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Fact Sheet: U.S.-Japan Bilateral Issues (7/24/00)

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Fact Sheet: U.S.-Japan Bilateral Issues (7/24/00)

Bilateral Relations

The close and cooperative relationship with Japan is the cornerstone of U.S. policy in the Asia-Pacific region and forms the basis for a strong, productive partnership in addressing global and regional issues.

Security Alliance

The U.S.-Japan Security Alliance lies at the core of stability and prosperity in the Pacific region. The 1960 Treaty of Mutual Cooperation and Security provides the basis for a close relationship between American and Japanese civilian governments and defense establishments. The Japanese government's recent action on the Defense Guidelines and joint Theater Missile Defense research has served to make this security alliance as strong as ever. U.S. bases in Japan remain the foundation of American strategic presence in Asia, contributing to the defense of Japan and the maintenance of international peace and security in the region, as defined in the security treaty. Forty-seven thousand of the approximately 100,000 U.S. military personnel deployed in the Pacific region are in Japan, including 28,000 in Okinawa.

Regional and Multilateral Issues.

The U.S. and Japan cooperate on a host of regional and international issues. Both countries have worked closely to promote peace and stability on the Korean Peninsula and democratic transition in Indonesia.

Japan provides substantial funding for international peace and security initiatives and recent commitments include:

  • Over $1 billion to the Korean Peninsula Energy Development Organization (KEDO);
  • Over $300 million for U.N. operations and humanitarian efforts in East Timor;
  • Over $240 million for refugee assistance and reconstruction in Kosovo and neighboring countries;
  • $500 million in pledged or disbursed funding for the Palestinian Authority to facilitate Middle East peace.

Economic Relations.

The U.S. and Japan are the two largest economies in the world, comprising one-third of global output. Japan is the U.S.'s third largest trading partner and export market, importing over $57 billion in U.S. products in 1999. U.S. firms dominate Japan's software market and have helped reshape Japan's distribution system. Japan is the U.S.'s largest export market in the agriculture and commercial aircraft sectors. The United States is working to increase market access in the telecommunications, auto and auto parts, and flat glass sectors in Japan by promoting deregulation and foreign direct investment and by pursuing sectoral negotiations.

U.S.- Japan Common Agenda.

The Common Agenda for Cooperation in Global Perspective was launched in 1993 by the leaders of Japan and the United States as a framework for bilateral cooperation, focusing the considerable resources and technical expertise of the world's two largest economies on global challenges. Under this Common Agenda,the U.S. and Japan are working together to meet global challenges in areas such as environmental protection, technology, development, including the role of women in development, public health, including children's vaccines, and narcotics demand reduction.


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