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Japan eyes stronger EU partnership as China's presence grows

Julian Ryall in Tokyo
July 11, 2023

Prime Minister Kishida is visiting Europe to take part in both the NATO and EU-Japan summits. He will remind European leaders of the danger posed by China's policies in the Indo-Pacific, say experts.

Japanese Prime Minister Fumio Kishida boarding an aircraft
The Japanese premier is also attending the NATO summit in LithuaniaImage: Shuhei Yokoyama/Yomiuri Shimbun/AP Photo/picture alliance

Japan and the European Union are stepping up efforts to increase trade and better share advanced technology, with Prime Minister Fumio Kishida expected to sign a number of forward-looking agreements when he attends the EU-Japan summit in Brussels on July 13. 

An increased level of cooperation is critical, both sides believe, due to growing concern about challenges posed by China to the global political and trade systems. 

There are also deepening differences between Beijing and the US and its allies, including Tokyo, in a number of areas such as access to natural resources and cutting-edge technologies.

Those concerns are brought into even sharper focus by security issues, which will feature high on the agenda at the EU-Japan summit. 

"Kishida's primary aim on his upcoming visits to the Middle East and Europe will be to reduce Japan's reliance on China for trade and natural resources but, at the same time, convince European leaders of the threat that Beijing poses to global security," said Go Ito, a professor of international relations at Tokyo's Meiji University.

Challenges in Indo-Pacific

The Japanese premier is also attending the NATO summit in Lithuania on Tuesday, a meeting during which the ongoing war in Ukraine will inevitably come up.

But Kishida will also use the occasion to reiterate the danger of a potential future conflict in the Indo-Pacific triggered by Chinese aggression.

"Clearly Europe is focused on what is happening in Ukraine at the moment, but Kishida will use the visit to remind those leaders that many things are happening in Asia at the moment, such as China's expansionist policies, its seizure of islands in the South China Sea, its growing alliance with Russia and its ties with North Korea," Ito told DW.

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Both Japan and the EU have reached a number of deals in recent weeks, including a memorandum of understanding (MOU) earlier this month on sharing information on the supply and demand of rare metals and minerals.

These materials are critical to a range of advanced technologies, including electric vehicles and wind turbines.

The deal also calls for cooperation in the research and development of mining and refining of rare earth minerals and improvements in supply chains for such resources.

Chinese export restrictions

The agreement came just days after China announced that it was imposing restrictions on the export of the rare metals gallium and germanium, used in computer chips, fiber-optic equipment and night-vision goggles, among other products.

In 2022, China accounted for about 70% of the world's mine production of rare earth minerals and the fear is that Beijing will limit exports to damage its economic or political rivals.

"We have seen this sort of implied threat for some time now and it is an ongoing situation," said Robert Dujarric, co-director of the Institute of Contemporary Asian Studies at the Tokyo campus of Temple University.

"The US and Japan have put restrictions on exports of high-tech equipment and semiconductors to China, so this can be seen as retaliation for that policy," he said.

"Japan is working hard to reduce its exposure to China and the risks that entails, so closer ties with European nations make a lot of sense."

A similar MOU has been signed specifically on semiconductors, including the establishment of a mechanism to share information rapidly to avoid disruptions in supply chains in the event of natural disasters or political problems.

Under the arrangement, Japan and the EU will work together on the development of next-generation chips and train future engineers.

Both sides have also struck a deal on greater cooperation in the digital field, including regular discussions on artificial intelligence rules.

At a meeting in Tokyo on July 4, the two sides emphasized the importance of open and secure communications infrastructure as the development of sixth-generation communications standards gets under way.

They also agreed that a new undersea cable through the Arctic Ocean would be beneficial to the exchange of data between Japan and Europe.

Tokyo is offering cooperation and more trade and commerce with Europe, said Meiji University's Ito, but a major consideration in the back of the Japanese leadership's mind is still China.

Japan builds broader alliances

"In the same way that Tokyo is enthusiastic in its membership of the Group of Seven and is working hard to build closer ties with NATO, Japan sees the EU as a partner in the Pacific," he said. "And Kishida will certainly emphasize the importance of a closer military partnership with European nations."

In Brussels, the Japanese prime minister is due to meet with Charles Michel, the president of the European Council, and Ursula von der Leyen, president of the European Commission.

The leaders will likely pledge to step up the frequency of multinational military exercises in the Pacific and assist partner countries in Southeast Asia to improve their maritime security capabilities.

Other items on the agenda include the development of space capabilities as well as joint measures to deter cyber attacks and disinformation.

"Japan will make it very clear that it favors continued united support for Ukraine, in part because it hopes that backing Europe and the US now will mean that those countries will come to Japan's assistance should the worst happen in the Pacific and a conflict threaten the stability of the region," said Dujarric.

Edited by: Srinivas Mazumdaru

Julian Ryall Journalist based in Tokyo, focusing on political, economic and social issues in Japan and Korea
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