Analysis: Tensions Persist in Sino-Japanese Relations Over Fukushima Contaminated Water Agreement

On Friday, September 20, Japan and Beijing reached an agreement on the Fukushima contaminated water issue, which includes international supervision. Japanese Prime Minister Fumio Kishida informed producers that both China and Japan have agreed to lift the seafood ban.

This agreement is seen as a sign of easing tensions between the two sides. However, according to Nikkei News, despite reaching a compromise on the Fukushima water problem, tensions between Japan and China still exist. Incidents such as maritime disputes, the stabbing death of a Japanese boy in Shenzhen, and Japanese corporate executives being indicted in China cast shadows on the thawing of Sino-Japanese diplomacy.

Since August 2023, Japan has been discharging wastewater into the ocean, with China using this issue as a diplomatic leverage, resulting in a complete ban on Japanese seafood imports. In July this year, Japanese exports of seafood to China decreased by 99%.

Kishida stated on Friday that the two countries have reached a “certain degree of mutual understanding,” and China will begin easing the import ban while joining the International Atomic Energy Agency framework to expand monitoring of the Fukushima Daiichi Nuclear Power Plant’s wastewater discharge.

“I expect Chinese imports (of seafood) to steadily recover,” he said.

In recent years, Sino-Japanese relations have remained tense. In 2020, Chinese leader Xi Jinping’s state visit to Japan was indefinitely postponed during the COVID-19 pandemic, raising concerns about China’s activities in the East China Sea and South China Sea. Kishida and Xi finally met in 2022, but the Fukushima water dispute subsequently became a new source of friction between China and Japan.

In May this year, Kishida and Chinese Premier Li Keqiang agreed to expedite negotiations on the Fukushima water issue to reach a resolution to lift the ban.

Nikkei reported that a diplomatic source noted that China views the seafood ban as a “strong card” in Sino-Japanese relations, and Beijing seeks a solution, which may reflect an intention not to further escalate bilateral tensions.

However, China and Japan still face many challenges in improving their relationship.

In 2023, an employee of the Japanese pharmaceutical company Astellas Pharma was detained in China, causing fear among Japanese businesses and dampening investment. A recent survey shows that supply chain risks, the implementation of China’s Anti-espionage Law, and escalating geopolitical tensions are decreasing Japanese companies’ willingness to expand operations in China. Meanwhile, China is facing an economic slowdown.

After the pandemic, Beijing has not yet resumed visa exemptions for Japanese tourists, and last month, Chinese military aircraft entered Japanese airspace for the first time; Japan’s Defense Ministry confirmed that a Chinese Liaoning aircraft carrier and two destroyers passed through areas near the Okinawa Prefecture’s Yaeyama and Ishigaki islands, prompting protests from the Japanese government.

In terms of trade, Japanese automakers face challenges in China; since last year, the United States has once again become Japan’s largest export market, pushing China back to the second position.

On Wednesday, a Japanese boy living in Shenzhen was stabbed on his way to school and succumbed to his injuries the next day. In June, a Japanese mother and son were attacked in Suzhou.

Under the leadership of Xi Jinping, Chinese nationalist sentiments are on the rise. According to BBC, a former Japanese diplomat stated that the recent attack in Shenzhen on Wednesday is a result of “long-term anti-Japanese education” in Chinese schools.

The attack in the technological hub of Shenzhen may make both sides nervous. Top Japanese companies based in China have warned that their employees may raise questions about setting up factories in China and what this means for economic relations between Japan and China.

A series of attacks has also prompted some Japanese companies to consider repatriating Japanese employees and their families.

Japan’s ruling party, the Liberal Democratic Party, is currently conducting leadership elections to determine the next prime minister, adding to the uncertainty surrounding the prospects of bilateral relations.