ABSTRACT
This chapter describes the history of the economic relations between Japan and the European country (EC) from the commercial controversy to industrial and technological cooperation and points out the influences of the development of industrial and technological cooperation on Japanese direct investment in the EC. The expression 'industrial and technological cooperation' or 'industrial cooperation' or 'technological cooperation' or 'scientific and technological cooperation' is relatively new and is often applied to relationships among developed countries, but it has different meanings depending on the situation. The meaning should be clear in the context of the controversy between Japan and the EC. The President's conclusions of the EC summit in Milan in June included one item specially relating to the critique of 'Japanese Trade'. The EC Commission published a comprehensive and detailed document relating to 'Japanese Trade' and the Japanese government made quite a tough response.
