Evening star., 1939-12-31
U. S. Proves Strength
Of Economic Weapon
By OUen L. Scott.

nation is Japan, and her troubles are
due to the diplomatic skill, luck and
daring Of President Roosevelt.
The Japanese got rough with the
United States in the Far East. They
applied their we'll known technique Of
stepping deliberately on American toes
and then of apologizing. The obvious
expectation was that this country would
soon tire Of having its toes stepped upon
and, like the British, would decide to
step aside
In this expectation, Japan is sadly
disappointed.
Not only is Japan sadly disappointed,
but she is badly frightened and Is very
neatly cornered as we'll. Now it prob
ably will be the turn of the Japanese to
step aside to avoid having their own toes
trod upon by the United States.
The formula for table turning has been
quite simple. .
Mr.. Roosevelt merely decided about six
months ago-after Japan had shown a
disposition to become increasingly hard
boiled-that, if this was to be the Japa-
nese game, there was no reason why the
United States should continue to main
tain friendly trade relations with her.
Consequently. the Japanese American
trade treaty was denounced, effective
January 26, 1940
Japan was interested in this denunci-
alton, but, at the time, not particularly
concerned.
Military leaders IN that country had
become accustomed to having their
way They figured that II the United
States wanted to impose difficulties in
the way of trade, Japan merely would
need to shift her purchases from the
United States to Germany or Italy or
elsewhere. The obvious expectation was
that the very thought of a trade loss
would result in pressure enough to cause
the United States Government to change
its mind and to speed negotiation OF. an
other treaty.
But here the Japanese guessed wrong.
In the first place, China is proving a
much more dithcult problem than Japan
had expected. The military adventure
there is costing heavily in Japanese re-
sources and is producing few returns
from the immense investment in effort
and in goods. The result has been q
heavy drain on the national strength.
In the next place, Europe went to war.
At first, this did not seem to be so bad.
Germany still was interested in export
ing machinery and other goods. Wood
pulp was readily available for Japan's
biggest export industry-rayon. But
then Britain frightened her embargo to
include exports from Germany. German
and Russian operations cut OF a large
part Of the wood pulp supply from Scan
dinavian countries. Vital supplies for
development of Manchukuo and for the
continued operation OF japanese indus
try were threatened.
The United States already had i'm
posed moral embargo" on export Of
airplanes and airplane parts to Japan.
Suddenly the Japanese awoke to the
fact that only in America could she OBJ
tain those supplies that are vital to the
operation Of japanese industry and to
the prosecution of war in China as well
as to the development Of Manchukuo.
With that awakening came a realiza-
ton that the trade treaty assuring ac.
cess to the American market on most
favored nation" basis was abrogated and
about to expire.
The chagrin of the military clique in
Japan can be realized.
Here was the nation that the japanese
military delighted in insulting suddenly
| possessed of the power to turn the tables
and to do some Furnishing herself. An
act Of Congress boycotting imports Of
| japanese silk, or an act of Congress bar
ring export Of oil or machinery or scrap
iron or lumber or cotton to Japan, or a
mere word from the President imposing a
moral embargo on certain key exports
could just about wreck the japanese ma
ton economically.
Rulers Of Japan quickly became fright
ened and began to make overtures to
the United States. This was time for
fast apologies and for promises to be
good in the future.
There Is nothing to suggest that Presi-
dent Roosevelt is going to take advan-
|
to embarrass Japan. But neither is there
anything to suggest that Mr.. Roosevelt
is going to be in q hurry to give the
Japanese what they want in exchange
for promises that can lightly be forgot
ten in the future. If Japan wants to
talk real business and to implement the
talk with guarantees, she doubtless will
get friendly hearing.
AS final gesture, the Japanese gov
ernment is talking about trade agrees
ment with Russia that would represent
defeat for the United States.
Actually, Russia can give Japan very
few of the things she needs. Russians
are having troubles of their own and
they do not possess either the skill or the
productive facilities to turn out those
products that Japan has to have in her
present situation.
The fact of the matter is that Amer
ican diplomats, for the first time in q
long while, are in a position to enjoy
the thrill of having turned the tables
on another nation that tried to get the
better of the United States The discom-
fort on the part of Japan is fully appre.
ciated.
It is the use c1 the economic weapon
that lies at the bottom of present Amer
ican foreign policy.