Many companies will lose jobs if companies stop production from China.
The Japanese government has announced a package of $ 993 billion.
Japanese Prime Minister Shinzo Abe has announced a package of 108.2 trillion yen ($ 993 billion) to save local companies. That’s about twenty percent of Japan’s economic output. Of that $ 2.2 billion will be used to move their companies’ creation from China. The balance will be used by companies to start production in other countries. This decision will reduce jobs in China in large numbers.
In general, China is Japan’s huge trading partner. However, due to the coronavirus, the percentage of exports from China has dropped by 50%. This has led to the loss of the necessary equipment in Japan. China exports $ 148 billion worth of materials to Japan. Chinese President Xi Jinping will visit Japan this month. However, a month ago that visit was postponed due to a coronavirus. In a decade, the first of these two types of ministers were scheduled to meet. No new date for this visit has been announced yet.