Japanese firms’ profits increasingly hit by trade war - Reuters poll
|According to the latest survey of Japanese firms conducted by Reuters, half of them expect their profits to be hit by the US-China trade war. However, there is no plan amongst them to shift their base out of China so far.
Key Findings:
“The worsening collateral damage to global trade, beyond the immediate China-U.S. relationship, from the tariffs Washington and Beijing have slapped on each other’s goods.
45% of Japanese firms have had their profits affected to some extent by the U.S.-China tariffs, while 6% have been greatly affected. Some 42% of firms said they have hardly been hit, and 7% see no impact at all.
That is worse than a similar Reuters poll last October that found just one-third of Japanese companies hit, with 58% of Japanese firms hardly affected by the trade war and 8% seeing no impact.
Despite the damage so far, just 11% of Japanese firms said they are considering moving their business bases or supply chains out of China. About half said they had no specific plans to move out of China.”
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