     
     
                   JAPAN COUNTRY FACT SHEET
     
     PROFILE:
     
       A. Population:  123.61 million
       B. Religions:   Shintoism, Buddhism, Christianity 1 percent
       C. Government:  Type:  Parliamentary Democracy
                       Head of Government:
     			  Prime Minister Kiichi Miyazawa
       D. Language:    Japanese
     
     ECONOMY:                                      1988     1989     1990
     
       A.  GNP ($B, Nominal)                      2,916    2,890    2,964
       B.  GNP Growth Rate (real, 1985 base)        6.2      4.7      5.6
       C.  GNP per capita (in dollars)           23,750   23,448   23,971
       D.  Gov't spending as a percent of GNP      15.8     15.6     15.4
       E.  Inflation (CPI, 1985 base, percent)      0.7      2.3      3.1
       F.  Unemployment (percent)                   2.5      2.3      2.1
       G.  Foreign Exchange Reserves ($B)          97.7     84.9     77.1
       H.  Average Exchange Rate ($1=)           128.15   137.96   144.79
       I.  U.S. Economic Assistance                   0        0        0
       J.  Output/hour manufacturing (1985=100)    90.7     92.8     94.6
       K.  Domestic Demand (percent growth)         7.6      5.9      5.8
       L.  Household Savings Rate (percent)        14.3     14.1     13.8
     
     TRADE:
     
       A.  Total Japanese Exports ($M)           265,917  275,175  286,948
       B.  Total Japanese Imports ($M)           187,354  210,847  234,799
       C.  Total U.S. Exports (FAS value, $M)    322,426  363,812  393,893
       D.  Total U.S. Imports (customs val. $M)  440,952  473,211  494,903
       E.  U.S. Exports to Japan (FAS, $M)        37,725   44,494   48,585
       F.  U.S. Imports fm Jpn (customs val. $M)  89,519   93,553   89,655
     
         Principal U.S. Exports:  automatic data processing 
         machines and office equipment; wood, in the rough or 
         roughly squared; aircraft, spacecraft, and associated 
         equipment; seafood products; semiconductors and other 
         electronic components
     
         Principal U.S. Imports:  motor cars and other motor 
         vehicles, automatic data processing machines and office 
         equipment, parts and accessories of motor vehicles, 
         scientific optical equipment, and semiconductors and 
         other electronic components
     
         Best U.S. Export Prospects:  Pharmaceuticals, 
         telecommunication services, marine fishery products, 
         biotechnology products, medical equipment and supplies, 
         industrial chemicals, aircraft and parts, 
         architectural/engineering/construction services, 
         sporting goods, computer software and services, and 
         building products.
     
         Foreign Supplier Share of Japanese Imports in 1990:
     
         1. S.E. Asia:      23.3%       4. Middle East:   13.2%
         2. U.S.:           22.4%       5. Indonesia:      5.4%
         3. E.C.:           14.9%       6. Australia:      5.3%
     
         BOP Current Account Balance:  1989:  $57.16 billion
                                       1990:  $35.79 billion
     
         Trade Balances with Leading Partners, 1990 ($B):
         1. U.S.:                                               41.07
         2. S.E. Asia:28.12
         3. E.C. (including the Federal Republic of Germany):   18.49
         4. Federal Republic of Germany:                         6.30
         5. Republic of Korea:                                   5.75
         6. Middle East:                                       -21.46
     
     IMPORT POLICY:
     
     1.  Tariffs:  The average Japanese tariff is low, but on 
         specific items, particularly foodstuffs and leather 
         goods, both tariffs and quotas are trade restrictive.  
         Japan has recently eliminated the import quotas on beef 
         and citrus, as well as the quotas on many processed 
         foods.
     
     2.  Taxes:  Since April 1, 1989, the commodity tax has been 
         replaced with a general consumption tax of 3 percent, 6 
         percent on autos, which is levied on the c.i.f. plus 
         duty value.
     
     3.  Licensing of Technology:  Until recently, a report had 
         to be filed with the Ministry of Finance and other 
         competent ministries through the Bank of Japan before 
         signing a licensing contract.  In practice, the 
         investor was notified that the Japanese Government had 
         no objection within one hour following notification, if 
         the proposed investment was in unrestricted industries.  
         However, as part of the U.S.-Japan Structural 
         Impediments Initiative Agreement, this prior 
         notification requirement has been replaced by ex post 
         facto notification for investment in unrestricted 
         sectors.  More stringent regulations apply to 
         "designated technologies" which have been determined to 
         have significant influence on the security of the 
         nation and the national economy.
     
     INVESTMENT:
     
         Foreign Ownership Restrictions:  A 100 percent foreign 
         capital is allowed in principle except for the 
         following sectors:  broadcasting; telecommunications; 
         electric power generation; domestic rail and air 
         transportation; arms; gun powder; atomic energy; 
         aircraft; space development; narcotic manufacturing; 
         vaccine manufacturing; security guard services; 
         agriculture, forestry, and fisheries; petroleum 
         refining and marketing; leather and leather product 
         manufacturing; and mining.  Total U.S. Direct 
         Investment in Japan (cumulative):  1988 $16.9 billion, 
         1989 $18.5 billion, 1990 $20.9 billion.
     
         Principal Foreign Investment Sectors in Japan 
         (1950-1989):  Machinery, chemical, commerce/foreign 
         trade, services, real estate, petroleum, 
         banking/insurance, and metals.
     
         U.S. Share of Foreign Direct Investment in Japan:  50.5 
         percent (as of March 31, 1990)
     
         Principal Foreign Investors in Japan (JFY 1989):  
         United States, the Netherlands, Federal Republic of 
         Germany, Switzerland, United Kingdom, and Hong Kong.
     
         Japan's Foreign Direct Investment in U.S.  
         (cumulative):  1988 $53.4 billion, 1989 $67.3 billion, 
         1990 $83.5 billion.
     
     
