According to Hideyuki Tanaka, Chair of the Subcommittee on Asean Economic Relations, Keidanren( Japan Federation of Economic Organizations ), Chinese traders are still confident in their purchases in Thailand and are eager to remain there, especially in industries related to automobile manufacturing.
One of the ten Southeast members, Thailand, has a wealth of natural resources, and Japan believes that its citizens share Thai culture. More important, according to Mr. Tanaka, Thai citizens are cordial with the Japanese.
Some Japanese businessmen, especially in the automotive sector, are still confident in their investments in Thailand as a result of these elements. In the nation, production facilities are still being established.
According to him, some more Chinese businesses, including SMEs and startups, did relocate to Thailand. These small and large Chinese businesses have the potential to broaden their supply chains in the nation.
According to him,” Compared to another foreign investors, the number of Chinese firms and overall investment in Thailand is the largest.”
When Mr. Tanaka visited Thailand to commemorate the 50th anniversary of Asean-Japanese relations this time, he spoke to the Bangkok Post late. Japan and the East started political ties in 1973.
Japan is committed to advancing the Asean Outlook on the Indo-Pacific( AOIP ) implementation through tangible projects and initiatives using an aseen-led mechanism. The AOIP, which adheres to the Free and Open Indo-Pacific( FOIP ) led by Japan, has four main focus areas: connectivity, maritime cooperation, SDGs, and economics.
Because Thailand is in the middle of the Mekong subregion and is surrounded by Laos, Cambodia, and Myanmar, Mr. Tanaka claimed that despite the rising cost of living there, Chinese traders did not depart.
Thailand is one of the largest business foundations for Japan in Southeast Asia at the moment, with approximately 6, 000 Chinese companies operating it. According to the Japanese Embassy in Thailand, over the past 40 years, Chinese companies have invested about 3.5 trillion rmb, or about 40 % of all international investments in the nation.
Asean concentrate
Over the next 50 times, Mr. Tanaka stated that Japan intends to invest in another Asian nations in addition to Thailand.
According to him, Chinese people have long invested in Asean because the region has been crucial because its nations have served as hubs for Chinese businesses.
But, Japan has begun to understand that the area is crucial for maintaining its source range in addition to production. One of the biggest consumers of Chinese goods and society is Asian.
” Asean’s GDP growth rate will probably soon surpass that of Japan.” Therefore, the consumer market is extremely alluring.
We are aware that Chinese goods and society are consumed in Asean. People from the area have often come to visit our nation. As a result, Asean is crucial to the Asian business and our products, and it is also very advantageous to Japan, he claimed.
Japan has regarded Asean as a long-lasting, dependable mate as the rest of the world has highlighted the significance of supply chains and had to cope with their perturbation. According to him, Japan recognizes Asean as its primary supply chain wall.
AOIP and FOIP: what are they?
More cooperation is in the works to create the shared values of the AOIP and FOIP.
Through the AOIP, Asean members have come to an understanding on how to work with foreign partners like China, the European Union ( EU ), the US, and Japan. With its innovative FOIP strategy, Japan will even work with Asean. According to Mr. Tanaka, the Chinese FOIP program and the AOIP have similar ideas and goals.
The new FOIP strategy was revealed by Japanese Prime Minister Kishida Fumio on March 20 while he was attending the Indian Council of World Affairs( ICWA ) summit, according to the Japanese Foreign Ministry website.
The basic idea is to instill a sense of wealth, freedom, the rule of law, and an environment devoid of coercion or force. Peace and rules for happiness, Indo-Pacific-style problem-solving, multi-layered connectivity, and enhancing efforts for maritime and air security are the four pillars.
Additionally, Japan may work closely with both the public and private sectors to meet each nation’s requirements.
By 2030, Japan will also mobilize a total of more than US$ 75 million( 2.73 billion baht ) in public and private funds for infrastructure in the Indo-Pacific region, where there is significant demand from each nation. Japan wants to develop alongside different nations.
Asean members had agreed to work with other nations on behalf of the AOIP to uphold the nation’s importance, harmony, freedom, and peace in Southeast Asia.
Under the AOIP, Asean members aimed to collaborate on marine issues, connectivity, UN SDGs, financial matters, and other potential areas for more cooperation, such as the online economy, SMEs and MSMEs, cross-border electronic data flows, risk reduction and climate change management, an aging society and innovation.
The Bangkok Post questioned Mr. Tanaka about the differences between the Chinese FOIP program and various strategies for engaging with Asean because the US and the EU both have their own Indo-Pacific engagement techniques. He claimed that despite having a very long history filled with ups and downs, Japan and Northern nations have now reached the same level of relationship as G7 members.
However, we Chinese people firmly believe that the way of considering in Western nations is not the accepted norm. We even comprehend Asians and Asean individuals.
Therefore, we can act as a liaison between the Asian and American perspectives. At the same time, Japan must comprehend Asean’s primacy.
So, in order to establish a new normal, we need to strengthen our dialogue. However, we do not think that there is only one option, as proposed by European nations, when it comes to power and the green transition. We must comprehend the present predicament between Asean and Japan before we can develop fresh solutions for this problem, he continued.
He recommended that Japan, Asean, and Thailand focus more on three areas for future cooperation: energy transformation, digitization of the internet of things( e.g., the improvement of grassroots livelihoods ).
” Women’s safety and security as well as their means of subsistence are extremely important. The age of groups varies in Asian cultures, and like Thailand, they are evolving into ageing societies. Japan developed into an older world than Thailand.
As a result, we can work on medical science and technology and discuss our knowledge and experience with Thailand. Additionally, we need to work together more to develop system as well as human capability, Mr. Tanaka said.