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Week 6 Seminar
Dr. Aimee Richmond
a.richmond@sheffield.ac.uk
• Essay preparation
• Japan’s economic relations with the
United States
• Japan’s security relations with the
United States
Essay Preparation
• Why are we writing this essay?
• What are the requirements?
• How is it assessed?
• How should I answer the questions?
Learning Outcomes
By the end of the module you will be able to
1. demonstrate knowledge of Japan's role in the world in the three
dimensions of politics, economics and security in two key sites of
international activity, the United States and East Asia.
2. Apply conceptual tools to analyse how structure, agency and
norms can be used to explain Japan's international relations.
3. Demonstrate appropriate cognitive, communicative and
transferable skills, including the ability to evaluate social scientific
concepts and theories.
4. Employ primary and secondary sources to present reasoned and
effective arguments in written and oral form.
5. Pursue independent learning
6. Show critical judgement.
Essay Requirements
The deadline for the essay is 15:00 on Tuesday 28th April 2015. It is worth
40% of your grade
Requirements Checklist:
 2500 words (+/- 10%)
 In-text references
 Proper footnotes (where appropriate)
 Bibliography
 Use cover sheet (available on MOLE)
 Cover sheet/first page must show: Module name and title, your
registration number (not your name), essay title, word count
 Student registration number must be on every page
 Electronic copy submitted via Turnitin
 Paper copy submitted to SEAS office
**Submission details can be found in the module handbook**
SEAS ask that you use http://library.lincoln.ac.uk/learning-teaching/referencing/
As a guide for referencing
Assessment
• Introduction
• Conclusion
• Use of Relevant Evidence
• Critical Analysis and Originality
• Structure and Organization
• Style, Grammar, Spelling, Syntax
• Referencing (includes Bibliography)
First
70-
II.1
60-69
II.2
50-59
Third
45-49
Pass
40-44
Fail
0-39
Introduction
Conclusion
Use of Relevant Evidence
Critical Analysis & Originality
Structure and Organization
Style, Grammar, Spelling, Syntax
Referencing
Summary Assessment
On the basis of the above criteria, the strengths of this work are…
Areas for improvement are…
Approaching the Questions
• What is the question asking?
• Identify the main topic and discussion areas
• Is the question broad? Do you need choose a specific area
to address in detail?
• Do you need a case study? Do you need more than one
case study to illustrate difference?
• Identify the points and arguments that you can make
• Read the required and suggested reading and beyond this
• Has anything changed since what is in the reading?
• Can you find anything (figures etc) that are more recent?
• Be careful to keep it academic rather than journalistic
• Make a plan – we’re happy to look over it for you!
1. Why have the metaphors of Japan as an economic giant
but military pigmy been used to characterize Japan?
2. What is the utility of structure, agency and norms for
understanding Japan’s international relations?
3. How has Japan’s economic policy towards the United
States changed in the postwar period?
4. Why did trade conflicts arise between Japan and the
United States?
5. How can structure, agency and norms be used to explain
Japan’s security relations with the United States?
Choose one essay title…
6. How can structure, agency and norms be used to explain
Japan’s economic relations with East Asia?
7. How can structure, agency and norms be used to explain
Japan’s political relations with China?
8. How should Japan deal with the increasing challenges of
balancing between the US and China?
9. To what extent can Japan’s response to the War against
Terrorism be seen as a fundamental shift in Japan’s foreign
policy?
10. What are the implications for Japanese security policy of
the current Abe Shinzō administration?
Unit 5 seminar questions:
Q1. What is the role of structure, agency and norms in explaining
Japan’s economic relationship with the United States?
Q2. Why has Japan developed the bilateral economic relationship
with the United States for over sixty years? Has it been successful? If
so, why? If not, why not?
Q3. How has Japan instrumentalised its economic relationship with
the United States in different periods? What changes have
occurred? What accounts for these changes?
Q4. What examples can you give of Japan’s proactive economic
policy vis-à-vis the United States? What about reactive policy? What
accounts for the difference?
• Q1. What is the role of structure, agency and
norms in explaining Japan’s economic
relationship with the United States?
• Brief overview of US-Japan economic
relationship
• Discuss Q1 in groups and feedback
US-Japan economic relationship has involved:
• Trade
• Investment
• Transfer of production facilities to the US, particularly from the
1980s onwards.
While US-Japan have continually (and still do) harbour a strong
economic relationship, there have at times been political tensions as
a result of trade conflicts.
As well as individual case-studies discussed in the lecture, looking at
trade structure can help us get a better picture of the nature of this
relationship in general.
The US-Japan Economic Relationship
Trade Structures: Exports
Between 1/4 to 1/3 of Japanese exports have gone
to the US from the period of high-growth (1950s)
onwards. Exports went down to around 16-18%
during the global financial crisis
Types of items exported have changed. Textiles
(1960s), colours TVs (1970s), automobiles (1980s),
semiconductors (1990s), DVD players and flatscreen
TVs (C21st)
Trade Structures: Imports
General trend downwards in the last fifty-five years or so. Overall
from about 1/3 to about 1/5 of the total imported. Imports from
the US went down to around 11% during the global financial crisis.
Types of items imported have been concentrated on high-
technology sectors—airplanes and defence equipment for
example—BUT many are representative of the relationship
between an advanced and a developing economy: e.g., Japan’s
import of US beef, citrus fruits, soya beans as opposed to US’
import of almost entirely manufactured goods from Japan
Trade imbalance: There is more money flowing into the Japanese
economy as a result of exportation to the US than there is money
flowing into the US economy (out of Japan’s) as a result of
importation from the US
Trade Imbalance
Japan moved into surplus in 1965 as a result of rapid
economic recovery and rapid economic growth.
This means that the monetary value of exports exceeds the
monetary value of imports for Japan and vice-versa for the
US when you look at the trade between the two countries.
In recent years, China’s growing trade surplus with the US
has made political tension between the US-Japan trade
relations less intense. Though the trade in balance are a
major cause of trade conflicts between the countries.
• Q1. What is the role of structure, agency
and norms in explaining Japan’s
economic relationship with the United
States?
The slides following this one give further
information for you to read at home
Structure, agency and norms
Structure
• The structure of the trade relationship has been at the heart of the
politicization of economics.
• Trade conflicts illustrate how the structural relationship leaves Japan
vulnerable to US pressure.
• Over time however, trade disputes have moved into the multilateral
setting rather than the bilateral setting
Agency
• Agency alerts us to the way businesses will put pressure on the
government to politicize trade issues, not leaving the market to solve the
problem.
Norms
• We can see the rise of internationalism and multilateralism, which is
complementing bilateralism in determining the nature of the US-Japan
relationship.
Power of the Yen
The power of the Yen has played a role in trade relations as well.
Increase the value of the Yen, then overseas assets are cheaper;
Decrease value  exports are more competitive
• When the Yen is strong it is an incentive for businesses to invest in the US because they’ll
get more US dollars for Japanese Yen.
» Then production is in the US, employment is in the US, goods are produced
to US standard  this is not all great for Japan as a collective.
If the value of the Yen goes down, cost of imports rise because
international trade obviously is not done in Yen  Trade surplus is
important.
• If you’re export heavy = more money and so spending (though it is partially dependent
on the distribution of that wealth) is pumped into the Japanese economy
• If you’re import heavy = you are effectively increasing the cost of the current stagnation…
How can structure, agency and norms be used to explain how
trade conflicts developed in the bilateral economic relationship
with the US?
• Negotiate bilaterally with the US
– Obstacles:
1. VERs (Voluntary Export Restraints)
• If there is a local demand to restrict the number of items—for example cars—
that can enter the US market
2. Tariffs/Anti-dumping measures
• Increases the cost of the good by adding a (10%, 20% etc.) premium to export
into the given country.
– This goes against the free-trade values at the heart of the US model of capitalism.
• Negotiate multilaterally in international fora
– Joining forces with others who are concerned about constraints on the free-trade
regime by appealing to international norms such as multilateralism to try to
supplement and offset US pressure.
• This is advantageous because you can appeal to international norms such as free-trade to
engineer a policy that suits your own interests.
Changes to bilateral trade conflicts
• Trade conflict with US during Bush administration has been less
antagonistic that during the 1980s and 1990s.
– E.g., Steel & Beef vs. Semi-conductors and automobiles
• Reflects a change in the alliance following the Gulf War and greater
cooperation by Japan with the US
– E.g., Koizumi’s response to 9/11
• Change in the relative strength of the two economies & the establishment
of mechanisms for dialogue between the two sides
– Relative rise of the US and stagnation of Japan along with a rising China led to a
relative decline in the sense of Japan as a challenger.
• 2001 summit to promote US-Japan Economic Partnership for Growth.
• Major trade conflict seems unlikely for the time being  especially under
the LDP.
– But ongoing global financial stagnation and indecision on both sides of
the Pacific on important economic agreements (e.g., the TPP) means
that the stability of trade relations is not a guarantee.
• Creation of large trade surpluses (1971-1991)
– Japan is now deficit economy on a global basis
– But Japan is still in a trade surplus in trade with the US
• Gradual globalization of Japanese manufacturing
– Trade statistics do not really capture the complexity of trade relations because a lot
of the trade is in parts of goods rather than in finished goods
• Production networks set up across national boundaries while statistics are set up
nationally.
• The inability of Japan to transfer its financial power into political power 
agent power into structural power?
– Japan used its trade surplus to buy US bonds, the American treasuries that are
issued by the US, so Japan when it had a trade surplus, was sending money back to
the US.
– But that was not converted into an ability influence US policy
• Did not give Japan structural power over the US.
Capital flows and investment relations
Regional projects and trade
agreements
• TPP is the big discussion at the moment
– It would change the nature of the Japanese political economy
• Introduce a neo-liberal agenda
• Weakened the agricultural sector; increased urbanization; increased consumption…
• NAFTA
– It has been important for Japan because it allows Japan to participate in the US economy by
making investments in Mexico.
• Invest in Mexico to gain advantage in cheap cost of production (and labour). But you can still export to
the US because Mexico is part of NAFTA so you are not subject to tariffs.
– Many Japanese companies have gained access to Mexico since NAFTA was established.
• APEC
– Japan has actively participated in APEC.
• US-Japan relations has seen a move toward multilateralism and away from
bilateralism.
– Japan is just one of the countries that are trying to move away from the global free-trade
agreement after the failure of the Doha round, so now more countries are trying to move
forward on a multilateral basis on a sub-global level by focussing on specific regions.
Unit 6 seminar questions:
Q1. What is the role of structure, agency and norms in explaining
Japan's security relationship with the United States?
Q2. Why has Japan developed the bilateral security relationship with
the United States for over sixty years? Has it been successful? If so,
why? If not, why not? Who benefits and who pays any costs?
Q3. How has Japan instrumentalised its security relationship with
the United States in different periods? What changes have
occurred ? What accounts for these changes?
Q4. What examples can you give of Japan's proactive security policy
vis a vis the United States? What about reactive policy? What
accounts for the difference?
Q1. What is the role of structure, agency and
norms in explaining Japan's security relationship
with the United States?
Discuss Q1 in groups and feedback
The slides following this one give further
information for you to read at home
Cold War: Structure
• When we look at structure, we look at the international system and
international events. Why events? Because events can change or
be used to explain the structure of the system.
• International system: signed in the structural context of Japan being
an occupied state in an emerging bipolar world order.
• International event: the Korean War (1951-1953) was being carried
out at the time when Japan signed it.
So we could say that the bipolar structure of the international system
and the elevated tension due to the Korean War gave Japanese policy-
making agents little power
Cold War: Agency
• PM Yoshida’s normative orientation was anti-communist
– Considered the Security Treaty as a means to protect Japan from
communism
• Political and bureaucratic policy-making agents largely shared this view.
– Attachment to the Security Treaty left them vulnerable to US pressure to
boost defence spending, purchase US weapons, carry out new military
roles  to cooperate with the US military strategy regionally and globally.
• While the structural relationship set in place was the crucial factor to explain
Japan’s signing of the 1951 treaty, its revision in 1960 demonstrates the
importance of agency.
– PM Kishi  both anti-communist and pro-American, and was similar to Yoshida in
terms of normative orientation.
– It is unlikely that the US would have stood for Yoshida rejecting the peace treaty
during the time of Occupation. With Kishi, Japan was no longer occupied, and
many who protested clearly felt that abandoned the treaty was a legitimate option.
But despite this protest, Kishi elected to revise the treaty.
Cold War: Norms
• Antimilitarist norms were important in mitigating
conservatives and checking US pressure.
– Contribution to US war in Vietnam.
– Continual constrain on the militarization process.
• Antimilitarism was often challenged by the norm of
bilateralism in security issues as well as political and
economic issues.
– Angering the US enough for them to renege on some of their
economic ties with Japan as punishment could lead to
extremely heavy job loss. Job loss can lead to individual crisis.
This wouldn’t be great for the PM’s political career either.
• So there has been a balance with a commitment to anti-
militarism but a perceived need to rely on the US.
Post-Cold War: Quick Overview
Strengthening of bilateralism and weakening of anti-militarism. So Japan’s
security role has expanded:
• Interoperability  important for military forces so they can cooperate
with each other
– Joint weapon development
• Countries are increasingly cooperating in trying to produce weapons that can be used by
both sides.
• Logistical support or reconstruction
– Providing fuel for military conflicts
– Reconstruction
• Building schools
• Give water/Building dams
• Building roads
– Trying to improve educational facilities in Afghanistan
• Still remains enormous tension over the bases in Okinawa
– Government and US have been trying to move Futenma base since the 1990s,
but the local and prefectural governments want it moved outside of Okinawa
Expanding scope and conceptual
boundaries of ‘security’
• 1978 Guidelines for Japan-US Defence Cooperation
– Japan to take more proactive security role (shortly after the ‘Guam Doctrine’) 
President Carter has just taken office and US is still feeling the ‘energy crisis’. We
see a change in Japan’s security role.
– Joint studies of operational issues in:
• Preventing aggression against Japan
• Dealing with attacks against Japan
• Bilateral cooperation in case of conflict in the Far East
– Revised Guidelines in 1997 are much more wide-ranging in their implications.
 Changing conceptual boundary of ‘security’ alliance with the US
• March 1996, China’s test-firing of missiles to intimidate Taiwan in the run up to
the Taiwanese presidential election in. Shortly after, Japan-US Joint
Declaration on Security: Alliance for the 21st Century  signed by PM
Hashimoto and President Clinton in 1996.
– Expanded scope of security: From ‘Far East’ to ‘Asia Pacific’  Changing scope of
‘security’
Expanding scope and conceptual
boundaries of ‘security’
• 1999: Surrounding Areas Emergency Measures bill, passed in the Diet
– Facilitated military cooperation in line with the revise Guidelines, particularly
in the area of logistics.
• Post-9/11: PM Koizumi, MOFA and the JDA supported a more proactive
military role for Japan: and challenged the anti-militarist norm.
• Oct 2001 (10/11): Diet passed the Anti-Terrorism Special Measures Law
(ATSML), building on what was already set in order to expand the SDF’s
noncombat operations.
– Logistical support to the US and other members of ‘the coalition of willing’
– SDF can use their weapons to protect not only themselves, but also persons
and property under their care.
– Law Concerning Special Measures on Humanitarian and Reconstruction
Assistance in Iraq  humanitarian and reconstruction assistance
Post-Cold War: Structure
International Structure:
• Weakening of the constraints on the role and degree of independence of the SDF
– The end of the Cold War and the decision by the JSP to recognize the SDF as
constitutional and accept the US-Japan Security Treaty, opened up the opportunity for
those in favour of using the SDF to expand the boundaries of what is permissible under
Article 9 and the preamble of the Constitution.
• End of bipolarity and the onset of multipolarity.
– Move away from a hegemonic system to a multipolar system and the emergence of
different regional groupings.
• Much more pressure on states to contribute to the global agenda
– Actions through the UN  UNPKO
– So a change from ‘contributing to US global strategy’ to contributing to
international society.
International events:
• International events raise the level of threat to Japan and the need for US to maintain a
military presence in East Asia.
– Rising China
– 1991 Persian Gulf Crisis
– 1996 Taiwan Strait Crisis
– 1998 Taepodong Crisis
– 9/11
– ‘Sabre rattling’ from Pyongyang and tension with China
Post-Cold War: Agency
• The JSP recognized the SDF as constitutional and the conceptual
boundaries of Article 9 and the preamble had been expanded.
– The end of JSP opposition went a long way to the despatch of the SDF
overseas because the prominent voice of anti-militarism had been
quietened.
• Revisionists within the LDP came to the fore
– Koizumi
– Aso
– Abe
• Generational change
– The number of people who have experience of war has declined so
anti-militarism depends on the socialization process  e.g., school
textbooks, parenting etc.
Post-Cold War: Norms
• International events (issues of security) have challenged the norm of anti-
militarism.
• We have seen crises before:
– Vietnam War
– Soviet invasion of Afghanistan etc.
• But with the end of the JSP, generational change, and calls on Japan to
make an international contribution, to become a ‘normal state’, the norm
of anti-militarism is being challenged.
• Rise of multipolarity over bipolarity may further strengthen
internationalist norms and see multilateral norms supplement the norm
of bilateralism. At the moment, however, bilateralism is still a strong norm
as seen with interoperability agreements with the US.
History of the US-Japan Security Treaty
• Signed in 1951 the US-Japan Security Treaty
alongside the Peace Treaty
– Highly unequal
• Did not give Japan a written commitment to the
defence of its land and shores by the US
• Allowed the US to intervene in Japan’s domestic affairs
• Gave the US the right to administer Okinawa
• Gave the US the right to station troops on US bases
within Japan
• Revision (1960)  From “Security Treaty
Revision of the Treaty 1960
• From “Security Treaty Between the United States and Japan” to “Treaty of
Mutual Cooperation and Security between the United States and Japan”
• PM Kishi revised the treaty despite mass protest calling for its abolition.
This is said to have cost Kishi his position.
– Many protestors called for unarmed neutrality. So this was about not wanting
to become part of the Cold War confrontation in order to reduce the
international tension of the time.
• Many conservatives: The enemy is communism, it is evil.
• Many opposing: The enemy is not communism, it’s a nuclear catastrophe/Armageddon.
• Revision
– Removed the US’s right to intervene in Japanese domestic affairs
– Secured commitment from the US on defending Japan
– Placed restrictions on US military bases in Japan
• The treaty has been automatically renewed every ten years since but
there is not a consensus on its primary purpose
Security Treaty  three perspectives
1. It keeps Japan down.
– It stops Japan from becoming a ‘big power’
• Advocates: stop it from becoming ‘a threat to peace’
– US troops are the ‘cap in the bottle’
2. Trip-wire  It guarantees peace and security
– US presence in East Asia ensures the containment of communism on
the continent which means peace and security
• Anti-militarists on the other hand mind suggest US presence contributes the
exact opposite of this
3. Pipe through which US can pressure Japan to militarize
– It is a constraint to the realization of ‘unarmed neutrality’ and Japan
as truly a ‘peace nation’, and works to encourage Japan to engage
militarily on the US side.
– No ‘cap in the bottle’ necessary – Japan is anti-militarist! US is
encouraging militarism not restraining it.
Security Treaty: Impact and legacy
• Tied Japan to the Western camp in the early Cold War period.
• From
– 1950s  bastion against communism
– 1960s and early 1970s  supporting the war in Vietnam
– Late 1970s and early 1980s  offering close military cooperation
– Late 1990s  introducing legislation for logistical and other support of US
forces
– Early 2000s  backing the US in the ‘war on terror’
– 2000s onwards  interoperationalizing military capabilities and missions (e.g.,
Operation Tomodachi)
• Throughout all this, bilateral security relations have been forged out of the
tension between pressure on the Japanese government from the US and
domestic political forces and the interests of specific policy-making agents.

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EAS321 essay prep and units 5 & 6

  • 1. Week 6 Seminar Dr. Aimee Richmond a.richmond@sheffield.ac.uk • Essay preparation • Japan’s economic relations with the United States • Japan’s security relations with the United States
  • 2. Essay Preparation • Why are we writing this essay? • What are the requirements? • How is it assessed? • How should I answer the questions?
  • 3. Learning Outcomes By the end of the module you will be able to 1. demonstrate knowledge of Japan's role in the world in the three dimensions of politics, economics and security in two key sites of international activity, the United States and East Asia. 2. Apply conceptual tools to analyse how structure, agency and norms can be used to explain Japan's international relations. 3. Demonstrate appropriate cognitive, communicative and transferable skills, including the ability to evaluate social scientific concepts and theories. 4. Employ primary and secondary sources to present reasoned and effective arguments in written and oral form. 5. Pursue independent learning 6. Show critical judgement.
  • 4. Essay Requirements The deadline for the essay is 15:00 on Tuesday 28th April 2015. It is worth 40% of your grade Requirements Checklist:  2500 words (+/- 10%)  In-text references  Proper footnotes (where appropriate)  Bibliography  Use cover sheet (available on MOLE)  Cover sheet/first page must show: Module name and title, your registration number (not your name), essay title, word count  Student registration number must be on every page  Electronic copy submitted via Turnitin  Paper copy submitted to SEAS office **Submission details can be found in the module handbook** SEAS ask that you use http://library.lincoln.ac.uk/learning-teaching/referencing/ As a guide for referencing
  • 5. Assessment • Introduction • Conclusion • Use of Relevant Evidence • Critical Analysis and Originality • Structure and Organization • Style, Grammar, Spelling, Syntax • Referencing (includes Bibliography)
  • 6. First 70- II.1 60-69 II.2 50-59 Third 45-49 Pass 40-44 Fail 0-39 Introduction Conclusion Use of Relevant Evidence Critical Analysis & Originality Structure and Organization Style, Grammar, Spelling, Syntax Referencing Summary Assessment On the basis of the above criteria, the strengths of this work are… Areas for improvement are…
  • 7. Approaching the Questions • What is the question asking? • Identify the main topic and discussion areas • Is the question broad? Do you need choose a specific area to address in detail? • Do you need a case study? Do you need more than one case study to illustrate difference? • Identify the points and arguments that you can make • Read the required and suggested reading and beyond this • Has anything changed since what is in the reading? • Can you find anything (figures etc) that are more recent? • Be careful to keep it academic rather than journalistic • Make a plan – we’re happy to look over it for you!
  • 8. 1. Why have the metaphors of Japan as an economic giant but military pigmy been used to characterize Japan? 2. What is the utility of structure, agency and norms for understanding Japan’s international relations? 3. How has Japan’s economic policy towards the United States changed in the postwar period? 4. Why did trade conflicts arise between Japan and the United States? 5. How can structure, agency and norms be used to explain Japan’s security relations with the United States? Choose one essay title…
  • 9. 6. How can structure, agency and norms be used to explain Japan’s economic relations with East Asia? 7. How can structure, agency and norms be used to explain Japan’s political relations with China? 8. How should Japan deal with the increasing challenges of balancing between the US and China? 9. To what extent can Japan’s response to the War against Terrorism be seen as a fundamental shift in Japan’s foreign policy? 10. What are the implications for Japanese security policy of the current Abe Shinzō administration?
  • 10. Unit 5 seminar questions: Q1. What is the role of structure, agency and norms in explaining Japan’s economic relationship with the United States? Q2. Why has Japan developed the bilateral economic relationship with the United States for over sixty years? Has it been successful? If so, why? If not, why not? Q3. How has Japan instrumentalised its economic relationship with the United States in different periods? What changes have occurred? What accounts for these changes? Q4. What examples can you give of Japan’s proactive economic policy vis-à-vis the United States? What about reactive policy? What accounts for the difference?
  • 11. • Q1. What is the role of structure, agency and norms in explaining Japan’s economic relationship with the United States? • Brief overview of US-Japan economic relationship • Discuss Q1 in groups and feedback
  • 12. US-Japan economic relationship has involved: • Trade • Investment • Transfer of production facilities to the US, particularly from the 1980s onwards. While US-Japan have continually (and still do) harbour a strong economic relationship, there have at times been political tensions as a result of trade conflicts. As well as individual case-studies discussed in the lecture, looking at trade structure can help us get a better picture of the nature of this relationship in general. The US-Japan Economic Relationship
  • 13. Trade Structures: Exports Between 1/4 to 1/3 of Japanese exports have gone to the US from the period of high-growth (1950s) onwards. Exports went down to around 16-18% during the global financial crisis Types of items exported have changed. Textiles (1960s), colours TVs (1970s), automobiles (1980s), semiconductors (1990s), DVD players and flatscreen TVs (C21st)
  • 14. Trade Structures: Imports General trend downwards in the last fifty-five years or so. Overall from about 1/3 to about 1/5 of the total imported. Imports from the US went down to around 11% during the global financial crisis. Types of items imported have been concentrated on high- technology sectors—airplanes and defence equipment for example—BUT many are representative of the relationship between an advanced and a developing economy: e.g., Japan’s import of US beef, citrus fruits, soya beans as opposed to US’ import of almost entirely manufactured goods from Japan Trade imbalance: There is more money flowing into the Japanese economy as a result of exportation to the US than there is money flowing into the US economy (out of Japan’s) as a result of importation from the US
  • 15. Trade Imbalance Japan moved into surplus in 1965 as a result of rapid economic recovery and rapid economic growth. This means that the monetary value of exports exceeds the monetary value of imports for Japan and vice-versa for the US when you look at the trade between the two countries. In recent years, China’s growing trade surplus with the US has made political tension between the US-Japan trade relations less intense. Though the trade in balance are a major cause of trade conflicts between the countries.
  • 16. • Q1. What is the role of structure, agency and norms in explaining Japan’s economic relationship with the United States? The slides following this one give further information for you to read at home
  • 17. Structure, agency and norms Structure • The structure of the trade relationship has been at the heart of the politicization of economics. • Trade conflicts illustrate how the structural relationship leaves Japan vulnerable to US pressure. • Over time however, trade disputes have moved into the multilateral setting rather than the bilateral setting Agency • Agency alerts us to the way businesses will put pressure on the government to politicize trade issues, not leaving the market to solve the problem. Norms • We can see the rise of internationalism and multilateralism, which is complementing bilateralism in determining the nature of the US-Japan relationship.
  • 18. Power of the Yen The power of the Yen has played a role in trade relations as well. Increase the value of the Yen, then overseas assets are cheaper; Decrease value  exports are more competitive • When the Yen is strong it is an incentive for businesses to invest in the US because they’ll get more US dollars for Japanese Yen. » Then production is in the US, employment is in the US, goods are produced to US standard  this is not all great for Japan as a collective. If the value of the Yen goes down, cost of imports rise because international trade obviously is not done in Yen  Trade surplus is important. • If you’re export heavy = more money and so spending (though it is partially dependent on the distribution of that wealth) is pumped into the Japanese economy • If you’re import heavy = you are effectively increasing the cost of the current stagnation…
  • 19. How can structure, agency and norms be used to explain how trade conflicts developed in the bilateral economic relationship with the US? • Negotiate bilaterally with the US – Obstacles: 1. VERs (Voluntary Export Restraints) • If there is a local demand to restrict the number of items—for example cars— that can enter the US market 2. Tariffs/Anti-dumping measures • Increases the cost of the good by adding a (10%, 20% etc.) premium to export into the given country. – This goes against the free-trade values at the heart of the US model of capitalism. • Negotiate multilaterally in international fora – Joining forces with others who are concerned about constraints on the free-trade regime by appealing to international norms such as multilateralism to try to supplement and offset US pressure. • This is advantageous because you can appeal to international norms such as free-trade to engineer a policy that suits your own interests.
  • 20. Changes to bilateral trade conflicts • Trade conflict with US during Bush administration has been less antagonistic that during the 1980s and 1990s. – E.g., Steel & Beef vs. Semi-conductors and automobiles • Reflects a change in the alliance following the Gulf War and greater cooperation by Japan with the US – E.g., Koizumi’s response to 9/11 • Change in the relative strength of the two economies & the establishment of mechanisms for dialogue between the two sides – Relative rise of the US and stagnation of Japan along with a rising China led to a relative decline in the sense of Japan as a challenger. • 2001 summit to promote US-Japan Economic Partnership for Growth. • Major trade conflict seems unlikely for the time being  especially under the LDP. – But ongoing global financial stagnation and indecision on both sides of the Pacific on important economic agreements (e.g., the TPP) means that the stability of trade relations is not a guarantee.
  • 21. • Creation of large trade surpluses (1971-1991) – Japan is now deficit economy on a global basis – But Japan is still in a trade surplus in trade with the US • Gradual globalization of Japanese manufacturing – Trade statistics do not really capture the complexity of trade relations because a lot of the trade is in parts of goods rather than in finished goods • Production networks set up across national boundaries while statistics are set up nationally. • The inability of Japan to transfer its financial power into political power  agent power into structural power? – Japan used its trade surplus to buy US bonds, the American treasuries that are issued by the US, so Japan when it had a trade surplus, was sending money back to the US. – But that was not converted into an ability influence US policy • Did not give Japan structural power over the US. Capital flows and investment relations
  • 22. Regional projects and trade agreements • TPP is the big discussion at the moment – It would change the nature of the Japanese political economy • Introduce a neo-liberal agenda • Weakened the agricultural sector; increased urbanization; increased consumption… • NAFTA – It has been important for Japan because it allows Japan to participate in the US economy by making investments in Mexico. • Invest in Mexico to gain advantage in cheap cost of production (and labour). But you can still export to the US because Mexico is part of NAFTA so you are not subject to tariffs. – Many Japanese companies have gained access to Mexico since NAFTA was established. • APEC – Japan has actively participated in APEC. • US-Japan relations has seen a move toward multilateralism and away from bilateralism. – Japan is just one of the countries that are trying to move away from the global free-trade agreement after the failure of the Doha round, so now more countries are trying to move forward on a multilateral basis on a sub-global level by focussing on specific regions.
  • 23. Unit 6 seminar questions: Q1. What is the role of structure, agency and norms in explaining Japan's security relationship with the United States? Q2. Why has Japan developed the bilateral security relationship with the United States for over sixty years? Has it been successful? If so, why? If not, why not? Who benefits and who pays any costs? Q3. How has Japan instrumentalised its security relationship with the United States in different periods? What changes have occurred ? What accounts for these changes? Q4. What examples can you give of Japan's proactive security policy vis a vis the United States? What about reactive policy? What accounts for the difference?
  • 24. Q1. What is the role of structure, agency and norms in explaining Japan's security relationship with the United States? Discuss Q1 in groups and feedback The slides following this one give further information for you to read at home
  • 25. Cold War: Structure • When we look at structure, we look at the international system and international events. Why events? Because events can change or be used to explain the structure of the system. • International system: signed in the structural context of Japan being an occupied state in an emerging bipolar world order. • International event: the Korean War (1951-1953) was being carried out at the time when Japan signed it. So we could say that the bipolar structure of the international system and the elevated tension due to the Korean War gave Japanese policy- making agents little power
  • 26. Cold War: Agency • PM Yoshida’s normative orientation was anti-communist – Considered the Security Treaty as a means to protect Japan from communism • Political and bureaucratic policy-making agents largely shared this view. – Attachment to the Security Treaty left them vulnerable to US pressure to boost defence spending, purchase US weapons, carry out new military roles  to cooperate with the US military strategy regionally and globally. • While the structural relationship set in place was the crucial factor to explain Japan’s signing of the 1951 treaty, its revision in 1960 demonstrates the importance of agency. – PM Kishi  both anti-communist and pro-American, and was similar to Yoshida in terms of normative orientation. – It is unlikely that the US would have stood for Yoshida rejecting the peace treaty during the time of Occupation. With Kishi, Japan was no longer occupied, and many who protested clearly felt that abandoned the treaty was a legitimate option. But despite this protest, Kishi elected to revise the treaty.
  • 27. Cold War: Norms • Antimilitarist norms were important in mitigating conservatives and checking US pressure. – Contribution to US war in Vietnam. – Continual constrain on the militarization process. • Antimilitarism was often challenged by the norm of bilateralism in security issues as well as political and economic issues. – Angering the US enough for them to renege on some of their economic ties with Japan as punishment could lead to extremely heavy job loss. Job loss can lead to individual crisis. This wouldn’t be great for the PM’s political career either. • So there has been a balance with a commitment to anti- militarism but a perceived need to rely on the US.
  • 28. Post-Cold War: Quick Overview Strengthening of bilateralism and weakening of anti-militarism. So Japan’s security role has expanded: • Interoperability  important for military forces so they can cooperate with each other – Joint weapon development • Countries are increasingly cooperating in trying to produce weapons that can be used by both sides. • Logistical support or reconstruction – Providing fuel for military conflicts – Reconstruction • Building schools • Give water/Building dams • Building roads – Trying to improve educational facilities in Afghanistan • Still remains enormous tension over the bases in Okinawa – Government and US have been trying to move Futenma base since the 1990s, but the local and prefectural governments want it moved outside of Okinawa
  • 29. Expanding scope and conceptual boundaries of ‘security’ • 1978 Guidelines for Japan-US Defence Cooperation – Japan to take more proactive security role (shortly after the ‘Guam Doctrine’)  President Carter has just taken office and US is still feeling the ‘energy crisis’. We see a change in Japan’s security role. – Joint studies of operational issues in: • Preventing aggression against Japan • Dealing with attacks against Japan • Bilateral cooperation in case of conflict in the Far East – Revised Guidelines in 1997 are much more wide-ranging in their implications.  Changing conceptual boundary of ‘security’ alliance with the US • March 1996, China’s test-firing of missiles to intimidate Taiwan in the run up to the Taiwanese presidential election in. Shortly after, Japan-US Joint Declaration on Security: Alliance for the 21st Century  signed by PM Hashimoto and President Clinton in 1996. – Expanded scope of security: From ‘Far East’ to ‘Asia Pacific’  Changing scope of ‘security’
  • 30. Expanding scope and conceptual boundaries of ‘security’ • 1999: Surrounding Areas Emergency Measures bill, passed in the Diet – Facilitated military cooperation in line with the revise Guidelines, particularly in the area of logistics. • Post-9/11: PM Koizumi, MOFA and the JDA supported a more proactive military role for Japan: and challenged the anti-militarist norm. • Oct 2001 (10/11): Diet passed the Anti-Terrorism Special Measures Law (ATSML), building on what was already set in order to expand the SDF’s noncombat operations. – Logistical support to the US and other members of ‘the coalition of willing’ – SDF can use their weapons to protect not only themselves, but also persons and property under their care. – Law Concerning Special Measures on Humanitarian and Reconstruction Assistance in Iraq  humanitarian and reconstruction assistance
  • 31. Post-Cold War: Structure International Structure: • Weakening of the constraints on the role and degree of independence of the SDF – The end of the Cold War and the decision by the JSP to recognize the SDF as constitutional and accept the US-Japan Security Treaty, opened up the opportunity for those in favour of using the SDF to expand the boundaries of what is permissible under Article 9 and the preamble of the Constitution. • End of bipolarity and the onset of multipolarity. – Move away from a hegemonic system to a multipolar system and the emergence of different regional groupings. • Much more pressure on states to contribute to the global agenda – Actions through the UN  UNPKO – So a change from ‘contributing to US global strategy’ to contributing to international society. International events: • International events raise the level of threat to Japan and the need for US to maintain a military presence in East Asia. – Rising China – 1991 Persian Gulf Crisis – 1996 Taiwan Strait Crisis – 1998 Taepodong Crisis – 9/11 – ‘Sabre rattling’ from Pyongyang and tension with China
  • 32. Post-Cold War: Agency • The JSP recognized the SDF as constitutional and the conceptual boundaries of Article 9 and the preamble had been expanded. – The end of JSP opposition went a long way to the despatch of the SDF overseas because the prominent voice of anti-militarism had been quietened. • Revisionists within the LDP came to the fore – Koizumi – Aso – Abe • Generational change – The number of people who have experience of war has declined so anti-militarism depends on the socialization process  e.g., school textbooks, parenting etc.
  • 33. Post-Cold War: Norms • International events (issues of security) have challenged the norm of anti- militarism. • We have seen crises before: – Vietnam War – Soviet invasion of Afghanistan etc. • But with the end of the JSP, generational change, and calls on Japan to make an international contribution, to become a ‘normal state’, the norm of anti-militarism is being challenged. • Rise of multipolarity over bipolarity may further strengthen internationalist norms and see multilateral norms supplement the norm of bilateralism. At the moment, however, bilateralism is still a strong norm as seen with interoperability agreements with the US.
  • 34. History of the US-Japan Security Treaty • Signed in 1951 the US-Japan Security Treaty alongside the Peace Treaty – Highly unequal • Did not give Japan a written commitment to the defence of its land and shores by the US • Allowed the US to intervene in Japan’s domestic affairs • Gave the US the right to administer Okinawa • Gave the US the right to station troops on US bases within Japan • Revision (1960)  From “Security Treaty
  • 35. Revision of the Treaty 1960 • From “Security Treaty Between the United States and Japan” to “Treaty of Mutual Cooperation and Security between the United States and Japan” • PM Kishi revised the treaty despite mass protest calling for its abolition. This is said to have cost Kishi his position. – Many protestors called for unarmed neutrality. So this was about not wanting to become part of the Cold War confrontation in order to reduce the international tension of the time. • Many conservatives: The enemy is communism, it is evil. • Many opposing: The enemy is not communism, it’s a nuclear catastrophe/Armageddon. • Revision – Removed the US’s right to intervene in Japanese domestic affairs – Secured commitment from the US on defending Japan – Placed restrictions on US military bases in Japan • The treaty has been automatically renewed every ten years since but there is not a consensus on its primary purpose
  • 36. Security Treaty  three perspectives 1. It keeps Japan down. – It stops Japan from becoming a ‘big power’ • Advocates: stop it from becoming ‘a threat to peace’ – US troops are the ‘cap in the bottle’ 2. Trip-wire  It guarantees peace and security – US presence in East Asia ensures the containment of communism on the continent which means peace and security • Anti-militarists on the other hand mind suggest US presence contributes the exact opposite of this 3. Pipe through which US can pressure Japan to militarize – It is a constraint to the realization of ‘unarmed neutrality’ and Japan as truly a ‘peace nation’, and works to encourage Japan to engage militarily on the US side. – No ‘cap in the bottle’ necessary – Japan is anti-militarist! US is encouraging militarism not restraining it.
  • 37. Security Treaty: Impact and legacy • Tied Japan to the Western camp in the early Cold War period. • From – 1950s  bastion against communism – 1960s and early 1970s  supporting the war in Vietnam – Late 1970s and early 1980s  offering close military cooperation – Late 1990s  introducing legislation for logistical and other support of US forces – Early 2000s  backing the US in the ‘war on terror’ – 2000s onwards  interoperationalizing military capabilities and missions (e.g., Operation Tomodachi) • Throughout all this, bilateral security relations have been forged out of the tension between pressure on the Japanese government from the US and domestic political forces and the interests of specific policy-making agents.