Article Abstract:
Informed sources disclosed that US government negotiators plan to adopt a firm but low-key stance in trade talks with Japan. The US reportedly plans to exploit Japan's current problems with the yen by advancing the deadline for an agreement on the automotive trade and by threatening sanctions if the issues are not settled by the spring of 1995. However, the US is also reportedly planning to make its threats privately to avoid loss of face on the part of the Japanese.
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Article Abstract:
Strained relations between Japan and the US are likely to persist despite their recent settlement of the automobile trade dispute. Further exacerbating the situation are the negative perceptions that each country hold for each other. Japan is perceived as unfair and deceitful while the US is considered an aggressor. However, the US's importance as a major trade partner is gradually diminishing since Japan has strengthened its trade ties with its Asian neighbors.
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Article Abstract:
The stand-off between US and Japan over automobile trade is seen to test the political will of the two countries. Each country claims that it will not back down from its stance and leaves the move toward concessions to the other. The US has threatened to impose sanctions such as high tariffs on Japanese goods entering the country and plans to bring the case to the World Trade Organization.
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