Country Risk Assessment on Japanese Imports of Drugs :: Economics Politics

Country Risk Assessment on Nipponese Imports of DrugsHistory lacquer, being the worlds most dynamically militant nation, is facing an ironic quietus in share with the U.S. The Japanese miserliness relies too heavily on exports, especially to the U.S., causing increasing trade surpluses. They have been in a repetitive cycle for the last 25 years in which the g all overnment allows the yen to fall against the dollar to get up exports and restrict domestic growth to dampen imports. The Japanese government has fixate too umteen trade restrictions on U.S. imports, trying to compete against and note protrude American imports.This all began during the postwar period when Japan oblige heavy import barriers. Virtually all products were subject to government quotas, many faced high tariffs, and the Ministry of International and Trade Industry (MITI) had authority over the allocation of foreign exchange that companies needed to pay for any import. These policies were justify at t he time by the weakened position of the Japanese attention and the countrys chronic trade deficits. By the late 1950s, however, they had regained balance and could not justify their payment system. Despite Japans rather good reputation on tariffs and quotas, it continued to be the target of complaints and pressure from its trading partners during the 1980s. These complaints rotate around non-tariff barriers other than quotas, which included standards, testing procedures, government procurement, and other policies that were be used to restrain imports.Import PoliciesIn 1984 the fall in States government initiated intense talks with Japan on four product areas forest products, telecommunications equipment and services, electronics, and pharmaceuticals and medical checkup equipment. The Market Oriented Sector Selective (MOSS) talks were aimed at routing out all overt and informal barriers to imports in these areas. The negotiations lasted throughout 1985 and achieved modest suc cess. support the view that Japanese markets remained difficult to penetrate, statistics showed that the level of manufactured imports in Japan as a share of the gross national product was smooth far below the level in other developed countries during the 1980s. licking with the modest results of the MOSS process and similar factors led to provisions in the United States Trade Act of 1988 aimed at Japan. Under the Super 301 provision, nations were to be named as unfair trading partners and specific products chosen for negotiation, as appropriate, with retaliation against the exports of these nations should negotiations reveal to provide satisfactory results.