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IENGO
Japan in
Trade Isolation
1926-37&1948-85
Michiko Ikeda
Ph.D., Economics, Harvard University
.7.fl\?A7t..-:A
<;)House
f Press
'T 106-0032**~m~!X;'\2fs;;j<;S 11-16
MICHIKO IKEDA has a B.A. from Tokyo
Women's Christian University, an M.A. from
the University of Tokyo, and a Ph.D. in economics from Harvard University. She has
worked as an economic and statistical analyst
for the General Agreement on Tariffs and
Trade (GATT) and has taught as a professor at
Tokai University. Her publications include
Tainichi Keizai Fusa [Anti-Japanese Economic
Enclosure] (Tokyo: Nihon Keizai Shimbunsha,
1992); CATT kara WTO e [From GATT to
WTOJ (Tokyo: Chikuma Shobe), 1996);
"Senzen no Hogo Boeki to Nihon" [Prewar
Trade Protectionism and Japan], in Shin
Chikyu Nihon Shi [A New History of Japan
from a Global Perspective], vol. 1, edited by
Kanji Nishio (Tokyo: Sankei Shimbunsha,
2006). She is also the author of "Protectionism
and Discrimination against Japan's Foreign
Trade, 1926-1937" (doctoral thesis, Harvard
University) and a coauthor of "International
Trade" (1975-76, 1976-77, and 1977-78,
GA TT Secretariat), both in English.
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Tel: 03-34 70-9059 Fax: 03-3470-31 70
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BIBLIOTECA G. ASTENGO
Japan in
il'ade Isolation
1926,17&1948-85
Michiko Ikeda
Ph.D., Economics, Harvard University
WITH A FOREWORD
Dwight H. Perkins
Research Professor of Economics,
Harvard University
ISTITUTO
U~IVERSITARIO
-
ARCHITETTURA
VE~H:ZIA
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SERVIZI BIBLl~~l1 DOCUMENTALI
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'1House
I Press
Contents
List of Tables ................................................................................ v1u
Foreword ...................................... ................................................... xi
Acknowledgments ......................................................................... xiii
PART
I:
THE PREWAR PERIOD,
1926-37
Chapter 1
RESEARCH OBJECTIVES ....................................... ... .. ...... 1
1.
2.
3.
4.
5.
Introduction ................................................................. 3
Definitions of Protectionism and Discrimination ...... 9
Export Trends of Japan's Main Overseas Markets 14
The Japanese Economy in the Survey Period ......... 20
Foreign Trade as a Substitute for "Prerequisites" .. 25
Chapter 2
ANTI-JAPANESE BOYCOTTS AS TRADE BARRIERS IN
CHINA ...................................................................... 31
1. Three Factors in the Deterioration of Japan's Trade
with China ............... ................................... ............ 33
2. The Anti-Japanese Boycotts in China .......... ............ 40
3. Japan's Export Distortion: Japanese Exports to Sjx
Regions of China .............................. ..................... 5 7
4. Distortion in Japan's Imports from China .............. 69
Chapter 3
THE DRASTIC DECLINE OF JAPANESE EXPORTS TO THE
UNITED STATES············································· ····· ··· ··· 75
1. Introduction to Japan-U.S. Trade Relations ...........
2. U.S. Intellectuals Support the Boycott .....................
3. Analysis of the Catastrophic Collapse of
:~
Silk Exports ......... ... ...... ..........................................
4. U.S. Tariffs on Manufactured Japanese Products ...
v
77
82
86
97
VI
CONTENTS
<:;hapter 4
BRITISH COMMONWEALTH DISCRIMINATION AGAINST
JAPANESE TRADE .................................................... 117
1. Historical Background ............................................
2. The Japan-Canada Tariff War ................................
3. Japanese Trade Conflict with British India ...........
4. The Australian Quota System ................................
5. Egypt and Middle Eastern Countries ....................
119
120
143
155
169
Cbapter 5
JAPAN-NETHERLANDS TRADE SQUABBLES ................. 177
Chapter 6
LATIN AMERICA: THE NEW TRADE FRONTIER ......... 201
1. The Latin American Market ................................... 203
2. Chile and Columbia: The Trade-Balancing System
and Treaty Abrogation ........................................ 207
3. Peru and Mexico: Treaty Abrogation and
Voluntary Export Restraints .............................. 218
4. Argentina and Brazil: Country Substitution under
Strict Import Restrictions ................................... 230
PART
II:
THE POSTWAR PERIOD,
1948-85
Chapter 7
JAPAN'S ACCESSION TO GATT ................................. 243
Chapter 8
APPLYING GATT ARTICLE
XXXV TO JAPAN
.......... 269
Afterword ...................................................................................... 293
CONTENTS
f
APPENDICES
I Statistical Tables:
1. Japan's bilateral trade with selected countries .. 305
2. Japan's principal exports in various regions
in China ... ... .......................................................... 311
3. Japanese silk exports to the United States,
1925-39 ................................................................ 315
II Original Materials: Unpublished Official Documents
1. The Archives of the Ministry of Foreign Affairs,
Tokyo ........................... ......................................... 317
2. The Public Record Office, London, U.K ........... 319
3. The National Archives, Washington, D .C.,
U.S.A ..................................................................... 320
4. Supplement: Documents concerning Anti-Japanese
boycotts ................................................................ 320
NOTES ............ ........... .. ... ... ........ ... .. .. ....... .... .... .. ... .. ...... .... ......... 323
BIBLIOGRAPHY ....................... .... ............... ............ ..... .. .............
349
INDEX .... .. ... ... ..... ..... ...... ... ... ........ .... .. .... ... ....... .. ... .... ..... .. .... ... ...
359
..
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111
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1921033028580
ISBN978-4-903452-07-4
C1033 ¥2858E
ltfil (*1*2.858PMU
Japan m Trade Isolation, 1926-37 and 1948-85
he J 920s and 1930s were a turbulenr era for the world economy-a nme
T of shifting monetary policies, trade protectionism, and the c.reat
Depression. Fmergmg on rhc world stage as the first non-Wesrern mdusrrial
power, Japan faced charges of dumping and protecaon1sm. This groundbreaking work by Michiko Ikeda examines the harsh env1ronmenr faced hy
Japan in the years 1926 to 1937 and agam in che years from 1948 to 1985.
Tt draws on original study of League of Karions reports and of declass1f1e:d
govemmenr documents in Japan, the Unired Kingdom, and rhe United State\.
"T
he great advanrage of 1h1s careful historical study 1s that 1t puts m perspective what trade d1scnmmation around che world often emails.
Many of rhe argumenrs char one hears today abour the problems created by
the rise of rhe Chinese economy have a fami liar ring ro anyone knowledgeable about rhis earlier Japanese story. By looking at this historical Japanese
experience, we can see these issue~ stripped of the emotions and politics of
the present."
Dwight H. Perkins, Research Professor
of Economics, I lar11urd U11111ersfP!
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