Japanese car makers on watch as China tensions rise


Car makers in Japan are preparing for a backlash in China after Japanese Prime Minister Shinzo Abe made a pilgrimage to a shrine for his country's war-dead on Mao Zedong’s birthday.

Abe's visit to the memorial, which, among others, honors war criminals from World War II - when Japan invaded China - drew a sharp rebuke from the latter and comes amid rising tensions over sovereignty of islands in the East China Sea. A flare-up in that dispute last year led to a sharp fall in sales of Japanese cars in the Middle Kingdom.

Rivals such as Volkswagen (VLKAF) and GM (GM) could benefit from any drop in sales of Japanese vehicles, with the German company set to regain its crown as the largest foreign carmaker in China. VW and GM have sold over 3M cars each in the country.

Japanese car makers: TM, HMC, NSANY, MZDAY, SZKMY.

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Comments (5)
  • Tao Jaxx
    , contributor
    Comments (1472) | Send Message
     
    "a pilgrimage to a shrine for his country's war-dead on Mao Zedong’s birthday"
    Talk about thumbing your nose….
    26 Dec 2013, 05:26 AM Reply Like
  • Raymondalpha
    , contributor
    Comments (73) | Send Message
     
    Both countries killed thousands of innocents in different conflicts, and China is still killing some of its own people with its contamination, inhumane manufacturing practices, and lack of safety. Foxcomm, which manufactures Apple products, had a fire that killed a few, yet they still manufacture iPhones and other Apple products. Neither deserve our sympathies, yet both nations depend on U.S consumption of their exports. If the U.S. stopped importing Chinese and Japanese products, both will cry out! Maybe we should stop importing their products until they learn to live peacefully and forgive each other's war crimes of the past.
    26 Dec 2013, 08:15 AM Reply Like
  • Tao Jaxx
    , contributor
    Comments (1472) | Send Message
     
    China depends on US imports. Japan, not so much: it's a closed economy. Export are about 15% of GDP in Japan, so about half the share in Chinese GDP (29%)
    26 Dec 2013, 11:37 AM Reply Like
  • Raymondalpha
    , contributor
    Comments (73) | Send Message
     
    If Japan is a closed economy, why are there so many Japanese vehicles, trucks, and expensive electronic products sold in the U.S.? Their economy isn't closed. It is a one-way flow toward the rest of the world. So if the U.S. stops Japanese imports, their economy will suffer. And that will give them a reason to wise up and negotiate peace with China.
    27 Dec 2013, 11:33 AM Reply Like
  • Tao Jaxx
    , contributor
    Comments (1472) | Send Message
     
    "Why are there so many Japanese vehicles, trucks, and expensive electronic products sold in the U.S.?"
    Cuz most of these are built right here in the good ole US of A, Sir.
    That's right, right in your backyard. By US workers, and US supervisors, and professionals, paying taxes right here to the IRS.
    I drive a Subaru Outback. It says "Proudly made in Indiana".
    China is not after Japan so much, it's after the rest of Asia and whoever prevents them to overtake it.
    Guess who that "whoever" is?
    "wise up and negotiate peace". Yep, Chamberlain did that back in 1938.
    27 Dec 2013, 11:52 AM Reply Like
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