One measure before the present session of the Japanese Diet which likely to arouse much interest is the bill aiming at the establish ment of a Japanese-controlled motor car industry to the exclusion of foreign cars, chiefly American. Although in 'a competitive position with other countries in many lines of products, especially engineering, Sapan has shown little progress in the manufacture of cars and trucks, which places the country in a post tion of dependence on foreign manufacturers, some of whom have erected their own factories in the country fo meet not only Japanese demand but demands from other Par Easiern countries. Ford and General Motors are the two principal factors this manufacturing development but they are both in a strong poslton to counter any proposals affect= ing their dominance, firstly, because they produce cars and trucks for which there is a great demand owing to lack of Japanese competition, and, secondly, because their financial interests' are so great that tremengous hardship would be created if they abandoned their manufacturing plans which provide for expansion Hikely to benefit Japanese labour. As could be expected, the army influence: 3s to be seen behind the new measure for, as the "Asahi" points out, in the' ease of a war, euphemistically described as an "emergency," mass production of cars and trucks 2 national necessity and it would be foolhardy to rely on foreign manufacturers in such circumstances. Government assistance, the sponsor of the bill state, would protect the infant industry which is producing small type of car and an additional advantage lies in the low exchany rate of the yen, The bill provides for Jeences issued to motor car manufacturers but these licences will bbe issued only to joint stock companies in which Japanese hold the majority of shares, Compani with Japanese and foreign interests may obtain licences but the Japanese have the power to make decisions, In. such circumstances, the "Asahi" believes the measure will be passed without any opposition—except. from the foreign companies who readily appreciate the fact that the {wo Yeading Japanese car manufacturers ore in avery small line of bus at present, producing a very small umber of cars in a. country which has shown remarkable developments in transport, Before the 1923 earthquake, Agures were relatively small. In June, Japan had about 16,000 cars' and' trucks, The Inst census of October, 1935, revealed that there were 135,000 cars and trucks in the country, or approximately 16 to every 10,600 of the population, and, moreover, 96 per cent, of the cars are the Ford or General Motors products,
Text read from the printed page and cleaned; old type leaves the occasional error.