Japan, US launch trade partnership amid China's economic advance; to address joint issues

The United States and Japan on Wednesday, 17 November launched a key initiative to facilitate regular dialogue on issues related to trade that are critical to both nations amid China’s economic advance. Japanese Foreign Ministry said in a statement that the framework of the US-Japan Partnership on Trade is a Director-General level framework for both nations’ cooperation in the area of trade among the Japanese Ministry of Foreign Affairs, Ministry of Economy, Trade and Industry and Office of the United States Trade Representative.

It added, “In this framework, we will discuss issues such as Japan-U.S. common global agenda in the area of trade, cooperation in the Indo-Pacific region as well as bilateral trade cooperation between Japan and the United States.”

Additionally, US Trade Representative Katherine Tai, who is visiting Japan for the first time since assumption of office in March, said, “Our close collaboration will support the Biden-Harris administration's economic framework for the Indo-Pacific and help create sustainable, resilient, inclusive, and competitive trade policies that lift up our people and economies.” According to Kyodo News, in an apparent reference to China, Japan and US have repeatedly raised the issue of “market-distorting practices” at meetings of Group of Seven (G7) nations and other talks.

US, Japan launch talks to address steel, aluminium overcapacity

Meanwhile, the United States and Japan have commenced talks to address the matters concerning excess capacity in the global steel and aluminium market, said the Office of the US Trade Representative (USTR). As per Sputnik, the official release by the USTR stated, “United States Trade Representative Katherine Tai and United States Secretary of Commerce Gina M. Raimondo today announced the start of consultations with Japan to address global steel and aluminium excess capacity, take effective measures to ensure the long-term viability of our steel and aluminium industries, and find solutions to strengthen our democratic alliance.”

Both American and Japanese officials will reportedly also work to find solutions to bilateral issues considering steel and aluminium tariffs. US and Japan have also expressed the intention to take beneficial actions that would restore the market-oriented conditions, USTR stated. The official release also added that US officials have raised concerns about China and its role in supporting trade-distorting non-market policies that further threaten American steel and aluminium industries.

(IMAGE: AP)