Translator: Little Leaf; Reviewer: Wencheng
A survey released on Monday shows that most of the Japanese enterprises with business dealings in HongKong are worried due to the HongKong National Security Law. 34% of the enterprises are considering restructuring their business in HongKong or completely withdrawing from HongKong.
The HongKong government claims that HongKong National Security Law brings social stability. However, the latest survey conducted by Japan External Trade Organization shows that only 1% of the 296 Japanese enterprises say there is positive influence. About 8.5% of the enterprises remark that there is negative impact, such as inhibiting their willingness to invest. Meanwhile, 52% of the enterprises express their “much concern” about the HongKong National Security Law and another 15% express their serious concern. Only 19% reply that they are not much worried about it.
As to the cause for their concern, 67% of these people express their concern about restricted information and 60% are worried that the rule of law in HongKong will be undermined. When asked about their business plan in HongKong, 47% of the respondents say there is no change in their plan. There are 30 more enterprises with this answer, compared with the last survey released in July.
However, 34% of the respondents say they are considering restructuring their business in HongKong. 13% of these enterprises respond that they will reduce their business scale. Another 4.5% say they will reconsider their branch in HongKong as the administrative center. By contrast, 1.7% of the enterprises reply that they will withdraw from HongKong market. Another 15% say they will take the above changes into consideration in the future.
The feeling of uncertainty of these Japanese enterprises is still strong.The latest survey shows that 39% of the respondents predict that business environment will be slightly worse. Given the present situation, 8.5% of the respondents think the status quo results in a negative impact, including lower investment willingness.
Comments from fellow fighters:
The forced passage of HongKong National Security indicates the CCP’s reckless mainlandization of HongKong. Meanwhile, the CCP HongKong government takes mass revenge on Anti-ELAB movement people and undermines the rule of law and freedom of the press in HongKong, leading to social chaos and panic. Japanese enterprises always have strong awareness of risk control and adhere to the conservative and steady style. Thus, they are bound to make more careful analysis and judgement of the present and the future prospect in HongKong. Just as the saying goes, “ Do not enter a tottering state and not dwell in a disorganized one”. What the enterprises pursue is security. With the social chaos, HongKong has lost its economic advantage. Therefore, the Japanese enterprises’ withdrawal of their capital and downsizing are reasonable. The CCP, good at evil tricks, are unable to help accomplish anything, but liable to spoil everything. Actually, Japanese companies in the mainland began to withdraw and transfer to other Asian countries and regions years ago. No wonder they will withdraw from HongKong under the reign of despotism with the National Security Law.
The above is personal views of the writer