Coronavirus – is an impetus for strengthening Japanese-European business relations

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Coronavirus – is an impetus for strengthening Japanese-European business relations

In connection with the rapid increase in the number of infected and victims from coronavirus in Wuhan, the United States is trying in every possible way to limit interaction with the Chinese market.

America takes a variety of steps: introduces a ban on entry, import and export into China, suspends or offers to defer transactions.
On the one hand, after the suspension of contacts with China, many enterprises become interested in Japan, Korea and Taiwan, however, the coronavirus was detected both in Japan and Korea, so these countries can hardly be called safe.

Some US companies such as Apple, Amazon, Google, Home Depot, Hewlett-Packard, Dell and Hasbro, whose factories were previously located in China, are developing a strategy for opening production in Taiwan, Malaysia, Indonesia, Thailand or Vietnam.

As for Japanese enterprises, even the most intelligent and least susceptible to information about the virus, businessmen think out a similar plan.

The above strategy is called "distance from Asia." According to this plan, enterprises implement a business environment in which they will not be overly dependent on Asian countries, including China.

Moving away from Asia, Japanese companies see Central and Eastern Europe as the main candidate for expansion.

Japanese companies initially supported a policy of alienation from Asia, creating conditions under which they would not rely solely on countries in the region, but with the outbreak of a coronavirus, cooperation between Japanese and European entrepreneurs will certainly strengthen, especially considering the fact of tax deductions for Japan in Europe.

Thus, despite rumors regarding coronavirus, there are positive news: Japanese-European business will be actively developing in the near future.
It’s up to you to catch this wave or to stay away!