Joint Statement of the G8 Tokyo Business Summit
17 April 2008

♦ Nippon Keidanren♦ Confederation of Italian Industry - CONFINDUSTRIA♦ The Canadian Chamber of Commerce - CCC♦ French Business Confederation - MEDEF♦ Business Roundtable♦ U.S. Chamber of Commerce♦ United States Council for International Business - USCIB♦ The Confederation of British Industry - CBI♦ Russian Union of Industrialists and Entrepreneurs - RSPP
♦ The Federation of German Industries - BDI♦ BUSINESSEUROPE

Joint Statement of the G8 Tokyo Business SummitApril 17, 2008
Economic globalization is occurring at an unprecedented scale and pace. Key forces
behind it have been striking progress in transportation and telecommunication
technologies, the modernization of financial markets, and deregulation encouraging
trade and investment in countries. At the same time, challenges remain as the growing
demand for energy, raw materials and food puts strong pressures on economies andsocieties.

The problem of climate change is becoming pressing. Volatility in financial

markets poses additional problems for policy makers, investors, and consumers.
Under these circumstances, companies doing business across borders value a seamless
economic environment which ensures the free movement of goods, services, people,capital and knowledge, and which delivers a reliable framework with which businesscan flourish. To this end, we would urge that governments make a concerted effort tocooperate, not just among the G8, but also more widely on a global scale. Conclusion ofan ambitious Doha Round agreement this year is an important opportunity in thiscooperation, which should not be missed.
Against this background, leaders of the economic organizations of the G8 industrializedcountries gathered on April 17, 2008 to hold the second G8 Business Summit in Tokyo,
following the inaugural meeting in Berlin in 2007, and exchanged views on the themesof "Enhancing competitiveness through innovation", "Tackling climate change", and"Partnership with Asia as a center of growth".
The following reflects our deliberations on the challenges facing the world economy
including the above-mentioned issues. We urge the heads of the G8 gathering in
Hokkaido Toyako in July to give our recommendations priority consideration. We also
call on emerging economies, which are expected to play a growing role in resolvingglobal issues, to take action along the lines set forth below. The international business
community is prepared to do its part to achieve these goals.
1. Securing stability and growth of the world economy
The world economic outlook has become less certain than when we met in Berlin a year
ago. The turmoil in the international financial markets, coupled with skyrocketing-1-prices of crude oil and other primary commodities as well as sudden and rapid
movements in exchange rates entails downside risks. Even robust emerging economies
will not be immune from these influences.
We urge the G8 countries, which play leading roles in the global economy, to cooperate
even more closely to help stabilize the world economy, and pave the way for strong
global growth. Among the issues to be addressed, we would like to draw the attention of
the government leaders to the following:－Private financial institutions should reinforce their capital positions as deemednecessary.
－Exchange markets should be closely monitored. Excess volatility and disorderly
movements in exchange rate are a cause for concern and should be adequately
addressed at the G8 Hokkaido Toyako Summit.
－ Access to raw materials should be ensured by removing trade and investment
restrictions, and free and fair competition in the market should be maintained.
Although slower economic growth is expected in 2008 and 2009 relative to recent years
and uncertainty is rising, the world economy remains resilient in the long-term. Our
economies will continue to grow through coordinated efforts by the G8 countries tocombat the following challenges.
2. Promoting and protecting innovation
Promotion of innovation is essential to secure sustainable growth, while solving global
issues such as those relating to the environment, energy, health care and poverty.
Business will be a main driver of innovation to address these global challenges, andtherefore needs to obtain the conditions whereby firms can justify the risks of investingin breakthrough innovations. Such innovations require support and action acrossministries at national and sub-national level as well as international cooperation
between business, scientific organizations, governments and civil society.
To this end, each country should further the innovation process by taking suchmeasuresasincreasing

thebudgetforscience

andtechnology,

improvingscience/industry cooperation, improving R&D tax systems, and reinforcing humanresources including support for higher education. It is also necessary for policies inother areas, including regulatory reform, public sector reform and public procurement,
to be framed so that citizens can reap the benefits of innovation in society.

-2-

At the same time, with open innovation gaining weight, it is important to promote
integration of knowledge and technology by strengthening exchange and networking ofhuman resources, and other forms of collaboration. Such collaborative efforts transcendborders as well as organizations. The G8 countries should cooperate yet further for thispurpose, and also make efforts to help developing countries build their capacities.
In order to promote innovation, protection and enforcement of intellectual property
rights is crucial. Moreover, effective intellectual property rights systems can enhance
voluntary technology transfer. The G8 countries should cooperate through commitments
to strengthen intellectual property protection and enforcement against counterfeit andpiracy worldwide, and help developing countries build capacity.
With a view to establishing a solid international framework for fighting against
counterfeit and piracy, the G8 Business Summit calls for start of formal negotiation on acarefully considered Anti-Counterfeiting Trade Agreement (ACTA), in close consultation
with industry, towards its conclusion as soon as possible. Furthermore, we welcome theefforts made by the G8 countries to move towards the harmonization of patent systems,
and call for progress in discussions on harmonization of conditions for patentability
such as inventive step and novelty, as well as the first-to-file system and a grace period.
3. Tackling climate change
Climate change is one of the most serious challenges facing the world today. Climatechange is global in both its causes and impacts, and requires cooperative action toreduce green-house gas (GHG) emissions on a global basis. All countries need to takeeffective measures to reduce emissions for the long term. International cooperation inthis area must achieve meaningful emission reductions while assuring economic
development and access to reliable, affordable and secure energy supplies, andaddressing the challenges of adapting in developed and developing countries to climatechange impacts.
The G8 can play a leadership role in global climate change negotiations as it did inHeiligendamm by calling for global participation and effective climate commitments by
all major emitting countries that allow for diversified approaches tailored to meetnational circumstances. We welcome the "Bali Action Plan," which was adopted at the13th Conference of Parties (COP13) to the U.N. Framework Convention on Climate-3-

Change (UNFCCC), establishing the Ad hoc Working Group on Long-term Cooperative
Action under the Convention with the purpose of discussing a framework for proactively
tackling the climate change challenge beyond 2012 with all the major GHG emittersparticipating. We are also pleased by the clear signal to enhance action on technology asa crucial prerequisite to achieving emissions reductions breakthroughs and long-term
improvements.
The G8 Business Summit calls for a post-2012 international framework to be designed:
1) to include all the major GHG emitters,2) to develop a shared vision for long-term cooperative action, including a long-term
global goal for emission reduction,3) to secure flexibility and diversity in the way of the reduction of GHG suited to eachcountry,
4) to strike a good balance between environment, energy security, and economicgrowth,5) and to ensure equitable actions in reducing emission among major emitters.
The outcome of the G8 summit in Hokkaido, from this point of view, should be an
important trigger to intensify international discussions building on the Bali Action Planand the progress achieved at the Bangkok meeting. It is crucial that the G8governments reach a consensus to help the above-mentioned U.N. process makesubstantive progress.
To put it concretely, we hope that, at the Hokkaido Toyako Summit, a proactive
consensus will be achieved on:1) exploring equitable and comparable emissions reductions that are based on soundscience,national

circumstances,transparent,measurable

andverifiable

methodologies, sectoral and economy wide considerations and impacts and costeffective opportunities for energy efficient improvements.
2) encouraging further development of cooperative sectoral approaches like the Asia
Pacific Partnership (APP) including data gathering and sharing to this end, which
will assist developing countries to participate in the post-2012 framework on climatechange,3) stimulating development and dissemination of innovative low carbon technology
under international cooperation and in improved enabling frameworks for foreign
direct investment and commercial operations,-4-4) establishing bilateral and multilateral financial mechanism that can support efforts
of developing countries to limit their increase of GHG emissions, save energy, andadapt to the impact of climate change,
5) protecting intellectual property rights and rules of law in order to acceleratetechnology deployment and cooperation,6) removing trade barriers to environmental

goodsandservices

ina

non-discriminatory manner,
7) promoting voluntary technology transfer to developing countries with appropriate
incentives.
More frequent substantive dialogue between business and government must be a core toand regular component of the talks that will take place within the UNFCCC, and in ahost of important forums, including the G8, the Asia-Pacific Economic Cooperation, andthe U.S. Major Economies Meetings.
Informed and integrated discussions with direct business input are essential forpolicymakers to reach an agreement on effective, long-term, global and pragmatic
approaches to address the concerns about, and adaptation to, the impacts of global
climate change. We call on the G8 countries to support and engage in such dialogue
with the full business community.
Climate change studies show that there is no single technology that can serve as a“silver bullet”. Rather, widespread deployment of existing and emerging technologies
can be successful. It is vital that G8 governments, together with business, cooperate on
policies to facilitate and encourage much needed research and development as well as
investments in low carbon technologies. Moreover, abatement potential is not only
found in industrial and power sectors but across all sectors of the economy. Many ofthese opportunities for abatement can be achieved at zero or even negative cost.
Business will continue to address climate change by:1) reducing GHG emissions,
2) researching, developing and deploying energy-saving products and innovativetechnologies,3) transferring technology to developing countries through usual commercialtransaction,4) helping tackle land use, land use changes and forestry issues,-5-5) voluntarily cooperating with works on sectoral approaches and helping to increase
the understanding of the benefits and roles of them,6) promoting, where applicable, purchasing and financing practices that minimize
impact on the climate,7) and exchanging views on principles that may help business develop its work in thisfield. (The annex to this paper provides initial views exchanged with the G8Business Summit members.)
For business to play this role, we call on the G8 governments to ensure that industry
will continue to be competitive without being unduly penalized by unbalanced policy
measures that would divert resources away from investments in innovation.
4. Promoting liberalization of trade and investment
Maintaining open trade and investment regimes remains critical to generating
economic growth and prosperity around the world economy. Governments must
recommit themselves to resist the mounting political pressures for protectionism.
A successful conclusion to the WTO's Doha Development Agenda (DDA) negotiations isvital for the global economy and for reinforcing the rules-based multilateral system. The
government leaders of the G8 and other major WTO members must show leadershipand make the political decisions to conclude the DDA negotiations by the end of thisyear. To achieve it, an agreement must be reached as soon as possible on modalities ofagriculture and non-agricultural market access (NAMA), and on liberalization of trade
in services, with significant market access results in all three areas, as well as
agreement on strengthened rules and trade facilitation. If the current negotiations fail,
all players will be losers. We also fully support Russia's expeditious accession to theWTO.
Free trade agreements, if they are comprehensive in scope and cover substantially all
trade, serve as a stepping stone, not a stumbling block for multilateral liberalization.
Sustainable growth in Africa, Asia, Latin America and other regions is indispensable forthe development of the world economy. Achieving closer economic integration in theseregions in a manner that is open to the world economy constitutes a foundation forrealizing their full potential.
Freedom of investment is also imperative for ensuring sustainable growth and-6-long-term prosperity. Foreign direct investment, which promotes competition andinnovation, has played and will continue to play an important role in the development ofeconomies in many regions of the world.
Recently, sovereign wealth funds (SWFs) have expanded in both number and scale.
Although some SWFs are different in characteristics from private funds that areoperated with money from a large number of investors, they should be equally required
to have risk control systems that are commensurate with each fund's scale as a global
investment institution, and should have accountability and transparency so that theycompete with private entities in a fair manner. The aim is to ensure that all the parties
involved receive equal treatment. The IMF is working on best practices and a voluntarycode of conduct in order to enhance transparency and accountability of sovereign wealthfunds while the OECD is working on best practices for open investment for recipient
countries. The G8 countries should support and promote these multilateral efforts, andnot create new barriers for foreign investment.
5. Solving development issues through economic growth
Sustainable growth in developing countries themselves is a prerequisite for the poverty
reduction. The key driving forces for economic growth lie in business activities by theprivate sector. Without private sector activities, Millennium Development Goals(MDGs) risk not being met.
Despite growth in some developing countries including some in Africa, others continue
to face serious challenges resulting from underdeveloped economic infrastructure,
shortage in education and health care, weak governance by the government, corruption,and poverty. Official assistance directly to these countries should be continued, but it isalso crucially important to promote business activities by the private sector throughsuch measures as improving and expanding the framework for public-private
partnership, providing incentive for investments in developing countries, andencouraging investments in infrastructure. There is great scope for the private sector tocontribute to the development of human resources both in the government and theprivate sector of these countries.
We strongly believe that potential of the private sector should be fully utilized as one of
the most effective and feasible ways for solving development issues and reducing
poverty.
We also call on the G8 governments to actively engage emerging economies in dialogue-7-and cooperation on development issues, and promote the internationally recognized
standards on human rights, rule of law, anti-corruption and environmental protection.
＊＊＊＊＊

-8-

Annex: Initial Views on Principles to Help Business Advancea Low Carbon Society
Climate change is one of the most serious challenges facing the world today.
Urgent actions are called for to tackle climate change.
The G8 Business Summit, as part of its effort to address climate change,
has exchanged initial views on principles to help business advance a low
carbon society.
1. Efforts in Business Operation(1) Proactively reduce green-house gas emissions from industrial andcommercial operations through introduction of energy-saving
technologies and programs.
(2) Strive to build transportation systems with a low environmental load,
involving shared transport with affiliated companies, low-emission
vehicles, and the use of the most appropriate mode of transportation, etc.
(3) Adopt measures to actively address climate change in offices, such as
setting quantitative targets for energy conservation, and upgradingbuildings to higher levels of efficiency, etc.
2. Reporting and Documenting Progress(1) Document and measure progress in reducing emissions and improving
energy efficiency.
(2) Encourage public reporting on emission reductions and other actions tomitigate climate change.
(3) Encourage to set goals and policies, adapted to individual sector andcompany needs, for addressing climate change.
(4) Where feasible and necessary, establish an overarching climate change
lead who will have the responsibility and authority to work with all partsof the organization to ensure climate change commitments are measured
and met.
3. Utilizing Technology(1) Recognize industry’s role in addressing climate change and strive
through vigorous research and development efforts to develop
innovative technologies for energy efficiency and the prevention of1

global climate change.
(2) Transfer energy efficiency technologies, climate change prevention
technologies, and related know-how both domestically andinternationally through usual commercial transactions and in an
appropriate manner.
(3) Contribute to reduction of greenhouse gas emissions in the residential
and commercial sector by providing energy-saving products andservices.
4. Partnerships with Stakeholders(1) While fully respecting company’s specific needs and concerns in relation
to purchasing and financing, examine ways to promote purchasing
practices that minimize impact on the climate change( “voluntary greenpurchasing”), and look at financing practice that could facilitate thedevelopment of companies that offer products and services with a low
environmental load (“voluntary green financing”).
(2) Undertake forest management projects and other social contribution
activities related to climate change.
(3) Where applicable, participate in voluntary emission reduction andenergy efficiency programs.
(4) Raise employees’ awareness of household energy efficiency and promote
activities to reduce carbon footprints.
(5) Cooperate with scientific research into the causes and effects of climatechange as well as economic analysis of various measures to deal with theissue, including studies and activities by international organizations
such as International Energy Agency (IEA).

2

＜Contact Point＞

Nippon Keidanren
Mr. Kazuyuki Kinbara, europe@keidanren.or.jp
Confederation of Italian Industry – CONFINDUSTRIA
Mr. Daniel Kraus, d.kraus@confindustria.it
The Canadian Chamber of Commerce – CCC
Ms. Shirley-Ann George, sgeorge@chamber.ca
French Business Confederation – MEDEF
Ms. Catherine Minard, cminard@medef.fr
Business Roundtable
Ms. Brigitte Schmidt Gwyn, bgwyn@businessroundtable.org
U.S. Chamber of Commerce
Mr. Robert Reis, rreis@USChamber.com
United States Council for International Business – USCIB
Mr. Timothy Deal, tdeal@uscib-dc.org
The Confederation of British Industry – CBI
Mr. Gary Campkin, Gary.Campkin@cbi.org.uk
Russian Union of Industrialists and Entrepreneurs – RSPP
Mr. Andrey Kuznetsov, kuznetsovav@rspp.ru
The Federation of German Industries – BDI
Mr. Matthias Kraemer, m.kraemer@bdi.eu
BUSINESSEUROPE
Mr. Adrian Van Den Hoven, a.vandenhoven@businesseurope.eu■■■■■■