BREAK WITH AXIS

Wairarapa Times-Age, 23 January 1942, Page 2

BREAK WITH AXIS

BV ALL AMERICAN REPUBLICS ARGENTINA & CHILE FALL INTO LINE GIGANTIC WAR PRODUCTION PLAN. EMBRACING THE ENTIRE HEMISPHERE. (By Telegraph—Press Association —Copylight) WASHINGTON, January . 21. The conference in Rio de Janeiro of the Foreign Ministers of the Americas is expected to approve a gigantic war production plan embracing I lie entire Wetsern 'Hemisphere. It will include abolition of trade barriers, establishment of a common currency, and use 01. the Lnited States air and naval nnils to convoy hemispheric shipping. This was disclosed today by a high official of the Commerce Department. The plan includes the creation of an emergency labour programme for the hemisphere by which skilled labour will be allowed free movement between the countries to meet labour shortages. In return for a pooling of the hemispheric shipping, the United States would take the responsibility for the transportation of war supplies and essential exports and imports, including convoys with naval and air protection. The Latin Americas would nationalise all air lines and air services for a 10-year period, the United States un-der-writing the cost and maintenance, and would pledge a reduction of freight rates and ceiling passenger rates.

Argentina and Chile today officially agreed to a severance of relations with the Axis, but with a face-saving gesture requiring Congressional ratification of the action of their Foreign Ministers at the conference of representatives.

A four-point agreement was reached after a meeting of the leading delegates lasting three hours. It is regarded as a victory for the United States, says a message from Rio de Janeiro.