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EXHIBIT 71

OPS PRESS RELEASE ON AMDT. 4 TO GOR 9-EXEMPTING SALES OF CERTAIN MINERALS AND METALS FROM PRICE CONTROL

OFFICE OF PRICE STABILIZATION

Tempo E-Washington

Press release

For Immediate Release

Friday, August 10, 1951

STRATEGIC METALS

OPS-0-302

(AMDT. 4, GOR 9-SALES OF CERTAIN STRATEGIC AND CRITICAL METALS AND

MINERALS)

The Office of Price Stabilization today exempted from price control several industrial ores and materials having critical and strategic importance to the defense program.

The commodities exempted are raw asbestos, beryl ores, chrome ores, cobalt ores and metal, columbite-tantalite ores, natural graphite, kyanite and related ores, manganese ores, and acid grade fluorspar.

Sales of domestic mercury are also exempted from price control, but sales of imported mercury will remain under price control and are being included in Ceiling Price Regulation 31 (Imports).

Today's action is covered by Amendment 4 to General Overriding Regulation 9, effective August 10, 1951.

The exempted commodities are specifically defined in the regulation. They are used to produce metals and substances needed in the production of a wide range of vital industrial and civilian products.

Our supply of the exempted commodities is largely imported and only a small proportion comes from domestic sources. There is a critical shortage of these raw materials and it is considered necessary to remove them from price control to avoid any curtailment in the supply from foreign sources.

Since ceiling prices are imposed on products in which these exempted materials are used, it is not expected that today's action will have any material effect on the cost of the defense program or the cost of living.

The current market price on domestic mercury is well below the general level of prices under the General Ceiling Price Regulation and it is not expected that exemption from price control of domestic mercury will have any inflationary effect.

EXHIBIT 72

OPS GENERAL OVERRIDING REGULATION 9, COLLATION 1, INCLUDING AMDTS. 1-6-PRICE CONTROL EXEMPTIONS OF CERTAIN INDUSTRIAL MATERIALS AND MANUFACTURED GOODS

Exemption of Certain Industrial
Materials and Manufactured Goods
Collation 1

General Overriding Regulation 9
Including Amendments 1-6
SEPT. 25, 1951

OFFICE OF PRICE STABILIZATION

WASHINGTON

TITLE 32A-NATIONAL DEFENSE, APPENDIX

CHAPTER III-OFFICE OF PRICE STABILIZATION, ECONOMIC STABILIZATION AGENCY

[General Overriding Regulation 9, Collation 1, including Amdts. 1–6]

GOR 9-EXEMPTIONS OF CERTIAN INDUSTRIAL MATERIALS AND MANUFACTURED GOODS

General Overriding Regulation 9 is republished to incorporate the text of Amdts. 1 through 6, inclusive. General Overriding Regulation 9 was issued

May 1, 1951 (16 F. R. 3833). Statements of Consideration for General Overriding Regulation 9, and for Amdts. 1-6, inclusive, as previously published, are applicable to this republication. The effective dates of this regulation and the amendments are shown in a note preceeding the first section of the regulation.

Sec.

1. What this regulation does. 2. Exemptions.

REGULATORY PROVISIONS

AUTHORITY: Sections 1 and 2 issued under 64 Stat. 816, as amended: 50 U. S. C. App. Sup. 2154. Interpret or apply Title IV, 64 Stat. 806, as amended; 50 U. S. C. App. Sup., 2101-2110, E. O. 10161, Sept. 9, 1950, 15 F. R. 6105; 3 CFR, 1950 Supp.

DERIVATION: Sections 1 and 2 contained in General Overriding Regulation 9. May 1, 1951 (16 F. R. 3833), except as otherwise noted in brackets following text affected.

EFFECTIVE DATES: GOR 9; May 1, 1951. Amendment 1, May 28, 1951, 16 F. R. 4899. Amendment 2, June 27, 1951, 16 F. R. 6247. Amendment 3, July 3, 1951, 16 F. R. 6560, Amendment 4, August 10, 1951, 16 F. R. 7987. Amendment 5, August 20, 1951, 16 F. R 8347. Amendment 6, August 20, 1951, 16 F. R. 8348.

SECTION 1. What this regulation does. This regulation exempts certain commodities or transactions from any ceiling price restrictions imposed by the Office of Price Stabilization. It also suspends the operation of any ceiling price restrictions imposed by the Office of Price Stabilization as to certain other commodities or transactions.

SEC. 2. Exemptions and suspensions from price control-(a) Exemptions. No ceiling price regulation heretofore issued or which may hereafter be issued by the Office of Price Stabilization shall apply to the following:

(1) Sales of raw mica. "Raw mica" includes all grades of mica block, film, and splittings and punch and circle mica. It does not include mica scrap or wet and dry ground mica.

(2) Sales of mica parts. "Mica parts" are items fabricated from raw mies for use as component parts in the manufacture of electrical and electronic equipment and other miscellaneous products. The term "mica parts" as used herein includes, but is not limited to, such items as electronic tube bridges, cutdenser film, toaster segments, mica plate, mica rings, mica tape, and gauze glass gaskets.

(3) Sales of tungsten ores. "Tungsten ores" include any tungsten bearing ore which is sold for processing into tungsten concentrates.

(4) Sales to any agency of the United States Government of tungsten concen trates processed from ore produced outside of the United States, its Territories, or Possessions. "Tungsten concentrates" include wolframite, Hubnerite, ferberite or natural or synthetic scheelite which has been separated from gan.ve or associated rocks by physical or chemical processes.

(5) Certain sales of military items. Sales of the commodities listed in subdivisions (i), (ii), and (iii) of this subparagraph, if the commodity is sold to a Defense Agency or to any person for use in connection with a defense contract or subcontract and if the commodity so sold is designed to meet military needs exclusively. The term "Defense Agency" means the Department of Defense (including the Department of the Army, the Department of the Navy. and the Department of the Air Force), the Maritime Administration of the Department of Commerce; the United States Coast Guard, the Office of Rubber Reserve, and the Atomic Energy Commission. The term "defense contraer“ means any purchase order, or agreement with a Defense Agency. The term "subcontract" means any purchase order, or agreement to perform all or any part of the work required in the performance of a defense contract.

(i) Aircraft, armored trains, electronic and communication devices, growad handling equipment for aircraft, instruments, radar, range finders, soner, mitary tactical trucks and trailers, tanks, self-propelled artillery, cargo tractors amphibious cargo tractors, armored infantry carriers and ships.

[Subparagraph (1) amended by amdts. 2 and 6]

ii) Parts and subassemblies of any commodity listed in subdivision (i), ircluding all metallic and non-metallic component parts, adjuncts and accessoris which have been machined or fabricated, if the part or subassembly is in s form as to permit its use only in the manufacture of a commodity listed in »c> division (i) and if the part or subassembly is designed to meet military necie exclusively.

(iii) Parts and subassemblies of any commodity listed in this subdivision, including all metallic and non-metallic component parts, adjuncts and accessories which have been machined or fabricated, if the part or subassembly is in such form as to permit its use only in the manufacture of a commodity listed in this subdivision and if the part or subassembly is designed to meet military needs exclusively: Ammunition, amphibians, artillery, balloon barrage equipment, beach markers, boats, bombs, bomb directors, bomb sights, caissons, degaussing equipment, depth charges, diving lungs (self-contained), drop tanks (fuel), field ranges, fire control equipment, grenades, guided missiles, gun mounts, gun sights, harbor and yard craft, machine guns, military bridges, mines, minesweeping equipment, missile and rocket launchers, mortars, projectiles, pyrotechnics, range finders, rockets, ships, small arms, torpedoes, and torpedo tubes.

[Subparagraph (5) added by amdt. 1]

(6) Sales by producers and resellers of dimension and building stones. “Producers" means persons engaged in quarrying, cutting, shaping, sizing, polishing, inscribing, designing, coloring, glazing or burning. "Dimension and building stones" includes the following: Basalt and related stones; granite, building, ornamental and monumental; greenstone, interior or exterior, building, structural, ornamental, and monumental; limestone, building, ornamental, and monumental; marble, slabs, building, structural, and decorative, and ornamental and monumental, and grave vaults; sandstone, building, structural, floor and flagging, including bluestone and brownstone; slate, structural, electrical, grave vaults, mausoleum, roofing, floor, and flagging.

{Subparagraph (6) added by amdt. 3]

(7) Sales and installation services by producers and reselers of monuments and memorials. "Monuments and memorials" means markers, epitaphs, cenotaphs, statues, tablets, pillars, tombs, sarcophagi, and burial vaults intended to preserve the memory of a person or event, when made of granite, greenstone, limestone, marble or sandstone.

[Subparagraph (7) added by amdt. 3]

(8) Sales and installation services by producers and resellers of architectural terra cotta. "Architectural terra cotta" means a ceramic facing building material made from a mixture of clays and fusible materials fired in kilns and colored by the use of ceramic glazes. It is custom made and conforms to architects' designs and specifications as to size, shape, color and tolerances. The term does not include unglazed, salt or ceramic glazed structural facing units made from clays and other fusible materials which are not custom made and are usually sold on a unit basis.

[Subparagraph (8) added by amdt. 3]

(9) Sales of raw asbestos. "Raw asbestos" includes crude fibres and fibrous masses derived from chrysotile or amphibole.

[Subparagraph (9) added by amdt. 4]

(10) Sales of beryl ores. “Beryl ores" includes any beryl ore in a crude state and any beryllium concentrate derived from the crude ore by concentration or beneficiation.

[Subparagraph (10) added by amdt, 4]

(11) Sales of chrome ores. "Chrome ores" includes any metallurgical, chemical and refractory chrome ore in a crude state or in concentrated, beneficiated or sized form.

[Subparagraph (11) added by amdt. 4]

(12) Sales of cobalt ores and metal.

"Cobalt ores and metal" includes any cobalt ore in a crude state or in concentrated or beneficiated form, any "crude cobalt" (impure cobalt alloy), and any refined cobalt metal.

[Subparagraph (12) added by amdt, 4]

(13) Sales of columbite-tantalite ores. "Columbite-tantalite ores" includes any columbium (niobium) and tantalum ore in a crude state or in concentrated or beneficiated form.

[Subparagraph (13) added by amdt. 4]

(14) Sales of natural graphite. "Natural graphite” includes any soft native carbon of metallic lustre (often called plumbago or black lead), either in the state of a crude ore or in concentrated or beneficiated form.

[Subparagraph (14) added by amdt. 4]

(15) Sales of kyanite and related ores. "Kyanite and related ores" includes any kyanite, andalusite, sillimanite or dumortierite ore in a crude state or in concentrated or beneficiated form.

[Subparagraph (15) added by amdt. 4]

(16) Sales of manganese ores.

"Manganese ores" includes any metallurgical battery, and chemical manganese ore in a crude state or in concentrated, bene ficiated, or sized form.

[Subparagraph (16) added by amdt. 4]

(17) Sales of domestic mercury. "Domestic mercury" includes any mercury produced in the United States, its Territories or Possessions.

[Subparagraph (17) added by amdt. 4]

(18) Sales of acid grade fluorspar. "Acid grade fluorspar" includes any fluorspar which, on a dry basis, conforms to the following chemical analysis:

[blocks in formation]

It also includes any fluorspar ore which conforms to such specification after concentration or beneficiation.

[Subparagraph (18) added by amdt. 4]

(19) Sales of antique automobiles. "Antique automobile" means any passenger automobile which is more than twenty-five years old.

[Subparagraph (19) added by amdt. 5]

(b) Suspensions. No ceiling price regulation heretofore issued or which may hereafter be issued by the Office of Price Stabilization shall apply to the following transactions or commodities in the manner or for the period specified for each such transaction or commodity:

(1) Secret contracts. Sales or deliveries of any commodity listed in Appendix A of Ceiling Price Regulation 30 (Machinery and Related Manufactured Goods) under a contract or subcontract that is officially classified as "secret" and certified, in writing, as such to the Office of Price Stabilization by the United States or any agency thereof. Such certification shall state the date of the secret contract or subcontract and its number or other designation. The certifying government agency shall notify the seller and the Office of Price Stabilization whenever such contract or subcontract ceases to be secret. This suspension shall not apply after the seller is notified by the certifying government agency or the Office of Price Stabilization that the contract or subcontract is no longer deemed to be secret.

(2) Developmental contracts. Sales or deliveries of any commodity listed in Appendix A of Ceiling Price Regulation 30 (Machinery and Related Manufac tured Goods) which is manufactured under a contract or subcontract that is certified in writing to the Office of Price Stabilization as being "developmental” by the United States or by any agency thereof. A contract is deemed to be "developmental" during the period (not in excess of six months) required for the selection of a commodity by the purchaser or for the accumulation of sufficient experience by the manufacturer to permit a fair estimate of the manufacturing costs, or both. Within ten days after entering into any "developmental" contract or subcontract the seller shall file a report with the Industrial Materials and Manufactured Goods Division, Office of Price Stabilization, Washington 25, D. C. This report shall set forth a description of the commodities that are the subject of the contract; a summary of the terms of the contract; and an estimate of the expected duration of the developmental work. This report need not be filed if the "developmental" contract or subcontract is also certified as "confidential," "restricted" or "secret" by the certifying government agency.

(3) Emergency purchases. Sales or deliveries of any commodity listed in Appendix A of Ceiling Price Regulation 30 (Machinery and Related Manufactured Goods) where such a commodity is purchased for immediate delivery by the United States or any agency thereof under such circumstances as to make de

livery imperative and as to render it impossible to secure immediate delivery at the ceiling price which would otherwise be applicable. Within ten days after any such emergency purchase in the amount of $500 or more is made the person making such purchase on behalf of the purchasing agency must file a report with the Industrial Materials and Manufactured Goods Division, Office of Price Stabilization, Washington, D. C. This report shall contain a certification that an emergency existed; the name and address of the seller; the date of the purchase; the date of delivery; the description of the commodity purchased; the quantity purchased; the price at which purchased; and a brief statement of the facts giving rise to the emergency situation which necessitated the purchase at a price higher than the applicable ceiling price.

[Subparagraph (b) added by amdt. 1]

NOTE: The record-keeping and reporting requirements of this regulation have been approved by the Bureau of the Budget in accordance with the Federal Reports Act of 1942. MICHAEL V. DISALLE, Director of Price Stabilization.

EXHIBIT 73

ODM PRESS RELEASE OF SEPTEMBER 30, 1951, ANNOUNCING OPS CEILING PRICE INCREASES FOR LEAD AND ZINC

[blocks in formation]

Charles E. Wilson, Director of the Office of Defense Mobilization, announced today a broad program designed to assure essential supplies of lead and zinc at stable and reasonable prices. This program will involve immediate action by the Government agencies responsible for price control, production, and procurement.

As an immediate and first step in the broader program, the Office of Price Stabilization is issuing a control order setting ceiling prices on domestic and imported lead and zinc. The order sets a ceiling at 192 cents per pound for imported zinc and 19 cents for imported lead. The order also provides for an increase of 2 cents per pound over the existing domestic ceilings, and this, with the exception of a small portion of the domestic production, will result in domestic ceilings identical with import ceilings. (On imports the ceiling will be applied on the basis of delivered price before duty.) The new prices are substantially lower than current world market prices, including prices currently being paid by consumers of the United States for much of their imports.

International allocations have already been accepted for zinc. If limiting the requirements of the nations participating in the International Materials Conference to an agreed figure, in line with available world supplies, can be accompanied by price action, a substantial arrest of the inflationary trends in the nonferrous metals may be achieved.

In developing the program, Mr. Wilson emphasized that conversations will be held with other interested countries and that the import prices had been set after an expert assessment of the prices at which foreign lead and zinc would be forthcoming in order to meet essential United States requirements. The domestic prices of lead and zinc have had to be adjusted in the light of increased costs which have limited the possibility of developing some mines and which have retarded production of domestic supplies at existing ceiling prices. It is possible however, in the judgment of the agencies concerned, to develop an increased volume of lead and zinc through this joint action.

This program has been adopted on the recommendation of the various agencies concerned. The establishment of a ceiling which is somewhat below current world prices involves the calculated risk of some decrease in imports but, since the ceiling is above present domestic price ceilings, should result in increased domestic production. This action will thus tend to reduce the pressure of United

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