Evening star., 1947-01-12
Permanent U. 5. Aid
On Synthetic Rubber !.
Sought by Truman
sy ,he As.oeioted Press

President Truman will ask Con-
gress for permanent, legislation to
protect and maintain minimum
synthetic rubber industry in the
United States.
John r. Steelman, assistant to the
President, announced this yesterday
and added that temporary legisla-
ton to extend Government controls
over domestic rubber consumption
and supplies also would be sought.
Meanwhile, Mr.. Steelman said,
Government purchase and control
OF imports of natural rubber Will
continue. This would be no longer
necessary after March 81 if Con-
gress adopts the legislation to be
proposed.
Requests Outlined.
In a letter to Mai. Gen. Philip B.
Fleming, administrator of the Office
of Temporary Controls, Mr.. Steel
man said the President would ask
Congress to provide for the follow
ing:
a. A declaration of policy stating
that it is the intention of the Con-
gress in the interests of national
security, to protect and maintain a
minimum synthetic rubber industry
in the United States.
"2. The designation of committees
of the Senate and the House of Rep
resentatives to investigate the rub
ber problem and to recommend, at
an early date, the enactment OF per-
manent rubber legislation.
SO. A temporary extension of the
war powers as applied to rubber,
authorizing continued exercise of
controls on rubber consumption and
inventories pending enactment Of
permanent legislation by the Con-
gress."
Minimum Assurance.
Mr.. Steelman said that action by
Congress along these lines Should
provide the minimum assurances
needed by the rubber industry to
enable them to resume private pur-
chase of natural rubber in an orderly
manner, and should provide the
basis for an effective, continuing
rubber program.
st have decided, therefore, that
the public purchase program OF
natural rubber should be continued
on approximately the present basis
to March 81. Assuming that the
Congress, on or before March 81,
1e47, takes action as indicated above,
the public purchase program will no
longer be necessary and can be dis
continued at that time. VIII you
please take. the necessary steps to
put this decision into effect"
Mr.. Steelman told Gen. Fleming
that the rubber consuming industry,
with the exception of a very few
companies, has strongly urged con-
tinued public purchase of natural
rubber until such time as pernla-
nent legislation in support of the
synthetic rubber industry has been
enacted.
Sees Inconsistency.
"I am convinced" Mr.. Steelman
said, "that it. would be inconsistent
with the orderly decontrol policy OF
the President to continue public
purchase this long, especially, If as
seems probable, the Congress does
not enact permanent rubber legls-
lation until after March 81.
"On the other hand, the rubber
traders have urged the immediate
termination of public purchase,
without reference. to action by the
Congress as regards either tenn
porary extension of the war powers
relating to rubber or permanent
rubber legislation. I have come to
the conclusion that such action
might undermine the effective con-
tinuation of controls on the use OF
natural rubber, which we are agreed
must be continued through and
hevond March Al ~