Evening star., 1942-04-19
'GenerdISqueeze
In Materials
Faced byU.S.
Bosic Supply Problem
To Reuch For Into
National Economy
BY FRANK MacMILLEN,
Wide World Business Writer.

NEW YORK. April is.--An over
all bottleneck," a general squeeze In
the absolutely basic materials of tn=7
dustry may be one of the growing
problems of coming months. many
industrial observers here have con-
cluded.
This sort OF obstacle 10 produe-
ton, these observers point out, Ia
very different from the mere In
ability to produce sufficient guam
tity of specific war materialS-say.
machine guns, plane motors, tanks,
brass shell cases.
Problems OF the latter sort have
been attacked one at a time and
largely ironed out and men close
to the industrial picture appear
happier than for months in the
belief that the individual bottle
necks are being broken.
They point to cases of complete
cure for engines held up for lack
OF few bronze bushings; shell cases
unmade because it took time 20 sub
Stitute steel for brass; aluminium
castings retarding plane schedules
because the dies did not exist to
produce them in sufficient quantity,
Shortages Increase.
But from Washington and from
the plants on the industrial firing
line evidence appeared TO be piling
up that the supply Of some sort OF
basic materials was growing tight
despite curtailment or complete ces-
sation of their use for civilian needs.
To many industrial men the de-
veloping situation appeared TO mark
new phase of the war effort, far
removed from the guns-or- butter
choice that seemed logical q few
months ago.
Now, they said, cases were arising
where, no matter what was done
about civilian consumption, choices
had to be made as to how to allo-
cate many basic materials, and the
skilled labor to convert them to this
or that war purpose.
Business Week." In Its current Is
sue, said.
Military shortages are rapidly
developing. 1t used to be that only
civilian goods companies had to seek
substitutes for critical materials but
now 'ersatz' is being used In arIna-
ments.
Substitutes Used.
"Airplane companies are substi-
tuting steel, plywood, and sometimes
plastics. to cut down on aluminium
and magnesium. - The Army
Quartemaster Corps, recognizing the
overall stringency. has ordered its
purchasing agents to eliminate criti-
cal materials wherever possible. '''
Later on we may have to limit new
plant building to conserve steel; or
the military strategists may have
to decide between merchant ships
and naval vessels; or between ships
and tanks"
Two most obvious tip-offs 10 the
developing scarcities of fundamental
materials were the recent WASH
ington orders:
l. Tightening the control over
building construction to the point
where almost nothing can be erected
except for a direct war purpose, and
even war plants require specific ap-
proval by the War Production
Board.
2. Outlawing the use OF metals
shortly for 76 broad classifications
OF civilian consumption, equivalent
to virtual shutdown Of the light
metal fabricating industries. except
as they can fit themselves into war
production.
Widespread Effects Seen.
The problems posed by a real
shortage Of basic materials will
reach far into the country's econo-
my, observers agreed
For, they said. they imply either
shortages of things actually needed
in the struggle or what has been
called "mine-to-finishing plant" ex-
pansion.
That means more labor, more ma
chinery, more transportation ia
cilities from the raw material all
along the line TO the completed
product and providing any one of
these things in wartimes presents
grave difficulties.
Cited in point were studies MAIDS
some months ago Of the possibility
OF an overall expansion of 10000 900
tons IN the country's annual capacity
TO produce steel ingots. The mere
construction, Ii was calculated.
would use up about 2,250.00o tons OF
steel, or quarter of the new plants
first years urodliction