OVERVIEW OF THE JAPAN-UNITED STATES
FRAMEWORK TALKS

MECHANISMS AND FIELDS OF DIALOGUE

Japan-United States Summit Meeting (Twice a Year)

Macro-Level Issues(Mid-Term Objectives)

Japan

• Highly significant decrease in current account surplus
• Sustainable domestic demand-led growth
• Increasing the market access
• Increase in global imports

United States

• Substantially reducing fiscal deficit
• Promoting domestic savings
• Strengthening international competitiveness

Sectoral and Structural Consultations and Negotiations

1. Government Procurement
   
   
   • Computers
   • Supercomputers
   • Satellites
   • Medical technology
   • Telecommunications
   • Preferential procurement policy (policies on preferential treatment for United States products)
     
     
2. Regulatory Reform and Competitiveness
   
   
   • Financial services
   • Insurance
   • Competition policy, transparent procedures, distribution
   • Promotion of U.S. exports to Japan, enhancement of U.S. international competitiveness
     
     
3. Other Major Sectors
   
   
   • Autos and auto parts
     
     
4. Economic Harmonization
   
   
   • Foreign direct investment
   • Intellectual property rights
   • Access to technology
   • Long-term buyer-supplyer relations
   • Trade-related legislation(such as Section 301)
     
     
5. Implementation of Existing Arrangements and Measures
   
   
   • SII (Japan-United States Structural Impediments Initiative)
   • Paper
   • Glass
   • Wood products

- Underlined sections indicate high-priority matters for negotiation, with conclusion originally scheduled to be reached by the February 1994 Summit.

- Italics indicate areas in which conclusion has been reached.

- The extent of implementation of measures and policies in each area, and the progress achieved, are to be evaluated using objective criteria (qualitative and/or quantitative).

Common Agenda for Cooperation in Global Perspective

1. Promotion of Health and Human Development
   
   
   • Assistance for Women in Development (WID)
   • Population
   • HIV/AIDS
   • Children's health
     
     
2. The Challenges facing the Security of Human Beings
   
   
   • Narcotics
     
     
3. Protecting the Global Environment
   
   
   • Assistance for environmental development
   • Coral reefs
   • Forests
   • Conservation
   • Oceans
   • Global Observation Information Network (GOIN)
   • Worldwide Network of Research on Global Change
   • Environmental Policy Dialogue
   • Environmentally-friendly and energy-efficient technologies
     
     
4. Science and Technology
   
   
   • Civil industrial technology
   • Transportatoin technology
   • National Information Infrastructure (NII)
   • Road technology
     
     
5. Exchanges to Promote Mutual Understanding
   
   
   • Manufacturing Technology Fellowship Program (MTFP)
   • Labor exchanges

BASIC PRINCIPLES

1. Two-way dialogue between the two countries.
2. Benefits other countries on a most-favored nation (MFN) basis.
3. Matters to be limited within the scope and responsibility of government
4. Disputes to be settled in a manner consistent with international rules such as the GATT.
5. Refrain from application of unilateral measures (such as sanctions under Section 301 of the United States Trade Act).
6. Managed trade approaches such as setting numerical targets to be avoided. 1-4: Clearly specified in the July 1993 framework agreement