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Pacific Forum CSIS Comparative Connections A Triannual E-Journal on East Asian Bilateral Relations edited by Carl Baker Brad Glosserman January – April 2016 Vol. 18, No.1 May 2016 http://csis.org/program/comparative-connections Pacific Forum CSIS Based in Honolulu, Hawaii, the Pacific Forum CSIS operates as the autonomous Asia- Pacific arm of the Center for Strategic and International Studies in Washington, D.C. Founded in 1975, the thrust of the Forum’s work is to help develop cooperative policies in the Asia- Pacific region through debate and analyses undertaken with the region’s leaders in the academic, government, and corporate arenas. The Forum’s programs encompass current and emerging political, security, economic/business, and oceans policy issues. It collaborates with a network of more than 30 research institutes around the Pacific Rim, drawing on Asian perspectives and disseminating its projects’ findings and recommendations to opinion leaders, governments, and publics throughout the region. An international Board of Governors guides the Pacific Forum’s work. The Forum is funded by grants from foundations, corporations, individuals, and governments, the latter providing a small percentage of the forum’s annual budget. The Forum’s studies are objective and nonpartisan and it does not engage in classified or proprietary work. Comparative Connections A Triannual E-Journal on East Asian Bilateral Relations Edited by Carl Baker and Brad Glosserman Volume 18, Number 1 January – April 2016 Honolulu, Hawaii May 2016 Comparative Connections A Triannual Electronic Journal on East Asian Bilateral Relations Bilateral relationships in East Asia have long been important to regional peace and stability, but in the post-Cold War environment, these relationships have taken on a new strategic rationale as countries pursue multiple ties, beyond those with the US, to realize complex political, economic, and security interests. How one set of bilateral interests affects a country’s other key relations is becoming more fluid and complex, and at the same time is becoming more central to the region’s overall strategic compass. Comparative Connections, Pacific Forum’s triannual electronic journal on East Asian bilateral relations edited by Carl Baker and Brad Glosserman, with Ralph A. Cossa serving as senior editor, was created in response to this unique environment. Comparative Connections provides timely and insightful analyses on key bilateral relationships in the region, including those involving the US. We regularly cover key bilateral relationships that are critical for the region. While we recognize the importance of other states in the region, our intention is to keep the core of the e-journal to a manageable and readable length. Because our project cannot give full attention to each of the relationships in Asia, coverage of US-Southeast Asia and China-Southeast Asia countries consists of a summary of individual bilateral relationships, and may shift focus from country to country as events warrant. Other bilateral relationships may be tracked periodically (such as various bilateral relationships with Australia, India, and Russia) as events dictate. Our Occasional Analyses also periodically cover functional areas of interest. Our aim is to inform and interpret the significant issues driving political, economic, and security affairs of the US and East Asian relations by an ongoing analysis of events in each key bilateral relationship. The reports, written by a variety of experts in Asian affairs, focus on political/security developments, but economic issues are also addressed. Each essay is accompanied by a chronology of significant events occurring between the states in question during the four-month period. A regional overview section places bilateral relationships in a broader context of regional relations. By providing value-added interpretative analyses, as well as factual accounts of key events, the e-journal illuminates patterns in Asian bilateral relations that may appear as isolated events and better defines the impact bilateral relationships have upon one another and on regional security. Comparative Connections: A Triannual Electronic Journal on East Asian Bilateral Relations (print ISSN 1930-5370, online E-ISSN 1930-5389) is published three times annually (January, May, and September) at 1003 Bishop Street, Suite 1150, Honolulu, HI 96813. Table of Contents Regional Overview:………………………………………………………………………………1 Déjà Vu All Over Again … Only Worse! by Ralph A. Cossa and Brad Glosserman, Pacific Forum CSIS North Korea mixed things up a bit in early 2016, this time starting with a nuclear test – its fourth – and then following up a month later with a missile test/satellite launch; usually the order is reversed. Other than that it was déjà vu all over again, only worse. There were also a number of shorter-range ballistic missile launches and the usual threats (with graphic video), while the prospects for dialogue seemed to dim even further. Meanwhile, Chinese activities in the South China Sea (SCS) are being described by everyone (except Beijing) as further militarization of its artificial islands, as everyone (except Beijing) eagerly awaits the ruling by the Permanent Court of Arbitration in The Hague on a case the Philippines has brought against China’s SCS claims – Beijing has already preemptively rejected the Court’s jurisdiction, so no happy ending appears in store for anyone. The G7 also weighed in on the SCS issue, much to China’s dismay. It’s for certain the G20 won’t (since China is host this year). The AIIB is taking shape, with most worries not being realized. Finally, after eight months of listening to pundits predict that the Trump phenomenon was sure to fade, Donald Trump has become the “presumptive” Republican nominee. His opponent seems likely to be former Secretary of State Hillary Clinton, in what is shaping up to be a battle of the known versus the unknown (and largely unpredictable). US-Japan Relations:…..………………………………………………………………………..15 2016 Opens with a Bang by Sheila Smith, Council on Foreign Relations and Charles McClean, University of California, San Diego The US-Japan relationship was relatively steady in the early months of 2016 until the US presidential primaries began to stir things up. For the first time in decades, Japan became the focus of debate on the campaign trail when Donald Trump began to single out Japan on trade and on security cooperation. There was also a setback on the Futenma replacement facility when construction was halted following a compromise between the central government and Okinawa that calls for a court decision on how to proceed. Nevertheless, the two governments continued to refine alliance coordination in the face of North Korea’s nuclear test and missile launches and pursued maritime cooperation as Beijing’s behavior in the South China Sea continued to roil regional waters. With major elections on the horizon, both countries are likely to be consumed by politics in the coming months. iii US-China Relations:……..……………………………………………………………………..25 Navigating Friction, Forging Cooperation by Bonnie Glaser, CSIS/Pacific Forum and Alexandra Viers, CSIS The South China Sea remained the most contentious issue in the US-China relationship in the early months of 2016. North Korea’s fourth nuclear test and missile launches posed both a challenge and an opportunity. After two months of intense consultations, the US and China struck a deal that led to unprecedentedly tough sanctions on Pyongyang. Xi Jinping attended the Nuclear Security Summit in Washington DC at the end of March and met President Obama. Their joint statements called for cooperation on nuclear security and climate change. Relations between the militaries hit a snag as Secretary of Defense Ashton Carter postponed a planned visit to China and Beijing rejected a request for a US aircraft carrier battle group to visit Hong Kong. Talks continued on a bilateral investment treaty, but China failed to submit a new “negative list,” leaving prospects uncertain for concluding a BIT by the end of Obama’s term. US-Korea Relations:...………………………………………………………………………….37 Fire, Ire, and Exercises by Stephen Noerper, The Korea Society US and South Korean concerns spiked in early 2016 as North Korea demonstrated worrying advances in nuclear weapon and missile technology. Despite a rather placid New Year address, Kim Jong Un raised international alarm with the DPRK’s fourth nuclear test on Jan. 6. A month later, North Korea launched a three-stage rocket, a direct violation of a UN missile ban. The US Congress passed more rigorous sanctions legislation, seeking to stem financial flows and punish second-party facilitators. On March 3, UN Security Council Resolution 2270 calling for tougher sanctions passed unanimously. Seoul added its own unilateral sanctions on March 8. Meanwhile, Kim Jong Un’s display of a nuclear device and reentry technology, failed intermediate-range missile tests, and a successful submarine-launched ballistic missile test added to growing concerns. ROK President Park Geun-hye called for additional multilateral efforts. While North Korea is pushing back hard, some suggest its provocations and rhetoric may be for foreign consumption in the lead-up to the highly anticipated Party Congress in May, a first in 36 years. US-Southeast Asia Relations:…..……………………………………………………...............45 ASEAN Centrality? by Sheldon Simon, Arizona State University The mid-February ASEAN-US Summit was the Obama administration’s effort to show ASEAN’s