Asia

Diplomatic relations between Japan and the People's Republic of Mongolia were established on February 24, 1972.

In 2012, the two countries celebrated the 40th anniversary of their diplomatic relations.

Since Mongolia’s democratization in 1990, Japan has consistently supported the country’s efforts in democratization and transition to market economy.

In 1996, the two countries set out the goal of building a “Comprehensive Partnership”. In 2010, the two countries identified the development of a “Strategic Partnership” as their shared diplomatic goal.

1. Recent Political Ties

(1)2010:Building a Strategic Partnership

President Tsakhia ELBEGDORJ’s visit to Japan in November 2010.

The two countries identified the development of a Strategic Partnership as their shared diplomatic goal.

(2)2012: New level of expanded commercial relations

Prime Minister Sukhbaatar BATBOLD’s visit to Japanin October 2012.

Joint statement to start negotiation on Japan-Mongolia Economic Partnership Agreement (EPA)

(3)2013~: Developing a Strategic Partnarship

Prime Minister Abe’s visit to Mongolia in March 2013. The two countries shared the intention to enhance mutual relations based on the following three pillars.

• (i) Politics and security (e.g., development of multi-layered dialogue frameworks, incl. launch of Japan-U.S.-Mongolia policy dialogue)
• (ii) Economy (“ERCH Initiative” for achieving vibrant economies in the two countries)
• (iii) People-to-people exchanges (e.g., invitation of around 300 Mongolian youths to Japan through JENESYS 2.0 program)

Prime Minister Altankhuyag’s visit to Japan in September 2013. The two countries issued “Joint Statement” and “Mid-term Action Plan”, which would become a basis for the two countries to elevate their “strategic partnership” to even higher levels and further strengthen their mutually beneficial and complementary relationship.

The outline of Mid-term Action Plan:

• (1) Political and Security Relations (Strengthening high-level dialogue, vitalization of inter-foreign ministry Politico-Military consultations,　defense exchanges, Japan-U.S.-Mongolia policy dialogue, and cooperation at regional and international fora)
• (2) Cooperation in Economic Areas (Development of investment and business environment, Cooperation for Mongolia’s sustainable economic development)
• (3) Cultural and People-to-People exchanges (Exchanges between parliaments, parliamentarians, activities of the two countries’ friendship parliamentary groups, Youth exchange, Exchanges between students, private sector friendship groups, municipalities, etc.)

President Elbegdorj’s visit to Japan in July 2014. The two countries signed “Joint statement on the agreement in principle in the negotiations of the Japan-Mongolia EPA, and the promotion of trade and investment between Japan and Mongolia.”.

2. Economic Ties

• The volume of trade and investment between Japan and Mongolia remains moderate. The both sides share views on the importance of promoting both-way trade between the two countries.

Total Japan-Mongolia trade （as of 2013, the Ministry of Finance, Japan）31.1 billion yen. (27.4 billion yen surplus in Japan’s favor)

Exports to Mongolia: 29.3 billion yen.

Imports from Mongolia: 1.8 billion yen.

Japanese direct investment in Mongolia (as of 2012)

US$ 34.24 million (12th largest amount)

After 7 rounds of negotiations, Japan-Mongolia Economic Partnership Agreement (EPA) has reached an agreement in principle.

The 6th meeting of ”Japan-Mongolia Public and Private Sector Joint Committee on Trade and Investment Promotion and on Mineral Resources Development”, a framework of public and private-sector dialogue for discussing promotion of trade, investment, and resource development, was held in Ulaanbaatar on May 5, 2013. Both sides shared the views to enhance this committee through such measure as discussions on specific projects, etc.

JETRO, in cooperation with Mongolian chamber of commerce and Industry held the first “Japan Business Fair in Mongolia” in Ulaanbaatar on May 3-4, 2013.

3. People-to-People Exchanges

Japan and Mongolia have mutually favorable national sentiment partly owing to professional sumo (four grand champions Yokozuna hail from Mongolia), popularity of Japanese-language education in Mongolia. The two country will actively promote people-to-people exchanges to further develop and stabilize such emotional ties between their people through.

• Promotion of multilayered exchanges (between parliamentarians & private bodies)
• Promotion of exchange program

• Japanese residents registered in Mongolia: 420 (as of Oct 2013)
• Mongolian residents registered in Japan: 5,789 (as of June 2013)
• Mongolian students in Japan: 1,552 (as of June 2013, 11th in nationality rankings)

• List of Exchange of Notes

• Japan’s ODA to Mongolia (PDF)

Bilateral Assistance: 216,262 million yen (accumulated total as of 2012)

Grant Aid: 102,323 million yen

Loan Aid: 77,358 million yen

Technical Cooperation: 36,581 million yen

• Japan’s Country Assistance Policy for Mongolia (PDF)

Japan’s Country Assistance Policy to Mongolia, formulated in April 2012, aims at supporting Mongolia’s effort toward poverty reduction through sustainable economic growth and puts the following three areas as priority of assistance: (1) sustainable development of the mining sector and enhancement of governance, (2) inclusive growth, and (3) enhancement of the capacity and function of Ulaanbaatar as an urban center.