Japan wants the Group of Seven advanced economies to take a coordinated approach this year aimed at preventing the “economic coercion” that China has applied to some of its trading partners
. Nishimura said that “countermeasures” may be necessary to help countries and regions that are the target of mercantilist actions by authoritarian regimes. Identifying chokepoints that could be used by such regimes would also be helpful, he said.
Nonetheless, Nishimura indicated his intention to press ahead with such policies in remarks following a meeting with Commerce Secretary Gina Raimondo, at which Jiji Press said they discussed cooperation on chip equipment export restrictions. If Japan goes ahead with the plan to restrict local chip equipment companies including Tokyo Electron Ltd. and Nikon Corp. from selling their advanced products to Chinese customers, it would mark a major victory for the Biden administration in its increasingly aggressive campaign to prevent China from acquiring key foreign technologies.
“The free trade system ended up increasing the legitimacy of authoritarian regimes,” he said. “The illusion we embraced ended up amplifying the threat of hegemonic powers.”
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