Japanese Prime Minister Shinzo Abe’s Thursday visit to President Duterte highlights the continuing importance of the Philippines to Japan’s relationships in East Asia. As a long-time partner for the Philippines in areas both political and economic, Abe’s visit to the country is significant to our new government as the first among world leaders. In addition to helping seal the two countries’ deep ties, Japan’s support is especially meaningful as the country takes the stage as the 2017 Chair of the Association of Southeast Asian Nations (ASEAN).
Although the Philippines has pursued friendly relations with all of its regional neighbors this year, the results of elections around the globe last year have introduced new uncertainties in the geopolitical environment. To world leaders, the importance of the Philippines as an active player in the community of peaceful and law-abiding nations cannot be discounted. More than ever, the Philippines is in a position to strengthen its partnerships in pursuit of the national interest.
JAPAN’S ECONOMIC RELATIONSHIP WITH THE PHILIPPINES
During his visit, Prime Minister Abe announced a $8.7-billion aid package. To be delivered over a five-year period, the aid reportedly targets infrastructure improvements across the country. The package is the latest in the sequence of Japanese overtures to the Philippines. Last year, President Duterte returned from his state visit to Japan with $1.8 billion in pledged investments.
Japan has been one of the Philippines’; most important international partners for several years. Historically, there are close economic and political ties between the two countries. Japan is the Philippines’; top trading partner. The government reports that in 2015, two-way trade with Japan accounts for $18 billion, or 14.4% of the country’s total trade. Philippine exports to Japan that year were valued at $12 billion. Most of the country’s exports to Japan are made up of electronic products (30.2%) and woodcraft and furniture (23.2%).
Japan was also the second-largest source of Official Development Assistance (ODA) in 2014, the latest figures available. ODA from Japan makes up 23.15% of the Philippines’ total ODA portfolio, largely coming in the form of low-interest loans for government projects throughout the Philippines. Of course, Japan is also a major donor to the ADB, which is the third-largest source of ODA to the country (19.96% of the portfolio).
In reach of Japan’s ODA extends throughout the Philippines. They underpin projects spanning from hydroelectric and wind power projects in northern Luzon, to geothermal energy and arterial roads in the Visayas, to transmission lines, port terminals, and irrigation lines in Mindanao. Given the depth of Japan’s assistance to and partnership with the Philippines, there is every reason for President Duterte to repeatedly reaffirm the two countries’ strong relationship. In the President’s words, “Japan is a friend closer than a brother.”
THE PHILIPPINES-JAPAN STRATEGIC PARTNERSHIP
Moving beyond the economic backbone to the relationship, the Philippines and Japan elevated their ties into a “strategic partnership” in 2013. Although Japan is not obligated to come to the Philippines’ defense in case of an armed conflict, Japan has nevertheless invested in helping the Philippine government boost its security capabilities. As both countries are archipelagos and have territorial disputes with their neighbors, maritime security has been an important component of the two countries’ cooperation. There is a natural common ground in the two countries’ security objectives.
The Philippines and Japan joint statement on President Duterte’s visit to Tokyo is indicative of the priorities in the relationship. Immediately after reaffirming the two countries’ partnership and basic values, the joint statement makes several points related to maintaining and promoting peace and stability in the region. Japan’s multi-year effort to help the government boost the Coast Guard is a concrete manifestation of the two countries’ cooperation.
Finally, beyond the strategic reasoning, Abe made the effort to show a personal relationship with Duterte. The President is known to have strong personal views on foreign policy, as evidenced by several of his outbursts last year.
With the rise of the term “independent foreign policy,” the Philippines’ traditional partners have had cause for concern for their place in the Philippines’ roster of close friends. For this reason, it has become more important for Tokyo to demonstrate that its relationship with Manila extends beyond diplomatic documents and into real life. It’s hard to beat a visit to the President’s personal bedroom.
Angelica Mangahas serves as the Deputy Executive Director of Stratbase-ADRi.
AFP
