BRITISH STEEL

Otago Daily Times, Issue 26704, 25 February 1948, Page 6

BRITISH STEEL

NATIONALISATION AIM AMERICAN PRESSURE FORCES POSTPONEMENT MR WALLACE'S ASSERTION N.Z.P.A.—Copyright Rec. 9 p.m. LONDON, Feb. 24. The nationalisation of the British steel industry has been indefinitely postponed under pressure from the United States, said Mr Henry Wallace to-day. Mr Wallace, a candidate for the Presidency, was testifying on the Marshall Plan before the House Foreign Affairs Committee. He asserted that under pressure from Washington, the French programme for nationalisation of basic industries had been abandoned as the French Government “moves steadily towards reaction in payment for food and fuel handouts.” Mr Wallace in attacking the Marshall Plan as involving European nations, said: “Nowhere in Europe have largescale American credits been advanced to finance projects of nationalisation—yet millions have been advanced to Greek shipowners, leading Italian monopolies—Fiat. Monteratini, and Pirelli. “ The breakdown of Europe’s foreign trade controls as a result of State Department pressure has made it necessary for Western European countries to buy at high prices and sell at relatively low prices,” said Mr Wallace. “In return for dollars they have been forced to admit imports of nonessential goods and expose their weak industries to the inroads of American monopolies. “ State Department representatives at the International Trade Organisation conference in Havana threatened unrestrained economic warfare against countries which refused to eliminate import quotas. At the same time, the administration reserves the right to unlimited freedom of action for itself —it maintains special quotas and embargoes on many important products, and, in spite of the Geneva agreements, continues a high tariff in speciality products that are significant in European exports to the United States.” Mr Wallace contended that as a result of the American policy, Western European Governments were weakening price controls and rationing, and “ were moving towards a wage-freeze advocated for the United States by President Truman and Mr Bernard Baruch.” In Detroit, Senator Robert Taft, contender for nomination as Republican candidate for the Presidency, also criticised Mr Marshall—for his China policy. Speaking to the Detroit Economic Club, Senator Taft said: "The truth is that Mr Marshall .does not like the Chinese and has no interest in their problems. He has been unwillingly forced into proposing the China relief programme. The Far East is ultimately even more important to our future peace than is Europe.” he said.