1st Japan-China Third Country Market Cooperation Forum at the Great Hall of the People in Beijing on October 26

Distinguished guests from the Chinese and Japanese governments and business circles, ladies and gentlemen, I am Hiroyuki Ishige, Chairman and CEO of JETRO. It is a tremendous pleasure for us at JETRO, as secretariat, to hold the 1st Japan-China Third Country Market Cooperation Forum in this commemorative year of the 40th anniversary of the signing of the Treaty of Peace and Friendship as well as the 40th anniversary of China's economic reform.

In June 1982, JETRO established its first mainland China office in Beijing.

That was four years after the beginning of China's economic reform.

At that time, there was quite a deficiency of information on the Chinese economy and business.

Its dissemination was the highest expectation of JETRO from Japanese companies.

Over the past 40 years, particularly since China’s 2001 admission to the WTO, the market has continued to open and economic relations between our countries have rapidly grown stronger.

After these 40 years of friendship, China and Japan are currently entering a new stage in which we are making use of our "development experience" gained in the process of globalization in order to help third countries develop.

This forum is a venue for us to proactively disseminate information on the new cooperative relationship between China and Japan toward the rest of the world.

Having been granted the honor of making this announcement at such a revered location as this, I must, before continuing, express my deepest gratitude.

With that, I would like to take this opportunity to explain how we can contribute in terms of cooperation in the markets of third countries.

This year, JETRO celebrated the milestone 60th anniversary since its establishment.

Over this period, we have dedicated ourselves to collecting information necessary for companies to do business overseas.

And, in addition to ensuring this information reaches as many companies as possible, we have also been contributing to matching Japanese and overseas companies in order to realize concrete results.

That is to say, research, dissemination of information and business matching are our main functions.I would like to express these in four-character idioms of China.

For the first function, "research," which means "pursuing truth based on facts," we chose the phrase "実事求是" (Shi Shi Qiu Shi).

The second, "dissemination of information," can be expressed with "推而広之" (Tui Er Guang Zhi), which means widely spreading information and illuminating the public.

And the third, "matching," I think can be perfectly expressed in the idiom "牽線搭橋" (Qian Xian Da Qiao), which means connecting relevant people.
 

I would first like to introduce part of our activities regarding the first function, " Shi Shi Qiu Shi."

This is the "White Paper on the Chinese Economy and Japanese Companies" which frankly illustrates challenges Japanese companies face in doing business in China.

This is a proposal published annually by the Japanese Chamber of Commerce and Industry in China, or the CJCCI, with the aim of making the Chinese investment environment more attractive.

I heard that Premier Li Keqiang of the State Council of the People's Republic of China examined the publication when he received a courtesy call by a Japanese economic organization this September.

I have also made sure to present this white paper to secretaries and directors of regional governments on every occasion I met them.

The reason is that we would like to encourage them to improve the investment environment by incorporating what Japanese companies active in China are really thinking.

As soon as they received it, these leaders would look over it, ask questions of their subordinates and then give them instructions to conduct reforms.

Frankly speaking, it is very effective.  

We will continue to pursue truth through research.

The second function I introduced is " Tui Er Guang Zhi."

This refers to spreading information and illuminating the public.

As a government-affiliated organization, we widely disseminate objective and reliable information.

Until now, we have worked together with various partners, such as France and India, to widely deliver information regarding third country market cooperation.

We will also do the same regarding the feasibility of business cooperation between China and Japan through seminars and workshops.

At the beginning of next year, we are going to hold the Japan-China-Thai Cooperation Workshop in Bangkok under the themes of "smart cities" and "sophistication of industries" by inviting Japanese and Chinese companies active locally as well as ranking officials of the Thai government.  

When it comes to business cooperation between China and Japan in third countries, we would like to support companies from both countries by prioritizing international standards and considering benefits for third countries.

The third function is " Qian Xian Da Qiao."

This phrase suggest binding a man and a woman together by a red string of fate.

While we will hold a matching event for Chinese and Japanese companies on the occasion of the international trade fair in Shanghai next month, we will continue devoting efforts to binding them by a string of fate through such events in third countries as well.

These are three functions of our organization which can contribute to promoting cooperation in third country markets.

We possess eight offices in China, which are, in total, staffed by approximately 90 Chinese.

Among them are several capable of interpreting for me when meeting with ranking officials of local governments.  

We also have staff members like the following.Ms. Wu Dongmei at JETRO Dalian is a specialist in the field of nursing care in China who has had work published in a Japanese journal.

Mr. Jin Jinghao at JETRO Beijing, which possesses a network of more than 4,000 people including from the Chinese government and the boards of companies, is a major contributor to projects for startups.

Ms. Song Hongmei, also at JETRO Beijing, has been dedicatedly working for us since graduating from university.

There are many more examples of Chinese staff members who work enthusiastically while taking on great responsibility in our organization.

I believe they are the true power bolstering our workplace. A treasure not only for our organization but also for both our countries.

They are a part of our network of human resources spanning 74 global offices, including in ASEAN, Southwest and Central Asia, the Middle East and Africa.

Through this network, we will commit efforts to understand the needs of Chinese and Japanese companies active in third countries and seek out cooperative projects.

However, the environment surrounding us continues to change dramatically.

Toward attaining ever greater heights, we have to work as one with the government.

A free and fair business environment is imperative for companies to do business in a state of ease. And this requires the following:
1. The formation of rules to realize and maintain such an environment, and
2. The steadfast implementation of those rules.

The global trade and investment environment has gone through an extreme transformation over the last year.

A deep-rooted protectionism, hitherto latent, is coming to the surface.

To a free and fair environment for trade and investment, this represents a massive crisis. It is the biggest crisis since the establishment of the WTO.

At the same time, however, new trade rules are being steadily formed within Asia through mega-FTAs such as the TPP-11, RCEP and the Japan-EU FTA.

A look back at the protectionism, as well as trade friction, experienced by Japan in the 80s and 90s, allows us to understand the importance of international rules.

During that time, Japan had committed itself to a bold liberalization and domestic reform in accordance with the multilateral trade system supported by the framework of GATT and the WTO.

I hope that China, as the world's second largest economic power, will play a contributing role in improving the free and fair environment for business by pursuing domestic reform and taking a leading role in international rule-making.

This responsibility, and great expectations, are placed on China.

I believe that this would be of great assistance in further developing China’s economy and improving the quality of life of its citizens.

Today, we concluded an MOU regarding cooperation in third country markets with the CCPIT.
By fully demonstrating the three functions of JETRO I just introduced, we will work hand-in-hand with the CCPIT and all relevant parties from both countries so that the development achieved by China and Japan may spread throughout the world.

Here we begin a new Japan-China relationship.
I would like to finish by reiterating the commitment of myself and JETRO to working together with the over 1,000 people in attendance today from Chinese and Japanese political and industrial circles.

Thank you.