The Nome daily nugget., 1935-12-02

where they will make 1t easier to divert to Japan much of the traffic in goods which has passed through Siberian cities, particularly Vladi- vostok, which now must depend al- most entirely upon inland Siberia | for its trade. New railroads planned | for construction will make even the far reaches of Manchukuo readily accessible to Japanese commerce. | Japan also built 4,500 miles of roads in Manchukuo in 1883 and 1884, and schedules call for 2,500 miles an- nually in the years to come.
 Last year Manchukuo became Ja- pans biggest export market, taking IS per cent of the exported goods. The value of these exports grew from more than 75,000,00O yen in 1881 to more than 400,000,OO0 yen in 1884. This has confronted Japan with a serious economic problem, however, for if exports of goods to Manchukuo have grown, so have exports of capital. Japans capital investments there were 99,000,00O yen in 1882 176,00O000 yen in 1883, and 237,O00,000 yen in 1884. The cost of military occupation in Man. chukuo is about 150,0O0,O0O yen an- nually. A balance of trade will have to be effected if Japanese invest ments are to be secure.
 c. Mn INt Asc 4,S00,0O0,00O tons of coal reserves, and the areas iron which Japan wants. She is honestly desirous of maintaining more peaceful and civ ilized conditions in Manchukuo. where the preceding rule was cor rupt and oppressive. While she has admittedly improved the country, she is not so popular with the na- tive population, probably because of her desire to acquire more high posts in the administration and in business than is seemingly neces- | sary.
 America Chagrined. Naturally, America has been cha | grined by the Japanese abrogation of noval treaties and insistence on naval parity, and has been offended by the Japanese policy of forcing out foreign oil companies in Man. chukuO. We, along with Great Brit. ain and other nations, have been provoked at her interference in China and visualize the suffering of our trade. But Americans have only about $2OO,OO0,0OO invested in China. Great Britain has six times as much, Japan little less than Great Britain.
 Our export sales to China in 1883 amounted to nearly $52,00O,OOO or approximately per cent of our total exports. We exported S143,. 100000 worth of goods to Japan in the same year. If we were to go to war with Japan the value of our Chinese export business would van. ish in no time. The expense would paralyze Japan economically and destroy our best customer in Asia. The Japanese people are probably much more excited over our recent naval maneuvers in the Pacific than we are over their policy in Asia. Influenced by press which speaks only with the voice of Tokyo, they feel that we plan to carry out our Far Eastern policy with an armed force, and that the fact that we de. mand stronger navy than Japan's is evidence that we want to be equipped to carry on an offensive in the Pacific and have no inten tiOn of fostering world peace by l limitation of armaments.
 Japan, with her withdrawal from the League of Nations and her abro gation of armament treaties, has openly showed her disgust and dis interestedness in European affairs tivities entirely to Asia. But she cannot forget Europe entirely, be cause of the interests of European nations, particularly Great Britain in her vicinity.
 More than anything else JapaI fears an Anglo-American agreement which would form a potential uniOI of the two greatest navies in thu world. The great puzzle is whether such action would avert or bring or serious crisis.
 Trouble which is brewing in Flu rope may come to head. and If does, this will command most of thu attention of European powers. Ja pan will then pursue her aggressive Asiatic policy more intensely, a she did during and immediately fol lowing the war.
 But Japan harbors no illusions ruling the world. All she is con cerned about is Asia, particularly eastern Asia.
 @ Western Newspaper Union.