ITA hosts second session of the MITI-DOC dialogue - Japan's Ministry of International Trade and Industry, the Department of Commerce, and the International Trade Administration

Business America, Oct 7, 1991 by Gretchen A. Jacobsen

During the week of Sept. 15, the International Trade Administration's Office of Trade Development hosted the second session of the MITI-DOC Dialogue, a program designed to expand commercial relations between the United States and Japan. The MITI-DOC Dialogue brings together industry specialists from the Department of Commerce and Japan's Ministry of International Trade and Industry (MITI) for non-confrontational, in-depth discussion and information sharing. According to Secretary of Commerce Robert A. Mosbacher, "the opportunity to exchange economic and industry information, build relationships, and explore avenues of cooperation with the Japanese will improve the atmosphere of our trade relations and help American companies do business in Japan."

Secretary Mosbacher and former MITI Minister Hikaru Matsunaga launched the Dialogue in January 1990. The first session of talks was held in May 1990 in Tokyo and included a short plenary session followed by two days of one-on-one meetings, plant tours, visits to research laboratories, and meetings with trade associations.

Nearly 200 people participated in the second session of the Dialogue, including the MITI delegation, led by MITI Minister Eiichi Nakao and Vice Minister for International Affairs Noboru Hatakeyama; the Commerce delegation, led by Secretary Mosbacher and Under Secretary for International Trade J. Michael Farren; and a host of trade associations and private sector representatives. The Dialogue was organized by James C. Lake, Deputy Assistant Secretary for Trade Development, and Nobuyori Kodaira, Director of the Americas Division. The program included two days of meetings in Washington and visits by MITI officials to eight of the Japan Corporate Program companies. (The Japan Corporate Program is a five-year export promotion effort to identify the barriers faced by U.S. firms and improve our knowledge of the Japanese market. See the May 6, 1991 issue of Business America for details.)

The Dialogue began on Sunday evening with an informal dinner at a local restaurant, Red, Hot & Blue, where the MITI and DOC delegations enjoyed relaxed conversation and traditional "Southern Barbecue." The evening served as an effective ice-breaker, setting a positive tone for the formal discussions which began the following morning.

Secretary Mosbacher and Minister Nakao convened the Dialogue at the opening plenary session in the Department of Commerce auditorium. The MITI and DOC counterparts then met for sector-specific meetings covering the following industries: aerospace, autos, consumer goods, basic industries, capital goods, science and electronics, services, and textiles and apparel. A special meeting was also held on patent issues.

The one-on-one meetings were followed by a luncheon hosted by the National Association of Manufacturers (NAM). NAM President Jerry Jasinowski and Secretary Mosbacher made brief remarks and Vice Minister Hatakeyama offered his views of the U.S.-Japan trade situation. The NAM members and the MITI and Commerce officials were able to visit at length over lunch.

The next stop on the day's agenda was the U.S. Chamber of Commerce. The MITI and DOC officials were briefed by William T. Archey, Senior Vice President for Policy, and Willard A. Workman, Vice President for International. Topics included an assessment of the challenges to maintaining U.S. competitiveness and an overview of the Chamber's international activities. The day ended with a reception hosted by the MITI delegation at the Embassy of Japan.

The second day of the Dialogue began with three hours of sector-specific meetings. Trade associations and private sector representatives were invited to participate in these discussions, allowing them the unique opportunity to address face-to-face the MITI representatives responsible for their industries in Japan. The DOC and MITI officials then joined the Chairs of the Industry Sector Advisory Committees (ISACs) for lunch. (The ISAC members are representatives from the private sector who offer advice to U.S. policymakers on all trade agreements and on U.S. trade policy administration.)

After lunch, the delegations returned to the Department of Commerce for the final plenary session and a press conference. The MITI and DOC delegations and private sector participants were able to resume their discussions later that evening during a reception hosted by the Department of Commerce at the Meridian House.

For some officials, the Dialogue continued with on-site visits to the following Japan Corporate Program companies: Compaq Computer in Houston, Tex.; Dana Corporation in Toledo, Ohio; Detroit Center Tool in Detroit, Mich.; General DataComm in Middlebury, Conn.; Guardian Industries in Northville, Mich.; Hurco Companies, Inc., in Indianapolis, Ind.; Oracle Corporation in Redwood Shores, Calif.; and The Timken Company in Canton, Ohio.

From all accounts the meetings in Washington and the trips to the Japan Corporate Program companies were informative and extremely worthwhile for the MITI and Commerce representatives as well as for the private sector participants. James Lake noted that, "the benefit of meeting face-to-face with key MITI officials was clear. In some instances, questions that would have taken months to answer were immediately resolved." In cases where officials were unable to provide answers, plans were made to investigate the issues and respond at a later date. In a few of the industry sector meetings, there was simply too much information to cover in the allotted time. Therefore, MITI and DOC officials agreed to expand regular channels of communication, cooperation, and information exchange.