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The Impacts and Roles of Canada in China-Japan Row - Research Paper Example

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The current tension currently being witnessed between China and Japan is arguably the geopolitical tension ever witnessed in the world. Park (2012) argues that the tension is boiling up over a tiny Senkaku Islands, which had been bought by Japan several years back. …
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The Impacts and Roles of Canada in China-Japan Row
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"The Impacts and Roles of Canada in China-Japan Row"

Download file to see previous pages The purchase put the full control over the island on Japan. However, with politics at play, China has showed an interest over the island again claiming that the island rightfully belongs to them, an argument that Japan is not willing to listen to according to Zhao (2012). In fact, pundit argue that the two countries may end up engaging in of the deadliest fights after the World War II if nothing is not done to ease the tension between the two neighboring countries. As a result, Canada is one of the countries that have been proposed to negotiate a cease-fire between these two countries at war, following the fact that Canada is not seen to have any inclination both economically or politically with the two nations. This paper will explore the tension brewing up between China and Japan and the involvement of Canada on the issue. China and Japan are two economic giants in the Asian region and the world at large. These two neighboring countries had had close relation between each other for a very long time until recently in 2010 when an issue arose between the two nations over uninhabited island. Initially the issue appeared very little that it did not attract much attention of the international community until recently when a war of words and military surveillance began over the island. In this regard, Chinese warships and airplanes have been surveying the island over the past few years with a view to taking it away from Japan. However, Japan has always maintained its position that the island has traditionally and rightfully belongs to them, and any attempt by Chinese government to take the island will be met with the strongest force possible, a statement, which has signaled that war is in the offing (Tanaka, 2013). The tension has indeed affected the strong bilateral trade between these two countries since the beginning of the tension. Bloomberg News (2013) reported that some discontented Chinese consumers have been boycotting Japanese products in protest over the island. This scenario has led to a sharp fall in Japanese autos sales in China, something that is negatively affected the economy of Japan, taking into consideration the fact that China has been one of its biggest auto market in the world. In fact, Japan has not yet recovered from such a huge decline in sales in Chinese market witnessed in the recent past. Bloomberg News (2013) reveals that many Chinese factories have shifted their loyalty to South Korean component suppliers. At the same time, China has also experienced a significant decline in the export market due to the tension between it and Japan. This has become costly for the Japanese government since China has been its long time largest export market. Bloomberg News (2013) reveals that currently the U.S. has overtaken China as the largest export market for the Japanese products. Bloomberg News (2013) also noted that as China continue with its territorial claim over the island, the bilateral trade between the two countries, which tripled from 2000 to over $300 billion, is likely to decline significantly. The latest flare-ups had been reverberated by Xi Jiping of the Chinese Communist Party when he criticized the move by Kunioki Kurihara, a Japanese developer to sell three of the disputed islands to the Japanese government for just $23 million, calling this a farce according to Bloomberg News (2013). The dispute between the two nations is reported to have resulted in a decline, in Japanese growth, by about one percent. Meyer (2011) argues that this percentage decline has the potential of keeping the economy in recession up to September this year. The fall out is also projected to have caused a ...Download file to see next pagesRead More
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