JPRS ID: 9832 JAPAN REPORT
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JPRS L/9832
8 July 1981
Ja an Re ort
p p
cFOUO 39is, ~
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NOTE
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JPR5 L/9832
8 Ju7.y 19 81
JA~AN REPORT
(FOUO 39/81)
~ CONTENTS
POLITICAL AND SOCIOLOGICAL
Recent Trend of LDP Analyzed
(Masashi Kiyokawa; SEKAI, Jun 81) 1
SCIIIVC~' AI3D TECtII~IOLOGY
Thorium Reacto r Drawing Attention
(NIKKEI SANGYO SHIMBiJN, 20 May 81) 7
Possibility, Significance of Developing Accelerator Molten Salt
Breeder Reactor
(Kazuo Furukawa, Yasuaki Nakahara; GENSHIRYOKU KOGYO,
May 81) ....................a.................................... 10
Molten Salt Nuclear Breeder Reactor Developed
(AAILY YOMIURI, 23 Apr 81, MAINI(~iI DAILY NEWS, 26 May 81) . 27
- Claimed Safer, by Masao Nakamura
Fifteen-Year Developmen~
Chemical Company Establishes Gene Engineering Laboratory
(JAPAN ECONOMIC JOURNAL, 9 Jun 81) 30
Me;hods for Amorphous Metal Ribbon, Lines De:veloped
(JAPAN E OONOMIC JOURNAL, 9 Jun 81) 31
Makers Rush To Turn Uut Amorphous Versions of IC's
(JAYAN ECONOMIC JOURNAL, 9 Jun 81)~ 32
Government Focuses on Development of ' Teciinopolises'
(JAPAN EOONOMIC JOURNAL, 9 Jun 81) 33
Joint Project With Soviets on Natural Gas Liquefaction
(JAPAN ECONOMIC JOURNAL, 9 Jim 81) 34
- a - [III - ASIA - 111 FOUO]
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Market Emerging for Handling Radioactive Wastes
(JAPAN ECONOMIC JOUR'NAL, 9 Jun 81) 35
Talks With USSR Construction Machine Makers Begins
(JAPAN ECONOMIC JOURNAL, 9 Jun 81) 36
Nation Loses International Bids to Euro~e
(JAPAN EOONOMIC JOUIt~iAL, 9 Jun 81) 37
Double-Digit Sales Gain in Six Key Computers Scored �
(JAPAN EQONOMIC JOURNAL, 9 Jun 81) 38
Semiconductor Production, Sales Show High Growth
(JAPAN EOONOMIC JOURNAL, 9 Jim 81) 4U
Briefs
Numeri:.al Control Device . 41
Unique Ceramic Baking Tacility 41
Interferon Fmm ' A~ion' 41
Industrial Robot Leasing 42
- b -
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YOLI1'1CAL AND SOCIOLOGICAL
RECENT TREND OF LDP ANALYZED
Tokyo SEKAI in Japanese 3un 81 pp 273--?.77
~
~'Tide of Japan' Column; "Domestic Scene: Tur~ulent Summer" by Masashi Kiyo-
kawa~ ~
~Text ~ Aiming at 'Tomorr~w'
, It is rather late to be surprised now at Zenko Suzuki~s remarkable ability.
"It may be said that there is no one witt~in the party who excels this man in
the accuracy with which he reads the intra-party atmos~here or in the shrewd-
ness wittt which he moves the political situation as he gradually builds up an
outEr moat."
While saying this, a close associate of the prime minister admires in parti-
_ cular the ability to manage the political situation which Zenka Suzuki, the
most unexpected of unexpected prime ministers and presidents, is actually
sriowing. Also, he smiles with satisfaction, saying "if it continues as is
without accident, all roads lead to the road toward reelection as president."
At the oui.set Prime Minister Suzuki did not stand at the summit of power as
a result of having accumulated a training to be prime minister from early on.
In any event, regardless of whether such a top leader is right or wrong for
tr~ people, he is truly a unique prime minister in the sense that those within
the party could actually feel that the seat of power was unexpectedly within
reach, thinking that "if Zenko can fulfill the duties of prime minister and
president, so can I." It is ironic that, as for the current within the party,
this prime minister has begun to show signs of "long term pol~tical power"
apart from his own plan or that of those around him. Of course, there are
many "].ying-in-wait" factions waiting for the opportunity to undermine and
grab onto at a moment's notice the weak points and mismanagement of the Suzuki
administration. The present situation is that their chance to undercut has
been rlearly blocked and they are at a loss. But of course, 01Zong term politi-
cal power" is not altogc~ther firmly fixed. The famous line of tfie late Masa-
,jiru Kawashima, "sekai wa issun-saki wa yami~' ("The pol3tical world knows not
what tomorrow may bring") is poignant for no one less than the present prime
minister. And then, the prime minister's tactic ofl prudently buildin~ up
an outer moat and the contest of wits by the "sma11 fry" commanders who aim
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at "tomorrow~' has to set of,f spaxks 7~n the depth~ o~ the pa].~t~ca]. woxld~s
consciousness fxom suimqer througfi fa~.l.
Pr~me Mintster Suzuki~s Determ~nation
With Prime Minister Ohira's sudden deatfi and decis~ve victories by members of
both Houses in elections held the same day as the background, it is said that
when he suddenly had the top seat, Prime Minister Suzuki resolved, "I will
never follow in Ohira's tracks." While Ohira was alive, Prime 'Minister Suzuki
was always "chief of staff" of the Ohira faction but was not always on the
same track with Ohira's political actions. As for the track trea3 by Ohira,
he blundered--~in terms of the party~ he lacked fiarmony with ~ukuda and Miki,
both of whom had been prime ministers, and his intra-party management was a
series of bitter struggles, and in terms of policy, his tenacity at "rebuild-
ing the economy must be handled by me alone" was too direct and he was badly
burned wrestling head-on with the general consumption tax problem.
As for what kind of iiurdles there will be in 1981 for the Suzuki administra-
tion which began its political power in any event in a situation that has to
be described as groping, there are three points.
The first point is that nothing happens to Kakuei Tanaka and Takeo Fukuda,
who continue to maintain as strong a control as ever over the party, not to
mention their own factions, even after stepping down as prime minister, and
who are the two mainstays of the Suzuki regime. The second is that the Tanaka
and Fukuda factions do not crash head~on over the pr.esidentail primary election
system. And finallyy that he 3s not driven to a large tax increase in the
preparation of the JFY1982 budget.
Getting over these hurdles is nothing less than not treading the late Ohira's
tr~ck. When the prime minister's handling of the political situation until
now is analyzed, the fact that each political phenomenon is concerned with
getting over these hurdles slowly but steadily appears as the real image.
Factional Balance
The fact that "intense good fortune" uncannily never leaves him can be cited
as one more essential element supporting Prime Minister Suzuki's present posi-
tion. If former Prime Minister Ohira had not died suddenly, there would not
have been a Prime Minister Suzuki. One can go so far as to say that that in
itself is "intense good fortune." Early in January, the report that "Former
Prime Minister Tanaka collapses" instantly shocked the Nagatacho vicinity,
and Prime Minister Suzuki heard this xeport overseas (on a tour of the five
ASEAN nations). Similarly in the past, Prime M~nister Eisaku Sato, on an
oversease trip, quickly returned home upon receipt of the news of tfie sudden
death of Shigeru Yoshida, his beloved mentor. But, in the dimension that
these extraordinary events directly concern the political power structure,
it could be said that this recent event was a far more momentous unexpected
event.
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It was reported that ~x'~.me M~ni.Stex Suzuk~ cou],d not ~peak ~o~ a~oment at
his overseas location; former Prime Minister Tanalca'S cond~,tion stabilized,
- so the prime minister was able to go on wi�thout any proble~m. It goes without
saying that those supporting tEie Suzuki regime are tfie three 1ead~ng factions
of Tanaka, Fukuda and Suzuki, but a mishap for Tanaka or Fukuda could become
the trigger for mobilization of the existing factions ~rTthin the party. This
would have important relevance for the Suzuki regime. It may be safely said
that the fact the new leaders (tfiey have lost some of their fresfiness), Shin-
taro Abe (Fukuda faction), Noboru Takeshita (Tanaka faction), Ichiro Nakagawa
(1'Jakayama group) cannot move at all originates in the control by these Dons.
If this composition callapses either from Tanaka or Fukuda, it is possible
that even those beneath the prtm~: m.in~ster may b2gin to confer about escape
from control of the old men in ~pite of a fuction~l reocganization.
_ ~iotline witl~ T~ukuda lteported
As for former Prime Minister Fukuda, in one sense, he wields power as the key
to the birth oF Suzuki's political power. It is rumored that in comparison
to former Prime Minister Tanaka, a weight of "7 to 3," not "6 to 4" is at-
tached to former Prime Minister Fukuda. There is rumored to be a Fukuda-
Suzuki hotline, especially on diplomatic questions.
In the past Prime Minister Sato, setting up a two wheel "Tanaka-Fukuda"
structure, built a strong long term political power; and Prime Minister Suzuki
also closely resembles the Sato political power from the time when he took over
the seat of political power, succeeding the previous regime's mishap. It is
true that Sato built up a Tanaka-Fukuda two wheel rivalry within his own fact-
ion, and besides that erected a solid castle with the influential men called
the five magistrates. In comparison, Suzuki's base is far weaker. It is all
the more necessary for him to be quite sensitive about riding both wheels
in his position in which Tanaka and Fukuda stand at the top and still command
strong factions. Balancing the two wheels which can sometimes be jerky,
whet' a"6 to 4" or "7 to 3" relationship, will be Prime Minister Suzuki's
unrivaled task.
It can be sairi that former Prime Minister Fukuda's comment on Suzuki, "Prime
Minister Suzuki has no self-interest," is quite laudatory. Returning from his
trip to the U.S. in late March, Fukuda immediately held talks with the prime
minister; of course, there was the suggestion for a Japan-U.S. summit confer-
ence, but also a rather detailed exchange of opinions on long~standing questions
of domestic politics. Concerning the cabinet reshuffle question which is one
~ of the focuses of the post-summer political situation, in the middle of April,
Fukuda displayed a viewpoint which so much as said "a November reshuffle is
common sense." Certain rumors that the Meij~ro area (Tanaka's residence) is
in a rage about the reported Fukuda~Suzuki hotline fly about off and on in the ~
Nagatacho area. But in reality, whether this is really his mind or not is a
different story. For example, the prime minister is satisf~actorily taking
the "rock throwing" from the Mei~iro direc*.ion with his trump card of cabinet
member and party officer personnel appointments.
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kawamoto Fac[ion Shut O~it
As for the direction of the pres~dential primary election, he finally succeeded
in making it "exist in name but disappear in re:.lity," a~}d solved th3.s hurdle
as extremely small. As for former Prime Minister Fukuda~ he was a hardline
advocate of freezing the presidential primary election because of his past
bitter experience of having been defeated and having his plans upset by Ohira.
- Accordi.ngly, the Suzuki regime was wary of confusion over the official election
regu~ations. Even former Prime Minister Fukuda chose to maintain the Suzuki
regime; and the Suzuki regime is now "settling down" without strife. Converse--
ly speaking, for Kawamoto, minister of the Economic Planning Agency and one of
those aiming at "tomorrow," this resulted in his one weapon---~the presidential
primary election----being stripped from him. This was the same as having one
troublesome opponent who threatened the pri~?e minister's "tomorrow" eliminated.
Despite the fact that large numbers within the party already were inclined to
havinfi the election "exist in name but disappear in reality," the Kawamoto
faction screamed "opposition" with no other alternative left. But wlien the
fighting ring is narrowed, it is common sense to exercise immediately the
ne:ct plan to gain power; the. political style of Kawamoto who is limited in
his ability to adapt to circumstances over and above the tragedy of the Kawa-
moto ~action not being blessed with staff is not a troublesome enemy for Prime
Ministec Suzuki.
Timing of 'Administrative Reform'
As for the f inal hurdle, the Suzuki-style staging is no~a at its peak concern-
ing the preparation of the JFY1982 budget. What surpris,ed the political world
was the excellent timing more than the intensity of the statement, "I will
give political life to administrative and financial reform" which the prime
minister made reference to at the Japan Chamber of Commerce and Industry meet-
ir.g on March 18.
With the approved JFY1981 budget acquiring a firm footing, his technique of
driving hard for a resolution of the 1982 budget to the point where most saw
that "next caill be the direction of important budget related bills" was extr_a-
ordinary. It seemed that it was like a rocket bomb whose timing the prime
minister had continuously gauged deep inside himself, so much so that even .
Chief Cabinet Secretary Miyazawa, his right hand man, made a dubious express-
ion, "Hm, political life..." It is said that the prime minister's calculation
of "the compilation of the 1982 budet will be a major victory or defeat with
either a large tax increase or a cut in expenditures" was very quick. At
the end of last year when the preparation of the 1981 budget was finished---
this was the first thing the prime minister dealt with~---what recurred deep
inside the prime minister was "how to complete the 1982 budget." This is
no trivial matter. At the beginning of January~ he began secretly drawing
_ up the scenario of "a policy of subsidy cu:.s in an administrative and financial
reform---moving up by one month the decision on the 1982 budget ceiling (the
framework of estimated requests)~-~in the fall, dealing with a.bill on subsidy
cuts in an extraordinary session of the D~et on administrative and financial
reforms.
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Afterwards, the prime mini.ster casually commented, ~'zf one asks which will be
chosen, a large tax increase budget or an expenditure cut budget~ isn~t the
(party's) answer already dec~ded?" But the secret of h~s cleverness at build-
ing an outer moat is perhaps in his conception that "~a full year is necessary
to effect the latter (expenditure cut)."
Cabinet Reshuffle--~-When
Well, while getting over the three hurdles is steadily progressing, the cabi-
net reshuffle is raising its head. At the same time that the reshuffle is
one major trump card for maintaining political power, it is also a"demon"
suddenly changing to a dangerous object weakening the cabinet if one mistake
is made. It can be said that surmounting this reshuffle which will definitely
be carried out this year is one of the final elements of the road to reelection.
But there are many dangerous aspects. Because the reshuffle is not an easy
operation, given the pressure from the Tanaka faction which increased to 102
members and the problem of ho~a to continue to skillfully maintain a contain-
ment of Nakasone, minister of the Administrative Management Agency, and Kawa-
moto, minister of the Economic Planning Agency. At first, a report of a Nov-
ember reshuffle was launched by the Tanaka faction administration, but actually
this was a"curve ball" based on the strategy of proposing an early stage re-
shuffle immediately after the Ottawa summit in July. As it was circulated
that there are 26 candidates for cabinet minister in the Tanaka faction alone,
the early assimilation of the cabinet minister's list was an issue for the
Tanaka faction. It is common knowledge among political circles that Ni-
kaido, chairman of the Executive Council, is the behind-.the-scenes secretary-
_ general, but the probl.em of whether he will be put in the position of secre-
tary-general in name and in reality or will enter the cabinet as he so dearly
wishes has expanded, and so the Tanaka faction's countermeasures are a crucial
point for the prime minister.
With the report of a"November reshuffle" coming one after another from Secre- �
tary-general Sakurauchi, former Prime Minister Fukuda and the Tanaka faction
leaders, the viewpoint that "from a common sense standpoint t'ne Cabinet re-
shuffle is probably right" is hardening within the party. For the prime mini-
ster's camp whose tactic must certainly be "even is we're silent, the reshuffle
vi~~w will burst forth within the party, especially from the direction of Mei-
,jiro. 5o we'll wait for that and after calmly pulling it to ourselves...,"
his free hand has apparently been snatched away. The way I read the prime
minister's feeling is that even with such a situation, those around the prime
minister would rather not abandon the early reshuffle in July. This is based
on the logic that if the road to the compilation of a no tax increase 1982
budget is completely established by June~ it will be alright to renovate the
system with a cabinet reshuffle. There is no doubt that the prime minister
will employ decisive action with a timing in which his leadership can be fully
displayed to the end, not a decis~ve action on the reshuffle as a result of~
being pushed by the winds within the party.
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Road to Reelection
The Nakasone and Kawamoto camps who aim for "tomorrow" have headaches on how
to cope wi.th the Suzuki regim~'s constant alert management of the political
situation. As for the group of leaders aiming at the "tomorrow" after "to--
morrow," they rely on others waiting for a"misgovernment" which can make
matters worse. Nakasone is hedged in under the flag of administrative reform,
just as the prime minister planned in the first cabinet formation. Can he
(Nakasone) bind himself to Tanaka or Fukuda, in particular to Tanaka, or will
he resort to cooperation with the Kawamoto camp. There is almost no chance
of victory as long as he does not bring ei*_her Tanaka or Fukuda over to him-
self. If so, would it be advisable for him to get into the three faction
structure and, after getting into one of the real mainstream factians, wait
for his opportunity; i+ith precisely everything�going against him, he must
think before taking the plunge.
Likewise, the Kawamoto faction is at a loss on how to give a telling blow, .
except for commiting themselves to the current of the majority within the
party. "Increasing their support power within the party" continues to be a
major weakpoint co~non to both of them. In such a situation, the possibility
is far greater that they will seize the opportunity, tenaciously continuing
supportive activities for the triple Tanaka-Fukuda-Suzuki factions in a battle
of cooperation for the Suzuki regime rather than opposing the Suzuki regime
in the form of an alliance with one of the present three mainstream factions,
making a Nakasone-Kawamoto cooperation the axis.
Past administrations have corroborated that the most powerful men unexpectedly
fall into a pit at the point in time when'confidence becomes excessive. Will
the pitfall for Suzuki be the administrative and financial reforms calling for
subsidy cuts or the cabinet reshuffle? What kind of trap is waiting for him
next year at the end of his present term of office? Indeed, it cannot be
denied that the path to reelection is still very much in flux.
COPYRIGHT: Iwanami Shoten 1981
9400
cso: 41o5/i67
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SCIENCE AND TECHNOLOGY
THORIUM REACTOR DRAWING ATTENTION
Tokyo NIKKEI SANGYO SHIMBUN in Japanese 20 May 81 p 10
[Article: "Coupling of Accelerator and Reactor for Abundant Fuel and High Level
of Safety"]
[Text] A new nuclear reactor which combines an accelerator and a molten salt
breeder reactor is presently drawing considerable attention. This is a nuclear
reactor which uses as fuel the element thorium which is said to be 4 times as
abundant on this earth as uranium, and its development will represent a giant
step forward in resolving the energy resources problem, Director Kazuma
Furukawa of the High Temperature Molten Materials Laboratory of the Japan
Atomic Energy Research Institute who is one of the innovators said, "By investing
5-6 billion yen over the next 15 years, I believe we will be able to realize the
development of a practical reactor." Policy research groups of the Liberal
Democratic party have initiated study on this sub3ect.
Liberal Democratic Party Initiates Study
Thorium 232 is an element which is slightly lighter than natural uranium. It
will absolutely not undergo nuclear fission in its natural state, but once it
absorbs a neutron, it is transformed into uranium 233 which can undergo nuclear
fission ~ust as uranium 235 or plutonium 239.
This is why by the use of an accelerator to convert thorium element into uranium ~
233 and burning this product in a molten salt bath to generate electric power
is the process envisioned in this new concept. A molten salt reactor of the
type which proposes the use of thorium as fuel was researched in the past at
the Oak Ridge National Laboratory in the United States, but the maj~r feature
of this new concept is the coupling together of an accelerator with a molten salt
nuclear reactor.
The innovators are part of a group at the Japan Atomic Energy Research Institute
h~aded by director Furukawa, Prof essor Koshidan Tsukada of the Nippon University
Atomic Energy Laboratory, and principal investigators at the Japan Atomic Energy
Research Institute.
The mixture of the fluorides of thorium, lithium, and beryllium is known as a
molten salt, and this salt turns into a liquid melt with properties similar to
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water when heated to about S00�C. Th~.s molten salt is placed within a large
container made of graphite and is bombarded with protons ~hydrogen atom nuclei).
This irradiation converts the thorium in the melt to uranium 233 which then enters
into nuclear fission with the evolution of heat which th en can be used to
generate electric power. This is the overall concept.
Now, when just a single accelerator-m~lten salt breeder reactor is involved, the
- electrical energy generated amounts to just about that sufficient to operate
the accelerator, so the plan proposes surrounding the accelerator with about
ten mplten salt reactors, and the excess uranium 233 created by the accelerator
is burned by these peripheral reactors to generate electric power.
Director Furukawa has come out with a specific concept according to which the
accelerating energy developed at the accelerator is of the order of one
billion electron volts and 300 milliamps. The fluoridzs of lithium, beryllium,
and tliurium present it~ Llie mol ten salt are used. The thermal output of the
reactor is of the order of 1.2-2.0 million kilowatts. Roughly 600,000 kW is
expended to operate the accelerator.
This accelerator-molten salt breeder reactor is provided with the following
characteristic features. 1) Since the reactor core is a molten pool, the
net result is a simplified reactor core construction can be employed. 2) There
is no radiation damage on materials and molten salt. 3) Chemical treatment is
readily applied, and maintaining atmospheric pressure within the reactor at
normal barometric pressure greatly enhances the safety factor. It is possible
to scale up in order to conduct the experiment frem the small scale experiments.
These are some of the precautionary items which need to be promoted.
The major problem is how to develop molten salt reactors which Japan has had
very little exposure thus far with regard to any possible dangers and proton
accelerators. At the present time, basic research is being conducted as the
successive development of the experimental reactor and test reactor increase in
size, and it is anticipated that the sought for goal will be attained in about
15 vears.
When director Furukawa announced this concept to the general meeting of the
Nuclear Energy General Meeting, policy research gro ups of the Liberal Democratic
party were gi~eatly interested because of their great interest in the energy
probleta and initiated studies on just how to implement this concept. Research
and development costs for nuclear power have ballooned during the recent years
making difficult atlocation of funds, but there is considerable thought being
directed at just how to put into practical shape this new type nuclear reactor
concept which was develop~.d by domestic technology.
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_
Conceptual Diagram of Accelerator-Molten Salt Reactor
Au~iL1t~~l~mi.~' .
(1 ~ r~'~~ !2 )
~ ; ~
~3 ~n> '
,andling the high-level rad-
the No. 1 Fukushima nuclear w~tes, electric utilities have to
plant of Tokyo Electric Power store in the stations the waste
Co. Kurita water Industries, - after reducing their volumes
Ltd. also set up a nuclear group by evaporation and burning.
to improve its cleaning tech- The wastes are contained in
" nical level. Technical know- ~'ums, whose numbers in-
how was inducted earlier this creased in the past 15 yeazs to
year by Ebara-Infilco Co. from ~6,700 as of Decemi~er, 1980.
Allied Nuclear of the U.S. Industrial companies are
Radwaste tcansportation trying to do the radwaste busi-
casks and waste evaporation ness partly for the market size.
eqwpment are being produced Une atomic station is likely to
by shipbuilders with welding invesl ~ 20-30 billion for the
know-how, including Mitsui radwaste-related equipment.
COPYRIGHT: 1981 THE NIHON KEIZAI SHIMBUN, Inc.
~ CSO: 4120
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SCIENCE AND TEC~INOLOGY
TALKS WITH USSR CONSTRUCTION MACHINE MAKERS BEGINS
Tokyo Jr1PAN ECONOMIC JOURNAL in English Vol 19, No 958, 9 Jun 81 p 7
[ Text ] The Soviet Lumber Export loan, worth a maximum of
Corporation has begun ap- billion, from Japan at an
pruaching major Japanese annual 7.25 per cent interest
traders and machinery builders rate. The Export-Bank of Ja-
to imporl construction ma- pan recently signed an agree-
chinery for use in the third Trade B nkton the credF dea
n
R~sso-Japanese forestry re-
sources development coopera- Japanese enterprises joining
tion project. the third forestry development
The Russians hope to import project are Komatsu, Ltd. (ma-
construction machines, worth chinery builderl, Mitsubishi
some ~ 230 billion, comprising Corp. and nine other traders,
2,000 lumber-carrying ma- and K.S. Industry Co., an af-
chines, 500 lazge bulldozers, filiate of Sumitomo Forestry
1,000 small bulldozers, 500 to Co. �
1,000 forklifts and truck cranes. Proposed contracts are ex-
The amount in the Soviet in- pected to firm up in detail by
quiries is equivalent ta 60 per summer.
cent of Japan's total construc- The lumber import-ma-
tion machinery exports in fiscal chinery ex.port deals had been
1980 which stood at ~ 388 billion postponed for more than a year
on a customs clearance basis. because of Japan's economic
Under a basic accord signed sanctions against the Soviet
recently, the Soviet corporation Union implemented along with
is due to supply Japan with a Washington's request at the
maximum of 13,240,000 cubic time of the Soviet military
meters oF lumber over six invasion into Afghanistan.
years from 1981 through 1986.
In return for lumber exports
and machinery imports, the
Rassians will receive a yen
COPYRIGHT: 1981 THE NIHON KEIZAI SHIMBUN, Inc.
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SCIENCE AIVD TECHNOLOGY
vATION LOSES INTERNATIONAL BIDS TO EUROPE
Tokyo JAPAN ECONOMIC JOURNc1L in English Vol 19, No 958, 9 Jun 81 p 7
[Text] Japan's plant export indt~stry fall against the U.S. dollar, due in part to the largeness ot
has become unable to win meaning a dip of ~bout 30 per the price gap, a large heavy
orders in competition with cent also against the yen. electric ma;hinery maker
European makers, such as Since plant exports says. In sis cases, the Japanese
those in ~~est Germany, France customarily are made in terms lost to West Germany and to
and Italy, as the 1~Vest German of the currency of the nation four cases to France. This in-
mark, French franc and other undertaking their export, the cludes multinational consor-
European currencies have bidding price tends to rise tiums.
registered a big drop against higher when the esporting na-
_ the yen rate within the period tion's exchange rate gces up. W~th the advent of this year,
of less than a year. this trend has intensified. Up to
In the case of Japanese enter- A~ril, this year, of the five
The bidding prices of Japa- prises, they have striven .to
nese companies, mostly narrow the price margin aris- cases of setbacks for large
denominated in yen, have b~ ~ng from the exchange tluctua- orders, four were lost to the
come 10 to ?0 per cent higher tions, such as by increasing a~'opeans owing to the price
than that of their European chances for bidding by forming g p'
counterparts from foreign ex- consortiums, and other steps to As to what they were, Italy
change fluctuations. bring down costs. grabbed three cases, including
- Owing to such a price gap, supplying a thermal power
the Japanese have suffered Even at that, "Our bidding p~ant to UAE and a fertilizer
four successive defeats in price is about 10-'l0 per cent p~ant to Indonesia. A West
large-scale international plant higher than that offered by German-Austrian combination
tenders since January, this European companies," says Won the job for expocting a
year, such as for supplying one official of a large trading steel plant to Libya, worth over
L'nited Arab Emirates with a firm. $1 billion. Kawasaki Steel Corp.
thermal power plant. This Japanese plant makers saw a and other Japanese firms had
means that in the past halt West German-French�Austrian made a strenuous attempt to
year, they have seen 15 cases of consortium grab a nearly S2 seize this order without suc-
plant deals, worth about 55.5 billion tender for supplying cess.
billion, snatched out of their Egypt with a telephone ex- ~ fiscal 19i9, the value of
hands by European intluences. change system owing to their certified plant exports reached
Prospects are that the value ~nferior export-financing terms. g11.8 billion. In fiscal 1980, ex-
ol' .I~ipanese certified piant ex- In other words, they have been ports were limited to 58.9
ports a�ill fall !ar below the defeated by the Europeans in billion due to such reasons as
level of St0 billion [or two years five large cases, worth about Japan's economic sanctions
in a row. In the past lU months, $2,~ biilion. against the Soviet Union, the
European currencies all have p~~ of defeats essentially are Gulf War and intensification of
marked an about 30 per cent plant export rivalry.
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SCIENCE AND TECHNOLOGY
DOUBLE-DIGIT SALES GAIN IN SIX KEY COMPUTERS SCORED
Tokyo ~APAN ECONOMIC JOURNAL in English Vol 19, No 958, 9 Jun 81 p 9
[Text] Six leading Japanesecom- ' computer mainframes and worth '�10-30 billion), which
puter builders recorded terminals increased har- are under aegis of the elec-
double-digit gains in com- moniourly. bringing about a tronic devices division.
puter sales in the fiscal 1980 f a v o r a b 1 e b a 1 a n c e d Among the three biggest
term ended ~Iarch, con- ~rowth." Koide added. indigenously-capitalized
trasting with the poor single- 'I1ie increase rate of IBM computer builders, NEC had
di~it gains for two American- .lapan's computer sales was the biggest sales gain (19.8
affiliated companies. limited to 4.~ per cent in per cent). The company saw
'Ihis has become known f~scal 1980, with the sales its sales g*ow nearly 20 per
from the recent financial value totaling ~ 338.3 billion. cent for four consecutive
statements of seven of them. ~ p3rticular, domestic sales years since fiscal 1977.
The business resuit of IB11 gained merely 0.9 per cent, Executive Vice President
Japan I.td., which closed though exports shot up 20.2 Akira Koike attributes
book in December, was per cent. The company is the favorabie fiscal 1980 per-
- made known late March. now trying to strengthen its formance mainly to the
~ Refer JEJ-Apr. 7 issue. ) marketing capabilities, even higher-than-expected rise in
Fujitsu vs IB~1 Japan ~scarding its "~rect sales" sales of ACOS 250 small-size
principle and introducing model.
- Fujitsu Limited last year ~~sales through agents."- Hitachi, which is strong in
firmed its No. 1 position in lRefer JEJ-May 12issue.) the fields of very lz~rge and
the Japanese computer large�siae models, witnessed
market, widening the gap Hitachi vs NEC a"balanced" sales oE all
with second-ranked IB:~I Hitachi, Ltd. and Nippon models, said Director
Japan, a wholly-owned sub- Electric Co. (NEC) are Katsumi Fujiki, who is in
sidiary of International strenuously vying for No. 2 charge of the computer
Business ;~lachines Corp. position among in- group.
The sales gap between the ciigenously-capitalized com-
two largest computer puter builders. Sales of Four followers
makers grew~ to f 33.7 billion Hitachi's computer division Office automation l0A)
from the merely Y 2.6 billian rase t5.7 per cent to ~ 250 eq;~pment determined last
- in tisral 1979 when Fujitsu billion. VEC's sales growth year's business per- ~
~wtranked IB:~t Japan l'~~r ,,y~ more faster at 19.8 per formances of the four low'er-
the first lime. cent, with value reaching ranked computer builders -
Sales of Fujitsu's com- ~~~40.3 billion. NEC Toshiba Corp., Oki Electric
puter division gained 16.9 narrowed the gap with Hi� IndtLStry Co., Mitsubishi
- per cent from the preceding tachi to 9.7 billion Irom Electric Corp. and Nippon
year to ~ 382 billion. Sales of fiscal 1979's # 15.3 billion. Univac Kaisha Ltd. lin
medium-scale models grew tioteworthy is that NEC's which Sperry Univac has a
most, while large-scale and sales figure does not include 34.7 per cent interest).
small-scale versions ~old sales of PC-8000 Series Sales of Toshiba's com-
~�ell, said Executive Direc- personal computers puter division reached ~80.3
lor Yuichiro Koide. Sa~~s of ~~timated at 50,000 units, billion, up 59.3 per cent from
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fiscal 1979. The sharp gain is 2;,; per cent. Excluding
responsible to the transfer of ineasuring and controlling
sales of terminals for equipment, which were
financial institutions and newly included in the com-
data communications equip- puter division, its sales gain
ment to the computer divi- was limited to 10 per cent,
sion from the communica- lowest among the six in-
tions division. In actuality, digenously-capitalized
the gain of Toshiba's com- firms. Oki lags behind To-
puter sales was limited to 16 shiba ar?d 1~Iitsubishi in sales
per cent. of office computers. Also, it
On the strength of its "OA does not handle general-pur-
campaign programs," To- pose models. Oki is trying to
shiba increased sales of lessen its heavy reliance on
~ office computers by 40 per governmental demand.
cent. Sales of Japanese- ~;ippon Univac's sales in
language word processors fiscal 1980 gained merely 6.8
reached several billions of per cent to i�78.6 billion. The
yen. joint venture between
Computer sales of ;~Iitsu- Sperry Univac and 1~Iitsui &
bishi rose 17 per cent to ~ 6'l Co. is heavily dependent on
billion. Its computer sales sales of large-size models
broke down almost equally mostly [or big businesses.
into three parts - general- Delay in moving into the
purpose models iincluding small-size models and office
ofFice computers terminals automation equipment held
and mini-computers. Among down its sales growth, in-
them, office computers sold dustrymen observe. ;Yippon
best. � Univac will strengthen its
Oki's computer sales OA marketing in the coming
reached f 78.8 billion, up years.
Sales of S ~lajor Com{auter Builders
( Computer Division: In billions of yenl
FY1976 77 78 7V 80
Fui~tsu 779.6 271.5 707.0 726.8 7l7.0
M~IeChi 142.0 160.0. 190.0 716.0 450.0
NEC IU.O 1~7.5 166.8 200.1 ZIOJ
Tosh~ba 59.2 59.1 17.0 50.~ BO.J
Ok~ Electrrc indusrry , ~8.7 s~.~ ~7.9 67.8 78.8
Mifsubish~ Electnc ;2.0 78.0 ~5.0 57.0 62.0
iOMJaPan Z75.~ Y97.B ]15.9 341.7 7~8.]
N~pponUnivdc . 70.A 67.8 71.6 77.6 78.A
Nofes ( t l The term enaed Decemoer for I BM Japan. The accounfing term
ends ~n Nlarch for ofher com0anies. (Y) PrOtluci3 inclutlEtl in fhe
compu~er d~v+s~on were expanaetl m hscal 1980 for NEC.
COPYRIGHT: 1981 THE :VIHON KEIZAI SHIMBUN, Inc.
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SCIENCE AND TECHNOLOGY
SEMICONDUCTOR PRODUCTION, SALES SHOW HIGH GROWTH
Tokyo JAPAN ECONOMIC JOURNAL in English Vol 19, No 958, 9 Jun 81 p 9
[ Text ] Production of semicon- production. Exports & Imports ches, jumped 45.4 per cent to
ductors in fiscal 1980 (April, ofSemiconductorsinFYt980 '~320,835 million. Bipolar
1980-March, 1981) rose 35.6 per m;,,;,,,s or re~, digital ICs ~ used mainly for
cent from the preceding year to computers) and linear ICs cfor
a value of ~ 916,111 million, the Tatai... PRODUCTION) video ta recocders, color TVs
916J11 (+JS.61 ~
Electronic Industries Associa- o~s~?e~~ :~m~~o~u~~ro? and radios) also rose more than
- tion of Japan announced recent- e~~mH+rs .....~n,~s~ c+zo.v~ 45 per cent from fiscal 1979.
~ 2. Intepratedcircuifs.....d0~,veec+.u.ei ~e wei ht of h bri
Y a. Semiconductor IC ....5~7,9s~ ~+.s.e~ 6 y d ICs,
- Output of integrated circuits, 1� Linearcircuils ..146,evec+4s.s~ particularly those of the thin-
in rticular, shot u 44.6 er 2� Oiqifalcircuits ......~Ol,osvc+.e.~~
- Pa P P i. Bipoiar BO,n~ c+,e.n layer type tsed mainly for
cent to ~ 604,988 million, the ii. MOS .320,e~s c+.s.~~ communications equipment,
EIAJ said. b. Hvb.+a ic n.a~i c+~.e~ has been gradually declining.
I. Thin�iayer IC 6.926 (+11.0)
The 587-member associatian p. Thick�layer IC SO,~os c+a~.s~ Production of such discrete
has compiled these production (EXPORTSI semiconductors as diodes,
figures from the Ministry of TI rDiscre~e sem~conductor ~S.ma ~+z~.� transistors and rectifying
[nternational Trade & It?dus- e~erT+e~ts . , u,,v~ 6.91 devices rose 20.9 per cent
tr 's roduction trend ~ Infeqratedtircu~ts. . .1Al,s.o~+~e.a~
Y P a. Uncased .]],~s~ ~+u.a~ mainly because of rising
statistics. o. cas~a ~,e,oevc+as.o~ demand from VTR makers.
The association said that ex- ~~Mroarsi However, production of these
Total . . . . . .179.8d1 8.61
ports gained 27.3 ~C cent ~0 1. Discrete semiconductor discrete semiconductors }18S
~F?45,033 million on a customs- e~eme~rs sv,v~~ i-,s.n been gradually transferred to
clearance basis, while im t[S ~ntegrateec;rcWfs... 109,950(+ 6.11
~ a. Uncasea . lS,sv~ c+.e.~, � overseas plants.
increased 8.6 per cent to b. Cased. 9~,esvc+ ~si ~miconductor exports re-
~ 139,861 million. ICs accounted Nofe: Percentage chanqe from f~scal mained strong last year. In
for 70-80 per cent of the semi- ~q~v parenfheses. (~r~lCUIBT, cased ICs accounted
conductor trade, with exports 5ources: nn~Tt tor product~on and fOC R88I'1 four-fifths Of ~Ot3~
reachin ~ 181,~30 million, U F'^ance Ministry for exports Y
g P a~a ~mca.rs. exports, though shipments of
36.~ per cent, and imports total- 16-kilobit dynamic random ac-
ing ~F 109,950 million, up 6.1 per cess memory chips to the U.S.
cent. nearly 50 per cent of the total. greatly slowed.
An analysis of the production Among them, metal-oxide ~e rise in semiconductor
statistics shows that digital semiconductor (MOS)-type imports was limited to the
semiconductor ICs have the digital ICs, which are now single-digit level. The import
biggest weight, accounting for widely used in microcom- value was 57 per cent of the ex-
puters, calculators and wat- po~, value.
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SCIENCE AND TECHNOL(`GY
BRIEFS
NUMERICAL CONTROL DEVICE--An automatic numerical control (NC) device operable
by even an inexperienced worker has been developed by Yamazaki Machinery Works,
Ltd. According to the company, the new NC device is a decided departure in
concept from the conventional devices requiring much time and trouble, involv-
ing computer programming and operating care. The new device--Mazatrol T-1--
can be operated by almost anybody because once it is put into operation, it
_ asks for instructions in its TV-like display screen in an ordinary language
according to materials, products and their shapes and forms. The operator just
gives tY~e answers. Only a few specific working instructions will be needed in
special sophisticated jobs because the device remembers the majority of differ-
ent modes of work. Planning to market the innovational product the world over,
the company is developing many language versions of it. Already having devel-
oped a Japanese and an English language models, it will follow them up with
German, French, Spanish and Russian models during this month. [Text] [Tokyo
JAPAN ECONOMIC JOURNAL in English Vol 19, No 958, 9 Jun 81 p 7] [COPYRIGHT:
1981 THE NIHON KEIZAI SHIMBUPl, Inc.]
UNIQUE CERAMIC BAKING FACILITY--A unique ceramic baking facility has been com-
pleted by the Government Industrial Research Institute, Osaka, for the purpose
of developing revolutionary kinds of ceramic industrial materials, including
fiber-reinforced ceramic (FRC). According to the institute, it is known as an
HIP--hot isosratic pressure--system, and is capable of pressurizing materials
up to 2,000 atmospheres and heating them up to 2,000 de~grees Centigrade. The
HIP system is already well known, but even its best industrial system had been
limited in capacity to much less pressure and temperature. Its FRC research
envisages creation of a new super strength industrial ceramic material by im-
planting eitlier 5ilicon carbidc~ fibers or carbon fibers in a parent material,
silicon nitride. Even harder than silicon nitride, rated as the next hardest
to diamond, the prospective FRC will be completely free from the vulnerability
of ceramics to breakage. The principal aim is to develop extremely heat�-
resistant types of ceramic material for the government's new high-efficiency
gas turbine under its oil energy-saving Moonlight Project. [Text] [Tokyo
JAPAN ECONOMIC JOURNAL in English Vol 19, No 958, 9 Jun 81 p 13] [COPYRIGHT:
1981 THE NIHOh KEIZAI SHIMBUN, Inc.]
INTERFERON FROM 'AMNION'--Meiji Seika Kaisha, Ltd., a confectionary and drug
producer, plans to commercialize know-how to produce interferon from human
"amnion." Prof. Fumiaki Taguchi of Kitazato University is doing the basic
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research, with collaborator rieiji planning to upgrade their development
efforts to clinical tests as early as 1982. The company chose the amnion-to-
interferon route, huping that it will create a new type of interferon with
different structures from alpha or beta type. Amnion is a thin, tough mem-
branous sac that contains a watery f luid in which a human embryo is suspended.
The interferon raw material can be thus obtained from a mother during or after
birth of a baby. The professor told an interferon meeting in Tokyo that the
interferon made from amnion should be effective when applied to human skin.
Besides the well known effect of interferon against viruses, he saidy the new
type of interferon is effective on cells infected by viruses. Meiji intends
to build facilities large enough to produce "a few billions" of units per month
so that the company, with assistance from the Kitazato professor, can use the
output for various tests. Initially, it will try to cultivate amnion cells.
Meiji is considering eventual possibility of producing "amnion interferon" by
means of genetic engineering technology. [Text] [Tokyo JAPAN EOONOMIC
.JOURNAL in ~nglish Vol 19, No 958, 9 Jun 81 p 13] [COPYRIGHT: 1981 THE NIHON
KEI7,AI SHIMBUN, Inc.]
INDUSTRIAL ROBOT LEASING--Japan Robot Leasing Co. will lease industrial robots
to foreign countries, possibly from this fall, in tie-ups with European and
American companies. The company was set up in April, last year by 24 industrial
robot makers, including Mitsubishi Electric Corp., through the good offices of
the Ministry of International Trade & Industry. Using low interest loans from
the Japan Uevelopment Bank and city banks, the companyi.s leasing robots to
minor companies at a cheap rate. During its first business year, the firm
leased about 150 units, worth 1,44 million. Robots for pressing valued at
about ~20 million or so are most popular. Foreign potential demand for
Japanese robots is so strong that the firm believes that its leasing contracts
with overseas interests will increase at an accelerated rate. It is now under
negotiations with the Export-Import Bank of Japan to secure fund for its leas-
ing to foreign interests. [Text] [Tokyo JAPAN ECONOMIC JOliRNAL in English
Vol 19, No 958, 9 Jun 81 p 14] [COPYRIGHT: 1981 THE NIHON KEIZAI SHIMBUN,
Inc.)
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