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Ambassador Thomas Foley On-the-Record Briefing on U.S.-Japan Relations Released by the Office of the Spokesman Washington, DC, November 7, 1997

AMBASSADOR FOLEY: I first of all want to say, obviously, that I am deeply honored by the appointment of the President, by the confirmation of the United States Senate, and by the opportunity yesterday to be sworn in in the presence of an old friend and somebody I admire enormously, Secretary of State Madeleine Albright.

I am about to leave very shortly to take up my responsibilities in Tokyo, after a considerable period of preparing to do this - at least in the sense of anticipating my opportunities to do this. I am going to be very, very proud to represent the United States in the capital of America's strongest and most important ally in the Pacific and, as Mike Mansfield said on so many occasions when he was ambassador, a country that in my opinion, as well as his, is the most important bilateral relationship that the United States has, not only in the Pacific, but anywhere in the world.

I'll be very glad to take your questions. I'm going to ask them to be selected, if you don't mind, by -

MR. MCCLENNY: We'll follow tradition - would you like to ask a question?

QUESTION: Sure. It may be the most important, but it's not always been the smoothest. And I wonder if you could tell us what you think Japan must do - if must is the right word - and what the U.S. must do to improve the relationship.

AMBASSADOR FOLEY: Well, I think the relationship always requires constant attention. It is a relationship that is strong, and I think is as strong today as it's ever been. But as your question suggests, it's not without occasional problems that need to be adjusted and addressed. I intend to do my part to do that.

But I believe that will be done, and that whatever problems exist today will be resolved, as they have been in the past. There is an enormous importance in maintaining and strengthening, if possible, in many areas this great partnership. I'm going to take part in that in every way that I can.

QUESTION: But if you could be a little specific? The trade imbalance is the largest the U.S. has.

AMBASSADOR FOLEY: The trade imbalance --

QUESTION: China's coming up fast, but it's still number one. What should be done?

AMBASSADOR FOLEY: Well, I'm not going to try to give a catalogue of present problems, frankly. There is a problem with the growing trade imbalance; we all know that. It's the result of a change in the direction of the trade balance. After declining for a couple of years, it has begun to move from a declining deficit to an increasing deficit. That is a matter of concern. It has to be a matter of concern for both countries.

It is not something that can be automatically altered by some "magic bullet" policy. But there needs to be attention to the problem. It is, particularly, I think, an area in which there will be increasing focus in this country on market access issues and the ability of the United States to have an opportunity to market its products in Japan. To fail to recognize that pressure would be wrong, because it's the natural outgrowth of the increased trade deficit numbers.

The United States economy is going well, but that is not in itself something that will remove concern about this trade deficit problem.

QUESTION: Ambassador Foley, along those lines, some people now believe that in the past five years or so, there was an overemphasis on numerical goals in dealing with the trade imbalance. One question - would you agree that there has been too much focus on that single issue? And a broader, second question - what are you going to do different from your predecessors?

AMBASSADOR FOLEY: Well, if you mean the actual level of the deficit - too much focus on that -

QUESTION: And semi-conductors, for example. Say 19 percent of the market share -

AMBASSADOR FOLEY: My concern is that there are areas in which I think Japan and the United States have common interests that need to be recognized. Prime Minister Hashimoto has undertaken a policy of deregulation and reform, which we believe is the right direction for the Japanese economy - not in our interest alone, but very much in the interest of Japan.

There are so many situations, I think, in the past where the suggestion has been that our interests and Japan's interests are different or somehow almost opposed. The interest of deregulating and moving forward with reform in many sectors of the Japanese economy, I believe profoundly, is in the interest of the Japanese economy and the Japanese future.

QUESTION: And the second part of the question - what will you do differently from your predecessors?

AMBASSADOR FOLEY: Each time has its own particular circumstances and personality. I don't think I have a quick answer to that question. I'm going to do my best to present the positions of the United States Government and the attitudes of the United States Government, and hope to have a dialogue with the leaders in Japan that will be helpful to both countries.

QUESTION: Mr. Ambassador -

AMBASSADOR FOLEY: By the way, may I just interrupt? I come behind a very long line - and I'm very conscious of this - of distinguished ambassadors to Japan. One of the challenging aspects of this responsibility is to be a successor to Walter Mondale and to Michael Armacost and to Mike Mansfield and so many others who have served in this post. I asked Ambassador Mansfield once recently what was his succinct advice; he said, "Be yourself." And that's what I'm going to try to do.

Every person is different; every approach depends to some degree on the personality of the individual. But there is no sort of catalogue here that I'm going to try to give you of different approaches. I'm going to do my best under my circumstances, with my particular background.

QUESTION: Mr. Ambassador, could you give us your overview of the understanding of the situation in East Asia, because there are a couple of potential dangers, like in the Korean Peninsula, also the Taiwan Straits. Also, second question is, what is your view of the last Japan-Russia Summit - if the U.S. will play any roles to help the bilateral Japan-Russia. Which kind of role would you like to take?

AMBASSADOR FOLEY: Well, as far as the Korean Peninsula is concerned, I think everybody recognizes that this is one of the serious areas of concern in the world today. The problems that exist in the Korean Peninsula are ones that are troubling in terms of the condition of the North. There's no clear indication of how we're going to move forward in bringing about a more stable condition in that region.

But on the other hand, it's a matter that is of great concern to the United States and Japan, and particularly to South Korea. Recent efforts to begin talks to move toward a more stable situation in the area are very important to pursue. They involve, in addition to the United States and Japan and South Korea, China, as well.

QUESTION: The Japan-Russia Summit? Your views of the U.S. in the Japan-Russia Summit - do you have any comment on that?

AMBASSADOR FOLEY: Oh, the Japan-Russia Summit, yes. Well, from what I know of those talks, I think they're constructive, and I think we applaud an opportunity for Prime Minister Hashimoto and President Yeltsin to discuss their future relations. It's a positive thing as far as we're concerned.

QUESTION: Recently with the financial crisis in Southeast Asia, there's been some talk about creating an Asian fund to partially replace the IMF to bring stabilization. What do you think the United States and Japan can do to stabilize the currency crisis in Asia? And what role do you hope you will be able to take with Japan to work towards that goal?

AMBASSADOR FOLEY: Well, I think at the moment, there's a very careful watching of the situation. Obviously, it's one that isn't clear yet. There is a concern with the currency problems and the economic weakness in many of the important Asian countries. But as far as I know, we have no specific undertakings yet to deal with that in the future. Japan and the United States are keeping a close consultation about it.

QUESTION: Mr. Ambassador, you mentioned earlier some of the strains between the two nations. One of the most obvious at present is the aviation talks; a new round of talks is scheduled for next week. What's your feeling on where these talks are going or where they will conclude?

AMBASSADOR FOLEY: Well, they've been very energetic. I think there's a clear indication from our side that we wish these talks to be successful. We're interested in an agreement. I'm sure the same thing is true on the Japanese side.

It is a complicated and difficult negotiation, and I think it's moving forward. I can't predict the outcome at this point. But the important bottom line here is that we want an agreement - the United States wants an agreement. We're working very hard to achieve it, and believe the same attitude exists on the Japanese side.

QUESTION: Mr. Ambassador, the new bureau chief of TV Asahi - I've just arrived from Tokyo earlier this week, just in time for the -

AMBASSADOR FOLEY: We're trading places.

QUESTION: -- press conference. I'm very glad I arrived just in time for covering this press conference. Mr. Ambassador, as you pointed out, as was very clearly illustrated by the latest economic statistics this morning, the U.S. economy is doing extremely well. On the other hand, the Japanese economy remains extremely fragile with its banking system and with its financial markets very fragile.

Now, under such circumstances, some people maintain that it is not a very good idea to press Japan to do something to reduce its trade surplus, for instance. Do you agree with them?

AMBASSADOR FOLEY: I think our position is that Japan obviously needs to take whatever action it sees in its interest to proceed with the recovery of its own economy. That has been defined on the Japanese side as increased domestic demand. We believe that is important in order to proceed with an economic recovery in Japan. That's of great interest not only to Japan, but to the United States and the rest of the world.

I think the only thing that we are suggesting is that Japan proceed with its own undertakings to deregulate the economy, to stimulate domestic demand, and to restore the economy. That's what we're saying. We're not asking Japan to do something for our benefit, but to do something to assist its own recovery.

QUESTION: Mr. Ambassador, my question is regarding the Japanese internal politics. Recently the - (inaudible) - Tokyo - (inaudible) - political fundamentals of Prime Minister Hashimoto is a bit weakened because of recession which is bogging down for long time, or crisis of financial institutions. So I'm interested to know, how do you see the current Japanese political situation?

AMBASSADOR FOLEY: I'm not going to try to assess the current Japanese political situation, except to say that I believe that Prime Minister Hashimoto is proceeding with his program, one that we think is in the interest of improving the Japanese economy. He is the Prime Minister of Japan, and as far as I can see, he will remain so. I don't think it's appropriate for me to speculate about internal Japanese politics. I'm the Ambassador of the United States, so I'm going to --

QUESTION: Mr. Ambassador, let me ask you a home turf question. As you try to open markets in Japan for U.S. products, what about markets for computer products like Microsoft, or agricultural products like apples and that sort of thing? Anything you can do to help the hometown folks?

AMBASSADOR FOLEY: Well, certainly don't want to do any harm to the hometown folks. My charge is to help United States exports from all regions of the country. Washington State has always had a very active export market to Japan. I think probably as a state, we are among the highest - if not the highest - in per capita from exports. So there's been a history there.

But every American ambassador is charged everywhere in the world by the President in a letter of instruction to do whatever he can reasonably do to improve opportunities for United States business and United States business activity in the country to which he or she is accredited. I intend to do that without discrimination, obviously, between states.

QUESTION: A few just nuts and bolts questions. When exactly do you take up your new position? And will you be going to the APEC meeting?

AMBASSADOR FOLEY: I expect to take up my responsibilities the week of the 17th of November. I do intend to attend the APEC conference. Thank you.

QUESTION: Regarding the northern territories issue between Russia and Japan. Mr. Ambassador, could you tell us please, does the U.S. Government still support the U.S. claim of sovereignty over four islands?

AMBASSADOR FOLEY: Yes.

QUESTION: So you confirm it?

MR. MCCLENNY: I'm sorry?

QUESTION: Do you confirm the U.S. position that the four islands belong to Japan?

MR. MCCLENNY: You're talking about the Kurile Islands; is that correct? Which islands? The Kurile Islands?

QUESTION: Mm-hmm.

AMBASSADOR FOLEY: Yes.

QUESTION: I think it was Clyde Prestowitz who said when your nomination was announced that the problem is that you were Japan's choice to be ambassador to Tokyo. True or not, is that perception going to present any difficulty for you in your post?

AMBASSADOR FOLEY: I don't think so. By the way, I had a very useful talk with Clyde this week. I intend to always hear those who have anything useful to say; and I think he has useful things to say. He and I had an interesting and useful talk.

I am very conscious of what my responsibility is. My responsibility is to represent the United States in Japan. But I don't make any apologies for having had a long-time interest in Japan, for having a respect and admiration for the Japanese people and Japanese culture. I don't think those two are incompatible at all.

There is, I think, a wonderfully charming story about Ambassador Mansfield who was ambassador - I'm not sure it was just before he went out, or when he was home for consultations. It used to be George Schulz's habit, as Secretary of State - one of the great Secretaries, I think, in recent years - to bring ambassadors into his office here in the Department and on a large globe, he would spin the globe and ask the ambassador, "Mr. Ambassador, show me your country" -- meaning where have you come from or where are you going. In Mike Mansfield's case, he stopped it on the United States - very near a large, northwestern state - and said, "Mr. Secretary, this is my country."

I don't have any doubt that I'm the United States Ambassador to Japan, and that everybody understands that in Japan and there's going to be no confusion about who I represent. But I believe that this relationship is a strong and viable and valuable relationship between both of our countries. If I didn't believe that I could make a positive contribution to it, I wouldn't have accepted the appointment.

QUESTION: Ambassador, welcome. We are very glad to hear your remarks on Japan-U.S. relations, and also your fair view of the two countries. But unfortunately, the situation in the United States, the general public's view about Japan is not quite well understood fairly.

The case in point, is recently very aggressive what we call - what I might call "cartoon aggression" on the Japan-U.S. aviation talks. In various newspapers, some airline companies are carrying continuously the cartoons. If that's a private sector doing private business, that's all right. But the way they depict the Japanese or Japanese way of behavior is quite unfair, it seems to me. If left alone, I think it might start a very nationalistic feeling on the part of Japan.

As Ambassador, probably you have two faces or two roles - one in representing -

AMBASSADOR FOLEY: One face, two roles.

(Laughter.)

QUESTION: -- to represent the United States in Japan. But also, you have some business describing what Japan is to the U.S. general public. So in that sense, I'd like you to comment on these, I think, sometimes insulting cartoons.

AMBASSADOR FOLEY: I think there is obviously a responsibility, I think, of ambassadors, whether they're United States ambassadors or Japanese ambassadors, to interpret events in the country to which they're accredited; and also to try to explain conditions in a way that helps everyone understand the relationship.

Let me just cite - I hope this will not be misunderstood. I traveled to Japan many times over the past years, and I have a great respect for the Japanese press and Japanese media. But I always thought there were one or two occasions when there was an over-reaction about what was happening in the United States. For example, any member of Congress in this country can introduce a bill of resolution. It reflects his own or her own views; it doesn't have anything to do with the position of the leadership or the government or anything else. But when some particular newcomer, often, to Congress would put in a kind of critical resolution, which had no meaning or import at all in our Congress, it often wound up if not on the first page, on the second page of leading Japanese newspapers in a way that gave importance and credence to it that went way beyond anything that was a reality.

If I can give one from the broadcast media -- there was difficulty over the so-called Toshiba incident - remember that -- a few years ago, involving submarine technology - that caused some problems in Congress. Three of my Republican colleagues went through the halls of the Capitol and stacked Toshiba electronics equipment one on top of the other and took sledge hammers or something and beat it up. That clip was shown one time to my knowledge - one time - on American television. It was shown dozens and dozens, if not hundreds and hundreds of times for years thereafter in Japan; as if it were a current event, as if it was going on all the time, as if it reflected the attitudes of the American Congress.

The last thing I will take responsibility for are cartoonists. They write for the moment. They characterize individuals and issues to provoke a certain reaction. I have been the subject of cartooning many times in my own life. I don't often recognize myself in the cartoons. My ears become huge - (laughter) - other things.

I just think that I do have a responsibility to try and help the mutual understanding of both countries, but also be careful. I think we all have to be careful, in this world of media transmission, where instant communications occur across thousands of miles, that populations on both sides aren't misinformed, inadvertently, perhaps, and react without knowing the context in which the events occur.

QUESTION: Recently, Jiang Zemin, the President of China came to this country. On the first stop in Honolulu, he laid a wreath at the Arizona Memorial, which, in a way, I thought, was a slight to the Japanese people. The Japanese people are a bit concerned after this summit meeting, maybe the relationship between China and the U.S. will improve at the expense of Japan and the United States. How do you address, as Ambassador to Japan, this kind of concern among the Japanese people?

AMBASSADOR FOLEY: Well, I think there is some concern - not because of the visit of the President of China or his stop in Honolulu - but just in recent months, one hears in Tokyo the expression, Japan-bashed, Japan-passed, Japan-nothing; implying somehow that the United States has found a new opportunity for a relationship with China that somehow will be at the expense of the U.S.-Japan relationship. I don't believe that.

In fact, if anything, the opposite is true. It is important, as China emerges into a broader international role, that there be a constructive engagement with China, and that we move forward in a cooperative way as China becomes a more important actor on the international stage. That makes the strength of the U.S.-Japan relationship more important, not less important.

It has nothing to do with the diminution of U.S.-Japan relations. It is another dimension of its importance. I firmly believe that. And I think the phrase I just mentioned is not only wrong, it's, as we say, dead wrong.

QUESTION: My question is also a related one. Jiang Zemin also, when he visited Washington, showed his strong concern over new agreement between Japan and the U.S. So how could you define the triangular relations among the U.S., China and Japan in the period of post-Cold War.

AMBASSADOR FOLEY: The United States and Japan are the basic relationship we have in Asia. That is the fundamental relationship we have in Asia. Obviously, the United States also wants to have a constructive relationship with an emerging China. We obviously have a strong relationship with South Korea.

But I don't see these as occasions for reductions in our U.S.-Japan relationship. Japan itself is improving its relations with China, and there have been visits of the Prime Minister to Japan. Li Peng is coming to Tokyo, I believe, this coming week. So the relationships are broadening in both countries.

QUESTION: This is also U.S.-Japan-China - a territorial question. Can you qualify your position, the U.S. position on the Senkaku island? There is some confusion on the Japanese side--the U.S. is neutral on the Japan or the Chinese claim, or U.S. support for the Japanese claim?

AMBASSADOR FOLEY: Well, this is a matter, we think, for both countries to deal with. I don't intend to try to extrapolate on it today.

QUESTION: Thank you very much.

QUESTION: Good luck. Sayonara.

[end of document]

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