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Japan Sends U.S. A Letter Stating Buy American Concerns

inspirion7 submitted on 7/24/2009 Official Bell & Ross Timestamp: 2:51:05 PM

60 user comments | Category: Misc News | Source: | SOURCE: www.egmcartech.com

Japan’s ambassador to the United States, Ichiro Fujisaki, has sent a letter of concern to the United States on a bill that recently passed the U.

S. House of Representatives that contains a “Buy American” provision. The letter was sent earlier this week to U.S. Trade Representative Ron Kirk.
Fujisaki expressed concern on a provision in the appropriations bill for energy and water development that said funds should not be used to buy cars other than those vehicles made by GM, Chrysler or Ford.

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Japan Sends U.S. A Letter Stating Buy American Concerns

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"Show me the money" - Cuba Gooding Jr. The bigger the Government, the smaller the man.
— inspirion7 (View Profile)

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SUCK IT...JAPAN
I feel like buying an American car right now just for the hell of it
— fatandsassy (View Profile)

Posted on 7/24/2009 2:58:08 PM | reply to this comment | Votes: -2

And you are entitled to do so. But there should never be a "Buy American" clause simply to protect companies that can compete but choose short term profits over long term investment.
— Agent009 (View Profile)

Posted on 7/24/2009 3:31:11 PM | | Votes: 8

I think Japan should pull out of the US market just to protest. And, maybe stomp their little feet a whole bunch, too all while saying "wha wha wha!"
— camrydriver (View Profile)

Posted on 7/25/2009 11:56:23 PM | | Votes: 7

Canada voiced its concerns too about the same thing because buy American goes completely against the North American free trade agreement, which was signed in good faith on all sides.
— _43LE (View Profile)

Posted on 7/24/2009 3:13:12 PM | reply to this comment | Votes: 8

The free trade agreement was a laugh from the start. Look at the lumber restrictions the usa placed on B.C.'s lumber industry killing it for years.
— Joe_Limon (View Profile)

Posted on 7/24/2009 3:18:51 PM | | Votes: 5

Canada would gain from it, they build american cars and have no canadian cars to sell tell to the US.
— upwards (View Profile)

Posted on 7/26/2009 7:19:25 PM | | Votes: 2

It's not as simple as you think. Many American cars that are built in Canada are made with Canadian sourced parts. In fact it is actually is a lot more complex than that. The US and Canadian economies, especially the auto industry, are interlinked which makes it even more difficult to determine a part or car's origin.
— _43LE (View Profile)

Posted on 7/26/2009 10:40:06 PM | | Votes: 3

When Japan opens it's borders they have a voice, until then they are spoiled whining babies.
— Joe_Limon (View Profile)

Posted on 7/24/2009 3:15:47 PM | reply to this comment | Votes: 5

Correct! Japan total hypocrites!

— kpaxx (View Profile)

Posted on 7/24/2009 3:17:42 PM | | Votes: 3

Japan should be lucky that they have an oppertunity to sell cars in the US. Japan makesit very hard for American autos to be sold in Japan.
— 1UAW (View Profile)

Posted on 7/24/2009 3:24:28 PM | reply to this comment | Votes: 2

America sanctions have existed in Japan for years. We as a free market continue allow others to give us the oki dok. We should have never allowed it. It's fine for others to exercise tariffs but when congressmen and senators sell their soul for the all might dollar in cover for jobs, then we will always get put out.
— inspirion7 (View Profile)

Posted on 7/24/2009 3:33:17 PM | | Votes: 1

1UAW, please list the vehicles from Detroit that would actually sell in Japan!
— Invisible (View Profile)

Posted on 7/24/2009 6:21:22 PM | | Votes: 7

We dont have this problem in Germany and they hold there own in there country maybe japan cant take compettion well.
— 1UAW (View Profile)

Posted on 7/24/2009 3:26:34 PM | reply to this comment | Votes: 2

I guess Japan has no fear to say/express what they think when push comes to shove, especially in the U.S. Not like the big 3, Japan is just a tad more "pro-active". NO the saying "Too buy american", I find quite amusing...because that is saying in the nicest way...."It's okay to become an American failure as a person or business. So we are desperate to buy American, because us U.S. Government just bailed out/invested into the Big 2, with over $90 Billion dollars in tax payer's money and counting...so please help "Uncle Sam!"...cause we "FAILED!"...LMAO!!!
— BigShow50 (View Profile)

Posted on 7/24/2009 4:14:21 PM | reply to this comment | Votes: 1

I will stand by my opinion that people should buy whatever car they feel like, wether it be Japanese, American, German, etc. No one should tell anyone what to buy with their money that they work for.
— PerformanceGuy (View Profile)

Posted on 7/24/2009 4:41:41 PM | reply to this comment | Votes: 7

I don't see Japanese in Japan driving a lot of American car! You gotta share!
— Brembo (View Profile)

Posted on 7/24/2009 4:45:09 PM | reply to this comment | Votes: 3

Because protectionist mindset in Japan isn't seen like that here. Japan says we do as we say, not as we do. Our greed sometimes cause us to cut off our nose despite our face in the policies we choose.
— inspirion7 (View Profile)

Posted on 7/24/2009 5:45:47 PM | | Votes: 4

Funny, you all seem to forget that the USA practices protectionism. A little think called the chicken tax on trucks for instance.
— Invisible (View Profile)

Posted on 7/24/2009 6:23:33 PM | reply to this comment | Votes: 1

invisible, what country doesn't practice it? The question is to what extent. We are the most open market anywhere period. That is why every possible Tom Dick and Harry is beating a path to the U.S. and feel like we have an obligation to them. We in truth only have an obligation to us. What is your point?
— inspirion7 (View Profile)

Posted on 7/25/2009 2:39:01 PM | | Votes: 4

There is nothing wrong with being "pro-American" Every other country on this planet does the same thing, political correctness will destroy the United States of America.
— theman440 (View Profile)

Posted on 7/24/2009 8:31:01 PM | reply to this comment | Votes: 9

Japan is wasting its time. They're arguing a a stupid feel-good bill created by a stupid administration.

It'd choose a Mexican made Ford or Korean Chevy over a Texas built Toyota simply because its owner is white. No wonder Obama was so quick to defend his crazy black professor friend.

More proof of American stupidity is that its protectionism should be geared towards China, not one of its best allies.
— huu76 (View Profile)

Posted on 7/24/2009 9:01:53 PM | reply to this comment | Votes: -5

The US government instructing its agencies to only buy vehicles built by GM, Ford, and Chrysler doesn't necessarily mean these cars are American built. Cases in point: The hot-selling Camaro is built in Canada, as is the well-selling trio from Chrysler (300/Charger/Challenger), as is FoMoCo's Flex/Edge/MKX trio, amongst others. FoMoCo's Fusion/Milan/MKZ are built in Mexico, as are GM's Escalade/Avalanche/Suburban, and Chrysler's PT Cruiser and Journey. Want vehicles from further afar? FoMoCo has interest in Mazda, many of whose models are built in Japan (like the 3 and the RX-8). Let's not forget that FoMoCo still has interest in Volvo, built in Sweden and Belgium. GM still owns SAAB, built in Sweden, Austria, and (embarassingly for some) right on US soil in Ohio. So you see, colleagues, it's not as buy American as one might think.
— tango (View Profile)

Posted on 7/24/2009 9:06:25 PM | reply to this comment | Votes: 4

Its not a question of where the car is built its a question of where the profit goes.
— 1UAW (View Profile)

Posted on 7/25/2009 2:48:23 AM | | Votes: 4

Also Canada has no major trade restrictinons on US. autos and other companies doing business in Japan. If we want to ruin our country we should continue to buy foreign items not just cars from other countries that dont buy/trade fair with the US.`
— 1UAW (View Profile)

Posted on 7/26/2009 3:13:49 AM | | Votes: 3

Profits GO! In the example of GM, I guess their profits go to Obama and his CZARs.

Oh wait, GM doesn't make a profit. Tax payers are forced to keep those GM factories pumping out products at a loss.
— Invisible (View Profile)

Posted on 7/27/2009 9:08:45 AM | | Votes: 2

@huu76: The only thing that comes from an asshole like you is shit. "Korean Chevys" as you put it, are built by a Korean-registered company. Most notably Daewoo. Daewoo is jointly owned by GM, Shanghai Automotive of China, and Suzuki of Japan. Your white owner is looking a little bit Asian right now. And your idea of protecting America from China just blew up in your dog face, you moron. Because about 10% of the money your white American ass just spent on that Chevrolet Aveo is going to the Chinese.
— tango (View Profile)

Posted on 7/24/2009 9:17:12 PM | reply to this comment | Votes: 0

I will never buy another car built by the UAW.

I will never buy another Japanese car.
— EL34 (View Profile)

Posted on 7/24/2009 10:18:04 PM | reply to this comment | Votes: -8

You will never stop hating either.
— _43LE (View Profile)

Posted on 7/25/2009 1:23:14 AM | | Votes: 4

So that means you will buy a German car built buy a German Union.
— 1UAW (View Profile)

Posted on 7/25/2009 2:49:45 AM | | Votes: 1

I don't care if my next car id built by a German Union.

I simply despise nasty Liberal Unions in America and I can't wait until they are gone!
— EL34 (View Profile)

Posted on 7/25/2009 8:30:57 PM | | Votes: -2

I guess that you're really just a very unhappy person. Someone who hates that much can't be living a good life.
— _43LE (View Profile)

Posted on 7/25/2009 11:57:12 PM | | Votes: 4

So do you truly understand that the German unions are paid more and have more rights than the UAW? The same can be said for the (J.A.W) Japanesse unions as well. You are just miss informed about the American union and how it came about.
— 1UAW (View Profile)

Posted on 7/26/2009 3:17:09 AM | | Votes: 1

That's rich considering that the Japanese manufacturers have 95% of the Japanese car market and foreign companies such as Samsung and Nokia had to pull out of Japan a couple of years ago because few people there were buying their products.
— TurboSpyder (View Profile)

Posted on 7/25/2009 1:49:09 AM | reply to this comment | Votes: -1

LOL, The Japs get it, they only buy cars that support their country, WTF dont we get it? We buys theres Jap cars and trucks an those AMERICAN dollars go over seas, even if they are built in America.

Funny they understand it an we dont.
— mocashflo924 (View Profile)

Posted on 7/25/2009 4:29:39 AM | reply to this comment | Votes: 1

only a FRACTION goes overseas.

the biggest chunk of the selling prices go to suppliers (largely american), american workers, american distributors and dealers, salesmen, lot boys, local and national advertising, etc. etc. you need to learn the difference between revenue and profits.

and even from the profits, a lot gets reinvested in new and better products, rather than fatten the bank accounts of WAY overpaid execs. (which is why the japs DO make better cars than detroit.)
— XYZZ (View Profile)

Posted on 7/25/2009 7:35:40 AM | | Votes: 3

xzzz.. You couldnt be any further from the truth.
— 1UAW (View Profile)

Posted on 7/25/2009 7:07:25 PM | | Votes: -3

XYZZ, don't waste your time trying to explain. Those Detroiters would prefer we all buy GMs korean made/engineered/designed Daewoos just so some GM executives in Detroit can continue to milk $$$$$$ from the unprofitable Obama Motors.
— Invisible (View Profile)

Posted on 7/27/2009 9:12:37 AM | | Votes: 1

tango,
You're a retard. Why don't you calm down and try to again, maybe you'll make sense this time.
— huu76 (View Profile)

Posted on 7/25/2009 9:41:14 AM | reply to this comment | Votes: -1

A fraction, Hah! Do you think the Japanese are doing for their health ? . Back when the stock market was doing good, companys were making 20 cents on the dollar i,e; a 20 percent profit for their efforts. Building plants in the right to work states and using as many temp workers as they can find , you can bet they are getting a great return on the dollar
— toolatetorace (View Profile)

Posted on 7/25/2009 5:33:58 PM | | Votes: 2

Obama is okay buying an "American" car built in Mexico or Korea because it sends some profit to GM/Ford yet wants to ban a truck or car built in Texas or Indiana because it employs Americans. No wonder Obama has already burned through a trillion dollars with nothing to show for it, he's about as stupid as his voters.

You're China/Korea rant doesn't even make sense.
— huu76 (View Profile)

Posted on 7/25/2009 9:45:44 AM | reply to this comment | Votes: -1

American cars have (L) steering wheel.
Japan roads require (R) steering wheel.
And you still wonder why Japan does not buy more US cars?
— topneuro (View Profile)

Posted on 7/25/2009 12:19:01 PM | reply to this comment | Votes: -2

So logics be damn! Why do we shift steering for cars going to England? What a brilliant lack of observation topneuro.
— inspirion7 (View Profile)

Posted on 7/25/2009 2:34:52 PM | | Votes: 5

As a factory worker I can tell you the cars that go to countries that require a right side steering wheel gets one. So that point has no wieght on the subject. The point is selling cars is a very lucritive business even more so for Japan becuase they get cheap southern temps that cant afford to buy homes being only temp workers, they get curency differnce from the Dollar and the Yen (yet more profits) on top of the profits from selling cars in the US.
— 1UAW (View Profile)

Posted on 7/25/2009 7:14:31 PM | | Votes: -1

Japan "borders" for foreign cars have been open for a long time (1995).
Japanese love foreign cars and motorcycles, refer to BMW and Harley Davidson. American cars still have difficulty battling an image of them as poorly made gasoline guzzlers. Both Ford Motor Co. and General Motors Corp. penetrate the Japanese market, not with cars made in America, but with Mondeos and Opels supplied by their German subsidiaries.

http://www.nytimes.com/1995/02/20/news/20iht-autocon.html
— topneuro (View Profile)

Posted on 7/25/2009 11:55:11 PM | | Votes: 1

Your 14 year old link has no credit here. Since around 2000 the only way we could penatrate the Japanesse market was to force toyotas(GM's partner) hand to sell GM cars for us. Have you ever heard of the Toyota cavalier? The only cheap way to dodge high tarrifs and leap Japans road blocks.

http://www.cars-directory.net/specs/toyota/cavalier/
— 1UAW (View Profile)

Posted on 7/26/2009 3:26:44 AM | | Votes: 4

http://www.cars-directory.net/history/toyota/cavalier/
— 1UAW (View Profile)

Posted on 7/26/2009 3:29:46 AM | | Votes: 2

U.S. Trade Relations with Japan
Jin Wang, Ph.D.

Associate Professor of Economics
Division of Business and Economics

However, many observers point to Japan's nontariff barriers to trade as being key to the situation. For example, officials of the Ministry of International Trade and Industry (MITI) claim that the Japanese market for autos and auto parts has been fully opened because there are no tariffs. However, American automakers argue that the keiretsu system of interlocking ties between manufacturers and their suppliers and distributor makes it all but impossible for independent dealers to gain a foothold in Japan's market. Even Japanese automaker executives in the U.S. recently admitted that they would buy many more American parts, given their improved quality and low cost, but the company has to be concerned with maintaining employment at its suppliers' factories in Japan (Blustein, 1995b). Japanese auto makers also price cars more expensively at home to subsidize cheap sales abroad.

This is reflected by the fact that U.S. sticker prices of Japanese cars remain stable as the yen appreciated against the dollar in 1994 and 1995. All though Japan imposes no tariffs on imported automobiles and auto parts, this market is one of the most difficult to penetrate. The ratio of imported cars to domestically produced cars in 1993 was 2.4 percent for Japan, compared to Germany's 43 percent. The U.S. auto market has been wide open and Japan alone captured 27 percent of the U.S. market in 1993. When 1 toured a university campus in Japan, I failed to find any U.S. made cars. However, it is not impossible to increase auto sales in Japan. In 1992, Germany captured 58 percent of Japan's passenger car imports (104,680 units), the U.S. 20 percent (37,085 units), including cars of the Japanese companies made in the United States. It appears that the U.S. has to compete with both Germany and Japan to sell more cars and auto parts in the Japanese market.

The U.S. government has negotiated with the Japanese government for many years to open the Japanese market. The U.S. proposed policies to reverse its deteriorating trade position to include reciprocity, industrial policy, results-oriented trade talks, and reinvigorated American industrial competitiveness. There is no doubt that these negotiations have helped U.S. exports and made the Japanese market today more open than it has ever been. But, a trade deficit continues to loom.
— inspirion7 (View Profile)

Posted on 7/26/2009 6:10:54 AM | | Votes: 3

I don't see anything wrong with US government deciding how they want to use their money.

On why American cars don't sell well in Japan, having grown up in Japan I can say that American cars are simply not popular. They don't sell not because of government, but just that they are not attractive. They tend to be too big for streets in Japan, and since they are imported they are more expensive.

Basically, there is no effort to create a car targeting Japanese market. While Japanese car companies make cars that are attractive in each markets, especially in the US. No American company even produce their cars in Japan, while Japanese have many factories in the US for US market. For example, Ford Focus is doing well here in Europe, because it's done by Ford Europe for European market. Other than that American cars are nonexistent in Europe either, once again because they don't fit here, not attractive enough among other good 'local' choices available. To me it's simple, to be successful, you've got to put some effort into it...
— rueti (View Profile)

Posted on 7/25/2009 8:48:29 PM | reply to this comment | Votes: 4

toolatetorace,
And what do you suppose American workers make in those Mexican and Korean factories?

Toyota could do the same and move factories to Mexico, but they don't. They're even going ahead with the Prius factory eventhough the currency is working against them.
— huu76 (View Profile)

Posted on 7/26/2009 12:29:04 PM | reply to this comment | Votes: 1

Again the point is not where the cars are made but where the profits go.
— 1UAW (View Profile)

Posted on 7/26/2009 7:13:20 PM | | Votes: 2

Then explain it to us UAW, where do the profits go?
— Invisible (View Profile)

Posted on 7/27/2009 9:20:30 AM | | Votes: 2

Some people are just too stupid to reason.
American cars will not sell well in Japan because they are too Large, too Fuel Inefficient, and have terrible Build Quality. You can talk all you want about Tariffs but it is just Hogwash and the smart ones know it.

Japan Has small roads like the UK and Some of Europe and Most Mini and Micro vehicle designs originated from Japan, so how the hell will the Denali and Escalade and Town Cars sell there in large enough quantities ?

Hell GM had to use a completely different Company and design team for Europe, Opel & Vauxhall in order to make any headway in Europe { Just look at laugh inducing sales figures of Cadillac in Europe}.

So for all you Pathologically flawed individuals who like to manufacture excuses for the dismal attempts your manufacturers have made in breaking into new markets; Just know that the rest of us are too smart to fall for your B*** S***.

Rant Over.
— I95SPEEDINGTICKETS (View Profile)

Posted on 7/26/2009 10:03:26 PM | reply to this comment | Votes: 2

Japan Has small roads like the UK and Some of Europe and Most Mini and Micro vehicle designs originated from Japan, so how the hell will the Denali and Escalade and Town Cars sell there in large enough quantities ?

I95SPEEDINGTICKETS

So that is why Lexus sells the LS and the Camry and almost every car and SUV sold here, but the roads are too small. Stupid is what stupid does. Try again. Domestics didn't try to sell Denalis or Town Cars there.

— inspirion7 (View Profile)

Posted on 7/27/2009 4:49:36 AM | reply to this comment | Votes: 2

Why are Canadians like Shempy so hateful?
— Invisible (View Profile)

Posted on 7/27/2009 9:21:53 AM | reply to this comment | Votes: 1

Question. The UAW sure puts a lot of time and effort spreading their propaganda about the closed Japan market. However they never provide evidence, just rhetoric.

If Japan is so closed, why did they allow Ford to purchase Mazda, GM to purchase Suzuki, Isuzu, Subaru.....? Are you telling me Japan doesn't allow them to sell those brands any longer?

UAW, give us some hard facts! What vehicles has Detroit tried to sell in Japan and faced obstacles.
— Invisible (View Profile)

Posted on 7/27/2009 9:18:30 AM | reply to this comment | Votes: 2

Japan doesn't control the companies and they aren't stupid. If a profit is to be made, then who will stand in the way. Anything that goes to the States stands a chance in profiting. Your statement is worded as such that Japan won't allow a company to sell a controlling interest. It's not the Union that makes the charge. The U.S. Government, Senators, Business interest and academia all have something to say about Japan and its protectionist practices they hide in plan sight. Damn, what redeemable interest do you guys have in constantly defending such sucks? You guys are like the raped having compassion for the rapist.
— inspirion7 (View Profile)

Posted on 7/27/2009 2:41:19 PM | | Votes: 0

inspirion7, please provide evidence! Otherwise your UAW propaganda is falling on deaf ears.

Now I can provide evidence that the USA protect certain markets. The Chicken Tax of 25% on any imported Truck to protect Detroit. The failed tax on motorcycles to protect Harley.....
— Invisible (View Profile)

Posted on 7/27/2009 3:22:18 PM | | Votes: 1

Let's focus on one arena, the auto market please, I thought that is were we were going. I gave some examples above from the professor that reference the U.S. / Japanese trade history. Sorry I couldn't have made that up nor anyone if they wanted to, that is historic and factual you can't change that. So, please if you must go there, let's walk through this "propaganda" step by step shall we.

Historically, as stated before in other examples, examples exist, but I will give others. "U.S.-Japan Auto Trade Agreement Not Meeting Objectives, U.S. Says.

"http://www.allbusiness.com/transportation/motor-vehicle-parts-manufacturing/320671-1.html

The United States government said Japan is moving too slowly to open its market to U.S.-made autos and auto parts, as stipulated in the U.S.-Japan Automotive Agreement. While sales of parts and vehicles increased in the years immediately following the signing of the Agreement, sales have slumped.

Information from the CATO Institute

http://www.cato.org/pubs/pas/pa-252.html

Executive Summary

For decades the U.S. government has singled out Japan as a country guilty of particularly grievous protectionist policies and has forced on it special trade arrangements. But trade disputes are often simply the result of American firms' enlisting government help to make up for their earlier neglect of Japan's market. They seek managed trade, not free trade. Three cases are examined:

U.S. claims that the Japanese government unfairly limits American auto and auto parts imports are based on phony statistics that purport to define America's "correct" share of Japan's market. But U.S. automakers offer only four right-hand steering wheel models in Japan, compared to more than 100 from European manufacturers who have managed to crack that supposedly closed market.
With the 1986 semiconductor agreement, up for renewal this summer, U.S. officials tried to guarantee a share of Japan's market for American manufacturers and to restrict exports of Japanese-made chips to the United States and third markets. But Japan's "closed" market was an illusion created by America's selective use of trade and production numbers. With 1995 global sales of some $150 billion, American produc- ers hardly need protection.
Kodak's current complaint that Fuji Photo Film unfair- ly blocks its access to Japanese retail outlets is particu- larly ironic since Kodak repeatedly ignored advise to estab- lish major offices in Japan, which it finally did only in the mid-1980s.

Recently as of 2 years ago

The Japan Currency Manipulation Act directs the Department of Treasury, in consultation with the Council of Economic Advisors, to work with the government of Japan to come up with a plan to draw down Japan's excessive levels of currency reserves, which will facilitate the proper realignment of the yen to the dollar. The legislation also directs the Treasury Department to work with our European trade partners, as well as the Interna
— inspirion7 (View Profile)

Posted on 7/28/2009 9:52:59 AM | reply to this comment | Votes: 1

http://opencrs.com/document/RL33178

RL33178
Japan's Currency Intervention: Policy Issues
March 25, 2008

The rapid depreciation of the value of the dollar on foreign exchange markets is mirrored by an equally rapid appreciation of currencies, such as the yen (and Euro). This has raised concerns that Japan may intervene in currency markets for the first time since March 2004 to shore up the value of the dollar and slow the appreciation of the yen. Japan has conducted such intervention in the past by purchasing dollars and selling yen on foreign exchange markets. This intervention has raised concerns in the United States and brought charges that Tokyo is manipulating its exchange rate in order to gain unfair advantage in world trade. This coincides with similar charges being made with respect to the currencies of the People's Republic of China and South Korea. In the 110th Congress, H.R. 2886 (Knollenberg)/S. 1021(Stabenow) (Japan Currency Manipulation Act), H.R. 782 (Tim Ryan)/S. 796 (Bunning) (Fair Currency Act of 2007), S. 1677 (Dodd) (Currency Reform and Financial Markets Access Act of 2007), and S. 1607 (Baucus) (Currency Exchange Rate Oversight Reform Act of 2007) address currency misalignment in general or by Japan in particular. In the past, Japan has intervened (bought dollars and sold yen) extensively to counter the yen's appreciation, but since 2004, the Japanese government has not intervened significantly, although some claim that Tokyo continues to "talk down the value of the yen." This heavy buying of dollars resulted in an accumulation of official foreign exchange reserves that exceeded a record $979 billion (February 2008) by Japan.

I'm done.
— inspirion7 (View Profile)

Posted on 7/28/2009 9:58:44 AM | | Votes: 1

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Japan Sends U.S. A Letter Stating Buy American Concerns

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