Political, Legal and Regulatory, and Security Risks Associated with Overseas Expansion
First written in FY2019. 3 of 4 entries say "Worsened", first in FY2023. Latest entry: FY2026.
Kimura Unity moved to the "Worse" side of this theme in 2023, 1 year after the typical company in this theme (2022).
The whole theme swung hardest in 2024: 11 of 19 companies on the "Worse" side.
14 other companies' latest entry also says "Worsened".
- FY2026WorsenedAnnual report
「We operate 1 subsidiary in the United States and 3 subsidiaries in China, as well as 7 joint ventures with major trading companies in the United States, Brazil, Thailand and Mexico.」
The number of Chinese subsidiaries increased from 2 to 3, broadening the scope of overseas operations through the establishment of 常熟木進物流有限公司. Exposure to overseas legal and regulatory, political and security, employment, terrorism and war risks also continues. - 2026-04-27WorsenedOccurring Fact
「In light of rising geopolitical risks in the Chinese economy and changes in the business environment」
Among the political, regulatory and security risks associated with overseas expansion, the rising geopolitical risks in the Chinese economy are specifically identified. - FY2023WorsenedAnnual report
「We operate 1 subsidiary in the United States and 2 subsidiaries in China, as well as 7 joint ventures with major trading companies in the United States, Brazil, Thailand and Mexico. Overseas expansion entails inherent risks, including unexpected changes in laws or regulations, unforeseen political or security disruptions, changes in employment conditions, terrorism and war, which may affect our future business.」
The stated number of overseas joint ventures has increased from 5 to 7, broadening the company's exposure to political, legal and regulatory, and security risks. - FY2019First statedAnnual report
「We operate 1 subsidiary in the United States and 2 subsidiaries in China, as well as 5 joint ventures with major trading companies in the United States, Brazil, Thailand and Mexico. Overseas expansion entails inherent risks, including unexpected changes in laws or regulations, unforeseen political or security disruptions, changes in employment conditions, terrorism and war, which may affect our future business.」
After describing the scale of its overseas subsidiaries and joint ventures, the company separately discloses risks relating to laws and regulations, politics and security, employment conditions, terrorism and war.