July 16-22
Politics, Germany
Adolf Hitler's Directive No. 16 reveals his military plan to invade Britain, code-named Operation Sealion. This requires control of the English Channel for transporting the invasion force and the destruction of Britain's fighter capability to ensure a safe crossing. The air force is made responsible for destroying the strength of the RAF and Royal Navy. Hitler's plans are further advanced after his final peace offer is rejected by the British on the 22nd.

July 18
Politics, Britain
British Prime Minister Winston Churchill agrees to close the Burma Road to disrupt supplies to the Chinese in order to avoid a conFrontation with the Japanese. The onset of the monsoon season means that the supply line would be disrupted anyway. The British will reopen the aid route in October.

July 21
Politics, Soviet Union
The authorities formally annex Lithuania, Latvia, and Estonia.

July 22
Espionage, Britain
Britain establishes the Special Operations Executive (SOE) to secretly give support to resistance groups across Nazi-occupied Europe.

July 25
Politics, United States
The United States introduces licensing to restrict the export of oil and metal products outside the Americas and to Britain. This measure is particularly directed toward Japan, which is heavily dependent upon imports of these resources. As a consequence, Japanese strategic planning devotes greater attention to the resources of the Dutch East Indies and Malaysia to relieve their raw material shortages.

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