Japanese firms exit China at record pace, with 10,118 still operating there

CNBC reports that Teikoku Databank counted 10,118 Japanese companies operating in China as of June 2026, down 22% from June 2024. Over two years, 4,137 fully withdrew and 1,221 entered. CNBC cites a slowing Chinese economy, tariff risks and worsening Japan-China relations as factors. Analyst Jesper Koll estimates that the US share of profits at Topix-listed firms rose from 25% in 2020 to 35% so far in 2026.