|| The Exchange
of Notes concerning the Policy and Procedure of the R&D and Procurement
of Artificial Satellites(July 15,1990)(June 15, 1990)
Policies and Procedures
Regarding Satellite R&D/Procurement
As a result of the recent discussions concerning the satellite R&D/procurement
issue, the Government of Japan and the Government of the United States confirm
|| It is the policy of the Government of
Japan to procure non-R&D satellites on an open, transparent and
|| The procurement of all satellites,
other than R&D satellites and R&D payloads on non-R&D
satellite, by or for the Government of Japan or any entity whose
satellite procurement procedures are subject to direct or indirect
government control, including NTT, will be conducted in accordance
with open, transparent and non-discriminatory procedures.
|| The Government of Japan will not
otherwise influence, obstruct, or hinder the procurement of
non-R&D satellites by NHK or any other entity, nor attempt
to do so.
|| These procedures are
set forth in Attachment II and are consistent with the GATT
Agreement on Government Procurement, as amended.
|| The two Governments have decided,
as a practical approach, to set forth the following understandings
with respect to R&D satellites:
|| The term "R&D satellites"
means satellites designed and used entirely, or almost entirely,
for the purpose of in-space development and/or validation of
technologies new to either country, and/or non-commercial scientific
|| The term "R&D payloads"
means payloads designed and used entirely for the purpose of
in-space development and/or validation of technologies new to
either country, and/or non-commercial scientific research.
|| Satellites designed
or used for commercial purposes or for the provision of services
on a regular basis are not R&D satellites.
||Typical examples of U.S.
and Japanese R&D satellites which have been in use since
1988 or are scheduled currently for development are set forth
in Attachments III and IV.
||The Government of Japan will
take measures to alter the existing CS-4 project, whereby NASDA will
develop an R&D satellite for the purpose of the in-space validation
of technologies new to Japan which will be consistent with the definition
in Paragraph 3 above of an R&D satellite.
||This policy will apply to all
satellite procurements by the Government of Japan or any entity referred
to in Paragraph 2 above that are initiated or on-going on or after
[date of exchange of these letters], with the exception of satellites
for which development contracts have been legally entered into prior
to that date.