The Clinton Administration and the 103rd Congress are in the early stages of a major review of U.S. trade, international and security relations with Japan, the principal U.S. ally and trading partner in Asia. A number of recent developments have raised tensions in this mutually beneficial relationship, which is still characterized by deepening economic interdependence and close political and security cooperation. These include the end of the Cold War, which has eliminated a common military threat; the recent renewed rise in Japan's trade surplus after several years of decline; and increasing international assertiveness by Japan, sometimes in conflict with U.S. policy.
American companies are facing increased competitive pressures from foreign firms. Many observers feel that U.S. firms lag behind their foreign competitors in the development, application, and marketing of new technologies and techniques. The Japanese industrial enterprise is characterized by a large proportion of private sector financing and many other factors, which this report analyzes at length. The question being debated by Congress is whether or not U.S. government programs and policies are an acceptable and effective means of supporting the efforts of American industries to operate in a manner consistent with success in world markets.
This report discusses the U.S.-Japan alliance, which has evolved in response to changes in Japanese defense policies and the regional security environment in East Asia.
This report discusses issues regarding U.S.-Japan economic relations, since the economic condition of each nation can affect the world economy and a U.S.-Japan bilateral economic relationship could influence economic conditions in other countries. U.S. and Japanese leaders have several options on how to manage their relationship.
This report briefly discusses the March 11, 2001 earthquake off the east coast of Honshu, Japan's largest island. The earthquake caused an automatic shutdown of eleven of Japan's fifty-five operating nuclear power plants, though the plants closest to the earthquake's epicenter, Fukushima and Onagawa, were damaged by the earthquake and resulting tsunami. This report also discusses efforts by the United States and other countries to provide assistance to Japan to deal with the nuclear crisis.
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