3/23/2014

Revisionist Charge in Business

Although it is not sure that Chinese government tried to take counteraction against the revisionist administration in Japan, a regional court in China for the first time accepted collective charge from former workers against Japanese corporations that accused forced transportation of people to work in mines in Japan. The Japanese government opposed it, appealing that all rights for compensation was cancelled over forty years ago. There is no explanation why China changed its policy not to accept such accusations from the citizens. China looks to be as mean to Japan as possible.

It was late February, two months after Yasukuni visit by Prime Minister Shinzo Abe, when thirty-seven sufferers and their families sued mining company of Mitsubishi and Mitsui with accusation of forced labor in Japan during the World War II. After one-month consideration, the court officially accepted it. It is likely that the Xi Jinping administration controlled the action of the court.

In 1952, Chiang Kaishek administration of Taiwan officially abandoned the demand against Japan along with a peace treaty. Communist China also did that with Japan-China Joint Statement in 1972. Since then, Chinese government has been keeping the court from accepting such charges. It has been regarded as consideration of negative impact on relationship with Japan.

For China’s perspective, this would be an action that stemmed from Japan’s revisionist moves, shown in nationalization of Senkaku Islands for instance. “Forced labor is a serious crime and have not resolved appropriately,” told a Chinese official. Once the case stands with allowance of the government, the result will be beneficial to the plaintiffs and against Japanese companies. Japanese government resisted China’s new approach to the issue, with official statement of “All the request for compensation had been resolved.”

Obviously, Xi wanted to shift domestic frustration to Japan. There are a number of potential indictments against Japanese corporations. The Chinese government also calculates diplomatic advantage by cooperating with South Korea, which courts already determined decisions that Japanese corporation needed to compensate wartime forced labor.


However, sentence of guilty against Japanese corporation makes business environment more difficult. It will mean a new step of retreat from a principle of “politically cool and economically hot.” Moreover, China’s aggressive attitude may cause further emergence of anti-China sentiment in Japan. Unilateral charge against Japanese private business would not be beneficial for both nations.

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