Because of the lengthy period needed to construct warships and the short duration of the agreement its impact was limited. It was estimated by both German and British naval experts that the earliest year that Germany could reach the 35% limit was 1942. In practice, lack of shipbuilding space, design problems, shortages of skilled workers, and the scarcity of foreign exchange to purchase necessary raw materials slowed the rebuilding of the German Navy. A lack of steel and non-ferrous metals caused by the "Kriegsmarine" being third in terms of German rearmament priorities, behind the Heer and the Luftwaffe, led to the "Kriegsmarine" (as the German Navy had been renamed in 1935) being still far from the 35% limit when Hitler denounced the agreement in 1939.