Evening star., 1942-04-25
i.5een Ouibuldinq
Both Germany, Japan
In Ships and Planes
Senotor BoiIey Discounts
Reports Of Delay in
Cargo Vessel Prosrom
D, the Associated press.

~ the Associated Press
Discounting reports that the mar
itime construction program waa
tagging seriously, Senator Bailey
Democrat, OF North Carolina de.
clared today that the United Ma
tions were fast forging the weapons
which would smash the Axis by out
building Germany and Japan In
ships and planes.
Senator Bailey, chairman OF the
Senate Commerce Committee which
handles merchant matters, said his
investigation had convinced him
that the cargo ship construction
program was going ahead rapidly
despite hindrances In the form OF
materials shortages and some labor
disturbances.
He pointed to a recent report that
the United States alone produced
$500 military planes last month
was making tremendous production
strides.
Calls Conveys Successful.
I'VE are going to beat the Axis
by producing enough ships and
planes to smother Germany and
Japan" Senator Bailey told report
ers. We're going TO have the ships
to carry the war equipment and the
men. and we are going to have the
planes TO protect those ships and TO
blast the enemy of the seas"
Asserting that the convoy system
Of transporting materials to Eng
land and Russia had proved highly
successful, Senator Bailey said he
regarded submarine sinkings along
the Atlantic coast as disturbing but
not yet serious threat to the war
effort.
Their chief affect. he predicted,
would be on the civilian economy,
requiring the rationing of gasoline
and other measures of that nature
Contrasts Tonnage Losses.
When YOU regard our shipping
losses with those of Germany and
Japan" he said. they become small
In comparison. Japan probably has
lost l.000, 900 tons of her 6,000,0 ,000
tons Of shipping since she entered
the war and Germany, In more than
two years Of war, is estimated to
have lost 5000 600.
The President has fixed 5000 900
tons rs our cargo ship construction
goal for this year and I think we
are going to reach it,"
The President told his press con-
ference yesterday that any lag in
the cargo ship construction program
was traceable largely to excessive
diversion OF steel to civilian uses.
Previously, Chairman Emory S.
Land had complained that the Mar
itime Commission had backlog OF
orders for 1863 900 tons of steel which
it had been unable to obtain. The
President said plans were under way
to increase the capacity of steel
mills turning out shipping plate.
President Doubts Loafing.
While Land said he was ''peeved"
1t some of the loafing he had found
among. shipyards workers, the Pres
ident said he did not think that
practice had been responsible for
any appreciable lag in the program.
The President. In his remarks on
shipbuilding at his press conference
yesterday, said that the entire war
production program is going ex-
tremely well. He indicated, further,
that present tremendous goals might
be expanded as the needs arose.
Shortly after the President spoke
Budget Director Harold d. Smith
reported that the program had been
speeded up to an estimated $28,-
000,000,0 900 this fiscal year and to
$4,000, ,000. 900 in the next fiscal year
beginning July l.
Attributing these revised figures
to q better-than-expected rate of
war production, Mr.. Smith said they
compared with previous estimates
Of $26 900 900 900 for the current
fiscal year, which ends June 80, and
SIS 900 900 900 for the next year
Huge Spending Increase.
Mr.. Smith said that weekly cash
outlays for war already have in
creased from $409 900 600 In the
week of Pearl Harbor to $500, 600, 900
per week.
This month war will cost $3.000,-
o00, 900. In June, he said, it will cost
$500. 900. 900. and by September
monthly costs will be about $5,000,-
100000 per month and still going
up"
Considering non-war expenditures
and other factors, MIR. Smith point
ed out that existing tax laws would
fall short of financing the Treasury
in the next fiscal year by 56,223,-
000, 1000. He explained that the fig
ures he announced were prepared
especially at the request of the
House Ways and Means Committee.
which is studying the Treasury's
request for $500, 100000 of addi-
tional taxes.