The US-Japan defense empire appears to be in good health following US Defense Secretary Pete Hegseth’s attend to commemorate the 80th anniversary of the World War II battle of Iwo Jima.
The same cannot be said about the two allies ‘ economic relations, however, given President Donald Trump’s recent announcement of additional 25 % tariffs on imported cars, including those made in Japan.
The Chinese view this as a broken promise and a major threat to their home economy. Trump stated in his first phrase that he would not impose more tariffs on Chinese automobiles and parts when he told then-Prime Minister Shinzo Abe in 2019.
We” sorely urged the US government to remove Japan from the measure,” according to Chief Cabinet Secretary Yoshimasa Hayashi, adding that US taxes could include a” significant effects on bilateral economic relationships, the global market, and the international trading system.”
Diet people were told by Prime Minister Shigeru Ishiba,” We must take measures to respond properly. We have a number of possible alternatives open to us. These options are typically regarded as conventional methods, such as imposing retaliatory tariffs or filing a problem with the World Trade Organization. However, bigger buying order shifts might be coming.
In an effort to jointly promote local business in the face of Trump’s increasing taxes, Japan, South Korea, and China held their first financial speech on Sunday.
According to a statement released after the meeting that was cited by wire reports, the three business ministers of the nations agreed to” carefully cooperate for comprehensive and high-level” discussions on a South Korea-Japan-China free trade agreement.
According to South Korean Trade Minister Ahn Duk-geun, who spoke in reference to the Regional Comprehensive Economic Partnership trade agreement, “it is needed to improve the deployment of RCEP, in which all three nations have participated, and to establish a foundation for expanding business cooperation between the three nations through Korea-China-Japan FTA discussions.”
A trade agreement between 15 Asia-Pacific nations, which was put into effect in 2022, is known as the RCEP, and it aims to lower business restrictions. Since deals started in 2012, however, Japan, South Korea, and China have not significantly advanced toward a multilateral free trade agreement.
Earlier this month, Trump’s cabinet met back of his anticipated news to increase tariffs on April 2 in what he has referred to as “liberation day” because of his upend of Washington’s buying partnerships, according to Reuters.
Chinese Foreign Minister Wang Yi, North Korean Foreign Minister Cho Tae-yul, and Japanese Foreign Minister Takeshi Iwaya convened on March 22 for a multilateral gathering in Tokyo. Iwaya said at the time of the meeting that” I think we may be at a turning point in history” given the extremely difficult foreign situation.
Iwaya stated in a statement that appeared in the center of Japan’s moderate daily news,” It is extremely essential for the three places to promote exchange and cooperation to guide the international community from section to harmony.”
The Mainichi itself noted that the three foreign ministers reiterated their commitment to “future-oriented” collaboration and agreed on” the importance of holding a trilateral summit at an early date” in an editorial entitled” Japan, China, and S. Korea must enhance cooperation for Asia’s stability.”
Japan, China, and South Korea FMs agree on future-oriented cooperation, the printed news arm of Japan’s national broadcaster NHK followed suit. The left-wing daily Asahi Shimbun in Japan wrote,” Unity is essential for Japan, China, and S. Korea as the world order is shattered.”
Trump’s threat to free trade brings China, Japan, and South Korea closer, according to The Nikkei, the country’s largest business daily. Beijing also qualifies this statement with” Beijing sees opportunity drive wedge into Washington-led alliance.”
However, those headlines don’t necessarily indicate that a new trilateral trading order is on the horizon.
In response to Chinese Foreign Minister Wang’s claim that “unilateralism and protectionism are pervasive,” the editorial board of Japan’s right-wing Sankei Shimbun wrote,” Wang Yi’s Words are Empty Until China Improves Its Behavior.”
But who gave Beijing the wedge? Iwaya was undoubtedly sat next to the Japanese Ministry of Foreign Affairs, who, of course, said:
Ishiba, the prime minister, welcomed the two foreign ministers ‘ visits to Japan and stated that although difficulties occasionally arise, Japan wants to establish a future-oriented cooperative relationship through pragmatic diplomacy based on national interests.
Wang, a spokesperson for the Chinese state news agency Xinhua, stated that since China and Japan’s diplomatic relations have rekindled bilateral trade for 15 years running at a high level of [ US$ 300 billion ] with an accumulative bilateral investment of nearly[ US$ 140 billion ]…
The two nations should continue to promote political relations through economic cooperation, foster dialogue and exchanges across all sectors, according to China’s top envoy, adding that” to create new growth drivers, they must uphold the tradition of promoting political relations through economic cooperation.”
Japan is also looking for new markets and opportunities beyond its neighbors.
Prime Minister Ishiba and other Japanese officials welcomed a delegation led by South African Deputy President Paul Mashatile to Tokyo earlier in March for discussions aimed at promoting bilateral trade and investment.
Brazilian President Luiz Inacio Lula da Silva visited Tokyo last week to talk about a five-year plan to improve economic ties, start discussions with foreign and defense leaders, address climate change, and arrange frequent visits by the two countries ‘ leaders. During his state visit, Lula also had a meeting with Emperor Naruhito and Princess Masako.
Lula, who was accompanied by about 80 Brazilian business executives, stated to Prime Minister Ishiba that he would like to begin negotiating a trade deal with Japan “later this year.”
Brazilian aircraft manufacturer Embraer completed the sale of 20 passenger jets to All Nippon Airways during the course of the visit. With Japanese motor manufacturer Nidec, Engineer is also developing electric aircraft. The topics covered ethanol, biofuels, and hybrid vehicle technology.
Ishiba said,” I want to strengthen our relationship as partners who share the responsibility for solving problems. I want to take our economic relationship even higher.
Lula responded,” Confirming the importance of the values of democracy, multilateralism, and free trade, which are the most significant forms of governance in the world, will be a significant key to the development of both of our countries.
Tokyo is still relying on the Japan-US Security Treaty for its national defense, but it is also looking to the outside world to keep its global trade and economic growth.
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