Evening star., 1940-12-08
beth|ehenJoins
Growing Parade
Of Expansion
Hundreds of Millions
Will Be Spent by
U. S. Industries
By FRANK MacMILLEN,
Associated Press Business Writer.


Bethlehem Steel Corp. announced
this week an s18,000,000 plant ex-
pansion program embracing such
basic steel materials as pig iron and
coke it threw the searchlight onto
plans involving hundreds of millions
of dollars which must be spent in
coming months to fit American in
duStry for maximum defense produc.
ton some time in 1912
Some of these plans are already in
the contract stage, others are still
guarded blueprints in the honds Of
production men in hundreds of big
plants throughout the country.
But the fact that the two largest
makers of steel, the very sinews of
war production have now an
nounced tonnage expansion appears
particularly significant.
When the Tennessee Coal. Iron &c
Railroad Co, big United States
Steel subsidiary at Birmingham,
Ala, announced last month a build
ing program there. it marked the
first important addition to the basic
steel producing capacity of the
country since the boom years of the
twenties.
Holds Second Place.
Now Bethlehem. the second largest
factor in the industry. with over
81 900 900 900 of untitled orders on its
books. much of it for naval construc.
ton. has joined the parade.
Iron Age. in a special survey Of
the industry this week, revealed
plans now under way will add 1900.
900 tons to the open hearth steel ca
pacitv of the country. with corre-
spending increases in rolling and fin
ishing capacities Trade sources CAL
culate present annual capacity at
30 900 900 tons. which might be
pushed TO 100000 tons under pres
sure.
In shipbuilding. too. the prospect
for an increase in facilities grew
as Great Britain announced a pro-
gram Of freighter construction in
this country covering some $50 ves-
sells.
While much Of the work was to be
pre-fabricated in inland plants. ship
ping men said additional yard facili.
ties was certainly required, on both
the East and West Coasts
Final figures for November on
engineering construction awards.
which reflect currently principally
factory construction, showed that
work already in the contract phase
is of record proportions with plant
building for defense still in its early
stages.
The months total. 1882 724.0Oo
was the greatest for November aa
record
New Gains Predicted.
And from Wall Street and Wash.
ington came promises the total
would continue to swell There has
been a rush at the Offices of the
| Securities and Exchange Commits
| sion to register new securities issues,
most of which will reach the market
early next year.
While part of the offerings will
be refundings, to take advantage of
present low-money rates, a SUBJ
stantial proportion. it was said, calls
Tor the raising of new" money
which will flow into factories for
defense.
One clue to the amount of plant
growth to be expected in coming
months was given at the annual
meeting Of the Aeronautical
Chamber of Commerce. principal
trade organization of the plane
makers.
Col John H. Jouett, president Of
the organization, noted that while
the industry had already spent s83,-
100000 to expand plant facilities for
defense work, further s232. 900 900
OF new construction was already
under contract.
While these evidences as to the
amount of fuel waiting to be fed
into the business machine in the
next few months piled up, there
were indications that, for the mo-
ment, the industrial curve might be
f1attening after its month of climb.
ing.
A. p. Index Dips.
The Associated Press index OF
industrial activity dipped a bit this
week, in the first decline since the
beginning of October.
Main factor for the moment ap-
peared slackening of automobile
outturn after the busiest autumn
in years, as most makers passed the
peak of their fourth-quarter busy
season. But trade quarters said any
drastic falling off appeared out of
the question for the time being.
In other lines, notably in steel
plants going at practical capacity
appeared ripe for a breathing spell
as taxed facilities came down for
repair.
To drive production much above
present levels in many lines ap-
peared scarcely possible, at least
until some of the additional capacity
now in the brick-and- mortar stage
becomes actual producing entities,
IN many cases, particularly of steel
plant building. that goal appeared
to be as far away as mid-1942, even
II no unforeseen delays or labor
and material shortages develop