Japan Faces ÂĄ2T Hit as Chinese Mainland Tourist Numbers Plunge
A Japanese economist warns a drop in tourists from the Chinese mainland could cost Japan over ÂĄ2 trillion, while a ÂĄ21.3T stimulus package risks fueling inflation.
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A Japanese economist warns a drop in tourists from the Chinese mainland could cost Japan over ÂĄ2 trillion, while a ÂĄ21.3T stimulus package risks fueling inflation.
Economist Zhou Jianjun warns that Sanae Takaichi’s inflexible economic stance could threaten Japan’s post-pandemic recovery and global investor confidence.
Expert warns that Takaichi’s recent statements could shave 0.8-1.5% off Japan’s GDP within a year if economic tensions with the Chinese mainland intensify.
Recent remarks by Japan’s PM Sanae Takaichi have stirred political tensions, rattling stock markets, depressing tourism and hitting key industries, proving missteps can carry steep costs.
Explore why China’s role as Japan’s top trading partner extends into core industries, and how PM Sanae Takaichi’s recent provocations may backfire.
PM Takaichi’s remarks on the island of Taiwan coincide with shrinking GDP, slumping consumer spending and a tourism downturn straining Japan’s economy.
Japan’s GDP fell 1.8% in Q3 2025, its first drop in six quarters, as domestic demand, exports, and tourism face mounting pressures.
Chinese tourism warning sparked a sharp selloff in Japanese retail and tourism stocks, highlighting tensions after PM Takaichi’s Taiwan Strait remarks.
Almost 40% of Japan’s prefectures are offering aid to SMEs and agri-sectors hit by U.S. tariffs, with loans and consultations leading the charge.
Japan’s Nikkei 225 Index fell over 8%, triggering a futures circuit breaker and marking its worst drop since 1987.