JAPAN: Cut & Slash

Battling desperately to sell Indians cotton cloth, Japanese and Britons gash each other with the sharp trade swords of a steadily falling Japanese yen, a steadily rising Empire tariff. Last week Japan's yen had slumped 50% below par, but Britons had more than retaliated by raising the duty on Japanese and other non-British cotton cloth entering India six times since 1930, the last time by an added 50%.

Most of the raw cotton for Japanese spindles comes from the U. S. But much comes from India.

Meeting over cups of ceremonial tea the Japanese...