Japan mulls ‘China exit’ for 87 manufacturing projects
Of the companies, 30 will shift to Southeast Asia. This includes: Hoya Corporation, which will produce hard-drive parts in Vietnam and Laos; Sumitomo Rubber Industries, which will manufacture nitrile rubber gloves in Malaysia; and Shin-Etsu Chemical, which will shift its rare-earth magnet production to Vietnam, among others.
The rest 57 projects will move to Japan for their operations.
Iris Ohyama, which currently produces face masks at Chinese plants in Liaoning Province and west of Shanghai, will shift its production to its factory in Miyagi Prefecture in northern Japan.
With the help of subsidies, the company will begin producing face masks at its Kakuda factory in its home base in Miyagi Prefecture. All material will be prepared locally, independent of overseas suppliers.
Companies which are eligible for the subsidy also include producers of alcohol-based sanitiser, aviation parts, auto parts, fertiliser, medicine and paper products.