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Report 39 NATIONAL WAR PROGRAM MONTHLY PROGRESS REPORT December 31, 1943 Prepared by Bureau of the Budget Executive Office of the President DECLASSIFIED E.O. 11852. Sec. 3(E) and 5(D) and (E) OMB letter, 11-27- 1.72 By SLR NARS Date JAN 22 1973 Report 39 NATIONAL WAR PROGRAM MONTHLY PROGRESS REPORT December 31, 1943 Prepared by Bureau of the Budget Executive Office of the President DECLASSIFIED E.O. 11652, Sec. 3(E) and S(D) and (E) MB letter, 11-27-72 By SLR NARS Date JAN 2 2 1973 CONTENTS Page I. Summary 1 II. Aeronautical Program 2 III. Army 9 IV. Navy 15 V. Merchant Shipping 28 VI. Review of Production in Selected War Industries 31 VII. Stockpile and Public Purchases of Basic War Commodities 34 VIII. War Housing 36 IX. Agriculture and War Food Administration 37 X. Economic Stabilization Program 40 XI. War Finances 41 XII. Manpower 43 XIII. Administrative Developments 45 CHARTS 1. Monthly Acceptances of Military Airplanes 3 2. Army Air Forces Military Personnel 6 3. Army Military Personnel 13 4. Construction Progress on Battleships and Aircraft Carriers 18 5. Construction Progress on Aircraft Carriers, Escort 19 6. Construction Progress on Large and Heavy Cruisers 20 7. Construction Progress on Light Cruisers 21 8. Destroyers, Escort Vessels, and Submarines Construction Program 22 9. Total Active Duty Strength of Navy, Marine Corps, and Coast Guard 27 10. Gains and Losses of Merchant Ocean Vessels Available to the United Nations 29 11. Deliveries of Ships by U.S. Merchant Shipbuilders 30 12. Status of Selected Critical and Strategic Materials 35 13. Receipts, Expenditures, and Public Debt 42 I. SUMMARY Aircraft Production: 84.0 million pounds of military airframes were ao- cepted in December, making & total of 742 million pounds for 1943. The number of aircraft accepted in December totaled 8,802, of which 1,224 were four-engine bombers. (Pages 2-3) Army Air Forces: 23,817 first-line combat planes were on hand on December 31. Active duty personnel of the Army Air Forces totaled 2,383,000 on December 1, and 83,500 were pilots. (Pages 4-6) Navy Aeronautical Program: The Navy had 15,349 combat airplanes on hand on December 23. Navy and Marine Corps military aeronautical personnel totaled 273,680 on December 1, and 36,184 were pilots. (Pages 7-8) Active Military Strengths: Total All Classes Date Army 7,471,000 Dec. 31 Havy, Marine Corps, and Coast Guard 2,910,000 Dec. 15 The Army reported 2,490,000 overseas Dec. 31 (Pages 12-13, 26-27) Selected Ordnance Production October November Torpedoes, submarine 872 794 Medium tanks 1,245 1,186 Guns, 90mm antiaircraft 93 44 Guns, 155mm (field) 60 56 Carbines 411,357 530,245 (Pages 9-10, 25) Navy Ship Construction: Preliminary reports indicate that 570 combatant vessels were completed in 1943: 2 battleships, 15 aircraft carriers, 51 aircraft carrier escorts, 4 heavy cruisers, 7 light cruisers, 129 destroyers, 305 destroyer escorts, and 57 submarines. (Pages 15-22) Merchant Shipping: During 1943 the United Nations built 21.6 million dwt. of merchant vessels, while losses reported were 5.4 million dwt. Decem- ber gains were 2.4 million dwt. and losses 310,000 dwt. (Pages 28-30) 2 II. AERONAUTICAL PROGRAM December Aircraft Production Preliminary reports indicate that 84 million pounds of airframes (spares included, gliders excluded) were accepted in December, bringing the total for 1943 to 742 million pounds - 19 percent below the 911 mil- lion pounds scheduled last May for 1943. The weight accepted in December increased 4 percent over November. There were 8,802 military aircraft accepted in December, making a total of 85,903 for 1943, as compared with 47,873 for 1942 and 116,525 scheduled for 1944. 1,224 four-engine bombers were accepted, including 35 B-29's. Two plants had initial acceptances of B-29's in December - Bell at Atlanta and Martin at Omaha. Aircraft Acceptances Dec. Total Total Scheduled Type 1943 1942 1943 1944* Bomber, 4-engine, long- range 35 o 92 1,384 Bomber, 4-engine, other 1,189 2,618 9,524 14,885 Bomber, 2-engine 1,042 7,288 10,472 13,438 Bomber, 1-engine 923 2,768 9,380 12,094 Fighter 3,008 10,994 24,276 41,333 Reconnaissance 27 1,245 449 244 Total combat 6,224 24,913 54,193 83,378 Transport, 4-engine 18 70 183 961 Transport, 2- & 1-engine 746 1,910 7,090 10,214 Total tactical 6,988 26,893 61,466 94,553 Trainer 1,332 17,646 19,569 13,787 Liaison 460 3,149 4,358 4,060 Rotary wing 1 1 17 1,124 Target and drone 21 184 493 3,001 Grand total 8,802 47,873 85,903 116,525 *W-8 schedule as revised through December 30, 1943. 3 CHART I MONTHLY ACCEPTANCES OF MILITARY AIRPLANES WEIGHT NUMBER MILLION POUNDS THOUSANDS 430 12 JAC WORKING SCHEDULE, WHO NOV.1943 125 10 SCHEDULE / Including Spares) 100 8 75 6 50 4 25 2 o o JFMAMJJASONDJFMAMJJASOND JFMAMJJASONDJFMANJJASOND 1943 1944 1943 1944 BOMBERS FIGHTERS THOUSANDS THOUSANDS 4 JAC 4 WORKING SCHEDULE, W-8 JAC KEY NOV. 1943 WORKING SCHEDULE, We NOV.1943 18 E ENGINE BOMBERS 4 ENGINE BOMBERS 3 3 2 2 I - o o # d F J d A o D JFMAMJJASONDJ F , , 0 o 1943 1944 1943 1944 4 Army Air Forces A. Airplanes. The number of airplanes of the AAF doubled during 1943, reaching a total of 60,601. of these, 23,817 were first-line combat planes-- over 21 times as many as were on hand at the first of the year. Fifty per- cent of the combat planes were overseas on December 31. A.A.F. Airplane Inventories-January 1 and December 31, 1943 Bomber Fighter Trans- Other Total Heavy Medium Light port January 1, 1943 1,996 1,628 641 4,453 1,297 20,321 30,336 Increase, 1943 5,098 2,140 458 6,875 5,169 10,525 30,265 Dec. 31, 1943 7,094 3,768 1,099 11,328 6,466 30,846 60,601 Airplanes of the Army Air Forces on Hand Nov. 30, Dec. 31, and Gains and Losses in December On Hand December On Hand Net Type Nov. 30 Dec. 31 1943 Gains Losses* Gain 1943 Combat Bomber, heavy, long-range 32 44 0 76 44 Bomber, heavy, other 6,225 1,173 380 7,018 793 Bomber, medium 3,530 435 197 3,768 238 Bomber, light 983 150 34 1,099 116 Fighter 10,402 1,617 691 11,328 926 Reconnaissance 393 163 28 528 135 Total combat 21,565 3,582 1,330 23,817 2,252 Transport Heavy 424 48 23 449 25 Medium 2,564 182 61 2,685 121 Amphibian 29 0 O 29 O Utility 3,121 228 46 3,303 182 Total transport 6,138 458 130 6,466 328 Total combat and transport 27,703 4,040 1,460 30,283 2,580 Trainers 25,819 681 449 26,051 232 Communications 3,989 356 78 4,267 278 Total, all types 57,511 5,077 1,987 60,601 3,090 "Includes losses from enemy action, conversion, etc. 5 B. Personnel of the Army Air Forces. The active duty strength of the Army Air Forces, including personnel assigned from other services, totaled 2,383,370 on December 1 - an increase of 27,203 during November and 97 per- cent of the requirements for the 273-group program by December 31, 1944. Pilots on active duty were 70 percent of required strength by the end of 1944. Active Duty Strength of the Army Air Forces, December 1, 1943 and Minimum requirements for 273 Groups by December 1944 Minimum Requirements Type of Personnel Officers Enlisted Total for 273 Groups by Dec. 1944 Pilots (includes glider and service) 81,841 1,628 83,469 118,736 Aviation cadets - 115,515 115,515 84,382 Pre-aviation cadets - 136,969 136,969 - Bombardiers and navigators 28,565 435 29,000 41,611 Observers 636 - 636 887 Engineers 7,519 - 7,519 5,926 Mechanics - 239,682 239,682 289,244 Armorers - 60,577 60,577 83,005 Communications 4,019 - 4,019 6,265 Radio operators - 42,561 42,561 76,040 Other, Army Air Corps 86,862 978,431 1,065,293 1,054,708 Total, Army Air Corps 209,442 1,575,798 1,785,240 1,760,804 Assigned from other branches 56,188 541,942 598,130 706,157 Total, Army Air Forces 265,630 2,117,740 2,383,370 2,466,961 C. Flying Training. During November, 6,527 pilots were graduated from advanced training. Since the beginning of the war emergency, a total of 88,568 pilots have completed advanced training. CHART 2 6 ARMY AIR FORCES MILITARY PERSONNEL (INCLUDES PERSONNEL ASSIGNED FROM THE ASF AND AGF) I. TOTAL STRENGTH OFFICERS, AVIATION CADETS AND ENLISTED MEN OVERSEAS AND CONTINENTAL U.S. STRENGTH MILLIONS MILLIONS 3 3 2,00 2.38 2 2 ENLISTED MEN CONTINENTAL U.S. I I 67 38 AVIATION CADETS OVERSEAS 27 OFFICERS o o JFMAMJJASONDJFMAMJJASOND 1943 1944 1943 1944 2. PILOTS AND PILOT TRAINING COMBAT, SERVICE, AND GLIDER PILOTS GRADUATES OF ADVANCED PILOT TRAINING THOUSANDS THOUSANDS 150 9 SCHEDULE 8.350 100 6 50 3 o o # o , A A 5 o 5 0 # 0 o 1943 1944 1943 1944 7 Bureau of Aeronautics A. Airplanes. On December 23, the Navy reported a total of 26,105 useful airplanes on hand. of these, 15,349 were tactical combat types - an increase of 1,163 tactical combat planes since November 30. Navy Airplanes on Hand, Nov. 30, Dec. 23, and Acceptances and Losses, Dec. 1 to 23 On Hand Dec. 1 to 23 On Hand Type Nov. 30 Accepted Lost Dec. 23 Tactical Combat Fighter 4,678 733 144 5,267 Scout bomber 3,633 312 50 3,895 Torpedo bomber 2,093 172 53 2,212 Patrol bomber-boat 1,238 78 11 1,305 Bomber-landplane: 4-engine 307 9 8 308 2-engine 751 109 9 851 Observation scout 1,486 37 12 1,511 Subtotal 14,186 1,450 287 15,349 Tactical Non-Combat Utility 551 24 1 574 Transport 777 17 2 792 Subtotal 1,328 41 3 1,366 Training 8,819 295 31 9,083 Total tactical and training 24,333 1,786 321 25,798 Experimental and Misc. 297 17 7 307 Grand total 24,630 1,803 328 26,105 8 B. Personnel. The active duty strength of the Navy and Marine Corps military aeronautical personnel was 273,680 on December 1, or 93 percent of the requirement on December 31, 1943 of 293,076. The number of aviation pilots on active duty on December 1 was 92 percent of required strength by December 31, 1943. Navy and Marine Corps Active-Duty Military Aeronautical Personnel December 1, 1943 and Requirements for December 31, 1943 Navy Marine Corps Total Require- Require- Require- ments Actual ments Actual ments Actual 12-31-43 Dec. 1 12-31-43 Dec. 1 12-31-43 Dec. 1 Pilots 30,705 28,249 8,435 7,935 39,140 36,184 Other Officers 24,395 24,565 3,084 3,360 27,479 27,925 Enlisted 147,457 135,984 79,000 73,587 226,457 209,571 Total 202,557 188,798 90,519 84,882 293,076 273,680 C. Pilot Training. From January 1, 1942 through November 12, 1943, the Navy, Marine Corps, and Coast Guard commissioned 24,947 pilots - 1,477 since October 15. Student pilots in training for heavier-than-air planes on Decem- ber 1 totaled 43,410, and 9,883 of these were in the last stage of train- ing prior to commissioning. The total is an increase of 975 over the number in training on November 1. 9 III. ARMY Status of 1943 Deliveries of Selected Critical Ordnance Materiel (Includes International Aid and Havy Items Procured by Aray) Undeliv- ered Jan. 1, 1943 to Dec. 1, 1943 Item Nov. Balance in 1943 Percent of 1943 ASP* Cumulative A.S.P.* 0 25 50 75 100 Aircraft Gun** 20am 3,200 2,414 67,586 37m 850 2,745 6,387 175% Antiairoraft Gun** 40m 825 735 12,708 90mm 44 E 3,431 Combat Vehicles Light tanks 348 862 3,590 Medium tanks 1,186 1,140 20,175 Heavy Duty Truck 4 ton, 6 I 6 621 2,627 7,219 4-5 ton, 4 X 4 284 421 4,398 6 ton, 6 H 6 646 1,602 5,787 10 ton, 6 M 4 464 770 4,173 10 ton, 6 M 6 196 530 1,826 Artillery** 60 and 81mm mortar 2,174 1,558 22,111 75mm howitser (S.P., field, and pack) 290 62 3,894 105m howitzer (S.P. and field) 391 155 5,360 155m howitser 170 62 1,304 155mm field gun 56 42 554 Small Arms .30 cal. US rifle, MI 126,100 84,797 1,095,233 .30 & .303 cal. rifle (all other U.S.) 141,840 268,932 1,492,876 .30 cal. carbine 530,245 578,775 2,439,732 .30 cal. machine gun 10,840 24,695 177,510 .50 cal. machine gun 59,208 58,635 587,086 *Arwy Supply Program as of November 30, 1943. 92% **Proof firing may not be complete. 11 no. = 92% of year #Cumulative production in excess of 1943 A.S.P. requirements. 10 Status of 1943 Deliveries of Selected Bombs and Ammunition (Includes International Aid and Navy Items Procured by the Army) Undeliv- ered Jan. 1, 1943 to Dec. 1, 1943 Item Nov. Balance in 1943 Cumula- Percent of 1943 ASP* A.S.P.* tive 0 25 50 75 100 Bombs 250 lb. G.P. 40,340 25,762 745,282 500 lb. G.P. 208,060 190,755 1,345,099 1,000 lb. G.P. 81,739 67,039 579,777 2,000 lb. G.P. 11,000 7,601 132,399 4,000 lb. G.P. 301 298 3,041 1,000 lb. semi-A.P. 4,044 18,376 281,624 1,600 lb. A.P. 1,011 1,374 9,564 Cluster, fragmentation 180,859 159,737 896,423 Fragmentation, para- chute 302,130 418,413 528,587 Small Arms Ammunition (Million rounds) All .30 cal. 929 728 10,536 All .50 cal. 372 397 4,144 Aircraft Ammunition (Thousand rounds) For 20mm guns 16,056 9,471 159,376 For 37am guns 1,499 798 6,865 Antiaircraft Ammunition (Thousand rounds) For 40mm guns 2,720 2,128 23,473 For 90mm guns 635 1,847 2,904 Artillery Ammunition (Thousand rounds) For 60mm and 81mm mortar 1,860 1,253 18,708 For 75mm field gun 1,919 3,293 14,812 For 75mm howitser (pack and field) 1,189 2,945 8,344 For 105m howitser 1,990 4,247 12,619 For 155mm howitzer 174 126# 3,318 For 155m field gun 70 17# 1,426 *Army Supply Program as of November 30, 1943. 92% #Cumulative production in excess of 1943 A.S.P. requirements. (11 mo.) 11 War Construction Program by the Corps of Engineers To December 1, the Office of the Chief of Engineers had authorized a total of $10.7 billion for emergency projects under its War Construction Program: Construction in the United States $10.0 billion Construction outside the United States .7 billion Total $10.7 billion Status of War Construction Program - December 1, 1943 Estimated Cost Work Actually in Place Type of Facilities Mil- $ of Vil- Percent of Estimated Cost lions Total lions $ 0 25 50 75 100 War Construction Program Air Force $2,976 28% $2,897 97% Ground Force 2,710 25 2,684 99 Storage and shipping 961 9 941 98 Industrial 2,879 27 2,842 99 Outside U. S. 719 7 589 82 Other 431 4 420 97 Total, Dec. 1 10,676* 100% 10,373* 97 Total, Nov. 1 10,645* 10,237* Increase $31 $136 *Excluding Real Estate Program. The status of the program of construction in the United States, covering major projects only, on December 1 was as follows: Status of Major Projects of the War Construction Program* By Stages of Completion - December 1, 1943 Number of Estimated Stage of Completion Percent of Projects Cost Total Cost Completed 1,974 $8,345,524,000 92.3% Under construction 176 688,410,000 7.6 Not started 11 10,031,000 .1 Total 2,161 $9,043,965,000 100.0% *Jobs of $500,000 and over. 12 ARMY MILITARY PERSONNEL Military Personnel PERSONNEL 1. Strength. The active duty strength of the Army increased about 2,138,000 during 1943. The estimated increase for December was 65,335, bringing the total to 7,471,000 on December 31, 1943. Distribution of the Army Active Duty Strength, by Class November 30, December 31, and Increase Class of Personnel Nov. 30 Dec. 31 December Actual Estimated Increase Commissioned officers 609,836 616,136 6,300 Warrant and flight officers 25,736 25,965 229 Enlisted men and selectees 6,676,669 6,734,866 58,197 W.A.C. 56,945 57,367 422 Subtotal 7,369,186 7,434,334 65,148 Army Nurse Corps 36,479 36,666 187 Total 7,405,665 7,471,000 65,335 During December, the Army active duty strength overseas increased 179,188 to a total of 2,490,307 or 33 percent of the total Army strength. Disposition of Army Active Duty Military Personnel By Assignment - November 30, December 31, and Increase Assignment of Personnel Nov. 30 Dec. 31 December Actual Estimated Increase Army Ground Forces in U.S. 1,840,419 1,757,431 -82,988 Army Air Forces in U.S. 1,631,631 1,559,903 -71,728 Army Service Forces in U.S. 1,276,483 1,220,361 -56,122 In defense commands in U.S. 165,899 165,899 0 In staging areas 123,401 133,597 10,196 In ships 56,713 143,502 86,789 Overseas 2,311,119 2,490,307 179,188 Total 7,405,665 7,471,000 65,335 On December 31, the total active duty military personnel was distri- buted as follows: Ground Forces, 3,081,989 or 41 percent; Air Forces, 2,291,431 or 31 percent; and Service Forces, 2,097,580 or 28 percent. 13 CHART 3 ARMY MILITARY PERSONNEL OFFICERS AND ENLISTED PERSONNEL WILLIONS OF MEN 8 7.47 6 4 ENLISTED 2 68 OFFICERS 0 di a o 1940 1941 1942 1943 1944 PERSONNEL IN U.S. AND OVERSEAS MILLIONS OF MEN 8 7.47 6 IN U.S. AND EN ROUTE OVERSEAS 4 2.49 2 OVERSEAS 0 o 1940 1941 1942 1943 1944 14 B. Casualties. To December 1, 96,686 battle casualties have been reported by the Army - 13,472 or 14 percent were officers. Battle Casualties Reported Dec. 7, 1941 Through Nov. 30, 1943 Total to November Nov. 30 Increase Killed* 15,334 2,298 Wounded 35,049 4,531 Missing 23,725 -1,002 Prisoner of war 22,578 1,699 Total 96,686 7,526 *Includes deaths from wounds. C. Separations and Transfers. Physical disqualifications accounted for 78,075 separations from the enlisted ranks of the Army during October. Total deaths, separations, and transfers for the month were 91,296 as com- pared with 103,933 in September. Enlisted Personnel Deaths, Separations, and Transfers for October 1943 (Based on Number of Cases Completely Processed) Air Corps Infantry Other Total* Casualties: Battle 2,029 1,460 446 3,935 Other 407 147 447 1,001 Retirement 16 23 115 154 Honorable Discharge: Physical disqualification 10,014 16,794 51,267 78,075 Over 38 years of age 397 103 1,532 2,032 Deportant to national interest 245 243 752 1,240 Other discharges 309 388 1,447 2,144 Under conditions other than honorable 287 476 1,553 2,316 Dishonorable discharge 0 0 399 399 Total 13,704 19,634 57,958 91,296 "Includes 2,078 transfers to inactive status. 15 IV. NAVY Preliminary Summary of 1943 Accomplishments The total of 3,800,000 tons of all types of naval vessels completed in 1943 was about 21 times that of 1942. This sharp increase was reali- sed even though there were several shifts of emphasis in the program as to types of vessels. At the beginning of the year much emphasis was being placed on the Destroyer Escort Program, but later this program was reduced to make way for additional landing craft. In addition, mine and patrol craft programs were cut back. However, in July additional com- batant tonnage of 1,900,000 was authorised. Combatant Vessels: During the year, the production of combatant ships totaled over 1,590,000 tons-nearly three times that of 1942 and greater than the tonnage on hand at the beginning of the defense program. Included in the year's production were two 45,000-ton battleships, the IOWA and the NEW JERSEY; six 27,100-ton ESSEX-class aircraft carriers; nine 11,000-ton INDEPENDENCE-class carriers; and 51 "baby flat-tops", aircraft carrier escorts. Preliminary Statement of Completions of Combatant Vessels, 1943 2 - 45,000 ton battleships 7 - Light cruisers 6 - 27,100 ton carriers 129 - Destroyers 9 - 11,000 ton carriers 305 - Destroyer escorts 51 - "Baby flat-tope" 57 - Submarines 4 - Heavy cruisers 570 Total Patrol and mine craft completions totaled 1,090 units, including 286 motor torpedo boats - an increase of 51 percent over 1942. Auxiliary vessels completed in 1943 totaled 390 vessels aggregating 940,000 tons-almost twice the number and half again the tomage of 1942. 16 Landing craft: Over 16,000 landing ships were completed in 1943, in addition to 5,600 rubber boats, 7,600 other small boats, and 500 district craft. Aircraft production under Navy cognizance for 1943 reached 23,400 air- planes as compared with 9,796 in 1942, an increase of 139 percent. of these, 20,385 were for its own use. Dn terms of total airframe weight, the increase is even more striking-143 million pounds, excluding weight of spare parts, as against 40 million, or 258 percent. On July 1, 1940 Navy air strength was 1,744 planes, of which 1,197 were combat; by December 31, 1943 it was approximately 26,000 planes, of which about 15,350 were combat. Ordnance production amounted to $2.1 billion in value compared with #893 million in 1942-135% increase. Percentage increases of selected items were: antiaircraft guns, 79%; antiaircraft ammunition, 191%; surface- fire ammunition, 374%. The value of monthly production rose from $133 million in January 1943 to about $220 million in December. Some notable production increases were: 5"/38 Mk 37 merchant-type assemblies, from 27 in January to 125 in December or 363%; torpedoes, from 633 in January to approximately 2,000 in December or 216%; high capacity ammunition, from 9,000 rounds in January to 50,000 in December or 456%. Active military personnel of the Navy, Marine Corps, and Coast Guard increased 81 percent from 1,638,000 at the end of 1942 to 2,969,000 on December 31, 1943. This increase was distributed as follows: Navy 1,129,000, Marine Corps 171,000, and Coast Guard 31,000. Aviation cadet pilots numbering 20,550 were trained and added to the Navy and Marine Corps during 1943 - an increase of 9,770 over the number trained in 1942. 17 Status of Construction of Selected Naval Vessels of 1,015 combatant vessels on order on December 20, 19 percent had been Launched, 23 percent were on the ways, and 58 percent had not been placed on the ways. Status of Construction of Selected Naval Vessels, Dec. 20, 1943 (Includes Land-Lease Vessels) New Construction on Order Con- Type Not Yet Launch- Add'l On vert- on Ways Ways ed Total Auth. ing Combatant Vessels: Battleships 2 1 1 1s 0 o Aircraft carrier 11 12 1 24 0 0 Aircraft carrier, escort 11 4 7 22 33 O Large cruiser 0 1 2 3 0 0 Heavy cruiser 15 10 0 25 0 o Light cruiser 24 16 5 45 0 o Destroyer 153 41 32 226 0 0 Destroyer escort 209 97 115 421 0 0 Submarine 167 48 30 245 0 o Total combatant 592 230 193 1,015 33 o Patrol craft 96 117 184 397 82 o Mine craft 69 83 105 257 0 o Auxiliaries 120 74 90 284 339 170 Landing force vessels* 1,043 79 40 1,162 0 12 *LST, LSD, and LCI(L) 18 CHART 4 CONSTRUCTION PROGRESS ON BATTLESHIPS AND AIRCRAFT CARRIERS PROGRESS JULY I, 1940 TO NOVEMBER 1,1943 PROGRESS FOR NOVEMBER 1943 Estimated PERCENT OF COMPLETION Keel TYPE AND NAME Completion Leid Date o 20 40 60 80 100 BATTLESHIPS NORTH CAROLINA 10-27-37 7-31-41 WASHINGTON 6-14-38 7-31-41 SOUTH CAROLINA 7-15-29 3-20-42 INDIANA 11-20-39 4-30-42 MASSACHUSETTS 7-20-19 5-15-42 ALABAMA 2-1-40 0-16-42 IOWA 1-27-40 1-28-13 NEW JERSEY 9-11-40 6-30-43 MISSOURI 1-6-41 7-24-44 WISCONSIN 1-25-41 5-31-54 ILLINOIS 2-1-44 7-31-46 KENTUCKY 8-15-14 6-30-46 MONTANA WORK SUSPENDED OHIO WORK SUSPENDED MAINE WORK SUSPENDED NEW HAMPSHIRE WORK SUSPENDED LOUISIANA WORK SUSPENDED AIRCRAFT CARRIERS HORNET 9-25-39 10-20-41 ESSEX 4-28-41 12-30-42 YORKTOWN 12-1-41 4-15-43 LEXINGTON 7-15-41 2-17-43 BONKER HILL 9-15-41 5-24-43 INDEPENDENCE 1-14-43 2-25-43 PRINCETON 8-2-41 2-25-43 BELLEAU WOOD 8-11-41 3-30-43 COMPENS 11-17-41 5-28-43 MONTEREY 12-29-41 6-17-43 LANGLEY 4-11-42 8-31-43 INTREPIO 12-1-41 8-16-43 CABOT 2-16-42 7-24-43 BATAAN 8-31-42 11-17-43 WASP 3-18-42 11-23-43 HORNET 1-1-12 11-29-43 SAN JACINTO 10-26-42 12-15-43 FRANKLIN 12-7-42 1-21-44 TICONDEROSA 2-1-43 6-1-44 RANDALPH 5-10-43 11-15-44 HANCOCK 1-26-43 1-1-41 BENNINGTON 12-15-42 9-15-44 BOXER 9-13-43 3-1-45 BON HOMME RICHARD 2-1-43 12-1-44 CROWN POINT 2-21-40 7-14-41 KEARSARGE 1-1-94 12-31-45 ORISKANY 5-1-99 3-1-46 REPRISAL 7-1-44 5-1-46 ANTIETAM 3-15-43 2-1-45 VALLEY FORGE 8-14-13 12-31-45 SHANGRI-LA 1-15-43 11-1-44 LAKE CHAMPLAIN 3-15-43 12-31-44 CV 40 1-1-41 12-1-45 CVB41 10-27-43 0-15-15 I CVB42 12-1-43 10-1-45 CV843 1-1-11 7-20-46 CV 45 7-4-11 1-28-46 CV 46 10-2-14 2-1-46 CV 47 1-2-45 7-1-48 CVL48 1-1-44 12-30-45 CVL49 7-1-44 1- 1-46 CHART 5 19 CONSTRUCTION PROGRESS ON AIRCRAFT CARRIERS, ESCORT PROGRESS JULY 1,1940 TO DECEMBER 1,1943 NUMBER IN PERCENT OF COMPLETION PROGRAM o 20 40 60 80 100 10 20 30 40 50 60 70 CONTRACT F 2e 12 VESSELS AMANDED " 4697 vite 12 PROCEFTY REPORTED. 80 90 100 36 ADDITIONAL VESSELS NEING CONSTRUCTED OF COR- VENTED ST THE MARITINE COMMISSION. PROGRESS ON THESE 15 NOT REPORTED type vin " SAVY 110 120 CHART 6 20 CONSTRUCTION PROGRESS ON LARGE AND HEAVY CRUISERS PROGRESS JULY 1,1940 TO NOVEMBER 1,1943 PROGRESS FOR NOVEMBER 1943 Estimated Keel PERCENT OF COMPLETION TYPE AND NAME Laid Completion Date o 20 40 60 80 100 LARGE CRUISERS ALASKA 12-17-41 GUAM 2-2-42 7-15-44 HAWAII 12-20-43 12- 1-45 PHILIPPINES WORK SUSPENDED PUERTO RICO WORK SUSPENDED SAMOA WORK SUSPENDED HEAVY CRUISERS BALTIMORE 5-26-41 4-15-43 BOSTON 6-30-41 6-30-43 CANBERRA 9-3-41 10-14-43 QUINCY 10-9-41 12-15-43 PITTSBURGH 2-3-43 7-15-44 ST. PAUL 2-3-43 10-15-44 COLUMBUS 6-28-43 3-15-45 DES MOINES 9-9-43 5-1-45 OREGON CITY 3-15-94 7-15-45 il ALBANY 5-1-44 8-1-45 ROCHESTER 5-15-44 8-15-45 NORTHAMPTON 1.1.44 9-1-15 CAMBRIDGE 1-1-44 9-15-15 CA127 8-15-44 11-1-45 IIIII KANSAS CITY 10-1-44 12-1-45 CA129 11-15-44 12-30-45 BREMERTON 2-1-43 12-15-44 CAI31 4-12-43 12-28-44 0A132 (-14-4) 2-15-45 TOLEDO 9-13-43 1.1.45 CA134 5-15-45 8-30-46 LOS ANGELES 7-28-43 12-31-44 CHICAGO 7-28-43 2-1-45 CA137 3-15-44 10-31-45 CA138 3-15-44 3-31-46 CA139 7-1-46 3-11-45 CA140 7-15-46 4-1-45 CA141 7-31-46 4-15-45 CA142 8-15-46 5-1-45 21 CHART 7 CONSTRUCTION PROGRESS ON LIGHT CRUISERS PROGRESS JULY 1, 1940 TO NOVEMBER 1,1943 PROGRESS FOR NOVEMBER 1943 Estimated PERCENT OF COMPLETION Keel TYPE AND NAME Completion Leid Date o 20 40 60 80 100 LIGHT CRUISERS 6000 TONS ATLANTA 4-22-46 12-29-41 JUNEAU 1-27-40 2-11-42 SAN DIEGO 3-27-40 1-10-42 SAN JUAN 5-15-40 2-24-42 OAKLAND Telled) 7-17-13 RENO 1.1.11 12-24-43 FLINT 10-23-42 10-1-11 TUCSON 12-23-42 12-1-11 JUNEAU 9-15-15 11-10-25 SPOKANE 11-15-44 FRESNO 1-11-45 3-15-46 LIGHT CRUISERS 10,000 TONS CLEVELAND COLUMBIA 9-19-10 7-15-42 MONTPELIER 12-2-40 1-1-1, DENVER 12-25-40 10-13-12 SANTA FE (+ 744) 11-24-42 BIRMINGHAM 2-17-41 1-29-13 MOBILE 4-14-41 3-24-43 BILOXI 7-9-41 8-31-43 PASADENA 2-1-43 6-1-44 SPRINGFIELD 2-13-43 8-15-44 TOPEKA 4-21-43 10-1-44 VINCENNES 1-17-14 HOUSTON Initial 11-20-43 PROVIDENCE 7-27-43 12-30-44 MANCHESTER 1-1-41 VICKSBURG 10-26-42 1-1-44 DULUTH 11-9-42 1-1-44 MIAMI 8-2-41 12-25-43 ASTORIA 9-6-41 OKLAHOMA CITY 12- 10-16-44 LITTLE ROCK 1-6-43 4-2-45 GALVESTON 2-28-46 11-1-45 YOUNGSTOWN 5-29-44 2-1-46 AMSTERDAM 1-1-41 10-14-44 PORTSMOUTH 6-28-43 12-30-44 WILKES-BARRE 12-14-42 1.13.44 ATLANTA 1-25-42 8-15-14 DAYTON 1-1-13 9-15-14 FARGO 5-23-43 3-15-45 HUNTINGTON 10-1-19 <-15-45 NEWARK 1.1.00 7-1-45 NEW HAVEN 2-1-44 3-1-45 BUFFALO 3-1-94 10-1-45 WILMINGTON 8-1-14 2-1-48 VALLEJO 9-15-94 4.1.46 HELENA 11-1-94 5-1-48 CLI14 11-1-14 6-1-46 CLIIS 1-1-45 7-8-46 TALLAHASSEE 12-20-43 5-15-45 CHEYENNE 1-21-44 0-15-45 NORFOLK 1-1-11 10-15-45 CL143 2-15-45 8-15-46 CL144 1-1-11 9-15-46 CLI45 6-15-45 12-1-46 CLI46 1-1-15 2-1-47 CL147 10-8-41 3-30-47 CLI48 3-5-45 7-1-46 CL149 6-4-15 10- 1-46 CHART 8 22 DESTROYERS, ESCORT VESSELS AND SUBMARINES CONSTRUCTION PROGRAM DECEMBER I, 1943 DESTROYERS NUMBER o 100 200 300 400 500 TOTAL IN PROGRAM 458 COMPLETED SINCE JULY 1,1940 124 UNDER CONSTRUCTION, TOTAL 140 BY STAGES OF COMPLETION 80% 99% 20 601 79% 14 40% 59% 17 BR 20% 39% es 0%- 19% " CONTRACTS AWARDED, NO PROGRESS 94 AUTHORIZED, NO CONTRACT o ESCORT VESSELS NUMBER o 200 400 600 800 1000 TOTAL IN PROGRAM * 700 COMPLETED SINCE JULY 1,1940 257 UNDER CONSTRUCTION, TOTAL 330 BY STAGES OF COMPLETION 80% 99% 33 60% - 79% 42 40% 59% 57 20% 39% 48 0 % - 19% 150 CONTRACTS AWARDED, NO PROGRESS 113 AUTHORIZED, NO CONTRACT o SUBMARINES NUMBER 0 100 200 300 400 TOTAL IN PROGRAM 346 COMPLETED SINCE JULY 1,1940 100 UNDER CONSTRUCTION, TOTAL 118 BY STAGES OF COMPLETION 80% - 99% 18 60% - 79% 12 40% - 59% 14 20% - 39% 17 0%-19% 57 CONTRACTS AWARDED, NO PROGRESS 128 AUTHORIZED, NO CONTRACT o * 205 VESSELS WERE CANCELED in SEPTEMBER AND AN ADDITIONAL 100 SINCE OCTOBER 1, 23 Change in Vessels on Hand Since June 30, 1940 The number of combatant vessels of the Navy on December 20 had in- creased 468 since June 30, 1940 to a total of 851. These figures reflect only publicly announced losses. Selected Naval Vessels on Hand June 30, 1940 and December 20, 1943 (Includes Lend-Lease Vessels and Conversions) Publicly On New Announced On Net Type Hand Comple- Losses, Hand Gain June 30 tions Transfers, Dec. 20 or 1940 & Reclassi- 1943 Loss fications Combatant Vessels: Battleship 15 8 1 22 7 Aircraft carrier 6 17 4 19 13 Aircraft carrier, escort 0 65 32 33 33 Heavy cruiser 18 4 6 16 -2 Light cruiser 19 14 3 30 11 Destroyer 225 232 124* 333 108 Destroyer escort 0 279 58 221 221 Submarine 100 102 25 177 77 Total combatant 383 721 253 851 468 Patrol craft 36 1,259 228 1,067 1,031 Mine craft 36 765 254 547 511 Auxiliaries 138 670 164 644 506 Landing force vessels** 0 842 273 569 569 *9 reclassifications and 5 announced sinkings caused net reduction of 4 since last month's report. **LST, LSD, and LCI(L) 24 Analysis of Losses, Transfers, and Reclassifications Seventy-one combatant vessels have been announced as lost by the Navy, 158 vessels transferred, and 47 vessels reclassified through Decem- ber 31, 1943. In addition, during January the destroyer TURNER and the submarine POMPANO were reported lost. Publicly Announced Losses, Transfers, and Reclassifications July 1, 1940 through December 31, 1943 Trans- Reclassi- Type Lost ferred fied Total Combatant Vessels: Battleship 1 o o 1 Aircraft carrier 4 o o 4 Aircraft carrier, escort 1 33 0 34 Heavy cruiser 6 o o 6 Light cruiser 3 o 0 3 Destroyer 39 50 46 135 Destroyer escort 0 66 0 66 Submarine 17 9 1 27 Total combatant 71 158 47 276 Other Vessels: Patrol craft 52 181 27 260 Mine craft 12 183 61 256 Auxiliaries 44 79 92 215 Landing craft* 10 252 13 275 Total other 118 695 193 1,006 Grand total 189 853 240 1,282 *LST, ISD, and LCI(L) 25 Production of Naval Ordnance Materiel The following table shows the deliveries of selected ordnance materiel for 1943 through November: Deliveries of Selected Ordnance Materiel for 1943 Through November (Includes Defense Aid and Army Items Procured by the Navy) Scheduled Item October Jan. 1 to November Production (Revised) Dec. 1 1943 Torpedoes* Surface craft 129 205 385 612 Submarine 872 794 7,120 1/8,153 Aircraft 718 855 5,856 1/6,623 Surface Fire Guns Heavy, 12" & 16"-turret 0 1 5 7 Medium, 8" & 6"-turret 1 9 38 45 Light, 4" 6 2 48 58 Antiaircraft Guns Heavy, 3" & 5"-mounted barrel 818 771 7,711 8,482 Light, 40mm and 20mm, mounted barrel 5,078 4,704 50,639 55,864 Fire Control Equipment Gun directors 304 330 3,288 3,621 Radar fire control 162 66 824 927 Gun sights, MK 14 2,796 2,192 20,861 23,461 Ammunition Heavy surface fire 4,210 4,871 33,687 37,037 Medium surface fire 31,731 52,220 292,731 335,481 Light surface fire 509M 490M 3,350M 3,954M Antiaircraft: Heavy 499M 612M 5,056M 5,731M Light: 20mm 38,787M 37,847M 430,531M 468,631M 40mm 3,224M 3,775M 27,03IM 30,231M 1:1 302M 316M 6,563M 6,838M M = 1,000 rounds. *Turned into store. 1/ Data on the British type torpedo have been omitted this month, and the previous month's figures have been adjusted accordingly. 26 Personnel The active duty strength of the Navy, Marine Corps, and Coast Guard increased from 2,798,885 on November 15 to 2,909,723 on December 15, an increase of 110,838. of the total on December 15, 565,405 were regulars, 2,284,095 male reserves, and 60,223 female reserves. Strength of the Naval Services, Nov. 15 and Dec. 15, 1943 Marine Coast Navy Corps Guard Total Officers 222,068* 27,734 10,338 260,140 Officer candidates 123,694 10,786 1,551 136,031 Enlisted personnel 1,994,436 359,232 159,884 2,513,552 Total, Dec. 15 2,340,198 397,752 171,773 2,909,723 Total, Nov. 15 2,244,270 384,632 169,983 2,798,885 Increase 95,928 13,120 1,790 110,838 Percent incr. 4.27% 3.41% 1.05% 3.96% *Includes 7,076 nurses. Note: Strengths approved by the President are: Navy 2,912,000 by Dec. 31, 1944 Marine Corps 478,000 by Jan. 1, 1944 Coast Guard 174,000 by Jan. 1, 1944 CHART 9 27 TOTAL ACTIVE DUTY STRENGTH OF NAVY, MARINE CORPS AND COAST GUARD OFFICERS, OFFICER CANDIDATES, ENLISTED PERSONNEL, & NURSES MILLIONS OF MEN 3.5 3.0 2.91 2.74 2.5 2.34 2.0 COAST GUARD 1.5 MARINE CORPS 1.0 .5 NAVY o J o F A o 0 1940 1941 1942 1943 1944 28 V. MERCHANT SHIPPING Gains and Losses, United Nations In 1943 the United Nations constructed 21.6 million dwt. of merchant vessels, as against reported losses of 5.4 million dwt. During December the increase was 2.4 million dwt., while reported losses were 310,000 dwt. From December 1, 1941 through December 31, 1943, 32.4 million dwt. were constructed, as compared with losses of 17.8 million dwt. - a net gain of 14.6 million dwt. Gains and Losses of United Nations' Merchant Vessels Reported Dec. 1, 1941 Through Dec. 31, 1943 (000 Dwt.) Dec. 1, 1941 Total Through Nov. Dec. to Oct. 31, 1943 Dec. 31 Gains 28,155 1,915 2,370 32,440 Losses 17,305 172 310 17,787 Net gains 10,850 1,743 2,060 14,653 Merchant Ship Deliveries by U.S. Shipbuilders During 1943, U.S. shipbuilders delivered 18.5 million dwt. of mer- chant vessels - 98 percent of the 18.9 million dwt. programmed for the year. The December deliveries were 171 vessels totaling 1,960,013 dwt., as compared with November's 137 vessels at 1,576,938 dwt. Marchant Ship Deliveries by U.S. Shipyards December Total for 1943 Type Number Dwt. Number Dwt. Dry carge 136 1,449,559 1,408 15,041,658 Tanker 35 510,454 231 3,448,794 Total 171 1,960,013 1,639 18,490,452 CHART 10 GAINS AND LOSSES OF MERCHANT OCEAN VESSELS AVAILABLE TO THE UNITED NATIONS* MILLIONS CUMULATIVE GAINS AND LOSSES SINCE DECEMBER I, 1941 DEADWEIGHT TONS 50 40 32.4 30 20 17.8 10 LOSSES GAINS o o J F M & 3 J J A 5 o N D J F M A M , - a 5 o . 0 A F . & 3 J , A 5 o N o 1942 1943 1944 THOUSANDS MONTHLY GAINS AND LOSSES DEADWEIGHT TONS 2500 KEY GAINS 2000 LOSSES 1500 1000 500 o D J , - A M J J A 0 . D , F M A J J A 9 0 0 . F . A . . # A . o . D 1942 1943 1944 * REGISTING WITH AGGUST 1943. MEDCHANT FESSELS COMMISSIONED FOR MILITARY SERVICE are INCLUDED. LESSES ⑉ ⑉ a NOTIFICATION BASIS, SOURCE WEEKLY REPORT OF THE COMBINED SHIPPING ADJUSTMENT BOARD CHART II 30 DELIVERIES OF SHIPS BY U.S. MERCHANT SHIPBUILDERS THOUSANDS DEADWEIGHT TONS I. DRY CARGO VESSELS (MAJOR TYPES) ACTUAL TOTAL 6,921,856 ACTUAL TOTAL 14,895,833 SCHEDULED TOTAL 14,931,647 1600 1400 LEGEND ACTUAL SCHEDULED 1200 1000 800 600 400 200 o 4 F M A M J J A 9 o N D J F M A M J J A 5 o - 0 , F . A . , . A $ o M o 1942 1943 1944 THOUSANDS 2. TANKERS (MAJOR TYPES ) DEADWEIGHT TONS ACTUAL TOTAL 998,159 ACTUAL TOTAL 3,443,624 SCHEDULED TOTAL 4,955,701 600 400 200 o , F M A M d J A 5 o M D J F M A M , J ASONDJFMAMJJASOND 1942 1943 1944 THOUSANDS 3. MILITARY TYPES DEADWEIGHT TONS ACTUAL TOTAL 63,421 ACTUAL TOTAL 326,662 SCHEDULED TOTAL 454,382 60 66.5 40 20 o J F M A M a J A 9 o 0 F - A M . . A o D di F - & # . A $ o . D 1942 1943 1944 SOURCE: MARITIME COMMISSION-SCHEDULE AS OF 8-31-43 31 VI. REVIEW OF PRODUCTION IN SELECTED WAR INDUSTRIES (By the War Projects Unit of the Bureau of the Budget) This review indicates that: (1) synthetic rubber output was retarded considerably during 1943 for the principal type, Buna-S, because of short- age of butadiene; (2) magnesium fabrication production difficulties have now been overcome and output is up to schedule; (3) supply of most of the principal nonferrous metals appears likely to exceed requirements during 1944. Synthetic Rubber The total new supply of synthetic rubber for 1943 is now estimated at 233,000 tons, as compared with 254,000 forecast in our August report. This will be supplemented by new supplies of crude rubber amounting to 60,000 tons. Requirements for 1943 have been materially lowered. They are now estimated at 531,000 tons, compared with 609,000 previously re- ported. This reduction in requirements will provide a somewhat better stock position on January 1, 1944 than was previously forecast. Total stocks will amount to 205,000 tons. For 1944, synthetic production is optimistically forecast at 818,000 tons, with crude imports estimated at 81,000 tons. Requirements for 1944 total 953,000 tons of synthetic and crude, leaving a balance of only 151,000 tons for carry-over into 1945. In the August report, a considerable lag in production of Buna-S rubber during 1943 was forecast because of a shortage of its principal component, butadiene. Revised estimates recently made by the Rubber Director indicate that the 1943 production of Buna-S will amount to 183,000 long tons as compared with an estimate in May of 218,000 long tons - a reduction of 16 percent. During 1943 butadiens production came chiefly from those plants using an alcohol base rather than from those using a petroleum base. The alco- hol plants were operated in November at 136 percent of rated capacity, and for the year furnished 82 percent of the total supply of butadiene. Most of the remainder came from the conventional petroleum plants. Those plants planned for quick production by conversion of refineries (under a program of the Petroleum Administrator for War) supplied only 3 percent of the 1943 output. Depairment of Buna-S production through the lack of butadiens has been most serious in the Pacific Coast area, although this region contributes a minor portion of the total Buna-S program. Production of styrens, the other major Buna-S component, is satis- factory, with plants running below their capacity through lack of demand. 32 of the other types of synthetic rubber, butyl has had very little produc- tion to date, and the production difficulties are still serious. Neoprene production is up to schedule. Magnesium Fabrication Plants Facilities for magnesium fabrication were reviewed in the July report. Construction is now essentially complete, and the estimated available capacity in October 1943 was 87 percent of the maximum capacity. Magnesium ingot continues to accumulate at the rate of about 5 mil- lion pounds per month. The stockpile on November 1, 1943 was 76 million pounds, a three-months' supply at the October rate of use. Operations in the fabricating plants are now very satisfactory, with previous difficulties generally overcome. A comparison of current capa- city, production, and requirements, with peak requirements and capacity for the main types of fabrication, is shown below: Magnesium Fabrication Performance (Millions of Pounds per Month) Peak Production Performance, October 1944 Type of Product Actual Available Required Capacity Required Production Capacity Sand castings ) 15.38 8.07 6.33 12.11 Bomb castings ) 3 9.56 8.59 9.87 8.93 Other mold castings .70 .36 .59 Die castings ) 24.96 .65 .32 .25 .50 Forgings 5 .16 .10 .03 .09 Extrusions ) .45 .13 .18 .43 Strip and sheet 5 .81 .26 .12 .75 Powder 1.19 2.41 2.20 2.12 2.32 Total 26.15* 29.42* 20.37 19.26 25.72 * Advanced 5 million pounds per month over April 1943 estimate. In 1943, 74 million pounds of fabricated magnesium, or 30 percent of the total fabricated, were required for aircraft. In 1944, 119 million pounds, or nearly 35 percent of the total requirements, will go into air- craft. WPB established requirements, by uses, are shown on the following page. 33 Estimated Distribution of Magnesium Requirements For 1943 and 1944, by Use Magnesium Requirements (Millions of Pounds) Use 1943* 1944 Amount Percent Amount Percent Aircraft 74.4 30.5 119.2 34.0 Non-Aircraft: Army 77.7 31.9 151.5 43.2 Navy 4.4 1.7 5.5 1.6 Export 66.8 27.4 37.7 10.8 Other 20.7 8.5 36.3 10.4 Total 244.0 100.0 350.2 100.0 *Includes nine months actual. Principal Nonferrous Metals A review of the supply and requirements of the six principal non- ferrous metals-aluminum, magnesium, copper, sinc, lead, and tin-for 1943 and 1944 shows that a considerable volume of reserve stocks is accruing and will increase in 1944 (particularly for aluminum, copper, and sinc) under present estimates of production and forecasts of demand. The follow- ing table summarizes the position in supply and requirements for these metals for 1944: Supply and Requirements for 1944 of Selected Nonferrous Metals Aluminum Magnesium Copper Zine Lead Tin (Million pounds) (Thousand tons) Stocks Jan. 1, 1944 Working 680 40 604 397 236 31 Reserves 580 65 166 321 255 94 Total 1,260 105 770 718 491 125 New Supply, 1944 3,372 498 3,588 1,309 1,090 73 Requirements, 1944 3,038 467 3,444 1,030 1,130 86 Stocks Dec. 31, +44 Working 769 50 654 397 161 31 Reserves 825 86 260 600 290 81 Total stocks 1,594 136 914 997 451 112 In the light metals, additional margins of reserves appear possible through further reduction in estimates of 1944 requirements. In copper, further reduction in the ammunition program is expected to make available additional reserve stocks. There exists a large unsatisfied demand for copper in the form of wire for military needs, for Russian lend-lease and for domestic comunication services. In sinc, some curtailment in- high- cost domestic production appears feasible. Requirements for 1944 in these nonferrous metal programs are under further review. 34 STATUS OF SELECTED CRITICAL AND STRATEGIC MATERIALS VII. STOCKPILE AND PUBLIC PURCHASES OF BASIC WAR COMMODITIES Strategic and critical materials are purchased by the Government: (1) for stockpiles to be used only in case of an emergency with respect to the specific items concerned; (2) for stockpiles to be released only by WPB; and (3) for resale to industry currently upon receipt. The following table shows the status of selected items as of December 15, 1943: Status of Selected Stockpile Commodities - December 15, 1943 Recom- Percent of Purchase Program Unit mended Stockpile Inventory Inventory Commodity of Purchase Inventory Increase Increase Measure Program Dec. 15 Since Since Pearl 1943 Nov. 15 Harbor Alcohol 1,000 gal. 185,000 23% -8% 23% Antimony, metal Tons 25,914 49 0 18 Chrome ore 1,000 l.t. 2,250 35 2 22 Diamond dies Dies 60,000 14 0 8 Manganese ore 1,000 l.t. 3,900 24 3 12 Manila fiber 1,000 bales 2,037 2 -1 -6 Mercury Flasks 77,500 88 7 82 Mica Tons 16,995 67 o 51 Nickel, content of matte Tons 1/15,000 o o o Nitrate of soda 1,000 tons 2,100 0 -1 Opium 1,000 lbs. 640 101 0 101 Quarts crystals 1,000 lbs. 2,199 205 Y 137 Quinine sulphate 1,000 av.oz. 12,450 24 0 -34 Rubber 1,000 l.t. 1,900 6 -1 -12 Silk 1,000 bales 50-100 10 o 2 Tin, refined 1,000 l.t. 360 14 -1 o Tungsten Tons 48,000 31 2 15 Zinc concentrates 1,000 tons 1 1,500 21 4 16 Zinc, metal Tons 430,000 33 3 33 Part or all of this amount consists of recommended purchases per annum. 2 88,770 tons stored in Chile. Latest program recommends purchase of all available. CHART 12 35 STATUS OF SELECTED CRITICAL AND STRATEGIC MATERIALS (PERCENTAGES BASED ON QUANTITIES IN RECOMMENDED PURCHASE PROGRAM) AS OF DEC. 15,1943 STATUS OF PROGRAM RECOMMENDED COMMODITY %ON % HAND %UNDELIVERED PURCHASING PURCHASES PROGRAM % RELEASED %NOT PURCHASED o 20 40 60 so 100 ALCOHOL 185,000,000 GAL. ANTIMONY 25,914S.T. 149 CHROME ORE 2,250,000 L.T. DIAMOND DIES 60,000 DIES MANGANESE ORE 3,900,000 L.T. MANILA FIBER 2,037,268 BALES MERCURY 77,500 FLASKS MICA 16,995 S.T. 128 NICKEL, Motte Content 15,000 S.T. NITRATE OF SODA 2,100,000 S.T. OPIUM 640,000 LBS. QUARTZ CRYSTALS 2,199,270 LBS. ⑉ QUININE SULPHATE 12,450,000 AV.OZ. RUBBER 1,900,000 L.T. SILK 100,000 BALES TIN, Refined 360,433 LT. TUNGSTEN ORE 48,000 S.T. ZINC CONCENTRATE 1,500,000 S.T. ZINC METAL 430,000 S.T. * LATEST PROGRAM RECOMMENDS PURCHASE OF ALL AVAILABLE 36 VIII. WAR HOUSING Publicly Financed To December 1, 1943 a total of $2.2 billion had been made available for the construction of public war-housing projects. Including the Home Owners' Loan Corporation conversion program, to December 1 a total of 779,692 family dwelling units, dormiteries for single persons, and trailers had been programmed, of which 607,554 or 78 percent had been completed. Status of Public War Housing Program - December 1, 1943 HOLC New Construction Conversions Status Family Dormi- Family Total Dwelling Trailers Total Dwelling Program tories Units Units Completed 417,200 141,086 37,195 595,481 12,073 607,554 Under construction 75,803 20,209 4,703 100,715 18,481 119,196 Not started 22,773 574 4,950 28,297 24,645 52,942 Total 515,776 161,869 46,848 724,493 55,199 779,692 Privately Financed Dn addition to the public war-housing program, Title VI of the National Housing Act provides for insurance by the Federal Housing Administration on mortgages, not to exceed $1.6 billion in the aggregate, on houses designed for the use of war workers. To December 1, a total of 292,477 mortgages on privately financed war housing had been accepted for insurance and 267,267 new dwelling units had been started. Approximately 396,300 dwelling units can be insured under available funds. 37 IX. AGRICULTURE AND WAR FOOD ADMINISTRATION Adding crops and livestock together, 1943 production exceeded last year's by 5 percent, and it is estimated that cash farm income from marketing will be 25 percent greater than in 1942. Parity price ratio at 115 for 1943 was 11 points higher than for 1942. Production The production record of the year is one of which the country may be proud. With less favorable weather and mounting difficulties in connec- tion with labor, machinery, supplies, and transportation, farmers turned out more food than in 1942, the year of the best farming weather in the twentieth century. Crop output was down somewhat from 1942, but this was the year of amasing livestock output. Adding crops and livestock together, the year's production exceeded last year's by 5 parcent. In December the market was glutted by pork and egg products. The latter circumstance, developing in late December, was unique in that heretofore the egg supply at Christmas time has been tight. That it should be 80 ample in this war year indicates the stupendous size of the egg production. Farm Income Total cash income from marketings for 1943 is likely to be around $19.3 billion as compared with $15.5 billion in 1942 - a 25 percent in- crease. Including Government payments of some $600 million, a total of about $19.9 billion is in prospect. Cash income from farm marketings in November is estimated at $2,012 million as compared with $1,764 million in November 1942 - up 14 percent. Prices The index of prices received by farmers rose 5 points from November to December, reaching 197 (August 1909-July 1914 = 100). The index of prices paid, interest and taxes, rose 1 point to 168. The calendar year averages for 1943 are 188 for prices received and 163 for prices paid, interest and taxes - parity price ratio, 115. The latter is 11 points higher than the parity price ratio for 1942. Support Prices for 1944 During December a WFA committee worked out a complete schedule of recommended support prices on all major farm commodities, in consultation with the Office of Price Administration and the Office of Economic Stabili- 38 sation. No announcement of the schedule has been made because of the uncertain status of the Commodity Credit Corporation and its authority to carry out the program. The schedule of price supports as set up tenta- tively will be above the existing ceiling levels for soybeans, flaxseed, peanuts, certain vegetables for canning, and sugar beets. It calls also for continuance of the production payments direct to dairymen in lieu of raising the ceilings on milk and dairy products. The total cost of pro- viding the proposed prices or payments, and at the same time holding the line on retail prices, would be somewhat more than $600 million. Farm Machinery and Supplies Because any let-up in full utilization of all farm machinery would be undesirable, if not dangerous, WFA reemphasised during December, through all media, the imperative nature of "caring, repairing and sharing" again in 1944. The production of farm machinery continued to accelerate. Some problems arese relative to tractor production, because of similar demand for the same components in making tractors and landing craft. With prospects that wooden centainers might be 10 to 20 percent short of needs for fruits and vegetables, attention of growers and shippers was again being called to this situation at year's end. Plans were made to reemphasize the need for reuse of wooden containers. Food Distribution It appears that the 1944 civilian food supply will be at least as high in nutritive value as the national diet in any recent year. In line with WFA's policy to nake available to civilians all supplies in contingency reserves which were not needed for emergency war purposes, 1,650,000 cases of peaches, 1,800,000 cases of tomato catsup, and 230,000 cases of apples were released during December. To help absorb supplies of shell eggs which are increasing seasonally and causing marketing problems, especially in the midwest, WFA will accept all offers of dried whole eggs for February delivery. As indicated above, supplies of eggs through the flush season of production, which is just beginning, are expected to reach new record levels. Dn order to maintain the support price, it may be necessary for WFA to purchase shell eggs. To hog feeders who are sending their hogs to market now for fear they will go beyond the support weight, more assurance has been given by extend- ing the price support program to include good and choice butcher hogs weighing 270 to 300 pounds. Hog marketing recently has been much more orderly than it has been for a number of weeks. 39 Because the war services and military hospitals have been unable to get the quantities of chickens needed, wfa has issued an order, effective December 30, setting aside freezer stocks of chickens for purchase by the Government. For several months the Armed Services have been unable to obtain more than 20 percent of actual requirements from vendors and hold- ers of storage stocks. The order does not apply to current markstings, thereby leaving this supply for civilians. 20 aid in channeling more milk and cream into the most essential war- time dairy products, such as cheese, evaporated milk, and butter, WFA is considering limiting the production of special-type filled milks, creams, and special cheeses. These products are drawing fairly large quantities of milk away from the three major manufactured dairy products. New Cork Substitute from Farm Wastes & new type of cork substitute, made from farm products, such as corn- stalks, which yield pithy particles, has been developed for use in making discs for bottle caps. 40 I. ECONOMIC STABILIZATION PROGRAM Temporary continuance of the Commodity Credit Corporation post- pones Congressional action on subsidies until February. Failure of Congress to meet the revenue requirements and uncertainty concerning future wage controls may weaken the stabilisation program. Prices-Cost-of-Living: A decline of 0.2 percent in the cost of living between mid-October and mid-November, resulting mainly from seasonally lower fresh fruit and vegetable prices, halted the rise of the two pre- ceding months. Prices-Farm: Prices received by farmers increased 2.6 percent to a total of 117 percent of parity during the month ending December 15, as prices paid rose 0.5 percent. Congressional extension of the Commodity Credit Corporation to February 17, 1944 postponed settlement of the subsidy issue. Announcement of 1944 support prices for war crops and other critical commodities, needed at once if farm production is to be properly planned, will probably await Congressional action on the CCC bill. Wages: Confusion over Government wage policy is mounting as a result of the settlement in coal and railway cases. Labor pressure to upset the Little Steel formula is evident in many basic industries, including steel, textiles, automobiles, and clothing. War Bonds: Net sales of war savings bonds in December amounted to $646 million as redemptions (mainly Series E) reached a new high-$207 million or 24 percent of total sales. Plans for the Fourth War Loan Drive, to begin January 18, include a quota on Series E of $3 billion, no higher than for the Third War Loan Drive, when sales of Series E failed to reach the goal. Taxes: The Senate Finance Committee has reported a tax bill which is estimated to yield in a full year $2.3 billion, only slightly more than the measure passed by the House. The bill also postpones for another year $1.4 billion of Social Security payroll collections. Extensive amendments to the renegotiation statute contained in the bill would cripple renegotiation, in the opinion of contracting agencies. 41 RECEIPTS, EXPENDITURES AND PUBLIC DEST II. WAR FINANCES WAR EXPENDITURES Expenditures Expenditures for war purposes during December were $7.0 billion, bring- ing the total for the calendar year to $85 billion. For the first half of F.Y. 1944, expenditures amounted to $43.4 billion, or 47 percent of the revised estimate of $92 billion for the fiscal year. 6-Month Average Nov. Dec.* for F.Y. 1944 ( Billions ) Monthly rate $7.8 $7.0 $7.2 Adjusted annual rate 93.8 84.0 86.5 *R.F.C. disbursements estimated. Appropriations Due largely to an increase of $3.6 billion in the estimate of appropria- tions required after June 1944 to complete the Navy shipbuilding program, appropriations, other Congressional authorisations, and commitments of Government corporations for war purposes increased $4.1 billion in December to a total of $347.7 billion. Net expenditures against this amounted to $153.4 billion. Appropriations and Expenditures, F.I. 1941 Through Dec. of F.Y. 1944 (Billions) Appropriations & Authorizations Expenditures F.Y. 1941 Thru F.Y. F.Y. 1943 Total F.Y. 1941 Thru 1944 Dec. 1943 War $ 126.7 $59.0 $185.7 $ 84.4 Navy 47.5 28.3 75.8 43.8 Maritime Commission 11.0 .03 11.0 5.8 Govt. corpus. (commit.) 19.9 1.8 21.7 7.1 Other 32.7 3.6 36.3 12.3 Est. approp. required beyond F.Y. 1944 for completion of Navy - - 17.2 - Total $ 237.7 $92.7 $347.7 $153.4 CHART 13 42 * RECEIPTS, EXPENDITURES AND PUBLIC DEBT WAR EXPENDITURES ANNUAL RATE ACTUAL CUMULATIVE SINCE JUNE 30, 1940 BILLION DOLLARS BILLION DOLLARS 100 200 TOTAL 84.0 80 160 153.4 60 120 TOTAL ARMY 44.3 84.4 40 80 NAVY, ARMY 24.7 43.8 20 40 RFC & OTHER NAVY RFC a OTHER 13.0 25.2 o o 0 a A s o o a F 0 o M 0 F A J F.Y. 1943 F.Y. 1944 F.Y. 1943 F.Y. 1944 TREASURY RECEIPTS THE PUBLIC DEBT AND EXPENDITURES** BILLION DOLLARS BILLION DOLLARS 200 10.0 EXPENDITURES 165.9 8.3 150 7.5 GROSS PUBLIC DEBT. 5.9 RECEIPTS 100 5.0 50 2.5 WORKING BALANCE 11.5 o o , A D , , A J di 0 0 J J 0 F.Y. 1943 F.Y. 1944 F.Y. 1943 F.Y. 1944 . ** BASED ON THE DAILY STATEMENT OF U.S. TREASURY EXCLUDES PUBLIC DEBT ACCOUNTS 43 III. MANPOWER Although manufacturing employment rose slightly in November as com- pared with October, employment in all other industries except retail trade declined. The average hours worked by factory employees also rose in October, bringing weekly earnings to the highest levels on record. Labor turnover in factories declined in October as compared with September, although absenteeism in many war industries increased. More man-days were lost from strikes in November than in October, reflecting increased labor unrest, and it is estimated that about 14 million man-days were lost in 1943 as compared with 4 million in 1942. Trends in the labor market were mixed; cutbacks and contract cancellations eased the situation in some areas, but in 69 areas acute labor shortages developed or continued. Employment* Employment in non-agricultural establishments, as reported to the Bureau of Labor Statistics, was 38,251,000 in November 1943, as compared with 38,276,000 in October 1943 and 38,533,000 a year ago. Manufacturing employment has risen slightly in the last three months, while employment in mining, construction, transportation and utilities, finance, and miscel- laneous industries has declined. Employment in trade rose in connection with holiday sales (mostly part-time employment) and Government employment rose from September to October but declined in November. Manufacturing employment in November 1943 was 16,235,000 as compared with 15,434,000 a year ago and 13,566,000 in December 1941. Hours and Earnings Average hours worked in manufacturing industries rose from 44.7 in September to 45.4 in October 1943. Average hourly earnings declined slightly but average weekly earnings rose from $44.43 to $44.90. This was *The report on the size and composition of the labor force for December and January will be delayed because of a change in the sampling procedure which has necessitated a revision of recent estimates. Preliminary results from the new sample indicate a slightly larger labor force (par- ticularly of women) than the recent figures cited in this report. 44 15 percent above the level of earnings in October 1942. In the durable goods industries, weekly earnings averaged $51.46 (for 47.3 hours of work), in a range from $32 in brick, tile, and terra cotta products plants to $63.51 in locomotive plants. In nondurable goods factories, weekly earn- ings averaged $35.18 (for 42.7 hours of work), in a range from $19.20 in mills producing cotton work-shirts to $56.49 in rubber tire factories. Absenteeism and Turnover Absence rates in war industries in October ranged from 3.0 in petro- leun refining to 11.2 in bituminous coal mining. Most industries had higher rates of absenteeism in October as compared with September 1943. Labor turnover, on the other hand, declined in October as compared with September, as the result of a slackening in the rate of quits. The separation rate for all manufacturing industries was 6.91 in October as compared with 8.16 in September. The separation rate in war industries in October ranged from 3.75 in blast furnaces, steel works, and rolling mills to 11.33 in aluminum and magnesium smelters and refineries. In the air- craft industry, the separation rate was 6.43 and in shipbuilding, 9.56. In most industries for which comparisons can be made, the rate of turnover is considerably higher for women than for men. Strikes During November, there were 300 strikes involving 500,000 workers and an estimated loss of 2,825,000 man-days of work. Preliminary estimates for the year 1943 (calculated on the experience of eleven months) indicate almost 14 million man-days lost from strikes this past year as compared with slightly over 4 million in 1942. Four coal strikes are responsible for almost two-thirds of this increase. Stringencies in the Labor Market of 358 labor-markst areas surveyed by the War Manpower Commission as of December 1, 1943, 69 were classified as Group I areas with acute labor shortages and 124 as areas of labor stringency in Group II. Mixed trends in labor-market conditions in war industry centers were responsible for recent changes made in classification of areas. Fifteen areas were moved upward in classification as the result of increasing stringencies in the labor market, and 17 areas were reclassified downward as ordnance outbacks or contract cancellations reduced area labor requirements materially. Controlled referral programs have been inaugurated by the War Manpower Commission in each of the five West Coast areas. 45 XIII. ADMINTSTRATIVE DEVELOPMENTS In administrative developments, December was relatively uneventful. Office of Price Administration Relations of the OPA with the supply agencies generally continue to improve. New problems are developing, however, in determining prices for low-cost clothing and textiles, and for consumer durable goods for which the WPB has been able to allocate materials in limited quantities. Da many instances, the prices which were charged for the articles when last produced are barely sufficient to cover manufacturing costs. As recon- version proceeds, there will be many such questions to be worked out by the WPB and OPA with the Office of Economic Stabilisation. Internal administrative developments during December included greater centralisation of control of administrative services in the Rationing Department, consolidation of the Industrial Materials Division and the Industrial Manufacturing Division in the Price Department, and substantial completion of rent registration in New York City. War Production Board Morale within the WPB continued to be less than satisfactory during December, in part due to lack of clarity as to the agency's role in the period of partial reconversion of industry. The top-side organization of the Board was also confused during December by the activity of the Execu- tive Vice Chairman, whose resignation had been submitted, in arranging the transfer of responsibility for field operations from the old position of Operations Vice Chairman to that of the Vice Chairman (staff), and in establishing the position of Vice Chairman for Metals and Minerals (with responsibility for Steel, Copper, and Aluminum Divisions and the Minerals Bureau). Office of War Information During December the London Office of the Office of War Information was in the process of being recrganised 80 as to enable it to perform psychological warfare tasks connected with strategic military plans. Parts of the Psychological Warfare Branch in Algiers were moved to London as well as top policy personnel from Washington. For the second time, the Office of War Information thus decentralised some of its operations to the military theatre. The pattern of cooperation between the American Psychological Warfare Branch and the British Political Warfare Executive worked out in North Africa was applied to the northern European theatre. 46 Transportation The War Shipping Administration's recruitment and manning organisa- tion succeeded in supplying crews for the large fleet of new vessels placed in service during the past several months. Very few vessels were delayed for want of crew. Shortages of tires, parts, and manpower were seriously impairing the ability of the trucking industry to handle the traffic offered to it. Effective relief was not yet in prospect. In an effort to relieve storage congestion at ports, ODT extended the control system on export traffic to apply to traffic moving to port storage facilities. Friction between ODT and ICC over the control of rail traffic continued. State Department-FEA Relations December brought continued progress in clarifying the working rela- tions between the Foreign Economic Administration and the Department of State. A detailed communications agreement was concluded-implementing the general accord of November ll-which promises to speed up considerably the clearing and dispatching of FEA messages to the field. A second de- tailed agreement defining State-FEA relations in the field is also in process. Finally, preliminary plans were laid for a series of meetings at which representatives of the two agencies will discuss liaison arrange- ments and other mutual problems. Foreign Economic Administration The formal reorganisation of the Foreign Economic Administration was nearly completed. The real problem is the establishment of adequate leadership in the top levels of the organization, the activation of the plan by the instruction of staff all down the line in their responsibilities under the new set-up, and the revision of the internal operating methods in accordance with the plan. The abnormal delays in activation of the organizational plan and the lack of competent personnel in some key positions have resulted in even further lowered morale in certain parts of the organization and the resignation of some top executives. Relief and Rehabilitation On the basis of the President's letter to the Secretary of War on November 10, the Armed Services have been moving rapidly ahead in planning for relief in liberated areas. The leadership now being shown by the 47 Chief of the War Department's Civil Affairs Division in coordinating the scattered plans which have been made by many agencies is encouraging. The Civil Affairs Division, with the assistance of the Army Service Forces and the Foreign Economic Administration, has formulated a complete set of over-all import requirements for all of Europe. These estimates have been agreed to by the British; allocations will be requested of WPB and WFA, and procurement programs will be instituted. Certain major administrative problems remain unsettled, however, particularly in the field of military- civilian relationships. The War Department has officially taken the position that it should not, as a general rule, serve as the contact point for the United Nations Relief and Rehabilitation Administration and foreign governments with the United States Government. This applies to the period of military control of civil affairs. In fact, however, such contacts are being maintained by the foreign claimants with the military. A diffusion of responsibility for such liaison will afford foreign governments the opportunity to go to several U.S. agencies at one time, to the disadvantage of the Government as a whole. Every effort needs to be made to bolster the position of the FEA as the channel for dealing with UNRRA and foreign claimants. The resolutions passed at the first UNRRA Council Session at Atlantic City suggest the necessity for a close integration of military plans and UNRRA plans. Steps should be taken now looking toward a smooth transition from military to civilian control. Since the military do not desire to have continuous contacts with UNRRA, FEA will have to be prepared to serve as a bridge between the two. To date it has been slow in gearing itself for this job. It should be equipped to perform this role 80 far as the U.S. is concerned, since it is now servicing the military in planning and procurement and will later service UNRRA in a somewhat similar capacity. An early transition cannot be effected unless the pipeline of sup- plies to victims of war is kept full, regardless of whether distribution is handled by the military or by civilians. In order for UNRRA to plan procurement, it must be informed of total reserves required to meet future needs, supplementing and continuing to supply the goods the Army handles. For procurement planning purposes, the Army is assuming that it will main- tain control over relief for a period of six months. Since the actual period of control may be for a shorter period, the Army must have full knowledge of the supplies it possesses for relief and must relinquish them to civilian agencies or UNRRA when it relinquishes control in the field. Only in this way can the pipeline be maintained at an even level. Con- versely, civilian agencies or UNRRA must be willing to turn over supplies accumulated for the post-six months period should the exigencies of war require the military to continue in control. These supply problems are being evolved but much has yet to be done. 48 The relationship between UNRRA and the Combined Boards is still not clear. As reported last month, the UNRRA Council, on the insistence of the U.K. and U.S. delegates, maintained that UNRRA should go to the Combined Boards for its supplies. This procedure will continue to meet the resistance of other supplying countries not represented on the Boards. It has also raised organizational problems related to the internal struc- ture of the Boards and confusion as to the respective functions of the Boards and FEA. The latter, with responsibility for serving as claimant for every foreign account, will be short-circuited if UNRRA goes directly to the Combined Boards. This problem may be met, however, if FEA can be more closely geared to the U.S. constituents of the Boards. Coordinator of Inter-American Affairs The CIAA program is moving forward smoothly on all fronts. Certain areas of responsibility with FEA on economic matters still remain to be worked out but the Coordinator is moving ahead with his program. PRESIDENT'S SECRETARY'S FILE Subject File Bureau of the Budget :Progress Rpts. Natl. Def. :Jan. -Mar. 1944 Box 96