ECONOMIC ACTION

Wairarapa Times-Age, 28 July 1941, Page 5

ECONOMIC ACTION

COULD BE MADE DEADLY

JAPAN’S DEPENDENCE

ON TRADE.

COMMENT IN UNITED STATES.

(By Telegraph—Press'Association—Copyright) LONDON, July 27. Mr Mvukvount Kano, manager of the London branch of the Yokohama Specie Bank, said that the

Japanese banks in London would adhere 100 per cent to the British Government’s decision and would

collaborate with the authorities to

smooth out difficulties. , “To smooth out trade means peace, ’ he said. “To make trade difficult means war. This tit-for-tat action is regrettable but unavoidable at present when there is so much suspicion and propaganda about.” Japanese in London are accepting developments quietly. No decision has been reached about members of the Embassy returning to Japan. London morning newspapers take the same line as the New York Press, saying that the hardest way to hit Japan is economically. The “Daily Telegraph” says that Drastic enforcement of sanctions on Japanese imports would not have to last long to bring her industry to a standstill.

This newspaper emphasises that action by Britain and the United States in the economic field could be made deadly, and recalls the recent statement by the Japanese Envoy Extraordinary to Latin America, who admitted that access to petroleum was imperative for the conduct of the Japanese war on China. The “Daily Telegraph” points- out that 90 per cent of Japan’s oil comes from abroad: two-thirds from the United States and the rest from Malaya and the Netherlands East Indies. - The “Daily Mail" says that Japanwould suffer more than any other country by an embargo on foreign, trade. She could possibly support herself in food, but for minerals and oil she depends on foreign supplies. _ A trade embargo would impose an insufferable burden on an economy which is already heavily strained. The leading financial newspaper in Tokio thinks that America will evoke a complete economic blockade against Janan. It says that Britain, the United States, and Russia are adopting an antagonistic attitude toward Japan, and gives a warning that Japan should be prepared for what it calls a “tripartite economic blockade.” The “Washington Post” says that the warning of the Acting-Secretary of State, Mr Welles, must be regarded as the certain prelude to action. Like Hitler, says the newspaper, Japan cannot stop, but is going on from aggiession to aggression, and the United States cannot afford to let the Japanese occupation of French Indo-China remain uncontested. The “New York Times” says that Japan's occupation of Indo-China should mark the end of America’s present policy. Japan has again gone ahead with a new aggression threatening American interests. The Tokio radio announces that tne Japanese Commander-in-Chief in North China and the commanders of the Japanese fleet arrived at Tokio on Friday and reported at once to the Emperor.

PHILIPPINE FORCES

CREATION OF NEW COMMAND.

LONDON, July 27. The new United States' command created in the Philippines provides for an army 300.000 strong. It will consist of 75,000 fully-trained United States troops and an equal number of partly-trained reserves, and 150,000 Philippine troops, both fully and partly traiiied. It is announced in Batavia that a large number of Catalina flying-boats are to arrive there shortly to be operated by the Netherlands East Indies air force. . All along the waterfront at Saigon, in French Indo-China, warehouses are being cleared for use by the Japanese.