Press translations [Japan]. Economic Series 0239, 1946-01-31.

Extracts:

Although the labor dispute at the TSURUMI Plant of the NIPPON Steel Pipe Company (NIPPON KOKAN TSURUMI KOJO) seemed to be settled on 26 January, another dispute has just arisen. Among all workers of the company as they have realized that Mr. ASANO, president of the company, is not reliable, because he is now accepting the demand made by workers of the TSURUMI Plant despite the fact that he had rejected their first demand on the grounds that acceptance of it would mean immediate bankruptcy of the company. Although their attitude towards the company has not been made clear, they are expected this time to take a firm attitude. It is also expected that they are organizing the Federal Labor Union and the Council for participating in the management of the company, thereby driving the dispute to a successful conclusion.

Summary:

Most war-time industries have converted to civilian production and have already begun operations, but they are at a standstill now because of difficulties encountered in the unsettled problems of post-war JAPAN. There is the problem of state compensation, the demands for increased pay by employees due to the current soaring commodity prices, and the unfavorable conditions in obtaining materials-besides the extreme financial difficulty caused by the recent trend of banking organs towards being reluctant in supplying funds.

Growing concerned over this situation, the Ministry of Commerce and Industry is contemplating the immediate enforcement of the following measures:

• 1.The establishment of new firms shall be urged without all sorts of restrictions such as the state compensation for wartime industries. In order to meet the urgent needs of the day, new firms shall be established according to exceptional provisions of the commercial code. There are already some firms being organized along this line, such as the Second NIPPON Iron Co. (DAINITTETSU) of the NIPPON Iron Co., an aircraft works of MITSUBISHI, the copper rolling mill of SUMITOMO, and the NIPPON Optical Instrument Co. (NIPPON KOGAKU). But they still hesitate for want of a definite policy on new firms. The authorities will make an effort to further their productive activities, and to set up a considerable number of new firms by April. It is estimated that newly established firms will get off to a better start in April when coal will be amply supplied to the civilian commodities industries.

•   ECONOMIC SERIES: 239 (Continued) ITEM 2 (Continued)
• 2.As to the demand for increased pay to the employees, necessary living expenses shall he calculated to stabilize the employees' lives.
• 3.Those firms (provided that they are already permitted to convert to civilian production) which suffer extremely from want of funds shall he allowed to convert their half-finished goods into liquid funds.
• 4.To extend banking facilities for those new firms, it is intended to set up the Restoration Banking Corporation (FUKXO KIEYU "KAISHA), which will loan money under the guarantee of the Government's compensation, and will sweep away the present financial uneasiness of businessmen.

Furthermore, the Ministry of Commerce and Industry, observing the current problem of the employees' management and administration, has said that employees shall have a voice in the problems of welfare, efficiency of operation, wages, etc., while employers shall devote all their energy only to management and accounting.

Full Translation:

The production goal for coal has been gradually increasing recently, keeping step with a favorable turn in various situations. Commerce and Industry Minister OGASAWARA, after making a report about the recent output of coal, at the cabinet meeting held on 29 January stated that 1,500,000 tons of coal monthly are to be produced by April. A revision for production plans for the period, January to April, was revealed as follows:

Full Translation:

As the gas business has not been paying because of the rise in prices of coal and other raw materials, the gas rate per cubic meter will be raised four to six times after 1 February 1946. throughout the country.

Full Translation:

National bond issues of JAPAN have been mainly underwritten by the Bank of JAPAN since 1931. Though a small portion of bonds have been accepted by the Deposit Section of the Finance Ministry. They have also been sold in small lots through post offices. But since the issuance of the SCAP directive of 24 January, prohibiting the Bank of JAPAN's advance of funds to the Government, the bank's underwriting system was abolished and a major part of the bond issue hereafter will be made in the open market.

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ECONOMIC SERIES: 239 (Continued)

ITEM 5 (Continued)

But difficulty in public subscription is anticipated because of the fact that under the continued inflation depositing of money in commercial banks has been declining and depositing of money in savings hanks is at a standstill. There is only a slight increase in money deposited, in provincial hanks and pest offices. Under the situation it will not be easy to form a syndicate to absorb national bonds. In addition to this, per capital expenditure by banks for deposits has been increasing and unless some modification in the discount policy is effected, those agencies which deal mainly with provincial capital such as the Deposit Section of the Finance Ministry or the Central Financing Institution of Agriculture and Forestry Ministry will be the only organs capable of underwriting future bond issues.

Full Translation:

According to the investigation of the Ministry of Commerce and Industry, domestic production of crude oil in the third quarter of the fiscal year was 59,000 kiloliters showing a decrease of 5,000 kiloliters from that of the second quarter. Oil output of the fourth quarter is estimated as' approximately the same as that of the third quarter.

Regarding synthetic oil, as the restoration of war-damaged factories was not possible and there was no coal supply, only a very small amount has been produced by low-temperature carbonization. No production is estimated in the-fourth quarter of the fiscal period.

DISTRIBUTION "X"

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