"What is the Asian Economy? Dynamism of Breakthroughs and Japan's Path Forward"

2020/03/19

The 21st-century Asian economy is transforming at an unprecedented speed while deepening cross-border connections, and is pushing forward powerfully toward an unimaginable future. In this great swell, Japan is now being forced to revise its positioning in Asia. Redefining strengths within diversity and building the future together—this is the basic strategy for living in the Asian era.

The beginning of my relationship with Asia was my work at a trading company that I joined after graduating from university in 1993. I was assigned to the apparel department and spent my days manufacturing in Asia. Unrelated to the glamorous fashion worlds of Milan or Paris, I worked "in the trenches" at garment factories in China and Thailand. Words like "delayed delivery" or "defective products" were the most terrifying things in the world, and I never felt at ease. Even so, I was always excited when I went to the site. That was probably because people of different nationalities and roles were running toward a common goal, even if they sometimes clashed. Then, the finished products would be displayed in stores. I was happy when the results of "collaboration" took a concrete form.

Speaking of Asia back then, it was a partner that Japan could "choose" by exercising leadership. We formed our own value chains by unilaterally incorporating Asia. The technology transfer from Japan that occurred in that process also contributed to the sophistication of the Asian economy. However, entering the 21st century, against the backdrop of important technological changes such as digitalization and modularization, fields emerged where Asia surpassed Japan. And this time, Japan needed to be "chosen" as a trusted partner in value chains led by Asia. The era has shifted from one-way to two-way.

In addition to the trading company, I have also worked on development at UN agencies and the Japan International Cooperation Agency (JICA). Although Asia has become the world's growth center, it is also a fact that it faces challenges unique to developing countries, such as the widespread coexistence of informal economies. It is also important to understand this "other side" of the Asian economy. Now that connections have deepened, the challenges facing Asia are also our problems.

I tried to keep the writing as concise as possible without compromising the quality of the discussion. I would be happy if people with even a slight interest in the Asian economy would read it.

"What is the Asian Economy? Dynamism of Breakthroughs and Japan's Path Forward"

Kenta Goto

Chuko Shinsho

240 pages, 820 yen (excluding tax)

*Affiliations, job titles, etc., are as of the time of publication.