Study Group To Call For Launch Of Japan-Mongolia Trade Talks

TOKYO (Nikkei)--Japan and Mongolia should promptly start bilateral economic partnership talks, according to forthcoming recommendations by a study group comprising government officials and private-sector experts.

The report will stress the importance of the partnership, which would help Japan raise automobile exports and secure steady supplies of mineral resources, while bringing more foreign investment to Mongolia.

The nations agreed to work toward spring negotiations at a summit last November.

Japan intends to put the talks on a fast track in light of the need to reduce its dependence on China for rare-earth metals. But with Tokyo coping with the fallout from the Great East Japan Earthquake, including the nuclear power plant crisis, uncertainty hangs over the talks.

Japan's trade with Mongolia totaled about 10.4 billion yen in 2009, accounting for less than 0.1% of its overall tally. Mongolia imposes tariffs on about 99.7% of items shipped from Japan, including cars and electronics.

Source: Nikkei April 8 morning edition