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HIGHLIGHTS OF JAPAN'S INDIVIDUAL ACTION PLAN (IAP)

Japan's IAP presents a comprehensive package of actions to be taken based upon the Osaka Action Agenda which was formulated to implement the Bogor Declaration. Japan attaches great importance to the IAP process and has conducted active consultations with other Member economies, the results of which are reflected in the IAP to the maximum extent possible. Japan will make continuous efforts to improve its IAP taking into account the interests of the private business sector who is the main beneficiary of trade and investment liberalization as well as other member economies with a view to making the IAP process dynamic and on-going. The main highlights of Japan' s IAP are the following.

1. DEREGULATORY AND RATIONALIZING MEASURES FOR TRADE AND INVESTMENT FACILITATION

   The Government of Japan will implement wide range of deregulatory measures for structural reform, with a view to realizing an economic society which is open to the world and based upon the principles of self-responsibility and market economy. Some of the highlights of these measures are as follows.

   1. Facilitation of cross-border flow of people, goods and services
      1. Japan will align JIS (Japanese Industrial Standard), JAS(Japanese Agricultural Standard) and technical regulations under the Electrical Appliance and Material Control Law more closely with international standards.
      2. Japan will increase the number of FTOs (Foreign Testing Organization) which provide test data for JAS grading procedures on the basis of requests from abroad.
      3. Japan will expand the flexibility of labeling method under the Household Goods Quality Labeling Law.
      4. Japan will introduce PRA (Pest Risk Analysis) to implement appropriate phytosanitary measures according to the degree of pest risk by the end of June 1997.
      5. Japan will facilitate and expedite import inspection by strengthening animal and plant quarantine system.
      6. Japan will review and set the maximum residue limit of veterinary drugs.[.1] (The maximum residue limit for additional five veterinary drugs will be set by the end of March 1997.)
      7. Japan will further promote inward foreign investment flow by taking various measures, including the following.
         
         • Concerning foreign investment in mining industry, the current arrangement obligating prior notification will be lifted to require only ex post facto reporting(1997).
         • In addition to Japan Investment Council, Regional Japan Investment Council will be newly held to further promote constant dialogue between government and private sector.
      8. Japan will facilitate mobility of business people by the following actions.
         
         • Further review of existing requirements for issuing multiple-entry visas will be conducted. Possibilities such as extending the length of validity and the period of stay of the visas will be examined.(Before the end of March 1997)
         • In addition to the aforementioned measures, review, including extending the length of validity of multiple-entry visa from 3 years to 5 years, will be considered with regard to the relaxation of the criteria in issuing multiple visa, which was implemented from January 1996 as part of Japan's Initial Actions.(1997)
      9. Japan will expand the availability of visas for group tours to all the APEC member economies.
      10. Improvement of market environment and business facilitation
          1. Telecommunications
             
             • Japan will determine the particulars which should be established as basic rules for interconnections with NTT local networks. (Before the end of 1996).
             • Japan will abolish provisions preventing the establishment of excess telecommunication facilities and review the market access restrictions for General Type I Telecommunications Carriers in order to further facilitate the participation of new entrants to the market.
             • In the INGECEP (Integrated Next Generation Electronic Commerce Environment Project), Japan will undertake projects on the verification of information and communication security technology (starting from October 1996). Japan will also connect virtual shopping malls of both domestic and overseas domain, while providing the potential customers with access to such malls (1997).
             • Japan will implement verification experiments with interconnection among many companies of member economies within the framework of the APEC EDI Pilot Project, as well as further strengthen international partnership and launch joint projects of electronic commerce between companies and consumers(1997).
             • Japan will establish the APII Technology Center in Kobe in order to promote the establishment of Asia Pacific Information Infrastructure(January 1997). The Center will contribute to the business facilitation through development of technology and applications for interconnectivity and interoperability with such networks as High Data Rate Satellite Communication Network, Internet and Integrated Services Digital Network that operate within APEC region.
          2. Japan will conduct a revision of the structure of standards in the Building Regulations with a view to shifting, in principle, from designating particulars regarding materials, specifications, and standards, to stipulating performance. The performance based standards will also be introduced in Japanese Agricultural Standard (JAS) for wood products.
          3. Japan will undertake various measures for more active competition policy, including reinforcement of the Fair Trade Commission.
          4. Preparation is currently under way in order to submit to the Diet an amendment to the Copyright Law that will include extension the range of retroactive protection of neighboring rights to 50 years and the term of protection of photographic works as well as increase in the amount of fine for infringement of copyright.
   2. ACTION TOWARD FREE AND OPEN TRADE AND INVESTMENT
      Japan is firmly committed to the maintenance and strengthening of the multilateral trading system. Based on this stance, Japan accelerated its Uruguay Round tariff reduction commitment on 697 items, including textiles, chemicals, steel and non-ferrous metals by approximately two years.
      • With respect to further liberalization, Japan is determined to provide the leadership to conclude the Information Technology Agreement(ITA) and is to implement the expansion of the 0/0 initiative on pharmaceuticals.