U.S. and Japanese trade negotiators, who resumed talks Monday on computer chip issues, are working from a draft agreement that will allow U.S. companies to double their sales in Japan by 1990, according to a report in the London newspaper Financial Times.
A spokeswoman for U.S. Trade Representative Clayton K. Yeutter, whose office is conducting the Washington talks, would not address the specifics of the article but said all the issues it raised had been "under discussion" during the lengthy negotiations.
Officials of the Semiconductor Industry Assn., a U.S. trade group involved in the formal semiconductor trade complaint against Japan, confirmed that a draft agreement had been reached but declined to elaborate. They said there were several issues unresolved and not covered in the preliminary accord.
The two sides have tentatively agreed to the U.S. industry's goal of increasing to 20% from 10% its share of Japan's $9.6-billion market for computer chips by 1990, according to the newspaper, which said it obtained an outline of the draft agreement. However, the article said, a market-share accord will not be included in the formal agreement but instead will be addressed in a "side letter" to be circulated privately to U.S. and Japanese computer chip makers.