Small Outcome of Big Diplomatic Event

Following a relaxed reunion in Yamguchi the day before, Prime Minister Shinzo Abe and Russian President Vladimir Putin had another meeting in Tokyo on Friday. In the press conference after the seventy-minute businesslike meeting, both leaders announced that they had agreed on starting discussion for joint economic activities in Northern Territory, located in northeast of Hokkaido Island, Japan. The biggest issue for Japan, returning sovereignty on the territory, was left far behind.

Abe told that he agreed with Putin on to start negotiation over special legal system for joint economic activities. While Japan did not approve economic activities there under legal regulation of Russian laws, Russian government kept on announcing that economic activities would be taken under Russian laws. The joint statement of both leaders reached each other on an explanation that the agreement would not harm each standpoint of Japan or Russia on the issue of having a peace treaty.

Putin lost nothing in two meetings in Japan. Although they agreed on expanding free visit of former residents in Northern Territory and making office works for the visit simpler, Russia would be welcome those kind of human exchange as long as they keep administration on the islands.

Instead, Russia gained eighty projects for economic cooperation. They included investment to developing a base for liquefied natural gas in Yamal Peninsula, Siberia, capital tie-up between Mitsui & Co. on R-Pharm on health business, joint project between Mitsubishi Co. and Gazprom on energy development or building new terminal building in Habarovsk International Airport. “I want to enhance our economic exchanges through making our bilateral relationship a partnership,” told Putin with a satisfactory smile.

Abe had to explain what he had achieved in the meetings. “Not insisting on the past, we need new idea in a future-looking manner for designing the future of Northern Territory and finding a solution. On the Joint Declaration in 1956, in which Japan and Soviet Union agreed on handing over two islands, Shikotan Island and Habomai Archipelago, to Japan after having a peace treaty, Putin reiterated usual argument that the declaration did not describe how to pass those islands.

The people in Japan were overwhelmingly disappointed to the outcome of Japan-Russia summit meeting. Abe has been drawing public attention to the meeting with expectation of political boost of his administration toward constitutional amendment. However, what he gained in the meeting with Putin was popularity in big corporation with new business opportunity with Russia or in his hometown in Yamaguchi. The event proved to be much ado about nothing.