ABSTRACT
Japan’s relationship with Latin America is a long-standing one. Its modern history began with immigration at the turn of the 20th century and after the Second World War. Trade became important in the 1950s, involving Latin American exports of raw materials in exchange for industrial goods. In the heyday of the relationship, Japan was the most important partner for Brazil, Chile, Mexico and Peru, although the United States remained the dominant partner for the region as a whole. As Japan’s own economic problems manifested themselves in the 1990s, its links with Latin America declined. During the 21st century, Japan has renewed its interest in the region, perhaps stimulated by competition from the People’s Republic of China. Economic partnership agreements were signed with Chile, Mexico and Peru, while one is pending with Colombia. This choice of partners reflects Japan’s interest in the Pacific Alliance and in countries with strong and stable economies. Then Prime Minister Shinzo Abe announced a new model in 2014, moving from a ‘complementary relationship’ to the ‘three togethers’—progressing, leading and inspiring together. The change implied a more equal relationship, focusing on cutting-edge sectors and value chains. While trade and investment have picked up, Latin America remains small in terms of Japan’s overall relationships with other countries around the world.
