A U.S. insurance industry group said Wednesday Japan's state-run "kampo" life insurance business violates World Trade Organization rules and urged the U.S. government to try to end what it calls Japan's preferential treatment of the business.
"We have no alternative but to push for remedies as provided for under GATS (General Agreement on Trade in Services), unless we receive some positive feedback from the agencies responsible for kampo," Gary Hughes, vice president and general counsel of the American Council of Life Insurers, said in a statement.
GATS, concluded as part of the 1986-1994 Uruguay Round of global trade negotiations under the auspices of the WTO, requires participating governments to provide all covered services and service suppliers with treatment "no less favorable" than accorded to the likes of domestic services and service suppliers.
The statement was released ahead of a working-level meeting Friday in Washington between Japan and the United States on insurance trade issues.