Interesting goings on in Tokyo this week. I know people in Roppongi, and the traffic is completely snarled by the effect of this visit which is for several days it turns out. Locally it is out of the ordinary.

Its a dramatic shift from the days of Mr Koizumi, and has consequences for international trade and banking given the combined size of these two economies relative to US or Eurozone.

FT.com / Asia-Pacific / China – Japan and China cement relations

The leaders of Japan and China agreed on Wednesday on measures, including annual summit meetings and stepped-up civil and military exchanges, to cement a recent improvement of relations after talks in Tokyo that Japanese officials described as “extremely productive and meaningful”.

Hu Jintao, China’s president, the first head of state to visit Japan in a decade and only the second ever, said: “Prime Minister (Yasuo) Fukuda and I believe that Sino-Japanese relations are at a new historic starting point.”