The Japanese government should step up efforts aimed at increasing the competitiveness of domestic industries as Tokyo and Washington agree to enter bilateral trade negotiations, Yoshimitsu Kobayashi, the chairman of the Japan Association of Corporate Executives (Keizai Doyukai), said in a statement on Thursday.
MOSCOW (Pakistan Point News / Sputnik - 27th September, 2018) The Japanese government should step up efforts aimed at increasing the competitiveness of domestic industries as Tokyo and Washington agree to enter bilateral trade negotiations, Yoshimitsu Kobayashi, the chairman of the Japan Association of Corporate Executives (Keizai Doyukai), said in a statement on Thursday.
On Wednesday, US President Donald Trump and Japanese Prime Minister Shinzo Abe announced that the two countries had agreed to start bilateral trade negotiations. According to a joint statement released by the White House, the two leaders agreed to respect each government's positions which include, for the United States, market access to Japan's motor vehicle sector which will boost US jobs and production. Tokyo, for its part, wants access to US agricultural, forestry, and fishery product markets as reflected in Japan's previous economic partnership agreement, the joint statement said.
"The moment of truth has yet to come. While seeking an agreement that meets interests of both countries on the issue of market access, Japan should step up enhancement of the competitiveness of domestic industries such as agriculture and take all precautions," Kobayashi said.
The organization praised the joint statement issued by the two leaders, noting that it was "a constructive outcome which helps to avoid immediate friction."
"At the same time, we expect that Japan as free trade flagman will engage with more countries such as the European Union, TPP [Trans-Pacific Partnership] signatories, RCEP [Regional Comprehensive Economic Partnership] negotiating countries and others, continuing to demonstrate leadership in building an economic order based on free and fair high-level rules," Kobayashi said.
Akio Toyoda, the Japan Automobile Manufacturers Association (JAMA) chairman and Toyota Motor Corporation president, also welcomed the announcement, in particular the US decision not to levy additional tariffs on Japanese car exports while in talks.
"We welcome the fact that additional tariff on imported cars will not be imposed under Article 232 of the US Trade Expansion Act during the talks," Toyoda's statement read.
The businessman noted that the Japanese automobile industry had been investing and creating jobs in the United States for more than half a century, adding that Japan's car manufacturers had 24 production bases and 44 research and development sites in 19 states.
"We sincerely wish to continue our business activities rooted in the United States and contribute to the sound development of the industry and the economy, while supporting customers and local residents in the future," Toyoda stressed.
US and Japanese trade officials have held a series of ministerial consultations this year to explore ways to close the gap on their positions in the bilateral trade relationship while expanding areas of cooperation.
Earlier this month, Trump told reporters that the Japanese would not negotiate with the Obama administration because "they felt there was going to be no retribution." The US president also said that Tokyo will have a "big problem" if they fail to reach a trade accord with the United States.
