Japan, Taiwan to Curb Machine Tool Exports to U.S.

President Reagan announced today Japan and Taiwan agreed to limit their exports of machine tools to the United States and that the Pentagon will start helping prop up the beleaguered industry.

The five-year voluntary restraints Japan and Taiwan agreed to “will allow the U.S. industry to increase its share of the domestic market and preserve critical production capabilities,” Reagan said in a statement.

White House officials said the agreements, plus a wide range of government aid to the machine tool industry, will raise its share of the domestic market from 35% to 44% in five years and keep $775-million worth of imports out of the country.