Washington, DC — The Automotive Trade Policy Council (ATPC), speaking on
behalf of General Motors, Ford and DaimlerChrysler, pointed to Japan’s announcement
earlier this week of record-breaking trade and current account surpluses as compelling
evidence that the U.S. needs to pressure Japan to urgently realign its heavily
undervalued yen.
Japan’s overall trade surplus increased by 62.1% in March, its largest increase
in three years, and its current account surplus rose 37% in March to reach an annual
record of $176.4 billion. Japan’s weak yen policy has targeted the U.S. auto sector in
particular, with over 50 percent of the vehicles produced in Japan now slated for export
to other countries, the highest rate in nearly twenty years. Japanese auto exports to
the U.S. rose 9% percent in the first quarter of 2007 over last year.
"Japan’s latest trade figures bring home the real-world consequences of the
misaligned yen," said Stephen J. Collins, President of the ATPC. "This is not an
innocent or victimless policy. Japan’s exports and global trade surplus are hitting record
levels because of the weak yen. Its auto exports to the U.S. continue to surge, while
sales back in Japan decline. We know that almost half of all Toyotas sold in the U.S.,
for example, are now imported from Japan, not built in American plants."
Collins continued, "Congress has given notice that it will not stand aside if the
U.S. government continues to turn a blind eye to Japan's beggar-thy-neighbor currency
and trade practices. These latest Japanese trade figures provide further evidence that
the time for action is now."
For additional information on Japan’s artificially weak yen policy and its effects
on the American auto-manufacturing industry, please visit www.autoyensubsidy.org or
call 202-631-8962.
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The Automotive Trade Policy Council, Inc. (ATPC) is a Washington, DC — based non profit trade
association that represents the common international economic, trade and investment interests of its
member companies: DaimlerChrysler Corporation, Ford Motor Company and General Motors
Corporation.
