in Brazil and determine the host location for the proposed Ford rubber plantations, and it is stated that it is Professor Larue’s intention to search for virgin rubber fields in South America on a large scale.

So important is this development considered by officials of the Ford company that, every detail is being kept secret. While it is believed that Ford will undertake this project without outside help, it was learned in authoritative circles that he may he connected with Harvey Firestone, and limit his end ol the scheme to the production, while Firestone handles the manufacturing. The only admission that could be obtained through Ford channels was that expeditions, \vorking in the Lord interests, have visited the Dutch least Indies, the Philippines, and other tropical parts of tlie world. The Detroit report adds: ‘‘Continually recurring increases in the price of raw rubber by the British monopoly have resulted in this latest move by Ford. He is reported to he determined to make it possible to make auto tyre prices reasonable all over tho world. Incidentally it is significant that tho creation of a 40,000.000 dollar rubber pool, which "ill enable loading American tv re manufacturers and automobile companies to combine their resources for the purpose of crude rubber, has just been announced in New York, ’lhe new organisation will have the hacking of several large New York hanks. Tho prime purpose of the combination will he to stabilise the price of the commodity at a level which will make unnecessary an additional 10 per cent, restriction in output under Great Britain’s Stevenson Act ill 1927. At the same time efforts will he made “to forestall any artificial rise in values based on the British restrictive regulations.”