Australia-Japan: Friendship and Prosperity by CommStrat

AUSTRALIA FRIENDSHIP AND PROSPERITY

–JAPAN

Focus Publishing Interactive ABN 55 003 600 360 Level 3, 100 William Street, Woolloomooloo, NSW 2011 Telephone: 61 2 9336 7000 Fax: 61 2 9336 7001 Email: focus@focus.com.au Website: www.focus.com.au Editorial Project Manager: Diane Jardine Manuscript Editor: Linda Vergnani Designer: Simon Rattray Production Manager: Karen Young, Kita George Client Services Manager: Kita George Picture Research: Diane Jardine Photo Library Research: Simon Rattray Translation: Lexxicorp CEO: Jaqui Lane Managing Director: Gordon Hinds Editorial Director: Peter Hock Copyright © 2007 Focus Publishing This book is copyright. Apart from any fair dealing for the purposes of private study, research, criticism or review, as permitted under the Copyright Act, no part may be reproduced by any process without written permission. Enquiries should be addressed to the publisher. While all reasonable attempts at factual accuracy have been made, Focus Publishing accepts no responsibility for any errors contained in this book. ISBN 1 921156 07 4 Focus Publishing is Australia’s leading corporate and custom book publisher, producing high-quality business and brand books, DVDs, corporate histories, and specific marketing, event, promotional and anniversary books. Focus creates prestigious publications that are used by leading enterprises for strategic marketing, branding and customer loyalty programs. In addition, Focus provides a range of archiving, oral history and knowledge management services. For more information about Focus Publishing, visit www.focus.com.au All dollars are Australian dollars unless stated otherwise.

AUSTRALIA FRIENDSHIP AND PROSPERITY

–JAPAN

CONTENTS

Foreword

PAGE 06

Introduction

PAGE 08

Roll of honour

PAGE 10

Advisory group

PAGE 11

CHAPTER ONE

Building a partnership

First steps . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15 Emerging tensions . . . . . . . . . . . . . . . . . . . . . . . . . 18 The cloud of war . . . . . . . . . . . . . . . . . . . . . . . . . 20 Setting the foundations . . . . . . . . . . . . . . . . . . . . 22 A strong future . . . . . . . . . . . . . . . . . . . . . . . . . . . 24

Client directory

PAGE 158

Picture credits

PAGE 164

About the writers

PAGE 165

Index

PAGE 166

CHAPTER FOUR

Japanese business in Australia

Automotive . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 94 Property and financial services . . . . . . . . . . . . . . 98 Agriculture, minerals and energy . . . . . . . . . . . . 99 Technology . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 100 Doing business in Australia . . . . . . . . . . . . . . . . 106

03 CHAPTER THREE

CHAPTER TWO

Democratic partners

Complementary interests . . . . . . . . . . . . . . . . . . 34 Economic cooperation . . . . . . . . . . . . . . . . . . . . . 35 Trade ties . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 36 Personal ties . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39 Regional diplomacy . . . . . . . . . . . . . . . . . . . . . . 39 New directions . . . . . . . . . . . . . . . . . . . . . . . . . . . 41

Australian business in Japan

Financial services . . . . . . . . . . . . . . . . . . . . . . . . . 56 Services . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 56 Agriculture, minerals and energy . . . . . . . . . . . . 59 Value-added goods . . . . . . . . . . . . . . . . . . . . . . . 59 Natural produce . . . . . . . . . . . . . . . . . . . . . . . . . . 61 Doing business in Japan . . . . . . . . . . . . . . . . . . . 78

The knowledge economy 110

Culture and leisure

Education . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 114 Science, research and development . . . . . . . . . 120 Health and medical technology . . . . . . . . . . . 123 Clean and green . . . . . . . . . . . . . . . . . . . . . . . . . 125 Energy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 127 The oceans . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 129 The future . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 131

Entertainment . . . . . . . . . . . . . . . . . . . . . . . . . . 139 Design . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 142 Otaku culture . . . . . . . . . . . . . . . . . . . . . . . . . . . 145 Food and wine . . . . . . . . . . . . . . . . . . . . . . . . . . 147 Tourism . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 150 Sport . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 152 Friendship and prosperity . . . . . . . . . . . . . . . . . 153

CHAPTER FIVE

CHAPTER SIX

134

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Foreword WITH 2006 MARKING THE 30TH ANNIVERSARY of the signing of the 1976 Basic Treaty of Friendship and Cooperation between Australia and Japan, and 2007 marking the 50th anniversary of the signing of the 1957 Commerce Agreement between our two countries, it is timely to reflect on the extraordinary achievements of the past five decades and to consider the future development of the bilateral relationship. This special commemorative publication, Australia–Japan: friendship and prosperity, celebrates both these important milestones and provides a comprehensive overview of one of the most vital and dynamic bilateral relationships in the world. It demonstrates how Australia and Japan continue to forge a partnership of the highest quality, underpinned by shared values and a broad alignment of strategic, political and economic interests. Japan has been Australia’s largest export market for forty years and it is our single most important market for energy and minerals products, as well as for our agricultural exports. Australian resources in turn have played a significant role in Japan’s economic achievements of the last fifty years. The economic relationship continues to broaden and deepen, and has evolved to be of great mutual benefit in many fields: but we must never take these accomplishments for granted. Our generation now needs to make its contribution to enhance and develop the relationship. In doing so, it needs to show the same foresight as those who signed the Commerce Agreement in 1957. With that level of ambition in mind, the next natural step would be to launch negotiations on a bilateral Free Trade Agreement in 2007. An Australia–Japan Free Trade Agreement is guaranteed to generate enormous economic gains for both sides and would be an important step along the way towards building an East Asian community. This book is a proud record of our shared achievements to date, especially those of some of the companies which have made the economic relationship what it is today. It also provides many insights into the potential for further strengthening the ties between our two countries.

The Hon. Warren Truss MP Patron Minister for Trade

FOREWORD

AUSTRALIA–JAPAN

Introduction I AM VERY PLEASED TO BE ASSOCIATED WITH the publication of Australia-Japan: friendship and prosperity. It is a great example of the commercial and cultural linkages that exist between our two countries, highlighting, as it does, the people, companies, organisations and government agencies who are at the forefront of this relationship. I would particularly like to thank the project sponsors, who have helped make the publication possible. While the early years of the relationship between Australia and Japan were dominated by commercial and trade issues, it is clear that today that has evolved to include political engagement in the interests of our region, educational exchanges, scientific cooperation and a merging of cultural interests. The timing of this publication celebrates the Australia–Japan Year of Exchange, which was held in 2006 to commemorate the 30th anniversary of the signing of the Basic Treaty of Friendship and Cooperation, the 30th anniversary of the establishment of the Australia-Japan Foundation, and 110 years since the establishment of the first Japanese consulate in Australia. In addition, 2007 marks the 50th anniversary of the signing of the 1957 Commerce Agreement between Australia and Japan. With so many notable milestones, the future is indeed one of friendship and prosperity.

Jerry Ellis Co-chair Advisory Group

INTRODUCTION

AUSTRALIA–JAPAN: FRIENDSHIP AND PROSPERITY has been developed to commemorate the special bilateral relationship between Australia and Japan. Our countries enjoy a significant and historical tradition of cooperation and exchange. This has grown from a complementary trading partnership to a mature and multidimensional commercial and cultural relationship. One notable feature of this relationship is the vast store of goodwill at all levels of society, from the number of Japanese who visit Australia each year for holidays or study, to the significant number of Australians studying Japanese language—the highest proportion of the population in the world. As the strongest industrialised democracies in the Asia-Pacific, we work together to promote economic and social stability in our region. We have a shared commitment to the multilateral trading system and to an active role in building institutions that support democracy in regional economies. While our partnership seeks to enhance exchanges on political and security issues, strengthen economic ties and intensify cooperation, it also aims to share experiences and knowledge in cultural, educational, scientific and technological fields. Japan values its close ties with Australia and I am proud to be involved in a publication that promotes the relationship between our two countries even further.

Minoru Murofushi Co-chair Advisory Group

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Roll of honour Lead BP

Department of Foreign Affairs and Trade

Chevron Australia Pty Ltd

Woodside Energy Ltd

Major Fujitsu Australia Limited

Queensland Government

Government of Western Australia

Telstra

Invest Australia

Wesfarmers Limited

Murray Goulburn Co-operative Co Limited

Key Australia and New Zealand Banking Group Limited (ANZ)

NEC

Australian Postal Corporation (Australia Post)

North West Shelf Australia LNG

AWB

SunRice

Deloitte

Toshiba

Hardy Wine Company

Tourism Australia

KPMG

ADVISORY GROUP

Advisory group Mr Jerry Ellis

Mr Minoru Murofushi

Immediate Past Chairman, Australia–Japan Foundation

Chairman, ITOCHU Corporation

Mr Ross Adler AO Chairman, Austrade Mr John Banner Former President, North West Shelf Australia LNG Pty Ltd Mrs Roslynne Bracher Executive Director, Paspaley Pearls Group of Companies Dr Ashton Calvert AC Former Secretary, Department of Foreign Affairs and Trade Chair, Australia-Japan Year of Exchange Executive Committee Mr Terrence Campbell AO Chairman and Chief Executive Officer, Goldman Sachs JBWere Mr Peter Cleary President, North West Shelf Australia LNG Pty Ltd Laurie Cox AO Executive Director, Macquarie Bank Ltd Mr Garry Draffin International General Manager, Invest Australia

Mr Paul Gallagher Executive Director, Australian Japan Business Co-operation Committee

Mr Hugh Morgan AC President, Australia-Japan Business Co-operation Committee

Mr John Haddad AO Director, Grand Hotel Group

Dr Helen Nugent AO Non Executive Director, Macquarie Bank

Mr Mark Hollands Vice President, Asia-Pacific Leader, Research Business Development Gartner Australasia Pty Ltd

Dr Geoff Raby Deputy Secretary, Department of Foreign Affairs and Trade

Ms Margaret Jackson AC Chairman, Qantas Airways Limited Ms Jaqui Lane Chief Executive Officer, Focus Publishing Interactive Mr Chris Lynch Executive Director, BHP Billiton Group President, Carbon Steel Materials Mr Jock McGregor President, Australia-Japan Society of Victoria Director, Australia-Japan Foundation Special Trade Envoy North Asia, Victorian Government HE Mr Murray McLean OAM Ambassador, Australian Embassy, Japan

Mr Chris Renwick Former Chief Executive Officer, Rio Tinto Mr David Russell RFD QC Immediate Past President, National Federation of Australia-Japan Societies HE Mr Hideaki Ueda Ambassador of Japan to Australia, Embassy of Japan Mr Yoshiyuki Ueno Director, The Japan Foundation, Sydney Mr Ian Williams Partner—Corporate Advisory Group Blake Dawson Waldron

Building a partnership BY DAVID WALTON

AUSTRALIA–JAPAN

CHAPTER ONE

BUILDING A PARTNERSHIP

Building a partnership Bilaterial ties between Australia and Japan have developed from an original focus on the mutual benefits of trade to a mature and multi-dimensional partnership. RIGHT: The Australian pavilion and performers at the 2005 Aichi World Expo in Japan. The pavilion received more than three and a half million visitors.

LEFT: Australian Prime Minister John Howard and former Japanese Prime Minister Junichiro Koizumi shake hands at the East Asia summit in Kuala Lumpur, Malaysia in December 2005.

THE PARTNERSHIP BETWEEN Australia and Japan is unique. Current relations are based on complementarities in trade that are at the heart of a broad and strong bilateral relationship. Over the past three decades, the shared values of democracy and free trade, close ties to the United States and extensive cooperation on a wide range of regional issues in regional and global forums has led to a myriad of close networks and a depth of common interests between the two countries that would have been inconceivable in 1945. A powerful symbol of the evolving partnership was the inaugural security talks between Japanese Minister of Foreign Affairs Taro Aso, Australian Minister for Foreign Affairs Alexander Downer and United States Secretary of State Condoleezza Rice in Sydney in March 2006. Indeed, from 2003 to 2006, Australian soldiers provided security for Japanese Self Defence Force engineers based in Al-Muthanna Province in Iraq. A notable feature of the bilateral relationship has been the role individuals have played in promoting closer ties. Many were willing to pursue this goal despite formidable obstacles. The depth in bilateral relations is, in part, due to the vast store of goodwill at all levels of society. At the grassroots level this is evident in the

sheer number of Japanese tourists visiting Australia— approximately 685,000 per year—and the fact that Australia has the highest proportions of its population studying the Japanese language in the world. A significant number of Australians, moreover, have spent time in Japan. In both countries connections have been established through sister-city arrangements and friendship societies that have promoted exchange programs, home stays and holidays. At the 2005 Aichi World Expo, the Australian pavilion had more than three and a half million visitors and was listed as one of the top five pavilions (out of 121) by the Japanese media. The 2006 and 2007 special anniversaries—the thirtieth anniversary of the Basic Treaty of Friendship and Co-operation between Australia and Japan (also known as the Nippon–Australia Relations Agreement or the NARA Treaty) and the fiftieth anniversary of the Agreement on Commerce—are ideal opportunities to reflect on a rich and colourful history that spans over 100 years.

First steps Early contacts between Australia and Japan were influenced by mid-nineteenth century attitudes and values. Japan was a closed feudal society, forced open

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by encroaching American and European powers in the 1850s. At this time Australia consisted of several colonies that were part of the British Empire. Colonialists viewed themselves as ’empire men’ and ’empire women’. The earliest recorded Australian contact in Japan took place in April 1831. Captain Bourn Russell, in command of a damaged Sydney-based whaling ship, Lady Rowena, sought refuge in Hamanaka Bay, Hokkaido. Russell’s expectations that the local inhabitants would assist him were quickly dispelled. Instead he encountered hostility and used force to obtain necessary supplies. In the skirmish that ensued, Russell took a local inhabitant captive and instructed him to write a letter to the Japanese Emperor, demanding that Japan be opened for commercial contact and that it should be willing to offer assistance to visiting ships. For the Japanese, the arrival of Lady Rowena and her crew of strange looking and aggressive foreigners was a disturbing experience. Japanese accounts describe how 128 soldiers were dispatched from Matsumae, in Southern Hokkaido, to expel the barbarians, but when they arrived Lady Rowena had long since departed. Although it is not known if the letter ever reached the imperial court, the exchange between Russell and local Japanese at Hamanaka Bay highlighted the cultural divide between a still closed and feudal Japanese society and European perspectives on commerce and international law. Once Japan was open to trade in 1857, adventurers from the Australian colonies actively pursued possibilities in Japan. One of the most influential individuals was Alexander Marks, a Melbourne trader, who travelled to Japan in 1860. A successful businessman with a reasonable grasp of the Japanese language, Marks was committed to exploring commercial opportunities in the Asian region with a particular focus on Japan. In 1879, when early diplomatic relations began between Japan and the colonies, Marks became the first Japanese consul in Australia and devoted the next 23 years to fostering better bilateral relations. Another fascinating individual was Henry Black. Born in Adelaide in 1858, Black’s family moved to Japan when he was five. His father, John Black, played

a substantial role in establishing the modern newspaper industry in Japan. Henry was raised in Japan and was so fluent in Japanese that he became an exponent of rakugoka—professional storytelling. Achieving wide popularity for his performances, Henry Black married Aka Ishii in 1894 and was granted Japanese citizenship the same year. He lived in Japan— performing throughout the country until his death in 1923—and became one of the first foreigners to gain national recognition. The first recorded arrival by a Japanese person to the Australian colonies was Rikinosuke Sakagawa who arrived in Queensland in 1871. An acrobat, Sakagawa became one of a few Japanese who remained in Australia after 1901. He married, was naturalised and thereby gained resident status and was able to purchase land. Sakagawa spent the remainder of his life managing circuses that performed throughout Queensland. An influential and remarkable figure in the establishment of commercial ties was Fusajiro Kanematsu. In 1887 he travelled to Australia to explore trade opportunities. Impressed by the quality of Australian wool, he founded the F Kanematsu

ABOVE: The plaque commemorating the Kanematsu Memorial Institute of Pathology at Sydney Hospital. The funds for the institute were donated by The Kanematsu Trading Company as a memorial to its founder and his close ties with Australia.

BELOW: Wool sample floor, Sydney (c.1910–62). The purchase of wool by the F Kanematsu Japan— Australia Trading Company was an enormous boon for the Australian wool industry.

CHAPTER ONE

ABOVE: Pearl divers preparing to dive, Broome, Western Australia, c.1900. Japanese pearl divers were essential to Australia’s pearling industry at this time.

Japan–Australia Trading Company the following year. His trading company became a major player in the establishment of the wool trade and was the first business to trade between the two countries on a regular basis. The purchase of wool by the trading company was an enormous boon for the Australian wool industry and enabled the Japanese textile industry to develop rapidly. On his death in 1913, Kanematsu bequeathed the company to his employees. Notably the company donated three public institutions as memorials to its founder. One was the Kanematsu Institute of Commercial Research in Kobe, the second was the Kanematsu Great Lecture Hall at Hitotsubashi University, Tokyo and the third was the Kanematsu Memorial Institute of Pathology at Sydney Hospital.

BUILDING A PARTNERSHIP

Most early Japanese arrivals, however, were men willing to work long hours in Australia as labourers on a one- or-two year contract. In particular a large number of Japanese were involved in the pearling industry as divers. Willing to make as many as fifty dives per day (British divers were used to making only five dives per day), Japanese divers had to contend with the threat of shark attacks, lung infections and the potentially crippling effects of the bends. At the turn of the twentieth century, almost 4000 Japanese were involved in the industry, predominantly at Thursday Island off the coast of Queensland and at Broome in Western Australia—then the largest pearling centre in the world. The divers, mainly from the locale of Taiji, did their hazardous task wearing huge bronze helmets, vulcanised canvas suits and lead-weighted boots.

AUSTRALIA–JAPAN

LEFT: Japanese headstones in the Japanese cemetery, Broome, Western Australia commemorate those who played a part in Australia’s early pearling industry.

Japan’s first consulate in Australia was established in Townsville in Queensland in 1896 to support these workers and their counterparts in the sugar industry.

Emerging tensions The formation of the Commonwealth of Australia on 1 January 1901 and the decision to impose restrictions on entry to Australia through the Immigration Restriction Act (commonly referred to as the White Australia Policy) ensured the gradual removal of most Japanese in the early 1900s. An exception was made, however, for Japanese pearl divers, who were so essential to Australia’s pearling industry that they remained in Broome until the middle of World War II when they were interned. Today the Japanese cemetery in Broome has over 900 graves, many containing the remains of the Japanese pioneers of the Australian pearling industry. Even though an Anglo–Japan alliance of 1902 meant that Australia and Japan were de facto allies, Australians remained suspicious of Japanese motives in the region and by the early 1920s there was unease

within Australia about Japan’s growing military strength in the Pacific. From the Japanese perspective, the immigration restrictions placed on non-whites were the outstanding issue in bilateral relations. Japanese government officials and prominent Japanese traders unsuccessfully lobbied Australian officials to remove this policy on the principle that Japanese people should be treated on equal terms with Europeans. Despite these tensions, connections between the two countries were broadening. The Japanese battle cruiser Ibuki had assisted in the transportation of Australian soldiers to World War I battlefields in the Middle East in September 1914. After the Great Kanto earthquake of 1923, there was considerable sympathy among Australians for quake victims, and Australia sent food aid. Perhaps most importantly, bilateral trade flourished. Japan, by 1935, was Australia’s number two trading partner in wool and wheat. Key individuals were integral to the fostering of closer ties in the inter-war period. In 1934, the then Minister for External Affairs, Sir John Latham, led a goodwill mission to Japan. He urged the government to upgrade diplomatic ties and put

CHAPTER ONE

BELOW: Japanese geisha c. 1885. Japan’s textile industry was growing rapidly in this period— fed by Australia’s wool industry—and remained the largest industry in Japan until World War II.

forward a recommendation in 1937 for a Pacific pact for countries in the Pacific Rim (including the United States) to resolve political and security tensions. In a far-sighted paper, written in 1938, Sir John Crawford (then a young economic advisor to the Rural Bank of New South Wales in Sydney and later to negotiate the normalisation of relations with Japan after the war) set out his vision of Australia and Japan enjoying a close economic relationship and actively pursued this goal in the postwar period. Other Australians, who were to become prominent in the future, such as Peter Russo (the broadcaster) and Bill

BUILDING A PARTNERSHIP

Jamieson (the diplomat), who was then at Hitotsubashi University, and Sir Ian Clunies Ross, (scientist and one of the founders of CSIRO) at Tokyo University, shared this view of Japan as a natural partner for Australia. These men were pioneers who embraced Japanese language and culture in the late 1920s and 1930s. Clunies Ross, who studied science at Tokyo University in 1929, returned to Australia where he promoted greater Australian involvement in the Asia–Pacific region. His publications on international relations articulated the view that Japan would become central to Australia’s wellbeing. He wrote in 1935: ‘Australia has a very real

AUSTRALIA–JAPAN

In the inter-war period, key individuals shared the view of Japan as a natural partner for Australia and central to its wellbeing and embraced Japanese language and culture. interest in the progress of Japanese industry and the material welfare of the Japanese people. It is not too much to say that the future prosperity of Australia will, to an increasing extent, be dependent on that of her great neighbour in the Far East.’

The cloud of war During the Great Depression, economic decisions embodied in the 1932 Ottawa Imperial Preference Agreement and in the 1936 trade diversion policy meant that Australia gave preference to goods from Great Britain. As a result, bilateral relations with Japan deteriorated and trade substantially diminished. Initiatives such as the Pacific Pact concept also failed due to Japan’s military campaign in China in 1937. Yet, efforts were made on both sides to maintain diplomatic dialogue with the view to improving bilateral relations. Shigeyoshi Hiroda, manager of the Sydney branch of the Kanematsu Company, for example, continued the

tradition of pursuing close ties with the Australian business community established by Fusajiro Kanematsu. Hiroda and Clunies Ross sought to reduce tensions and misunderstandings between the two governments in 1936 and worked as unofficial representatives to this end. Indeed, Hiroda is credited with developing a successful compromise to ensure the continuation of the wool trade, which was in peril due to Australia’s decision to give preference to the United Kingdom over Japan. The period spent in Sydney had a profound impact on Hiroda and the ensuing three generations of the Hiroda family have maintained a strong connection with Australia. In early 1941 legations were established in each capital. Sir John Latham was appointed as First Minister in Tokyo. His counterpart in Canberra, First Minister Tatsuo Kawai, established a friendship with Prime Minister John Curtin and a bond with Australia. In the postwar period Kawai became vice-minister of the Ministry of Foreign Affairs and a strong advocate of renewing trade and overall links with Australia.

LEFT: A Japanese garden with an avenue of cherry blossoms has been created at Cowra as a symbol of postwar reconciliation.

CHAPTER ONE

RIGHT: Australian and Japanese war veterans pay tribute to the lives lost on the 60th anniversary of the Cowra breakout in 2004. One of the last men held as a prisoner of war, Masekuri Takahaza (left), with Australian guard Walter McKenzie.

The outbreak of war in the Pacific was the result of surprise Japanese air raids on the United States naval base at Pearl Harbour and military strikes in South-East Asia in December 1941. These actions ended any opportunity for a peaceful settlement between Australia and Japan. In February 1942 the British naval base at Singapore fell and Australia faced the prospect of a Japanese military invasion. Already Japanese forces were advancing on East Timor and Papua New Guinea. In August 1942 Kawai was returned to Japan as part of an exchange of diplomats. He told journalists on his departure in Melbourne: ‘I have failed in my mission and I am returning to Japan a bitterly disappointed man. The outbreak of war was the greatest blow I have received in my life.’ It was in this environment that Prime Minister John Curtin turned to the United States as Australia’s ‘saviour’. Between February 1942 and November 1943 sustained Japanese air raids took place across the northern parts of Australia from Townsville to Darwin and Broome. On 31 May 1943, audacious Japanese midget submarines conducted an attack in Sydney Harbour. Designed to strike a psychological blow, the three submarines attacked American warships anchored there. However all three submarines were sunk and only one submarine was able to launch an attack. It missed its target, instead sinking an Australian vessel, HMAS Kuttabul, and killing 20 sailors on board. The attack, combined with air raids to the north, succeeded in instilling real fear among Australians, who had long worried about an invasion from an Asian neighbour. They now prepared for the worst. Australian soldiers, alongside Americans, fought hard-won victories in New Guinea and in the Pacific to keep Japan at bay. In an acknowledgement of the war, then Japanese Prime Minister Junichiro Koizumi, speaking at an Asia Society Dinner in May 2002, praised the Australian treatment of the dead Japanese naval officers retrieved from the sunken submarines: I would like to mention an element that I respect in the character of the Australian people. During the Second World War, the Australian Navy held a navy-style funeral for Japanese soldiers who infiltrated Sydney Harbour in midget submarines. Rear-Admiral MuirheadGould, who was in charge of the funeral, said at the

BUILDING A PARTNERSHIP

time: “However horrible war and its results may be, it is courage, which is recognised and universally admired. These men were patriots of the highest order”. The coffins of the soldiers were wrapped in the Japanese flag and their ashes were sent back to their home country. From the bottom of my heart, let me say that I sincerely respect the Australian people’s generosity and fair spirit—even toward enemies in time of war.

In Australia a total of 1141 Japanese nationals in Australia were interned in camps in Tatura in Victoria, Barmera in South Australia and Hay in New South Wales, and all but 75 of the Japanese-born inmates were repatriated to Japan at the end of the war. As well, some 5637 Japanese prisoners of war were based at camps at Murchison in Victoria, and Hay and Cowra in New South Wales. Of these camps Cowra is best remembered due to the breakout by hundreds of Japanese servicemen in the early hours of 5 August 1944. In the ensuing mayhem, 231 Japanese soldiers and four Australian guards were killed. The Japanese prisoners of war had attempted to redeem themselves from the shame of capture.

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Ironically, Cowra has become a symbol of reconciliation in the postwar period. After the war ended, the Cowra branch of the RSL (Returned Services League) took on the task of clearing and maintaining the graves of the Japanese servicemen that were in disrepair. In 1964 the Japanese cemetery was expanded to accommodate all Japanese servicemen and civilians who had died in Australia during the war and remains the only official Japanese war cemetery outside Japan in the world. In memory of the outbreak and as a symbol of postwar reconciliation, a magnificent Japanese garden with an avenue of cherry blossoms was constructed in Cowra by one of Japan’s leading landscape architects, the late Ken Nakajima. As well, a Cowra kai, a society of ex-prisoners of war, was very active in Japan for several decades after the war. For these Japanese the peace-time experience of reconciliation at Cowra was a cathartic feeling. A favourite story, retold by Japanese academic Keiko Tamura, was that of the late Mae Weir, who, ‘with typical country hospitality, calmly served tea and homemade scones to some escaped Japanese prisoners before allowing the guards to take them back to the camp’. In late May 2006, a special service was held at the cemetery attended by a range of dignitaries including the Minister for Veterans’ Affairs Bruce Billson, President of the Returned and Services League Major-General Bill Crews and the Japanese Ambassador Hideaki Ueda.

Painstaking work over a number of years by historian Bob Piper had enabled him and his team to identify the remains of 31 Japanese aircrew men (in unmarked graves at the Cowra Cemetery) who were killed when their aircraft was shot down over northern Australia in 1942. The ceremony was deeply moving and symbolic of the ongoing postwar reconciliation process. Among the Japanese delegation was a 91-year-old woman from Hiroshima, Mitsuko Yamasaki, who was able to lay to rest her younger brother.

ABOVE: The Japanese Gardens at Cowra were designed by the internationally renowned landscape architect Ken Nakajima. The gardens commemorate those killed during the famous Cowra breakout during World War II as well as other war dead.

Setting the foundations The Australian approach to Japan at the end of the Pacific War was one forged by the war experience. The preoccupation of early postwar governments in Canberra was to ensure that Japan was never again able to be an aggressor and thereby become a threat to the security of Australia. A premise of this policy was a ‘hard peace’ settlement. Australian officials saw large reparations and a carefully monitored demilitarised Japan as the logical and appropriate components of any settlement. Diplomatic relations with Japan were formally resumed in February 1952. Australia signed and accepted the terms of the San Francisco Peace Treaty, which, among other provisions, promised a move to equal treatment for Japan in trade policy. The resumption of private trade with Japan, which was

RIGHT: Ore cars leaving Parker Point after delivering iron ore to the port of Dampier in Western Australia, 1966. As early as 1952, there was strong demand by Japan for Australia’s iron ore to assist its burgeoning manufacturing industry. This market remains strong. Today Australia provides 55 per cent of Japan’s iron ore imports.

CHAPTER ONE

based primarily on the sale of wool, had begun a few years earlier in 1947. The strengthening of the Japanese economy by 1951–52 (and in particular the high prices for steel, cement and machinery) saw the natural complementarity evident in prewar bilateral trade re-emerge in postwar trading patterns. Japan was once again a major export market for Australian wool, wheat and barley. As early as 1952 there was already notable demand for raw materials (zinc and iron ore) to assist the burgeoning manufacturing industry in Japan. The demand for Australian raw materials would become the basis for massive trade flows in subsequent decades. The growth in exports to Japan by the early 1950s, led to heated discussion in Canberra about the handling of postwar relations with Japan. This was a politically sensitive matter and had to be managed with considerable skill. The prospect of substantial growth in trade with Japan and the decision by Great Britain,

BUILDING A PARTNERSHIP

Canada and New Zealand to follow the United States’ lead and sign commercial agreements with Japan in 1954, rallied support for an Australian commercial agreement with Japan. In particular, there was growing concern within government and private sector circles that Australia would lose out to the United States in the Japanese food market. The Australian Government slowly worked towards developing a coherent policy of economic engagement with Japan. Prime Minister Robert Menzies, for example, articulated the need to overcome wartime enmity, to buy Japanese goods and develop a new relationship with Japan. In his ‘Man to Man’ public radio broadcast in 1954, Menzies stated: ... the war is over. We are at peace with Japan. The US … has just made a defensive agreement with Japan under which Japan is, up to a point, to re-arm … This is

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the conduct of grown-up nations, which knows that the greatest stumbling block to peace is the perpetuation of enmities. The conduct of foreign affairs is not a job for children. Come back home on this matter—are we to trade with Japan? Well, in fact, we are. Last year we sold Japan £80 million in worth of goods, notably wool; and we bought no more than £5 million in worth from Japan. This, of course, cannot go on forever. No trader can buy unless he can sell. If Japan stopped buying Australian products tomorrow, our income and our standard of living would fall.

The softening of Australian attitudes towards Japan can be viewed as a pragmatic process based on political and economic imperatives, but also encouraged by long commercial and personal connections at both ends that favoured resumption of a full relationship. Cabinet documents show that officials in Canberra concurred with the American and British view that an isolated Japan could re-arm or join a communist bloc with Mainland China and turn the Pacific into a ‘Communist Lake’. The Korean War (1950–53) further strengthened the political argument. The economic incentives were, moreover, becoming a critical factor. For these pragmatic political and economic reasons, John McEwen (then Deputy Leader of the Country Party and Minister for Commerce and Agriculture) and his Departmental Secretary John Crawford were consistently strong advocates for enhanced trade with Japan, despite strong opposition within sections of government and the general public. McEwen’s political position was enhanced in January 1956 when he became Minister for Trade. He was now directly in charge of trade negotiations and able to use his position to argue the case in cabinet. His proactive role was critical to the successful outcome on the Australian side.

Formal talks between Australia and Japan began in November 1956. The negotiations, although protracted, were held in an atmosphere of goodwill. Dr Alan Westerman led the Australian delegation (under direction from McEwen and Crawford). His counterpart was Ushiba Nobuhiko, a former head of the Ministry of International Trade and Industry and a very capable negotiator who later became a key player in trade negotiations between Japan and the United States. Both delegations were in Canberra for long periods of time, which allowed for personal friendships to flourish. As well as formal discussions, Westerman and Ushiba spent considerable time at the Royal Canberra Golf Course resolving points of contention while also improving their golf handicaps. Their friendship, based on mutual respect and trust, was symbolic of the new postwar relationship.

A strong future The signing of the Agreement on Commerce in July 1957 and the reciprocal visits by Prime Ministers Menzies (in April) and Kishi (in December) were major events in the history of the bilateral partnership as they normalised relations and established the pattern for economic and political relations. The Commerce Agreement and subsequent revision in August 1963 (which gave Japan full most-favoured-nation treatment) allowed for a rapid expansion in trade, the implications of which were immense. The boom in trade by the 1960s and in subsequent decades became a critical factor in the economic restructuring and substantial economic growth in both economies. Commercial ties became the ballast in relations. It was inevitable that the two countries should seek to broaden the scope of relations.

The signing of the Agreement on Commerce in 1957 between Australia and Japan was a major event in the history of the bilateral partnership between Australia and Japan and established the pattern for economic and political relations to the present day.

CHAPTER ONE

BUILDING A PARTNERSHIP

RIGHT: Regional cooperation at the East Asia Summit in Kuala Lumpur, Malaysia, in December 2005. From left to right, Australia's Prime Minister John Howard, Malaysia's Prime Minister Adbullah Ahmad Badawi, China's Prime Minister Wen Jaibao and Japan's ex-Prime Minister Junichiro Koizumi link hands during a group photo after the signing of the Kuala Lumpur Declaration.

The signing of the Basic Treaty of Friendship and Co-operation between Australia and Japan on 16 June 1976 formalised a partnership that had been evolving since the Agreement on Commerce. The treaty established the framework for mutual cooperation in the political arena, as well as providing arrangements for visas, trade and commerce. It became the basis for an expansion in investment and educational and scientific exchanges. The partnership was now re-established and ready to take off. In many respects the treaty symbolised a turning point for both countries. Free of the constraints that hampered relations in the past, a genuine trust was being developed at the highest levels. An important aspect of the partnership has been the broadening of commercial ties and its flow-on effect to all aspects of the bilateral relationship, including discussions on security that have been taking place since the 1990s. A second feature has been consultation on constructing regional architecture to promote free trade and economic stability. Key milestones include the agreement in 1980 by prime ministers Fraser and Ohira to promote a Pacific community concept, the formation of APEC in 1989, the Declaration on the Australia–Japan partnership signed by prime ministers

Keating and Murayama in May 1995, and Prime Minister Koizumi’s support for Australian participation in East Asian regional processes in a landmark speech in January 2002. In recent years, Prime Minister John Howard has warmly endorsed the relationship with the statement that ‘Australia has no greater friend in Asia than Japan’, during his address to the Lowy Institute in March 2005. Prime Minister Koizumi responded with similar warmth and played a crucial role in ensuring that Australia was a core member of the East Asia Summit held in Kuala Lumpur in December 2005. The inaugural Ministerial-level Trilateral Strategic Dialogue (TSD), held in March 2006, is indicative of the depth of trust and shared interests and the evolution of bilateral ties from a narrow base to a mature and multidimensional partnership. In June 2006, Foreign Minister Taro Aso echoed Prime Minister Howard’s sentiments when he asserted that Japan had no closer friend in the region than Australia. The strength of this relationship was highlighted in Japanese Prime Minister Shinzo Abe’s very first speech to the Diet in October 2006, where he committed to strengthen ties between Australia and Japan.

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COMPANY PROFILE

SEE PAGE 161 FOR CONTACT DETAILS

NEC

IN AUSTRALIA, NEC develops advanced technology to provide our customers with tailored solutions, encompassing everything from home entertainment and private and public network solutions to laptops and mobile phones. The products we develop are exported to over 40 countries. Established in 1969, NEC in Australia is a wholly owned subsidiary of the giant global technology leader NEC Corporation, based in Japan. We are a valuable part of the NEC international network and a world leader in DSL and mobile technology development, with the largest telecommunications R&D centre in the country. We employ more than 1200 staff in Australia. Our specialist products and solutions include: Mobile phones. Our substantial investment in R&D has put us at the forefront of 3G technology.

NEC Broadband Products. Our broadband

Display monitors, home entertainment

products for carriers and Next Generation Networks deliver voice, video and data. Our Next Generation Broadband R&D Centre is the global design and support centre for NEC’s broadband products and solutions. We have secured major broadband technology deployments in Japan, Hong Kong, Singapore, Malaysia, Thailand and Turkey. Nextep Broadband. We own and operate our broadband network, maximising NEC Australia’s vast experience in broadband R&D. We provide advanced broadband services and solutions for small and medium businesses in Australia. Supercomputers. NEC Supercomputers help the Australian Bureau of Meteorology make more accurate weather forecasts and assist the CSIRO in modelling future climate change.

and home appliances. Among the products we offer are data projectors, display products including LCD Monitors, plasma and LCD TVs, refrigerators and a full suite of home entertainment systems. Computers. We offer a full range of innovative desktops, notebooks, other computer peripherals and servers for home and business customers and provide local sales, service and technical support. Business Solutions. We provide network solutions and managed voice and data networks to government and business in Australia. One third of Australia’s top 500 companies have chosen us to help implement, integrate and manage all or part of their communications needs.

JAPANESE BUSINESS IN AUSTRALIA

COMPANY PROFILE

SEE PAGE 163 FOR CONTACT DETAILS

Toshiba

Toshiba Group Companies in Australia Toshiba (Australia) Pty Limited commenced business in Australia as a joint venture with EMI in 1975 and was incorporated under its current name in 1978. The company has offices in all major capital cities of Australia and also in Auckland and Wellington in New Zealand. It employs 606 employees in both countries and its turnover for the year ended 31 March 2006 was $545 million. The company imports and distributes a range of market-leading computer notebooks and associated peripherals, plus multi-function devices and diagnostic imaging equipment. The company has implemented and lives by a set of core values, which are: delivering a quality experience for our customers and

our people; encouraging curiosity and personal growth; valuing diversity of opinion and leveraging our collective capability through teamwork and sharing. We are committed to our actions—we do what we say and operate with absolute integrity. The company’s Sydney head office is located at 12–24 Talavera Road, North Ryde, and the National Distribution Centre, together with associated technical areas, at 350 Parramatta Road, Homebush.

Toshiba International Corporation Pty Limited Toshiba International Corporation Pty Limited commenced in Australia and was incorporated under its current name in 1978. The company has offices in all major capital cities of Australia and its head office

is located at 2 Morton Street, Parramatta. The company employs about 100 staff and its turnover for the year ended 31 March 2006 was about $100 million. The business is responsible for power and industrial systems and services. A significant portion of the industrial equipment sold and serviced by the company over the last 28 years consists of industrial electric motors, variable speed drives and controls. Toshiba Power Plant is a significant infrastructure asset for Australia, and Toshiba’s industrial equipment represents key technologies for Australia’s manufacturing and mining industries. Toshiba International is proud to be contributing to a mutually rewarding business, and cultural interchange between Japan and Australia.

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Index A

ABARE (Australian Bureau of Agriculture and Resource Economics) 62 ABB Grain 148 Abe, Shinzo 25, 33 Aboriginal culture 141 AFS Intercultural Programs 117 Agency for National Resources and Energy (Japan) 129 Agreement on Commerce see Commerce Agreement between Australia and Japan agriculture, minerals and energy 59, 99–100, 126–8, 127–9 Aichi World Expo (2005) 15, 15, 43, 97, 100, 101, 116, 122, 131, 145 Akai 100 Akao, Seiji 149 ANA 98 Anderson, Tim 139 Ando, Tadao 144 andon cords 97 Anglo–Japan alliance (1902) 18 anime 139–41, 140, 145, 146 ANZ 46, 78, 158 APEC (Asia–Pacific Economic Cooperation) 25, 36, 40, 122 Aquafin CRC 129 Asahi Farm Foods Corporation 65 Asia Pacific Technical Centre (Vic) 95 Asian Bond Fund 40 Asian financial crisis (1997–98) 40, 78 Asia–Pacific Partnership on Clean Development and Climate 127 Aso, Taro 15, 25, 43 ASX 98 Atari Melbourne House 100 AusBiotech 61 Austrade 53, 54, 60, 79–81, 107–8, 150 Australia Post 29, 158 Australia–Japan Agreement on Cooperation in Research and Development in Science and Technology (1980) 121 Australia–Japan Conference (AJC) 34, 43, 109 Australia–Japan Foundation 8, 35, 114 Australia–Japan Framework Agreement on Security Cooperation (proposed) 43 Australia–Japan Free Trade Agreement (proposed) 6, 42, 43, 108–9, 153 Australia–Japan Joint Statement on Cooperation to Combat International Terrorism (2003) 43 Australia–Japan Marine Forum 129 Australia–Japan Symposium of Colloid and Surface Science 121 Australia–Japan Trade and Economic Framework (TEF, 2003) 41–3, 108–9 Australia–Japan Year of Exchange (2006) 8, 43, 150, 152–3, 153 Australian Academy of Science 121 Australian Academy of Technological Sciences and Engineering (AATSE) 113–14, 121 Australian Ballet School 57 Australian Coal Association 129 Australian economy 106, 108 Australian Food Industry Science Centre 126 Australian Government see Invest Australia; Tourism Australia Australian Greenhouse Office 127 Australian Institute for Bioengineering and Nanotechnology 122 Australian National University (ANU) 32–3, 118, 131 Australian Prime Minister’s XV 152–3 Australian Synchrotron 113 Australian Trade Commission see Austrade Australian Wine and Brandy Corporation (AWBC) 149–50 Australian Wine Bureau 148–50 automotive investment 94–7, 94–8 Japanese exports to Australia 97–8 passenger vehicle imports 97 avian flu 131 AWB 47, 159

Babcock & Brown 56 baby boomers 79 Badawi, Abdullah Ahmad 25 Bank of Tokyo Australia 98 Bank of Tokyo–Mitsubishi UFJ (MUFG) 98–9 Banksia Palliative Care Inc 124 Barnes, Dr Paul 131 Basic Treaty of Friendship and Cooperation between Australia and Japan see NARA Treaty (1976) Beams 144 Beattie, Peter 129 BHP Billiton 59, 100 BHP–Mitsubishi Alliance (BMA) 100 BigWorld Technology 101 Billson, Bruce 22 Bioclone 124 BioJapan 60, 122 biotechnology 60, 122 bird flu 131 Black, Henry 16 Black, John 16 Blanchett, Cate 145 Blueberry Farms of Australia 62 Boxing Day tsunami 130 BP 66–9, 159 Brisbane (Q’ld) 107 Broken Hill Proprietary Co see BHP Billiton Brooklands 137 BSE (bovine spongiform encephalopathy) 62, 99 Building a Comprehensive Strategic Relationship (Joint Ministerial Statement) 43

Calgene Pacific 122–3 Campbell, Naomi 145 CANGAROO astrophysics telescope 121, 121 Canon 100 Canon Information Systems Research Australia (CISRA) 101 car industry see automotive investment Cave, Nick 138 Chan, Queenie 137 Chevron Australia 70–3, 159 Chiba Lotte Marines 152 China 78, 91, 101, 115, 127 Chindamo, Joe 142 Cities for Climate Protection program 127 clean and green 60, 124, 125–7 clean coal technologies (CCTs) 129 Clean Coal Utilisation Japan 129 Clinical Cell Culture 60 Clunies Ross, Sir Ian 19–20 coal 38, 59, 92–3 Cohen, Richard 149 Commerce Agreement between Australia and Japan (1957, revised 1963) 6, 8, 15, 24, 34, 43, 91 Commonwealth of Australia 18 Compumedics 124 Convocation of the International Council of Academies of Engineering and Technological Sciences (CAETS) 131 Conyngham, Barry 141 Conzinc Rio Tinto Australia (CRA) see Rio Tinto cooperative research centres (CRCs) 129 corporate citizenship 97 Coull, Rohan 151 Cowra breakout (1944) 21, 21–2 Cowra kai 22 CRA see Rio Tinto Crawford, Sir John 19, 24, 36 Crews, Major-General Bill 22 CS Energy of Queensland 129 CSIRO 124, 126, 127 Cultural Agreement between Australia and Japan 35 culture and leisure 137–9 Curtin, John 20, 21

Dai-Ichi Kangyo 98 Daimaru 98 Declaration on the Australia–Japan partnership (1995) 25 Deloitte (Japanese Services Group) 48, 159 Denso 101 Dentsu 143 Department of Foreign Affairs and Trade (DFAT) 92, 106, 160 design 142–5 Deux Ex Machina 136, 137 Dinnigan, Collette 144 doctoral students 115–16 Donazzan, Roger 151 Done, Ken 137 Downer, Alexander 15, 33, 43 Drysdale, Professor Peter 93, 128

East Asia Summit (Kuala Lumpur, 2005) 25, 25, 40 East Asian community (concept) 33 economic cooperation 35–6. see also APEC economic restructuring 24, 34, 78, 106, 138 Ecosign Master Planners 151 education services 39, 57, 57, 114–15, 114–20, 118–19 Ejiri, Koichiro 118 electronic games 100–1 Emerton, Brett 152–3 energy see agriculture, minerals and energy Engineering Academy of Japan 121 English Language Intensive Courses for Overseas Students (ELICOS) 114–15 English language study 114, 117, 119 entertainment 139–42 Eslake, Saul 78 exchange students 42, 57, 114 Experience Australia Integrated Studies Kit 114

F Kanematsu Japan–Australia Trading Company 16–17, 20 financial services 56, 98–9 Florigene 122–3 food and wine 147–9, 147–50 Food Science Australia 126 Ford 94 foreign direct investment (FDI) 36, 56, 93–4, 98, 99, 106 Fraser, Malcolm 25, 35 free trade see Australia–Japan Free Trade Agreement (proposed) Fuji 98 Fuji-san 139 Fujitsu 100, 102–3, 160 Fukaura, Megumi 57 Furlong, Neil 121

G8 summit (2008) 142 Gallop, Geoff 91 Garrett, Dr Richard 113 Garvan Institute for Medical Research 124 ‘geek’ culture 145–7 geisha 19 General Motors Holden (GMH) 94, 96–7 Global Cost of Living Survey (2006) 107 Government of Queensland 154–5, 162 Government of Western Australia 44–5, 91, 160 Great Depression (1930s) 20 Great Kanto earthquake (1923) 18 Griffin, Peter 95 Group of Five 94

Hamanaka Bay (Hokkaido) 16 Hamersely Iron 59 Hanazono (Niseko) 151 Hans Continental Smallgoods 119 Hanshin Earthquake 130

INDEX

Hardy Wine Company 149, 149, 156, 160 Harmony Resorts 151–2 health and medical technology 123–4 Healy, Tom 121 Heneghan, Tom 54 Hirai, Maestro Hideaki 33 Hiraiwa, Gaishi 128 Hirano, Hirofumi 99 Hirano, Manabu 128 Hirayama, Professor Ren 131 Hiroda, Shigeyoshi 20 history of relations between Australia and Japan early contacts 15–18 emerging tensions 18–20 Pacific War 20–2 postwar relations 22–4 Hitachi 92, 100, 126 Hitachi Chemicals 124 HMAS Kuttabul 21 Ho, Lisa 144 Hokkaido (Japan) 151, 151–2 Holdstock, Stephen 48 home-care-based services 123 Horgan, Jo 60 Horii, Shozo 116 Howard, John 14, 25, 25, 108, 153 Howl’s Moving Castle (anime) 140, 140

IBJ Australia 98 IdÈe 144 Imagine Education Australia 117 Imanishi, Tomoaki 60 Immigration Restriction Act 18 India 91, 115, 127 Ingram, Phil 53, 59–60, 80–1 Inpex 100 integrated circuit (IC) tags 126 Integrated Studies curriculum 114 International Centre for Water Hazard and Risk Management (ICHARM) 130 International Forum Building (Tokyo) 34 International Hydrological Programme (IHP) 129 International Monetary Fund (IMF) 40 International Science Linkages program 121 internet 78 Invest Australia 26–8, 97, 101, 107, 161 Iraq 15 iron ore 22, 23, 91, 100 Ishii, Aka 16 Ishikawajima–Harima Heavy Industries 129 Ishikure, Nobutaka 80 Isogawa, Akira 144–5, 145 Iwaki, Hiroyuki 141, 141–2 Iwaniw, Michael 148

J-Power (Electric Power Development Corp) 117 Jackson, Margaret 151 Jamieson, Bill 19 Japan air raids on Northern Australia 21 architecture 54–5 culture 81 economic miracle 91 economy 78, 81, 108, 146 energy consumption 127, 127 internees in Australia 21 investment in Australia 91–2 new economy 81 prisoners of war in Australia 21 services sector 56–7, 59 Japan Airlines 80 Japan Coal Energy Centre 116 Japan Digital Contents 141 Japan English Teaching Program 119

Japan Foundation 39 Japan Marine Science and Technology Centre (JAMSTEC) 129 Japan Medical Equipment & Consulting Co 60 Japan Rugby Football Union 152–3 Japan Society for the Promotion of Science (JSPS) 121 Japan Synchrotron Radiation Research Institute (JASPRI) 113 Japanese cemetary (Broome) 18 Japanese Gardens (Cowra) 20, 22, 22 Japanese Government 146 Japanese language study 15, 39, 117, 119–20 Japanese Studies Association of Australia 93, 116 Japanese war cemetary (Cowra) 22 Japanesque*Modern 143–4 Jennings, Dare 137 JETRO 140, 141 jingisukan lamb grill 65 John Paul International College (Q’ld) 57 Jones, Andrew 144 J–REITS (Japanese real estate investment trusts) 56 JTB 114 jukunen (old boys) 80 Jurlique 59–60

Kaiyodo 145 kaizen (continual improvement) 97 kanban (just-in-time system) 97 Kanematsu, Fusajiro 16–17 Kanematsu Great Lecture Hall (Hitotsubashi University, Tokyo) 17 Kanematsu Institute of Commercial Research (Kobe) 17 Kanematsu Memorial Institute of Pathology (Sydney Hospital) 16, 17 Kashiba, Hirotsugu 143–4 Kawai, Tatsuo 20–1 Keane, Rod 97 Keating, Paul 25 Kefu, Toutai 152 Kenwood 100 Kenzan 148 Kiddell, Glen 60 Kira, Dr Akira 113 Kishi, Prime Minister 24 Kobayashi, Dr Hiroko 120 Koentgen, Dr Frank 123 Koizumi, Junichiro 14, 21, 25, 25, 33, 57, 108, 153 Kojima, Kiyoshi 36 Koll, Jesper 78 Kondo, Professor James 80 Korea 101, 115 Korean War (1950–53) 24 Kosan, Idemitsu 116 Koyama Shoten 53 KPMG 49, 161 Kuala Lumpur Declaration (2005) 25 Kunitake, Toyoki 121 Kurosaki, Teruo 144 Kyoto Protocol 127

Lady Rowena (whaling ship) 16 Lancman, Adam 100 Latham, Sir John 18, 20 Lavalle, Dr Anna 61 Lehman Brothers 120 Liberal Democratic Party (Japan) 61 Linc Media 80 Lindsay, Dr Dhugal 129, 131 Lloyd, Terrie 80 LNG (liquefied natural gas) 58–9, 59, 90–2, 91, 100 Lockheed Lounge 143 Lonely Planet 152 Low Emissions Technology Development Fund 129 Lowy Institute for International Policy 81

McEwen, John 24 McKenzie, Walter 21 McLennan, Sir Ian 59 McPherson, Peter 62 Macquarie Bank 56 mad cow disease (BSE) 62, 99 Madigan, Sir Russel 59 Madman Entertainment 139–40, 147 managed funds market 98, 99 Mandarake 137 manga 137, 141, 146, 146–7 marine issues 129–31, 130–1 Maritime Self-Defense Force (MSDF) 41 Marks, Alexander 16 Marubeni Research Institute 138, 141 Matsui, Associate Professor Sakuko 120 Matsushita (Panasonic) 100 Mawby, Maurice 59 Mecca Cosmetica 60 Media Development Research Institute 145–7 medical technology see health and medical technology Melbourne Symphony Orchestra (MSO) 141, 141–2 Melbourne (Vic) 107 Memorandum of Defence Exchange (2003) 43 Menzies, Robert 23–4 Merrill Lynch Japan 78 Micro Forte 101 Middle East market 97 Migratory Birds Agreement 131 Minami, Kazutoshi 97 Mirage 98 Miraikan (National Museum of Emerging Science and Innovation) 116 Mitsubishi Australia Bank 98 Mitsubishi Development 100 Mitsubishi Electric 100 Mitsubishi Heavy Industries 127, 129 Mitsubishi Trading 92, 94, 95 Mitsui Educational Foundation 118 Mitsui Trading (MiMi) 60, 92, 100, 122 Miyazaki, Hayao 140 Miyazaki, Kazuhiro 137 Mizuho Bank 141 Mizuho Securities 56 moe 147 Morgan, Hugh 59 Mori, Dr Mamoru 116 Moufarrige, Alf 57 Moura Kianga mine (Q’ld) 92 Muirhead-Gould, Rear-Admiral 21 Murayama, Prime Minister 25 Murray Goulburn Co-operative 82–3, 161 Musashino Art University 143 Muto, Tsuneyoshi 65

Nakajima, Ken 22, 22 Nakamura, Mark 48 Nakata, Hidetoshi 152–3 NanoChem 60, 122 nanotechnology 121, 122 NARA Treaty (1976) 6, 8, 15, 25, 33, 34–6, 91 NASA 124 National Asian Languages and Studies in Australian Schools (NALSAS) 39 National Gallery of Victoria 147 National Neuroscience Facility (NNF) 60–1, 122 natural produce 60–5, 61–5 NEC 100, 101, 104, 161 Newson, Marc 143, 143–4 Nikkei stock index 79 Nikko Darling Harbour 98 Nikko Principal Investments Japan 99 Nippon Steel Corporation 100 Nippon–Australia Relations Agreement see NARA Treaty (1976)

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Nobuhiko, Ushiba 24 Nomura/JAFCO 124 Noritake 143 Norris, Dr Craig 137, 146 North West Shelf Australia LNG 36–7, 86, 100, 128, 162

Pacific Economic Cooperation Council (PECC) 36, 131 Panasonic 100 Parbo, Sir Arvi 59 Park Hyatt 98 Patrick, Hugh 36 Peabody 92 pearl divers 17–18, 17–18 Pearl Harbour 21 PECC (Pacific Economic Cooperation Council) 36, 131 Pentax 124 Perth (WA) 107 Photon Factory (Tsukuba) 113 Piper, Bob 22 Plaza Accord (1985) 94 Pokemon 141 Prenc, Dean 139–40, 141, 147 Princess from the Moon (opera) 33 Proliferation Security Initiative 40, 41 property and financial services 56, 98–9 Provest Australia 99

Sakagawa, Rikinosuke 16 sake 148 San Francisco Peace Treaty (1952) 22 Sanwa 98 Sanyo 100, 127 SARS (severe acute respiratory syndrome) 65, 131 Sawano Koubou 142 Sawano, Yoshiaki 142 Sayle, Murray 138 school study tours 114, 117 seafood 64–5, 65 Sensis 101 Servcorp 56, 57, 59, 81 service economies 41, 80, 94 Sharp 126–7 Sheard, Dr Paul 120 Shinoda, Nobuhiko 101 shugaku ryoko (school exchange) 42, 57, 114 sister schools 39 ‘soft power’ 138, 141, 144 sogo shosha (trading companies) 91–2 Solar Sailor 127 Sonnenblick–Goldman 151–2 South Australian Marine Finfish Farmers Association Inc 65 South Korea 127 Spirited Away 140, 147 sport 152–3, 152–3 SPring-8 synchrotron 112, 113 State Guest House (Kyoto) 142, 142 Strengthening Australia–Japan Economic Relations (de Brouwer & Warren report) 41, 78, 81, 92 Student Exchange Australia 117 student visa grants 114–15 Study-In-Japan programs 118 Suess, Dr Gabi 123 Sugi Apiaries 125 Sugiura, Tsutomu 141 Sumitomo Metal Industries 100 SunRice 87, 162 Suntory 122–3, 123 surfing 138 Sydney (NSW) 107 Sydney Opera House 35 Sydney Symphony Orchestra 141

oceans see marine issues OECD (Organisation for Economic Co-operation and Development) 106 Ohira, Masayoshi 25, 36 Okamoto, Jiro 116 Okita, Saburo 36 Olympic Games 152 Omotesando Hills 144 Omron 124 Onishi, Masako 117 Optiscan 60, 124 Organisation for Small and Medium Enterprises and Regional Innovation 141 Orita, Hikaru 148 Osaka (Japan) 107 otaku culture 145–7, 146–7 Ottawa Imperial Preference Agreement (1932) 20 Ozgene 123

Qantas 151 Qantas Skybed 143, 144 Queensland Government 154–5, 162 Queensland University of Technology (QUT) School of Nursing 123 Quiksilver 138, 144, 144–5

radio frequency identification (RFID) tags 126 rakugoka (professional storytelling) 16 Ralph, John 59 Recruit 152 resources boom 91 Riccardo Tossani Architects 151 Rice, Condoleezza 15 RIKEN Brain Science Institute (RIKEN BSI) 61, 122 RIKEN Frontier Research System 122 Rio Tinto 59, 100, 118 Rix, Professor Alan 131 Roache, James 117 Robe River (WA) 100 Roff, Joe 152 Rooney, Terry 48 Rotary International 117 Roxby Downs (SA) 91 RSL (Returned Services League) 22 Russell, Captain Bourn 16 Russo, Peter 19 Ryan, Bill 119

Takahaza, Masekuri 21 Takemitsu, Toru 137, 141 Tamura, Keiko 22 tariff protection 94 Tasmanian Seafoods 65 technology 100–1 TELIHA Corp 60 Telstra 132–3, 162 Terada, Takashi 116 Terumo 124 Tetsuya’s 147–8 Tezuka, Osamu 147 Thiess Brothers 92 33south 144 Thorsys Australia 126 Tokyo Building Co 99 Tokyo Electric Power Company (TEPCO) 100, 127, 128 Tokyo Gas Co 100 Tokyo (Japan) 107, 125 Tokyo Timor Sea Resources Inc 100 Tolley, Sam 150 Toshiba 105, 163 tourism 15, 39, 94, 150–1, 150–2 Tourism Australia 157, 163 Toyota 94–7, 126, 143 Toyota Community Spirit 97 Toyota Production System (TPS) 95 Trade and Economic Framework (TEF, 2003) 41–3, 108–9

trading patterns 23–4, 25, 36, 38–9, 53 agriculture, minerals and energy 59, 99–100, 126–8, 127–9 car industry see automotive investment clean and green 60, 124, 125–7 culture and leisure 137–9 design 142–5 doing business in Australia 106–8 doing business in Japan 78–81 energy see agriculture, minerals and energy entertainment 139–42 food and wine 147–9, 147–50 health and medical technology 123–4 marine issues 129–31 natural produce 60–5, 61–5 otaku culture 145–7 property and financial services 56, 98–9 science, research and development 120–3, 121–2 sport 152–3, 152–3 technology 100–1 tourism 15, 39, 94, 150–1, 150–2 value-added goods 59–61 transportation services 94, 101 Trilateral Strategic Dialogue (TSD) 25 Trong, Huy 60 Tsuno Winery 149 Tsushima, Kohei 98–9

UCC Energy 127, 129 Ueda, Hideaki 22, 153 UFJ Bank 98 Ultra Clean Coal (UCC) 127 UNESCO 129 United Nations Disaster Reduction Conference 130 United States 21, 23, 40–1, 78, 92, 115, 127 University of Queensland 122 University of Sydney 120 Urawa Red Diamonds 153

Vaile, Mark 43 value-added goods 59–61 virtual assembly 97 VitaMan 60

Wagyu cattle 65, 99–100 Wakuda, Tetsuya 138, 147, 147–8 Walsh, Christine 57 Walters, Patrick 40 Waseda University 114 Washington, Jennifer 148 Weir, Mae 22 Wen Jaibao 25 Wesfarmers 84–5, 163 Westerman, Dr Alan 24 Western Australia 44–5, 91, 160 Western Mining Corp 59 Whereis 101 White Australia Policy 18 White Mining Ltd 127 Wiegard, Paul 139 Williams, Ian 152 wine see food and wine Wisgard, Eric 149 Woodside Energy 74–7, 163 working holiday scheme 118–19 World Competitiveness Yearbook (2006) 106 World Cup (2006) 152, 152–3 World Expo (Aichi) see Aichi World Expo (2005) World K’s Co 100

Yamasaki, Mitsuko 22 Yanagita, Dr Shohei 121 Yasuki, Masayo 116, 116