Ministry Of International Trade And Industry Research Articles

THE CONCEPTUALISATION OF HALAL CERTIFICATION ADOPTION MODEL AMONG SMALL AND MEDIUM-SIZED ENTERPRISES (SMES) IN MALAYSIA

This is a conceptual paper for a future study based on the review of the literature related to Halal certification adoption and the role of Resource-Based View (RBV) theory. Despite the Halal industry showing potential for a strong market both locally and globally, the number of Halal-certified Small and Medium-Sized Enterprises (SMEs) remains relatively low. This is partly due to challenges in meeting certification requirements, which are seen as complex and costly, as well as a lack of awareness and concern. Additionally, the Ministry of International Trade and Industry (MITI) has identified various challenges faced by Malaysian manufacturers, including a lack of competitiveness in areas such as processing technology, research and development, distribution networks, product quality, and branding. To address these issues, this study aims to investigate the reasons behind SME owners' reluctance to adopt Halal certification for their food products, and to develop an enhancement model and measurement instrument based on the Resource-Based View (RBV) theory. The paper went on to analyse the issues, concepts and objectives for the forthcoming study through several literatures of various disciplines. The conceptual paper signifies to supplement literatures for academics as reference for their research. The result of this future research may provide information to SMEs on factors and the significance of Halal certification adoption to enhance SMEs’ performance. It will also be relevant to policy-makers who design support mechanisms and schemes to promote the creation and growth of small firms.

Preliminary study on End-of-Life Vehicles recycling rate for Malaysia

Malaysia has yet to introduce a proper laws and regulations that allow appropriate disposal of End-of-Life Vehicles (ELV). Moreover, there are lacks data captured regarding the management of ELV across different management due to unknown practices and systems. The implementation of non-environmentally ELV processed which include river dumping has raised varied issues. Recently, Ministry of International Trade and Industry (MITI) and Malaysia Automotive, Robotics and IoT Institute (MARii) has introduced several measures starting with the introduction of national automotive policy towards the importance of reuse, repair, remanufacturing and recycle (4R) concept on ELV management and development of Authorised Automotive Treatment Facility (AATF) to dismantle ELV parts. To evaluate the importance and AATF functions, a study was conducted to examine and characterise AATF process in Malaysia and evaluate the wastes generated from the practices. From the initial results, the recycling rate of ELV done in AATF has managed to achieve 90%. Moreover, it is expected that more materials and components can be recycled and recovered due to the involvement of additional ELV treatment stakeholders.

The Emerging Power Play in the Mekong Subregion: A Japanese Perspective

The Emerging Power Play in the Mekong Subregion:A Japanese Perspective Kei Koga (bio) As one of the most active development donors in Southeast Asia, Japan has committed to socioeconomic development in the Mekong subregion since the end of the Cold War. However, as the Sino-U.S. rivalry intensifies, socioeconomic development in Asia, including the Mekong subregion, has become a theater for strategic competition. In 2013, China initiated the Belt and Road Initiative (BRI), raising its economic and political influence in the region through massive development assistance. For its part, Japan launched the Partnership for Quality Infrastructure (PQI) in 2015 to boost its assistance to Asia, and Tokyo strengthened its development cooperation with like-minded partners, particularly the United States, by establishing joint frameworks such as the OPIC-JBIC-Australia agreement on development finance in 2018 and the Blue Dot Network in 2019.1 Is the Mekong subregion destined to be subsumed into a power play of China versus Japan and the United States? This essay argues that Japan does not always aim to counterbalance China's growing influence in the Mekong subregion and could even play a role to ease geopolitical tensions in the region. Although the intensified U.S.-China strategic competition narrows Japan's diplomatic space to engage China, the Mekong subregion is still a potential area for Japan-China cooperation, mitigating the negative impact of great-power rivalry. Under the condition that China meets "quality infrastructure" standards, Japan and China could explore cooperation on development policy through a working-level bilateral dialogue, the ASEAN +3 (the Association of Southeast Asian Nations members plus China, Japan, and South Korea), and the East Asia Summit. The Development of Japan-Mekong Relations Japan's development commitment to the Mekong subregion began near the end of the Cold War, when Vietnam and Laos moved to become market [End Page 28] economies in the late 1980s and the Paris Peace Accords for Cambodia were signed in 1991. To facilitate the subregion's socioeconomic development, Japan created the Forum for Comprehensive Development of Indochina in 1993 to promote connectivity, such as the Greater Mekong Subregion's East-West Economic Corridor that aimed to improve transportation and economic integration between the states. Japan's Ministry of International Trade and Industry (MITI) and the ASEAN Economic Mechanism (AEM) also established the AEM-MITI Working Group of Economic Cooperation for Indochina and Myanmar in 1994 to facilitate market economy and infrastructure development.2 After ASEAN incorporated all five Mekong subregional states as members, Japan aimed to help address the "ASEAN divide"—the large economic and development gap between the original ASEAN members and the new members, Cambodia, Laos, Myanmar, and Vietnam (CLMV). Accordingly, when Cambodia, Laos, and Vietnam (CLV) proposed the concept of a "development triangle," they successfully solicited Japan for political and financial support.3 The countries then created the Japan-CLV framework, through which they held summits and foreign ministers' meetings annually from 2006 to 2008 to discuss subregional development schemes. From 2007 onward Japan's socioeconomic focus began to shift when it launched the Japan-Mekong Region Partnership Program. The program has three pillars: (1) economic integration, (2) trade and investment expansion, and (3) "universal values" and common goals, particularly the Millennium Development Goals.4 Japan then expanded its official development assistance (ODA) to the region and conducted negotiations for bilateral investment agreements with Cambodia and Laos, respectively. This Japan-Mekong framework was rapidly institutionalized through regular foreign ministers' meetings from 2008 and summits from 2009. The framework also gradually incorporated discussions over regional strategic [End Page 29] issues, such as the management of China's rapidly growing influence in the Mekong subregion.5 In 2010, Japan's intention to shape the subregional order based on existing international rules and norms grew clearer. It used the Japan-Mekong cooperation framework as a steppingstone for this agenda, corresponding with the U.S. "rebalancing" strategy and the Lower Mekong Initiative (LMI). To be sure, Japan still emphasized socioeconomic development as a top priority. The Tokyo Strategy 2012, which was issued during the 4th Mekong-Japan Summit and encapsulated three-year cooperative guidelines, aimed to build connectivity through infrastructure development, improve the investment environment...

Compartment-Specific Screening Tools for Persistence: Potential Role and Application in the Regulatory Context.

The persistence assessment under the European Union regulation Registration, Evaluation, Authorisation and Restriction of Chemicals (REACH) relies on compartment-specific degradation half-lives derived from laboratory simulation studies with surface water, aquatic sediment, or soil. Although these data are given priority, they are not available for most of the compounds. Therefore, according to the Integrated Assessment and Testing Strategy (ITS) for persistence assessment, results from ready biodegradability tests (RBTs) are used within a persistence screening to decide whether a substance is considered as "not persistent" or "potentially persistent." However, ready biodegradability is currently tested only in water. Consequently, there is a lack of approaches that include the soil and sediment compartments for persistence assessment at the screening level. In previous studies, compartment-specific screening tools for water-sediment (Water-Sediment Screening Tool [WSST]) and soil (Soil Screening Tool [SST]) were developed based on the existing test guideline Organisation for Economic Development and Co-operation (OECD TG 301C [MITI (Ministry of International Trade and Industry, Japan) test]). The test systems MITI, WSST, and SST were successfully applied to determine sound and reliable biodegradation data for 15 test compounds. In the present study, these results are used within the scope of a new alternative persistence screening approach, the Compartment-Specific Persistence Screening (CSPS). Compared to the persistence screening under REACH, the CSPS is a more conservative approach that provides additional reasonable results, particularly for compounds that sorb to sediment and soil, and for which the current standard persistence screening might be insufficient. Thus, the CSPS can be used to identify potentially persistent and nonpersistent compounds in the regulatory context by a comprehensive assessment that includes water, soil, and sediment. Moreover, experimentally determined half-lives from the compartment-specific screening tools can be used as input for multimedia models that estimate, for example, overall persistence (Pov ). The application of fixed half-life factors to extrapolate from water to soil and sediment, which is here demonstrated to be inappropriate, can thereby be avoided. Integr Environ Assess Manag 2019;00:000-000. © 2019 SETAC.

Brand Orientation in Small and Medium Enterprises (SMEs) from Malaysian Government Perspective

The purpose of thisstudy isto develop a brand orientation model based on Malaysian SMEs context. Semistructured interviews were selected as the research method in order to get an expert opinion from Small and Medium Size Enterprise Corporation Malaysia (SME Corp) and Malaysia External Trade Development Corporation (MATRADE). Both agencies operate under Ministry of International Trade and Industry (MITI) to support SMEs and they were chosen for this study because they have long experience in promoting branding to SMEs. Four major levels of brand orientation have emerged from the data analysis: absent, low, medium, and high. This paper highlights the importance of branding for Malaysian SMEs and emphasizes the crucial issues related to the adoption of branding process and the solutions provided by Malaysian government to enhance brand development. This research is among the restricted works that have studied brand orientation from the governmental perspective and have proposed a related model. It suggests considering the proposed model and referring to SME Competitiveness Rating for Enhancement (SCORE) for future studies on branding in Malaysian SMEs.

Preventing intangible technology transfer (ITT) on the Internet and telecommunications for bioterrorism through Malaysia's Strategic Trade Act 2010 (STA 2010)

Malaysia's Strategic Trade Act 2010 (STA 2010) was drafted to address export controls and associated trade controls such as transit, transhipment and brokering in the fulfilment of the Biological and Toxin Weapons Convention (BTWC), Chemical Weapons Convention (CWC), Non-Proliferation Treaty (NPT) and the United Nations Security Council (UNSC) Resolution 1540, which broadly address the proliferation of nuclear, biological and chemical weapons. Terrorists have been known to utilise websites and emails to place manuals, instructions, blueprints and other documents, known as Intangible Technology Transfer (ITT), to incite and encourage their peers to create biological weapons; subsequently, to launch an attack of bioterrorism. Simultaneously, terrorists may camouflage their identity and attend oral and visual exchanges such as teleconferences, virtual meetings and skills training sessions that disseminate relevant information on biological weapons. This makes it possible for terrorists who already possess some background knowledge of biological weapons to further their interests in creating these weapons. The objective of this study is to analyse Malaysia's STA 2010 concerning relevant provisions that are able to address the threat of ITT over the internet and telecommunications by terrorists in the context of disseminating knowledge of biological weapons to perpetuate bioterrorism. The results show that the provisions of Sections 2, 4, 9 and 10 of STA 2010 are relevant in addressing the ITT of individuals using the internet to encourage creating biological weapons abroad by involving extraterritorial jurisdiction, extradition and mutual assistance in criminal matters. This study concludes that Malaysia's Ministry of International Trade and Industry (MITI) and the Malaysian Communications and Multimedia Commission (MCMC), implementers of the STA 2010, must deliberate on these unclear matters and draft detailed guidelines to direct Malaysian researchers and academics, learning from the examples of other countries.

Strengths and Weaknesses among Malaysian SMEs: Financial Management Perspectives

In Malaysia, 97.3% of business establishments are comprised of small and medium enterprises (SMEs) which account for about 52.7% of total employment that is generated in the country. Malaysian government through the Ministry of International Trade and Industry (MITI) and its agencies works hard on assisting SMEs through various activities to promote exposures on prudent financial management. This paper aims to identify the financial strengths and weaknesses face by SMEs in helping those entities to plan appropriate financial management programme. Semi- structured interviews were conducted among thirty five SMEs that are willing to participate voluntarily. This study found that capital is the key elements in both strengths and weakness among SMEs. Running the business without any external capital (loan) reducing the financial risk of the business. It will be easier for the managers to make business decisions without any constraint as there is no limitation set by fund provider. The study also revealed capital insufficiency is the crucial problems among SMEs which might due to the difficulties to obtain external fund. Although the results should be taken with caution, nevertheless financial management is vital in order to face new business challenges as well as for the survival of the business in the future.

External validation of structure-biodegradation relationship (SBR) models for predicting the biodegradability of xenobiotics

Biodegradation is an important mechanism for eliminating xenobiotics by biotransforming them into simple organic and inorganic products. Faced with the ever growing number of chemicals available on the market, structure–biodegradation relationship (SBR) and quantitative structure–biodegradation relationship (QSBR) models are increasingly used as surrogates of the biodegradation tests. Such models have great potential for a quick and cheap estimation of the biodegradation potential of chemicals. The Estimation Programs Interface (EPI) Suite™ includes different models for predicting the potential aerobic biodegradability of organic substances. They are based on different endpoints, methodologies and/or statistical approaches. Among them, Biowin 5 and 6 appeared the most robust, being derived from the largest biodegradation database with results obtained only from the Ministry of International Trade and Industry (MITI) test. The aim of this study was to assess the predictive performances of these two models from a set of 356 chemicals extracted from notification dossiers including compatible biodegradation data. Another set of molecules with no more than four carbon atoms and substituted by various heteroatoms and/or functional groups was also embodied in the validation exercise. Comparisons were made with the predictions obtained with START (Structural Alerts for Reactivity in Toxtree). Biowin 5 and Biowin 6 gave satisfactorily prediction results except for the prediction of readily degradable chemicals. A consensus model built with Biowin 1 allowed the diminution of this tendency.

In Silico Assessment of Chemical Biodegradability

Biodegradation is the principal environmental dissipation process. Due to a lack of comprehensive experimental data, high study cost and time-consuming, in silico approaches for assessing the biodegradable profiles of chemicals are encouraged and is an active current research topic. Here we developed in silico methods to estimate chemical biodegradability in the environment. At first 1440 diverse compounds tested under the Japanese Ministry of International Trade and Industry (MITI) protocol were used. Four different methods, namely support vector machine, k-nearest neighbor, naïve Bayes, and C4.5 decision tree, were used to build the combinatorial classification probability models of ready versus not ready biodegradability using physicochemical descriptors and fingerprints separately. The overall predictive accuracies of the best models were more than 80% for the external test set of 164 diverse compounds. Some privileged substructures were further identified for ready or not ready biodegradable chemicals by combining information gain and substructure fragment analysis. Moreover, 27 new predicted chemicals were selected for experimental assay through the Japanese MITI test protocols, which validated that all 27 compounds were predicted correctly. The predictive accuracies of our models outperform the commonly used software of the EPI Suite. Our study provided critical tools for early assessment of biodegradability of new organic chemicals in environmental hazard assessment.

The Japanese model in retrospective: industrial strategies, corporate Japan and the ‘hollowing out’ of Japanese industry

This article provides a retrospective look at the Japanese model of industrial development. This model combined an institutional approach to production based around the Japanese Firm (Aoki's, J-mode) and strategic state intervention in industry by the Japanese Ministry of International Trade and Industry (MITI). For a long period, the alignment of state and corporate interests appeared to match the wider public interest as the Japanese economy prospered. However, since the early 1990s, the global ambitions of the corporate sector have contributed to a significant ‘hollowing out’ of Japan's industrial base. As the world today looks for a new direction in economic management, we suggest the Japanese model provides policy-makers with a salutary lesson in tying the wider public interest with those of the corporate sector.

Probable fungal origin of perylene in Late Cretaceous to Paleogene terrestrial sedimentary rocks of northeastern Japan as indicated from stable carbon isotopes

Abstract Perylene is present in high concentration in Paleogene sediments from the Sanriku-oki borehole of the Ministry of International Trade and Industry (MITI), northeastern Japan. The borehole penetrates a thick sequence of Late Cretaceous to Neogene sediments deposited under a range of conditions, including fluvial–deltaic and shallow marine. Organic petrological and geochemical data show the sediments to be rich in organic matter (OM) derived from higher plants. Biomarker analysis of aliphatic and aromatic hydrocarbons confirms a significant input from higher plants, with extracts dominated by numerous gymnosperm- and angiosperm-derived biomarkers such as diterpanes, oleanenes, des-A-triterpanes and their aromatized counterparts. The highest concentration of perylene occurs in Middle Eocene sediments deposited in a relatively reducing environment. Stable carbon isotope compositions show 13C enrichment in perylene compared to gymnosperm and angiosperm biomarkers, consistent with a fungal origin. This elevated abundance of sedimentary perylene could relate to a Paleogene continental climate where fungi probably flourished.

Measuring the perception of Malaysian SME towards e-commerce as an innovation

This paper presents a quantitative study in measuring the perception of Malaysian SME towards ecommerce as an innovation and factors affecting the adoption of it. It is concerned with initiatives that are intended to help SME in Malaysia to adopt E-commerce as an innovation. The research has two main emphases: First, it presents some preliminary findings on the perception of Malaysian SME towards E-commerce as an innovation; and the level of confidence towards E-commerce as an innovation. Second, it streamlines various initiatives by Ministry of International Trade and Industry (MITI), Small and Medium Industries Development Corporation (SMIDEC), BankNegara Malaysia and local governments in accelerating the acceptance of E-commerce by Malaysian SME. The study engaged 38 SME participants through a survey using a self-administered questionnaire. 32% of the surveyed SME are from the Type 1 Industry; comprising manufacturing, manufacturing related services, and agro-based services and about 68% are from Type 2 Industry comprising services, primary agriculture, and ICT. The self administered questionnaire consists of two sections. Section I contains demographic information and SME specification while Section II contains 37 items: 31 items utilised Likert Scales items ranging from 1 (strongly disagree) to 5(strongly agree), and six items utilised defined interval scales. Rogers' attributes of innovations (2003): relative advantage, compatibility, complexity, trial ability and observability were used in the construct of the research instrument. This research emphasizes on Rogers'framework, as it was found useful where the study sought to understand the diffusion and use of Ecommerce by Malaysian SME in the investigation. Descriptive statistics were used to analyse and present empirical data of the 38 SME. The results from the quantitative data provided information on addressing barriers to SME, and confirmed the characteristics of Rogers' adoption categories. The study shows that the instrument which was designed with seven constructs lacked internal consistency in two determinants: relative advantage and observability. Findings interpreted through Rogers' theory suggest that an action plan should include initiatives to help SME towards E-commerce as an innovation.

Technology Importation, Corporate Strategies, and the Rise of the Japanese Semiconductor Industry in the 1950s

During the 1950s, the Japanese semiconductor industry rose from nothing to a level that was roughly on par with that of the United States. It is undeniable that this was due in large part to the importation of advanced technology from leading U.S. firms. In the process of technology transfer from the United States to Japan, previous scholars have emphasized the importance of the role played by the highly restrictive government technology-importation policy during this period. The aim of this article is to analyze this story from the perspective of Japanese companies, which exhibited divergent strategies for acquiring foreign technology. These strategies were shaped by complex calculations that took into account firms' organizational capability and U.S. licensing practices and antitrust policy, as well as the technology-importation policy of MITI (Japanese Ministry of International Trade and Industry). In short, this article argues that Japanese firms were not passive receptors, but active agents in shaping the pattern of technology importation.

Coordination of plant investment in the petrochemical industry

The purpose of this paper is to describe how coordination of plant investment in the petrochemical industry by the Ministry of International Trade and Industry (MITI) did not achieve its originally intended function.In 1967, MITI established a 300,000 ton standard for annual production of ethylene in order achieve economies of scale and strengthen international competitiveness. This standard sets the minimum size for new ethylene manufacturing facilities at annual production of 300,000 tons. In this way, MITI aimed to avoid overcapacity and consolidate investment. Part of the background behind establishing this standard was the ulterior motive of leading firms, who wished to block the entry of relatively weak latecomer firms.The intentions of MITI and the leading firms were realized comparatively well, based on the 300,000 ton standard, in initial coordination of plant investment. Facility construction was only approved for 5 companies, primarily leading firms. Furthermore, the scale of investment in the overall industry was restrained at a smaller scale than would have been the case had each firm invested freely.However, demand for petrochemical products subsequently increased more than expected, resulting in a situation different from that which was originally intended. In later coordination of plant investment, MITI concluded that it was necessary to construct more facilities to satisfy future demand, in response to the growth in demand at that time. Accordingly, new facility construction by 4 companies was gradually recognized. Due to growth in demand, MITI's policy of blocking the entry of latecomer firms lost its legitimacy. In the final phase, MITI recognized active construction of new facilities to match the increase in demand.

Sociopsychological Analysis of Japanese Industrial Policy: The Sumitomo Metals Incident

Abstract: In the 1960s, the former Japanese Ministry of International Trade and Industry (MITI) controlled key industries through its industrial policy. It is commonly believed that this policy was based on an economic rationale. In particular, the MITI justified what are known as recession cartels on the grounds that reducing production volume would prevent destructive competition. Our purpose is to go beyond this current economic understanding via a sociopsychological analysis. We focus on the so‐called Sumitomo Metals incident of 1965 when the Sumitomo Metals Company refused to follow the MITI guideline demanding a reduction in steel production. This was the first such incident in which a private company explicitly refused to abide by MITI administrative guidance. We hold that the industrial policy was not necessarily based on an economic rationale. Sumitomo was alone enjoying profit while all other companies were suffering loss. The MITI and major steel manufacturers insisted, without economically sound reasoning, that Sumitomo should reduce its steel exports. On an economic basis, however, steel exports should have been promoted, not restricted, to counterbalance the domestic recession. The whole incident was a sociopsychological battle disguised as an economic debate, and the economic argument of the MITI and other steel manufacturers was actually an elaborate scheme of psychological rationalization. Their severe denouncement of Sumitomo is best explained by the psychological defense mechanisms of projection and displacement. Furthermore, the recession cartel in this case was essentially a ritual of collective suffering under the orchestration of state authority.

Escaping the Japanese Pyramid: The Association of Small and Medium Sized Enterprise Entrepreneurs (SME Doyukai), 1947–1999

In Japanese society the pinnacle of economic and political power resides in Tokyo conglomerates and elite ministries: the Ministry of International Trade and Industry (MITI) and the Ministry of Finance. Until now, the story of this power arrangement has been told from the perspective of national bureaucrats and big business executives. The image projected to the outside world has been of cooperative, trust-based relational contracting with big business at the top “taking care” of its suppliers and subsidiaries below. The story from the bottom, however, is one of technology expropriation (of patentable technology) and monopsony squeeze (unilateral cost-down demands, for example). Firms unwilling to toe the line have been wholly excluded from access to the benefits reserved for those at the top of the pyramid, where one finds lucrative main bank financing, government support, and copious technological information.This article offers a historical narrative of the political struggle by independent-minded entrepreneurs in postwar Japan. Central to the struggle has been the challenge of building broad-based coalitions to avoid becoming embedded in these hierarchies while at the same time trying to obtain alternative sources of finance and technological know-how. The most successful example of such efforts is the Association of Small and Medium Size Enterprise Entrepreneurs (SME Doyukai). The SME Doyukai has somehow managed to remain completely independent from the state, while most other small business associations have not. This independence has not been free, and the association has gone through a number of institutional dilemmas as a result. We analyze these dilemmas over time and offer comparative lessons.

Escaping the Japanese Pyramid: The Association of Small and Medium Sized Enterprise Entrepreneurs (SME Doyukai), 1947–1999

In Japanese society the pinnacle of economic and political power resides in Tokyo conglomerates and elite ministries: the Ministry of International Trade and Industry (MITI) and the Ministry of Finance. Until now, the story of this power arrangement has been told from the perspective of national bureaucrats and big business executives. The image projected to the outside world has been of cooperative, trust-based relational contracting with big business at the top “taking care” of its suppliers and subsidiaries below. The story from the bottom, however, is one of technology expropriation (of patentable technology) and monopsony squeeze (unilateral cost-down demands, for example). Firms unwilling to toe the line have been wholly excluded from access to the benefits reserved for those at the top of the pyramid, where one finds lucrative main bank financing, government support, and copious technological information.This article offers a historical narrative of the political struggle by independent-minded entrepreneurs in postwar Japan. Central to the struggle has been the challenge of building broad-based coalitions to avoid becoming embedded in these hierarchies while at the same time trying to obtain alternative sources of finance and technological know-how. The most successful example of such efforts is the Association of Small and Medium Size Enterprise Entrepreneurs (SME Doyukai). The SME Doyukai has somehow managed to remain completely independent from the state, while most other small business associations have not. This independence has not been free, and the association has gone through a number of institutional dilemmas as a result. We analyze these dilemmas over time and offer comparative lessons.

Building Institutional Capacity in Southeast Asia: Regional Governed Interdependence

I. Introduction The Japanese nation-state has created regionwide in association with the nation-states in Southeast Asia. Japanese government officials, perhaps particularly from the Ministry of International Trade and Industry (MITI), renamed the Ministry of Economy, Industry and Trade (METI) in 2001, consider that a close government-business relationship facilitates more rapid economic than the laissez-faire market system. The literature on the focuses on policies. However, the essence of the can be seen not only in the domestic matter of industrializing or restructuring industry, but also in the international strategy of the state. This study argues that the Japanese nation-state has been building institutional capacity in Southeast Asia to foster, in effect, the regionalization of the Japanese developmental or a interdependence of the Japanese state, ASEAN member states and Japanese capital throughout the region. In so doing, the Japanese governmentbusiness relationship has taken the initiative, particularly in developing small- and mediumsized enterprises (SMEs) within Southeast Asia, in transferring technology selectively, fostering human resource and expanding and elaborating physical infrastructure. The regionalization of Japanese production networks has been simultaneously a project of developing institutional and technical capacities under the guidance of the Japanese and capital. This study begins with identifying the concepts of the developmental state and interdependence in East Asia. A second issue to be examined is the form of expansion of interdependence in Southeast Asia. A committee known as AEM-MITI/METI Economic and Industrial Co-operation Committee (AMEICC), the joint product of the ASEAN Economic Ministers (AEM) and MITI/METI will be represented as an exemplar of the regionalization of governed interdependence, and as an illustration of how this and its implications are to be understood in politico-economic terms. II. Governed Interdependence in East Asian Developmental States Developmental theorists (or statists) stress the importance of guidance and intervention in economic development. They argue that the remarkable aspects of Northeast Asian industrialization, in particular that of Japan, South Korea, and Taiwan, were brought about not by market forces but by the role of the in cooperation with private capital. Development was achieved by management of the market, industrial strategies, public investment, and export strategies reflecting state-business co-operation. The notion of the was articulated by Chalmers Johnson (1982) and adopted by Amsden (1989), Wade (1990), and Weiss and Hobson (1995), among others. Johnson's contribution was to raise an alternative explanation of economic to that being purveyed by the American-dominated development economics literature of the time. In Johnson's perspective, Japan's performance challenges that of the AngloAmerican free economies and also challenges claims made for the capacities of socialist economies. In regard to the state-business relationship in the states, Johnson (1999, p. 60) mentioned that [t]he concept developmental state means that each side uses the other in a mutually beneficial relationship to achieve goals and enterprise viability. When the is working well, neither the officials nor the civilian enterprise managers prevail over the other. The government-business relationship in East Asia has been more institutionalized than that of other nations. Weiss and Hobson have subsequently described the mutually beneficial relationship as the interdependence of and business (Weiss and Hobson 1995; Weiss 1995 and 1998). …

The Uncertain but Crucial Relationship between a ‘New Energy’ Technology and Global Environmental Problems

This paper describes, analyses and illuminates complex unnoticed aspects of the ’Sunshine’ project in Japan. The ‘Sunshine’ project was launched by the Ministry of International Trade and Industry (MITI) as a large-scale and long-term project with the aim of developing ‘new energy’ technology. It continued from the 1970s through the early 1990s. Particular reference is made to the unexpectedly complex relationship between the ocean thermal energy conversion technology developed by the project and stratospheric ozone depletion. The paper shows that the unexpected and complex relationship between ‘new energy’ technology development and irreversible environmental change can be reduced to the problems of assessment and decision-making in situations of uncertainty. Based on this insight, a model for assessing large-scale, long-term technological development projects through a reflexive ‘feedback-for-learning’ channel is proposed. Finally, the paper introduces a sociological implication of the study: the principle of ‘mild freezing’, a perspective that builds upon and complements the precautionary principle.

Changing Paradigms for Japanese Technology Policy: SMEs, Universities, and Biotechnology

In the 1980s and early 1990s, major US government studies and popular press reports argued that Japanese firms were about to take the lead in the biotechnology industry, following a pattern established in the semiconductor and other industries where large Japanese firms had led the way in commercializing radically new technologies such as the transistor. The Japanese model included coordination by the Ministry of International Trade and Industry (MITI) or, occasionally, other ministries. New technology was often developed by government-subsidized research cooperatives made up of leading firms. Large firms commercialized the new technology, supported by financing from keiretsu banks and the development of complementary technologies by partner firms. If start-up firms in the US or elsewhere developed relevant technologies, the Japanese bought them. It soon became clear, however, that the US model, linking universities, venture capital-backed start-ups, and large firms, was outperforming the Japanese model in biotechnology. The Japanese undertook reforms to make their system more like that of the US. This paper describes these changes and makes a preliminary assessment of their success.