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I.s. And Japan Resolve Port Dispute

On April 11, the reached a deal in access to Japanese the imposition of scheduled to take 14. The sanctions U.S. Federal U.S. and Japan a dispute over ports, averting U.S. sanctions effect on April imposed by the Maritime Commission would have imposed penalties of $100,000 per voyage on Japanese liner operators, in response to unfavorable practices in Japanese ports. The U.S.

sought relief from restrictive licensing requirements which prevent foreign carriers from performing stevedoring services in Japan. A "Memorandum of Consultation" was signed by U.S. Maritime Administrator Albert Herberger and JapaneseDirector General Sadao Iwata which addressed major issues discussed during talks between the two parties in early April. In the document, the U.S. reportedly stressed the importance for U.S. carriers to enjoy the same freedom to operate in Japan as Japanese carriers enjoy in the U.S. The U.S. also stressed that liberalization of Japan's licensing requirements for harbor service companies is necessary. The Japanese confirmed that license applications meeting the standards stipulated in the Port Transportation Business Law will be approved by its government within approximately four months of receipt, provided the applications meet certain criteria.

Licensees will not be required to join the Japan Harbor Transportation Association and each port transportation business operator may establish rates on its own for licensed services at container terminals.

The U.S. said that the complete deregulation of licensing of port transportation services at Japanese containerports should take place as soon as possible, but no later than December 31, 1998 Maritime Transport Bureau




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