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    Japan
     Feb 18, 2006
Japan brings balance to Central Asia
By Christopher Len

Amid talk of revival of the Great Game in Central Asia, Japan's role has received little attention among security analysts despite being present in the region since 1992.

By 2004, Japan had given 260 billion yen (more than US$2 billion) to support economic and social development to the Central Asian states. Japan's focus on long-term development aid to Central



Asia has allowed Tokyo to develop its reputation as a partner to Central Asian republics. This is in contrast to the other contenders in the region whose key motivation is commonly perceived to be the exploitation of the region's vast oil and gas resources.

Japan added a new dimension to its engagement with Central Asia with the formation of the Central Asia Plus Japan (including Uzbekistan, Tajikistan, Kyrgyzstan and Turkmenistan) initiative in August 2004. While low-key compared with the Shanghai Cooperation Organization (SCO - China, Russia, Kazakhstan, Kyrgyzstan, Tajikistan and Uzbekistan), Japan through the Central Asia Plus Japan initiative is likely to play an increasingly significant geopolitical role, not just in Central Asia but also in Eurasia. An important question is how Japan's new regional initiative will impact the SCO, which is largely considered the de facto regional organization in Central Asia.

Japan's entry into Central Asia
The end of the Cold War created new opportunities for Japan to engage with the post-Soviet independent states, in particular Russia. The availability of abundant energy resources from the nearby Russian Far East and the return of the Kuril Islands, referred to by the Japanese as the Northern Territories, were subjects closest to Japan's interests. However, Japan tied the issue of energy investment in the Russian Far East to the return of the disputed islands. This led to frosty ties between Moscow and Tokyo, prompting the latter to focus its attention increasingly toward Central Asia instead.

Central Asia was an attractive option for a number of reasons. Japan was attracted to the region's oil and gas deposits. Aid to Central Asia was also intended to show the Russians that more funds could be forthcoming if they return the disputed islands to Japan. In addition, there were doubts over Russia's uncertain future outlook, the aging infrastructure and difficulty in penetrating Russia's highly protected energy industry.

On a secondary level, Japan wanted to steer the new republics toward secular governments as rising Islamic fundamentalism in Central Asia could spill over into China's Xinjiang region, which in turn could destabilize the rest of China. Japanese government officials also romanticized about links between Japan and the people of Central Asia. Japan's then foreign minister, Michio Watanabe, reportedly found it difficult to distinguish between Japanese and the locals in Central Asia on his first trip to the region. The Japanese also reminisced about the 60,000 Japanese war prisoners deported to Central Asia by Josef Stalin when the Red Army invaded Manchuria in 1945.

Japan's Eurasian diplomacy
Such rationale drove Japanese engagement in the region from 1992 up to 1997. After 1997, Japan's Central Asia strategy underwent reassessment. By 1997, Japan still lacked commercial progress in the region despite having good diplomatic relations with the Central Asian regimes. The feasibility of Central Asia as an alternative to Russia and the Middle East in meeting Japan's energy security needs appeared to be overestimated by the Japanese and exaggerated by the oil-and-gas-rich Central Asian states. In addition, talks with Russia over the disputed territories yielded no result. This led to domestic criticism that Japan lacked a clearly defined strategy in engaging Central Asia.

Despite the policy setback, it became increasingly clear that Central Asia is a region of growing geopolitical significance and that Japan's participation adds to the region's stability. In 1997, Koji Watanabe, executive adviser to the Japan Federation of Economic Organizations (Keidanren) and former Japanese ambassador to Russia, stated in an interview that Japan should help the Central Asian states develop because these states play a role as a buffer region in the Eurasian continent for the maintenance of peace.

Once Japan defined a clear purpose in Central Asia, it devised a sophisticated response marking the beginning of a new diplomatic phase in Central Asia. In a speech delivered to the Japan Association of Corporate Executives, then-prime minister Ryutaro Hashimoto outlined a new Eurasian foreign policy. Under the "Eurasian diplomacy", Japan would help toward regional integration within Central Asia with plans to improve communication, transport and energy networks in the region. While acknowledging the expanding influence of Central Asian and Caspian oil and gas resources on the world energy supply, Hashimoto stated that Japan's economic engagement with Central Asia would be based on the development of the energy sector, not as an end for Japan, but as a way to foster prosperity in the region.

In sum, Japan understood that with Central Asia's small population, vast distances away from viable markets and landlocked geography, its republics needed to deepen their level of cooperation with one another so as to create a local regional market economy. This would help lessen dependence on Central Asia's export economy and provide more incentives for foreign companies to enter the region because of the bigger markets available for foreign investment. Such a regional blueprint would thus generate greater stability and wealth within the region.

The Central Asian republics responded positively to this new initiative with visits by top-ranking officials to Japan in 1998 and 1999. The Japanese government and business delegations also returned to the region with a new sense of purpose. Reflecting Japan's stability-oriented development goals in the region and its long-term commitment, they focused on long-term investment and loans to develop Central Asia's infrastructure network.

The Central Asian governments on their part acknowledged Japan's Eurasian strategy for modernization. Kyrgyzstan's then-president Askar Akayev highlighted Japanese policies as an example of how outsiders could first help local economic reintegration before focusing on the exploitation of the resources found in the region. Kazakh President Nursultan Nazarbayev declared that the revitalization of the "Silk Road" required first deeper cooperation of the countries in the region before pursuing extended engagement with the outside world. Uzbek President Islam Karimov in turn held Japan up as a role model, noting how resource-poor Japan developed successfully because the needs of the community were placed before those of the individual.

Central Asia Plus Japan
Confident that bilateral relations with the respective Central Asian states had reached a comfortable level, Japan introduced the Central Asia Plus Japan initiative. The idea of the initiative is to shift the focus from bilateral ties between Japan and the individual states to greater dialogue among the Central Asian states themselves with Japan as a facilitator. Apart from members, Turkmenistan, maintaining its stance on positive neutrality, would also attend these meetings, although not as a full member.

In the inaugural meeting held in Kazakhstan in August 2004, participants discussed the importance of intra-regional cooperation aiming for stability and development of the Central Asian region as a whole and also cooperation between Japan and Central Asia in the international arena. It was also stated that the need for development of market economies and democratization will be stressed through future dialogues. This was followed up by another meeting during the 12th Organization for Security and Cooperation in Europe (OSCE) Ministerial Council meeting in Bulgaria in December 2004 and another meeting in Tashkent last March.

After the May 13 Andijan violence in Uzbekistan, US-Uzbek relations soured and the latter has swung toward the SCO as a means to safeguard its regime and reassert its legitimacy. It was reported that in response to the event, the Japanese government was considering holding a foreign ministerial conference involving Japan and the five Central Asian states in the summer of 2005 to boost the region's political stability through expanded Japanese development assistance. However, this was apparently shelved because of the snap elections in Japan in September. It is most likely that Japan will continue in its engagement with the Uzbek regime since it is precisely such political and social instability that the Japanese government would like to address in the region.

Japan, SCO share complementary objectives
Japan's role actually complements the SCO's in significant ways. Central Asian regimes are likely to see synergy in their engagement with both. Japan could assist with the region's modernization through its economic and development aid, while the SCO could be relied on to coordinate and address the region's security threats, especially terrorism, organized crime and violent Islamist movements.

Another area of converging interests is the focus in deepening Central Asian regional integration. Russia and China share the same regionalization and development goals for Central Asia as with Japan. In working for a stable Central Asia, all parties are attempting to bring Afghanistan into the Central Asian fold as inclusion of Afghanistan would create a potentially larger market in the Central Asian region, while instability in Afghanistan could impact the region negatively. November was especially significant for Afghanistan as it was admitted into the Central Asia Regional Economic Cooperation (CAREC) grouping organized by the Japan-led Asian Development Bank and because the SCO-Afghanistan Contact Group was established.

Japan as a mitigating force to the SCO
While the objectives of the Central Asia Plus Japan initiative complement those of the SCO member states, Japan also plays a positive role in the region as a balancing force against the SCO. To be realistic, however, it is unlikely that the initiative will ever have the same weight and presence as the SCO. Since China and Russia are geographically part of the region sharing borders with Central Asian states, their level of engagement is more intrinsic. Furthermore, Russia and China share with the Central Asian leaders the same threats and vulnerabilities with regards to terrorism and violent Islamist movements. In addition, the two giant neighbors have been the most outspoken supporters of the authoritarian Central Asian regimes.

Nevertheless, Japan, through the Central Asia Plus Japan initiative, mitigates the aspirations of the SCO. Its presence in the region helps dilute the influence of the SCO, a result that the Central Asian republics, the United States and Europe all prefer. Japan's role is particularly important in light of the SCO's growing confidence, as reflected in the recent inclusion of India, Pakistan and Iran as SCO observers (Mongolia attained observer status in 2004) and the establishment of the SCO-Afghanistan Contact Group.

The entry of these observers and the establishment of the SCO-Afghanistan Contact Group mean that the Central Asian region is now surrounded by SCO or SCO-friendly states. This in essence fences the Central Asian states into the SCO framework. Such encirclement, if successful, is likely to make the SCO the dominant multilateral organization in Central Asia.

More important, the inclusion of these members suggests that the SCO is gradually expanding beyond Central Asia and into the wider Eurasian region. Such a development would have great geopolitical implications since the SCO grouping has the potential to develop into a formidable energy bloc within Eurasia with oil and gas from Iran, Kazakhstan, Uzbekistan and Turkmenistan flowing into or through Russia, China and India.

Japan's ability to engage and influence the individual SCO-associated states, namely the Central Asian states and Afghanistan, thus takes on growing geopolitical significance. As an ally of the West and for the sake of its own energy security needs, Tokyo would not allow the SCO to have a stranglehold over Eurasia's energy resources.

Conclusion
Japan's foreign policy is directed toward three considerations: US-Japanese relations, Japan's international standing and prestige through the promotion of multilateral institutions of cooperation, and relations with its two great-power neighbors, Russia and China. In this sense, the new Eurasian initiative complements all three objectives clearly.

In essence, Central Asian states are more interested in looking after their own needs than those of any regional organization, including the SCO. Japan's presence is welcome because of its use of economic and aid linkages rather than economic or security leverage when dealing with them.

Interestingly, Japan's activities in Central Asia reveal a subtle foreign policy that is able to accommodate both Eastern and Western value systems. In the eyes of the Central Asian regimes, Japan has come to represent a viable Asian role model and partner for their modernization program. For the West, Japan has come to represent its liberal-democratic values, as opposed to China and Russia, which insist on an indigenous - and usually authoritarian - approach toward government. While the Central Asian regimes and the West may not see eye-to-eye on a range of issues, both nevertheless recognize Japan's contribution to the region, especially because of Japan's potential to counterbalance Russian and Chinese influence in Central Asia.

As US influence diminishes within the Central Asian region and the SCO consolidates and expands its membership, Japan will have an increasing geopolitical role to play within Eurasia as a counterbalance to the SCO. Its engagement in Central Asia will ultimately sway the geopolitical direction of Eurasia depending on how successful it is in influencing the Central Asian states, including Afghanistan, to its way of thinking.

Published with permission of the Power and Interest News Report, an analysis-based publication that seeks to provide insight into various conflicts, regions and points of interest around the globe. All comments should be directed to content@pinr.com .


Xinjiang and the revival of the Silk Road (Jan 26, '06)

The Kremlin and the world energy war
(Jan 10, '06)

China lays down gauntlet in energy war (Dec 21, '05)

 
 



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