Japanese economy taking a hit

[Battle of Bach Dang River]

China's economy could lose big-time if Japan firms suffer from isles row
September 25, 2012
By KEIKO YOSHIOKA/ Correspondent

BEIJING--China's economy could take a severe beating if Japanese companies falter in the escalating standoff over sovereignty of the Senkaku Islands.

In a nutshell, China needs Japanese companies to keep unemployment in check and to promote development in rural areas, particularly as its economy is slowing.

On Sept. 18, thousands of Chinese employees of a Japanese-affiliated electronics manufacturer took part in anti-Japan demonstrations. No sooner had they returned to work than they started demanding a wage hike at two plants operated by the company.

Local government officials and police officers quickly stepped in. They told the Japanese employees to stay behind, citing the risk of confronting the Chinese workers directly, according to sources.

Government officials have since been involved in negotiations on a possible wage hike, the sources said.

Authorities were apparently determined to rein in any employee demands that could jeopardize the company’s ability to do business.

Japanese companies are large employers in China.

Many fear that if they suffer from the fallout of the conflict over the Senkaku Islands, it could affect employment nationwide and even destabilize society at large.

“Joblessness among young people is the biggest risk to the stability of Chinese society,” a university professor said.

China's economy could lose big-time if Japan firms suffer from isles row - AJW by The Asahi Shimbun

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We always welcome Japanese firms who want to move to Vietnam from China...

 

[Viet]

VN GDP is 100billion$, Japan-China trade is 345billion$~~

Per World Bank data, Vietnam
2011: GDP $124 billion
2012: GDP $135 billion

 

[Battle of Bach Dang River]

Indians such as himself doesn't know what's real and fails to show up with facts. If he really thinks that Philippines or Vietnam can replace China be my guest, clearly some Japanese politicians think the opposite otherwise they wouldn't be sending an official over to Beijing trying to repair the damage. He can only say it's bullsh!t that's all. And as for Viet who thinks Vietnam or Philippines can ease the pain show us same figures. Is the amount of consumers in Philippines and Vietnam larger than China? How many can afford expensive Japanese cars? How much will it cost for Japanese companies relocating their factories? How much money will their tourism industry lose? The Fukushima disaster and the after effect is still very painful for their economy. Japan is located on a sh!t position with 3-4 tectonic plates underneath, strong earthquakes is not a rare phenomenon over there which will result in millions of dollars of damage each time a huge one occurs. Japan is an export country and losing their biggest importer will be a huge blow to them because their domestic consumption including Vietnam and Philippines is still below China. EU crisis is not only affecting China but also Japan and the way EU is handling it the crisis is gonna last for a while. It's a joke to think by relocating factories to VN or Philippines it can replace China's consumption?

Both Japan and China need each other, at least in medium term.
A country such as Japan never want to miss a vast market such as China.
A country such as China never want millions of people who work at Japanese firms will lose their jobs. Japanese firms also give them hi- tech industries, supporting industries ...

However, after the events have occurred recently, Japanese firms should reconsider. They still want to remain in China, but never put all their eggs in an only basket...

 

[terranMarine]

Car manufacturers from EU can open new factories and increase production since they can replace the Japanese competitors. Losing Chinese buyers i'm sure the EU car makers can sell more to mainlanders. Even moving factories to VN or Philippines so what? Cheap labor can safe some cost but without the huge consumption coming from China we shall see how much profit Japan is gonna make. EU manufacturers can introduce different models to target different buyers in China and employ those who lost the jobs. Plus EU economy is in recession, lets see many cars they can export to EU. If China is the one who is gonna hurt the most, why sending someone over to China to talk things out and not move all factories to VN? Threatening China with factory workers losing job isn't gonna work.

 

[Srinivas]

Car manufacturers from EU can open new factories and increase production since they can replace the Japanese competitors. Losing Chinese buyers i'm sure the EU car makers can sell more to mainlanders. Even moving factories to VN or Philippines so what? Cheap labor can safe some cost but without the huge consumption coming from China we shall see how much profit Japan is gonna make. EU manufacturers can introduce different models to target different buyers in China and employ those who lost the jobs. Plus EU economy is in recession, lets see many cars they can export to EU. If China is the one who is gonna hurt the most, why sending someone over to China to talk things out and not move all factories to VN? Threatening China with factory workers losing job isn't gonna work.

Huge consumption will also takes place in ASEAN and South Asia.

 

[anarchy 99]

Huge consumption will also takes place in ASEAN and South Asia.

Too much low income.

China has a large middle class (international standards).

China is now the biggest or 2nd biggest consumer of many goods and one of the top 3 major consumer markets for global corporations.

 

[rcrmj]

Huge consumption will also takes place in ASEAN and South Asia.

are you sure? people would believe in ASEAN but India? lol

 

[Viet]

Too much low income.

China has a large middle class (international standards).
China is now the biggest or 2nd biggest consumer of many goods and one of the top 3 major consumer markets for global corporations.

If people followed your logic, noboby would have invested in China 10-20 years ago.

 

[Srinivas]

are you sure? people would believe in ASEAN but India? lol

India comes under south asia dude

 

[Srinivas]

Too much low income.

China has a large middle class (international standards).

China is now the biggest or 2nd biggest consumer of many goods and one of the top 3 major consumer markets for global corporations.

So what??
There are emerging markets which can become like China so it is not that world do not live with out China.
Fact is lazy US and Europeans are the ones who helped your economy if they did to you they can also do to other emerging markets as well.

 

[Snomannen]

So what??
There are emerging markets which can become like China so it is not that world do not live with out China.
Fact is lazy US and Europeans are the ones who helped your economy if they did to you they can also do to other emerging markets as well.

Lazy student: "I am the one who help you guys blah blah blah."

 

[grandmaster]

Mate Chinese are not offering technologies or even developing technologies all they are offering is good infrastructure and cheap labour force. With the increase in recent labour wages China is no longer a cheap producer of good. This is an advantage for the countries like Vietnam and India. Japan has lot of Firms and joint ventures with India and future looks bright.

well, that is your believe. i dont care. i dont mean to change what you think. china has local auto company too. thay are doing good either. it is stupid to think that japan will transfer their tech to the third countries, unless it is extremely old tech. oh, maybe these old tech are good for india

 

[Viet]

For Pakistani cheerleaders, there is no doubt the Chinese can everything, they can even fly over the surface.
Congratulation China!

 

[djsjs]

well, that is your believe. i dont care. i dont mean to change what you think. china has local auto company too. thay are doing good either. it is stupid to think that japan will transfer their tech to the third countries, unless it is extremely old tech. oh, maybe these old tech are good for india

i think some other countries need the old tech more than india.here is an example:vietnam.even the old techs are 100 years before them.there would not be an auto company without the help from other countries.so please don't laugh at them .the old techs are really important for them.

 

[artie]

i think some other countries need the old tech more than india.here is an example:vietnam.even the old techs are 100 years before them.there would not be an auto company without the help from other countries.so please don't laugh at them .the old techs are really important for them.

lol Without our Taiwanese bosses, your export would have reduced by 30% or even more. What a loser!