proposal of January are set forth below.
(1) The restraints should be in effect for as short a period as possible inasmuch as export restraints are considered to be interim measures to enable the Government of the United States to resort to Article 19 of the GATT, as stated in paragraph 3. (2) above. The restraints should cease to be effective one year after the coming into effect of the new United States Trade Act or by the end of 1971, whichever comes earlier.
Since restrictions are to be in effect only for a
short period, the Government of Japan does not consider it appropriate to establish in advance a uniform growth-rate of the specific limits. In any case, the United States proposal to
·adjust the limits in accordance with the fluctuations of the United States domestic market is wholly unacceptable, because such a scheme freezes the share of imports in the years to come.
(3) The level of specific limits and growth-ra for the
limits should not be determined uniformly in advance, but should be determined individually, depending on the nature of the
'injury caused or threatened to be caused.
For this reason also,
inquiry into the existence of injury or the threat thereof for individual items should be the initial task; discussion on
reasonable growth-rates can be held on the basis of the judgement
of injury or the threat thereof.