US Forces Korea Cost-Sharing Increased by 1.2% to 2.1 Trillion Won

The nuclear-powered aircraft carrier Ronald Reagan, deployed at the U.S. Navy Yokosuka base in Kanagawa Prefecture, Japan, is seen departing. Photo by Yonhap News

The nuclear-powered aircraft carrier Ronald Reagan, deployed at the U.S. Navy Yokosuka base in Kanagawa Prefecture, Japan, is seen departing. Photo by Yonhap News

View original image

[Asia Economy Reporter Kim Heeyoon] The Japanese government's cost-sharing payment for the U.S. forces stationed in Japan has been decided at 201.7 billion yen (approximately 2.1 trillion won), an increase of 1.2% compared to the previous year.


According to Kyodo News on the 17th, Nobuo Kishi, Japan's Minister of Defense, announced to the press in the evening that an agreement had been reached with the U.S. side on this matter.


The cost-sharing payment for the U.S. forces stationed in Japan reflected in the Japanese government's fiscal year 2020 budget was 199.3 billion yen.


The reason the cost-sharing payment for the U.S. forces stationed in Japan has effectively maintained the current level is that both countries agreed to a one-year provisional extension of the U.S.-Japan Special Measures Agreement on Defense Cost Sharing, which forms the basis for the cost-sharing. This agreement, renewed every five years, was set to expire at the end of March this year.


The U.S. and Japan began working-level negotiations on the cost-sharing for the U.S. forces stationed in Japan in November last year. When it became certain that then-U.S. President Donald Trump, who had demanded a significant increase, would leave office, the Japanese side postponed the agreement until after the change of the U.S. administration.


After the inauguration of U.S. President Joe Biden, during the first U.S.-Japan foreign ministers' call on the 27th of last month, Foreign Minister Toshimitsu Motegi reportedly proposed to U.S. Secretary of State Antony Blinken a plan to extend the defense cost-sharing agreement by one year.



Accordingly, the two countries resumed working-level consultations on the cost-sharing for the U.S. forces stationed in Japan on the 2nd, and within about two weeks, agreed on the extension of the defense cost-sharing agreement and the scale of Japan's contribution.


This content was produced with the assistance of AI translation services.

© The Asia Business Daily(www.asiae.co.kr). All rights reserved.

Today’s Briefing