Japan urged to join EAEC

Japan urged to join EAEC

TOKYO (AFP): Japan's most influential business group is considering plans to urge the government to endorse a Malaysian plan for an East Asian Economic Caucus (EAEC), news reports said yesterday.

The reports said the Japan Federation of Economic Organizations (Keidanren) wanted to clarify its position before sending trade missions to the six members of the Association of Southeast Asian Nations (ASEAN) and Vietnam next year.

Fears of alienating the United States, its biggest trading partner, have kept Japan from endorsing the EAEC plan, which is based on a proposal made by Malaysian Prime Minister Mahathir Mohamad four years ago.

The EAEC would group the East Asian members of the five-year- old Asia-Pacific Economic Cooperation (APEC) forum but exclude other members such as the United States and Australia.

Malaysia's International Trade and Industry Minister Rafidah Aziz recently voiced frustration with Japan's policy of sitting on the fence.