Evening star., 1941-08-05
u. ). and Dutch Study
Closer Trade Tie With
Netherlands Indies
Exchange Of Cotton Goods
And Aluminium Ore
Muy Offset Toxic Policy
BY BLAIR ROLLES.

The United States and the Dutch
governments are to explore ways to
bring this country and the Neither
lands Indies into closer economic
relationship, it was learned today,
in order to offset any damage either
of the countries might suffer
through the new Dutch-American
policy toward Japan.
E. G. Zimmerman, trade COM
missioner for the Netherlands In
dies in the United States and vice
chairman of the Netherlands Pur-
chasing Commission here, is to leave
Washington this week for short
trip to the Indies. planning to re-
turn within five or six weeks.
This trip is looked upon as the
first step in the development of the
prospective firmer tie between the
Indies empire and America. The
immediate result might be marked
Improvement in the size Of the over
seas market for American cotton
textiles. If present difficulties be-
tween the Indies and Japan result
in cutting off the supply of jap
anese textiles to the Indies, the
Dutch could buy 200, 100000 or 250,-
100000 yards of the cloth in the
United States.
America sold 11,326,000 yards of
cotton cloth, duck and tire fabric
In the Indies in 1910.
First hand Information.
Mr.. Zimmerman said he was going
to the Orient with no specific aim
in mind. but on his return he will
be able to supply the State Depart
mnt and the Dutch Legation with
flrst-hand information about the
economic influence which the new
concerted American Anglo Dutch
Far Eastern economic action is hav-
ing on the Indies, and-so far as the
Indies are concerned-on Japan.
The likelihood of cutting off
American exports of cotton to ia
pan as further economic squeeze
is already under discussion here
among representatives of the gov
ernments allied on the economic
front against Japan, which include
the United States, the Netherlands,
Britain and Australia, it was
learned. American cotton has been
q military necessity for Japan.
Mr.. Zimmerman pointed out that
sinse the war in Europe began, the
Indies have been concentrating their
buying much more in the United
States than ever before, but he
thought the ground had just been
scratched.
IN former years the United
States market has not been investi-
gated as it should have been," he
said. He thinks there are a sub
stantial number of articles obtain
able here in normal-non-w war
times, such as hardware and ma
chinery as we'll as textiles.
Bauxite a Vital Import.
The Indies have large bauxite re-
sources which have been going to
Batavia but which might be di-
verted to the United States if the
deterioration of japanese relations
with this country and the Neither
lands continues.
Importing of bauxite would be in
keeping with the sort of trade the
United States emphasizes in its
dealings with the Indies-critical
goods for defense needs. The chief
of these are tin, rubber and quinine.
Aluminium, made from bauxite,
would be a welcome addition to this
trio.
Imports of merchandise into the
United States from the Netherlands
Indies reached an all-time high val
uation in 1910, while exports to that
country from the United States were
the largest for any year since 1920,
the Commerce Department reports,
but the United States still ranks be-
hind Japan in the Indies trade.
New Information Needed.
In normal times the Netherlands
Is the biggest dealer with the In
dies, but Europe is closed market
today for the Indies.
The bauXite exports from the
Indies to the United States reflected
the general trend of increase, but
many more tons of the mineral
would be available to us if Japan
were cut off from the supply. The
United States bought 493 long tons
of bauXite in the Indies in 1888, and
1880 long tons in 1910.
The last first-hand report on the
Indies economic situation was
n l