Shipping in the Tasman

Manawatu Times, Volume 61, Issue 258, 31 October 1936, Page 5

Shipping in the Tasman

Possibility of American Action

PROTEST AND RETALIATION SUGGESTED United Press Association—By Electric Telegraph.-—Copyright. Received Friday, 8 p.m. WASHINGTON, Oct. 29. Reports published- in Australia that the trans-Tasman dispute porbably will be settled on the basis of an exchange of privileges in regard to inter-coastal trade are considered highly conjectural. It is pointed out that there has not been even sufficient rccoivcd of a full consular report from Australia on the new developments in the situation, and officials are, therefore, not in the possession of all the facts.

It is emphasised that inter-coastal legislation in the United States has a long, controversial history, and there is little likelihood of any important change in tho near future. Congress alone has power to alter the laws. Shipping changes to favour Australia and New Zealand would bring objections from other nations, who have long been subject to inter-coast-al restrictions and have ineffectually sought redress for many years. Tho president is in the midst of the final week of his election campaign, and whereas he would have been asked to advise Congress on a question arising from the shipping laws, it is stressed that there is little reason to believe he wili take any cognisance of the situation this time. The Associated Press has been informed that the American Government will take no action for a considerable period until it has all the facts before it and fully studies the exact nature of the Australian legislation and its results. Two likely courses, it is believed, will be pursued in the evont of a transTasman stoppage; First, a strong protest will be lodged with Britain, pointing out that there is no similarity between tho United States inter-caastal situation and Australia and New Zealand, since the latter is economically independent, with virtual national status in international law; secondly, possible retaliation.

Little hope is held out that a reciprocal trade agreement may obviate the difficulties, since considerable opposition throughout the nation has developed against reciprocal arrangements, and the whole policy may undergo important modification, even if Mr. Roosevelt is elected.