February 06, 2004

Japanese Trade War?

The DPRK's third largest trading partner is Japan with whom it maintains a trade surplus. According to this article the Koizumi administration is about to pass legislation enabling it to start economic warfare in the form of trade sanctions and a remittences freeze. The DPRK is the only likely target at the present moment and of the large korean ethnic population in Japan, approximately a third support Pyongyang with remittences, a hefty foreign currency earner for the DPRK.

With Japan so used to being on the other side of trade war threats, it should be a useful learning experience for americans to observe how Koizumi uses this new Japanese policy tool. It is not only helpful in the upcoming second round of six party talks on the DPRK's nuclear program, it also will provide a window into japanese thinking and that's an opportunity that should not be passed up.

Posted by TMLutas at February 6, 2004 03:25 PM