and means for the solution of this issue are as follows.
(1)
The Government of Japan can implement export restraints
only on a selective basis, solely for those items which are subject
to serious injury or threat of serious injury caused by increased
imports, and only upon obtaining the understanding of the
domestic industries concerned in Japan and following the consent
of the major exporting countries.
(2) However, the normal manner to deal with this problem
would be resort to Article 19 of the GATT by the United States.
As stated in paragraph 2. (3), in case the measures referred to
in (1) above should be put into effect, they are to be considered
interim measures to be employed until the United States will
be in a position to resort to that Article. The Government of
Japan reserves its rights under the GATT in case the United
States resorts to Article 19
(3) The Government of Japan can understand the United
States position that, under Article 19 of the GATT, judgements as
to the existence of injury is made, in the first instance, by
the importing country.
holding of sufficient consultations with exporting countries
However, Article 19 provides for the
concerning compensation and other matters. It is also noted that,
in the United States, the existence of serious injury or the threat