Photo: Imgur, Weibo
Japanese auto sales in China have plummeted in the wake of violent protests and boycotts of Japanese products, sparked by the nations’ dispute over a group of islands in the East China Sea.Things have gotten so bad, Toyota, Nissan, and Honda have cut their production in China roughly by half.
While the boycott is certainly a blow to the Japanese, it may not be a one-sided one.
Charles Riley at CNN Money argues that the drop in sales figures “actually hurts Chinese companies,” for a very simple reason:
Most Japanese cars sold in China, and the parts used in their production, are built by Chinese workers in Chinese factories. When assembly is complete, the cars are moved to dealerships often owned by Chinese and sold by Chinese salespeople.
Fewer cars to build, move, and sell means less profit for the Chinese.
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