pakistan relation with japan (by advocate raja aleem)
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Japan and Pakistan had established diplomatic relations on 28 April 1952. Relations between Pakistan and Japan have been strong. Despite having been through various phases and having witnessed some vicissitudes, Pakistan-Japan relations have kept growing to the mutual benefit of the two countries. Until the late 1950s, the relationship was essentially that of two developing countries. Pakistan, being the main source of raw cotton for Japan's textile industry, was one of its major trading partners. Japanese spindles on the other hand helped build Pakistan's textile industry.TRANSCRIPT
Pakistan Relation with Japan and south East Asia
Japan-Pakistan Relation
Japan and Pakistan had established diplomatic relations on 28 April 1952. Relations between Pakistan and Japan have been strong. Despite having been through various phases and having witnessed some vicissitudes, Pakistan-Japan relations have kept growing to the mutual benefit of the two countries. Until the late 1950s, the relationship was essentially that of two developing countries. Pakistan, being the main source of raw cotton for Japan's textile industry, was one of its major trading partners. Japanese spindles on the other hand helped build Pakistan's textile industry. In the 1960s, Japan, however, re-emerged as a modern industrialized nation and started extending Yen loan assistance to Pakistan. The Japanese assistance was doubled to Pakistan following the Soviet invasion of Afghanistan. Japan, since then, has been Pakistan's major source of economic assistance, a leading trading partner, and an important source of foreign investment.
Tokyo and Islamabad have long enjoyed cordial and formidable relations throughout chronology. Japan's economic assistance has played a very important role in the development of Pakistan's economic and social infrastructure. The major projects, which have been funded by the Government of Japan, include the Indus Highway Project, a number of power projects in various provinces of Pakistan, Rural Roads Construction Project, and the Children Hospital PIMS Islamabad Project. Presently the Kohat Tunnel Project and the Ghazi Brotha Dam Project have completed with the help of the Japanese assistance.
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There has been a regular exchange of high-level visits between the two countries. Pakistan and Japan had established formal diplomatic relations on 28 April 1952. The 50th anniversary of the establishment of diplomatic relations, jointly celebrated by the two countries in 2002, was a significant landmark in the history of this friendship. As of 1999, there are at least 10,000 Pakistanis residing in Japan.
Economical Support:Japan is the largest donor of Pakistan providing commodity loans, grants, and technical assistance. The economic assistance provided by it has played a very important role in the development of Pakistan’s economic and social infrastructure. More than sixty projects under Japanese Official Development Assistance have been completed. The Official Development Assistance at its highest point averaged US$ 500 million per annum.
Foreign Direct Investment (FDI) from Japan has also played a very important role in the economic development of Pakistan. It has been steadily increasing particularly in the areas of automobile, energy, banking, and financial institutions and infrastructure.
SUZUKI, TOYOTA, AND HONDA MOTORS:Japanese firms directly invested in the production in Pakistan. Suzuki ofJapan is engaged in producing motorcycles and cars in Pakistan. Themotorcycles produced by the Japanese firms have captured over 36% sharein the market. These companies manufactured and assembled vehicles inPakistan. It is producing over 3,000 units every year. The Suzuki plant hasthe capacity to export them too, in addition to meeting the domestic market.Besides, Yamaha, Honda and Vespa motorcycles are also widely sold inPakistan. Japan enjoys a major share in the auto market.
The Pakistan Suzuki has joint venture with Pakistan AutomobileCorporation. It started in 1983, and it has gained substantial share in themarket. Suzuki and Toyota cars are the popular vehicles in Pakistan,
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because it meets the local demand efficiently. Its production capacity isover 7,000 units. It has also developed vendor industries, which arefacilitating its production. The company plans to export cars but itsmanagement is not very well linked with foreign market. Besides, morefavorable local environment is needed to do so.
o Toyota:The Toyota motors are also a joint venture, with Al-Futtain andPakistan Autos. The company manufactures buses and trucks. It has gainedover 50% share in the market. The company has also successfully exportedbuses to Dubai. However, such quantum is limited. The company exportedon a price higher than neighboring competitor, India, due to its betterquality.
o Honda:The Honda motors are also assembling cars and motorcycles in Pakistan.It enjoys the status of popular company for cars and motorcycles. Besides,Japanese firms also provide help in assembling tractors and other machineryin Pakistan. All above shows strong emerging economic relations betweenPakistan and Japan.
In addition to Japanese firms, several other multinational are alsoentered into joint ventures with Pakistani firms and they are producingseveral different products. Phillips electrical is producing TVs andelectronic goods. Reckitt and Colman is engaged in the production of medicines. Pak Saudi and Dawood Hercules are engaged in the productionof fertilizers and pesticides. Besides, Siemens is engaged in several projectsrelated to electrical and other goods.
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As we find in our whole, above study that japan and Pakistan relations is very strong and friendly Relations. Both countries can help and support each other in very stages like in textile sector, information technology, aids, grants, etc.
However, from last decade Pakistan is facing extremism and chaos so these terrorism acts and activities are like “stones of path” in between Pakistan and Japan relationship. So the;
Terrorism also breeds on injustice, deprivation, and dispossession. To overcome these evils development and prosperity is key factor. We are determined to alleviate poverty and induce sustained economic growth and invest in human resources. We have accordingly launched a nine point agenda that covers fiscal stability, poverty alleviation, support to agriculture sector, patronage of industry and trade, human resources development and skill development, integrated energy programme, public-private partnership, capitalization of money markets and administrative reforms. These are the area where our friend Japan has resources, expertise, and the will to assist Pakistan.
Besides participation in the ‘Friend of Democratic Pakistan’ meeting, current ambassadors’ visit is also an aimed to encourage entrepreneurs from the second largest economy of the world to invest in Pakistan. We have designed important policy and regulatory reforms that focus on expanded role by the private sector. Japanese investment will not only help us in reviving the economy and fighting violent extremism and terrorism but also enable Japanese entrepreneurs to benefit from the liberal pro investor policies adopted by our government.
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