The Waterbury Democrat., 1943-04-28

| . specific exam
| pie Of what col
DO done with al
Paser Ednam the war emerg'
ency productive capacity, after tht
war Is over. II Is a perfect cast
history 10 determine how any In.
dustry, over-expanded by war re-
Qulrements, can keep going In nor.
NAL times.
Il involves not only q realistic
approach 10 the costs OF cutthroal
business competition. It involves
also finding new peacetime markets
for war surpluses, Most important
Of all, II involves the problem oil
keeping these plants going without
government aid, 10 maintain full
employment.
NEW INDUSTRY IN
WASHINGTON STATE
In less than two years, this
Washington State aluminium indus
try has been built up from nothing
TO produce rs 10 30 per cent OF oil
U, y, aluminium, There are four pro-
duclng plants, operated by Alcoa al
Vancouver and spokane, Reynolda
Mt Longvlew, olin at Tacoma, and
one Alcoa nj Troutdalc, Ore, There
Is one aluminium rolling mill NJ
Spokane, with capacity 10 use about
half OF the four producing plants
output, The entire Sctup representa-
an investment OF 800 10 Sii5 mil.
lion Of U, 3, government, Defense
Plant Corporation money In addl-
tion 10 AlcoR and Reynolds invests
ments,
Tho government owns The plants
and may therefore shut them down
after tho war II there Isn't q market
for tho 800 million pounds OF alum.
mum they can produce, But Ia that
good buSinossp II they are shut
down, from 5000 10 1000 employees
nro thrown out OF Jobs and there h
no market for from 10 10 % per
cent OF the electric power developed
In tho Bonneville Coulee system, n
Ia good s0nso TO KEEP the plants 60.
Ing, II possible,
But tho northwest Isn't exactly
the perfect location IN which 10
produce aluminium, The II western
states have only II per cent OF the
y, 8, population and - per cont
Of the purchasing power, 40 u isn't
q good market area for 30 per cent
Of tho oountryS aluminium. The
northwest today has only one big
aluminium consumer $50 tho H0NtnR
plant At Seattle. Tho California DIR.
craft industry provides o major
market, but such "a the aluminium
processing and fabfloating aotup Of
the country that the raw materials
going into aluminium, tho aluminium
ingotS, and the Finished aluminium
products must DO constantly shut.
tied back and forth In q double
tranB.oontinental 10y ride that
takes time, costs money and Ia do.
oldodly uneconolnio II the business
II 10 break even,
POWER AND RAW
MATERIAL PROBLEMS
In fact, tho northwest has Just
one OF the ingredients going Into
aluminium electric power The
mountains OF electric power cant
DO transported 10 whore tho Mo-
hamotS Of raw materials are, no the
MohametS have 10 DO hauled over
the Rockies at O cost OF 90 n ton In
train lots, OIL n ton IN carload lots.
Thon back again east 10 BIO fabrl-
oat0d Into parts. Thon back again
west 10 tho plane plants.
ffr cheap water transportation
were open, via the Panama canal,
tho northwest aluminium might
compete In an open market, but
opening up OF Tho B0a lanes isn't
tho only thing that northwest alum.
mum will n0od 10 survive. Az tho
University OF washington research
shows, that this gigantic infant In
duStry may need 10 survive will DO
tho development OF Stlll ether In
duBtFleB and facilities, Az a mini
mum, this might do u:
!, Develop q Western aluminium
industry, 10 process aluminumsbear.
Ing ClayH known 10 exist IN WASH
ington, Idaho and Oregon, u would
probably DO necessary 10 build two
aluminR plants, ono near spokane,
the other IN southwest Washington,
10 process these elays - two miIs
lion tons OF which would DO needed
~ against only one million tons OF
Dauxit0 from South America -- 10
mako 300 million pounds Of aIumis
mum annually, No one knows what
10 would cost 10 develop this new
subsidiary industry.
2, Build another aluminium roll.
Ing mill NJ tidowator. Cost, 90 10
e7b million,
3. Move some aluminium forging,
casting and oxtFuaion plants 10 the
west, 10 finish the aluminium for
west coast industries,
4, Then ind or make some new
markets.
This thumbnaii sketch OF the
situation 10 presented here 10 give
Just one quick look at some Of the
problems OF ToconveFslon ahead.
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