Oleh/By		:	DATO' SERI DR. MAHATHIR BIN MOHAMAD 
Tempat/Venue 	: 	SRI PERDANA, KUALA LUMPUR 
Tarikh/Date 	: 	14/01/93 
Tajuk/Title  	: 	THE OFFICIAL DINNER IN HONOUR OF 
			HIS EXCELLENCY MR KIICHI MIYAZAWA 
			PRIME MINISTER OF JAPAN 



 
    May  I,  on  behalf of the people of Malaysia and on my
own behalf, extend a warm welcome  to  Your  Excellency  and
distinguished  members  of  your delegation to Malaysia.  We
feel deeply honoured by your visit which reflects the  close
ties  of  friendship  and  cooperation  that  exist  between
Malaysia and Japan.  The discussion and exchange of views we
had this morning on bilateral and  international  issues  of
common  interest  will no doubt enhance our understanding of
each other and contribute to closer  relations  between  our
two countries.
2.   We in Malaysia hold Japan in high esteem and admiration
for  its  success in rebuilding itself from the ashes of the
Second World War and emerging today as the leading  economic
power  in  the  world.   The achievement of Japan, a country
with few natural resources, is attributable to a  number  of
factors,  not  the  least of which are the hard work, disci-
pline and the high sense of motivation of the Japanese  peo-
ple.  Today,  Japan is able to share its resources to assist
developing countries.  Developing countries in Asia in  par-
ticular,  including  Malaysia,  have benefitted greatly from
Japan's economic and technical  assistance.    The  economic
linkages  that  developed  over  the  years  have made Japan
Malaysia's foremost trading partner and investor.    May  I,
therefore,  take  this  opportunity  to thank you, Mr. Prime
Minister, and through you the government and people of Japan
for the support and cooperation that have been  extended  to
Malaysia.
3.   Inspite  of  the  progress  we  have  achieved over the
years, Malaysia today remains a developing country.  Our ob-
jective is to work towards becoming a developed  country  by
the  year 2020.  In our quest for the fulfilment of this vi-
sion, we will continue to require access to  capital,  tech-
nology and market in the developed countries.
4.   In  an  increasingly interdependent world, Malaysia had
proposed the formation of the  East  Asia  Economic  Caucus.
There  is  a  tendency  to  think of regional groupings as a
trade bloc.  I would like to point out that  ASEAN,  one  of
the  most  successful regional groupings has been around for
almost a quarter of a century without becoming a trade bloc.
The ASEAN countries individually and collectively  have  re-
mained  opened to trade with the rest of the world.  Yet the
ASEAN countries have uniformly prospered.   What I  wish  to
point  out  is  that  regional  groups need not become trade
blocs in order to benefit from the grouping.
5.   The idea of the EAEC was prompted by our ASEAN  experi-
ence.   It is not a trade bloc.  It is to be a mere forum of
countries in close geographical proximity which also  happen
to  have  common  economic  ambitions.   Very often they are
faced with common problems, as for example  at  the  Uruguay
Rounds  of  the  General  Agreement on Tariff and Trade.  By
acting separately they have not been able to  influence  the
decision taken at such international trade talks.  Quite ob-
viously if they had taken a common stand and spoken with one
voice, it would be difficult for the international community
to  ignore  their  common  views.   Since all the East Asian
countries are trading nations,  much  dependent  on  a  free
trading  system,  they  would  be able to help preserve free
trade and combat protectionism.  A forum consisting  of  the
countries of East Asia would enable them to come together to
discuss  these common problems and to decide on their common
stand.  The EAEC can be such a forum.
6.   Presently Japan is the only East Asian country to be  a
member  of  the  powerful  group  of  seven nations.   Japan
recognises that the decisions taken by the  Group  of  Seven
can  affect the economic well-being of the countries of East
Asia.  Accordingly, Japanese Prime Ministers have made it  a
practice  to  get the views of East Asian countries prior to
attending a meeting of the Group.
7.   This is very welcome.  But since the views  were  given
without  prior  consultation between the East Asian nations,
it is more than likely that conflicting views  will  be  ex-
pressed.  The subjects too may differ.  As a result Japanese
interventions  at the group's meeting would be not as effec-
tive.
8.   How much better and how much more representative  Japan
would be if prior to attending the G-7 meeting, a meeting of
the East Asian countries is held and the most important com-
mon  problem  identified  and a consensual stand arrived at.
The Japanese Prime Minister would then be able to  represent
the East Asian countries more forcefully.  This again should
prove the usefulness of the EAEC.
9.   Finally, as with the ASEAN countries, the countries be-
longing  to  the EAEC are bound to learn from each other the
right approach to economic development.  More than that they
can help each other through investments and access  to  each
others'  markets.    In  the end, without ever closing their
markets to trade with the rest of the world, the members  of
the EAEC are bound to prosper.  Indeed, even now the process
of  learning  from each other has yielded results.  How much
more successful will their development be if they sit around
a table to discuss ways and means to help each other and  to
promote intra-regional trade.
10.  We fully appreciate Japan's position.  I merely want to
explain that the EAEC is not a trade bloc.  It is only a re-
gional forum.
11.  It  is  a  matter  of great pride to us that many ASEAN
countries including Malaysia, are now able  to  provide  as-
sistance  to  and  share  their  experiences  with our other
neighbours in Southeast Asia, now recovering from  years  of
conflict  and  economic stagnation.  We believe that helping
these countries in their economic reconstruction and  devel-
opment  and  bringing  them into the mainstream of Southeast
Asian economic life through closer association with, if  not
membership  of  ASEAN  itself, would contribute to the peace
and stability of the entire region.   Since assistance  from
the  ASEAN  countries alone would be rather limited, Japan's
participation in the reconstruction of the states  of  Indo-
China  would  make  a valuable contribution to the peace and
stability of the region.
12.  The decision of the Japanese  Government  to  send  its
troops on peace-keeping mission to Cambodia under the United
Nations' auspices was indeed historic.  Malaysia wholeheart-
edly  welcomes  the decision and hopes that Japan would par-
ticipate fully in the peace-keeping activities of the United
Nations.
13.  During this short visit to our country, you  would  not
fail  to  see  the  goodwill and admiration of the Malaysian
people towards Japan.  This is a feeling built over years of
close cooperation and understanding between  our  two  coun-
tries.    Let  us continue to build on this relationship and
expand our cooperation into a strong and durable partnership
that is mutually enriching.
14.  We wish you and members of your delegation  a  pleasant
and  enjoyable  stay  in this country and hope that you will
bring home with you favourable impressions about Malaysia.