The output of iron ore in Japan is utterly inadequate to supply this expanding industry. The production of iron ore in Japan has averaged about 150,000 tons annually in recent years, whereas the consumption of crude, semi-crude and manufactured articles of iron and steel is approximately 1,500,000 tons. In order to supply her needs, therefore, from her own manufacturing plants, Japan would require in the neighborhood of 3 million tons of iron ore annually. As compared with this, Japan’s entire consumption of iron ore, both imported and domestic, is less than 700,000 tons. The remainder of the iron and steel required in Japan is being imported in the form of pig iron and crude and manufactured products. Japan is making a strong effort to develop iron-ore deposits in neighboring countries, especially in China, Manchuria, and Korea; and the production from these sources which goes to Japanese-controlled furnaces is rapidly increasing. Among the more recent Japanese iron and steel enterprises in these countries are the blast furnaces and steel plant now being built at An-schan-chang, south of Mukden, in Manchuria; the blast furnaces at Pen-hsi-hu, southeast of Mukden, in Manchuria; and the blast furnaces at Ken-ji-pho, in Korea. The last two of these plants are now producing pig iron, which is being sent to Japan. In the future all three plants will probably build steel works. Iron-ore deposits are being mined in connection with all of them. Besides being used in the local blast furnaces, iron ore is being sent to Japan from these mines. In China, the most important iron and steel enterprise is that at Han-yang, in the Province of Hu-peh. This operation was started by the Han-Yeh-Ping Iron & Steel Co., as a Chinese enterprise in connection with the Tayeh mines in the same province. This company, however, became involved in financial difficulties, and Japanese capital was called upon in order that work might continue. Considerable expansion of the plant is at present taking place under Japanese supervision. Iron ore from the Tayeh mines and pig iron from the Han-yang plant are sent to Japan for use in Japanese iron and steel works. It is doubtful whether, with the rapid expansion of the Japanese iron and steel industry, mines in China, Manchuria and Korea can be developed fast enough to supply the raw materials necessary. There are rumors that several deposits of iron ore in eastern China are now being developed, including that of Chin-ling-chen, and these may afford some additional supply. The iron mines of India also may be called upon to furnish more iron ore to Japan than they have done in the past. The only other important iron-ore deposits known elsewhere in the Orient are in the Philippine Islands. These deposits are reported to be fairly important and they are favorably situated for supplying Japanese plants. They are controlled by Americans.