In July, Japan’s Emperor Naruhito and Empress Masako visited Mongolia in a trip wrought with symbolism. In East Asia’s geographical configuration, changes in the external and domestic environment are playing a role in Ulaanbaatar and Tokyo’s renewed partnership.
Emperor Naruhito’s state visit to Mongolia — the first by a Japanese emperor — was highly symbolic, reflecting both historical reconciliation and a new era of partnership. The visit came shortly before the 80th anniversary of the end of World War II – in which Mongolia and Japan fought on different sides – as well as the 80th anniversary of the atomic bombing of Hiroshima and Nagasaki, which resulted in Japan’s surrender.
To Mongolia, this historical symbolism serves as a leading foreign policy tool. Ulaanbaatar has a strategic interest in having Japan as a third neighbor, as the relationship intertwines shared democratic values with economic and technological advantages.
In 2022, Mongolia and Japan upgraded their 2010 Strategic Partnership to a “Special Strategic Partnership for Peace and Prosperity.” The upgrade promised greater cooperation not only in the East Asia region but also extending to the Indo-Pacific. The augmented partnership aimed to implement human-centered development with a 10-year plan from 2022-2031. Ulaanbaatar is most keen to see cooperation in areas like investment, infrastructure, renewable energy, and technology. As of 2023, Japan had invested over $1 billion in Mongolia.
In recent years, Japan has shown more interest in Mongolia’s critical minerals, especially, copper, fluorspar, and rare earths that can be utilized for Japan’s advanced manufacturing in robotics, automobiles, and semiconductors.
In addition, Japan has invested in renewable energy. The government of Mongolia partnered with the Asian Development Bank, the Japan Fund for Joint Credit Mechanism, and the Strategic Climate Fund in the Upscaling Renewable Energy Sector Project. “Upon successful completion,” the ADB description noted, the project will deliver “clean electricity to 70,000 households while annually avoiding 82,789 tons of carbon dioxide emission.”
The United States’ slashing of financial commitments – including in the clean energy sector after its withdrawal from the Paris Agreement – will force regional actors like Mongolia, Japan, and South Korea to cooperate regionally and rely on each other.
To Japan, Mongolia’s cooperation on food security is crucial. There is growing concern for ensuring long-term food security, and Japanese policymakers have been seeking alternatives sources. The Special Strategic Partnership between Mongolia and Japan thus includes cooperation on food security, regenerative agricultural practices, forestry and fisheries.
While bilateral cooperation between Mongolia and Japan is crucial for people-to-people relations and developmental projects, in East Asian security context, the Japan-Mongolia relationship certainly carries geopolitical connotations.
Since 2011, Mongolia’s third neighbor policy has enlarged Ulaanbaatar’s foreign policy sphere. This is to Tokyo’s advantage, as Mongolia’s third neighbor initiatives serve as an additional platform for Japan to conduct diplomacy. These mechanisms support trilateral partnerships between Mongolia, Japan, and the U.S. and help promote peaceful resolutions to protracted challenges concerning denuclearization of North Korea, and abduction issues. The annual Ulaanbaatar Dialogue on Northeast Asia is one example.
Another element in the renewed Japan-Mongolia partnership is the changing geopolitical paradigm in East Asia, including the changing U.S. policy toward its Asian allies. Although this may not have a direct impact on Japan-Mongolia relations, it will impact the potential of Japan-Mongolia-U.S. trilateral mechanisms.
The Trump administration’s tariffs and emphasis on burden sharing are clear indications of the shrinking U.S. direct presence in the region.
Japan recognizes this change and is responding to it by strengthening relations with other partners, including Mongolia. Regional stability is crucial for both countries’ security and economic development.
For Mongolian foreign policy, in addition to having strong ties with Russia and China, robust third neighbor bilateral and trilateral mechanisms are crucial. Given the rising geopolitical uncertainties and sharpening of strategic competition, Mongolia and Japan’s strengthened relationship is indeed timely. Despite the current transition in Japanese leadership, the two governments will continue to cooperate toward a more focused, people-to-people level of partnership.