Japan reportedly paying companies to leave China; Republican Representative Tom Cotton says there'll be more of that coming China may begin to feel the after-effects of the coronavirus pandemic directly in its economy as Japan is reportedly paying its companies to leave the country. Japan is apparently pulling production away from its biggest trading partner in a move allocating $2.2 billion from its economic stimulus package to help companies leave China due to the devastating effects of COVID-19. The move may soon cause a strain on the relationship between the two nations as supply chains become disrupted. A state visit to Japan by Chinese President Xi Jinping set for this month as Prime Minister Shinzo Abe has sought to restore relations, was postponed and no new date set as the spreading virus disrupted business in the countries. Now Japan's new record stimulus budget includes 220 billion yen ($2 billion in US funds) to get companies to move their production back to Japan. Another 23.5 billion yen was allotted for businesses to move out of China and relocate to another country, according to South China Morning Post. "There will be something of a shift," Shinichi Seki, an economist at the Japan Research Institute, said. “Having this in the budget will definitely provide an impetus." Though many in Japan blamed China for mishandling the outbreak initially, the leaders of the two nations reached across the divide in the crisis, with Japan at one point even providing masks and protective gear. But with a major part of Japan's regular exports going to China, the move to shift companies away from production in the communist nation could jeopardize relations. "We are doing our best to resume economic development," Foreign Ministry spokesman Zhao Lijian said Wednesday at a briefing in Beijing. "In this process, we hope other countries will act like China and take proper measures to ensure the world economy will be impacted as little as possible and to ensure that supply chains are impacted as little as possible." In the U.S., Arizona Sen. Tom Cotton noted in a tweet reacting to the report that there will be more of the exodus "as the world turns against China." https://www.scmp.com/news/asia/east...eave-china-relocate-production-elsewhere-part This isn't that surprising. Japan wants its own companies to return home. Like many other Asian countries, Japan has a record of pursuing economic/trade policies focused on promoting exports. What those in Western countries would probably call "protectionist".
India, Japan, and Australia are partnering to break the dominance of China's supply chain. https://www.wionews.com/world/how-i...I2wTuKpWMIzvypHj2ZD7v6WHiWe1fx8ptF9vS4RqiDecs This will involving subsidizing companies outside of China, in their own three countries collectively. They believe that natural market forces (companies sourcing from the cheapest supplier) will end up giving China too much political leverage, when the Chinese government can pass laws or threaten to shutdown these supply chains to do economic damage to other countries. This will ultimately be a big blow to the concept of free trade globalism.
In my opinion...... the introduction of the COVID 19 virus at the perfect time to disguise the physical damage that 5-G technology does to human bodies is too much of a coincidence for me to buy........ so yes..... much, much, much more of an increase in economic war between the USA, Japan, the world's democracies and China.... is very likely. Is Chinese 5G technology dangerous? On a scale of one to five how dangerous do you think Made in China 5 G is? One out of five... not too dangerous... not much more dangerous than any other source of 5G. 2 vote(s) 25.0% Two out of five.... somewhat dangerous. 0 vote(s) 0.0% Three out of five... a serious threat to our privacy and national security. 2 vote(s) 25.0% Four out of five... a significant threat to our privacy and national security. 0 vote(s) 0.0% * Five out of Five.... Made in China 5G technology would give the Communist Party of China power! 4 vote(s) 50.0% Change Your Vote
That's a huge stretch, Dennis. You have a habit of taking discussions far off topic with kind of whacky theories. You probably should have posted that one in the Health Care or Conspiracy section, or even in the special Coronavirus pandemic discussions section the mods have temporary created.
