Evening star., 1926-05-04
DANGER IN STRIKE
T0U. S. IS GRAVE
New Exports viii Not Make
Up for Loss of Most Valu-
able Customer
By FREDERIC WILLIAM VILE.

Great Brilains strike troubles con
tain the danger Of grave economic
consequences for the United States
The United Kingdom is far and ava
the biggest purchaser Of AmerIcan II
goods in the world Any prolonged
paralysis of British purchasing power
would make itself seriously felt II,
this country. The effects "Wouin
stretch from the cotton fields or Dlx1e
to the whest fields of the Middle
West and manifest themselves In every
industrial center OF the country IN
1925 John Bull bought Sl.o31sO0.ooo
worth of raw materials and manu1ac
lures from the United States. lie
ranlis first among the nations In our
export trade. taking more than one
fifth of the total.
1t is the threatened dislocation OF
this valuable business with Great
Britain that is giving Washington
the most earnest food for thought In
connection with the industrial crisis
in that country. Our business with
the British has grown by leaps and
bounds during the past few years ~
is almost double the pre-war volume
While America is bound TO proht
tempOra riiY by replacing British eX-
ports TO markets 10 which they can
not he supplied. adva images in fha1
respec; cannot begin to make up Tor
the irt eruption of our regular sal
to the United Kingdom. America
business men captured large amounts
of this "repla cement trade while the
British were preoccupied in the World
War. But it is an ephemeraI trade
and on the present Occa sion "a nnot
compensate for what We shall be
losing.
May Take Coal Trade.
Coal is one of the important com
modities which American exporters
may be called upon to supply 10
purchasers ordinarily supplied from
Great Britain. British coal Is ship
ped all over the world. 1t is one
Of the basic factors In the British
shipping industry F'reights 10 west
ern European ports, including British
ports and the harbors OF France, Ger
many. Belgium. Holland and Italy
are always low, because incoming
ships are practically assured OF
profitable outgoing British coal car
goes for all parts of the world. Coal
therefore. in very real sense. Is
vitality necessary TO British economic
well being. It not only keeps the fires
Of British industry going, but Is essen
tial to that maritime trade which for
centuries has been the foundation OF
Britain's commercial prosperity 1t Is
well within the range OF possibilities
that regular coal cargoes presently
will he leaving Hampton Roads and
other Atlantic ports TO supplant the
fuel no longer coming out OF Briush
mines.
Every country that sells the United
he ~
bv the slump in British purchasing
nower in ase of A. prolonged indus
trial uphea val Canada is a great
source of British food supply. The
hulk of the meat eaten in the British
Isles comes from Argentina. Other
Central and South American coun
tries are heavily dependent upon the
British market The same thing, ol
course. applies to the European coun
tries. all OF which sell the Britisr
large quantities of their manufac
tured specialties.
Exchange Closely Watched.
The United States Treasury and
America n financiers generally Will
watch the movement of sterling eX-
change as the feature of most direct
interest to them. The English pound
for a long time now has hovered
around par. but any very extended
decentralization of British life and bust
ness will inevitably and drastically de
press sterling exchange. 1t might
not be possible. under adverse eco
nomic conditions, for the British gov
ernment to maintain the gigantic In
terest payments it has TO make us
on the World War debt. These pay
ments. which the British to date have
met with unfailing regularity. amount
to something more than 81 $50 900 g
month. or about $375,00 day. IL
John Bull is industrially crippled FOR
any material period of time, his f.
nancial relations with the United
States Treasury would almost certain
ly be affected.
A British official in Washington tells
this writer that the United Kingdom
Is probably far better equipped to meet
the menace of a general strike than
Is popularity understood abroad. Five
or six years ago. on the occasion of the
British railway strike. the government
organized a volunteer transportation
service that functioned very effective
ly in the delivery of food supplies
throughout the country. Since then
1t is explained. this service has been
Systematically extended and can be
utilized in case the present emergency
assumes dangerous dimensions. The
British authority here quoted does not
minimize the grave possibilities of the
situation Undoubtedly" he. says
"it contains the seeds of revolution
or fascismo."
tCopyright. l926l