Japan bluntly told the US yesterday to back off from criticisms over Tokyo's massive stimulus package and tax cuts.
"American officials have freedom of speech. I do respect their freedom of speech, but we do not react to foreign pressures when we make our policies," Japanese vice-finance minister, Mr Eisuke Sakakibara, said.
"We design our policies ourselves," he said in a news conference on the sidelines of the Asian Development Bank meeting in Geneva.
At an earlier formal session, the US representative called on Japan to implement "additional actions" to open its markets and strengthen financial systems.
Mr Timothy Geithner, assistant secretary of the US department of treasury, said Washington welcomed Japan's 16-trillion-yen (£91 billion) spending package announced recently but said Tokyo should do more.