Japan to spend over $500 million for Japanese companies to exit China, 87 companies lined up

Team Udayavani, Jul 20, 2020, 6:11 PM IST

According to a report by Japanese newspaper Nikkei Asian Review, as many as 87 companies have lined up to seek funds from the Japan government in order to move their manufacturing units out of China

Out of  87 companies, 57 will move back to Japan while the rest 30 will move to different South east Nations.

The report states that  57 companies moving to Japan are set to be incentivised with a total of $ 57.4 billion Yen (536 million) as a subsidy for moving their factories from China.

The remaining 30 will receive funds by the Japanese Government to shift their factories out of China to Southeast Asian nations

Apart from that, Japan government has set aside 243.5 billion Yen for the programme aimed at reducing the dependence on Chinese supply chains.