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Business sentiment among Japanese firms declines for third consecutive term

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Many companies cited the trade friction between US and China as a factor that may affect doing business here. FMTNews Manufacturing Jactim JapaneseChamberofTradeandIndustryMalaysia

Increased labour cost is among the factors affecting business sentiment among Japanese companies in Malaysia.

A survey of 296 companies conducted by the Japanese Chamber of Trade and Industry Malaysia from Aug 13 to Oct 25 last year found that the business condition diffusion index recorded a 29.9 point decline. He said more of its members had blamed the trade conflict between US and China as factors that could impact doing business here, with 35.29% of firms saying so compared to 27.86% in the first half of 2019.

Japan External Trade Organisation managing director Mai Onozawa said the semiconductor market is expected to improve in the first half of 2020, which would help it make a recovery.

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