WTO Services Trade Negotiations Submission of Initial Requests

June 2002

In line with the Doha Ministerial Declaration of last November, which decided that participants shall submit initial requests for specific commitments by 30 June 2002, Japan submitted on the 27th and 28th of June its initial requests for the negotiations on trade in services to basically all 128 WTO Members.

In general terms, Japan attaches great importance to the following issues in the current request-offer negotiation process.

elimination or alleviation of horizontal (cross-sectoral) regulations which constitute substantial obstacles to the activities of foreign service suppliers, such as restrictions on the participation of foreign capital, nationality requirements for the staff and employees, restrictions on the acquisition of real estate, etc.
improved commitments of liberalization in those services sectors which serve as an infrastructure in support of various economic activities, such as telecommunication, construction, distribution, financial, transport, etc.
improved commitments of liberalization in those services sectors related to new information and communication technology, such as computer and related services, telecommunication, etc.
improved commitments of liberalization in various professional services supporting business activities, such as accounting and architectural services.

In particular, Japan has submitted extensive requests covering wide range of areas to some 20 Members with which Japan maintains close economic relations. More specifically, Japan's initial requests to those Members include, wherever relevant, the following issues and other Member specific issues.

(Professional Services)

legal services (removal of restrictions on foreigners obtaining local qualification, on foreign qualified lawyers supplying services on their home country law and international law, etc.)
accounting services (removal of restrictions on foreigners obtaining local qualifications, etc.)
architectural and engineering services (removal of restrictions on foreigners obtaining local qualifications, etc.)

(Business Services other than Professional Services)

commitments on market access and national treatment in computer and related services, management consulting services, maintenance and repair of equipment services, etc.

(Telecommunications Services)

commitments on the Reference Paper
elimination of restrictions on the types of commercial presence, across-the-board restrictions on the participation of foreign capital, across-the-board nationality/residency requirements, and limitations on the number of licenses.
liberalization of voice transmission services, supplied through the use of domestic leased circuits interconnected with public switched networks, etc.

(Audio-visual Services)

commitments on market access and national treatment in motion picture production, distribution and projections services, and sound recording
elimination of quantitative restrictions on the number of imported motion pictures and on the hours of their projection
reduction in discriminatory subsidies for foreign service suppliers, etc.

(Construction and Related Engineering Services)

commitments on market access and national treatment in each sub sector, etc.

(Distribution Services)

commitments on market access and national treatment in each sub sector
minimization of the number of goods subject to restricted distribution, etc.

(Education Services)

commitments on market access and national treatment in higher education, adult education and other education services, etc. (Regarding higher education, Japan recognizes the necessity of appropriate regulations in order, among others, to maintain the quality of education and protect students. Japan requests that transparency of these regulations be ensured.)

(Environmental Services)

commitments on market access and national treatment in each sub-sector, etc. (On such services as waterworks and sewerage services, Japan acknowledges that due consideration should be given to their nature as basic public services and the importance of securing universal service, etc.)

(Financial Services)

commitments in line with the Understanding on Commitments in Financial Services
elimination of restrictions on the participation of foreign capital, restrictions on the types of commercial presence, etc.

(Tourism and Travel Related Services)

commitments on market access and national treatment in each sub sector
elimination of nationality requirements for tourist guides, etc.

(Recreational, Cultural and Sporting Services)

commitments on market access and national treatment in entertainment services, news agency services, sporting services, etc.

(Transport Services)

commitments in maritime transport services in line with the Draft Schedule
commitments on maritime container transportation connecting with international maritime transport (multi-modal transport services)
commitments on rail transport, road transport, services auxiliary to all modes of transport, etc.

(Energy Services)

commitments on market access and national treatment
reduction in tariffs on imported tools/equipments designed for energy services, and elimination of local contents requirements
commitments on temporary entry and stay, on the basis of employment contracts with recipient companies, of natural persons who engage in business activities requiring skills/knowledge in the field of energy, etc.

(Movement of Natural Persons)

commitments on intra-corporate transferees
commitments on temporary entry and stay, on the basis of employment contracts with recipient companies, of natural persons who engage in business activities requiring knowledge in the field of natural sciences or humanities, or who are qualified in the recipient countries and provide legal or accounting services, etc.

(MFN Exemption Measures)

elimination of measures on the MFN exemption list, etc.

(Other Horizontal Issues)

removal of across-the-board restrictions on the participation of foreign capital, nationality/residency requirements, limitations on the types of commercial presence and restriction on foreigners' acquisition of real property
improvement in transparency in licensing and other administrative decisions, regulations and procedures, etc.

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