| Author (Person) | Davies, Eric |
|---|---|
| Publisher | ProQuest Information and Learning |
| Series Title | In Focus |
| Series Details | 23.7.00 |
| Publication Date | 23/07/2000 |
| Content Type | News, Overview, Topic Guide | In Focus |
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Leaders of Japan and the European Union met in Tokyo on 19 July 2000 for the 9th Summit between Japan and the European Union (EU). Japan was represented at the meeting by its Prime Minister, Minister for Foreign Affairs, Minister of International Trade and Industry, and Deputy Chief Cabinet Secretary. Those attending from the EU were the President of the European Council, Jacques Chirac, the French Secretary of State for Foreign Trade, Francois Huwart, the Council Secretary General and High Representative for Common Foreign and Security Policy, Javier Solana, the President of the European Commission, Romano Prodi, the Commissioner for External Relations, Chris Patten, and the Commissioner for Trade, Pascal Lamy. Discussions covered Japan-EU relations, Japan-EU co-operation in international fora - such as the G8 Summit, the United Nations and ASEM - and the international situation, including the Korean Peninsula, the Middle East Peace Process and Kosovo / South-East Europe. The Joint Conclusions, issued after the Summit, showed that participants had: - emphasised that Japan and the EU share an attachment to peace, and to the fundamental values of freedom, democracy, respect for human rights and the rule of law; - confirmed their commitment to promote stability and prosperity in the world, particularly in Asia and Europe; - agreed to develop the existing Japan-EU partnership; - declared that a 'Decade of Japan-Europe Co-operation' will start in 2001. Leaders further affirmed their will to translate the Japan-EU partnership into co-ordinated policies and concrete actions. They agreed to adopt a new document - based upon the 1991 Hague Declaration - at the next Japan-EU Summit in 2001. An accompanying Action Plan will focus on four objectives: 1 Promoting peace and security 2 Strengthening the economic and trade partnership utilising the dynamism of globalisation for the benefit of all 3 Coping with global and societal challenges 4 Bringing together people and cultures The Summit conclusions also included statements on Indonesia, the Middle East Peace Process, and the World Trade Organisation (WTO). Background The EU and Japan are leading world economic powers, which between them have less than 10&percent; of the world's population, but more than 40&percent; of its GDP. Japan is the world's second largest national economy, accounting for 1/7 of world GDP. It is by far the largest Asian economy and - as the EU's third largest export market and second largest source of imports - is Europe's most important partner in the region. Developments in EU-Japan relations have been driven by trade - or rather, from Europe's point of view, a lack of it. The Community's trade deficit with Japan rose from US$ 0.5 thousand million in 1970 to US$ 7.0 thousands million in 1978 and US$ 13.7 thousand million in 1985. A 1985 Commission press release stated that 'Trade between Japan and the Community has increased spectacularly in the past decade to Tokyo's advantage. From a figure of 1 900 MECU in 1970, EC imports from Japan have risen to 24 460 MECU in 1984. Community exports to Japan have not displayed a similar tendancy [sic] rising only from 1 392 MECU in 1970 to 8 967 MECU in 1984'. A 1986 press release referred to 'The chronic [trade] deficit' and pointed out that 'Over the last fifteen years, trade between Japan and the Community has increased spectacularly, but largely in Japan's favour'. Efforts to address Europe's concerns over trade were made: symposiums for representatives of trade, industry and finance were organised in Tokyo, 1981, and in Brussels, 1983. The first Ministerial meeting between the two sides took place in Brussels, in May 1984, with further meetings in Tokyo, November 1985, and again in Brussels in December 1986 (background to the developing relationship and to the 1986 meeting is given in a Commission Memo). In 1983, Japan agreed to voluntarily moderate its exports of selected 'very sensitive goods' to Europe for three years (1983, 1984, 1985). The goods concerned included cars, motorcycles, light commercial vehicles, forklift trucks, hi-fi equipment and TV sets. (Details are given in a Commission Memo). Although this commitment was not renewed, Japan announced in July 1985 a new three-year action programme intended to open the Japanese market. However, as a Commission Memo reported ' At first sight, this programme which follows the pattern of previous programmes does contain some new principles but it does not meet the Community's main requests. It does not therefore seem likely to bring about any significant change in the trade imbalance between the Community and Japan'. The growing trade gap and relations with Japan were discussed at the European Council meetings in Milan, June 1985 [French] and London, December 1986 [French]. It was reported that, at the London Summit, 'leaders decided to call upon Japan to take, as a matter of urgency, effective measures to ensure that imported goods can enjoy free competition on the Japanese market and that, in certain specific sectors, the large and constantly increasingly trade imbalances should be reduced'. In June 1985, the 25th in a series of High Level Consultations were held. The purpose of the meetings, as explained in a Commission Memo, was to 'provide a regular forum where both sides can exchange views on a wide range of topics of bilateral and multilateral concern. They afford the opportunity for the two partners to explain and clarify their positions and to build on the close relationship which already exists between the Japanese authorities and the Commission'. The 25th High Level Consultations were preceded by the second meeting of the Trade Expansion Committee (TEC), created on a pilot basis in 1984 to try and develop trade between Japan and the Community. Although progress was made, an indication of the task facing the Community was given by Commission representative Raymond Phan van Phi, who commented that 'Progress in market opening in Japan is made at the speed of a glacier . . .' In February 1986, the Commission presented a paper in response to a request by the 1985 Milan European Council for proposals on future relations between the Community and Japan. The paper suggested that: - dialogue and cooperation with Japan be intensified; In December 1986 the Community and Japan agreed to set up an industrial cooperation centre (opened in Tokyo in June 1987) to encourage contacts between European and Japanese firms and to help European companies access Japanese markets. The 1990 Ministerial Meeting established an EC-Japan Working Party on trade. Relations between the EU and Japan in the 1990's were set out in the 1991 Joint Declaration on Relations between the European Community and its Member States and Japan signed in The Hague. The Declaration - which will form the basis of the proposed 'Decade of Japan-Europe Co-operation', starting in 2001 - set out the principles and objectives for dialogue and cooperation and established a framework for high level meetings. It signalled the beginnings of a broader EU-Japan partnership, based on three elements: - Political dialogue As a result of the Declaration, trade became just one of many issues discussed at Japan-EU Summits, with greater emphasis given to wider political issues. In May 1992 the Commission issued a further Communication reviewing relations between the Community and Japan. The review - summarised in a press release - suggested that the Community's aim 'should be to bring about a full integration of Japan into the international system by making it as open to foreign trade and investment as other countries with advanced economies'. It 'was prompted by five new considerations which have recently emerged: - the EC-Japan Joint Declaration issued in The Hague in July 1991; The review was followed in March 1995 by a Commission Communication, 'Europe and Japan: The Next Steps' (COM(95) 73 - which was reported in a Commission press release and which was the subject of a European Parliament Report). A further paper was published in April 1999 (press release - Commission promotes closer relations with Japan) which proposed new initiatives to strengthen the EU-Japan relations in the 21st Century. Further information within European Sources Online: Practical Guide to Foreign Direct Investment in the European Union (Euroconfidentiel, 2000) Penguin Companion to European Union (Penguin, 1998) European Sources Online: European Voice Further information can be seen in these external links: European Commission: DG External Relations European Commission: DG Trade Delegation of the European Commission in Japan Executive Training Programme in Japan European Commission, press releases European Parliament: Factsheets BBC News EU-Japan Centre for Industrial Cooperation Japan, Ministry of Foreign Affairs Japanese Mission to the European Union Further and subsequent information on the subject of this week's In Focus can be found by doing an advanced search in European Sources Online and inserting 'japan' in the keyword field.
Eric Davies Leaders of Japan and the European Union met in Tokyo on 19 July 2000 for the 9th Summit between Japan and the European Union (EU). |
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| Countries / Regions | Japan |
