Business exodus from Russia has limited impact on Japan's economy

Japanese firms is likely to be limited even though resource supply chain woes could cause long-lasting headaches.

Resource supply like Oil, Gas and Coal. That can make price higher in Japan.

The article says there will be little "direct" impact, which is true. But the indirect impact of rising oil prices, a collapsing US dollar hegemony, global recession and inflation, the rise of authoritarianism and instability will have significant impact everywhere - especially on Japan's already fragile economy. And that's not even considering the very real possibility of war spreading.

Resource supply woes like oil, gas and coal are best dealt with by weaning yourself off them in the first place and replacing them with renewable energy sources granting Japan a degree of energy security rather than being dependant on dictators and politically volatile countries and regions. With the additional gain of meeting or exceeding the pledged CO2 reductions.

Per Asahi Shimbun on 10 Mar. "The government will raise the average price of imported wheat sold to millers by 17.3 percent from April, with a more devastating increase expected later because of Russia’s invasion of Ukraine." Note the word, devastating. Russia and Ukraine together export about 25% of the world's wheat, and due to a poor harvest in Canada and the U.S. the writing is already on the wall. Rich countries will buy up the wheat and wheat that should have been allocated to poorer countries for food aid will be in short supply. There are no winners in a war.

Japan is so sad about this war. They are losing money.

Looks like cold rice for us.

Since Japan has never signed a peace agreement with Russia post WWII then it is pretty obvious that economic fallout would be low…

Of course there’s not much impact, because already everything stricken beforehand by bubble end, slowdown and downward spiral, deflation, less and aging population, Lehman and corona shocks and the like. Less left, less impact on what’s left.

Raising concerns ?

Well Japan you should have considered the consequences in a linear thought pattern scenario model instead of blindly being led and told what to do by the USA.

Fools !

It’s just beyond believe that people don’t know how this impact takes place. After bans and sanctions it takes a few weeks for the real impact to take place. Give it a few more weeks and then Japan will feel the real impact of it all. End result is that the ordinary citizens will feel the hardship and struggle to make ends meet while the 10-15% who are rich and as well as politicians ( also rich ) will continue to live a luxurious life! Japan shouldn’t follow America blindly as someone mentioned above! Remember America only imported around 6-8% of Russian oil whereas Japan imports way way more than that. So unless the entire population in Japan is prepared to face the extreme price hikes in almost everything due to oil shortage and make extreme sacrifices, it’s better to think of other ways to sanction Russia while leaving oil out of the equation! The ordinary people are already on the verge of living under poverty in Japan after the impact of the corona pandemic and this type of sanctions due to the Russian invasion will hurt the ordinary innocent citizens rather than the Government!

U cannot believe this.

Every J company will assess there exposure to debt, and the ability for there customer to service that liability

In other words a business will risk manage there media profile to to manage an viable exit.

If there investment is at risk, a business will manage that risk in accordance with supply chain.

So J Business in Russia will remain if the bottom line necessitatess the requirement.

Japan talks of " endurance " whilst being "concerned of the ramifications " and at least they admit that a sword has two edges - unlike the katana which is a saber.

No such thing as a samurai sword !

Limited impact lol !

You don't actually expect us to believe that ?

In other words, Japan is of little significance in Russia.