AndrewJin
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Japanese use Chinese character "米“ （means "rice", sounds "Mi") to refer to America.
Republican candidate Donald Trump’s stunning election victory has left some of Asia’s biggest companies that rely on business with the US grappling with uncertainty, amid hopes the presidentelect will tone down his threats to impose tariffs on imports and rework global trade treaties.
In Japan, companies from Sony to Toyota saw their share prices hammered on Wednesday as the prospect of Mr Trump’s election victory pushed the Japanese yen higher against the US dollar, hurting some of the region’s biggest exporters.
Mr Trump’s victory has underlined the uncertainty surrounding his policy positions. Boardrooms globally have been unsettled by his threats to renegotiate trade deals he views as damaging to US jobs, and levy tariffs as high as 45 per cent on imports from China, Mexico and elsewhere. “We hope president Trump is more nuanced than candidate Trump,” said Jake Parker, vice-president of China operations at the US-China Business Council.
Investors dumped shares of Japanese and South Korean carmakers as Mr Trump’s victory became clear. Toyota, Honda and Nissan lean heavily on manufacturing US-bound exports from Mexico, particularly to meet rising demand from American car buyers for trucks and sport-utility vehicles.
To be sure, analysts question whether Mr Trump can ultimately unwind complex, global deals or impose such drastic tariffs.
But carmakers in particular would be hit if Mr Trump follows through with his threat to slap a 35 per cent tariff on cars imported from Mexico.
Toyota recently announced plans to expand capacity at its factory in Baja California, Mexico, that produces its Tacoma midsize truck, while Honda plans to ramp up exports of the popular HR-V crossover from there to meet US demand.
Nissan builds many of its small cars in Mexico, like the Sentra and Versa, and around half of its production there was exported to the US Last fiscal year, ended March 31, a quarter of Nissan vehicles sold in the US were made in Mexico.
Toyota lost 6.5 per cent, Honda slumped 7.8 per cent and Nissan tumbled 6 per cent in Tokyo on Wednesday. The companies declined to comment.
Hyundai and its affiliate Kia Motors are among the South Korean companies that stand to lose if Mr Trump follows the protectionist path he threatened during his campaign, said analysts. Both companies saw their shares fall by more than 3 per cent in Seoul on Wednesday. A Hyundai-Kia group spokesman declined to comment.
“Under Mr Trump’s leadership, the US government could embark on a renegotiation of free trade deals, including the US-Korea FTA,” said KTB Investment & Securities analyst Moon Yongkwon. “This is bad news for global carmakers, including Hyundai and Kia, which depend on US for growth.
Tariffs on Chinese imports would increase prices consumers pay for electronic goods across the board, regardless of brand, say analysts.
Nearly all the world’s major electronics companies — including Apple, Dell, Cisco Systems and IBM — rely heavily on China for manufacturing.
Tariffs from the US would likely accelerate China’s push to build a parallel technology ecosystem that doesn’t rely on the US, which would hurt US technology vendors seeking access to the vast market.
“Rather than build protectionist walls, we should boost American exports by reducing (the) trade and market access barriers that China uses to keep out American manufactured goods, services and agricultural products,” Mr Parker said.
Issues such as immigration and outsourcing, key pillars of India-US ties, were themes of Mr Trump’s campaign. Large numbers of Indians work in the US, including many IT professionals who use a visa program that facilitates the hiring of skilled foreign workers, and analysts said companies should be concerned about such programs now being curtailed.
A spokeswoman for India’s largest software exporter by revenue, Tata Consultancy Services, declined to comment on what a Trump presidency would mean for the company.
Republican candidate Donald Trump’s stunning election victory has left some of Asia’s biggest companies that rely on business with the US grappling with uncertainty, amid hopes the presidentelect will tone down his threats to impose tariffs on imports and rework global trade treaties.
In Japan, companies from Sony to Toyota saw their share prices hammered on Wednesday as the prospect of Mr Trump’s election victory pushed the Japanese yen higher against the US dollar, hurting some of the region’s biggest exporters.
Mr Trump’s victory has underlined the uncertainty surrounding his policy positions. Boardrooms globally have been unsettled by his threats to renegotiate trade deals he views as damaging to US jobs, and levy tariffs as high as 45 per cent on imports from China, Mexico and elsewhere. “We hope president Trump is more nuanced than candidate Trump,” said Jake Parker, vice-president of China operations at the US-China Business Council.
Investors dumped shares of Japanese and South Korean carmakers as Mr Trump’s victory became clear. Toyota, Honda and Nissan lean heavily on manufacturing US-bound exports from Mexico, particularly to meet rising demand from American car buyers for trucks and sport-utility vehicles.
To be sure, analysts question whether Mr Trump can ultimately unwind complex, global deals or impose such drastic tariffs.
But carmakers in particular would be hit if Mr Trump follows through with his threat to slap a 35 per cent tariff on cars imported from Mexico.
Toyota recently announced plans to expand capacity at its factory in Baja California, Mexico, that produces its Tacoma midsize truck, while Honda plans to ramp up exports of the popular HR-V crossover from there to meet US demand.
Nissan builds many of its small cars in Mexico, like the Sentra and Versa, and around half of its production there was exported to the US Last fiscal year, ended March 31, a quarter of Nissan vehicles sold in the US were made in Mexico.
Toyota lost 6.5 per cent, Honda slumped 7.8 per cent and Nissan tumbled 6 per cent in Tokyo on Wednesday. The companies declined to comment.
Hyundai and its affiliate Kia Motors are among the South Korean companies that stand to lose if Mr Trump follows the protectionist path he threatened during his campaign, said analysts. Both companies saw their shares fall by more than 3 per cent in Seoul on Wednesday. A Hyundai-Kia group spokesman declined to comment.
“Under Mr Trump’s leadership, the US government could embark on a renegotiation of free trade deals, including the US-Korea FTA,” said KTB Investment & Securities analyst Moon Yongkwon. “This is bad news for global carmakers, including Hyundai and Kia, which depend on US for growth.
Tariffs on Chinese imports would increase prices consumers pay for electronic goods across the board, regardless of brand, say analysts.
Nearly all the world’s major electronics companies — including Apple, Dell, Cisco Systems and IBM — rely heavily on China for manufacturing.
Tariffs from the US would likely accelerate China’s push to build a parallel technology ecosystem that doesn’t rely on the US, which would hurt US technology vendors seeking access to the vast market.
“Rather than build protectionist walls, we should boost American exports by reducing (the) trade and market access barriers that China uses to keep out American manufactured goods, services and agricultural products,” Mr Parker said.
Issues such as immigration and outsourcing, key pillars of India-US ties, were themes of Mr Trump’s campaign. Large numbers of Indians work in the US, including many IT professionals who use a visa program that facilitates the hiring of skilled foreign workers, and analysts said companies should be concerned about such programs now being curtailed.
A spokeswoman for India’s largest software exporter by revenue, Tata Consultancy Services, declined to comment on what a Trump presidency would mean for the company.
