Japan and the United States have agreed to resolve their ongoing civil aviation dispute in September by resuming formal negotiations early next month in Tokyo, Transport Ministry officials said July 11.

The agreement was reached after three days of unofficial talks held in Portland, Ore. Both sides decided to hold official vice-ministerial level talks in Tokyo in early August toward an agreement over both passenger and cargo services.

Transport Minister Makoto Koga hailed the latest agreement as a major step forward. "Although there is still a gap in basic standpoints, the U.S. side strongly hopes to resolve the aviation issue in the early stage. We understand that the U.S. has a strong motivation to resolve the cargo service issue," another ministry official said.