31 JULY 1941, Page 1

Mr. Sumner Welles has described the action of Japan as

being " for the purposes of a further and more obvious movement of conquest in adjacent areas." Mr. Eden has spoken of it as a " potential threat " to British territories and interests in the Far East. Japan may not have intended to challenge war with the United States and Britain, and she certainly has not taken this step in order to benefit Germany, who would much prefer that she should attack Russia. She is doubtless trying to get what she can while Britain is pre- occupied with Germany, and while the American fleet is divided between thi Pacific and the Atlantic. She may have expected appeasement or drift, and yet consider that war would pay better now than at a later stage. The position that has arisen is not yet full war, but with the application of sanctions a state of conflict is openly acknowledged. Japan, while steadily moving naval, military and air forces into Indo-China, and issuing propaganda suggestive of a further advance into Thailand, is plainly hoping that the economic weapon will be used sparingly against her by Great Britain and the United States. There is not the smallest likelihood of that. Economic sanctions are slow in their 'effect, but before many months Japan will be compelled either to yield or to fight.