OCR Text |
Show Neutrality Act Helps Japan Should President Roosevelt declare de-clare that Japan and China are belligerents, the Neutrality Act will automatically apply, bringing about a disruption of our trade and eco-n:mic eco-n:mic relations with the Far East. This would hurt China considerably consid-erably more than Japan as the issuance is-suance of loans or credits is mandatorily man-datorily forbidden. It might block the gold and silver exchange and the establishment of credit for Chinese purchase of railroad equipment equip-ment and machinery in this country. coun-try. Furthermore, China secures much cf its aircraft from us ar.d this would be automatically stopped as munitions. Japan, while a large buyer of raw materials, wculd not be as seriously affected. The Far Eastern crisis illustrates the difficulties cf working out a practical plan cf neutrality in the event cf war. Applied to the two nations, our present act would be of tremendous benefit to the Japanese. Jap-anese. The laws of the United. States would operate to help Japan in her contest with China rather than to prevent the United States from taking sides in an unfortunate struggle. |