DANGER TO CHINA

Wairarapa Times-Age, 21 September 1942, Page 3

DANGER TO CHINA

SEEN IN GERMAN EASTERN THRUST REMARKABLE ECONOMIC EXPANSION. IN SPITE OF WAR LOSSES. (By Telegraph—Press Association—Copyright) (Received This Day, 9.50 a.m.) NEW YORK, September 20. The Chungking correspondent of the "New York Times” says the fall of Stalingrad would open the way for lhe German hordes to sweep through the Caucasus and Iran to Afghanistan, thereby placing them on the threshold of China’s back door, Dr Wen Hao, Minister of Economic Affairs, declared in an interview. Although he did not anticipate an actual invasion of China, Dr Wen Hao pointed out that the Germans could further tighten the blockade ringing China’s borders. He observed thqt Germany was defeated in lhe last war because of her internal economic collapse, for which reason a blockaded China must profit by historical experience and assiduously develop her latent resources, to support the nation’s hard-pressed war effort, already seriously battered by the fiveyear struggle. “No country, however, has inexhaustible resources, and how China’s economy has withstood the ravages of a draining war so far is little short of a miracle, even to us,” Dr Wen Hao stated. “Despite Japan’s occupation of some of our richest and most productive areas, Chinese production has increased manyfold. For example, the coal, wheat and flour output has doublecl in the past year and iron, cotton and other products have increased substantially.” A very perplexing problem at the moment, he said, was the lack of sufficient transport, due to inadequate railway and highway systems. Nevertheless the Government’s large-scale programme of economic and industrial development was progressing, despite handicapping difficulties. The ultimate aim was national self-sufficiency, leading to expanded foreign trade after the war.