Sunday, September 30, 2012

Major Japanese Companies Put A Halt On Their Manufacturing Operations in China

As reported by Reuters, the Japanese manufacturer of heavy machinery, Komatsu Ltd has recently announced that it was forced to cease all the production processes in three plants based in Shadong province, as a result of anti-Japan demonstration that has swept across the country.
Toyota Motor Co. has also temporarily suspended some of its manufacturing operations in China. Toyota used to produce the vehicles in China through joint ventures in Tianjin and other cities. Unfortunately, Toyota spokesman refused to unveil any further details concerning the suspended operations.
Similarly, Sony Corp. has stated that they were going to suspend two, out of their seven plants in China, just the same day Toyota did, but again, no further details were disclosed.
The anti-Japan manifestations have been incited by a recent decision of the Japanese government to buy the disputed islands in the East China Sea from their private owners, who, by the way, are Japanese. The islands are referred to as the Senkaku in Japan and the Diaoyu in China. 

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