AMERICA’S AIMS AT SEA.

Evening Star, Issue 20422, 1 March 1930, Page 14

AMERICA’S AIMS AT SEA.

Another challenge is coming from the United States to Britain. It is for first placo in the world’s sea-carrying trade. Britain’s cessation of effort since the war to maintain a two-Power standard navy has been coincident with American ambition to equal, if not surpass, British naval strength. There have been queries as to the object, since the United States has relatively few overseas possessions and has no exceptionally large mercantile fleet to protect. But America has enormously expanded her export trade and is still seeking further outlets for a surplus resulting from over-production. Her ambition now is that this trade shall be carried in her own bottoms. When Mr Hoover was inaugurated as President he outlined vaguely some such programme, but now it is beginning to assume concrete shape. And it will have the United States Government behind it, for a system of subsidies is promised. Australia and New Zealand are interested in the matter, for both countries have extensive trade relations with America, and that country is said to be contemplating placing on that route vessels superior to those already plying. American Imperialism, which may be termed financial and industrial rather than territorial in its activities, has been in evidence in many ]>arts of tho world, and the Pacific is sure not to be neglected. Unquestionably this is a move of international importance, as the cabled announcement states, and apparently it has already formed tho subject of communication between tho British Government and those of the overseas dominions. So far as the shipping industry is concerned there is no need for new tonnage. At present almost every product throughout the world is in too plentiful: supply. This is notably tho case with grain. In consequence there has been far less than tho usual movement of oversea crops, and ocean freighters have suffered reduction in one of their staple cargoes. On many routes freights are said to be unremunorative, and if during the present year these are restored to a paying level shipowners profess that they would be well satisfied, for last year the carrying capacity was over 2,000,000 tons in excess of that for the

previous year. The outlook, with a big addition to the world’s tonnage, is thus not at all reassuring to those already engaged in the industry. It may be that the plans for rationalisation of the British ship-building industry, outlined in to-day’s cables, are a rejoinder to the American proposal. Hitherto the United States has not achieved signal success either in ship-building or iu manning her ships, whether naval or mercantile. She is not a seafaring nation in the same sense of the word as Britain is. But her Government is in a position to subsidise her lines and the British Government is not. And it may bo that when too many vessels are competing for the volume of trade offering it is length of purse which will ultimately decide which shall drive the unwanted remainder from the seas. So far as land transport is concerned America undoubtedly has vast interests all over the world. She has supplied the greater part of the motor vehicles engaged, and for their motive power these are largely dependent on regular supplies of petrol from America. One can imagine how the internal economy of any country would be affected were America capriciously to cut off supplies. And this would bo all the easier were the ocean carrying trade in America’s hands. The grip which the United States secured in different parts of the world in a wide variety of ways during the Great War shows no signs of being relaxed.