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China and Japan fallout will effect Sony fans


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Posted by Ricky D
It doesn't look like I'm going to be buying an Xperia TX in China.

The anti-Japan feeling at the minute is the worst for many years because of the island dispute going on at the minute.

I went down to the electronics market the other day and asked about the TX and was told to take a seat for a few minutes whilst they have a run around to find one. Then there were suddenly 5 guys in the booth with me just solidly starring and saying things like "Look, he wears a Japanese watch too". I made a swift exit to avoid being pummelled.

I don't think I'll be getting a Sony anything in China for a while.

Most Japanese branded, themed or owned companies in China have shut down the last few days, including Honda factories/dealers, Toyota Factories/dealers, supermarkets, noodle shops etc, many of those places have gone up in fames and/or been looted or otherwise vandalised. All Japanese cars are off the road for fear of being attacked by protesters (I drive a Honda and haven't left the flat for 3 days). The actions of the Chinese people in the last week or so are going to have a major effect on any Japanese brands that have manufacturing plants in China.

I've not heard news about the Sony Mobile R&D in Beijing, and I think they use Foxconn (who are Chinese and not being targeted) for their manufacturing.
[ This Message was edited by: Ricky D on 2012-09-18 05:02 ]



Posted by randomuser
This is VERY sad news

Posted by goldenface
Bit silly when you think they have huge factories in China which manufacture Japanese goods and provide employment. But yes, it is being reported a lot here in the UK too.

The world has gone mad! Did the Japanese recently buy the disputed Islands from China or is this a different group of islands they are protesting about?

It's also the anniversary of Japan's invasion. Let's hope things get settled soon.
[ This Message was edited by: goldenface on 2012-09-18 12:55 ]


Posted by Ricky D
The Japanese government bought the islands from a private Japanese owner.

The timing is another thing that is causing great heartache in China. Today is the day they supposedly sign over ownership and today (Sep 18th) is the 81st anniversary of an incident where Japan staged an explosion near one of their own train stations (see ) and claimed it was an attack from China. They then used it as an excuse to invade and occupy a large area of China indiscriminately killing men, women and children in their wake and treating the thing as though they were clering an infestation of rats. Very sad days in China.

From that point of view I'd consider the timing from the Japanese to be very poor to say the least and I think they are probably trying to provoke a reaction. Like knocking on the bars of the lion's cage at the zoo.


The Chinese reaction is a bit silly though. The people who are really getting hurt from violent protests are Chinese people. The owners of the shops/car dealerships/Japanese goods are all Chinese people. The employees of the factories are all Chinese. Everyone in the delivery chain are Chinese. Even a lot of R&D is done in China with majority Chinese workers. These people could be out of jobs if the factories don't re-open because of silly protests that have not gained anything. It's really quite worrying as an oriental blooded, foreign national living in China as I can't speak English in public for fear of being accused of being Japanese (many Chinese people wouldn't be able tell if I was speaking Japanese or English or Erdu).

Perhaps it's time I move back to pleasant, peaceful Yorkshire.

Posted by goldenface
Don't move back just yet, let us hope that this blows over, but doesn't a ship want to leave to try and reclaim the islands but the Chinese government won't let it?

Posted by Supa_Fly
EDIT I just read the post 2 above mine.

I'm aware for a number of years that Japan and Taiwan amongst other countries in that region use China industries for assembly of products due to low costs, low wages (again costs) and hardly NO taxes that benefit the government or the people of China.

thanks for the clarification. Man this is crazy sad indeed! I had no idea.
[ This Message was edited by: Hardened on 2012-09-19 04:14 ]


Posted by Supa_Fly
Ricky,
please keep us updated as I find this more important than the typical phone threads that have caused a few of us (myself included) a bit jumpy with respect to our alliances chosen by our dollars/preferences.

This could also be a lucrative business for you as an underground shipping/receiver; but think that would be much too dangerous currently.

Posted by Ricky D
@goldenface there are Japanese coast guard ships out near the islands and Chinese military scouting ships and they're sort of playing chicken with each other. At least that's what reports are saying.

China don't want to back down and be shown to be giving in to Japan here and China genuinely believe they have rights to the islands, on the Chinese news they are showing documents and maps drawn from hundreds of years ago and through many different dynasties all showing the islands as part of China and the Chinese news also say Japan has no such claims for so long. However, in China there is only ONE news company which is owned and controlled by the government so everything they say should be taken with a pinch (or handful) of salt.

@Hardened you're right that the benefits for the Chinese are basically nil but the workers do have jobs at least and they are very grateful for having a job that isn't farming just enough to eat.


I'll keep this up to date with any news I get.

Posted by mark2410
its stupid, if china becomes an unreliable source of goods then companies will just stop placing orders there. which will ultimately hurt only china.

or maybe they are trying to provoke japan to having a more typical defence budget than the presently very small percentage of gdp they currently spend?

Posted by Ricky D
Well it looks like normality has returned to the streets, I can drive my Honda now without too much fear of being ripped from my car beaten in the street.

There are still a lot of shops who've stopped selling Japanese goods and I've not heard any more of factories opening up. I think most have started up again. It has prompted many Japanese companies to consider moving factories out of China to other areas of low labour cost, but that takes time.

The fact that Japanese exports to China is going to drop massively is going to have a huge impact on the economy in Japan. Apparently exports to China account for about 2.2 trillion Yen (£17 billion) a month to Japan (source). Obviously the effect on China is that Japan will pull production and put many millions out of jobs.

Anyway, the street violence is over but the full economic impact is yet to manifest.

Posted by goldenface
Won't they generate even more bad publicity in China if Japanese companies choose to relocate their enterprises to another country in the region?

It's certainly a gamble for them.

Posted by Ricky D
You're right, but spreading the facories across several countries is spreading the risk. Eggs and baskets and all that.

Japanese firms just don't want to be at risk of losing their entire production line should China and Japan have an even more serious fallout, even if it means they run the risk of losing up to 20% of their revenue.

From a business owner's point of view, when the choice is there to lose a chunk of your business or have to completely stop production, it's an easy one to make.


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