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gettyimages.com and New Zealand along with the Secretary General of the
Pacific Islands Forum (PIF).
Japan and Pacific Island countries agreed on a host of
new initiatives designed to boost economic and security

cooperation. The participants agreed on an action plan that
will see Japan boost engagement in seven fields, including
technology and connectivity, climate change, people-centred
development and security.

SMEs hit hard by challenging business conditions
The number of bankruptcies in Japan, especially amongst
purchasing power, a signal of the government’s concern the SMEs, has risen so far this year as companies are hit by
over the negative economic impact of the exchange rate. soaring costs, labour shortages, the end of pandemic-related

In 2013, expectations that inflation was rising helped financial support and few opportunities to raise prices.
improve household spending but now the prospect of price In the first half of 2024 the number of companies filing
inflation against the back drop of the weak yen which has for bankruptcy rose 22% year-on-year to 4,887, the highest
pushed up prices for imports has undermined householder since 2014. At this rate Japan could see 10,000 bankruptcies
confidence. by year end.

Tapping vitality of the ASEAN market CHINA

The government has announced that specialised staff at Decline in log imports
diplomatic missions will be charged with of supporting According to China Customs log imports totalled 18.82 million
Japanese companies engaged in business in Asia. Dedicated cubic metres valued at US$3.268 billion in the first half of
offices will be established in Singapore, Thailand, Indonesia, 2024, down seven percent in volume and eight percent in
Vietnam and India. value over the same period of 2023. The average price for
The Japanese Foreign Minister said at a news conference imported logs was US$174 (CIF) per cubic metre, down one
that it is essential for Japan's economy to take in the vitality percent from the same period of 2023.
of the ASEAN market by backing up Japanese businesses Of total log imports, softwood log imports fell 11 percent
playing a role of expediting regional trade growth in the to 13.26 million cubic metres and accounted for 70 percent

designated countries. of the national total, down three percentage points from the
same period of 2023.
Japan and Pacific island agree host of new initiatives The average price for imported softwood logs declined
In mid-July the Tenth Pacific Islands Leaders Meeting (PALM10) 10 percent to US$131 (CIF) per cubic metre over the same
was held under the co-chairmanship of the Prime Minister of period of 2023. Hardwood log imports rose two percent to
Japan and Hon. Mr. Mark Brown, Prime Minister of the Cook 5.55 million cubic metres, accounting for 30 percent of the
Islands with the participation of leaders and representatives national total. The average price for imported hardwood logs

from 19 countries and regions including Japan, 14 Pacific rose six percent to US$276 (CIF) per cubic metre over the
Island countries, New Caledonia, French Polynesia, Australia same period of 2023.