Japan has earmarked hundreds of billions of yen of its coronavirus stimulus relief to go toward helping its manufacturing companies move their production plants out of communist China and back to Japan or to other countries.
“The extra budget, compiled to try to offset the devastating effects of the pandemic, includes 220 billion yen (US$2 billion) for companies shifting production back to Japan and 23.5 billion yen for those seeking to move production to other countries, according to details of the plan posted online,” Bloomberg News reported. “That has renewed talk of Japanese firms reducing their reliance on China as a manufacturing base. The government’s panel on future investment last month discussed the need for manufacturing of high-added value products to be shifted back to Japan, and for production of other goods to be diversified across Southeast Asia.”
The move comes after communist China lied to the world about the extent of the coronavirus outbreak in their country and tried to cover it up, which led to the outbreak spreading like wildfire throughout China and eventually the rest of the world.
“China is Japan’s biggest trading partner under normal circumstances, but imports from China slumped by almost half in February as the disease closed factories, in turn starving Japanese manufacturers of necessary components,” Bloomberg News added. “Japan exports a far larger share of parts and partially finished goods to China than other major industrial nations, according to data compiled for the panel. A February survey by Tokyo Shoko Research found 37 per cent of the more than 2,600 companies that responded were diversifying procurement to places other than China amid the coronavirus crisis.”
By Ryan Saavedra ~ DailyWire.com