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Japan postures to play catch-up with China
By Brad Glosserman

(Used by permission of Pacific Forum CSIS)

It's hard to get excited about last week's Japan-ASEAN summit. The decision to foster a new "special relationship" between the two could be historic, but the economic free-trade areas that will provide its foundation look like long shots. Japanese efforts are likely to be frustrated by the same political forces that have blocked previous initiatives. That is a pity, not only for Japan, but for the Southeast Asian governments that seek a rejuvenated relationship with Tokyo.

Initially, hopes were high for the summit. The meeting marked the 30th anniversary of Japan's relations with the Association of Southeast Asian Nations (ASEAN) and, in reflection of that long-standing relationship, was the first ASEAN Commemorative summit with a dialogue partner as well as the first summit to be held outside the region. Japanese officials had promised a "historic" meeting, implying at least that there would be something more to the gathering than news of the summit itself.

Now it seems "The Tokyo Declaration for the Dynamic and Enduring Japan-ASEAN Partnership in the New Millennium" and its action plan might measure up to those ambitions. The declaration calls for deepening ties and enhancing cooperation in the fields of political and security affairs, monetary and financial policies, as well as information technology. Concretely, Japan will provide US$1.5 billion over the next three years to promote human resources development and another $1.5 billion over three years for subregional development projects such as the Mekong River Basin and the Brunei Darussalam-Indonesia-Malaysia-Philippines East ASEAN Growth Area. Japan and ASEAN will cooperate to fight the spread of weapons of mass destruction, terrorism, piracy and trans-national crimes; and they will undertake joint research to tackle emerging infectious diseases, such as severe acute respiratory syndrome (SARS).

Much of the language - and even some of the aid - resembles the usual boilerplate. In places, the declaration promises much more, however. The biggest developments are Tokyo's decision to join ASEAN's Treaty of Amity and Cooperation (TAC) and the commitment to create a "comprehensive economic partnership" between Japan and ASEAN, which will include elements of a free-trade area by 2012. Although the region-wide talks aren't scheduled until 2005, the effort will begin in earnest next year when Tokyo commences bilateral trade talks on free-trade agreements with Malaysia, Thailand and the Philippines.

But it's hard to be optimistic about their prospects. Japan's ability to negotiate free-trade agreements has been severely restrained by the power of the country's agricultural lobby, which has in effect blocked any deal that would liberalize farm imports. As a result, Tokyo has, thus far, concluded just one free-trade agreement - with Singapore, which has no agricultural exports. Just two months ago, the farmers' lobby stymied an agreement with Mexico, even though Prime Minister Junichiro Koizumi had appeared to endorse the deal.

The same obstacles have prevented Japan from playing a more influential role in global trade negotiations - and it is hard to imagine a higher priority for Tokyo, given the country's dependence on international trade and the crying need for rationalization of its agricultural sector.

The real tragedy, however, is the wasted opportunity. ASEAN has warm feelings for Japan and looks for Tokyo to play a greater role in the region. Southeast Asia has a deep and abiding respect for Japan's accomplishments in the post-war era and greatly appreciates the assistance that Tokyo has provided in the past. The "Fukuda Doctrine" is credited with helping ASEAN through difficult times in the 1970s and 1980s amid fears of "falling dominoes" and "red scares". Japan provided markets for Asian exports, along with the technology and management know-how that facilitated the region's development. Japanese businesses and their networks played a critical role in that process as well. Along the way, ASEAN became Japan's second-biggest trading partner; the region's trade with Japan reached $124.4 billion in 2002.

ASEAN knows it has reason to be grateful to Tokyo. The region has received the largest share of Japan's official development assistance - some $23 billion over the past three decades. Tokyo's efforts to help solve the Cambodia problem - in which Tokyo helped broker a political deal that ended the political crisis following the 1997 coup in Phnom Penh - were highly regarded, as was the Miyazawa plan, devised in the aftermath of the Asian financial crisis to ease the region's capital shortage. Tokyo also played a high-profile role in recent efforts to bring peace to the troubled Indonesian province of Aceh.

The problem for Japan is that its profile is shrinking. It is perceived as lacking confidence and unable to take the initiative in dealing with the region. Tokyo is seen as invariably lagging behind China, responding - unevenly - to Beijing's initiatives. Indeed, the Japan-ASEAN summit is seen largely as a response to China's offer last year to conclude an ASEAN-China "strategic partnership", which would include a free-trade agreement. The decision to join the TAC follows a similar decision by China and India at the ASEAN summit held in Bali in October as well as Japan's contribution to the Mekong River initiative, which was anticipated by a Chinese proposal last year as deepening Chinese integration with the Mekong region.

As the Pacific Forum conducts meetings throughout the region in an attempt to help stimulate cooperative policies in the areas surrounding the Asia-Pacific, China is invariably on the agenda - typically in the context of "the meaning and impact of China's rise". Japan, however, rarely makes the program, and is infrequently mentioned in discussions. The fact is, ordinary Southeast Asians don't think that much about Japan. That isn't all bad because it also means that the traditional obstacles to Japanese participation in regional affairs have diminished - a good thing as strategists and policymakers now look for Japan to get more involved.

Ratification of the TAC is thought to signal deeper Japanese involvement in Southeast Asian security management. That is a powerful vote of confidence in Japan, particularly in the wake of the Koizumi government's steady attempts to increase Japan's military profile, attempts it has been making since September 11, 2001. It would seem to signal the end of worries about Japan's "remilitarization" - a pointed contrast with the comment by Singapore's former prime minister Lee Kwan Yew several years back about Japanese participation in peacekeeping operations being akin to giving liqueur-flavored chocolates to a recovering alcoholic.

While China's rise is now being seen as "an opportunity rather than a threat", there is still some discomfort, and much uncertainty, about the implications of China's growing strength. Regional leaders meanwhile see Tokyo as providing some balance - at a minimum, it offers them increased opportunities for bargaining with the two Asian powers.

Southeast Asians know that for all of China's prospects, Japan will continue to be critical to the region's economic growth and development for some time to come. Just as importantly, Southeast Asians also know that the values that undergird their East Asian community are more deeply rooted in Japan than in China. That is a critical consideration as the ASEAN+3 process matures and "East Asia" becomes better defined. It is also an invaluable and incalculable asset - but it will count for little if Japan cannot meet Southeast Asian expectations by providing "concrete results" from last week's summit. And at this point, the past offers little grounds for optimism.

Brad Glosserman is director of research at the Pacific Forum CSIS. He can be reached at bradgpf@hawaii.rr.com. Used by permission.
 
Dec 20, 2003



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(Dec 13, '03)

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(Aug 2, '03)
 


   
         
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