The Japan-Siam trade in the 17th century

Abstract

In 2008, Japan was Thailand's largest import and second largest export partner. Long-lasting strong economic ties between the two countries have been topped by the recent Japanese Thai Economic Partnership Agreement (JTEPA) of 2007 to further stimulate and expand trade. While the full implications of the JTEPA are not yet known, it has given rise to an increased interest in Japanese- Thai historical trade relations. This study examines the nature of the trade between Japan and Siam (as Thailand was formerly known) as well as its impacting factors in the 17th century when diplomatic contacts were first initiated. In response to William van Schendel's criticism of "geographies of ignorance" in academic institutions and area studies, this study sets out to break the conventional categories of East and West, as well as East Asian and Southeast Asian Studies with a cross- and interregional focus. Rather than adopting the traditional approach of juxtaposing a Western with an Asian country, this study deals with two Asian countries, integrating the subjects of direct trade between Japan and Siam conducted by state officials and private merchants, and indirect trade through European intermediates, i.e. the British East India Company and the Dutch East India Company. The Japan-Siam trade was so substantial that even Europeans sought to participate. Europeans competed with each other as well as Japanese, Siamese and Chinese traders. In contrast to the British East India Company, the Dutch East India Company was able to emerge as a major player in the trade. During a brief interlude of termination of direct trade brought about by the sudden break up of diplomatic relations between Japan and Siam in the 1630s, the Dutch East India Company was crucial in keeping up the mutual demand for Japanese and Siamese goods and thus the continuation of the Japan-Siam trade. This study argues that the Japan-Siam trade never ceased for long during the 17th century because it was welcomed by both the Japanese and Siamese elite for its delivery of luxury goods and financial profits. In Japan the trade with Siam had the additional benefit of providing a tool to disown potential dissidents of their financial means to stage rebellions by encouraging them to lavishly spend on import items. In this vein, the Japan-Siam trade was soon tolerated again and even actively supported by Japanese authorities after the official break up of diplomatic relations. This makes Japan's "seclusion policy" (sakoku) and isolationist tendencies in the 17th century appear less forceful.