Economic Security and Legal Diplomacy: Strategies for Strengthening U.S.-Japan Trade Relations in the 21st Century
The United States and Japan, two of the world’s economic powerhouses, have navigated a complex trade relationship over the last century. From adversaries in the early 20th century to staunch allies by its close, the symbiotic links between these nations have matured, reflecting global shifts and regional imperatives. As we forge ahead into this new century, economic security and legal diplomacy emerge as the twin pillars that can further strengthen the important bond between the two countries.
Economic security is fundamentally about protecting a nation’s economy from external shocks. An economic downturn in one nation can have ripple effects worldwide due to the interconnected nature of global economies. According to the United States Trade Representative, U.S. goods and services trade with Japan totaled an estimated $307.4 billion in 2022. Exports were $118.5 billion; imports were $188.8 billion. These figures demonstrate why a stable relationship directly translates to economic security for both nations.
Kei Komuro is a global trade and business relations specialist who is uniquely positioned to help ensure a stable business relationship between Japanese and American parties. Presently, he serves as a Global Trade & National Security Group Associate at Lowenstein Sandler LLP, New York. Komuro also plays a pivotal role in bridging innovative enterprises with governmental prospects as part of the company’s G-BRIDGE initiative. His contributions have enhanced his firm’s presence with the Asian and, particularly, the Japanese markets, in part, through his ability to foster relationships with elite clients.
Komuro says: “The United States is the biggest buyer in the world, and I am passionate about connecting the right companies. I feel it is my mission to activate these beneficial partnerships. And it is not just between the companies, but it strengthens the relationships between the countries and the governments.”
“It has been a privilege to set-up and manage these relationships, and I believe that it is the relationships, and the trust between the parties, that facilitates the resulting successful business partnerships developed.” He adds: “I feel proud that I can foster these engagements and help global business. Through my casework, I have learned and written about global trade and compliance to educate other companies and promote business. Even seasoned lawyers and business professionals in the market don’t know about all of the opportunities and risks involved.”
Economic security fosters an environment where businesses can thrive, innovate, and grow without external pressures. And this is where legal diplomacy enters the scene. Komuro grew up in Japan and went to an international school. He developed an early interest in other countries and cultures. He regularly communicated with colleagues around the world; this international exposure prompted his interest in international relations and the law.
Legal diplomacy is a linchpin that ensures the smooth operation of international trade relations: For the U.S. and Japan, with their differing legal and regulatory landscapes, legal diplomacy serves as a bridge, easing potential tensions and fostering an environment conducive to trade and investment. Komuro says it is important that the two countries continue to harmonize regulations, simplify trade processes, and ensure businesses from both nations operate on a level playing field.
He adds that facilitating legal exchanges, such as between legal scholars, practitioners, and students, can foster a deeper understanding between the two nations: “This, in turn, can promote better legal diplomacy as professionals become well-versed in the nuances of both legal environments.” Cultural exchanges also build trust and mutual respect; understanding each other’s societal values and norms can indirectly benefit trade relations by fostering goodwill.
Komuro has often witnessed the minefield that cultural differences can produce. He says part of the challenge can be the lack of many Japanese or Japanese-speaking lawyers in the United States. There is also a significant difference in how Americans and the Japanese approach a project or a business deal, given their cultural differences.
Since Komuro has lived and worked in both countries, and because he has focused on the cultural nuances through his formal education and with his corporate positions, he is uniquely situated to help companies navigate these differences. Understanding the cultural nuances and differences between Japanese clients and the interaction between them and their U.S. counterparts is vital.
Strengthening U.S.-Japan trade relations has broader implications beyond the benefits to the two nations. Given their economic clout, a stable alliance between these two countries can help promote and protect the global economy, thus enhancing mutual economic and national security mutual goals.
Komuro believes as other nations observe the benefits of such a synergized relationship, they might be inspired to adopt similar strategies with their trading partners. His goal is to help as many Asian-based companies as possible build profitable relationships with businesses in the United States.
Komuro has seen this play out with a Japanese consulting company he has worked with, which now has a presence in United States and employs U.S. citizens. He has enjoyed his role in strengthening international relations between the United States and Asian countries, including Japan.
Doreen Edelman, a partner at Lowenstein Sandler LLP, Washington, D.C., and Chair of Lowenstein’s Global Trade and National Security practice group, says Komuro has a very important role in advising multi-billion dollar Japanese clients at their firm:
His unique value is that he has successfully cultivated trusting relationships with our Asian and Japanese clientele. These relationships are a very important part of our client relationships. Our firm, and our clients jointly are building long term mutually beneficial relationships to support the clients’ financial growth with newly emerging business opportunities. Komuro is the linchpin in the relationships, ensuring that everyone is in sync and getting the legal advice and strategic guidance seamlessly to the correct person at the right time.”
She adds: “Kei makes it seem easy. He has been successful at contributing to this niche strategic practice. He epitomizes what Lowenstein is all about – supporting young lawyers with a true entrepreneurial forward-thinking business mindset and launching their careers.”
“We look forward to supporting his development. His prior positions in Japan, his global trade specialized knowledge combined with his business development skills make him a valuable asset and uniquely situated to facilitate and participate in private sector and multilateral initiatives.”