JAPAN &

Wairarapa Times-Age, 2 August 1941, Page 5

JAPAN &

ECONOMIC AGREEMENT

SIGNED

SOUTHWARD DRIVE POLICY.

STATEMENTS IN CONFLICT. (Dy Telegraph-Press Association—Copyright > LONDON. August 1. The Tokio correspondent of Benters reports that Japan and Thailand have signed an economic agreement. A Thai banking syndicate has granted a substantial credit, to facilitate Japanese imports from Thailand. the object being to offset Ihe freezing of Japanese assets by England and America. The Consul-General of Thailand at Singapore declared that Thailand would, not grant bases to any nation. The chief of the Japanese mission to Indo-China, General Sumita, who is now in Bangkok, Thailand,, in an interview with the Tokio newspaper “Asahi'’ declared that Japan's construction of the new order in East Asia had been completed.

The declaration that Japan could not retreat even one step from her fundamental policy of constructing a greater East Asia was made by the Japanese Minister of Finance, Mr Ogura. He warned the Japanese people to expect increased pressure from Britain and the United States, but emphasised that Japan’s policy would be pursued regardless of this. The Chinese Foreign Minister, Dr. Quo Tai-chi, declared in Chungking that by the closer collaboration of Britain,-the United States, and China in the Pacific, Japan could be defeated first and would become an example to the other Axis Powers. The consequent political, moral, and strategic repercussions throughout the world would be salutary. The Thai Government states it has received no notification from Japan concerning troop movements to bases in Indo-China. One new air base taken over by Japan is only three miles from the Thai frontier. This is contrasted with the policy of the British Government, which has always given' notice of troop movements near the frontier.

JAPANESE HOPE

VOLUNTARY CO-OPERATION.

(Received This Day, 9 a.m.) TOKIO, August 1

■The Domei Agency’s correspondent at Bangkok has predicted that the agreement with Japan will be followed sooner or later by Thailand's abandonment of economic dependence on Britain in favour of voluntary economic co-operation with Japan.