China-Japan Economic Relations in the Early 21 st Century MD. SAYEDUR RAHMAN Associate Professor and MD. TAHOSAN HABIB Masters in Political Science Department of Political Science Faculty of Social Sciences Begum Rokeya University Rangpur, Bangladesh Abstract China’s economic relations with Japan in the early 21 st century, which were re-established as a result of the diplomatic normalization between the two countries in the 21 st century, have transformed from dependent to interdependent. The exceptional fnancial development that China completed in the post-war period was generally due to the middle merchandise imported from Japan and specialized participation and joint ventures with Japanese endeavors. China and Japan have the world’s second and third-biggest economies, respectively, based on nominal GDP. Furthermore, China and Japan have the world’s greatest economies and are the fourth-largest economies in terms of GDP PPP (Gross Domestic Product based on Purchasing Power Parity). This study dealt with economic relations between China and Japan in the early 21 st century. Methodologically, it could be something to think about, which is based on both primary and secondary information. The main goals of this study are to analyze the current Sino-Japanese economic relations in the 21 st century, to discuss the major obstacles in China-Japan economic and trade relations at present times, and to focus on initiatives taken by China and Japan to improve trade and economic relations. Secondary information collection sources are utilized to gather the information. Finance, export-import-focused investment, and foreign direct investment are all important components of their international connections (Foreign Direct Investment (FDI)). This study is based on secondary sources. Primary data was also used in the trade data, survey part, which was the questionnaire part of this paper. Some policy recommendations have been provided to help China and Japan’s economic relationship improve. Vol. 51, No. 2 Asian Profle June, 2023