Global Scans · Japan · Weekly Summary

WHAT'S NEXT?: The latest sign of weakness in Japan's economy will likely add to mounting skepticism about the prime minister's expansionary policies. His coalition government has just achieved the supermajority it needs to amend the constitution which many are worried that Japan is about to remove the mask of pacificism and convert its "Self-Defense Force" into the military threat it really is.

• [New] One of the main threats bringing China, Japan, and South Korea together over the years has been North Korea's volatile behaviour and its nuclear and missile program. The Diplomat
• [New] Of particular concern to China is the prospect for a formal trilateral alliance between Japan, South Korea, and the United States, something Beijing has openly warned against. The Diplomat
• [New] The G7 nations - France, Germany, Italy, the UK, the United States, Canada and Japan - are expected to call for individual sanctions against people implicated in Iran's missile supply chain. The Times of Israel
• [New] Japan is keeping tabs on factors driving the yen's fall relative to the U.S. dollar and will respond as appropriate to excessive volatility without ruling out any options. Kyodo News+
• [New] With the unresolved security issues, the Mekong Subregion will seek other options to balance China's power and to find additional financial, technical and security-related assistance - including from the United States or Japan. United States Institute of Peace
• [New] The deepening China-Philippines row coincides with an increase in security engagement with the US under Marcos, including expansion of US access to Philippine bases, as well as with Japan, which is expected to sign a reciprocal troop pact with Manila. The Guardian
• [New] Under the Foundational Infrastructure for Responsible Use of Small Modular Reactor Technology (FIRST) program, the United States and Japan plan to co-host a nuclear energy study tour in Japan for nuclear experts and policy decision-makers from the Philippines and other FIRST partner countries. The White House
• [New] The Proa subsea cable from NEC will connect Japan, the CNMI, and Guam and is named after the traditional sailing canoes of the Marianas. Google Cloud Blog
• [New] Google's subsea cables, Proa and Taihei, will provide better digital connection between Japan and the US. Verdict
• [New] The United States commits to supporting collaboration with Japanese counterparts to evaluate the potential for cross-border carbon dioxide transport and storage hubs between Alaska and Japan. The White House
• The yen is on a downtrend as financial markets expect the wide interest rate differential between Japan and the United States to remain. Kyodo News+
• Japan's tech sector, led by companies including Fujitsu, NEC, Toshiba and Hitachi, has prioritised quantum annealing and simulation approaches - it says - creating a particular opportunity for UK companies offering gate-based alternatives. Electronics Weekly
• The Comprehensive Investment and Policy Plan, led by the United States and Japan, will provide $20 billion in funding for Indonesia's Just Energy Transition Partnership. oilprice.com
• Japan needs to ensure that all productive forces in Japan are fully deployed, such as strengthening policies from the administration of late prime minister Shinzo Abe, which opened up more opportunities for women in the workplace. CNA
• Japan's March CPI figure will be anticipated for guidance amid speculation that the Bank of Japan may raise rates in the near-term. IHS markit
• Germany will remain among the world's top ten steel-consuming regions together with China, India, United States, South Korea, Japan, Russia, Turkey, Mexico and Brazil. EUROMETAL
• The first of two cables, called Proa, will connect Japan to Guam via the CNMI, and derives its name from a type of traditional sailing canoe used in the Marianas. Yahoo Tech
• In an armed conflict between Tokyo and Beijing, the United States should expect to be drawn in to help preserve Japan's Self-Defense Force, restore Japanese territorial integrity, and gain control of key air and maritime areas to enable Japanese Self-Defense Force operations. US Army War College - Strategic Studies Institute
• In 2024, the United States, China, and Japan are expected to contribute two-thirds of near-term industry growth in medtech. AlphaSense
• The United States and Japan plan to also collaborate on JAXA's Next-generation Solar-observing Satellite, SOLAR-C, which is intended to investigate the mysteries of solar atmospheres by conducting spectroscopic observations of UV radiations from the Sun. The White House
• By 2040, the collective GDP of the BRICs would overtake that of France, Germany, Italy, Japan, the United Kingdom, and the United States. Carnegie Endowment for International Peace
• The leaders of the United States and Japan this week will commit to modernizing their military alliance, with the aim of eventually creating a truly operational hub for the most consequential defence partnership in the Pacific. Washington Post
• We expect Pacific unit revenues to be in line with the prior year on 30% growth in capacity driven by strong demand for Korea and Japan, offsetting lower unit revenues in China. Yahoo Finance

Last updated: 27 April 2024