Relations impacts and cp’s
Resolving economic differences through an FTA is key to restoring U.S.-Japan relations
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- US-Japan FTA solves relations
- Japan-South Korea competition makes FTA key to U.S. relations
- AT: Japan has to agree
Resolving economic differences through an FTA is key to restoring U.S.-Japan relationsKonishi 06 (Weston S., “Japan-U.S. FTA Worth Considering”, Daily Yomiuri, 4/7/06, http://www.mansfieldfdn.org/pubs/commentary/wesyumiuri040706.htm)Japan and the United States are the two largest economic powers. Together they account for over 40% of world domestic product, for a significant portion of international trade in goods and services, and for a major portion of international investment. This economic clout makes the United States and Japan powerful actors in the world economy. Economic conditions in the United States and Japan have a significant impact on the rest of the world. Furthermore, the U.S.-Japan bilateral economic relationship can influence economic conditions in other countries. The U.S.-Japan economic relationship is very strong and mutually advantageous. The two economies are highly integrated via trade in goods and services — they are large markets for each other’s exports and important sources of imports. More importantly, Japan and the United States are closely connected via capital flows. Japan is the largest foreign source of financing of the U.S. national debt and will likely remain so for the foreseeable future, as the mounting U.S. debt needs to be financed and the stock of U.S. domestic savings remains insufficient to meet the demand. Japan is also a significant source of foreign private portfolio and direct investment in the United States, and the United States is the origin of much of the foreign investment in Japan. The relative significance of Japan and the United States as each other’s economic partner has diminished somewhat with the rise of China as an economic power, and with U.S. economic ties with Canada and Mexico deepening as a result of the North American Free Trade Agreement (NAFTA). Nevertheless, analyses of trade and other economic data suggest that the bilateral relationship remains important, and policy leaders of both countries face the challenge of how to manage it. During the last decade policy leaders seem to have made a deliberate effort to drastically reduce the friction that prevailed in the economic relationship. On the one hand, this calmer environment has stabilized the bilateral relationship and permitted the two countries to focus their attention on other issues of mutual interest, such as national security. On the other hand, as some have argued, the friendlier environment masks serious problems that require more attention, such as continuing Japanese failure to resolve long-standing market access barriers to U.S. exports of autos and auto parts and flat glass and the failure of the two countries to reduce bilateral trade imbalances. Failure to resolve any of these outstanding issues could cause heightened friction between the two countries. US-Japan FTA solves relationsU.S.-Japan FTA strengthens relations and economic tiesCooper 07 (William H., Specialist in international trade and finance, foreign affairs, defense, and trade division, 7/9/07, “CRS Report for Congress U.S.-Japan Economic Relations: Significance, Prospects, and Policy Options”, http://www.fas.org/sgp/crs/row/RL32649.pdf)A third option would be for the United States and Japan to form a comprehensive bilateral free trade agreement (FTA). This option might prove attractive because tariffs and other customs restrictions on U.S.-Japan bilateral trade are already low or non-existent, providing a foundation on which to build an FTA. In addition, proponents would argue that the two countries could construct the FTA to cover policies and practices that are critical to the relationship. For example, the FTAs that the United States has concluded recently go beyond trade in goods and address services, foreign investment, and intellectual property rights. A U.S.-Japan FTA would fit into current Japanese and U.S. trade strategies to use FTAs to strengthen economic ties with Asian partners. Japan-South Korea competition makes FTA key to U.S. relationsKonishi 06 (Weston S., “Japan-U.S. FTA Worth Considering”, Daily Yomiuri, 4/7/06, http://www.mansfieldfdn.org/pubs/commentary/wesyumiuri040706.htm)Yet the ripple effect of a South Korea-U.S. trade deal will hit Japan the hardest. Competition between Japan and South Korea is always a factor--the operating principle being what is good for one country is bad for the other, particularly regarding ties to the United States. As the far larger economy and more critical U.S. strategic partner, Japan is accustomed to winning this contest. Now, with the prospects of a South Korea-U.S. FTA, it is hard not to see Seoul as having outmaneuvered a flatfooted Japan. Losing out to South Korea is all the more painful given the extraordinarily high expectations of the Japan-U.S. relationship. In Washington, Japan is seen as the preeminent ally in Asia and close partner in an expanding list of initiatives, from cooperation in the war on terrorism to the long-term shaping of China into a "responsible stakeholder" in the global community. Officials on both sides of the Pacific say bilateral cooperation rests on a solid foundation of shared values and common interests. Yet if Japan cannot reach a trade deal with the United States similar to the one that country has with Seoul, it may call into question how deep these common interests really run. Fair or not, this question may resonate more broadly as the reality of a South Korea-U.S. FTA sinks in. AT: Japan has to agreeAlthough Japan has to agree, it will be an agenda item because of the South Korean FTA and the US needs to initiate the discussion Konishi 06 (Weston S., “Japan-U.S. FTA Worth Considering”, Daily Yomiuri, 4/7/06, http://www.mansfieldfdn.org/pubs/commentary/wesyumiuri040706.htm)Two decades ago, U.S. Ambassador to Japan Mike Mansfield raised the idea of a free trade agreement between Japan and the United States that would formalize bilateral economic ties across a broad range of sectors. The idea never gained much traction, though, falling victim to larger priorities in multilateral trade institutions and a lack of enthusiasm from domestic interests in both countries. Bilateral trade has proceeded apace without an FTA, reaching a total value of 193 billion dollars last year. Interest in a Japan-U.S. FTA may soon be rekindled with the possible completion this year of a U.S.-South Korea FTA. If an agreement is reached, Tokyo may feel pressure to consider a corresponding trade deal with the United States to avoid losing out to Seoul. Launching a Japan-U.S. FTA, however, would necessitate a radical shift in Japanese trade policy, in particular by requiring the liberalization of the staunchly protected agriculture sector. While the onus for reducing the obstacles to an FTA may lie largely on Japan, both Tokyo and Washington should start to review whether or not such an agreement makes sense for their long-term interests. Directory: file -> view view -> Western Europe after wwii view -> Author study: paul fleischman view -> Qpa1 7ela study Guide view -> Arctic Oil/Gas Neg view -> November 1970 Approximately 150,000-500,000 deaths Bhola Cyclone Bangladesh view -> Grade Level: 6 Unit of Study: Caribbean glce view -> Citation: Duffield, Katy view -> Table of Contents Lesson # view -> Chinese Wind Energy Disad Download 1.27 Mb. Share with your friends:
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