Evening star., 1928-01-29

LIldL We are consuming some bU per CSIfs
OF the worlds annual output. We are
not really giving 50 very much more
than we are using.
United States Investments Abroad.
1t is also TO be noted that we do not
ourselves hesitate to 90 into foreign
lands and that our total Of investments
in the oil business abroad has now
climbed TO the impressive height OF
probably $500. 900 600
Finally. on this point Of the inter-
dependence OF the oil interests Of the
world, We may note that according TO
information received by our Department
Of Commerce. the Standard Oil Co Of
New Jersey and the Royal Dutch Shell
interests are bidding Jointly instead G
comparatively for large oil concession
in Chile
We might thereupon rush TO new
haSty conclusion; and, instead of see
ing horrible conflict between the
United States Government on the one
hand and the British and Dutch gov
ernments on the other, We might see n
great peaceful omnipotent monopolistic
international oil trust"
That bogey, however turns out upon
inquiry To be just as merely and purely
sensational and yellow and Just as
empty OF serious sober truth as tn.
other.
The reason is that We have re-estab-
Hshed competition in the oil business of
the United States; and our competitive
conditions here have extended them
serves into the world and have broken
the idea OF an international oil trust"
10 pieces.
That is the truly dramatic element in
nrPESnr ha M .-{N
national oil situation.
The upSetter for the moment Is the
Standard Oil Co. OF New York. II be-
naVes just about as competitively as II
/ us name were not Standard" at al.
Cause for Oil War.
Our Federal Trade Commission has
recently surprised itself by discovering
and establishing the fact that this
Standard of New York competes for
oil business against the Standard of
California on the Pacific Coast and
against the Standard OF New Jersey in
Texas and Arkansas.
The present oil world war is due SIM
ply 10 the circumstance that what the
Standard OIL Co. Of Uew York does at
home in the war of competitive combat
1t also does abroad
Abroad II sees its eX-friend the STAN
dard Oil Co. of New Jersey lined up
hand-ln-g glove with the Royal Dutch
Shell interests of London and OF The
Hague not only in the Dutch East In
dies and in Chile. but in western Eu-
rope and especially in Russia.
The Royal Dutch Shell interests and
the Standard OIL Co. OF New JERSEY are
the two great holders today OF the pri-
vate Russian oil rights and securities
and properties that were confscated in
Russia by the present Russian Bolshe-
viS government. They are the two great
influences today in western Europe
prociaiming that nobody should buy
from Russia any of RuSSias stolen
oil" They are. technically, the right
tul. lawful owners of most OF that oil.
They naturally think that nobodv
should hand money 10 the BolsheviSls
for it.
But what wonderful opportunity Is
thus presented not only TO the sense
OF competition. but also TO the sense OF
hQnlor OF the Standard OIL Co. Of New
York
That company proceeds to buy from
the BolSheviks. cheaply. the oil which is
claimed by the Standard Oil Co OF New
Jersey and oy the Royal Dutch Shell
interests, and IL proceeds 10 sell that
southern Asia in direct competition
with the oil OF the Royal Dutch Shell
interests from the Dutch East Indies
II has done this 80 well that It has
already compelled the Burma Oil Co.
which IS an ally OF the ROYAL Dutch
Shell interests, 10 pass a dividend ana
10 demand that the government OF
India shall put up q tariff against Rus
sian oil.
Competition Is Keen.
The Royal Dutch Shell interests ant
the Standard OIL Co. Of New York vert
already the TWO outstanding compesi.
iorS IN the sales O. keyosene throughou'
the Orient In China the Standard Or
Co. ot New York now takes advaataxs
ot Chinese eoycottS o. British EoodS
IL India and in western Asia IL takes
advantage OF Russian oil With its 2ip-
plies from Russia il even establishes
hUuSsrlng stations at Port Said In
Egypt and sc Colombo IN Ceylon and
offers fuel oil 10 British and Dutch YES
sells which are travelling from port to
port OF the British and Dutch empires
Whsreupon the world rocks with the
rage and the cost Of the struggle; and
the ROYAL Dutch Shel. interests put
their ENORMOUS losses into one pocket
and pail erldlsSS indignant moral mani
.eStoeS out % the other. and the Specter
of an international oil trust" - dis
solved. and the fundamental political
lesson FOR Americans Is that the whole
thins gNeS back 80 the new American
competitive system and - the 5ISScla-
ton Of gne Standard OH Trust 81 the
United States into competitive units BY
decree os the Uaited States Supreme
Court IL the year 1911.
sCnaV~tEat 1921