§ 48. Mr. Shinwellasked the Minister of Production whether he has now concluded his negotiations with the company who propose to produce synthetic rubber in this country; and with what result?
§ The Minister of Production (Mr. Lyttelton)No, Sir. The discussions are still proceeding.
§ Mr. ShinwellYes, but is not my right hon. Friend aware that these discussions have been proceeding for quite a long time, with no appreciable results? Can we have an assurance from him that he is giving no encouragement to monopolistic tendencies as regards the production of synthetic rubber in the United States of America, to the exclusion of this country?
§ Mr. LytteltonI can certainly give my hon. Friend an assurance on the last point. On the first point, let me say that the delays are not in any way due to the Government.
§ Mr. ShinwellAre we to understand that the right hon. Gentleman has not had a firm offer from the countries concerned?
§ Mr. LytteltonThere are certain conditions, which I think are dictated by ordinary business prudence, to which they have not yet seen their way to agree, and the discussions are still proceeding
§ Mr. MolsonDid not the right hon. Gentleman say on a previous occasion that the production of synthetic rubber would be undertaken by the United States? Has there been any change in that policy?
§ Mr. LytteltonThat is so—chiefly undertaken by the United States.
§ Mr. ShinwellIs it not desirable, as the production of synthetic rubber may be very important after the war, that we should not divest ourselves of our own responsibility? Why leave it to the United States of America?
§ Mr. LytteltonWe have to consider the position during the war first of all. Perhaps the hon. Member will remember that we are fully able to supply the whole of our requirements during the war from crude rubber, and export quite a substantial surplus besides.
§ 49. Mr. Ivor Thomasasked the Minister of Production whether he has any statement to make on the production of synthetic rubber in this country?
§ 52. Mr. Liddallasked the Minister of Production what efforts have been and are being made by his department to encourage the manufacture of synthetic rubber in this country?
53. Colonel Arthur Evansasked the Minister of Production how many firms are making synthetic rubber in this country?
§ Mr. LytteltonAs the hon. Member for Seaham (Mr. Shinwell) was informed on 23rd September, synthetic rubber is not being made in bulk in this country, but discussions are proceeding with a company regarding their plans for its production. I am satisfied that our essential war-time needs for rubber can be met from the supplies of natural rubber available in various parts of the Empire and 874 elsewhere and from the growing production of synthetic rubber in the United States.
§ Mr. ThomasIs not the right hon. Gentleman aware that synthetic rubber is likely to compare and compete economically with crude rubber after the war? Is there not an apparent lack of realisation of that matter?
§ Mr. LytteltonI am not prepared to agree to that statement at all.
§ Mr. Austin HopkinsonMay we have the name of the firm concerned in these negotiations?
§ Mr. LytteltonI was not proposing to give the name of the firm, on security grounds.
§ Mr. LiddallHas the Minister discovered anything in the nature of organised opposition among the manufacturers?
§ Mr. LytteltonNo, Sir.
§ Mr. ShinwellWhy did the Minister suggest in reply to one of my hon. Friends that we shall have ample supplies of crude rubber after the war, and therefore not need to trouble ourselves about the production of synthetic rubber, when the United States of America, to whom supplies of crude rubber will also be available, has decided to produce synthetic rubber?
§ Mr. LytteltonI have to deal with the war position, and I repeat that it is one in which we can supply our whole need, with a substantial surplus, from crude rubber. The post-war position is a different question.
§ Mr. McEnteeTo whom may Questions in regard to the production of synthetic rubber after the war be addressed?
§ Mr. LytteltonCertainly address the Questions to me.
§ Mr. ShinwellThat is what we have done.
§ 50. Mr. Boothbyasked the Minister of Production whether his attention has been called to the observations of the Vice-President of the United States of America on the subject of the production of synthetic rubber; and what steps he is taking to ensure that adequate supplies of this commodity are produced in this country?
§ Mr. LytteltonI have seen reports of a speech by the Vice-President of the United States about arrangements made before the war by a United States company regarding the exchange of information on the production of synthetic rubber. The needs of this country for synthetic rubber are being met from the growing production in the United States.
§ Mr. BoothbyIs it not a fact that the international combine decided long ago that synthetic rubber was to be manufactured in America and in Germany, in future, and not in this country? Can the Minister give the House an assurance that he will not countenance this position?
§ Mr. LytteltonThe hon. Member knows perfectly well that I have not countenanced such a thing at all.
§ Mr. ShinwellWhile we are very glad to hear the Minister speak in that way, may I ask what steps he has taken to promote the production of synthetic rubber in this country after the war?
§ Mr. LytteltonI do not wish to repeat the thing too often, but I have to look during the war at the effect on our manpower, and I say once again that the position is that the whole of our necessities can be met from the crude rubber production of the British Empire, with a substantial surplus which is available to the United States.
§ 51. Mr. Boothbyasked the Minister of Production to what extent the cartel arrangement between the Standard Oil Company of America, the German I. G. Company and certain British interests, entered into before the war, has prevented the establishment of a synthetic rubber industry in this country?
§ Mr. LytteltonNo question of such a cartel arrangement has arisen here, and I am satisfied that nothing of the kind would operate to prevent the establishment of synthetic rubber production here during the war.
§ Mr. BoothbyWill the right hon. Gentleman examine the position, in the light of the very remarkable revelations contained in a recently published American book, entitled "Germany's Master Plan"?
§ Mr. SorensenHas the right hon. Gentleman paid any consideration at all to the industry in post-war days?
§ Mr. LytteltonNaturally, but during the war—I must repeat it once again—I have to consider the demands on our man-power, which does not mean that at a later date we may not do something.