Japan’s Ambassador to China Sees a Lot of Potential for Economic Cooperation

Japan's ambassador to China, Kenji Kanasugi, sees significant potential for economic collaboration between Japan and China, emphasizing that the two countries' businesses can complement each other globally, instead of just competing.[para. 1][para. 3] Kanasugi, who has been serving in this role since December 2023, noted a notable increase of Chinese companies entering Japanese markets, with deeper collaborations especially in electric vehicles (EVs) and artificial intelligence (AI).[para. 2] This shift has been facilitated by eased travel regulations, such as China's resumption of visa waivers for Japan, and Japan's relaxed visa rules for Chinese visitors, including a 10-year multiple-entry visa option.[para. 3]

Kanasugi advocates for increased people-to-people exchanges to improve public perceptions and encourages more Japanese citizens to visit China to gain firsthand insights.[para. 4] He sees the upcoming World Expo 2025 in Osaka as an opportunity for fostering greater exchanges.[para. 5]

Japan has been seeking foreign investments amid its aging and shrinking population, which has opened opportunities for Chinese companies like Huawei and BYD to expand their presence. Huawei has significantly established itself in Japan, operating 10 offices and employing approximately 1,200 people, while BYD's electric vehicle sales have notably surpassed Toyota's in 2024.[para. 6][para. 7] China remains Japan's largest trading partner, with Japan ranking among China's top trading partners as well.[para. 8] Technology transfer is now more reciprocal, with Japanese companies forming partnerships with Chinese companies to leverage expertise in fields like autonomous driving, which could address Japan's declining driver workforce.[para. 9][para. 10]

In AI, Japan can learn from China's innovative approach where companies pursue chances even with lower success probabilities, contributing to their success in adopting new technologies into everyday life.[para. 11] Although competition in the global market is unavoidable, there is room for complementarity, as seen in Japanese trading houses facilitating Chinese companies' product sales in Africa through expansive networks.[para. 12]

In 2024, Japan became a top travel destination for Chinese tourists, especially during major holidays. January of that year saw about 1 million Chinese visitors, accounting for a quarter of all foreign visitors that month. Tourism has been prioritized as a key pillar of Japan's economic growth since the mid-2000s,[para. 13] with tourist spending reaching a record 8.1 trillion yen ($51.6 billion) in 2024.[para. 14] With the Osaka-Kansai Expo planned to open on April 13, 2025, Kanasugi hopes the event will encourage more Chinese tourists and foster bilateral exchanges, supported by Japan's waiving of visa application fees for Expo visitors.[para. 15]

Despite past strains, such as attacks involving Japanese nationals in China, improved bilateral communication has been achieved, culminating in a consensus including making the Osaka-Kansai Expo a platform for fostering exchanges.[para. 16][para. 17] Kanasugi, who has held various roles focused on Asian and Oceanian affairs, metaphorically described the gradual improvement in Sino-Japanese relations as the transition from winter to spring.[para. 18][para. 19]