The Laurens advertiser. (Laurens, S.C.) 1885-1973, 1921-04-20
OF RELATIONS
WITH SOVIET FAR OFF

| NIln SUfVEE EAh OFf
Hughes Tells Gompers That U. s. Can.
not Resume Relations Mt Present
Time
| Washington, April 17.-Secretary
Hughes, writing to Samuel Gompers
president OF the American Federation
Of Labor, who asked for a statement
OF "the facts" regarding Russia, indi-
Gates definitely that there is no pros
pcct Of u resumption Of relations with
| the United States while the Soviet po-
litical and economic system remains
The letter of the secretary of state
makes direct reply to various state
mcnts characterized as propaganda
which contend that resumption Of re-
| lations, trade or political. with the
| S0viets would open great current Of
trade OF advantage to the United
States and that large shipments OF
Russian gold have already been made
to other countries in payment for
goods.
Soviet Russia. Recretary Hughes de-
clares, Is a "gigantic economic vacu-
| um," and he adds that mo evidence
exists that the unfortunate situation
the present political and economic sys-
TEN continues"
Taking up specifically the charse
that the scarcity OF goods in Russia is
due to the blockade which was re-
moved July 8, 1920, and the statement
| that the demand for manufactured
| goods in Russia is SO great and the
| purchasing power Of the Soviets sc
vast that 1t is almost impossible tc
| determine the capacity Of the Russian
market for imports Secretary Hughes
wrote:
Though there is almost ne limit tc
the amount and variety OF commodi-
ties urgently needed by Russia, the
purchasing power Of that country is
now at minimRm, and the demand
has consequently to remain unsatis-
fed. The attitude and action oi
the present authorities Of Russia have
tended to undermine its political ant
economic relations with other coun.
tries. The Russian people are unable
to obtain credit, which might other.
wise be based on the vast potentia
wealth OF Russia and are compelled
to be deprived OF commodities imme
diately necessary for consumption
raw materials and permanent produc
| tive equipments 1t should no.
be overlooked that there has been {
steady degeneration in events and in,
dustries in Soviet Russia that were
not dependent upon imports Of either
raw material or partly finished pro
ducts nor in which has there been an!
| shortage Of labor. There can be
no relation Of the failure Of all these
industries to blockades or civil war
for most Of them require no imports
and the men mobilized since the So,
Wet revolution were far less in mum.
bcr than before the event.
Restrictions on direct trade with
Russia were removed by the United
States on July s. 1920 The conclu.
sion OF treaties Of peace with the Bal.
tic states enabled Russia freely to en-.
ter upon trade with Europe and the
United States. Both American ant
European goods have been sold tc
Russia but the volume OF trade has
been unimportant, due to the inabil
ity Of Russia to pay for imports.
1T Is true that agents purporting
to be representatives Of the so-callet
Bolshevist commissariat Of foreign
trade have placed immense orders fol
the purchase OF goods in the United
States, Europe and Asia. 1t is csti
mated that perhaps six and e-hall
billion dollars worth OF orders have
been booked But, shipments as re,
suit OF these orders have been made
only in small volume because the So
Wet agents were unable either to pay
cash or to obtain credit so as to in.
sure the delivery OF the goods order
ed"
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