Japan: 1700 companies relocated from China: about 13% of the total
Japanese companies:
As of the end of July this year, about 1,700 Japanese companies have decided to relocate from China.
The US government-affiliated news agency, Radio Free Asia (RFA), reports.
Japanese goverment:
In April of this year, it was decided to “subsidize Japanese companies expanding into China that have decided to move from China.”
The government has begun accepting applications for relocation subsidies.
The application for the transfer subsidy will be made in two parts.
Phase 1:
87 companies applied for relocation subsidies during the first phase until the end of June.
The government is spending a total of 57.4 billion yen.
Second stage:
The deadline for the second term is the end of July, and a total of 1670 companies have submitted applications.
Initially, the Japanese government had budgeted about 240 billion yen.
The budget is expected to increase in the future.
Shandong University Faculty of Finance: Commander Professor
With the new corona epidemic, there are many “disadvantages for Japanese companies to concentrate their supply chains in China.”
He also realized again that there are many uncertainties such as rising labor costs and trade barriers in China.
As a result, he pointed out that the departure from China accelerated.
Teikoku Databank:
There are 13,600 Japanese companies operating in China.
This time, 1757 companies have decided to move from China.
It accounts for about 13% of all companies expanding into China.
Manufacturing cost in China:
In addition, a survey of Japanese companies conducted by the Japan External Trade Organization (JETRO) in 2019.
Manufacturing cost in China
If Japan is 100
China is 80,
Vietnam is 74,
Cambodia 65,
Myanmar is 60
The high manufacturing cost in China cannot be denied.
NEWS Post Seven
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