The Department of Foreign Affairs and Trade, Australia


AUSTRALIA AND JAPAN: COOPERATION IN THE REGION

Introductory Statement by the Hon. Alexander Downer, MP, Minister for Foreign Affairs, at Japan's National Press Club, Tokyo, 6 June 1996
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Australia and Japan: A Longstanding Relationship

I am delighted to have this opportunity to address the National Press Club of Japan. It enables me to reaffirm the central message of my visit - closer engagement with Asia is the Australian Government's highest foreign policy priority and the partnership between Australia and Japan is central to achieving that goal.

The partnership already stands on strong foundations. One hundred years ago, Japan established its first official representation in Australia. It is nearly forty years since the Menzies Government signed the Australia-Japan Commerce Agreement.

And of course it was Prime Ministers Fraser and Ohira who established APEC's predecessor, the Pacific Economic Cooperation Council, in 1980.

Towards a Strengthened Partnership

Approaching the end of this century, we find ourselves in a time of flux in the regional security pattern and of accelerating economic change.

In this period of dynamic change, Japan and Australia must use their partnership to contribute to leadership in the region.

Australia and Japan share three fundamental interests.

First, our two countries depend on strategic stability in the region for our security and economic well-being. Both Australia and Japan regard a United States strategic presence as essential to maintaining that stability.

Secondly, both countries share a dynamic approach to trade and investment liberalisation. And for both Australia and Japan, the World Trade Organisation and APEC are cornerstones for achieving this.

Thirdly, Australia and Japan are both developed democracies. Both countries are committed to upholding liberal and democratic values in our international relationships.

Security

Fifty years after the end of World War II, Australia is proud to have Japan as one of its partners in security dialogue. The inaugural Politico-Military and Military-Military talks in February this year were particularly valuable at a time of major North-East Asian security challenges.

The February talks came up with a number of proposals for closer cooperation, particularly at the service-to-service level. They include, for example, joint activity in the area of UN peacekeeping. The Australian Government is keen to carry these initiatives forward.

Both Australia and Japan are close and important allies of the US whose forward strategic presence contributes to its unique and central role in Asia-Pacific security. But there are responsibilities that countries like Australia and Japan need to bear.

We support the measured path now being taken by Japan in relation to its own defence, in the context of the Japanese constitution, the US alliance, and with sensitivity to regional views.

Australia warmly welcomed the recent reaffirmation by Prime Minister Hashimoto and President Clinton of the Japan-US security treaty which is central to the stability of the whole region.

Australia values highly the contribution Japan makes to regional stability through supporting the strategic engagement of the United States in the Western Pacific.

Australia and Japan are active participants in the ASEAN Regional Forum which we see as an important process for fostering security dialogue, transparency and mutual confidence. Its membership recognises that North-East Asia, South-East Asia and Oceania are increasingly interdependent in both security and economic terms.

Noteworthy too, is the ARF's success in fostering personal familiarity among regional defence and military personnel who attend its officials-level meetings.

In a similar vein, Australia welcomes Prime Minister Hashimoto's initiative for an Asian Nuclear Safety and Security meeting at the end of this year. Australia, as a significant player in the nuclear industry, is interested in the opportunity to participate and to contribute to nuclear safety and the habit of consultation on security issues in the region.

We have made some progress on regional security, but there is still a long way to go. It needs to be remembered, too, that strong bilateral ties must form the foundation of efforts to strengthen regional trust and security - and that is why we value particularly our emerging partnership with Japan in this area.

Australia and Japan are partners also in multilateral cooperation. I should note here that Australia welcomes Japan's strong support for Australia's inclusion in Asia-Europe summit meetings.

At the global level, Australia and Japan are strong supporters of the UN system. We both seek an end to nuclear testing and the non-proliferation of weapons of mass destruction.

Australia strongly supports Japan's bid for permanent membership of the UN Security Council, so that Japan can take its proper place reflecting its global political and economic standing.

Trade and Investment Liberalisation

I want to turn now to Australia's trade policy priorities and what they mean for the Australia-Japan relationship.

The new Government is intensifying microeconomic reforms to Australia's ports and coastal shipping, the labour market, communications, transport and energy. That will boost the competitiveness of Australian companies, making them stronger partners for Japanese companies. And Australia will become a more profitable place for investors.

The Government is also aiming to strengthen Australia's key bilateral economic relationships, with Japan in the front rank.

Japan is currently undergoing a major economic reform process, making its economy more open and market-oriented. Australia encourages the Japanese Government to accelerate those reforms. At the same time, Australian exports are shifting from commodities towards manufactures and services.

Vast new opportunities are therefore opening up in both economies. And exploring how best to take advantage of them will be the focus of high-level government meetings during this year.

At the multilateral level, the new Australian Government will be working closely with Japan to put real flesh on APEC's Bogor and Osaka Agreements. Japan showed strong leadership last year at Osaka. It is time now for all members to start delivering concrete benefits to business and industry.

And at the December meeting of the World Trade Organisation in Singapore, Australia aims to galvanise the WTO's ``built-in agenda'' for another comprehensive round of trade negotiations by 1999. The Australian Government looks to Japan to work towards that goal with us.

Conclusion

With new governments in both countries, now is an ideal time to take stock of the relationship and guide it in new directions.

I have been discussing with my hosts how best to do this and to mark our three upcoming ``Friendship Anniversaries'': one hundred years of diplomatic relations; forty years since the signing of the Australia-Japan Commerce Agreement; and twenty years since the Basic Treaty of Friendship and Cooperation.

The anniversaries provide the occasion for new initiatives to strengthen the Australia-Japan partnership. For its part, the Australian Government will be exploring possibilities in various areas, including

. enhancing cooperation between Australian and Japanese firms in sectors like manufacturing, agriculture and agricultural processing

. expanding knowledge and access for Australian service industries in Japan, and

. improving coordination of aid policies in South-East Asia and the South-West Pacific.

I am glad to say that it is clear from my discussions in Tokyo that both Governments are committed to strengthening the partnership and setting new directions for cooperation into the 21st Century.

I look forward to giving practical effect to that commitment, working with Foreign Minister Ikeda and his colleagues at the Australia-Japan Ministerial Committee meetings later this year and in 1997.

The Australia-Japan relationship is one of great promise. These two anniversary years are years of particular opportunity. Let us seize that opportunity to re-commit Australia and Japan to a still stronger and more vibrant partnership.