Mark Carney vs. Mulcair-conomics
Budget battle lines drawn
Middle East Anarchy
Demonstrators hold Chinese flags and placards during an anti-Japan protest outside the Japanese embassy in Oslo Sept. 18, 2012.
Credits: REUTERS/Cornelius Poppe/NTB Scanpix
OTTAWA – Canada's economy could take a hit if tensions between China and Japan continue to deteriorate.
President of the Asia Pacific Foundation of Canada, Yuen Pau Woo, said Tuesday he expects the situation in the region to cool because both Asian economies are “interdependent.”
“The mutuality of interests is very profound. Although that may not prevent war it's a very, very strong deterrent,” he said.
But, he said, if the maritime spat over disputed islets continues between China and Japan “the effects on one will spill over to the other and we will be sideswiped. There's no question about it.”
China is Canada's second-largest trading party, while Japan is its fifth-largest.
Still, Yuen noted the bigger concern for the Canadian economy in the region is the slow-down of the Chinese juggernaut economy, which Yuen said has been buoying the global economy since 2008.
On Tuesday, Foreign Affairs Minister John Baird called for restraint in the region.
“We do hope both countries will be mindful that there's no benefit to escalating this. There's no substitution to sitting down and having a dialogue. We wold encourage both of them to do that,” he said.
Anti-Japan protests in China have been flaring up, sparked by the spat over uninhabited islands in the East China Sea.
Hundreds of Japanese businesses operating in China have shut their doors over security fears, as thousands of Chinese protesters spill into the streets in cities across the country.
Tensions have been running high since last week, when the Japanese government decided to buy some of the islands from a private Japanese owner.
-- With files from Reuters
President of the Asia Pacific Foundation of Canada, Yuen Pau Woo, said Tuesday he expects the situation in the region to cool because both Asian economies are “interdependent.”
“The mutuality of interests is very profound. Although that may not prevent war it's a very, very strong deterrent,” he said.
But, he said, if the maritime spat over disputed islets continues between China and Japan “the effects on one will spill over to the other and we will be sideswiped. There's no question about it.”
China is Canada's second-largest trading party, while Japan is its fifth-largest.
Still, Yuen noted the bigger concern for the Canadian economy in the region is the slow-down of the Chinese juggernaut economy, which Yuen said has been buoying the global economy since 2008.
On Tuesday, Foreign Affairs Minister John Baird called for restraint in the region.
“We do hope both countries will be mindful that there's no benefit to escalating this. There's no substitution to sitting down and having a dialogue. We wold encourage both of them to do that,” he said.
Anti-Japan protests in China have been flaring up, sparked by the spat over uninhabited islands in the East China Sea.
Hundreds of Japanese businesses operating in China have shut their doors over security fears, as thousands of Chinese protesters spill into the streets in cities across the country.
Tensions have been running high since last week, when the Japanese government decided to buy some of the islands from a private Japanese owner.
-- With files from Reuters
