Japan's Individual Action Plan
for Implementing Osaka Action Agenda

<Summary Sheet>

November, 1997

Area Timeline
Short-term
(1997-2000)
Mid-term
(2001-2005)
Long-term
(2006-2010)
1. TARIFFS Implement fully the Uruguay Round agreements, thereby bringing tariff rates down to the following levels (simple average for agricultural products and trade-weighted average for other products)

Industrial products (6,700items*):1.5%
Fisheries products (290items*):4.1%
Forestry products (170items*):1.0%
Agricultural products (1500items*):9.3%
(*approximate figures)

Provide the leadership to conclude the Information Technology Agreement (ITA)
Progressively reduce tariffs in accordance with General Principles of the OAA and the UR agreements
Continue to ensure the transparency of the tariff regimes
2. NON-TARIFF MEASURES Not apply any non-tariff measures that are not justified under international agreements Continue to ensure the transparency of the non-tariff measures
3. SERVICES
-Telecommunication(S)
Completely liberalize interconnection of private leased circuit with public switched telecommunications networks internationally

Abolish the limitations on foreign capital participation in Type I telecommunications carriers(except for NTT and KDD) upon the entry into force of Fourth Protocol to the GATS

Revise the Telecommunications Business Law, and introduce a new accounting system for interconnection

Revise the NTT Law and reorganize NTT
 
-Transport(S) Undertake preparatory works in such areas as domestic systems and relevant legal provisions with a view to acceding to the Revised UN-ECE 1958 Agreement, in order to promote the introduction of a mutual recognition system for motor vehicle equipment and parts

Conduct more comprehensive review on computerizing the port entry and clearance procedures in anticipation of linkage with the Sea-NACCS (Nippon Automated Cargo Clearance System) which is scheduled to be renovated by 1999

Promote liberalization of maritime transport by ways such as active participation in WTO negotiations in maritime transport
 
-Energy By the end of FY 1997, Japan will take appropriate measure towards the abolishment of the system under which the certificate of gasoline supplier is required for registration of new service stations  
-Tourism (No restrictions exist in terms of national treatment and market access in the following tourism-related services except where reservations are registered in horizontal commitments by Japan under GATS; hotels and restaurants services, catering services, travel agencies and tour operators services, and tourist guides services)  
-Financial(S) Foreign Exchange and Foreign Trade Control Law was revised to introduce to Japan global standards on external transactions and to further vitalise our market by complete liberalisation of the foreign exchange business. These changes will result in (1) liberalisation of cross-border capital transactions through abolishing in principle permission and prior notification requirements (2) liberalising the foreign exchange business by way of abolishing the Authorised Foreign Exchange Bank System, the Designated Securities Firm System and the Money Exchanger System (in April 1998).  
-Business(S) Take necessary measures including revision of the law governing the legal practice in Japan by "gaikokuho-jimu-bengoshi"(foreign lawyers qualified by Japanese law) based on the conclusion of the study group within fiscal 1997.  
4. INVESTMENT Improve transparency by dissemination of information
Promote dialogue with the business community

Take further actions to liberalize / facilitate investment, among others;
-lift the prior notification requirement in mining in FY 1997
-abolish the limitations on foreign capital participation in Type I telecom carriers (except for NTT and KDD) upon the entry into force of Fourth Protocol to the GATS
Take the lead in achieving free and open investment by 2010 specifically;
-look into taking appropriate action regarding industries reserved from foreign ownership
-review each industry reserved on grounds of national security / public order

Take all possible steps to actually expand FDI into Japan to a level comparable with Japan's outward FDI

Define the optimal global framework of rules for investment with an active APEC contribution
5. STANDARDS AND CONFORMANCE Ensure the transparency of the standards and conformity assessment

Align where appropriate Japan's mandatory and voluntary standards with international standards, and among others, align JIS(Japan Industrial Standards) more closely with ISO and other international standards

Strive to participate in mutual recognition arrangements in most regulated sectors
6. CUSTOMS PROCEDURES Adopt the UN/EDIFACT standard in 1999

Actively participate in the work of WCO in the review of the Kyoto Convention

Strengthen the enforcement measures to implement the WTO/TRIPS Agreement

Actively participate in the work of WCO in the review of the HS Nomenclature, and fully implement the result

Computerize further customs procedures, including development of the UN/EDIFACT environment

Take further actions for facilitation and harmonization of customs procedures
Provide continual contributions in terms of technical assistance and human resources development
7. INTELLECTUAL PROPERTY RIGHTS Provide prompt granting of intellectual property rights

Strengthen measures against IPR infringement

Provide and expand technical assistance in the area of IPR

Implement border measures to prevent IPR infringement in accordance with the TRIPS
 
8. COMPETITION POLICY Undertake various measures for more active competition policy, including reinforcement of the Fair Trade Commission

Publish and distribute "FTC/JAPAN views" reporting on the application of Antimonopoly Act and the development of competition policy

Review of exemption systems of cartels and others from the application of the Antimonopoly Act

Provide technical assistance in terms of competition policy
 
9. GOVERNMENT PROCUREMENT Enhance transparency by making available information on GP

Promote information exchange through contact points and GP database registered on the APEC Home Page

Consider providing technical assistance for development of GP systems in other APEC economies

Fulfill the obligations under the Agreement on GP and continue to implement the voluntary measures which Japan has taken, such as lowering part of threshold of procurements covered by the Agreement, extending the period for the receipt of tenders and disseminating relevant information at the early stage of tendering procurements

Continue further enhancing transparency, openness and fairness in government procurement through the contribution to the on-going works under the WTO.
10. DEREGULATION Publish "The Present State of Deregulation" and actively publicize it

Identify and eliminate trade and investment distortions arising from domestic regulations that are more restrictive than necessary to fulfill legitimate objectives, including the implementation of deregulatory measures in the further revised "Deregulation Action Program" of March 1997
 
Make active use of OTO (Office of Trade and Investment Ombudsman) to promote deregulation measures which contribute to improved market access
11. RULES OF ORIGIN Facilitate, complement and accelerate the WTO/WCO work on harmonization of non-preferential rules of origin

Conduct an independent study of the implication of rules of origin on the free flow of trade and investment
 
12. DISPUTE MEDIATION Introduce an expedited procedure from October 1,1997 with a view to resolving small claims disputes expeditiously  
Promote further utilization of OTO (Office of Trade and Investment Ombudsman) and other dispute settlement mechanisms

Provide support ,where necessary, for other APEC members in establishing grievance mechanism

Review and modify if necessary administrative measures for greater transparency
13. MOBILITY OF BUSINESS PEOPLE Simplify and expedite visa procedures, including simplification of content of documentation

The length of validity of multiple-entry visa for APEC members will be extended from 3 years to 5years. (as of January 1.1998)

Review, as appropriate, period of stay for the status of residence of "Intra-company Transferee" stationed in Japan
 
Contribute actively to the work being conducted in the WTO in relation to mobility of business people
14. IMPLEMENTATION OF UR OUTCOMES Implement fully all the UR agreements within the agreed time frame

Broaden and deepen the UR commitments, i.e. the elimination of the custom tariff on the Information Technology products

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