[Public Papers of the Presidents of the United States: George H. W. Bush (1992, Book I)]
[January 7, 1992]
[Pages 47-49]
[From the U.S. Government Publishing Office www.gpo.gov]



Remarks at the Opening of Toys-R-Us in Kashihara, Japan

January 7, 1992
    Thank you all very, very much, all of you. And may I first thank 
Governor Kakimoto and Mayor Miura for their gracious hospitality and say 
to all of you that it really is, for Barbara and me, a deep honor to 
visit this ancient and venerable city of Kashihara right here in Japan. 
And may I thank Minister Watanabe for being here. His ministry did so 
much to change the great retail store law, and I am personally very 
grateful to him for taking the time to be with us today.
    And Mr. Charles Lazarus, thank you, sir, for your introduction. It's 
a pleasure being at your side and sharing your joy in the successful 
opening of Toys-R-Us. When our grandchildren heard about this trip to 
the Far East, they figured the highlight would be today, stopping at 
Toys-R-Us. And I'll just have to tell them I couldn't buy them anything 
because Barbara has cut my kozukai, my allowance, that is. [Laughter]
    What we see here today is success for Japanese consumers as well as 
for ourselves in the effort to eliminate a major barrier in

[[Page 48]]

the Japanese distribution system. For years, American retailers have 
sought to compete in the Japanese market. And after all, Japan has the 
second largest economy in the world, and its consumers are increasingly 
demanding wider choices for themselves and their families, lower prices, 
and certainly uncompromising quality.
    But American companies before weren't making any headway because the 
regulations, particularly the large retail store law, made opening new 
foreign retail stores virtually impossible. From the beginning of our 
administration we've had a key trade policy objective, and that was to 
break down the barriers to the sales of U.S. goods and services.
    And in 1990, we launched the Structural Impediments Initiative, or 
what we call SII, those talks to remove the underlying economic barriers 
to trade and balance of payment adjustment and to promote open markets. 
SII has indeed enabled us to take aim at the rules that prevent our 
companies from competing in Japanese markets.
    And when Japan changed its large store law, it lowered a key barrier 
to open trade. And Japanese consumers, your buyers here in this country, 
and our workers stand to reap the benefits. Japanese consumers will get 
stores with wider selections, more competitive prices, and quality goods 
from around the world. And U.S. companies will be able to operate 
businesses and sell their products in this huge and promising market.
    And I think we're all here today because Toys-R-Us was ready to take 
up the challenge of SII, and it literally lived up to the old Japanese 
saying, ``Three years on top of a stone.'' We have much to learn from 
the 3-year battle that Toys-R-Us waged to pry open the $6 billion 
Japanese toy market. After all, this is the first time that a large U.S. 
discount store has opened here, and it's blazed a trail. And now all 
kinds of companies can come on in, from toy stores to high-tech outlets.
    And I hope that Toys-R-Us is but the first in a long line of 
American retailers to locate in this great country. Greater access is an 
exciting idea, and it will help create more jobs in America. And the 
opening of the Japanese retail market gives our manufacturers, 
particularly the small manufacturers, a conduit into markets they 
otherwise couldn't have touched and brings the Japanese consumer a wide 
choice of world-class goods.
    The relationship between the United States and Japan is one of the 
world's most vital economic relationships. Our two nations produce over 
40 percent, 40 percent of the world's gross national product, and 
therefore, our actions, taken separately or together, affect many 
countries.
    We've worked together in close cooperation, for instance, at the 
economic summit, in the G-7 framework, and in international financial 
institutions to promote global growth and shared prosperity, Japan and 
the U.S. working for those common goals.
    But we still face many challenges. And each partner must realize 
that it benefits from free trade and open markets. Our economic 
relationship is not a zero-sum game for either side. And though we're 
pleased at the success so far, we're not satisfied with just reaching 
these piecemeal trade agreements. In the cause of free and open trade, 
we want agreements that produce permanent improvement in access and in 
U.S. sales to Japanese markets and permanent improvement in the lives of 
Japanese consumers.
    And what makes me so happy here today is that we see here the 
beginning of a dynamic new economic relationship, one of greater 
balance. There is much that we can do for the world based on a forward-
looking global partnership between two great nations, two powerful 
economies, and two resourceful, innovative peoples. And together we will 
go far.
    Just two last points. I will do my level-best as President of the 
United States to preserve and strengthen the important relationship 
between Japan and my great country. It has a lot to do with world peace. 
It has a lot to do with world economic stability. It has a lot to do 
with two great economic and democratic countries working together, 
setting an example for other countries around the world. So, I want to 
say to the Minister and to the Prime Minister, I will do my part to keep 
this relationship on track.

[[Page 49]]

    And lastly, and this is the end, you'll be happy to know, I just 
want to thank all of the people in this wonderful city who have given 
Barbara Bush, over here, and me such a warm welcome. When we got off 
that helicopter here and came by those wonderfully warm, smiling faces, 
extending to us a warm, Japanese welcome, we felt very, very grateful 
and very emotional. And that said an awful lot about the friendship 
between Japan and the United States of America.
    Thank you. And may God bless each and every one of you.

                    Note: The President spoke at 4:10 p.m. In his 
                        remarks, he referred to Yoshiya Kakimoto, 
                        Governor of Nara; Taro Miura, Mayor of 
                        Kashihara; Michio Watanabe, Japanese Minister of 
                        Foreign Affairs; and Charles Lazarus, chairman 
                        and chief executive officer of Toys-R-Us. A tape 
                        was not available for verification of the 
                        content of these remarks.