Although neutral in the early part of World War I , the United States was producing munitions ( primarily artillery ammunition ) for the Allies : the British blockade of Germany prevented trade with the Central Powers after 1915 . The Black Tom explosion occurred at an ammunition storage area in Jersey City , New Jersey , near Liberty Island , on 30 July 1916 . It broke windows in lower Manhattan and damaged the Statue of Liberty 's raised arm ; since then tourists have not been allowed to visit the torch . The blast was initially reported as an accident , but years later was acknowledged to be sabotage by agents working directly and indirectly for Germany
Black Tom explosion
Black Tom explosion
Harbor Defenses of New York