ABSTRACT

A real watershed moment for Swedish–Japanese relations came with Japan’s attack on Pearl Harbor and the outbreak of the War in the Pacific. Almost immediately, neutral Sweden became the second largest Protecting Power of the Second World War, helping both Japan and the Allied countries to protect their diplomats and civilians who got caught on enemy territory. Sweden collaborated in organizing humanitarian relief and the exchange of enemy nationals between the belligerents. That changed the daily business of the Swedish mission in Tokyo radically. To cope with the additional workload, many Swedish businesspeople were hired into the mission’s service. Naturally, also trade relations were impacted heavily. Japan completely nationalized its mode of production for the war economy, which led to the amalgamation of trade and diplomacy. Sweden’s envoy, Widar Bagge, suddenly was not only his country’s highest diplomatic agent, but also became the chief representative of Swedish commerce. Only he had the necessary authority to negotiate prices with the Japanese Ministry of Finance. Japan’s nationalization drove, to a large extent, a quasi-nationalization of Swedish trade in the Japanese Empire. At the same time, Tokyo rediscovered Sweden as an outpost for spying activities, although that would not change its fate in the war.