JAPAN’S OIL MONOPOLY,

Waikato Times, Volume 116, Issue 19462, 29 December 1934, Page 5

JAPAN’S OIL MONOPOLY,

REPRESENTATIONS TO TOKYO. EFFECT OF NEW LAW. FOREIGN COMPANIES EXPLOITED. (Official Wireless,.) (Received Deo. 29, 12-45 p.Rv.) RUGBY, Dec. 28. Further representations to the Japanese Foreign Olilce were made yesterday by both the British and United States Embassies in Tokyo in regard to the effect of the new Japanese oil law upon foreign companies. It, is understood the proposed Manchukuo oil monopoly was not discussed on this occasion.

Tlie new Japanese law, which requires companies to store six; months’ supply of oil gives tlie Government tlie power to tlx quotas and prices. It was recently announced that in fbqing quotas, all the increase in trade will be allotted to Japanese suppliers,. The effect of the law upon foreign companies will thus not only be lo invoive them in heavy additional capital expenditure, but will also deprive them of opportunities to recoup themselves by increasing their trade.