A Look At how Japan Lost The $40 Billion Australian Submarine Deal

Australia's then Prime Minister Tony Abbott speaks with Japan's Prime Minister Shinzo Abe during a trilateral meeting with U.S. President Barack Obama (not pictured) at the G20 leaders summit in Brisbane November 16, 2014. REUTERS/Ian Waldie/pool

Tim Kelly, Cyril Altmeyer and Colin Packham, Reuters: How France sank Japan's $40 billion Australian submarine dream

In 2014, a blossoming friendship between Australian Prime Minister Tony Abbott and his Japanese counterpart Shinzo Abe looked to have all but sewn up a $40 billion submarine deal. Then French naval contractor DCNS hatched a bold and seemingly hopeless plan to gatecrash the party.

Almost 18 months later, France this week secured a remarkable come-from-behind victory on one of the world's most lucrative defense deals. The result: Tokyo's dream of fast-tracking a revival of its arms export industry is left in disarray.

Interviews with more than a dozen Japanese, French, Australian and German government and industry officials show how a series of missteps by a disparate Japanese group of ministry officials, corporate executives and diplomats badly undermined their bid.

Read more ....

WNU Editor: The Japanese thought they already had the deal, but the French and Germans realized that they did not, and the deal maker was on the issue of Australian jobs. This is a surprise .... the Japanese are the ones who have the reputation of making tough deals, but it looks like this reputation is no longer deserved.

Japan, Australia To Hold Security Talks

File photo shows Australian soldiers in Afghanistan. Australia's foreign affairs and defence ministers will travel to Japan this week for talks on boosting security cooperation between the Pacific allies, Tokyo said Tuesday. (AFP/File/Shah Marai)

From Yahoo News/AFP:

TOKYO (AFP) – Australia's foreign affairs and defence ministers will travel to Japan this week for talks on boosting security cooperation between the Pacific allies, Tokyo said Tuesday.

It will be the second so-called "two-plus-two" meeting since the nations signed a security pact last year, officially pacifist Japan's first such deal other than its military alliance with the United States.

The countries' foreign affairs and defence ministers "will discuss the international situation and specific ways to enhance security cooperation between Japan and Australia," a Japanese foreign ministry statement said.

Read more ....