[Title] Prime Minister Yasuhiro Nakasone's Remarks Following Discussions With President Ronald Reagan

President Reagan and I have just completed a very fruitful discussion.

I believe that there are three distinctive elements in the current Japan-U.S. relationship. They are trust, responsibility, and friendship. At the beginning of the new year, the President and I have set a framework for our two countries to work together, based on these three elements, for promoting dynamic cooperation in quest of the peace and prosperity of the world.

The President and I exchanged views on the issue of peace and arms control. The negotiation on arms control will start next week in Geneva between Secretary Shultz and Foreign Minister Gromyko. I expressed my respect to the President's firm determination in pursuit of peace. I fully support his endeavor in launching this important negotiation.

The President and I reaffirmed the importance of maintaining close contact and unity among the industrial democracies on this issue. I earnestly hope that the historians of the future will mark 1985 as the year in which a great step forward was taken towards the consolidation of the world peace.

The President and I reconfirmed that the United States and Japan share heavy responsibilities for the sustained, noninflationary growth of the world economy and for the maintenance and development of the open and multilateral economic and trading system of the world. For this purpose, it is important to implement appropriate economic policies in our respective countries and to endeavor to maintain and expand the open market.

We also confirmed that Japan and the United States will cooperate even closer for launching the preparations for a new round of multilateral trade negotiations this year.

The President and I welcomed the advent of a new era characterized by the active cooperation in high technology, investment in capital exchanges, services, and other areas. We shared the determination of making serious efforts for a more balanced development of our trade and economic relations. To this end, Japan will promote economic policies that will enhance growth led by domestic private demand and will make further market-opening efforts.

To secure effectiveness of such mutual efforts, we will be engaged in an active joint followup effort and have designated Secretary Shultz and Foreign Minister Abe to oversee this cooperative process. Such work, needless to say, should be conducted with a view to strengthening our overall bilateral relationship.

The President and I shared the view that the report of the Japan-U.S. advisory commission was a valuable contribution and would merit a serious study by both sides. I expressed to the President that Japan intends to proceed further with its efforts at its own initiative to improve its self-defense capabilities, together with further strengthening the credibility of the Japan-U.S. security arrangements.

Mr. President, California has been a major gateway in the history of our trans-Pacific exchanges, and of course, California means a great deal for you, Mr. President. It was a great pleasure for me to meet with you here in California and to exchange views on our precious bilateral relationship in order to set the direction towards the 21st century. And there is no better place than California to talk about the importance of further promoting the dynamic development of the Asia and Pacific region.

Mr. President, it is indeed encouraging that I can continue to work with you as close partners in pursuit of our common objectives. Thank you very much for your kind hospitality.