Japan sends U.S. a letter on ‘Buy American’ concerns

Posted: Jul 24, 2009
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Chevrolet Camaro Concept

Japan’s ambassador to the United States, Ichiro Fujisaki, has sent a letter of concern to the United States on a bill that recently passed the U.S. House of Representatives that contains a “Buy American” provision. The letter was sent earlier this week to U.S. Trade Representative Ron Kirk.

Fujisaki expressed concern on a provision in the appropriations bill for energy and water development that said funds should not be used to buy cars other than those vehicles made by GM, Chrysler or Ford.

“If it limits it to just the three, this violates the World Trade Organization’s fundamental principle of non-discrimination,” said an official, who wanted to remain anonymous.

“Taking into consideration the flow from the previous stimulus package, we are concerned that there will be more moves to promote purchasing of American products.”

A “Buy American” provision in the U.S. stimulus bill generally means that public work projects funded by the bill can only use U.S. made steel, iron and other manufactured goods.

- By: Omar Rana

Source: Reuters


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  • zermatt

    Congress is looking for a trade war on top of pulling every last cent out of our pockets. Whatever happened to the idea of a global economy?

    Servitude for the non political class is looking like it will become a certainty.

  • M

    Ohh Stop Whinning and grow up! Afterall, this is pretty much the only way to help stimulate the US market. Like many other countires in the G8, most if not all of their government vehicles are from the local source. If you visit Germany, all u see are german brands used for their government vehicles. In Italy, same scheme but with Italian marques. I am 100% sure that in JAPAN, their officially government vehicles are Toyotas or Nissans. Also, If Toyota is really that green minded with their concern on the environment, then they should support the notion of buy local. Imagine the huge benefits of buying local. Does this mean if we bought produce home grown in America is an act against the free trade?! If so, then does that mean those provisions should also be a violation against free trade?

  • zermatt

    I have spent a fair amount of time in Germany, Switzerland and the UK for my job and I have to say that many of the vehicles used in government functions are GM Opels and European Fords. GM has Korean and Chinese operations. Until recently, Ford had a controlling interest in Mazda and makes cars in China. Why would GM and Ford try to import US made vehicles when they have products that are made locally?

    To follow your line of logic, the governments of China, Europe, Latin America should shun American owned, but locally made automakers for their vehicles and that would be harmful to GM and Ford. IBM, Microsoft, Seagate, and other exporters should suffer the consequences of trade protectionism, too?

    Finally, in better days, the profits from GM & Fords foreign operations were the only profits that GM and Ford had. This is a global economy and wishing for the good old days will not change that. The sooner you understand that; the sooner the nation will be better able to compete.

  • kieran

    aren't a good portion of the “foreign” cars that are sold here in the US actually manufactured here too? Seems like they're discriminating against the American workers that are working for these foreign companies more than anything.

  • damikco

    Its not a question so much as where it is built but a question of which country the profits are going to.

  • zermatt

    And for US based companies the profits from international operations come here.

    My company drags 1/3 of our profit from international operations (we just opened our operation in China just 2 years ago). If the US become too protectionist it will hurt our exports – something that the US really need to step up.

  • rjmcc

    This is what Japan has been doing for years with hard and soft products. They would impose a freeze (because the product might not be safe, good for Japan, might have disease (fruit, veg, ect)) If they hadn't been doing this for decades I might feel that it would be unfair.

  • GMfan87

    and where the company pays the most taxes is another consideration

  • GMfan87

    wow what whiners…like they're real leaders in importing vehicles to japan

    zermatt a global economy is no reason not to buy domestic…the government really shouldnt get mixed up in these sorts of things though. but, hey, they've been sticking their noses in everything else as of late

  • rjmcc

    This is what Japan has been doing for years with hard and soft products. They would impose a freeze (because the product might not be safe, good for Japan, might have disease (fruit, veg, ect)) If they hadn't been doing this for decades I might feel that it would be unfair.

  • GMfan87

    and where the company pays the most taxes is another consideration

  • GMfan87

    wow what whiners…like they're real leaders in importing vehicles to japan

    zermatt a global economy is no reason not to buy domestic…the government really shouldnt get mixed up in these sorts of things though. but, hey, they've been sticking their noses in everything else as of late