CANBERRA

Economic Relations between Australia and Japan

Mr Uyama called at his own request to enquire what progress was
being made on the matters raised during his visit on 6th February
1956: (vide para 5 of Record of Conversation). [2] He said that
the Japanese Government was being pressed by organisations such as
the Chamber of Commerce to conclude agreements with countries like
Australia. He said that, while the Japanese Government could
understand that progress would not be rapid, particularly since
the attitude of some people in Australia is affected by 'the
bitter memories of the war' organisations in Japan could not so
easily understand.

2. It was explained to Mr Uyama that we had commenced preliminary
discussions with the interested Departments but that progress had
been slow and was likely to remain so. We had not concluded
Treaties of Friendship, Commerce and Navigation with any country,
and the conclusion with Japan of agreements covering many of the
matters normally dealt with in such a treaty would represent for
us, in many cases, the establishment of precedents. Mr Uyama was
asked to assure his government that its representations were not
being overlooked, but that progress was likely to be slow.

3. On 6th February, 1956, Mr Shaw had asked what would be the
position of Australians in Japan after the lapse on 28th April,
1956, of Article 12 of the Peace Treaty with Japan which requires
Japan to give most-favoured-nation treatment or national treatment
in respect of certain specified matters to the extent that most-
favoured-nation or national treatment is accorded by (in our case)
Australia. Mr Uyama said that he had been notified by Tokyo that
the position would remain unchanged. Japan will continue to give
most-favoured-nation or national treatment to Australia to the
extent that Australia extends such treatment to Japan.