Uncertainty in exports and corporate earnings from U.S.-China trade frictions and other factors
First written in FY2019. 6 of 11 entries say "Worsened", first in FY2020-Q2. Latest entry: FY2026.
The whole theme swung hardest in 2022: 106 of 135 companies on the "Worse" side.
- FY2026Production adjustments after the recovery in exportsAnnual report
「Corporate production activity moved unevenly, partly due to the impact of US tariff policy, but toward the second half, production levels rose gradually as exports recovered.」
Following uneven production activity caused by US tariff policy, production levels rose as exports recovered. The company also describes adjustment-related movements in Yamagata Prefecture in the second half. - FY2026-H1WorsenedAnnual report
「Corporate production activity remained broadly flat as the slowdown in overseas economies intensified and US tariff measures also affected automobile-related production. Against this backdrop, the improvement in corporate earnings, particularly in manufacturing, also began to lose momentum.」
In addition to the previous weakness in exports to China and other factors, the company identifies the decline in automobile-related production caused by US tariff measures and the pause in the improvement of corporate earnings, particularly in manufacturing, as new external environmental factors. - FY2025-H1WorsenedAnnual report
「Production activity showed weakness as exports of goods to China and automobile-related production faltered, and the recovery began to lose some momentum.」
The company identifies weak exports to China and weak automobile-related production as factors weighing on corporate production activity and the recovery of the regional economy. - FY2024WorsenedAnnual report
「Although the economy of Yamagata Prefecture, our main operating base, maintained a moderate recovery, signs of stagnation in the recovery spread in the second half as corporate production activity weakened, mainly in electronic components and devices and general-purpose, production-use and business-use machinery, due to sluggish exports and other factors.」
Against the backdrop of sluggish exports and the slowdown in overseas economies, production activity among the region's major manufacturers weakened, and a sense of stagnation spread through the recovery in corporate earnings and the regional economy. - FY2024-Q2MitigatedAnnual report
「The easing of the semiconductor shortage supported the recovery of exports, particularly automobiles, while the recovery in inbound tourism also helped underpin the economic recovery.」
Exports recovered against the backdrop of the easing semiconductor shortage and the recovery in inbound tourism, indicating an improving external environment compared with the previous stagnation in exports and uncertainty surrounding corporate activity. - FY2023ReframedAnnual report
「Corporate production activity followed an upward trend in the first half, led mainly by electronic components and devices, but turned weaker in the second half due to the slowdown in overseas economies and other factors.」
The description of the external environment has broadened from US-China trade friction and stagnant exports to downward pressure on production activity from the slowdown in overseas economies, inflation and other factors. - FY2022-Q2MitigatedAnnual report
「Meanwhile, driven by the recovery of the US and Chinese economies and others, which recovered early, exports trended upward and corporate production activity also began to recover.」
The company states that exports began to trend upward against the backdrop of the recovery of the US and Chinese economies and others, and that corporate production activity also began to recover. - FY2021-Q2WorsenedAnnual report
「Corporate production activity fell sharply as domestic and overseas demand contracted amid the COVID-19 pandemic. As corporate earnings suffered their steepest decline since the Lehman shock, capital investment also trended downward.」
In addition to the uncertainty surrounding exports and corporate earnings caused by US-China trade friction and other factors, the company describes the contraction in domestic and overseas demand, the sharp decline in production activity and the substantial drop in corporate earnings caused by COVID-19. - FY2020WorsenedAnnual report
「During the fiscal year, exports trended downward under the impact of US-China trade friction and other factors, while corporate production activity remained weak. Corporate earnings declined year on year, particularly in manufacturing, and capital investment was generally flat.」
The decline in exports and weakness in production activity caused by US-China trade friction and other factors continued, resulting in lower revenue and lower earnings, particularly in manufacturing. In addition, the contraction in economic activity caused by COVID-19 emerged at the end of the fiscal year. - FY2020-Q2WorsenedAnnual report
「Against the backdrop of US-China trade friction and other factors, exports remained weak, particularly to Asia, and corporate production activity moved unevenly as weak external demand persisted.」
The company describes continued weakness in exports to Asia and external demand against the backdrop of US-China trade friction and other factors, with corporate production activity moving unevenly rather than remaining flat as in the previous fiscal year. - FY2019First statedAnnual report
「Meanwhile, exports to Asia, including China, remained sluggish because of the effects of U.S.-China trade frictions and other factors, leaving corporate production activity broadly flat. Although corporate revenue continued to rise because of higher selling prices, momentum in corporate earnings weakened toward the second half of the fiscal year as labor and other costs increased.」
Sluggish exports caused by U.S.-China trade frictions and a loss of momentum in corporate earnings due to higher labor and other costs are identified as new external factors in the operating environment.