SOURCE / GT VOICE
GT Voice: Unilateral sanctions pose a danger for Japan’s economy
Published: Jun 12, 2024 10:27 PM
Illustration: Liu Rui/GT

Illustration: Liu Rui/GT

Citing sources close to the Japanese government, Japan's public broadcaster NHK reported on Wednesday that Japan is considering imposing new sanctions on companies, including Chinese ones, that are suspected of supplying materials to Russia that can be used by Moscow's military. 

We sincerely hope that Tokyo, instead of groundlessly cracking down on companies from China, can adopt a rational attitude, put more efforts into de-escalating tension and create more favorable conditions for mutually beneficial economic cooperation.

NHK's report has not been confirmed, but it has attracted attention, as many believe it is possible that Japan may succumb to US pressure to crack down on and suppress Chinese enterprises. It is therefore necessary to remind policymakers in Japan that Chinese officials have repeatedly said that China "will never accept any illegitimate unilateral sanctions." Normal economic cooperation between China and Russia should not be undermined or disrupted by any third party.

China has always adopted a prudent and responsible attitude toward military exports, and strictly managed the export of dual-use items according to laws and regulations. However, some American political elites still stubbornly stick to their double standards on arms sales. The US and some other Western countries have long controlled the international arms market and used arms sales as a tool to achieve their often ill-intentioned political goals. The US, instead of China, is the troublemaker.

If Japan, succumbing to pressure from the US, imposes unilateral sanctions on Chinese companies under the pretext of "China's support for Russia's military," it will have a negative impact on bilateral economic and trade relations. Tokyo should consider the possible consequences of its actions before actually taking them. After all, China is an important overseas market for Japanese companies.

China has long been Japan's largest trading partner and largest export market. China-Japan trade reportedly accounts for more than one-fifth of Japan's total foreign trade. China has become an important driver of Japan's foreign trade and economic growth. China's advantages of vast markets, sustained economic growth and a complete industrial system offer strong support to Japan in its industrial transfer, development of the emerging industries, and optimization and upgrading of its industrial structures.

Japan is, to some extent, advised by observers to maintain a balance in its relationships with both China and the US, which enables it to maximize its own interests. However, when China-US tensions intensify, such diplomatic balance is bound to face increasing difficulty. It seems the Russia-Ukraine crisis has become a new front for the US to exert pressure on Japan.

Japan should resist giving in to US pressure, especially when it comes to principles and economic interests. It is essential to welcome multinational enterprises by creating a fair and open business environment. At the least, Japan should avoid the abuse of unilateral sanctions.

The China-Japan-South Korea trilateral leaders' meeting was held in May in Seoul, South Korea, a resumption of the dialogue after a suspension of four years. On the sidelines of the meeting, China and Japan agreed to enhance dialogue and communication at various levels and convene a new round of bilateral high-level economic dialogue at an appropriate time. Analysts said the meeting in Seoul had injected new impetus into economic and trade cooperation between China and Japan.

Japan should go forward, not backward, to develop economic relations and mutually beneficial cooperation with China. It's no secret that Washington wants Tokyo to assist it in cracking down on Chinese enterprises, but this is not in line with the interests of Japan. As pressure from the US increases, if Japan continues to make compromises and is even forced to adopt unilateral sanctions against Chinese companies, the development of China-Japan economic ties will suffer, and Japan's economy will be negatively, and definitely, affected.