WHITE HOUSE UNIT DECIDES ON SEMICONDUCTORS
The White House Economic Policy
Council made a recommendation to President Reagan whether to
retaliate against Japan for alleged unfair practices in
semiconductor trade, U.S. officials said.
    They would not disclose the council's recommendation, but
the officials said earlier it was likely the council would call
for retaliation and urge that curbs be imposed on Japanese
exports to the United States.
    The officials said it might be several days before Reagan
would act and his moves made public.
    The Senate last week unanimously called on Reagan to impose
penalities on Japanese exports. Retaliation was also called for
by the semiconductor industry and its chief trade union, both
hard hit by Japanese semiconductor trade.
    In a pact last summer, Japan summer agreed to stop dumping
its semiconductors at less than cost in the United States and
other nations and to open its own market to the U.S. products.
    In return, the United States agreed to hold up imposing
anti-dumping duties on Japanese semiconductor shipments.
    U.S. officials say that while Japan has stopped dumping
semiconductors on the American market, they have continued to
dump them in third countries and that the Japanese market has
remained all but closed to the U.S. semiconductors.
semiconductors on the American market, they have continued to
dump them in third countries and that the Japanese market has
remained all but closed to the U.S. semiconductors.
 reuter
