EOB Meeting Notes

Tuesday, November 13, 2007; Chanel Offices, 11:15 a.m. - 12:15  a.m.

Attendees: R. Collasse, A. Murray, J. Edberg, C. Mayali, D.Delgorge, M. Theoval, E. Ullner, A. Groff, G. Keown,　M. Hoffmann (for H. Tempel), M. Loefflad, R. Scherpenhuijsen Rom, P. Pagani,
Regrets: H. Porat, C. Eilersen, P. Thewliss, T. Strand,　H. Tempel

1. INTRODUCTION OF NEW EOB MEMBER

The Executive Director introduced Mr. Paolo Pagani, Managing Director, Cobra Japan KK, who will represent the Italian Chamber of Commerce in the Executive Operating Board.

2. REPORT FROM THE CHAIRMAN:

1. On October 29, EBC Chairman, Executive Director, Policy Director and EBC financial committee experts attended a lunch meeting with visiting policymakers from the Economic and Monetary Affairs Committee of the EU Parliament. At the meeting, the EU group members were briefed on key issues in the financial sector as well as important developments in business regulations, and EBC activities in promoting an EU-Japan Economic Integration Agreement (EIA). The feedback from the Parliamentarian group was positive, expressing their interest with a series of questions on the current environment for foreign investment in Japan, and on whether all economic sectors such as agriculture would be addressed within a trade accord. Interest was expressed in the EIA, especially form one fo the members who is also a member of the Parliament's Trade Committee.

2. On October 30, EBC Chairman, Executive Director, Policy Director held a meeting with Mr. Alan Seatter, Director, North America, East Asia, Australia, NZ, EEA, EFTA, San Marino, Andorra and Monaco, External Relations Directorate, EU Commission. The meeting was an opportunity to brief Mr. Seater further on current activities regarding the EIA and progress in regulatory reforms impacting EBC member companies.

3. On November 8, EBC Chairman delivered a 30-minute presentation to EU Member State Ambassadors on the role and function of the EBC and current activities, most notably the production and launch of the White Paper as well as the EIA proposal. Preliminary photocopies of the White Paper were distributed to each Ambassador for their reference. The speech was then followed by a 30-minute question period.

4. On November 8, the EBC Chairman and EBC Executive Director, attended the Investment Group Lunch, a bimonthly meeting with Japanese government officials of various ministries and agencies including MOFA, JDB, JETRO, METI, etc. The meeting was also attended by a Japanese representative of the Keidanren.
   (At the meeting, an informal discussion addressed the potential of the EIA to boost trade and investment flows between Europe and Japan)

5. On November 8, the EBC Executive Director and Policy Director held a meeting with Toshiba and JETRO who confirmed the members of the Japanese EIA Task Force and also gave a brief progress report on current activities. The EBC also provided an update on their current activities and discussions regarding EIA recommendations.

6. On November 14, the EBC Chairman will give a presentation to the Foreign Correspondent's Club of Japan (FCCJ). Following an increasing amount of coverage in the media and discussions within policy circles regarding a potential economic integration agreement (EIA) between EU and Japan, the FCCJ invited the EBC Chairman to present the position of the European industry on this issue.

7. On November 14, the EBC Chairman gave an interview to the Osaka Chamber of Commerce on key issues and challenges for foreign companies doing business in Japan. The interview will be featured in the upcoming Osaka Chamber brochure distributed to approximately 30 thousand members.

8. The EBC Chairman reminded the Executive Operating Board that the White Paper Launch is on November 21. Numerous high-level guests will attend, including many of the EU Member State Ambassadors and high-ranking members of the Japanese Ministries and Parliament.

2. REPORT FROM THE EXECUTIVE DIRECTOR

1. 2007 White Paper: Executive Director provided an update on the production of the 2007 White Paper and funds that have been raised via sponsorships. The White Paper is currently in the final stage of publication, after the final revision and verification of the Japanese translation. Funding at 5.4 million yen was close to reaching the target figure of 5.5 million yen.

2. White Paper Launch: As of this week, a total of 220 guests plan to attend the Launch of the 2007 White Paper. Distinguished guests include high-ranking officials from Japanese Ministries, Parliament, and European Embassies. Introductory remarks will be made by Ambassador Richardson of the EC Delegation, and the keynote speech will be given by the EBC Chairman. Remarks will also be made by a high-level government official (Director-General, Ambassador Otabe of MOFA) , followed by brief remarks from a range of Committee Chairmen.

3. White Paper Doorknock: EBC Policy Director will organize a 2007-2008 White Paper Door Knock, a series of visits to Government officials will be take place over the next several months. A courtesy visit to METI Vice-Minister Shindo ahead of the white paper launch is currently being organized for November 19.

4. EIA Steering Committee: A substantive amount of research and outreach has been conducted in regards to the EIA. The EBC Secretariat plans to issue a reference paper to its internal and external stakeholders for their review, approval and ongoing discussion. However, the white paper launch and other pressing matters have been priority at the present time.

5. ETP Recruitment: The date for the kick-off of the 2008 ETP recruitment program has been delayed. As part of the EBC's role in ETP recruitment, EBC Executive Director will attend the kick-off meeting to be held probably in Brussels sometime in the early part of next year. Michel Martino, Director of the ETP program recently visited Japan and met with A. Murray to discuss progress and challenges for ETP program.

6. Gateway: EBC is currently awaiting a decision on whether Eurochambres will be awarded the Gateway contract, and if an additional staff member will need to be employed to carry out subcontracted gateway coordination activities for Eurochambres in Japan.

7. EBC Secretariat activities: EBC is broadcasting event announcements for JETRO events that are relevant to European businesses, as well as upcoming conferences to be held by the Economist group.

8. New Committee: The EBC is also considering the possibility of setting up a Chemicals Committee as a French chemical company recently contacted the EBC about a tariff issue and indicated that they will find some other companies that might be interested in joining.

3. REPORT FROM THE POLICY DIRECTOR

1. Cosmetics Committee: The committee visited MHLW to express their concern with parallel imports that do not follow the law on labeling requirements. EBC member companies have invested significant time and resources to ensure that their products abide by labeling requirements, and believe that allowing mislabeled parallel imports on the market, distorts the principle of equal treatment and fair competition

2. Retail and Wholesale Committee: Member companies are concerned that current labeling requirements for household products should be less stringent and revised so as to be more in line with labeling applied in other industrialised countries.

3. Airline Committee: The Committee submitted Public Comments and its endorsement of recently issued Guidelines by the Japan Fair Trade Commission (JFTC) on revision of competition policies for the international aviation industry.

4. Human Resources Committee: The EBC together with the ANZCCJ submitted a letter to the MOJ requesting that the new immigration procedures, to take effect on November 20, do not adversely affect foreign business travelers. Following this request, the Immigration Bureau issued an official notice with a confirmation that the new system will allow for a separate line of entry at immigration counters for re-entry permit holders.

5. Freight and Logistics Committee: The first committee meeting, held on November 6, was a positive kick-off with an active agenda of lobbying activities planned.

6. Financial Services: The FSA has established a Working Group as part of its intent to move towards a principle-based system of regulation for a more open, transparent and market-friendly system. The Working Group has invited the EBC to present their concerns at a meeting on October 25.

7. Following a number of inquiries by journalists on the position of the industry vis-a-vis the EIA, a number of articles on the EIA are expected to appear in the press.

4. FUNDING ITEMS

1. Interim report on responses to 2008 stakeholder fees and draft 2008 Budget: The Executive Director requested that Chambers which have not yet given their written approval of the draft 2008 budget reply by November 30.

5. ORGANISATIONAL ITEMS

1. Interim report on voting response to organization proposal: The Executive Director reported that 2 Chambers have already cast their vote following the meeting on the organization proposal. The remaining Chambers have more time to discuss the proposal. The deadline for voting is December 31.

6. ANY OTHER BUSINESS

1. The EOB lunch at Beige with Ambassador Richardson and EC Delegation Personnel will take place following this meeting.

2. Arrangements are underway for the EBC BOG cocktail party to be hosted at the Chanel office on December 6.