Mass Exodus of Japanese Firms From China, China’s Global Supply Chain Is Finished
Recently, Suzhou city witnessed the closure of two significant Japanese-funded factories – Jedic Electronic in Kunshan and Datong Electric (Suzhou) Limited Company located on Longtan Road. Established in 2003, Datong Electric was renowned for its specialized operations in the electrical machinery and equipment manufacturing industry and generous employee benefits. However, after 20 years of operation, the company ceased its Suzhou business in September 2023, providing reasonable financial compensation to its employees.
Kunshan Jedic Electronic, also favored for its good employee welfare benefits, had to shut down its factory. Additionally, Mitsubishi Motors announced its exit from the Chinese market, becoming the third Japanese car company to withdraw after Dongfeng Renault and Changan Suzuki. As brands like Toyota and Mazda reassess their investments in China, shifting focus to electrics or developing other markets, the trend of Japanese companies withdrawing from the Chinese market and returning to Japan
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