Press Conference by the Press Secretary 23 January 1996

Japan Government recognition of Bosnia-Herzegovina as independent state
Foreign Ministry Spokesman Hiroshi Hashimoto: Good afternoon, ladies and gentlemen. This morning the Cabinet approved a measure calling for the Government of Japan to recognize Bosnia-Herzegovina as an independent state. Japan has already started extending aid -- so far through international organizations -- but because of the recognition of Bosnia-Herzegovina as an independent state, the way will be open to extend bilateral aid to the country. The Japanese Government will quickly go ahead with the preparations to exchange notes to open official diplomatic relations with Bosnia-Herzegovina. That is what I have to announce to you today. If you have any questions on this subject or any other subject, I am ready to answer them.
Korean Energy Development Organization (KEDO) funding
Q: In yesterday's diplomatic speech, Minister for Foreign Affairs Yukihiko Ikeda said "very active cooperation with the Korean Energy Development Organization." Could you specify what this really means? For example, does it mean Japan is willing to shoulder more than it has originally been thinking of?

A: That is basically the continuation of the Japanese Government's several measures on the Korean Energy Development Organization (KEDO). The Japanese Government announced several times that it is ready to play a significant role in the construction of the light water project. The Government of the Republic of Korea is playing a central role for this purpose. We have sent several survey missions to North Korea, but it will take several more months to finish the survey. Up until then, we are not in a position to say how much cost the Japanese side is going to bear. So, in this sense, what Minister for Foreign Affairs Ikeda said in his official speech reflects the basic stance of the new Japanese Government.

Q: Has the Japanese Government received any requests or pressure or whatever about paying more in supplying North Korea with heavy fuel oil?

A: First of all, up until the construction of the light water reactor, 500,000 tons of crude oil should be delivered to North Korea each year, and we still hope that the United States will provide the resources for this. But, because of budget restraints, it seems that the Clinton Administration is in a very difficult situation as far as getting sufficient funds from the United States Congress is concerned. As the press reports, the Government of the Republic of Korea does not intend to bear any cost for this, and Japan, together with the United States and the Republic of Korea, have been approaching ASEAN countries, Middle East countries and the European Union, asking them if they would contribute to the KEDO. For example, when Minister of Finance Wataru Kubo attended the G-7 meeting very recently, he announced Japan's new financial contributions to the future of Bosnia-Herzegovina, but at the same time, he reminded European countries that they are strongly advised to contribute to the KEDO. In this sense, what I can tell you is those three countries have been approaching the other countries to contribute to the fund; however, the Japanese side has not been asked by the United States to contribute money for this.
Japan-United States bilateral security issues
Q: Minister for Foreign Affairs Ikeda met Secretary of State Christopher of the United States, and of course discussed bilateral security affairs. Could you sum up the exchange between the two, particularly in terms of new developments, if there have been any?

A: The main purpose of Minister for Foreign Affairs Ikeda's visit to Washington, D.C. recently was that the recently established Hashimoto Government considers the Japan-United States relationship to be the cornerstone of Japan's diplomacy. Minister for Foreign Affairs Ikeda wanted to relay this message to the Clinton Administration. At the same time, Minister for Foreign Affairs Ikeda expressed the desire of the Japanese Government that both countries should prepare for a successful visit of President William Clinton to Japan in April. Minister for Foreign Affairs Ikeda expressed his desire to cooperate and work together with Secretary of State Christopher for this purpose. Minister for Foreign Affairs Ikeda talked to Secretary of State Christopher, not only on the bilateral issues, but also on various international issues. Basically, they covered almost all the subjects the two gentlemen are interested in. Basically, this was the first meeting between the two gentlemen. I think a personal relationship has been established. Secondly, the two gentlemen are the people who oversee bilateral relations from each side, and they reviewed what the two governments have been doing. Thirdly, they talked about what we should do for President Clinton's visit to Tokyo. At the same time, they exchanged views on the various international agenda.

Q: Minister for Foreign Affairs Ikeda again yesterday said that the Japan-United States Security Treaty will be a key to bilateral relations, but at the same time he expressed that the Government wants to realign and downsize American forces in Japan. Have both the United States and Japan agreed that the downsizing, and the Japan-United States Security Treaty, and more importantly, the Okinawa or East Asian American forces, is part of the overall review strategy of the United States?

A: First of all, I would like to tell you that Minister for Foreign Affairs Ikeda and Secretary of State Christopher agreed that the Japan-United States bilateral relationship should be developed in a wider sense -- not only in the field of the security relationship, but also in the field of trade and economic relations, and in what we call the "common agenda." This is one point. The other point is that those two gentlemen share the same opinion that the security relationship is the foundation of the bilateral relationship. When President Clinton comes, the two governments will issue a joint paper on the security relationship, and both gentlemen agreed -- including Secretary of Defense William Perry of the United States -- that both governments should try to harmonize the attainment of the purpose of the Japan-United States Security Treaty and the various issues confronting the local people on Okinawa -- notably the realignment and consolidation consultations and reduction of the bases, and the question of night training noise, and these kinds of issues which are related to American bases in Japan. I am sure that the realignment consultations and the reduction of the bases will continue to be discussed between the two nations, but for the time being, the Government of Japan has been waiting until the Okinawa Prefectural Government presents their concrete desire on this. On this basis, the Central Government of Japan will further talk to the Okinawa Prefectural Government. At the same time, we will negotiate with the American side on this issue.

Q: Would the Government of Japan be willing to accept a small reduction in the number of United States forces stationed in Japan, if this was necessary to resolve the concerns of the Okinawans?

A: First of all, the United States has decided to keep approximately 47,000 troops in Japan after they thoroughly investigated the need to maintain peace and security in this region -- using simulation methods and so on. They announced this figure in the official documentation published by the United States Department of Defense. The Government of Japan respects the figure that the United States Department of Defense stated, but while we are trying to reduce or consolidate and realign the American bases, there is a possibility of reducing personnel -- but this is a sort of theoretical possibility. At present, we cannot say anything concrete. However, in general, what I can tell you is that while we said that we should realize the purpose of the Japan-United States security relationship, it means that what we are now doing is within this context -- and how much we can realign, consolidate and reduce the bases, rather than personnel.
Japan-United States bilateral trade issues
Q: This upcoming summit with President Clinton -- most of the reports deal with security issues and personal issues like getting acquainted. But, there are several outstanding trade issues between the two countries. Films, semiconductors, air routes, and insurance are the four most often mentioned. What is being done to resolve these issues before the Summit?

A: First of all, Vice-President Al Gore of the United States and Secretary of State Christopher touched on the subject -- they pointed out the four sectors and said that we should make further progress in those sectors. Minister for Foreign Affairs Ikeda and those two gentlemen completely agreed that these individual issues related to trade and economy should not negatively affect the overall bilateral relationship. This is one point. The other point is that while the American side mentioned four sectors, Minister for Foreign Affairs Ikeda said that at that time he was not prepared to talk about the specific issues; however, that he understood that the Japanese Government, including newly elected Prime Minister Ryutaro Hashimoto, made the positions of the Japanese Government very clear on the film issue and on the Semiconductor Agreement. That is what they talked about. As far as the air cargo issue is concerned, both Japan and the United States have agreed to set up a goal to reach an agreement by the end of March, so we hope that the two sides can produce a good agreement before that time. As for the insurance issue, already the Ministry of Finance and the United States have been communicating with each other at the working level. We will just have to wait and see whether a good result can be achieved.

Q: Would it be possible, just for the record, for you to re-state Prime Minister Hashimoto's position on the other two: the film and the semiconductor issues?

A: When Prime Minister Hashimoto was the Deputy Prime Minister and, concurrently, the Minister for International Trade and Industry, he publicly stated that the Japanese Government would not conduct negotiations with the United States under the threat of Article 301. If an issue arises related to the Fair Trade Law, a foreign company can, at any moment, file a case with the Japanese Fair Trade Commission. That is what Prime Minister Hashimoto stated. As for the Semiconductor Agreement, Prime Minister Hashimoto stated that the climate surrounding the semiconductor industry has changed and cooperation between the two countries on the level of private companies has been firmly established. Japan is of the view that the Government should not intervene in this sector further. The Semiconductor Agreement will be over by the end of July this year, and the Japanese side is of the view that the Agreement should be terminated after this. Thank you very much.

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