COVID-19
EBC - Results of the Flash Survey on the impact of the entry ban on European and American companies and their Japanese partners
The objective of this survey is to better understand the current situation among European and American companies operating in Japan confronted by the entry restrictions due to the COVID-19 crisis and to highlight the direct impact on their economic activity as well as on their Japanese partners.
This survey was designed by the European Business Council in Japan (EBC) and sent to the 15 European National Chambers of Commerce in Japan, who circulated it among their members between June 15 and July 7. The American Chamber of Commerce in Japan (ACCJ) also circulated the survey among its Commercial Membership Representative Members from June 17 to June 25.
325 European and American companies, with headquarters based in 19 European countries, Japan, and the United States, responded. The data was collected anonymously.
Since May 2020, and except for a short period between 1 October 2020 and 7 January 2021, it has been very difficult if not almost impossible for foreign new expatriates or experts to enter Japan. As a result, many respondents report that they lack key personnel and specialists from abroad and current projects have been suspended or new projects cannot be developed, leading to production delays and the cancellation of foreign direct investments into Japan. Companies’ Japanese clients and partners have also been financially impacted.
• 68% of the surveyed foreign companies say that the impact of the entry restrictions on their Japanese customers or partners is significant.
• 12% of respondents estimated that the financial impact on their company’s customers and partners could be over ¥500 million, and 18% of respondents estimated the impact could be between ¥10 million - ¥50 million.
• 71% of respondents say their business plans involve the use of overseas specialists, most of whom have been unable to enter Japan.
