The festering trade row between the two giant Asian trading partners has gathered momentum since China slapped 100 percent punitive tariffs on imports of Japanese vehicles, mobile phones and air conditioners in late June.

That move was in retaliation for Japan's imposition of emergency and temporary import curbs in April on shiitake mushrooms, leeks and rushes for the tatami mats that cover the floors of traditional Japanese homes, many of which are imported from China.

"We will stand by our principles at a meeting of senior officials from July 3," he told a TV Asahi talkshow. The two sides are due to hold talks on Tuesday and Wednesday in Beijing.

Hiranuma reiterated that Japan's decision to impose the import curbs was in line with World Trade Organization (WTO) rules, while China's retaliation violated those WTO rules even though it is not yet a member of the WTO.

"China is about to join the WTO and Japan has supported that. If it is joining the WTO, it should follow the WTO rules in the first place," Hiranuma said.

Hiranuma said Japan would not bow to China.

"A global free trade system will be created after China enters the WTO," he said.

"But if Japan surrender to threats, there will be no ground for using the WTO (rules)," he said.

His latest comments underscore difficulties expected at this week's talks.

Beijing has said it is ready for talks, but it was up to Japan to resolve the row by removing its curbs on the Chinese farm products.

On Thursday, Katsusada Hirose, vice minister of economy, trade and industry, said its emergency import curbs on some Chinese farm products and Beijing's retaliatory tariffs were separate issues and insisted Tokyo had right on its side.

Hirose also said that while he hoped for an agreement at the upcoming talks, Tokyo had no intention of ending its "safeguard" import curbs.

(Chinadaily.com.cn 07/01/2001)