JAPAN SEES NEED TO ACT QUICKLY ON TRADE CRISIS
Japan is faced with a mounting crisis
over its huge trade surplus and recognizes that it must act
more quickly to refocus its export driven economy, a senior
Foreign Ministry official said.
    "The sense of crisis among the Japanese public as well as
the government is increasing," Deputy Director General Hiroshi
Hirabayashi told reporters. "The need to accelerate the efforts
(to restructure the economy) is well recognized."
    Hirabayashi said that gradual progress had been made to
refocus the Japanese economy, but admitted that it might not
seem all that spectacular to foreign observers.
    Difficulties had been encountered in implementing the
so-called Maekawa report since it was unveiled a year ago, he
said. But, he added, foreign governments should appreciate the
efforts that have been made.
    The report, named for its principal author, former Bank of
Japan governor Haruo Maekawa, called for a shift in Japan's
economy away from its dependence on exports for growth. The
Japanese cabinet today reviewed progress made since its
release.
    According to Hirabayashi, Prime Minister Yasuhiro Nakasone
told his fellow ministers that Japan must follow the direction
set out by Maekawa and urged them to make efforts to achieve
it.
    Foreign Minister Tadashi Kuranari added that not enough had
been done to publicize the action Japan was taking to refocus
its economy.
    Listing some of those actions, Hirabayashi said imports of
manufactured goods have increased, interest rates have fallen,
and coal, steel and non-ferrous metal output have been reduced.
    He expressed hope that Japan will act more quickly in the
future to implement the report and scoffed at a suggestion that
it would take ten years for Maekawa's goals to be met.
    "It will not take very much time to fulfill the (goals) set
out by the Maekawa report," he said.
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