The midland journal. (Rising Sun, Md.) 1885-1947, 1938-10-28

BRAZIL'S PRESIDENT VARGAS
His door is closed to Germany.
can now be regarded as serious
threat to u. S. commerce. Of the
two, Germany will be a greater
threat because she has adopted an
aggressive foreign expansion pro-
gram, moreover because her new
Sudeten territorial acquisitions
bring glassware, leather and tex
tiles into the Reich for export sale.
Focal point of German expansion
will be Latin America, which last
year gave the Reich IA per cent of
its trade, compared with 34.7 per
cent to the U. S. In this trade war,
it has become apparent the U. S.
will attempt to sell South Ameri-
cans on democracy, while Germany
sells them Naziism. Today, as the
war gets under way, the U. S. ap-
pears to hold an upper hand.
Long favored in South America
through her Monroe doctrine, the
U. S. has just helped preserve West
ern hemisphere peace by joining in
settlement Of the ,100-year-old Chaco
dispute between Paraguay and Bo-
livia. Indirectly, the u, S. could
place another feather in her cap
when Brazil called home its ambas-
sador to Berlin, apparently break
| ing off diplomatic relations with the
Reich. This is President Getulio
Vargas answer to Chancellor Hit
ler's efforts for Brazilian NaZifica-
ton. Il
Aiding the U. S. will be increased
domestic desire to woo South Amer
lea. Already campaign is under
way to boost our consumption of
South American goods.
| A natural result of this activity
has been growing American disin-
clination to complete the long-pend-
ing U. S.-British trade pact, a senti-
ment resulting from the rebirth of
| isolationism which followed Mu-
nich's peace treaty. The greatest
stumbling block is that isolationism
calls for strengthened trade rela-
! tons with Canada, plan blocked
| by Great Britain's renewed efforts
| to tighten her dominion bonds. A
u. S.-Canadian trade treaty is bound
to hurt American agriculture;
u. S.-British treaty will hurt Amer
lean manufacture. Therefore econ
omists are betting the ''most IA
vored nation" agreements now
| pending with Canada and Britain
| will never be consummated.
Meanwhile, Germany is cocksure
of her position. Busily fitting from
one European capital to another,
Economics Minister Walter Funk
has completed bilateral accords
based on barter of goods with sew
eral Balkan states. In this way the
Reich hopes to increase its econom-
ic orbit. But when Minister Funk
| enthusiastically announced he would
next attempt a barter treaty with
the U. S., state department officials
made it clear that optimism is un-
founded.
Races
Though Arabs hoped Great Brit
ain would give them Palestine for
helping defeat Turkey in the World
war, Lord Balfour's declaration end
ed in establishment of national
home for Jews in the Holy Land.
Bitter Arab-Jewish strife has result
ed since 1928, while world Jewry
has invested $685., ZOO, 900 and sent
home 400, 900 Hebrews to the ''prom-
ised land" Today, encouraged by
Franco-British weakness in the face
of Jew-hating Germany and Italy,
Arabs are rising again. Determined
to settle the problem, Britain's
Prime Minister Neville Chamberlain
is repeatedly considering restriction
of Jewish migration to the Holy
Land, or even complete return of
/ Palestine to the Arabs. If Britain
does either, she will arouse world
protest, which is already rising
among influential u. S. and British
Jews. Before Britain can vacate
the Balfour declaration, she should
get u. S. assent, which is not apt
to be forthcoming. To 60 ahead
without that nod of approval would
mean a serious strain of U. S.-Brit-
ish friendship, something which
England needs badly right now.