U.S. to Continue Semiconductor Talks With Japan

The Reagan Administration has extended until July 26 a deadline for resolving a dispute with the Japanese on semiconductor trade after six days of intensive talks failed to produce a final agreement, U.S. officials said today.

The deadline had been midnight Wednesday.

The proposed pact is intended to open Japanese markets to U.S. semiconductor sales while resolving unfair trading complaints now pending that accuse the Japanese of “dumping” computer memory chips in this country at below market values.

It was the second time in two days that the Administration decided to punt on a major trade issue. On Wednesday, President Reagan announced he would delay any retaliatory action against the European Community until the end of the year in hopes of working out an acceptable agreement on European limits on U.S. agricultural products. (Story, Page 5.)