The sun. [volume] (New York [N.Y.]) 1916-1920, 1917-08-28
NEW EMBARGO
STOPS LEAKAGE
INTO GERMANY
Wilson Halts Exports to
European Neutrals Until
They Give Guarantees.
Is EFFECTIVE THURSDAY
Needs Of America and Allies to
Come First-MOve a
Blow to Teutons.
is EFFECTIVE THURSDAY
Special Despatch to TIE sux.

a sweeping embargo list announced to-
night by President Wilson to apply to
designed for export to the
European neutrals.
Absolute prevention of the reexport
into Germany by ncutrals Of shipments
end sought in the drastic action OF the
President. The new embargo list will
become operative August 80.
The Presidents proclamation Is ac-
companied by an explanatory statement
which defines The Administrations policy
in regard to export trade under present
American needs first will be
safeguarded. Then the ne
cessities OF the nations at war with Ger
many and the Teutonic allies will be
cared for The surplus which remains
will be exported to European neutrals
only 30 long as such commerce will not
be made the occasion OF benefit to the
enemy either directly or indirectly.
Neutrals Must Give Gaarantees.
European neutrals will have to give
strict guarantees, II is assumed. that
imports from America not only will be
rigidly excluded from Germany. but they
will also have to furnish satisfactory as
surances that American commodities are
not being used to replace native food
stuffs and other necessary articles ex-
ported to the territory Of our enemies.
This new policy is expected TO prove
the most valuable single act which the
United States has performed in bringing
Germany 10 terms. Not only will leak.
age Of American goods into German
territory be stopped but the not less
important source Of supply upon which
the Teutons have relied ever since the
British blockade became effective. the
flow OF commodities produced in neutral
countries which have been released for
export by reason Of excess Of imports
from America. will be curtailed II not
entirely cut of.
That such leakage TO Germany has
occurred even since the United States
became bslliserent Is an established
fact. German supplies of cotton, fats,
dairy products and other foodstufYs have
been largely recruited from this source
and 1t II the belief Of those most
familiar with the situation In Germany
to-day that. In time, without these sur
reptitious shipments. she will be able no
longer to keep up the struggle.
All meats. sugar. fuel and other ma
terials used in the prosecution of the
war are included in the order. which
makes 1t clear for the first time that the
United States Is prepared to go to al
most any limit to prevent foods and war
materials from going to Germany. Of
ficials interpreted the order as forecast
war weapon and policy of tho
strictest rationins OF the countries con-
ti2uous to Germany.
A second list of articles for which
licenses will be required for export to
the allied countries and to non European
neutrals is also contained in the Presi-
dents proclamation. Only q few addi-
tions are made TO the list published in
the proclamation Of July .. This list is
less comprehensive than the one appli.
cable to European countries, but will
furnish basis for the comprehensive
control Of American commerce.
Gold, bullion ana currency were added
to the list Of commodities requiring H.
censes for export to European countries
to-day to conserve the huge store OF the
metal which has accumulated in the
United States since the beginning Of the
war in Europe.
Export Control, Says Wilson.
Accompanying the proclamation was
a statement from the President explain
ing it's purposes. 1t said:
THE purpose and effect OF this prOcla-
nation Is not export prohibition but
merely export control. 1t is not the in.
tention to interfere unnecessarily with
our foreign trade but our own domestic
needs must be adequately safeguarded
and there is the added duty of meeting
the necessity Of all the nations at war
with the Imperial German Government.
IL
wish and intention to minister to the
needs OF the neutral nations so far as
our resources permit. This task will be
discharged without other than the very
proper qualifications that the liberation
Of our surplus products shall not b<
made the occasion Of benefit to the
enemy either directly or indirectly.
The two lists have been prepared In
the interests Of facility and expediency
Tho frst list, applicable to the enem,
and his allies and to the neutral coun.
tries OF Europe. brings under control
practically all articles OF commerce
while the second list. applicable to al
the other countries OF the world. make,
ouly a few additions to the list OF com.
modities controlled by the proclamation
Of July o, 1917
"V In obvious that a closer super
vision of control Of exports is necessary
with respect to those European neutral,
within the sphere OF hostiiities than I,
required for those countries further re-
moved
THE establishment OF those distinc
tions will simplify the administrativ,
processes and enable US to continue oul
policy of minimizing the interruption o,
trade"
Revived List OF Exports.
Tie revised list OF goods for which
license is required for shipment from
the United states to the Allies and tS
all other countries follows: Coal. coke
fuel and lubricating oils, hand lantery
oil. naptha. benstne, red oil. kerosene
and gasolene. all bunkers. food grains
four and meal therefrom, corn -four
barley. rice hour rice. oatmeal ant
rolled oats, fodder and feeds. oil cake
oil meal cake. malt and peanuts. al
meats and fats. poultry. cottonseed oil
corn OIL copra. desiccated cocoanuts
butter, fresh, fried and canned fish
edible or inedible grease OF animal ol
vegetable origin. linseed oil. lard. tinnet
milk, peanut oil and butter. rapesee,
oil. tallow. tallow candies and stearl,
acid. sugar. glucose, syrup and molasses
Pig iron, ferrosilicon and spiegeleisen
Continued on Third Page.