The Japanese government agrees that "globalisation" is an appropriate theme for the Lyons G7 Summit as it provides not only challenges but opportunities for the world. Japan believes that coordination of macro economic policies at the structural level, to include issues of employment and the need to stablize the financial system. However, the Japanese government stressed the need to avoid adopting protectionist measures to achieve short-term economic goals, particularly in the area of employment.

Prime Minister Hashimoto will stress a new concept of global partnership between developed and developing countries, where both groups work together to attain specific development objectives, designed to alleviate extreme poverty, decrease infant mortality, and universalize primary education.

Trade issues regarding semiconductors and insurance between Japan and the United States will likely be discussed at the bilateral meeting between PM Hashimoto and President Clinton with their appropriate ministers (MOF, MITI and U.S. counterparts). Specific details will not be discussed at this time and Japan will continue to endorse the use of the WTO as a venue for resolving bilateral trade disputes and differences.

As trade and investment are seen by Japan to be the driving forces of globalization, PM Hashimoto will emphasize the need to achieve a successful WTO ministerial conference in Singapore to be held in December 1996. Japan will also raise the issue of Chinaªs future admission to the WTO, on the condition that China abides by established rules of the WTO.