Japan and China should start free trade discussion, Aso says
Bloomberg | 29 April 2009
Japan and China Should Start Free Trade Discussion, Aso Says
By Takashi Hirokawa and Toko Sekiguchi
April 30 (Bloomberg) — Japan’s Prime Minister Taro Aso called for talks on free trade with China, the first time a Japanese leader has raised the prospect of an agreement with its biggest trading partner.
“Japan and China make up about half of East Asia trade, which itself counts for a quarter of global trade,” Aso said in a speech to a group of young Chinese and Japanese business leaders in Beijing. “How about we begin talks about further bilateral economic cooperation, and perhaps the possibility of a Japan-China EPA?”
Japan’s Finance Ministry defines an Economic Partnership Agreement as including free trade accords and non-trade economic cooperation such as government procurement. Trade between Asia’s two biggest economies rose 13 percent to $266.3 billion in 2008, according to the Japan External Trade Organization.
The speech came ahead of a meeting with Chinese President Hu Jintao in which free trade is not on the agenda.
Aso yesterday met with Premier Wen Jiabao and asked China to help persuade North Korea return to nuclear disarmament talks. North Korea yesterday threatened to test a nuclear weapon or test more missiles if the United Nations doesn’t apologize for condemning its recent rocket launch.
Wen and Aso also agreed to cooperate on preventing the spread of swine flu. Wen told Aso China will postpone the implementation of a rule requiring foreign digital-appliance makers to disclose their software source code until May 2010, a Japanese government official said, speaking on condition of anonymity.
In his speech, Aso said the two nations have at times experienced friction due to their history, culture, and customs.
“Our intimate relation perhaps makes these issues inevitable,” he said.
Aso last week sent an offering to Tokyo’s controversial Yasukuni Shrine, which honors convicted war criminals along with the nation’s other war dead. Wen told Aso that the issue is a sensitive topic that affects public sentiment, the Japanese government official said.
