Evening star. [volume] (Washington, D.C.) 1854-1972, 1940-07-02
Europe Rearranging
lis Trade 10 Fiji Into
New Order, Nazis Say
Sweden to Multiply
Her Exports to Reich,
As Will Firms and Morse
D Y,OcHNrp

BY LOUIS p. LOCHNER,
Associated Press Foreign Correspondent.
BERLIN, July 1.-THE continent
of Europe is rapidly rearranging
itself economically to fit into a new
order, authorized German sources
said today.
AS an example they cited the
Swedish paper industry, which has
just signed an agreement to in
crease its exports to Germany Ave-
fold.
Almost all the output of the
Norwegian fishing, lumber and
metal industries is going to Ger
many, the German sources said, and
Finland has agreed to increase her
exports to Germany by rs per
cent over the figures for 1889.
Germany buys at stable prices
independent of world fluctuations"
one spokesman observed.
Death Blow to Britain Seen.
The German press interpreted
Rumania's remuneration of French
British guarantees as death blow
to Britain's influence in Southeast
ern Europe.
The Lokal Anzieger described
British political moves in the south
east as IAN awful flasco and a
warning to all peoples" adding,
however:
But who needs to be warned of
England today?"
(The British and French first
gave guarantees to Poland, then
to Rumania and Greece and
later, after war began, completed
mutual assistance pact with
Turkey. After Italy entered the
war on Germany's side Turkey
decided to remain out of the
conflict)
The Deutsche Allgemeine Zeitung
termed Rumania's action a "liqui-
dalton" of Britain in Southeastern
Europe.
Generally, the press continued to
print threats against England while
expressing satisfaction over Ru-
mania's move into the axis sphere
of influence.
Island Occupation Minimized.
Informed Germans took the posi-
ton the Nazi occupation of two
British Channel islands-Jersey and
Guernsey-did not strengthen the
offensive position against Britain to
any great extent, but viewed it as a
sign Of weakness on Britain's part
The authoritative commentary,
Dienst aus Deutschland, said British
withdrawal from the islands showed
the English are no longer capable
of protecting these islands in the
Channel with their air force"
German planes raided the North
Scottish port Of Wick, the high
command announced, while Nazi
fighting planes last night attacked
harbor facilities on Bristol Canal.
Guard Ship Reported Sunk.
It's communique said:
"On June 80 and July l, respec- ]
lively, the British Channel islands
of Guernsey and Jersey were taken
in surprise action by units of the
air force and occupied by shock
troops Of the navy and detachments
of the army.
"In the course of this action
German reconnaissance plane shot
down in an air fight two British
fighting planes of the Bristol-Blen-
helm type. In the course of armed
British coast guard ship was at
tackled and set afire off Torquay on
the afternoon of July /.
(Torquay is port on the Eng.
lish south coast of Plymouth)
Attack on Wick Harbor.
Another successful attack was
directed against the harbor of Wick
in Northern Scotland. On the night
of July IL our fighting planes again
attacked port establishments on the
Bristol Canal. Fires and explosions
were observed.
I'm the course of British air raids
on Northern and Western Germany
Monday night bombs also we're
dropped over Kiel, but only slight
damage was done. Some civilians
were killed.
Five enemy airplanes in all were
shot down by anti-aircraft batteries.
Two others were shot down by naval
anti-aircraft artillery during the
night attack on Kiel.
Three German airplanes are
missing.
THE number of enemy planes
shot down in aerial combat on June
80 and July l is greater than at
first indicated. 1t has increased by
to a total of 3d."