20 Jan, 2022
The new leader wants to focus on post-pandemic economic growth and sustainability, and that may mean more dealings with China. Kishida
cannot afford to fuel tensions with Beijing by taking sides with
Washington and is treading a fine line on issues such as Taiwan,
Xinjiang and the Olympics
Fumio
Kishida, Japan’s new prime minister, may become the nation’s first
leader in the post-Cold-War era to not have visited Washington in the
first 10 months of his term, without a specific reason.The only
exceptions are Tsutomu Hada, who spent only 64 days as leader in 1994,
and Emperor Hirohito, who spent just five days in the United States
during his reign.
Japan’s new Diet
session, which began on January 17, will last until June 15. After that,
Kishida must fight in the Upper House election, held between June 25
and July 25. His schedule is tight, and Covid-19, including the Omicron
variant, is again spreading.
Kishida wants to avoid the fate of his
predecessor Yoshihide Suga, who took time off during last year’s Diet to
visit Washington while coronavirus cases were surging, leading to a
decline in his approval ratings and ultimately his resignation on
September 3.
Instead, Kishida should focus solely on economic growth amid a heightened sense of uncertainty about the future.
Under
Japan’s landmark economic policy, Abenomics, the Nikkei Stock Index
more than doubled in the nine years to 2021. However, real GDP was up
only 0.5 per cent per year while the United States enjoyed 2 per cent
growth on average. Abenomics also widened the gap between the rich and
poor.
One of Kishida’s
election campaign pledges was to push for distribution of wealth among
all Japanese people, which means breaking with Abenomics. At the same
time, he promised to focus on achieving carbon neutrality by 2050 – a
Japanese Green Deal.
The world’s third-largest economy must increase
its use of sustainable energy from 18 per cent in 2019 to more than 70
per cent by 2050. As a result, Japan will need to import more graphite,
rare earth metals, copper, nickel, zinc and lithium to boost its
sustainable energy mix.
China
currently produces more than 60 per cent of the global output of
graphite, 60 per cent of rare earths and 30 per cent of zinc. It also
dominates the refining and processing market of all six critical
minerals, according to the International Energy Agency.
Therefore,
Japan may find itself leaning towards trade with China, something
Japan’s Federation of Economic Organizations and many other Japanese
companies support.
Of course, the US-Japan alliance remains
strong and Tokyo backs Washington’s free and open Indo-Pacific strategy.
Japan will increase its 2022 defence budget by 6.5 per cent from a year
earlier, bringing it to 1.09 per cent of GDP, the first time the nation
will have breached its informal 1 per cent limit set in 1976.
This
will strengthen Japan’s deterrent capabilities, but Kishida wants to
focus more on peace in Asia, including with China, given that Tokyo
remains unsure of US commitment to the nation. Japan
needs to regain its political and economic confidence to emerge from
its “lost decades”. But regional tensions mean it needs to build bridges
with both superpowers.
However, the question is whether Japan can
ride two big, robust horses simultaneously. The answer is “no”, but
Kishida has already started inching closer to China, calmly and
skilfully.
For example,
secretary general of the Liberal Democratic Party Toshimitsu Motegi
shelved a Diet resolution condemning China on December 17, less than 24
hours after the US Senate passed the Uyghur Forced Labor Prevention Act. Then,
less than 24 hours after US President Joe Biden signed the act into law
on December 23, Japan decided to send Tokyo 2020 president and veteran
Upper House member Seiko Hashimoto to the Beijing Winter Olympics next
month. So Japan will not be joining the US’ diplomatic boycott of the
Games.
Meanwhile, Kishida has
other critical issues to manage. The most painful is the ongoing
Sino-Japanese territorial dispute over the Senkaku (Diaoyu) Islands. He
appointed Tetsuo Saito, a member of the Komeito party who has been
accused of being too pro-China, as minister of the department that
oversees Japan’s coastguard. The 2022 budget for the coastguard, at
222.1 billion yen (US$1.94 billion) is only a 0.45 per cent increase
from the previous year, which suggests Japan does not want to inflame
the issue.
With regard to the Taiwan Strait, Japan has no reason
to support Taipei in its dispute with Beijing, having acknowledged the
People’s Republic of China’s sovereignty over Taiwan when it signed the
Japan-China joint communique in 1972. In
the Joint Statement of the US-Japan Security Consultative Committee on
January 7 this year, both sides “underscored the importance of peace and
stability in the Taiwan Strait and encouraged the peaceful resolution
of cross-Strait issues”, as in the past.
Foreign Minister Yoshimasa
Hayashi, one member of the committee, stood down last year as chairman
of the Japan-China Parliamentary Friendship League, after serving more
than three years, to “avoid causing unnecessary misunderstanding”.
There
are whispers that the Biden administration is not keen to welcome
Kishida to Washington due to his pro-China attitude. Maybe that’s true.
But Japan understands that it stands at a turning point.
In
Japanese cuisine, a sashimi plate consists of raw fish (sashimi) and
tsuma, or garnish (shredded radish or parsley). The US and China are now
on the same sashimi plate. As is well known, Japanese people eat the
sashimi, not the tsuma.
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Yoshihiro Sakai is a professor at Chubu University, Japan. This article reflects the author’s own views