Mr. JOHNSON. And competition between metals likewise.

Senator MALONE. Both the reserves and the production would be materially increased in this country, in your opinion?

Mr. JOHNSON. Yes, sir.

Senator MALONE. Of course, you are the one who should say this if it is true, because you are living every day with metal production. One of the things we overlook, is it not, when we discuss self-sufficiency, is our laboratory work and discoveries? Someone is liable at any time to make a technological discovery which will upset calculations.

Mr. JOHNSON. Yes. The unsatisfactory thing about technological development, if you consider it unsatisfactory, is that it does not give you a permanent advantage. Your competitors very soon have the advantage of it also.

Senator MALONE. Could you not make a statement of this kind: Practically any industrialist who abandons his research work for a 5-year period can just about count himself out of business?

Mr. JOHNSON. Yes. I did not mean to imply that he could sit on the other fellow's coattails.

Senator MALONE. We have a new metal now that you have discovered. We are going to Los Angeles on the 3d and 4th to hear testimony from producers of military and commercial airplanes as to what they could and would do if we could manufacture all of this new metal we need. Your Bureau of Mines laboratory on titanium has made. a great contribution in the development of a process for the production of titanium. Of course, the process has not been completely perfected. You are familiar with the work going on there?

Mr. JOHNSON. Yes, sir.

Senator MALONE. The testimony in Henderson when your experts and the producers of Titanium Corporation of America testified, showed that the corporation is producing less than 4 tons per day. They have a 10-ton-per-day contract. Only 2 producers in the United States are producing about 2,500 tons a year. It was testified by the head of the Wright-Patterson Air Base in Dayton, Ohio, that 100,000 to 150,000 tons a year is needed if it would be available. We intend to find out more about the need for titanium from the actual producers. This metal is a substitute for several metals under certain conditions. Personally, I think you agree with me that it is a wonderful thing that laboratory work can be continued.

The charts and the text will be accepted at this point as a part of your testimony, and the charts are the supplies and consumption of zinc, No. 1; No. 2, the zinc general imports, source of imports; chart No. 3 is the source of all foreign imports for 4 years.

(The information is as follows:)

ZINC

Zine is vitally important to the industrial strength of the United States both in peace and war. This importance is based upon galvanizing by which zinc preserves and prolongs the life of iron and steel products; upon its use in making

brass, and upon its use in die castings whereby intricate, close tolerance castings such as parts for tools, electrical appliances, hydraulic systems, fuel pumps, etc., can be produced cheaply and in volume. Zinc is in every plane, automobile, truck, tractor, and ship, as well as in cartridges, control mechanisms, and communications systems, whether military or civilian.

Until 1934, the United States was self-sufficient in zinc, but since that date has been dependent upon imports for quantities ranging from 14,000 tons of recoverable zinc in 1934 to 519,000 tons in the peak war year 1943. In 1952 imports in terms of recoverable zinc (85 percent of the content of ores and concentrates plus 100 percent of slab zinc) were 497,000 tons and through the first 7 months of 1953 had already reached 288,000 tons in ores and concentrates and 181,000 tons as slab zinc or an indicated rate of 732,000 tons of recoverable zinc from imports for the year.

During the war years 1941-45 imports exceeded exports by an average of 325,000 tons annually. Since the war (1946-52) imports have exceeded exports by an average of 339,000 tons and 1952 and 1953 have progressively been years of greater importations as noted above.

Although the United States in the period 1940-52 imported 5,330,000 tons of zinc it should be noted that 92 percent of that quantity was derived from neighboring countries in the Western Hemisphere, with 42 percent coming from Mexico, 35 percent from Canada, and 15 percent from Central and South America. The United States could increase domestic production of zinc since measured, indicated and inferred reserves contain approximately 21.2 million tons of zinc of which approximately 16,300,000 tons is recoverable metal. There are also large areas of unexplored ground that may contain as much or more unknown ore that is not listed now in reserves. It seems doubtful that production will be increased, however, as most production beyond the current rate (July-September 1953) of 500,000 tons cannot be achieved under existing conditions and compete with production from abroad. Under conditions of strong demand for domestically mined zinc such as might be engendered by war or fostered by unusually high trade barriers domestic production could in a period of 11⁄2 to 2 years again attain an annual rate of 675,000 to 700,000 tons.

Known reserves of zinc ore in Canada and Mexico approximate 8.5 million tons and since the domestic requirements of these 2 nations averaged but slightly over 61,000 per annum in the period 1948-52 while their average mine production was 535,000 tons there normally remains an exportable surplus of almost 475,000 tons. Such a quantity of zinc combined with our own production of zine is adequate to meet foreseeable United States consumption of primary zinc. Re cent exploration programs in New Brunswick and Quebec have been successful in developing new reserves, and it seems likely that Canadian reserves will be maintained for many years.

Supplies of zinc are presently being imported from Bolivia, Chile, and Peru, and Argentina is a producer. Known reserves of recoverable zinc in South America exceed 5.0 million tons whereas production is about 140,000 tons and consumption averages but 25,000 tons per annum. Thus again it is noted that an export surplus of about 115,000 tons is annually available for export.

Salient statistics of the zinc industry in the United States in 1948-52

Salient statistics of the zinc industry in the United States in 1958, by months

short tons.. 81, 994 76, 899 83, 485 80, 459 82, 422 81, 617 80, 825 83, 241 81, 144

Source: Prepared by Base Metals Branch, U. S. Bureau of Mines, Oct. 14, 1953.

Interior and Insular Affairs Committee, United States Senate