Ryu Jin-song, Director General for Asian Affairs at the Ministry of Foreign Affairs of China, who sparked controversy at a recent China-Japan director-general-level meeting for appearing to pressure his counterpart with his hands in his pockets, was said to have visited Japanese corporations in China and conveyed the message, "We hope you will feel at ease continuing your business activities in China." Analysts said the move revealed Beijing's intent to keep the economy stable, separate from political tensions.
Japan's Nihon Keizai Shimbun reported on the 30th (local time) that after Ryu, the Director General, met Kanai Masaaki, Director General for Asian and Oceanian Affairs at Japan's Ministry of Foreign Affairs, in Beijing on the 18th, he inspected facilities of Japan-affiliated corporations in Dalian, Liaoning province. On site, he asked corporate officials about their business conditions in China and even offered hugs as he left, creating a friendly atmosphere, according to the report.
The outlet interpreted this as China seeking to prevent diplomatic frictions with Japan from spreading to manufacturing and sales activities at home. It said the long-running signs of a slump in the Chinese economy and the decline in foreign investment reflect this trend.
The report also noted moves by Wu Jianghao, China's ambassador to Japan. Wu, who has criticized Japan over Taiwan, met Keidanren Chairman Tsutsui Yoshinobu in Tokyo on the 28th and emphasized the need for economic cooperation between China and Japan. This meeting was also arranged at China's request, according to reports.
However, many observers say tensions between the two countries have not fully eased. With Chinese airlines sharply cutting routes to Japan and cases of Japanese singers' concerts in China being abruptly canceled, the chill appears to be continuing.
The newspaper said it is still difficult to conclude how the China-Japan confrontation will affect manufacturing going forward, but predicted that if China restricts exports of rare earths, many Japanese corporations could be directly harmed.