A three-way investment deal involving Japan, China and South Korea will take effect Saturday, China’s Commerce Ministry said, despite tension between the neighbors.
The China-Japan-Republic of Korea Agreement for Promotion, Facilitation and Protection of Investment has been signed by all three countries two years after the deal was reached in May 2012, the official Xinhua News Agency said Wednesday, citing the ministry.
The agreement will create “stable, favorable and transparent conditions for investment,” Xinhua said.
Implementation of the deal comes as China and Japan have waged a war of words over the Senkaku Islands in the East China Sea.
Japanese and Chinese patrol ships and aircraft have been playing cat and mouse near the islands, and the United States, despite President Barack Obama’s assurances that it would defend Japan, is wary of being drawn into any clash in the sensitive region.
The three countries are also negotiating a trilateral free trade deal, though any breakthrough is unlikely to occur for a long time.