JAPAN’S CAPACITY

Ashburton Guardian, Volume 65, Issue 192, 28 May 1945, Page 4

JAPAN’S CAPACITY

RESOURCES FOR LONG WAR. t SURVEY OF ECONOMIC POSITION INDUSTRIES OF “INNER ZONE.” (N.Z. Press Association —Copyright.) (Rec. 1.0 a.m.) LONDON, May 26. A survey of the present economic and industrial capacity of Japan, in relation to her ability to conduct the war has been released by Mr Leo T. Crowley, of the United States Economic Administration. The survey states that although Japan has suffered severe military reverses and sustained damaging air attacks, her productive capacity is such that she is still able to wage a long war. The Japanese war industry has been organised to operate efficiently in Japan proper, Korea, Manchuria and parts of North China. In this “inner zone” industries exist capable of the production of finished Avar products, and key raw materials are available to expand production. The Allies so far have liberated less than 7 per cent, of nearly 3.000,000 square miles of conquered territory controlled by the Japanese. The Allies have cut the Japanese off from rubber; oil, tin and fibres formerly available from the East Indies and the Philippines, but the Japanese in the inner zone possess important raw materials and have established synthetic oil plants to supply oil no longer available from the East Indies, and the quantity produced may be sufficient to meet requirements in the remaining reduced area, of operations. Use of Poor Ores. Similarly the Japanese are replacing ores from the south by opening mines in China and by utilising the relatively poor iron ores in North-east Korea. There are some materials that, they may not be able to produce, but it is probable that there are large stocks of these held for Avar requirements. The advance of the Allied forces will increase the already short food supply, but this will not result in starvation in the inner zone and is unlikely to interfere with the Avar effort. Bomb damage has been serious in individual centres. Great areas of the principal cities liaA’e been laid Avaste and aircraft factories, arsenals, power plants and marshalling yards have suffered irreparable damage, but the •Japanese still hold a wide enough manufacturing area to continue to fight .on.