This op-ed by Kiyoteru Tsutsui and Charles Crabtree
was originally published in The Hill.

President-elect Joe Biden had a pleasant surprise for Japanese Prime Minister Yoshihide Suga during their first phone conversation after the U.S. presidential election. In what was expected to be a cordial congratulatory call without policy discussion, Biden explicitly stated America’s commitment to protect the Senkaku Islands, citing Article 5 of the U.S.-Japan Security Treaty.

At the time, Americans were preoccupied with the political aftermath of the still-contested election, but Japanese observers paid close attention to the first contact between the two new leaders, especially since the first encounter between their predecessors shaped U.S.-Japan relations for the past several years.

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Four years ago, Prime Minister Shinzō Abe became the first foreign leader to meet with President Trump, soon after his election victory in November 2016. This fact was never lost on Trump; throughout his presidential administration, the relationship between the two men was strong, which benefited the alliance as the two countries worked to create a united front against China’s increasing international aggression.

In 2016, policymakers on the Japanese side were concerned about the U.S. conceding much of its interest in the Pacific to China, as part of “a grand bargain” that would diminish U.S. commitment to Japan and other allies in the region. Trump’s successful campaign made this scenario less likely, but the Japanese understood that their country relies more on American support in constraining China’s expansive regional ambitions than vice versa. 

Fast-forward to 2020, and we see a new political reality in the bilateral relationship — the U.S. needs Japan as much as Japan needs the U.S. in facing the challenges of China’s rise to a global superpower. The fact that Biden mentioned his commitment to Senkakus — largely unsolicited, although the Japanese side allegedly dropped some hints — suggests an American desire to shore up support from Japan.

With China now viewed as a shared rival — if not outright enemy — how will the two leaders shape regional dynamics in coming years? On security, tensions around the Senkakus almost certainly will rise, and a credible threat of U.S. military action is likely the most effective deterrent of China’s provocations that could escalate the conflict over territorial claims there. Biden surely will work hard to rebuild the trust of other allies in the region, with the hope of containing China through multilateral alliances. South Korea is a particularly important partner in this effort, and Suga would be wise to rehabilitate Japan-ROK relations that have been marred by complicated historical issues. The U.S. can help mediate the process.

Similarly, on economy and trade, multilateral frameworks such as the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) and the Regional Comprehensive Economic Partnership (RCEP) will become more important, and Japan will continue to encourage the U.S. to participate in these agreements. However, this might not be realistic given the domestic political environment in the U.S. The best-case scenario in the short term is probably the U.S. valuing the World Trade Organization (WTO) again. In this vein, the U.S. regaining the trust and respect of Europe is important, because China continues to lure European countries with its attractive economic and trade packages. 

On environmentalism, both Suga and Biden have declared that their countries will work toward zero emissions by 2050. On this issue, China’s cooperation is critical. While China also has committed to working toward zero -emissions by 2060, it likely will use this issue to gain other concessions from the U.S. Biden may face a difficult political decision at some point on whether to a) compromise on environmentalism and incur the wrath of the left wing of the Democratic party or b) sacrifice U.S. national interest in other areas for an agreement on environmentalism and risk losing support from independents and moderate Republicans. Japan would worry about the latter scenario.

Finally, Biden is expected to be more involved than Trump regarding China’s human rights issues. He’s likely to call out situations in Xinjiang and Hong Kong, among others. Japan will join the chorus, and mix in the North Korean abduction issue, which largely has been silenced internationally as a consequence of Trump’s bromance with Kim Jong Un. China will counter these criticisms by pointing to racism in the U.S. as evidence of American hypocrisy. This might embarrass the U.S. but can be a net positive, if China’s naming and shaming leads to more efforts by the U.S. government to address racism. This dynamic is reminiscent of the Cold War era, when the Soviet Union countered America’s criticisms of civil and political rights violations by pointing to racism in the U.S., facilitating advancements during the civil rights movement.

Overall, on hard issues such as security and trade, a drastic change is unlikely; rehabilitating relations with allies, and revaluing multilateral frameworks, will be the most likely changes under a Biden administration. On more values-oriented issues such as environmentalism and human rights, domestic politics in the U.S. plays a significant role in shaping Biden foreign policy. Assuming that Democrats don’t win both of the Senate seats in Georgia’s runoff elections, Biden will face a Republican Senate that can block appointments for key cabinet positions and some of his foreign policy priorities.

For Japan, Biden’s remark about the Senkaku Islands was an excellent start. With such a commitment secured, Suga can play the diplomatic game from a position of strength and mediate between the U.S. and China. This is a role that Japan can thrive in, as its shrewd management of relationships with both the U.S. and China in the past few years indicates. Japan’s success in playing this role could define international relations in the Asia-Pacific for the next decade or two.

Read at  The Berlin Pulse

On November 10th, the APARC China Program convened an expert panel focused on the Decision of the fifth plenary session of the 19th Central Committee of the Chinese Communist Party, which took place on October 26-29.  The Fifth Plenum Decision outlines not only China’s 14th Five Year Plan (2021-2025), but also Beijing’s economic blueprint through 2035 and the “goal of fully building a modern socialist country."  The CCP leadership recently articulated its “dual circulation” policy – viz., a drastic reduction in China’s dependence on U.S. technologies and increased reliance on domestic consumption while maintaining exports and attracting foreign direct investments.  At this critical juncture when the coronavirus pandemic has shrunk global trade and tensions between the U.S. and China continue to intensify, panel members were asked to examine what the Fifth Plenum Decision might signify.  Does it mark a significant shift in Beijing’s strategic economic orientation?  What are the short- and long-term implications of the Decision for China’s economic development strategy, U.S.-China relations, as well as the world’s economic and technology ecosystems?  

Guests heard from experts James Green, Damien Ma, and Xiaomeng Lu.  James Green, Senior Research Fellow at Georgeton University's Initiative for U.S.-China Dialogue on Global Issues, has worked for over two decades on U.S.-Asia relations.  He has held several positions in government, including Minister Counselor for Trade Affairs at the U.S. Embassy in Beijing and China Director of the White House’s National Security Council.  Damien Ma is the Director and co-founder of MacroPolo, the Think Tank of the Paulson Institute, which focuses on China's economics, technology, and politics.  He is also adjunct faculty at the Kellogg School of Management at Northwestern University.  Finally, Xiaomeng Lu is a senior analyst in Eurasia Group's geo-technology practice.  She focuses on many of the most important issues related to China right now, including cybersecurity, data protection, artificial intelligence, internet governance, 5G, and trade.  The panel concluded with a discussion of audience questions. Watch:

The China Program at Shorenstein APARC had the pleasure of hosting Professor Min Ye of Boston University’s Pardee School of Global Studies on October 14, 2020. Her program, moderated by China Program Director Jean Oi, focused on the much-discussed but poorly-understood Belt and Road Initiative (BRI), announced in 2013 by President Xi Jinping. While it is not widely known exactly what the BRI is or what Beijing hopes it will accomplish, it has been described as something of a modern silk road, connecting China to dozens of other countries through trade and extensive infrastructure projects. Based on research conducted for her recently published book, The Belt Road and Beyond: State-Mobilized Globalization in China: 1998-2018, Professor Ye enlightened the audience on a surprisingly critical element of this global program: the domestic component.

While Ye began her research with the assumption that many hold about the BRI—that it is primarily a global, internationally-focused initiative—as she continued her research, she found that many, if not most, BRI projects are either entirely domestic or have strong ties to domestic programs. To this end, she posed three questions during her program: Why did Chinese leadership launch the BRI in 2013? How did the Chinese state and businesses implement the BRI? and, What are the internal and external outcomes of the BRI?

To answer these questions, Ye explained the theoretical frameworks she used to understand both the BRI and China's "state-mobilized globalization." Firstly, Ye's "Chinese-State Framework" breaks the Chinese governmental system into three parts: Party Leadership, State Bureaucracy, and Subnational Actors. Each of these elements affect the others, as well as policy surrounding the BRI. However, this division also creates fragmentation in authority and ideology. Secondly, her “State-Mobilized Globalization” framework explains the process surrounding Chinese national strategy. Ye posits that national strategies are generally prompted by crises faced at lower levels of government, particularly when a lack of efficiency or communication is causing “state paralysis.” Once the strategy is announced in order to coordinate efforts and solve the crisis, it enters a feedback loop in which plans are adjusted and changed according to ground-level conditions. These frameworks informed the empirical studies used to answer Ye’s research questions.

The drivers of the BRI, argues Ye, were threefold: strategic, diplomatic, and economic. It was believed by interested parties within China that such an international initiative could ease tensions related to the United States and maritime Asia, as well as generally improve diplomatic relations for the country. China’s industries were also facing problems related to overcapacity, and economic and financial groups wished to use their excess capital to invest abroad. Actors from several different levels in China, including national agencies, local governments, and private entrepreneurs, were involved in executing BRI projects intended to alleviate these tensions. Different cities saw different sides of this implementation: Chongqing, one of China’s largest cities, is heavily dominated by state capital, with its main BRI actors being State-Owned Enterprises (SOEs). Wenzhou, a port city in Zhejiang province, is by contrast dominated by private entrepreneurs.

With diverse implementation comes diverse outcomes. Ye argues that some BRI projects have been helpful in reforming cities’ structural economy, while others have helped upgrade industry. The BRI has managed to alleviate some of the tensions listed above, but at the same time, it has created its own problems. While there has been a massive internal mobilization effort for BRI projects, there exists a disconnect between the domestic situation and demands for transparency from outside actors.

Ye concluded her talk by tying her research to current developments related to COVID-19. While one might imagine that a global pandemic would be a significant inhibitor to an international trade and infrastructure project, Ye finds just the opposite. Because the BRI is, in fact, quite domestically focused, many BRI projects are continuing at a rapid pace, albeit with digital adjustments. Some projects, such as the New Infrastructure Plan, were actually fast-tracked in the wake of the pandemic outbreak. Ye predicts that as COVID-19 restrictions ease and the world returns to “normal,” these domestic and digital elements will be combined with the BRI’s original projects.

An audio recording of this program is available at the link below, and a video recording is available upon request. Please contact Callista Wells, China Program Coordinator at cvwells@stanford.edu with any inquiries.