    [Public Papers of the Presidents of the United States: George H. W. Bush (1991, Book I)]
    [April 4, 1991]
    [Pages 326-330]
    [From the U.S. Government Publishing Office www.gpo.gov]

    [[Page 326]]

    The President's News Conference With Prime Minister Toshiki Kaifu of
    Japan in Newport Beach, California
    April 4, 1991

        The President. Let me just say what a pleasure it's been to have
    Prime Minister Kaifu here in the United States. In the past year, we've
    resolved significant trade disputes, and we've moved to ease trade
    tensions. I think we've made solid progress in opening new markets to
    satellites and telecommunications, wood products.
        We need to move ahead now in other areas--construction services,
    autos, auto parts, semiconductors, other areas. We need to prove that
    our efforts under the SII, the Structural Impediments Initiative,
    produce real results. I think progress has been made. It remains our
    best hope of fending off those who advocate managed trade between our
    nations.
        In 1990, the U.S. trade deficit with Japan fell for the third
    straight year. And American exports to Japan continued to rise, up more
    than 75 percent since 1987. In fact, I think many Americans would be
    surprised to learn that Japan buys more goods from the U.S. per capita
    than we buy from Japan.
        The Prime Minister and I both agree that we want to see a successful
    conclusion to the Uruguay round. And I might take this opportunity to
    urge the Congress of the United States to take decisive action and send
    a clear signal that America stands for free trade by extending the Fast
    Track procedures.
        We had full discussions on the Gulf, and I took this occasion to
    thank, profoundly thank, Prime Minister Kaifu for the assistance that
    Japan made as a member of this coalition. Japan has provided a
    substantial level of financial support for Operation Desert Storm.
        Just to save time, we will be putting out a more full statement
    here. But Mr. Prime Minister, I welcome your visit. And it's been a
    great pleasure having you here--all too brief a visit, but a very
    important one. Thank you for coming all this way.
        The Prime Minister. Thank you, George, for kind remarks. You've
    shown yourself to be the great leader not just of this great nation, the
    United States, but of the entire world. Not only that, may I say, you
    are the private self of a countless number of people across the world
    who are fighting for the cause of peace and justice, for freedom and
    democracy.
        I am most pleased to see you here in this beautiful State of
    California again, since we met over a year ago in a similar setting, and
    to be able to continue our close dialog.
        I wish to take this opportunity on behalf of the entire Japanese
    people to pay our deepest respect to the great leadership you exerted as
    President throughout the Gulf crisis and to the dedication and sacrifice
    of the American soldiers, men and women, in Operations Desert Shield and
    Desert Storm.
        The world has just overcome a great challenge in the Gulf region,
    and now it is time to tackle a truly historic mission, which is to build
    a new international order in the aftermath of the cold war. The Gulf
    crisis has demonstrated beyond anybody's doubt that the United States is
    the only superpower with the capability to play the most important role
    in the post-cold-war world and to do so in a responsible way.
        At the same time, it has become clear that it is just as important
    that the like-minded countries work together and support American
    efforts. We deeply recognize this in Japan. Together with Americans,
    Europeans, Asians, and other peoples of the world, we seek to
    participate actively in this endeavor and cooperate for creating a new
    international order.
        Throughout the Gulf crisis, Japan firmly supported the United States
    and international coalition efforts and cooperated as much as possible.
    And we are grateful for the appreciation expressed by the President.
    Nevertheless, sometimes Japan's efforts have not been properly
    understood and appreciated, and frankly speaking, this reception has
    caused disappointment among some Japanese people. Thinking about the
    future of Japan-U.S. relationship, which is so important to the peace
    and

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    prosperity of the world, I firmly believe that we have to rectify this
    situation.
        Japan and the United States are staunch allies, bound together with
    strong security ties and a close economic interdependence. I believe the
    world strongly desires to see friendly and cooperative bilateral
    relations between our two countries, in which both sides will bring
    their respective strengths in order to meet global challenges, and will
    tackle problems between our two countries.
        We are with you always, standing together as firm allies and friends
    across the Pacific. I'm convinced that the friendship and the spirit of
    cooperation between our two peoples will always prevail. Thank you.
        The President. What we thought we'd do is alternate questions for
    Prime Minister Kaifu and for me, and alternate between the Japanese
    journalists and the U.S. journalists. Inasmuch as we're in the United
    States, I'm the appointed coordinator here. [Laughter] Self-appointed.

    Japan

        Q. I'd like to ask a question of Prime Minister Kaifu. Because of
    constitutional constraints Japan was not able to send military forces
    during the Gulf war. However, Japan financed the $9 billion additional
    contribution through tax increase, and in that respect I believe it is
    fair to say that Japan has shed its blood in its own way. However, that
    contribution is not properly valued in the United States. On top of
    that, more recently, there seems to be a stepping up of Japan-bashing in
    the United States over trade issues, whereas in Japan there is
    dissatisfaction amongst the Japanese people. People are grumbling that
    Japan is not an automatic teller machine of a bank.
        Now, I wonder if through your meeting today you've been able to,
    shall I say, lead the relations, which have been in a somewhat awkward
    state more recently, toward a more smoother relationship.
        The Prime Minister. In the process of peace recovery, or recovery of
    peace in the Gulf region, Japan from the very beginning showed its basic
    position that Iraq is wrong. And from Japan's position, we cooperated
    and made contribution as much as possible. With regard to financial
    cooperation, we put a bill to the Diet of the Japanese Parliament. We
    passed a budget bill for that purpose. And for the purpose of funding
    that budget, we asked the Japanese people to accept an increased tax.
    And we were aware of the need to make this contribution, and the
    President has kindly appreciated that contribution that Japan made.
        On the other hand, I'm certainly aware that there are divergent
    views in the United States. We would like to continue with our efforts
    so that we will be establishing a relationship of mutual confidence that
    is unshakable.

    Iraq

        Q. Mr. President, the critics are suggesting that you've abandoned
    the Kurds to Saddam Hussein's mercy; one has even likened it to your Bay
    of Pigs. Could you explain to us why we were willing to do so much to
    help liberate Kuwait and why now we are standing on the sidelines while
    the Kurds are struggling?
        The President. Be glad to. It was never a stated objective of the
    coalition to intervene in the internal affairs of Iraq. Indeed, I made
    very clear that we did not intend to go into Iraq. I condemn Saddam
    Hussein's brutality against his own people. But I do not want to see
    United States forces, who have performed with such skill and dedication,
    sucked into a civil war in Iraq.
        We will not have normal relations with Iraq until Saddam Hussein is
    out of there. But I made very, very clear from day one that it was not
    an objective of the coalition to get Saddam Hussein out of there by
    force. And I don't think there's a single parent of a single man or
    woman that has fought in Desert Storm that wants to see United States
    forces pushed into this situation--brutal, tough, deplorable as it is.
        Q. If I may follow, will you offer asylum to the Kurdish refugees if
    Turkey keeps its borders closed?
        The President. I have had a good discussion of that with Prime
    Minister Kaifu, and we are in agreement that we will do what we can to
    help the Kurdish refugees.

    Japan-U.S. Relations

        Q. I'd like to ask a question related to the rice issue, which I
    believe is on the top of

    [[Page 328]]

    the agenda between Japan and the United States. And I should like to
    direct this question to both the President and the Prime Minister.
        The first, I should like to know, Mr. President, what your thoughts
    are with regard to the issue of opening up the Japanese rice market and
    whether you took up this matter during your meeting today.
        The President. Yes, we had a full discussion of this matter. Yes, we
    would like to have access to the Japanese rice market. Yes, Prime
    Minister Kaifu explained the complications that he faces in Japan on
    this question. But I think the overriding point is we both realize that
    we must have a successful conclusion of the Uruguay round, and to do
    that, agriculture must be included.
        The Prime Minister. Yes, let me respond to that myself, as well. The
    rice issue was mentioned in the context of the Uruguay round
    negotiations. What I said was that, regarding the Uruguay round, we
    recognize the importance of close cooperation between Japan and the
    United States to bring the round to an early and successful conclusion.
        Now, I also explained that--well, there are difficult issues in the
    agriculture area for our countries--the United States, the European
    Communities, as well as for Japan. And so, I said, let us endeavor
    together to resolve the issue of rice together with the other issues,
    the difficulties for the other countries in the context of the Uruguay
    round.

    Iraq

        Q. Mr. President, in 1989 and 1990 when the talk of critics were
    calling on you to speak out more forcefully for the uprising in Eastern
    Europe and the Lithuanian aspirations for independence, you said you
    hesitated to do so for fear of raising expectations such as were raised
    in Hungary in 1956. Now, people are saying you've done just that by
    calling for the overthrow of Saddam Hussein, and you've let the rebels
    down when they moved on those expectations. Could you discuss that and
    give us your feelings and whether you see a parallel?
        The President. I think I was right in 1989, and I think I'm right
    now. I made clear from the very beginning that it was not an objective
    of the coalition or the United States to overthrow Saddam Hussein. So, I
    don't think the Shiites in the south, those who are unhappy with Saddam
    in Baghdad, or the Kurds in the north ever felt that the United States
    would come to their assistance to overthrow this man.
        We're not going to get sucked into this by sending precious American
    lives into this battle. We've fulfilled our obligations. Now, do we hurt
    when Kurdish people are hurt and killed and brutalized? Yes. Are we
    concerned at the brutal treatment of the Shiites in the south? Yes. Do
    we wish that the people would get rid of Saddam Hussein on their own?
    Absolutely. But I have not misled anybody about the intentions of the
    United States of America, or has any other coalition partner, all of
    whom to my knowledge agree with me in this position--all of whom do.
        Can we get one from the U.S. side for Prime Minister Kaifu? And then
    I'll take the next one from the Japanese side. Whoops. Is this one for
    Prime Minister--the Americans keep shooting at me. I want them to fire
    one at Prime Minister Kaifu. [Laughter]

    Japan-U.S. Relations

        Q. Mr. Prime Minister, you made note of the problem that you feel
    that Japan is not fully appreciated in this country, and you said that
    needed to be rectified. Could you tell us first, have you met and will
    you meet fully your pledge, your commitment, to the Desert Storm effort
    without any quibbling about whether it's in yen or in dollars? And what
    steps do you think need to be taken to rectify this image, this bad
    image you feel you have in the United States? And if you, Mr. President,
    would like to comment, I'd appreciate that, too.
        The Prime Minister. With regard to the $9 billion, the Japanese
    budget system, the system of budgeting, is based on the Japanese yen.
    And I'm certainly aware that there has been some criticism rising
    basically out of the fluctuation--criticism arising from, shall I say,
    exchange rate fluctuation.
        But what is important note is that that is

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    not the only aspect where we ought to be paying our attention to. There
    are various roles that must be played in the Gulf region, in the
    interest of environmental protection and also arms control and
    disarmament in the region so that various countries would refrain from
    engaging in, say, intransparent transfer of arms and so on. So, I think
    there are numerous roles that can be played for the purpose of peace in
    that region.
        I had in-depth discussions on such matters with George, and Japan
    wishes to play its part as actively as possible by maintaining close
    consultations with the United States.
        Q. I should like to ask a question of Mr. President with regard to
    Japanese contribution related to the Gulf war. You said that you
    profoundly appreciated Japanese important financial contribution. Japan
    did not send even a medical team, not to speak of self-defense force
    personnel. And I wonder if you feel that it is possible to maintain a
    relationship of alliance with a country, Japan, which did not make a
    human contribution at a time of an international crisis. I would
    appreciate your candid remarks. And also, I wonder what you would expect
    of Japan to do for the purpose of preserving and further promoting this
    alliance.
        The President. My answer is, yes, not only do I think we will
    preserve but I think we will strengthen this relationship. I hope most
    Americans understand the constitutional constraints on Japan in terms of
    what--I think you called them human forces, or human--human personnel.
        But what I would like to emphasize to the American people and the
    people of Japan is, from day one--from day one, Toshiki Kaifu and the
    Japanese Government was in strong support of the U.N. resolutions. Japan
    stepped up early on to a fundamental and substantial monetary
    contribution. Through those months of diplomacy before force was used,
    Japan played a key role. And so if we have a difference now over some
    detail, I would simply say that this relationship is too fundamental,
    too important to have it on the shoals because of difficulty that I'm
    confident we can work out.
        And to the degree that there's bashing on one side of the Pacific or
    another, Toshiki Kaifu and I are committed to see that that bashing
    doesn't go forward because it's in our interest in the United States to
    have this relationship strong. And I happen to think it's in Japan's
    interest.
        I know the Prime Minister has to go, but can we take one more for
    each side? And we'll divide it up, one for him and one for me.
        Q. Mr. President, to go back to your response to the last question
    and to the unanswered portion of Charles' [Charles Bierbauer, Cable News
    Network] question earlier, it's clear that Japan's image problem in the
    United States goes beyond the immediate issue of the Gulf war. What does
    Japan specifically need to do to overcome that problem? Given the
    attitudes on Capitol Hill, given the trade hawks that are circling,
    isn't it going to take more than just explaining some of the
    complications that are involved on the types of trade concession that
    we've been demanding in Tokyo?
        The President. One, the relationship is fundamentally sound. What
    will it take, you asked, to make it better? The successful conclusion of
    the Uruguay round, to which we're both committed, would help. Working
    together with Japan to alleviate the suffering of these Kurdish victims
    of Saddam's brutality--that will help. Working with Japan to help
    guarantee the security and the stability of the Gulf and reconstruction
    of the Gulf--that will help. Moving forward in other trade areas can
    help, although we're closing that gap.
        But, Norm [Norman Sandler, United Press International], when there
    are problems, it is understandable that people dwell on those specific
    problems and we overlook the fundamentals. And those fundamentals
    include the fact that the Japanese Government and the U.S. Government,
    as you look around the world, see eye-to-eye on almost every problem
    around the world.
        Let me give you one more example. The answer is too long--excuse me,
    Toshiki--but one more example. Japan is trying to be helpful to the
    development and strengthening of democracy in this hemisphere. So, while
    we take up the difficulties, let's also remember these fundamentals that
    are strong as they can be.

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        Last one, and this is for the Prime Minister.

    Soviet-Japan Relations

        Q. I'd like to ask a question regarding the Soviet Union. President
    Gorbachev of the Soviet Union will be visiting Japan. And I wonder in
    relation to that, you discussed during your meeting today--well,
    assistance for the Soviet Union. And together with that, I should also
    like to know whether you had any discussions on trade in technology with
    the Soviet Union?
        The Prime Minister. With the upcoming summit meeting with President
    Gorbachev's visit to Japan, I did mention in general terms that we
    should like to take up as a major item on our bilateral agenda the
    resolution of the territorial issue between Japan and the Soviet Union,
    so that we shall be able to sign a peace treaty which will lead us
    toward a genuine friendship.
        However, we did not discuss specifics such as technological
    assistance or economic assistance. I did explain our, shall I say,
    diplomatic schedule ahead of us with the Soviet Government and the North
    Korean Government which we would like to promote for the purpose of
    attaining peace, stability, and prosperity in the Asia-Pacific region.
        The President. Well, I think we're a little behind schedule for
    the--no. No, no. [Laughter] But thank you.
        Never get enough. Here we go. Thank you all very much.

                        Note: The President's 77th news conference began at
                            4:10 p.m. in Ballroom A of the Four Seasons
                            Hotel. During the news conference, the following
                            persons were referred to: President Saddam
                            Hussein of Iraq and President Mikhail Gorbachev
                            of the Soviet Union. The Prime Minister spoke in
                            Japanese, and his remarks were translated by an
                            interpreter.