TNAG-0885-FCO40-1095-Refugees-from-Vietnam-in-Hong-Kong-Vietnamese-boat-people-1979 — Page 58

CONFIDENTIAL

2.

?

3.

President Carter has made it clear that he will be looking

to the Japanese for a special contribution to the Tokyo Summit

by adopting further measures to reduce

to reduce the Japanese trade surplus

with other Western countries.

In 1978 Japan had a trade surplus

of $24 billion of which $14 billion was with the US and $5 billion

with the Community.

The surplus on current account was $16.8

billion.

Although the Japanese surplus has declined sharply

in the first half of this year owing to higher oil prices and

emergency imports, all the forecasts are that the surplus will

be sharply up again next year, particularly if the sudden

depreciation of the Yen is not reversed.

о

FINANCIAL RELATIONS DEPARTMENT

FOREIGN & COMMONWEALTH OFFICE

17 May 1979

CONFIDENTIAL