Canada and Japan strike partnerships on energy, defence
Canada and Japan have carved out partnerships involving energy, defence equipment and the sharing of intelligence during bilateral discussions at the G7 summit.
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Most of these issues were agreed upon in principle earlier this year, said Japanese Prime Minister Shigeru Ishiba at a news conference in Calgary on Tuesday evening. However, he confirmed the two countries will sign formal agreements soon.
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Japan's decision to strengthen its relationship with Canada on energy comes as the East Asian country looks to reduce its reliance on Russia.
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An example is a project involving LNG Canada, which will export millions of tonnes of natural gas per year from Alberta to Japan via B.C. Mitsubishi will be a shareholder in this initiative.
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Japanese officials say the country is also looking to sell the natural gas it buys from Canada to other neighbouring countries. Ishiba said it's an important project for Japan's energy security.
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His comments follow Premier Danielle Smith's visit to Japan in April, whose purpose was to emphasize Alberta as a 'partner of choice' to meet its rising demand for energy and food.
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According to the province, Japan is Alberta's third-largest export market, which supplies products amounting to almost $2.7 billion, of which energy comprises $1 billion. Coal, petroleum, copper and iron combined account for 41.8 per cent of Canadian exports to Japan, according to the Conference Board of Canada.
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The partnership will also help Alberta diversify its supply, which exports over 80 per cent of its energy products to U.S.
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Canada's relationship with its southern neighbour has been strained by threats of tariffs and annexation from U.S. President Donald Trump, who has imposed duties on imports from several countries, including its most trusted allies.
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Another important area for collaboration is defence. Canada and Japan will soon share classified information as the global order is moulded by the rise of China and the deepening of its ties with Russia, which is embroiled in a three-year long invasion of Ukraine.
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The partnership will also include the sharing of technologies and defence equipment; however, the specifics have yet to be confirmed. The decision comes as Asian countries, including Japan and South Korea, ramp up the production of military equipment to reduce their reliance on the U.S.
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Japan has fattened its defence budget in the past few years, launching its most ambitious effort to prop up the country's military since the Second World War. Orders related to defence within the country rose by two to three times in 2023 from the year before, according to a think tank called the Stockholm International Peace Research Institute.
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