Evening star., 1941-01-18
Knudsen Predicts Speeding Up
In Aiming, but No Great Aid
To Britain Until Late in Year
Program Is Going
Along 'FoirIy WeII,'
He Tells House Unit
BY J. A. O'LEARY.


A gradual speeding up of the ma
tional defense output as heavy
machine tools are completed was
predicted today by William S. Knud-
sen, director of the Office of Produc-
ton Management, testifying before
the House Foreign Affairs Com
mlttee on the lease-lend bill for aid
TO Great Britain.
The broad d-shouldered, genial in
duStrialist told the committee he
believes the defense program is
moving along fairly well" and that
the real showing will come when the
manufacturing tools are completed.
Mr.. KnudSen said it would be
late l94l before this country could
supply any great amount" of aid
70 Britain under the lease-lend bill
'unless we take products out of
existing facilities"
He recommended passage OF the
legislation to lease and lend NUM-
tions of war TO Britain for her fight
with the axis powers, on the ground
that this is part Of our own de-
fense."
Silent on Repayment.
Mr.. Knudsen avoided efforts Of
Republicans on the committee 10
draw him into discussion of how
England should repay the aid, re-
minding his questioners that his
job was to get the instruments Of
defense made.
80 far as continued aid TO Great
Britain is concerned, the difficulty is
lack of dollar exchange, is it not?"
asked Representative Chipperfield,
Republican, of Illinois.
IT think that's So" Mr.. Knudsen
replied.
Then why not Just repeal the
cash provision of the Neutrality
Act?"
of course, you can do that" the
witness answered.
Why wouldn't we accomplish as
much, then. by repeating that and
the Johnson Act?"
Before Mr.. Knudsen could reply,
Chairman Bloom interrupted, in
sisting that there is no mention of
cash in the Neutrality Act Finally,
however, he permitted the question,
and Mr. Knudsen said:
Il don't see any difference, sir,
between this act and your state
ment"
Can't Answer That One.
Exactly" continued Mr.. Clipper
field. so we could then do without
giving so much authority to one
mani"
Mr.. Knudsen drew laughter from
the crowd, when he answered with
a smile:
Il can't answer that question
sir. That one man happens to be
my boss"
Chairman Bloom announced at
the start Mr.. Knudsen had no pre-
pared statement. so the committee
began at once with cross-examina-
tion.
DO you believe. as an extremely
successful business man, American
people are willing to make these
supplies for Great Britain without
specific. ear-marked collateral?"
Representative Rogers, Republican,
of Massachusetts, asked.
I'm not in the finance business.
NY Job Is to make 1t, Mr.. KnudSen
answered
When pressed for his opinion,
Mr.. Knudsen said, its nice to have
collateral, but aren't We beyond
that situation?"
II think we are doing this to
protect the United States" he added.
Postwar Readjustment.
When Representative Mundt Of
North Dakota wanted to know If
the manufacture of part of England's
war needs in the United States
would not increase the problem OF
economic readjustment after the
war, Mr.. Knudsen answered:
Il never knew war that didn't
bring an adjustment afterward.
How wisely We conduct ourselves at
that time will determine the extent
of the readjustment, but at the
moment that seems TO me to be a
secondary question"
Pressed as to whether co-opera-
tion could not be worked out to
manufacture both British and
American war orders without this
bill if England were able to con-
tinue cash buying, Mr.. Knudsen in
sisted that even in that event, the
(See LEASE-LEND, Page A-5)