CLOSE RELATIONS

Wairarapa Times-Age, 24 August 1940, Page 6

CLOSE RELATIONS

AUSTRALASIA & U.S.A. FAR EAST POLICIES. INTERESTS IN COMMON. Common interests of the United States and Australia in the Pacific area, based on good understanding and mutual interests, were discussed by Dr W. G. K. Duncan, of Sydney, in an overseas broadcast from the Commonwealth shortwave station. “One of the most curious features of American foreign policy,” said Dr Duncan, “is that the isolationists have always confined their attention to Europe. The Monroe Doctrine was directed against European Powers, and says, more or less politely, ’Keep out.’

"But the other great principle of American policy, that directed towards the Far East, the so-called 'Open Door in China.’ says, in effect, 'You must not keep us out. We want no special favours, but we will not tolerate being discriminated against.’ In maintaining this principle of the Open Door, the United States has been surprisingly firm and consistent —much more consistent than in her policy of keeping herself ‘isolated’ from Europe.

“This is the more surprising when we realise that America’s trade with Japan is much more valuable to her than her trade with China, and that her whole ‘stake in the Far East’ i» far less than in other parts of the world. Her trade with China has never exceeded 250 million dollars in value, and is at the moment less than half that. But, up until recently, this trade grew steadily, and at an impressive rate, having increased sixfold between 1910 and 1930.

"And this was felt to be only a beginning. China had only just started to industrialise herself, and if this process continued, her potentialities as a market would be as great as those of any similar area in the nineteenth century. And China is the last important area in the world which holds out such a prospect in the modern world, given to the worship of selfsufficiency. “But the United States is not the only trading nation whose future is linked with, and to some extent, dependent upon a stable and progressive economy in China. Australia is somewhat painfully aware that she is reaching the limits of the British market, and that she will have to find fresh outlets for her surplus primary products. Not in the immediate future, of course. Britain will no doubt continue to take the great bulk of our exports during the war, and in any case, conditions in the Far East are at present far too unsettled to expect any, expansion of trade there. But as a long-term policy Australia will become increasingly anxious to find openings in the Far East. HOPES AND FEARS. “Australia shares with the United States, not only long-term hopes, but short-term fears. The maintenance of the status quo in the Dutch East Indies (and South Eastern Asia generally) is a vital interest to both countries—the one drawing rubber and tin. the other oil supplies from this region.

"The collapse pf France has brought to Australia an additional, and a quite unexpected, anxiety, namely New Caledonia. This island is within 1000 miles of our coastline, and was regarded even in the 19th century as of great strategic significance to us. Modern aviation has, of course, vastly increased that significance, and it is vital to us that it remains in the possession of a friendly Power. Moreover, the nickel and chromium deposits of New Caledonia make it of even more importance to us, now that we have embarked upon a large-scale expansion of our heavy industries.

"Common interests and common fears are bringing the United States and Australia together. The ‘New York Times’ recently told its readers that 'Australia is likely to become far more important • to the United States than the widely-discussed Netherlands East Indies or the Philippifne Islands. In the light of present upheavals in Europe and the Far East the position of . Australia will call for American thought and perhaps for momentous decisions.’

INTERCHANGE OF MINISTERS. "This thought, and the understanding necessary for such decisions, will be greatly assisted by the interchange of Ministers between the two countries which has just been completed by the recent arrival in Sydney of Mr Clarence E. Gauss. The Australian authorities have been openly delighted that such an acknowledged authority on the Fai’ East should be available for consultation and advice. , “The day after Mr Gauss arrived in 1 Sydney, the first Pan-American Clipper arrived in. Auckland, New Zealand, from San Francisco. The Tasman Empire Air Service has already been established between Sydney and Auckland, so that Australia is now within a week’s distance of the United States (as well as having now an alternative air route to England). Aviation is conquering even the immense distances of the Pacific. If it is bringing trouble closer to our shores, it is also bringing us into closer touch with our friends.

"Australians are beginning to realise that they have a distinctive role to play in Pacific Affairs. As our Prime Minister. Mr R. G. Menzies, said in his policy speech last year: ‘ln the Pacific we have primary responsibilities and primary risks. Close as our consultation with Great Britain is in relation to European Affairs, it is still true to say that we must, to a large extent, be guided by her knowledge and affected by her decisions. The problems of the Pacific are different. What Great Britain calls the Far East is to us the near north, and in the Pacific Australia must regard herself as a principal, providing herself with her own information, and maintaining her own diplomatic contacts with foreign Powers . . . This means increased diplomatic contact between ourselves and the United States. China and Japan, to say nothing of the Netherlands East Indies and the other countries which fringe the Pacific. It is true that, we are not a numerous people, but we have vigour, intelligence and resource, and I see no reason why we should not play not only an adult, but an effective, part in the affairs of the Pacific.’ ”