Japanese SMEs Exit China as Firm Count Falls 10% From 2012 Peak
Updated
Updated · Nikkei Asia · Jul 12
Japanese SMEs Exit China as Firm Count Falls 10% From 2012 Peak
2 articles · Updated · Nikkei Asia · Jul 12
Summary
A growing number of small and midsize Japanese companies are pulling out of China, extending a retreat that has cut the overall Japanese corporate tally there by about 10% from its 2012 peak.
Prolonged U.S.-China tensions, slower Chinese growth and Beijing's espionage law are driving the shift, raising both business and compliance risks for smaller firms.
Quick, a Japanese staffing company, has already left China and is redirecting resources to the U.S. and Europe, including strengthening its London office.
The pullback highlights how geopolitical friction and tighter rules are reshaping where Japanese smaller businesses see growth and acceptable risk.