In accordance with the philosophical approach and its mathematical implications that were derived in Part I of this series (see p. 433), this paper deals explicitly with the manifestations of matter that are concerned with its electromagnetic and inertial properties. It is demonstrated that a logically and mathematically generalized version of electromagnetism emerges from extending the Faraday-Maxwell field approach, so as to fully unify these features of matter with the field description of matter itself. It is then shown how the most general expression of matter (according to the axioms of this theory), in terms of two-component spinor fields in a Riemannian space, leads to a derivation of the inertial properties of matter. The mass field so-derived (1) is a positive-definite of the (global) coordinates--implying that gravitational forces can only be attractive; (2) approaches a discrete spectrum of values as the mutual coupling among the matter components of the closed system becomes arbitrarily weak; (3) predicts mass doublets in this approximation; and (4) approaches zero as the closed system becomes depleted of all other matter (in accordance with the Mach principle). It is also proven, as a consequence of the same field theory, that electromagnetic forces can be attractive or repulsive, depending on certain features of the geometrical fields of the Riemannian space. 1. Electromagnetic Theory In view of the logical implication of the generalized Mach principle regarding the elementarity of the interaction rather than the free particle, there follows an interpretation of the Maxwell field equations that differs from the usual one. The interaction is described here in terms of the coupling of field variables which are associated with the components of a closed material system. Electromagnetic phenomena are expressible in terms of two types of field variables. One set relates to the field intensity that is conventionally associated with the electric and magnetic field variables. The other set relates to the 'source fields' that are conventionally identified with the charge density and its motion. According to the interpretation that is advocated here, Maxwell's equations are not more than a covariant prescription for determining one of these types of electromagnetic field variables in terms of the other. Thus, Maxwell's equations