Evening star., 1932-02-07
MANCHUR|AN TRADE
GAINS REPORTED
Additional Capital Invested
in Japanese Industry, US.
AttaChe Cables.

Japan is losing no time in placing
Manchuria on firmer commercial basis,
the Department of Commerce was in
formed yesterday by its representative
at Toxic.
Within month after the Chinese
troops retreated behind the Great Wall
after the fall of Chinchow, Commercial
Attache Halloch A. Butts said there has
been noticeable increase in shipments
TO Darien Of machinery and general
construction material.
ms would seem to indicate, Butts
Sald IN his cabled report, that "addi-
tlohal capital is being invested in jap
aheSe industry in Manchuria" Darien
Is one of the principal industrial and
rallroad cities in this vast undeveloped
country.
Inc machinery and coal industries In
Japan, Butts declared have not been
affected as have the silk and textile in
dustries because of the Shanghai in
VaSlon Activity in the iron and steel
industries also has continued brisk. with
increased prices f,Howing the renewal
OF the gold embargo, he said. The en-
bargo was placed when Japan went off
the gold standard on December 13 last.
Sugar Mills Closed.
Butts reported that the sugar mills in
Osaka, one Of Japan's leading industrial
centers have closed down because of
the lack of demand from Chinese
sources.
The boycott against japanese goods,
which has been in effect since Japan
made its Il demands on China in 1928
and which is one Of the principal causes
Of the Shanghai invasion, has failed to
lessen its grip throughout China, The
commercial attache said it has been
noted in Toxic that trade with China
proper shows no Improvement"
The Japanese government Is renew
ing its $40 100000 6 per cent bonds, due
March Is, and new issue of 63 per
cent 5-year bonds is anticipated, Butts
said. The Industrial Bank Of Japan
is floating S7,500,000 per cent deben-
lures at 90 for five years redemption,
and also S7,500,000 6la per cent deben-
lures at SO for five years dreemption,
he added
He said banks generally are restrict
ing commercial drafts on Shanghai
shipments.
Simultaneously with the receipt Of
Butts cable came one from Commercial
AttaChe Julean Arnold in the strife-torn
city of Shanghai, placing the damage
to the business section by the warfare
between Chinese and Japanese troops at
about 2,5OO0 000
S3,250,000 Press Loss
Arnold said the loss accruing to the
Commercial Press, the largest printing
house in China and which was COM
pletely destroyed by she'll fire, is placed
at s3,25OO0O
Meantime a continuing demand in
Japan for American cotton was re-
ported in an Agriculture Department
survey of foreign markets.
Consul Donovan at Kobe said there
was a general opinion among importers
that Japan might purchase 100000
more bales of American cotton if the
price situation remained favorable.
Along with the increase in japanese
buying went a corresponding gain in
Chinese purchases.
Heavy Buying Explained.
The department in its survey said
that during the six months ended De-
Cember, 1881, exports to the two coun-
tries amounted to 1,71800O bales, or
&C per cent of total cotton exports
from the United States. Of this total
China bought $4,000 bales. heavy
increase over the corresponding period
OF the year before.
From July to January Is. 1882, the
department said, cotton shipments to
Japan reached 1,097,00O bales, against
$4,000 bales for the same period in
the preceding cotton year.
Although cotton is regarded as a
principal munitions ingredient, Com
mercial Secretary Yasuto Shudo of the
Japanese embassy stated the heavy pur-
chases were due to japanese manu-
facturers taking advantage of the low
market here.