President Rodrigo Duterte receives ¥1 trillion for five years during the Tokyo summit with Prime Minister Shinzo Abe who reaffirmed Tokyo's commitment in providing economic cooperation. This is seen as an economic competition against China to build better relation with Philippines.
According to Japan Times, Philippines as a key diplomatic player in the territorial dispute in the South China Sea disputes, Prime Minister Abe has to win Duterte deal over the Sea Dispute with china.
On the other hand, Beijing is trying to woes Manila by extending pledges to economic assistance worth $24 Billion. The pledge commitment was given when President Duterte went to Beijing and met Chinese President Xi Jinping in October 2016.
In January 2017, PM Shinzo Abe visit to Manila brought with him a worth ¥1 trillion pledge for government and private-sector corporations economic cooperation over the next five years. This will help President Duterte build build build program for infrastructures, which includes subways in Metro Manila and the improvement of river-ways in Davao City.
According to the joint statement of President Duterte and PM Abe, "The government of Japan will strongly support the sustainable economic development of the Philippines by extending quality infrastructure assistance, using Japan’s funding and technology. Japan’s assistance will include programs to ease “serious traffic congestion” in Manila and to “vitalize other areas”
According to Wataru Kusaka, an associate professor for political science, "Duterte has been trying to “maximize” economic assistance both from Japan and China. Duterte intention looks very clear. He is trying to maximize what he can win from Japan and China. So it’s important for Tokyo to have Philippine people feel that Japan is moving fast, in particular in assisting social infrastructure projects. That’s why infrastructure projects come at the top of the list” of economic cooperation items in a summary of a joint statement released by the Japanese government the same day".
According to gist, Japan will introduce to the Philippines a better electric and liquefied natural gas facilities thus improving power generation and supply system. It will also help Philippines in the crack down of illegal drugs and continuing aiding the country in modernizing its coastguard and other maritime organization to monitor coastal areas in the country, the statement read.
Another issue that has brought up with the two leader is the stepping up of international pressure to North Korea's Kim to abandon the nuclear program and ballistic missile development programs.
In Duterte departure meeting with the reporters, he apparently softened his stance in describing North Korean leader Kim Jong Un and dialogue between the nation involve in the Korean Peninsula including US should be prioritized to avoid nuclear crisis.
Upon the passage of the United Nations Security Council resolutions calling for tougher economic sanctions against the North Korea, Manila suspend trade relations with Pyongyang. "With this move of President Duterte, cutting trade ties and emphasizing dialogue with the regime at the same time is not contradictory." according to Kusaka of Nagoya University.
"It is rather a balance diplomacy of remaining noncommittal to any of the countries." Kusaka added.
"President Duterte is trying to tread a fine line of balance diplomacy between United States, China and Japan," he said.
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