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Press translations [Japan]. Economic Series 0011, 1945-11-18.
Supreme Commander for The Allied Powers. Allied Translator and Interpreter Section.

translation-number: economic-0058

call-number: DS801 .S81



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GENERAL HEADQUARTERS
SUPREME COMMANDER FOR THE ALLIED POWERS
ALLIED TRANSLATOR AND INTERPRETER SECTION
PRESS TRANSLATIONS
No. 58 Date: 18 Nov 45

ECONOMIC SERIES: 11

ITEM 1 Ship Building Policy - Nippon Sangyo-Keizai - 12 Nov 45. Translator: H. Shindo
Extracts:
Due to various mishaps, shipping has became further limited in capacity. Supreme Headquarters has ordered the employment of all available measures to correct the situation.
Ships now under construction are, in general, war time standard types. Other types are the A type (11,000 tons), B type (7,000 tons) and the D type (4,000 tons).
Since the D type ship consumes proportionately more coal, its construction and use is considered uneconomic. Furthermore, a more efficient post-war ship building program is required.
Since government ship building subsidies will be discontinued sooner or later, ship builders should be permitted to design and construct ships without government supervision. Companies preferring to construct ships of simple design will build standard types, and other companies will build other ships of a design based on many years of shipbuilding experience.
The government must issue only general directives and not in any way interfere with the plans of the ship building companies.
ITEM 2 The production of Timber Decreased - Nippon Sangyo-Keizai - 12 Nov 45. Translator: H. Shindo
Extracts:
Since the termination of war, the production of timber has been greatly decreased, The great decrease in the production of timber is explained as follows:
Timber sellers demand buyers to cancel contracts, believing that bargains, made under the protection of Timber Control Law (MOKUZAI TOSEI HO) for the benefit of rural timber distribution companies (CHIGISNA) must be dissolved at the same time as the termination of war.
The laborers suffer from shortages and living on rationed food can not possibly continue the cutting of timer.
Many timber companies refrain from shipping of timber until the price of timber is raised.

ITEM 3 New Distribution Method of Paints - Ni[illegible]on Sangyo-Keizai - 12 Nov 45. Translator: T. Mitsunashi
Extracts:
The Paints Control Corporation (TORYO-TOSEI-KAISHA) has set up a temporary distribution method of paints as follows: The principal point is that distribution will be made separately to each demand

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ECONOMIC SERIES: 11 (Continued)
ITEM 3 (Continued)
as well as en-bloc to group demands.
Summary of a temporary distribution method of paints:
For the Allied troops.
For repairing of factories making civilian goods; confined to war damage recovery and supporting of the nation's livelihood.
For supporting and promoting land and marine transportation capacity.
For maintaining a necessary minimum production of food.
For increased production of necessities of life urgently needed.
For exports industries.

Distribution will be made for each kind of demand as follows:
For one and two, the painting industry union (TOSO-KOGYO-KUMIAI) will reserve for their operation a portion of allotted quantity. Application must be made to the Paints Control organization through a dealer, for their approval and allotment.
For the third type of demand, allotment will be made en-bloc for government offices and control organs to make a scheduled distribution.
Demands covered by four, five and six will get their allotment en-bloc. It will be made to control organs which have a capacity of making a scheduled distribution. Other consumers must apply separately to the Paints Control organ through a dealer for their approval and allotment.

ITEM 4 Supply and Demand of Light Metals Admits of No Optimism: Aluminum Industry Depends Upon Bauxite - Nippon Sangyo Keizai Shimpo - 12 Nov 45 - Translator: M. Maruyama
Summary:
The demand for light metal products in JAPAN is increasing. The demand is especially heavy for household utensils, electric apparatus, repair parts for cars, coins, and other objects, However, the supply admits no optimism, notably because of the loss of natural resources and the difficulty of production on the basis of domestic resources. The demand may be met for the time being by using stocks held at bullion refineries, alloyed light metal plants and aircraft manufacturing factories. Theses tocks consist [illegible]of about 10,000 metric tons of unprocessed aluminum, about 60,000 metric tons of duralumin, about 15,000 metric tons of scraps, and 100 metric tons of magnesium.
The point at issue, however, is whether or not future production can be held steady without serious [illegible]rances. The Commerce and Industry Ministry has drafted a tentative plan to meet the demand solely from materials produced in JAPAN, through utilization of surplus electric power and labor. The production of 40,000 metric tons of light metals has thus been outlined for 1946 by the Ministry. Simultaneously, the Ministry has laid down a plan for the production of about 3,000 metric tons of household utensils, 600 metric tons of electric machines and electric apparatus, car parts and coins, and 1,900 tons of other necessary materials. In addition, the regular demand is estimated to total about 40,000 metric tons, comprising 15,000 metric tons for general household utensils, l0,000 metric tons for wire, 10,000 metric tons for machines and apparatus, and 5,000 metric tons for coins and other purposes.
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ECONOMIC SERIES: 11 (Continued)
ITEM 4 (Continued)
Prospects for the future supply and demand as well as the conditions in the past on the basis of data prepared by the Commerce and Industry Ministry are surveyed in the following articles:
Aluminum: The Commerce and Industry Ministry believes since the management of the future production of aluminum on the basis of domestic ores presages, much difficulty, because of the high cost and technical inferiority of the ore, the aluminum industry of JAPAN is destined to revert to its former status of depending, upon imported bauxite. For the annual production of 40,000 metric tons of aluminum 220,000 metric tons of bauxite and 17,000 metric tons of flurite will have to be imported from abroad. This, however, is impossible at present, because of the shortage of ships in JAPAN. Scant hope is thus entertained for quick revival of aluminum production from imported materials. The same Ministry observes that the country's aluminum production will be reinstated [illegible]in 1946, and in the meantime, the industry will use stocks held in bullion refineries, alloyed light metal plants, and aircraft manufacturing factories, During, the war, the demand for aircraft construction material increased, but the ration for civil demand was extremely restricted.
The aluminum ration for the year 1937 totalled more than 20,000 metric tons, but the 1943 ration was restricted to 6,791 metric tons. The 1944 ration for civil demand was fixed at 2,773 metric tons, due to decrease in production, no ration was actually made. There is virtually no ration for 1945.
The production of aluminum in JAPAN was begun in 1934. Production was increased after the outbreak of the war with CHINA. The War of Greater East Asia spurred the industry to greater activity. The 1934 production figure was only 1,002 metric tons, which had increased to 14,434 metric tons in 1937, to 71,722 metric tons in 194l, and finally to 141,084 metric tons in 1943.
This figure set an all-time record and was 140 times that for 1934. Looking back upon the demand trend during the intervening, period, aluminum products had been mainly demanded for military purposes since the war with CHINA, although civil demand was heavy before the war broke out. As domestic supply failed to meet domestic demand, materials were imported from abroad to a large extent. The domestic demand was heavily restricted, due to the war with CHINA.
Because no even supply for military purposes was realized, mainly aircraft production was affected by the amount of light metal production. Subsequently when ships were lost JAPAN was compelled to restrict the importation of bauxite from the southern regions and this unavoidably led this country to get bauxite mainly alumina shales, from MANCHURIA, CHINA and some parts of JAPAN. Efforts were made to prevent the production from falling and to strengthen the productive structure, mobilizing all kinds of materials available in this part of the world.
Alumina shales were not the sole substitute for bauxite. Alum stones and mineral dregs were also used for the purposes. As manufacturing processes, the soda lime method, high-degree alkali formula and alum stone method were adopted one after another. In spite of this plan of converting the bauxite formula into these methods of using domestic materials, the 1944 production dropped to 110,308 metric tons. The aluminum industry was further set-back in 1945, as the country's
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ECONOMIC SERIES: 11 (Continued)
ITEM 4 (Continued)
transportation system was seriously damaged. The dependence upon domestic materials was noticeable more than ever before. Expansaion work requiring a heavy amount of building materials was suspended. The enlargement enterprises of electrolytic equipment was cut short, except those nearing completion. At the same time, part of the alumina producing equipment in JAPAN was about to be transferred to CHINA, but before this was realized, the war ended.
The production for the first quarter of 1945 was unsatisfactory, reflecting the execution of conversion plans and poor technical ability for processing the domestic materials, and dropped to 6,563 metric tons.
Imports of aluminum into JAPAN were 11,700 metric tons in 1929; 10,800 metric tons in 1930; 5,230 metric tons in 1934; 11,000 metric tons in 1935; and 8,900 metric tons in 1936. The number of aluminum plants in JAPAN at the end of the war, was since operated by seven companies with a total nominal productive capacity of 127,000 metric tons and a total actual productive capacity of 93,000 metric tons; that in KOREA was three plants run by three companies with a total nominal productive capacity of 29,000 metric tons; that in FORMOSA was two plants with a total productive capacity of 26,000 metric tons; and that in MANCAURIA one plant run by one company with a nominal productive capacity of 10,000 metric tons.
Magnesium: Production of magnesium in JAPAN was begun in 1931. The production at that time was 332 metric tons; 1,330 metric tons in 1938; and 2,686 metric tons in 1941. This industry was one of the industries that had been launched in JAPAN on the basis of Japanese technique after the outbreak of the war with CHINA.
From 1943, expanion after expansion was effected in the industry with the result that the 1943 production reached 4,138 metric tons. During the initial period of the industry the factories were located exclusively in JAPAN proper, but new ones were built one after another in KOREA, MANC[illegible]URIA, and CHINA. The overall production of magnesium for 1944 amounted to 4,8[illegible]6 metric tons, consisting, of 2,635 metric tons in JAPAN proper; and 2,171 metric tons in overseas areas. Setting the production goal for 1944 at 10,000 metric tons, just 10 percent of aluminum production, the authorities started the enterprise in earnest, but, due to insufficient supply of industrial salt, coal and other necessary materials during the latter half of the year, combined with delayed manufacturing of machines, the expansion work lagged.
The result was that the year's output was less than 5,000 metric tons, and thus the balance of production between aluminum and magnesium was lost. The magnesium factories in JAPAN are six run by six companies with total nominal productive capacity of 4,2[illegible]0 metric tons; those in KOREA six run by six companies with a total nominal productive capacity of 3,650 metric tons; and those in MANOHURIA one run by one company with a nominal productive capacity of 1,250 metric tons.
This is a purely munitions industry. There is virtually no article for civil demand that cannot be produced without this industry. Its present high cost of production will not enable it to compete with other metal producing industries on a paying basis. Once this high production cost problem is solved, the industry will bid fair for development in the realm of civil demand. For instance, the annual demand of about 500 metric tons is promised, for apparatus necessary
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ECONOMIC SERIES: 11 (Continued)
ITEM 4 (Continued)
for photographic plates for printing, electric batteries photography, and the like.
The production of magnesium is expected to be reinstituted some time during the last quarter of the fiscal year 1945-46.
Flouride: Crystallized aluminum fluoride necessary for the electrolysis of aluminum used to be imported from abroad. Partly because of the import restriction attendant upon the exchange control and partly on a rapid development of the aluminum industry in JAPAN, the industry badly needed fluoride. This chemical product was industrialized as a result of study at small pharmaceutical laboratories, but the foundation of production was not solid. Its production has been taken up gradually by special manufacturers since late in 1938 and their production technique was nearly up to the mark. Later, aluminum manufacturers also started its production.
In 1943 the monthly productive capacity of crystallized stones was 2,300 metric tons and that of aluminum fluoride was 400 metric tons. In line with the expansion program of aluminum production during the letter half of the year, the production of fluoride was to be doubled. The expansion work was progressing fairly and was expected to be completed during 1944. This project was hindered when the importation of bauxite was made difficult during, the latter part of 1945 and the aluminum industry was forced to go by the use of materials obtained at home instead of depending upon imported bauxite.
Accordingly, the expansion program for fluoride production was reduced by one third. To make matters worse, the lack of hydrofluoric acid caused the production to drop off sharply during the first quarter of 1944. This was not the only trouble.
Erratic supply of soda ash and coal subsequently forced most of the fluoride factories operated by the aluminum manufacturers to stop production during October 1944. Business readjustment also was enforced on special manufacturers of fluoride in January 1945. This condition continues up to date.
The number of fluoride manufacturing plants in JAPAN is six operated by four special manufacturers and four operated by four companies interested in the manufacturing as their sidelines; that in KOREA is one operated by one special manufacturing company and one operated as a sideline; and that in MANCHURIA is one operated by one company as its sideline.
ITEM 5 Report on Fibre Products - Nippon Sangyo-Keizai - 12 Nov 45. Translator: H. Shindo
Extracts:
The Fibre Control Association must report all fibre products in stock and produced monthly to Supreme Headquarters. As this report is the only one that contains data on fibre production in JAPAN, and as it has nothing to do with the importation of raw materials, the association requires every member company to prepare the following detailed information.
Report to Supreme Headquarters will cover the previous month and must be submitted by 20th of this month. Every member company must submit its information to the association by the 15th.

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ECONOMIC SERIES: 11 (Continued)

ITEM 5 (Continued)
The report must contain a list of the goods, and all the fibre products in stock and the amount produced monthly of the following:
Artificial fibers: Artificial silk pulp; artificial silk, staple fibre.
Cotton staple fibre: Cotton thread, staple fibre thread, cotton-spinning silk thread, miscellaneous fibres, silk thread, cotton thread mixed with silk.
Wool: Woolen comb thread, woolen spun thread.
Hemp; Flax, ramie, jute.
Products: Hosiery goods, gloves and socks for soldiers, stockings.
Textile: Artificial silk textile, natural silk textile, staple-fibre textile, silk-cloth, woolen-cloth, hemp cloth.
The association must show accounts of products in stock, thread held in stock by spinning, companies, and cloth in stock.
Spinning companies must show raw materials in stock.
DISTRIBUTION "X"
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HomePress translations [Japan]. Economic Series 0011, 1945-11-18.
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