Over half of Japanese businesses in Vietnam and India have plans to expand their in-country operations, a recent survey showed, a sign of a shift toward reducing reliance on China as a production base in what is known as a "China plus one" strategy.
In the online survey conducted by the firm Pasona Group Inc. last December, 57% of Japanese companies in Vietnam and 55% in India said they will expand operations in the host countries, compared with the average of 39% among all 11 countries and regions polled.
In contrast, Hong Kong stood lowest at only 13% in the wake of deterioration in the trade environment following China's dismissal of pro-democracy lawmakers and crackdowns on democracy activists in the former British colony, according to the survey.