ROANOKE TIMES 

                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: THURSDAY, February 9, 1995                   TAG: 9502100070
SECTION: BUSINESS                    PAGE: B7   EDITION: METRO 
SOURCE: ASSOCIATED PRESS
DATELINE: WASHINGTON                                 LENGTH: Medium

U.S., JAPAN TO TALK NEXT WEEK ABOUT OPENING AUTO MARKETS

American and Japanese negotiators will meet next week in Tokyo for a new round of talks aimed at opening Japan's auto and auto parts markets, but a U.S. official stressed that he did not expect any major breakthroughs.

Commerce Undersecretary Jeffrey Garten, who is leading the U.S. negotiating team, said he would not participate in the discussions Feb. 15-17. He said they would involve lower-level officials dealing mainly with technical issues.

Garten said the United States still was hopeful that the talks could be wrapped up with an agreement by March 31, but he cautioned reporters not to expect any major announcement as a result of next week's session.

Autos and auto parts are considered priority sectors in the so-called framework talks aimed at opening Japan's markets to American and other foreign goods as a way of lowering that country's $60 billion-plus trade surplus with America.

While the United States has reached market-opening agreements in other sectors such as financial services and insurance, both sides remain far apart in autos and auto parts, which account for two-thirds of America's trade deficit with Japan.

When President Clinton met with Japanese Prime Minister Tomiichi Murayama last month, both leaders agreed to concentrate on finally wrapping up auto deals. Garten has said the United States would like to have agreements by March 31 but has refused to say what might happen if the goal is not reached.

The United States is seeking commitments for increased sales of American autos and auto parts in Japan and has pressed the Japanese government to loosen regulations that make it difficult for U.S. parts manufacturers to sell replacement parts. 


 by CNB