Japan's economic relations with the South Pacific

Abstract

The post-World War II decades witnessed one of the most important economic achievements in recent world history: the rise of Japan as a global economic power. This served notice of Japan's new status as an actor on the world stage and ultimately, of its potential to influence developments around the world. In the South Pacific, Japan's drive to globalise its giant economy over a period of four decades generated a considerable impact on the economies of Pacific Islands countries (PICs). In the period leading up to the mid-1970s, relations between Japan and the South Pacific developed gradually with a continuing emphasis on economic involvement initially through trade and investment. That economic relationship expanded rapidly during the 1980s. Japan's intent for a role beyond a continuing 'economic' emphasis became increasingly apparent during this period with Overseas Development Assistance (ODA), because of its strategic value, becoming a significant component in Japanese involvement. It was the declaration of the Kuranari Doctrine in 1987 that made clear Japan's motivation for a greater political role. Thus, from an initial focus on economic activities in the South Pacific, strategic and political objectives became important considerations for Japan in the growing economic relationship. Show more