June 10, 1999
1. Semiconductors are the building blocks of the information age. They are making possible continuing revolutionary progress in all facets of life, including communications, transportation, health care, scientific research, education and commerce, and are critical to raising global standards of living.
2. The parties to this Joint Statement have achieved virtually barrier-free trade in semiconductors among themselves, including the elimination of tariffs. They jointly seek a world environment devoid of barriers to trade and investment, and support initiatives in the World Trade Organization (WTO) - including the Information Technology Agreement (ITA) - to achieve this objective. They endorse policies - including the protection of intellectual property, positive approaches to basic scientific research, positive approaches to global environmental protection, and promotion of the information society through appropriate regulatory and other policies - that Will foster sound and increased economic growth, and continued expansion of the benefits of the information age. These policies are intended to expand the global demand for semiconductors.
3. Relations among the parties over issues affecting semiconductors are characterized increasingly by mutual understanding and cooperation, and the absence of friction. Cooperative efforts to respond to global challenges are likely to become more common and more important.
4. Representatives of the governments of the United States, Japan, Korea and of the Commission of the European Communities during the last three years have met together regularly to consider issues affecting their semiconductor industries, and to receive and discuss reports and recommendations on policy matters from their industries which meet jointly in the World Semiconductor Council (WSC).
5. The parties share the view that cooperation concerning semiconductors should be carried out based on the following principles:
5.1 The parties should seek barrier-free trade in semiconductors in markets worldwide.
5.2 The competitiveness of companies and their products, not the intervention of governments and authorities, should be the principal determinant of industrial success and international trade.
5.3 Government and authorities' measures should be fully consistent with the letter and spirit of the WTO Agreements. Governments and authorities should avoid any form of discrimination.
5.4 The parties recognize that the GATT 1994 condemns injurious dumping, and reaffirm the need to avoid the problem of injurious dumping through fair and effective antidumping measures consistent with GATT 1994 and the WTO Agreement on Implementation of Article VI of GATT 1994 (Antidumping Agreement).
6. The parties welcome the Agreement among the Electronic Industries Association of Japan (EIAJ), the U.S. Semiconductor Industry Association (SIA), the European Electronic Component Manufacturers Association (EECA), and the Korea Semiconductor Industry Association (KSIA) establishing a new World Semiconductor Council (WSC), through which the industries will discuss and engage in cooperation concerning global issues such as standardization, environmental concerns, worker health and safety, intellectual property rights, trade and investment liberalization, and worldwide market development.
7. To deal with the global challenges facing the semiconductor industry in the coming years, as well as to facilitate sound development of the semiconductor industry, the parties will meet at least once a year with representatives of the WSC to receive and discuss the recommendations of the WSC regarding policies of governments and authorities which may affect the future outlook of the global semiconductor industry.
8. After receiving the recommendations of the WSC, the parties will meet among themselves to discuss issues affecting semiconductor industries, industry recommendations and appropriate policies and actions of governments and authorities.
9. Other governments or authorities whose national/regional industry associations have joined the WSC may become parties, if they confirm their support for the objectives of this Joint Statement.
10. This Joint Statement will be subject to review after five years (August 1, 2004) from the date of its issuance. It may also be modified in whole or in part at any time by mutual consent of the parties.