Figures 6 and 7 show the evolution in the industrial structures of the United States and Japan, and explain how the trade imbalance developed. In the United States, manufacturing industries accounted for barely 20 percent of total employment in 1980. U.S. Department of Commerce statistics put the current figures at 16 percent. This is evident in the current trade imbalance. These capital goods are indispensable to American computer manufacturers and even to certain types of automobile manufacturers.
Facsimile machines are essential to office efficiency as are VCRs to home entertainment.
We must emphasize that the products that Japan exports to the United States are critical to the success of U.S. industry and the corporate community. The problem of the relationship between the foreign exchange rate and the trade imbalance is illustrated clearly by Figure 10, which shows the exchange volume in the Tokyo Foreign Exchange Market in 1992. In my opinion, the absence of any attempt to deal with this issue made the whole summit a mere show. Nevertheless, the surplus refuses to be ignored, so we must examine ways to recycle the trade surplus and make our contribution to the health of the global economy. First, it goes without saying that we must endeavor to boost imports through deregulation and similar efforts.