94-25381. Initiation of Section 302 Investigation and Request for Public Comment: Barriers To Access to the Auto Parts Replacement Market in Japan

[Federal Register Volume 59, Number 197 (Thursday, October 13, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-25381]


[[Page Unknown]]

[Federal Register: October 13, 1994]


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OFFICE OF THE UNITED STATES TRADE REPRESENTATIVE
[Docket No. 301-93]

 

Initiation of Section 302 Investigation and Request for Public 
Comment: Barriers To Access to the Auto Parts Replacement Market in 
Japan

AGENCY: Office of the United States Trade Representative.

ACTION: Notice of initiation of investigation under section 
302(b)(1)(A) of the Trade Act of 1974, as amended (19 U.S.C. 
2412(b)(1)(A); request for written comments.

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SUMMARY: The United States Trade Representative (USTR) has initiated an 
investigation under section 302(b)(1)(A) of the Trade Act of 1974, as 
amended (the Trade Act), with respect to certain acts, polices and 
practices of the Government of Japan that restrict or deny U.S. auto 
parts suppliers' access to the auto parts replacement and accessories 
market (``after-market'') in Japan. USTR invites written comments from 
the public on the matters being investigated.

DATES: This investigation was initiated on October 1, 1994. Written 
comments from the public are due on or before noon on November 10, 
1994.

ADDRESSES: Office of the United States Trade Representative, 600 17th 
Street, NW., Washington, DC 20506.

FOR FURTHER INFORMATION CONTACT:
David Burns, Director, Japan Affairs, [phone], or James 
Southwick, Assistant General Counsel, [phone].

SUPPLEMENTARY INFORMATION: Section 302(b)(1)(A) of the Trade Act 
authorizes the USTR to initiate an investigation under chapter 1 of 
Title III of the Trade Act (commonly referred to as ``section 301''), 
with respect to any matter in order to determine whether the matter is 
actionable under section 301. Matters actionable under section 301 
include, inter alia, acts, policies, and practices of a foreign country 
that are unreasonable or discriminatory and burden or restrict U.S. 
commerce. An act, policy or practice is unreasonable if the act, policy 
or practice, while not necessarily in violation of, or inconsistent 
with, the international legal rights of the United States, is otherwise 
unfair or inequitable. Unreasonable acts, policies or practices 
include, inter alia, denial of fair and equitable market opportunities.
    On October 1, 1994, USTR determined that an investigation should be 
initiated to determine whether specific barriers to access to the 
after-market for auto parts in Japan are unreasonable or discriminatory 
and burden or restrict U.S. commerce. The barriers subject to 
investigation include Japanese Government regulations such as the so-
called ``critical parts'' and ``alteration regulations and the 
certification system for garages and mechanics. These regulations are 
vague and very broad in scope. They support and work in combination 
with market restrictive practices by Japanese auto companies and parts 
distributors substantially to limit foreign access to the Japanese auto 
parts after-market, particularly for foreign parts suppliers unable to 
sell original equipment to Japanese auto manufacturers. U.S. parts 
suppliers could significantly expand sales to the Japanese after-market 
if the critical parts and alteration regulations were made clearer and 
less restrictive.

Investigation and Consultations

    Pursuant to section 303(a) of the Trade Act, the USTR has requested 
consultations with the Government of Japan concerning the issues under 
investigation. USTR will seek information and advice from the 
appropriate representatives provided for under section 135 of the Trade 
Act in preparing the U.S. presentations for such consultations.
    Pursuant to section 304 of the Trade Act, the USTR must determine 
within 12 months after the date on which this investigation was 
initiated (i.e., on or before October 1, 1995), on the basis of the 
investigation and the consultations, whether any act, policy, or 
practice described in section 301 of the Trade Act exists and, if that 
determination is affirmative, determine what action, if any, to take 
under section 301 of the Trade Act.

Public Comment: Requirements for Submissions

    Interested persons are invited to submit written comments on the 
acts, policies and practices of the Government of Japan that are the 
subject of this investigation, the amount of burden or restriction on 
U.S. commerce caused by these acts, policies and practices, and the 
determinations required under section 304 of the Trade Act.
    Comments must be filed in accordance with the requirements set 
forth in 15 CFR 2006.8(b) (55 FR 20593) and are due no later than noon 
on November 10, 1994. Comments must be in English and provided in 
twenty copies to: Office of the General Counsel, Attn: Auto Parts 
Investigation, Room 223, USTR, 600 17th Street, NW, Washington, DC 
20506.
    Comments will be placed in a file (Docket 301-93) open to public 
inspection pursuant to 15 CFR 2006.13, except confidential business 
information exempt from public inspection in accordance with 15 CFR 
2006.15. Confidential business information submitted in accordance with 
15 CFR 2006.15 must be clearly marked ``BUSINESS CONFIDENTIAL'' in a 
contrasting color ink at the top of each page on each of 20 copies, and 
must be accompanied by a nonconfidential summary of the confidential 
information. The nonconfidential summary shall be placed in the file 
that is open to public inspection.
Irving A. Williamson,
Chairman, Section 301 Committee.
[FR Doc. 94-25381 Filed 10-12-94; 8:45 am]
BILLING CODE 3190-01-M