Moody's: Japan's automotive industry most-exposed to trade war

According to the Moody's ratings agency, US-China tariffs threaten Japan's domestic economy, especially the Japanese automotive industry.

Key highlights

Japan's corporate earnings profits are expected to begin decelerating in 2019, and although the direct impact of US-CHina tariffs is largely manageable, Japan's auto industry remains largely exposed to risk factors.

Moody's is also forecasting GDP growth projections of 0.8% for 2019, while the growth pace of EBITDA rated Japanese firms is expected to slow by 1-3% for 2018.