The Archive · 1940

Iron Ore Deficiency

German deficiency in iron ore resources is even more serious than in petroleum, because it cannot be made up readily by drawing upon the neighbouring neutral territory. In 1938 German iron ore requirements were about 33,000,000 tons, of which nearly 9,000,000 was imported from Sweden and 2500000 from southeastern Europe (Yugoslavia) and Belgium. Some 10,000,000 tons came from France, Spain, North Africa and Newfoundland and will now be cut off or hampered by the blockade. In contrast to the present deficiency, Germany in 1914-18 controlled the vast Lorraine iron ore deposits, which are now on the French side of the Maginot line. She also controlled the Belgian steel industry; nevertheless, it became difficult to maintain the steel supply toward the end of the war.

The radical change in the German and Allied Powers' position in regard to iron ore and steel making facilities since 1913 is illustrated in the preceding table. German steel capa-City since September, 1939, has been less than that indicated by the 1938 output, as many of the Saar blast furnaces, contributing about ten per cent. of the total have been forced to shut down. On the other hand, steel manufacturing capacity of the Allied Powers, and particularly France, is substantially greater than the actual 1938 output, given in the table, as 1938 was a relatively poor year. During the first six months of. 1939 production was at an annual rate of 27,000,000 tons, or practically as much as the full capacity of the German economic area.

Strain on German Coal Resources Germany has access to extensive resources of bituminous coal, to which must be added lignite (brown coal), the scientific exploitation of which was stimulated by the late war. Output of brown coal has exceeded that of bituminous in tonnage, but its heating quality is only about half as large. Forced by circumstances, German ingenuity has utilized coal and lignite not only as increasingly efficient sources of heat and power but also as raw materials for a vast number of by-products and synthetic production. These range from dyes to fertilizers and explosives, synthetic gasoline and plastics,—all of great importance to the gigantic endeavour of the Reich to become more self-sufficient. Coal is therefore more vital to the German economy than ever before. The Goering Works, which last month began operations for the smelting of low-grade iron ore deposits in Central Germany, is said to require more than twice the usual quantity [of coke to produce one ton of iron.

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