A report about Deng's hopes for social and economic reforms in China.

Ambassador Nakae reports Hu Yaobang's brief comments on China's political and economic situation.

Chinese and Japanese economic relations are discussed with specific references to the first Yen loan and the coal industry.

Japan's Prime Minister meets with Deng Xiaoping, Hu Yaobang, and Zhao Ziyang for a series of meetings. The two sides discuss bilateral political and economic relations, developments in China's economic policies, Sino-Soviet and Sino-American relations, the situation on the Korean peninsula, the status of Hong Kong and Taiwan, the Israeli invasion of Lebanon, the Japanese textbook issue, and ther topics.

Deng Xiaoping and Nakasone Yasuhiro discuss how to strengthen Sino-Japanese relations, focusing in particular on the expansion of economic ties between the two countries.

Hu Yaobang and Nakasone Yasuhiro exchange views on the Soviet Union, the Korean Peninsula, and Sino-Japanese relations.