Japan, U.S. may be bracing for trade war

The trade war brewing between the U.S. and Japan promises to be intense. Prelude to combat: Japanese automakers fall short of their promise to the Bush Administration to import $4 billion in U.S. auto parts for the fiscal year ended March 31, 1995. The Motor Equipment Manufacturers Association (MEMA) says there's still unacceptable disparity in market access between the U.S. and Japan, and something must be done to deregulate the island nation's vehicle repair and inspection policies. The U.S. threatens to impose $1 billion in sanctions on Japanese exports to the U.S. The Japanese Automobile Manufacturers Association says demanding guaranteed business for the Big Three in Japan and threatening to close the U.S. market will mean higher prices and lost jobs for Americans. Analysts liken the situation to an immovable object meeting an irresistible force, but look for some movement - and soon.