 The National Broadcasting Company and its affiliated stations present the Pacific Story. This is the story of the Pacific and the millions of people who live around this greatest sea. The drama of the people whose destiny is at stake in the Pacific War. This is the background to the war in the Pacific and its meaning to us and to the generations to come. Tonight's Pacific Story, The Philippines Come of Age, comes to you from Hollywood and Washington, D.C. as another public service with drama the past and present and commentary by the Honorable Miller D. Tidings, Senator of the State of Maryland and Chairman of the Philippine Rehabilitation Commission, The Philippines Come of Age. The throne Filipino stands adorned among the shattered and blackened ruins of Manila. A solitary silhouette against the tangled destruction, the last echo of firing has died. Out of this will rise our new nation. The Filipino people still bleeding and still suffering stand on the threshold of independence. But with the realization of this long sought independence comes a welter of problems. We have waited more than 300 years for our independence. This is Juan. The Tidings-McDuffie Act promised us our independence on July 4, 1946. Juan is the average Filipino. And last year the American Congress promised us our independence before 1946. The President of the United States is hereby authorized after the normal functions of government have been restored and after consultation with the President of the Commonwealth of the Philippines to advance the date of the independence of the Philippine Islands by proclaiming their independence as a separate and self-governing nation prior to July 4, 1946. Today as the battles go on to redeem the Philippines and the day approaches when the Filipinos will take over their own government, the problems of this new nation are coming more sharply into focus. The United States government stands in the difficult position today of being obliged to keep its word to grant the Filipinos their independence and at the same time morally to be responsible for the welfare of the Filipinos until they're on their feet. This is an expert observer of the Philippines. If the United States quit the Philippines as soon as the Japanese are thrown out, chaos would sweep the islands. Yes, not only is the country devastated but its economy has been upset. And what about defending itself from aggression? The Philippine Rehabilitation Commission was appointed to deal with these very problems. The Commission shall investigate all matters affecting post-war economy, trade, finance, economic stability and rehabilitation of the Philippine Islands including the matter of damages to public and private property and to persons occasioned by enemy attack and occupation. That's the wording of the resolution creating the Commission which is composed of nine representatives of the government of the United States and nine representatives appointed by the President of the Commonwealth of the Philippines. Everything I had is lost but we shall be free. But there are many points of view in the Philippines. It must be realized that among the population of 17 million Filipinos there are a number of different types of people. There are for example the Negritos who were in the islands before the Malays came and there are Indonesians and Chinese who are all these intermixed in the passing years. But that's what happened in the United States too isn't it? Largely yes. But this has developed different problems from those we have in the United States. There is the problem of the Chinese for example. There are about 125,000 Chinese in the Philippines. Something less than 50,000 in Manila alone. For generations the Chinese have been intermarrying with the Filipinos with the result that there are today probably 750,000 mestizos. That is Filipinos with Chinese blood in the islands. We Chinese have more than 100 million dollars invested in the Philippines and we pay more than three quarters of the internal taxes of the Philippines. But from the Filipino point of view there is another side. The Chinese are gaining control of all the business of the Philippines. The Chinese control for example 75% of the rice mills and they cut and mill over 40% of the timber of the Philippines. They control probably 80% of the retail trade. We cannot compete with the Chinese. For years before the war the Chinese had an active chamber of commerce in Manila which supported nearly all Chinese interests. Besides this they had five Chinese daily papers and one weekly periodical. It must be remembered that we Chinese have supported our own schools and hospitals and social clubs and even cemeteries. All this has been on the basis of friction between the Filipinos and Chinese for some years. Friction because they are Chinese? No, because the enterprising Chinese have gained control of a great part of the business of the Philippines. That's why in 1940 the Filipinos nationalized the selling of rice. To combat the Chinese control of the rice mill? Yes, that same year they launched by Philippine campaigns. And the next year in 1941 they excluded all but citizens of the United States and the Philippines from engaging in any form of business in the public markets of Manila. Then they have actually enacted legislation against the Chinese. Yes, the Philippine government has been encouraging Filipinos to engage in business and backing organizations to oust the Chinese from business. Were the Filipinos able to catch up with the Chinese in business? No, they began to catch up and then the war came and a great part of the holdings of the Chinese was destroyed. Most of their large stocks of goods and this savings were seized by the Japanese. But what the Filipinos fear is that when the war is over the Chinese again will rise and gain control of the business of the Philippines. The Filipinos must be able to control their own internal affairs. It must be remembered that the Filipinos were held down by the Spaniards for centuries. Only in the last half century have they had the opportunity to emerge. Some of the Filipinos before the war lived on an aristocratic scale. A somewhat larger group made up the middle class. But the vast majority, the group called the Taos, worked on bigger states and were more or less at the economic mercy of landowners like feudal lords. This has been a big factor. The Chinese situation was just one problem. There were others. By ten years ago, a radical movement, spawned in the grievances of the people had become strong enough to take violent action. The actualists are trying to take the city hall. The city hall too? This is the third ride of the actualists. Three different points, all at the same time. And all against municipal building. Are they trying to take over the government? Yes, they are trying to take it by force. The constabulary is fighting them at every point. Fighting continues. But the main Soctilista uprising has been crushed. Extent of the damage is not yet determined, but more than a hundred Soctilistas and members of the constabulary have been killed or wounded in the outbreak. Authorities are not... The Soctilistas were still active after the invasion of the Philippines by the Japanese. But the majority of Filipinos composed their differences to fight their common enemy. The question is, now that the Japanese have been defeated in the Philippines, will the Filipinos work together for their common good, or will the individual groups still strive for themselves? While the Filipinos are rebuilding their war-torn land, they must still eat. At the same time, they must take their place, along with the other nations of the world, outside the tariff wall of the United States. For years, the products of the Philippines were inside the American tariff wall. As a result, the Philippines were dependent on the American market. Before the war, 75% of the Filipino exports came into the United States tariff-free. Under the law, tariff taxes must be paid on these exports after the Philippines get their independence. If we're going to compete with the Philippine sugar king, the Filipinos must pay the tariff tax on sugar. This was the position of the sugar beet growers of western United States. If we're going to compete with the Philippine coconut oil used in this country for margarine, the Filipinos must pay the tariff taxes on coconut oil. This was the position of the butter makers of America's Midwest. During one three-year period before the war, the Philippines sold to the people of the United States some $520 million worth of goods. Pean sugar, coconut oil, hemp, and so on. And nearly all of this was sold without the payment of any tax, whatever. The tax on these goods amounted to some $440 million. Now, if this tax had been paid, the Filipino producers and the Filipino laborers would have received only $80 million for these products, or a loss of $440 million. Now, unless some special arrangement is made after the Philippines get their independence, the Filipinos will have to pay these taxes the same as any other independent nation. The Philippines were to have had a six-year transitional period to prepare gradually to pay such taxes. Starting in 1941, the Filipinos were to pay 5% of the regular tax on goods sold in the United States. In 1942, they were to pay 10%. In 1943, 15%. And so on, 5% more each year until it reached 25% in 1946. Then in 1947, after the Philippines had been given their independence under the Tidings-McDuffie Act, they were to pay the same export tax as any other nation. That was the plan, but the war in the Pacific changed all that. There was no transitional period. That means that under the law as it now stands, the Philippines will have to pay full export taxes on goods sold in the United States almost as soon as they get their independence. Will they be able to pay this right off the bat? Is there any time their country is being rehabilitated? Well, that's a grave question. The only way they could pay it would be to lower the cost of production. Could that be done? Not without lowering wages and living standards. And if anything, wages and living standards must be raised in the Philippines. Before the war, the Philippines sold nearly all of their products to the United States tax-free. 99% of the Philippine sugar was sold to the United States. 94% of the coconut oil. 99% of the embroidery. 100% of the canned pineapple. 100% of the desiccated coconut. 100% of the pearl button. To put it another way, the $128 million worth of goods exported annually by the Philippines to all countries, $100 million worth of it was exported to the United States. And after the Philippines get their independence, they will have to pay taxes on every dollars worth that now comes into this country. As a result of this, some of the Philippine industries would cease to exist. What are selling to the United States is concerned. If their pearl button industry and the embroidery industry cannot sell to the United States, many of us will be out of work. Not all the Philippine industries will be so hard hit. The coconut oil industry might survive for some time, but possibly would not survive indefinitely. The sugar industry would be in a better position. The industry will not produce as much sugar. This is an operator in the sugar industry. But there will be fewer sugar centrals after the war. A sugar central is a sugar mill. Many of the sugar centrals have already been destroyed in the fighting. And it is likely that many more will be destroyed before the war is over. Some of these will be paid for through the war insurance act. A good many of the centrals will not be rebuilt. Particularly those that were not doing a really large business. This will have a direct effect upon the planters. There will be fewer centrals to sell to. That means that we planters will suffer a disadvantage. In addition to that, there is another angle that affects the planters. Important advances have been made in the cultivation of sugar beets. Much of it is now done by machinery. When it was done by stoop labor, we could compete with the planters in the United States. For our labor costs were less. But now that it can be done by machinery, there will be more sugar beet production in the United States. In addition to these factors, there are other factors which will serve to change the Philippine sugar industry. Our efficiency will be much greater than ever before. Leads of trucks carry the sugar to the railroads. We will have faster transportation, better transportation. That will save money. The manufacturing processes will be changed. Most of the sugar is now consumed within a year. So we will no longer have to refine it hard, which is a more expensive process. It will be changed. After the war, there will be more chain stores. So we will be able to do more direct selling. This will result in a saving. By streamlining its operation, the Philippine sugar industry may be able to adapt itself to the loss of preferential trade regulation. But the other industries would be hard hit. That is why President Roosevelt in October 1943 asked Congress to assist in making the Philippines as an independent nation economically secure wherever possible. In addition to facing the problems that will arise with the ending of free trade between the Philippines and the U.S., the average Filipino faces the problems of internal politics. For years, the Philippines virtually had a one-party monopoly. Many Filipinos actually had little to say in the affairs of their government. When their country gets its independence, they will in all likelihood have more of a say. But until this comes about, they will not have the same opportunities as many in the classes above them, especially the professional politicians. The average Filipino will have to take a more active part in the affairs of his government if he is to benefit by having his country get its independence. But is he able to do this? It must be remembered that the Philippines have been influenced by many peoples and many cultures, influenced by the early Oriental empires, long before the first white men arrived. Then they were controlled by Spain for more than three centuries, while Portugal and the Netherlands and England tried to gain a foothold in the island. And now, since 1898, they've been occupied by Americans. So it must be recognized that the Filipinos have been a dependent people for about 500 years. The average Filipino is a skillful politician, but except for recent years, he's had little opportunity to put this natural skill into practice. This will come. With the politic of the Philippines as a whole becomes operative, the enormous problems of a new statehood must be faced. Are the Philippines going to be able to defend themselves? How much responsibility is the United States going to assume for the defense of the Philippines? With the economic conditions they face, how can the Filipinos afford a strong military? These questions, long in the consciousness of leading Filipinos, will come sharply into focus when the Philippines become a sovereign nation. It will not be an immediate problem. So say the Filipino leaders. When the war in the Pacific is over, the Japanese will not be an aggressive threat for many years to come. But ultimately, the Philippines must be in a position to defend themselves. With at least one generation of peace, we shall be able to defend ourselves, as well as any small nation is able to defend itself. Besides, there is the overall matter of peace in the Pacific. You mean that the United States and Britain will keep peace in the Pacific? Yes. If a small nation such as the Philippines is in danger, then the largest nations on Earth are in danger. We learned that in this war. For the preservation of world peace, the big powers cannot stand by and permit small nations to be swallowed up by aggressors. It should be remembered, however, that when the American flag is lowered over the Philippines, and the Filipino flag goes up, that the responsibility for defense of the islands must be assumed by the Philippines. That is true. But in a larger sense, all the nations of the Pacific represented on the Pacific Council must be committed to keeping peace. For many years to come, it will be necessary for the U.S. and the other nations of the United Nations to maintain strong land and air and sea bases throughout the Pacific. Some of these bases will be in the Philippines. This does not mean that the United States will take over the defense of the Philippines. It means that we are cooperating against aggression, for we shall have an army to put into the field as large proportionate to our population as other nations. The United States' bases in the Philippines could imply that we are actually assuming responsibility for your defense. No, not anymore than the American bases in Trinidad and Bermuda, and Dutch Guiana imply the same thing for those places. What it means is that in the interest of peace, nations are beginning a new era of cooperation. And even more than that, it means that in the Philippines, the United States has a loyal friend in the Far East, and this will go a long way toward the protection of American interests in this part of the world. In the broad sense, the coming independence of the Philippines will usher in a different kind of cooperation between the two nations. Each must be responsible for its own defense, but each for mutual protection must help the other. The question of American bases in the Philippines is covered in the tidings McDuffie law. The United States is authorized to enter into negotiations with the government of the Philippines, not later than two years after the independence of the islands, to settle all questions relating to U.S. naval reservations and fueling stations in the islands. So exactly what bases the U.S. will have in the Philippines will be settled within two years after the islands get their independence. The government of the Commonwealth of the Philippines has asked that the complete independence of the Philippines be proclaimed in August 1945. To help make this transition, the Philippine Rehabilitation Commission is studying the great complex problem and gathering all possible data. But before it, loom vital questions. How can they tell the extent of the damage or the amount of relief that will be needed until the Philippines are completely taken back from the Japanese? How are they going to handle the matter of money with much of the pre-war money destroyed, the islands flooded with Japanese pesos and newly printed American currency now being used? How long a transitional period will be set up and what kind of provisions will be made to facilitate the transition? And how will it be integrated with the United Nations Relief and Rehabilitation Administration? Well, establish an office here in the Philippines. This is a Filipino member of the Philippine Commission who has already returned to his home islands. We are now in the process of organizing a complete staff of clerical and legal experts. This staff will carry out the work of the nine Filipino members of the Commission. A similar office will be established in the United States. The American members of the Commission, for the most part, will operate in the United States. And the two offices will report to the governments of the Philippines and the United States. There's a possibility of conflict within the Commission about problems of that kind, isn't there? Yes. There will be differing political views among the members. And besides that, the Commission may be in conflict even with the agencies of the Commonwealth Government and the government of the United States. But whatever the difficulties, it will have to be resolved. For the Philippines stands as the first nation voluntarily to be free. And as such, stands as a symbol of hope for all the oppressed peoples of the world. A lone Filipino stands at dawn among the shattered and blackened ruins of Manila. A solitary silhouette against the tangled destruction. This is Juan, who at last stands on the threshold of freedom. Out of this will rise our new nation. A new nation looks forward to statehood. To tell what lies ahead, the national broadcasting company presents Honorable Millard E. Tidings, the state of Maryland, long a friend of the Philippines, and chairman of the Philippine Rehabilitation Commission. The next voice you hear will be that of Senator Millard E. Tidings. If there had been no war with Japan, Filipino independence attained on or before July 4, 1946 would have been a relatively simple process. The invasion of the Philippines by the Japanese in December 1941 through all these plans for orderly transition out of schedule. Thus Filipino independence will come under more difficult conditions than were at first visualized. The war in the Philippines has made that difference. Many of the great cities and towns of the Philippines have been devastated. Its industries have been wrecked. Its trade, both internal and external, has been torn to shreds. There is a tremendous problem of readjustment and rehabilitation to be undertaken before the Filipinos regain their economic and political equilibrium. President Truman and the Congress are now working on these problems. We are now trying to find ways and means which will give to the Filipinos an opportunity to regain their economic well-being, so that independence may be as much of a success as the unforeseen advent of the Japanese war will permit it to be. In that war, the Filipinos have fought bravely and loyally by the side of the American troops. They have given their all in the common cause of stopping the Japanese aggressors. Whether you agree with them or not, the Filipinos want their independence. The chairman of the Filipino delegation now in Washington said to me, quote, no matter what economic costs we must pay, we want our independence. If that means that our economic well-being will have to be scaled down, we still want our independence. With due gratitude to the United States for all it has done for the Philippines and the Filipino people, we would rather have less of economic riches and complete independence than to enjoy a higher standard of living and be a dependent possession of any country on earth. We are grateful that the United States has helped mightily the realization of our dream for a free and an independent Philippines. End quote. Keep in mind that every president of the United States, beginning with William McKinley, has held out to the Filipino people the promise that they would eventually have their independence. They have asked us to make good on that promise and we have acceded to their wish. We have kept our word. The Filipino Independence Act, liberating a great country and 18 million Filipino people, has won for us the respect and admiration of the citizens of every nation on every continent on the globe. It shows the United States is not bent on subjugating weaker nations. We believe in a policy of live and let live. We have explained basically to the Filipinos all of the difficulties, all of the dangers involved in standing alone as a free and independent nation. They have expressed a willingness to face all these difficulties. Thus, it is as certain as anything in this world can be that on or before July 4, 1946, there will be a new and young and yet a mighty republic added to the family of nations, the independent Philippine Republic. As we do what we can to launch them successfully on the Sea of Nationhood, we wish them well in their new venture, content in the thought that we have kept our word, done our part and with the firm assurance that on the long road ahead, the Filipinos and ourselves will meet in the Council of Nations as trusting and loyal friends. You have been listening to the Pacific Story presented by the National Broadcasting Company and its affiliated independent stations as a public service to clarify events in the Pacific and to make understandable across currents of life in the Pacific Basin. For a reprint of this Pacific Story program, send 10 cents in stamps or coin to University of California Press, Berkeley, California to repeat. For a reprint of this Pacific Story program, send 10 cents in stamps or coin to University of California Press, Berkeley, California. The Pacific Story is written and directed by Arnold Marquess. The original musical score was composed and conducted by Thomas Paluso. Your narrator, Gaine Whitman. This program came to you from Washington, D.C. and Hollywood. This is the National Broadcasting Company.