Pacific

Australia
Australia-Japan relations have elements of tension as well as acknowledged mutuality of strong interests, beliefs and friendship. Memories of World War II linger among the older members of the Australian public, as does a contemporary fear of Japanese economic domination over countries, particularly Australia, although such fears have fallen off in response to Japan's economic stagnation in the 1990s. At the same time, government and business leaders see Japan as a vital export market and an essential element in Australia's strong future growth and prosperity in the Asia Pacific region.

Katsuya Okada (left) and Stephen Smith (right)

Australia is also a major source of food and raw materials for Japan. In 1990 Australia accounted for 5.3 percent of total Japanese imports, a share that held relatively steady in the late 1980s. Due to its ability to export raw materials, Australia had a trade surplus with Japan. Australia was the largest single supplier of coal, iron ore, wool, and sugar to Japan in 1990. Australia is also a supplier of uranium. Japanese investment by 1988 made Australia the single largest source of Japanese regional imports. The ban on American and Canadian beef recently made Australia the largest supplier of beef in Japan. Resource development projects in Australia attracted Japanese capital, as did trade protectionism by necessitating local production for the Australian market. Investments in Australia totaled US$8.1 billion in 1988, accounting for 4.4 percent of Japanese direct investment abroad. Australia and Japanese relations have been growing for some time and will most likely continue to do so in the future. There is some tension regarding the issue of whaling.

Tonga
Japan and the Kingdom of Tonga have maintained official diplomatic relations since July 1970. Japan is Tonga's leading donor in the field of technical aid. The Japanese government describes its relations with Tonga as "excellent", and states that "the Imperial family of Japan and the Royal family of Tonga have developed a cordial and personal relationship over the years".

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