China, Japan restore relations

CHINA and Japan have pledged to forge closer ties as both countries stood together at an “historic turning point”, signing a broad range of agreements including a $30 billion (R439bn) currency swop pact, amid rising trade tension with Washington.

Yesterday, Japanese Prime Minister Shinzo Abe and Chinese Premier Li Keqiang also agreed the two countries would work together to achieve denuclearisation on the Korean Peninsula.

The pacts were reached on Abe’s three-day visit to Beijing as the two neighbours looked to carve out new areas of co-operation and seek ways to promote trust, which has been fragile at times since diplomatic relations resumed in 1972.

“From competition to co-existence, Japan and China bilateral relations have entered a new phase. Hand in hand with Premier Li, I would like to advance our ties,” Abe said.

He was due to meet President Xi Jinping later yesterday in the first fullscale Sino-Japanese summit since 2011.

Japanese firms hope to see normalised ties with China so they can compete with US and European rivals, while Beijing expects Tokyo’s endorsement of its Belt and Road programme, an initiative Xi hopes will boost trade links with other countries.

Abe said Tokyo was determined to normalise relations with Pyongyang, but only if preconditions were met, including denuclearisation and the release of kidnapped Japanese citizens.

Li said: “The Chinese side is willing to work with the Japanese side to return to a normal track, and maintain the stable, sustained and healthy development of bilateral relations.”