US-China-Japan Relations in the Asia Pacific

Watch the replay: https://bit.ly/3kSEUao

Yoshikazu Kato from Rakuten Economic Research Institute shared his views on multiple aspects of the US-China-Japan relations, including Japan’s diplomacy, the role of G7, Japan’s relations with China and the implication of the Ukraine war.

Kato argues that Russia’s invasion of Ukraine should serve as a wake-up call for Japan. If a similar situation happened in Taiwan, Japan will inevitably be involved. How Japan can leverage its role in G7 and its relationship with NATO to mitigate the crisis and how to minimize the damage to the Japanese business that are deeply engaged in China and Taiwan will be a tremendous test for the Kishida administration.

On the upcoming G7 summit in Hiroshima, Kato believes that concern over China will top the agenda. Countries will try to maintain peace and stability, especially in the Asia Pacific region, through conversation and diplomatic efforts. As a key player in the region, Japan should engage more with neighboring countries, including South Korea to balance the threat. Japan should also make more commitments to regional trade deals, including the Indo-Pacific Economic Framework (IPEF), to seize the opportunities.