(a) FindingsThe Congress finds that—(1) United States companies can successfully compete in foreign markets if they are given fair access to such markets;
(2) a trade surplus in services could offset the deficit in manufactured goods and help lower the overall trade deficit significantly;
(3) in contrast to the barriers faced by United States firms in Japan, Japanese firms generally have enjoyed access to United States financial markets on the same terms as United States firms; and
(4) United States firms seeking to compete in Japan face or have faced a variety of discriminatory barriers effectively precluding such firms from fairly competing for Japanese business, including—(A) limitations on membership on the Tokyo Stock Exchange;
(B) high fixed commission rates (ranging as high as 80 percent) which must be paid to members of the exchange by nonmembers for executing trades;
(C) unequal opportunities to participate in and act as lead manager for equity and bond underwritings;
(D) restrictions on access to automated teller machines;
(E) arbitrarily applied employment requirements for opening branch offices;
(F) long delays in processing applications and granting approvals for licenses to operate; and
(G) restrictions on foreign institutions’ participation in Ministry of Finance policy advisory councils.
(c) Exception for countries having or negotiating bilateral agreements with United StatesSubsection (b) shall not apply to any person of a foreign country if—(1) that country, as of January 1, 1987, was negotiating a bilateral agreement with the United States under the authority of section 2112(b)(4)(A) of title 19; or
(2) that country has a bilateral free trade area agreement with the United States which entered into force before January 1, 1987.
(d) “Person of a foreign country” definedFor purposes of this section, a person is a “person of a foreign country” if that person, or any other person which directly or indirectly owns or controls that person, is a resident of that country, is organized under the laws of that country, or has its principal place of business in that country.
(Pub. L. 100–418, title III, § 3502, Aug. 23, 1988, 102 Stat. 1386.)