Diplomacy Courtship, Japanese-Style

By Michael S. Serrill

Peace and harmony -- and money -- were the watchwords in Beijing last week when Asia's economic superpower, Japan, came courting. Japanese Prime Minister Noboru Takeshita spent six days in China trying to make amends for a recent history of bilateral irritations by passing out generous loans, grants and credits. His trip was judged a solid success.

In all, Takeshita handed out $6 billion for 42 Chinese development projects over the six-year period from 1990 through 1995, almost doubling his country's aid to the mainland regime. In return, the Chinese government awarded Japan an investment-protection agreement that gives Japanese investors the same tax status and other benefits enjoyed by Chinese companies.

Chinese government officials referred to the Takeshita trip as a "second normalization of relations" between the two countries. Takeshita labeled his visit a "new starting point" in Sino-Japanese affairs. This blossoming of good feeling ends, for the moment at least, a period of bickering between the Asian powers that dates back to 1986. The fractiousness was spurred by several issues, ranging from a new Japanese history text that glossed over Tokyo's atrocities in China before and during World War II to former Prime Minister Yasuhiro Nakasone's controversial 1987 visit to Tokyo's Yasukuni Shrine, a memorial for Japanese war dead. As recently as last April, Japanese Land Agency Director General Seisuke Okuno unleashed a flood of criticism from Beijing with his remark that Japan was "by no means the aggressor nation in World War II," a claim the Chinese labeled as "contrary to historical fact." If Okuno had not resigned, Takeshita's visit to China most likely would have been scrubbed at Beijing's insistence.

Takeshita, who took office just ten months ago, was credited with doing a highly professional job of soothing his Chinese hosts' tender feelings. In remarks at a banquet given by Premier Li Peng, the Japanese leader volunteered that he would "learn lessons" and "face history." In a speech at the ancient Chinese capital of Xian, Takeshita insisted that the revival of Japanese militarism was a myth. Said he: "We have stuck fast to our stated goal of never becoming a military superpower."

Takeshita's task was made easier by an abrupt turnaround in the balance of trade between the two countries, another source of irritation to Beijing. In 1985 a flood of Japanese consumer goods into China ballooned trade between the two nations to $19 billion, with Japan enjoying a $6 billion surplus. Since then China has cut back on imports and dramatically increased exports to Japan. For the first six months of 1988, trade was up to a record $10.3 billion, but now China enjoys a $530 million surplus.

While the Asian giants were plighting their renewed affections, top Soviet officials continued their efforts to repair the 25-year-old schism between Moscow and Beijing. Last week Soviet Deputy Foreign Minister Igor Rogachev spent five days in the Chinese capital trying to negotiate a compromise on the withdrawal of Vietnamese troops from Kampuchea, one of China's "three obstacles" to better relations with Moscow. But the talks ended without a settlement, dampening hopes for a 1988 Sino-Soviet summit meeting.

With reporting by Sandra Burton/Beijing and Barry Hillenbrand/Tokyo