1940-03-12 — Page 3

Tuesday,

HONGKONG TELEGRAPH

March 12, 1940.

BRITAIN AT WAR-New Exclusive Series of Articles

NGLAND and Churchill. They are Germany's pet hates. The English- man most hated in Germany is Winston Churchill, 65 - year - old, cigar-smoking, baldish First Lord of the Admiralty whose "Nazi" on

⚫the radio sounds like "nasty."

+

Churchill is back on the same job he had 25 years ago, and his navy is successfully hunting U-Boats, "not without relish," with able assis-

HITLER IS LICKED

ON EVERY OCEAN

tance from the Royal Air Force.

The British conservatively estimate at least 40 U-boats have been sunk, and possibly more. At the start of the war Germany supposedly had 65 submarines in commission

and 28 building.

Churchill estimated in Parliament recently the

"Allies were destroying two to four U-Boats a week.

He estimated Germany's capacity re-

placement at two a week, revealing confi-

dence the U-Boat would be placed un-

der control, particularly as the

output of British patrol craft

was accelerated.

England was bored by a lethargic war until electrified by the gallant attack of three cruisers against the heavier armed German pocket-battle- ship Graf Spee, which was chased into Uruguayan waters

and later scuttled by its in London to exclaim, "The Elbe

is a hell of a place to go.

crew.

Death of the Graf Spee con- If British claims are correct, trasted sharply in British an important percentage

Germany's heavier units has

of

British factorics are turning out hundreds of planes, and officials estimate the production capacity by next month will be eight times what it was

when

190,000 tons of Bri-

tish warships: the "Nelson'

and "Rodney," fol- lowed by "Malaya," "Va-

liant," "Queen Elizabeth" and "Barham." Take a practice spin.

By Reuel Moore

Each of the major industries in 1 The government already as in placed under control of a small Germany-has large powera tu

personnel is drawn board whose

eyes with end of the British been destroyel or damaged be the air expansion programme almost exclusively from the big punish any employer who entices

armed merchantman Rawnl-

render.

less

In contrast, yond use.

the pindi, which went down in an British cite losses of their mer- unequal struggle with the chant ships amounting to Graf Spec's sister-ship than three per cent. of their Deutschland rather than sur total tonnage.

The RAF daily patrols the Other naval incidenta regard-Atlantic, North Sea and English ed by Britons as upholding their channel, watching enemy avia- navul traditions include the tion, hunting U-boats, assisting submarine Ursula's dive under distressed ship and seamen and six destroyers, after braving guarding merchant convoys, German naval and aerial patrols minesweepers and fishing boats. at the mouth of the Elbe river At night, British planes patrol to sink a German cruiser of the the German North Sea coast Koln class.

watching for German mine-

This exploit caused an admiral!laying planes.

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A gigantic empire, training scheme in which British, Australian, New Zealand and Canadian fliers will complete their training in Canada has al- ready begun. The first British pllots are expected to reach Canada this month.

The first Australian fliers are already in England.

Dritons belleve Germany has not yet attempted an air "blitz- krieg" against England at least partly because British defences with fighting planes and anti- afrcraft batteries have showed a formidable ability to retaliate,

✡ +

amounts of raw materials on hand

units. These big units now have labour from another employer. In full access to the trade secrets of fact the emergency powers act in so small independents-name of cus-broad it might fairly be described tomers, former volume of business, as a complete fascist apparatus for and the latter dare not "squawk" duration of the war, if the govern since they are at the mercy of can-ment has courage to use it. trol boards which allocate supplies and dictate prices.

Thus in iron, steel, aluminium and non-ferrous metals, in wool, cotton, jute, hamp and linen, in leather, paper, timber, cereals, coconut oils and cocoa these independents and their satellite merchants already have some reason to wonder if the war has landed them in a "corpora- tive state."

The government, through the Chancellor of Exchequer, Sir John Simon, has already hinted that labour must make sacrifices.

Nobody, not even the fiscal purists, worries much about the National Debt. The prevailing theory that this does not seriously matter if national in- come is kept at a high level so as to reduce the burden of its an- nual interest payments..

Naturally, their ultimate fate Is unpredictable. But it is. note- worthy the government for the "first time in history has already es-

When war ends, the national in- tablished a special register of white come will presumably slump for the collared unemployed men largely time being-after the World War it drawn from small-sized firms and took the country five years to re- unable to function 100 per cent. in cover its 1913 national income. the war machine.

are beginning to get the impression been done to peg prices, but nothing regulate supplies from the trade and financial press

to peg wages. that the war's end will see the end

WAR already is making pro- found changes in business and industrial life in Britain.

Few Englishmen any longer re- peat I. G. Wells' gloomy prediction that another great war means the

Unlike France, Britain has not yet end of civilization. But lots of tackled whole-heartedly the pro-HE Government will end the them, especially small business men,blem of inflation. Something has war with enormous powers to and raw materials, to control prices and

wages and The Board of Trade has been rents and

the courage agriculture or any working day and night to find They already see signs Britain is new cost of living index based on 'dustry. becoming highly"bureaucratized," naveral hundred-thousand family with big industrial concerns dictat budgets. Some quarters believe ing policy and small concerns eign-when the new index appears the ders power, especially when the national government will announce partics opposing it lack punch and a wage policy.

of their easy-going money-making ways.

ing innumerable questionnaires on the dotted line.

The war effort on Britain's gigantic scale requires big units, and already the tendency is to make big companies bigger and small

and companies red-taped

dig ciplined as never before.

It is not generally realised that Britain, unlike the United States, thus far has been the stronghold of griall and medium-sized com- panies, of which there are some 1,800,000 to place the Imprint "Made in Britain" upon goods of the shipped to every corner world.

For one Lancashire Cotton Cor- poration-the world's largest cotton spinning company-there are 400 amall cotton spinners.

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Harbin Alor Star Amritsar

In chemicals, alongside the levia- than 77,000,000-sterling Imperial Bangkok Chemical Industries, thero swim Bombay fearlessly a school of Independent concerns some 300 strong.

Rangoon Hongkong Balzon

Blingapore BUYERS. Bourabaya Taiping. Tientsin Tongkah

(Uhuket) Tsingtao Yokohama

Ipah

Bemarang

Batavia

flafto

Beremban

Karachi

Shanghal

Calcutta

Klang

Agenotes:

Clive Street

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Cuala

Fairlie Place Lumpur

Hankow

Kuching

Canton

Madran

went

Cebu Colombo Delhi

Modant

New York

Pathing

(Poking)

Preng

Cawnporn

Disputing the 10 major groups In fron and steel are still several hun- dred independents. who never have inflated their capital, nover bankrupt and can still turn out steal Elaiphong cheaper than many of the blambura followe

Handling the small outputs of these countless independents are hundreds of thousands of mor chants-the cotton Industry alone has 1,700 Gras as producers and 2,000 firms na merchants.

.

THE first impact of war has

Manila

FOREIGN EXCHANGE and

Banking Business transacted.

ACCOUNTS opened

CURRENT

General

and

FIXED DEPOSITS received for One Year or shorter periods in Local or Other Cur- rencirs At rates which will be quoted on appilcation,

SAVINGS ACCOUNTS also opened in Local Currency and Sterling with interest allowed at rstés obtelnable on application. The Bank's Head Office In London undertakes Executor & Trustes business, and claime recovery of British Income Tax overpaid, on ferma which may be

Branches.

been to place both indopen-ascerisined at any of its Agencies and dents and merchants "on tho spot."

A. CANIDOR

Manager.

to en-

in-

No government willingly surren

drive. Hence it is dificult to be- love this government will surrender any powers likely to be useful In checking a decline of national in- come or keeping labour costa "low enough to permit post-war trade drives.

The English easy-going charac- ter is presumed not to have changed, bat English problems will have vast- ly changed when this war cada

Thus present Indications are that something resembling a "cor porative state" under big business control is far more probable at the end of this war than restoration of the easy-going, tolerant regime which followed the last great

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