exchanges. Problems Faced by the Doctrine The doctrine was not without problems, at least on the Japanese side. Immediately following the agreement on setting aside 1 billion yen to fund construction projects, the Diesel plant proposal was met with opposition from Indonesia which feared competition with its domestic industry. The disagreement was eventually resolved when Indonesia and Singapore reached an export-limitation agreement in which Singapore would not export any engines to Indonesia unless requested. Nevertheless, this difference in views amongst member states increased anxiety on the Japanese side, whom demanded member states reach a mutual agreement if they want funds to be extended. The Japanese were further concerned with the capability of recipient nation's infrastructure. The members of ASEAN were much behind in technological development, causing Japanese diplomats to be worried about the feasibility of advanced technical projects in the region. Furthermore, Japan was cautious of ASEAN members’ order of priority, often worrying that ASEAN members were not highly appreciative of the proposed Japanese-funded industrial projects. The STABEX (export stabilization) fund proposal also faced complications on the Japanese side. Despite continuous reassertion of a desire for a STABEX system, Japan had so far only agree on a joint-examination of the possibility of establishing such a fund. The problem with STABEX is its defiance to the previously agreed GATT and its high political sensitivity. Internationally, ASEAN is pressuring Japan to open up its import markets while the Western counterpart requests it to decrease exports. Domestically, the Liberal Democratic Party’s electoral votes were highly dependent on the business and agricultural sectors, both of which are hostile to STABEX for reasons of competition. Significance of the Doctrine Developments on the Southeast Asian Relations The Japan-Southeast Asia friend and foe relationship can be characterized by material interests and historical antagonism caused by Japan’s imperialistic past. However, Overall, there was an enhancement of the relations. A significant incident was the increase of Southeast Asia’s anxiety in the 1970s when Japan expanded its economic practices and raised exports of synthetic rubber. The Tokyo government eased the tension by accepting ASEAN demands and limiting its production of synthetic rubber, attending ASEAN Post Ministerial Meeting (PMC), and becoming a dialog partner. The enhancement of the Japan-Southeast Asia relations was not only a result of Japan’s reassurance efforts, but also a result of two significant fears brought about by the change in the strategic landscape of the region. One