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The Evolution of Japan's Aggressive Legalism

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  • Ichiro Araki

Abstract

Japan's recent trade policy is sometimes characterised as ‘aggressive legalism’ in the sense that it aggressively utilises the multilateral trade rules embodied in the Marrakesh Agreement Establishing the World Trade Organisation in dealing with disputes with its trade partners. This policy may appear to be a marked departure from Japan's past practice of favouring bilateral, non‐legal settlement of trade disputes. Upon closer examination, however, while Japan has been moderately active in using the WTO dispute settlement process for resolving its trade disputes, it behaves more like a country that resorts to surgical strikes on selected targets (usually the United States) under a powerful cover of the European Community. Compared to Japan, Korea's attitude in the WTO is more aggressive. While the Japanese Ministry of Economy, Trade and Industry (METI) is not content with the status quo and is seeking to expand its aggressiveness in the WTO dispute settlement mechanism, it faces an uphill battle. One of the difficulties facing trade officials in Japan may be the lack of a national system for lodging WTO complaints, open to any citizens or firms, like Section 301 of the US Trade Act of 1974 or the European Trade Barriers Regulation. Nonetheless, in the historical context, Japan is far more aggressive than in the past in utilising the rules of the GATT/WTO to advance its national interests. It will never revert to the infamous practice of bilateralism and grey area measures.

Suggested Citation

  • Ichiro Araki, 2006. "The Evolution of Japan's Aggressive Legalism," The World Economy, Wiley Blackwell, vol. 29(6), pages 783-803, June.
    • Handle: RePEc:bla:worlde:v:29:y:2006:i:6:p:783-803
    DOI: 10.1111/j.1467-9701.2006.00820.x
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    1. Dukgeun Ahn, 2003. "WTO Dispute Settlements in East Asia," NBER Working Papers 10178, National Bureau of Economic Research, Inc.
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    Cited by:

    1. Caixia Mao, 2023. "North–South development competition and the quality and sustainability of Chinese and Japanese trans‐national infrastructure initiatives," Journal of International Development, John Wiley & Sons, Ltd., vol. 35(2), pages 331-346, March.
    2. Mai, Nhat Chi, 2016. "Beyond trade: the impact of WTO transparency norms on socialist-oriented countries with an emphasis on Vietnam's legal reform," OSF Preprints bgzhv, Center for Open Science.

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