BALDRIGE CONCERNED ABOUT KOREAN/TAIWAN DEFICITS

  Secretary of Commerce Malcolm
  Baldrige expressed concern about the continuing U.S. trade
  deficits with South Korea and Taiwan and said that without an
  adjustment in exchange rates there is little likelihood of
  improvement.
      Speaking to the President's Export Council, an industry
  advisory group, Baldrige said the trade deficit issue was under
  discussion with those countries.
      "I feel that unless we see an exchange rate adjustment we
  probably won't be able to see much of a change in the large
  surplus that Taiwan in particular has with us," he said.
      In a wide-ranging discussion on U.S. trade matters,
  Baldrige also repeated U.S. concern about an attempted takeover
  by Japan's Fujitsu company of Fairchild Computer.
      He said that the Japanese were resisting allowing U.S.
  companies into the giant computer business while at the same
  time attempting to acquire control of a U.S. company that does
  major computer business in the U.S. market.
      Lastly, Baldrige said that the United States was hopeful
  that it could complete a free market agreement with Canada by
  the autumn, but said major issues, including acid rain,
  remained unresolved.
  

