Risk of difficulties in overseas sales and production due to geopolitical tensions
First written in FY2021. 5 of 6 entries say "Worsened", first in FY2022. Latest entry: FY2026.
Japan Electronic Materials moved to the "Worse" side of this theme in 2022, 2 years before the typical company in this theme (2024).
The whole theme swung hardest in 2022: 22 of 37 companies on the "Worse" side.
13 other companies' latest entry also says "Worsened".
- FY2026WorsenedAnnual report
「If heightened political tensions or other factors cause supply constraints across the supply chain, this could affect the semiconductor market, customers’ production plans and our Group’s production activities.」
Supply constraints across the supply chain caused by political tensions, and the resulting impact on customers’ production plans and our own production activities, are explicitly identified as risks. Strengthening and improving the stability of the supply chain are cited as response measures. - 2026-05-14WorsenedRevision of earnings forecasts
「The business environment surrounding our group remains uncertain, owing to concerns about a slowdown in the global economy resulting from heightened tensions in the Middle East and increasing geopolitical risks.」
Concerns about a slowdown caused by heightened tensions in the Middle East and increased geopolitical risks were identified as sources of uncertainty surrounding overseas operations and the supply chain. - FY2023-Q3WorsenedAnnual report
「In addition, the United States tightened export controls on China covering advanced semiconductors and other products,」
In addition to existing political tensions and the situation in Ukraine, the strengthening of U.S. export controls on China covering advanced semiconductors and other products was identified as a specific geopolitical factor affecting the overseas business environment. - FY2023-Q1WorsenedAnnual report
「Overseas economies also saw a widespread slowdown in economic activity due to the prolonged situation in Ukraine, rising inflation centered on the United States and major European countries, and the impact of the spread of COVID-19 and lockdowns in China, among other factors.」
The overseas business environment continues to be affected by specific geopolitical and regional factors, including the prolonged situation in Ukraine and the spread of COVID-19 and lockdowns in China. - FY2022WorsenedAnnual report
「Impact of the deteriorating situation in Ukraine on the supply and prices of raw materials」
In addition to general political tensions, the deteriorating situation in Ukraine was identified specifically as a geopolitical factor. - FY2021First statedAnnual report
「Some of the products handled by our Group are sold and manufactured overseas. In expanding overseas, we make comprehensive decisions based in part on reports from overseas subsidiaries. However, if heightened political tensions or other factors make sales or production difficult in a particular country or region, this could affect the operating results and financial condition of our Group.」
The risk that heightened political tensions or other factors could make sales and production at overseas locations difficult was listed as a separate item for the first time.