Ordinary Chinese will also suffer from boycotting Japan

Source:Global Times Published: 2012-9-19 21:15:03

Illustration: Sun Ying
Illustration: Sun Ying

 

As a businessman mainly engaged in trade with Japan, I am deeply worried about current Sino-Japanese relations and China's public feeling.

I have run my company for more than 10 years. The company focuses on trade with Japan. I have many chances to talk with Japanese people. Most of the Japanese believe that "business is business." They don't want the territorial dispute between China and Japan to ruin business communications.

The right-wing forces and associated politicians are only a small portion of the Japanese public. They cannot represent public opinion. When talking with some Japanese friends, they often told me that they are also dissatisfied with the Japanese government.

In their eyes, the Japanese government lacks vision. However, due to China's anti-Japanese protests, these businessmen who are opposed to right-wing forces have had to cancel their planned trips to China. 

In my view, we have to answer two questions first before taking economic countermeasures, and of course, violent countermeasures like smashing shops and cars, looting stores, and attacking people are never acceptable. Why do Chinese companies want to do business with Japanese companies? Why do many Chinese people buy Japanese products?

We businessmen want to make money by doing business. Compared to other companies, the only difference is that companies like ours, which are mainly engaged in trade with Japan, make money from Japanese people. If this kind of companies is affected by anti-Japanese protests, it means that money isn't flowing into China.

It is because of Japanese products' high performance-price ratio and good quality that many Chinese people buy them. Why should we buy goods with poorer quality or higher prices?

Chinese products generally still lag behind Japanese products. If the performance-price ratio of Chinese products was higher than that of Japanese goods, Japanese products would be gradually shelved and forgotten. That would be a really effective countermeasure.

Because of China's recent anti-Japan protests, some Japanese enterprises such as Canon and Panasonic reportedly suspended their factories in China.

Since these enterprises came to China, they have taken many steps in localization, including the localization of staff members, production and components.

Their products are produced by Chinese people in China although they bear Japanese labels.

Fortunately, the suspension of operations is only temporary.

Imagine, if they really shut off their factories, a large number of Chinese workers will lose their job. Without work, how can they earn money to support their families?

At the state level, economic countermeasures will indeed influence the Japanese economy. However, from the workers' perspective, their lives have been hit a hard blow.

Moreover, when Japanese goods enter into Chinese market, there are many Chinese companies working on related import and logistical businesses. If we cut off economic and trade exchanges with Japan, Chinese companies will lose customers. Both Japanese and Chinese companies will suffer. 

Some people argue that we can try to touch the sore point of Japan without affecting the Chinese economy.

However, in fact, it is impossible. The degree of economic interdependence between China and Japan is very high.

Countermeasures will not only influence the Japanese economy, they will also hurt ourselves.

Maybe most people are indifferent to this. However, many businessmen who are engaged in trade with Japan will face the risk of bankruptcy. Many workers in Japanese enterprises are likely to lose their job.

Disputes at the governmental level should be separated from non-governmental contact.

The Japanese government wants to "nationalize" the Diaoyu Islands. At the governmental level, China should show strong objection to this mistaken action. However, economic communications at the non-governmental level should not be affected by it. Economic cooperation between China and Japan will benefit both sides.

An economic battle between China and Japan is destined to be a competition with no winner. We should not let it happen.



The article was compiled by Global Times reporter Shu Meng based on an interview with Liu Gang, a general manager and board member of a Chinese company engaged in trade with Japan. shumeng@globaltimes.com.cn



Posted in: Viewpoint

blog comments powered by Disqus