New-York tribune., 1918-08-26
They Will Limit Production
for Last Half of 1918 to
Is Per Cent of 1917
May Match Up Stocks
War Industries Board Says
Excess Steel Supplies Must
Be Turned Over

WASHINGTON, Aug. 25.-Manufact-
urers of passenger automobiles and
repair parts have agreed with the War
Industries Board to limit production
during the last six months Of 1918 to
25 per cent Of the total production Of
1917, according to announcement to-
night in the form of letter from the
War Industries Board to the National
Automobile Chamber of Commerce.
To permit this production, the board
gave notice that it will extend pref.
erental treatment for the obtaining
Of materials necessary to "match up"
the stock on hand.
Plants having an excess supply Of
steel on hand after completing the per-
mitted construction, according to the
terms of the agreement, will bo re-
quired to turn over the supply to other
plants.
The agreement means the cutting Of
automobile production during the last
half of the present year at least so per
cent. The board in its letter refused to
make any promises concerning produc-
tion of passenger automobiles after
December 81, 1918, but reiterated it's
previous request that all plants get on
a war work basis before the end of the
year.
Stocks Greatly Unbalanced
The letter was signed by Alexander
Legge, vice chairman of the War In
dustries Board; j. L. Replogle, director
of steel supply, and George N. Peck,
commissioner of finished products, of
the board. After assertions that on
The basis Of reports furnished by auto
mobile manufacturers the stocks of
raw and Of semi-fnished materials ag-
gregating in value approximately $780,
cannot be liquidated until matched
up" with other materials in the manu-
facture of cars, the board says:
The conclusion has been reached
that it. is in the public nterst as well
as in the interest of your industry that
it be assisted as far as practical Bile
without interfering with the war pro-
gramme In the liquidation Of its stocks
now on hand, and to that end the pri-
critics decision of the War Industries
Board will accord a degree of prefer
ence designed to accomplish this re-
suit to all manufacturers of passenger
automobiles who will subscribe to a
pledge to be prescribed by the pr-
critics commissioner embodying in
substance the following:
THAT the manufacturer will limit
its purchase of materials, eQuipme mt
and supplies to such as are absolutely
necessary to match up its stocks now
/ on hand.
Maximum of 25 Per Cent
That its production of passenger
automobiles and all repair parts there
for shall not for the six months ending
with December 81, 1918, exceed 20 per
cent of its production for the calendar
year 1917.
"That it will conserve and economize
IN every possible way its stocks Of iron
and steel and their products now in
it's hands or that may come into it's
possession, and will release on request
Of the War Industries Board to such
other manufacturer of passenger auto
mobiles as may be designated by the
said board such of it's stocks as can be
utilized by such other manufacturers
and which are not required by it for
either the limited production above
specified or for war work.
"That it will from time to time rem
der such reports Of it's activities under
oath or otherwise, IS may be called for
I by the War Industries Board"