Risks Associated with Sourcing Products from China
First written in FY2017. 3 of 10 entries say "Mitigated", first in FY2025-H1. Latest entry: 2026-04-09.
Cox moved to the "Worse" side of this theme in 2022, the same year as the typical company in this theme.
The whole theme swung hardest in 2022: 21 of 32 companies on the "Worse" side.
8 other companies' latest entry also says "Mitigated".
- 2026-04-09MitigatedEarnings
「In sourcing merchandise, we sought to reduce purchase costs by increasing the ASEAN share of production locations while monitoring foreign exchange risk and narrowing our supplier base.」
The Company continued addressing sourcing and foreign exchange risks by diversifying sourcing regions and narrowing its supplier base. - FY2025MitigatedAnnual report
「On the procurement side, the Company sought to mitigate risk by reducing procurement costs through sourcing from China and the ASEAN region and by entering into forward foreign exchange contracts. As a result, the deterioration in the gross profit margin was limited to 0.2 percentage points.」
Explaining that the Company sought to mitigate sourcing and foreign exchange risks by combining sourcing from China and the ASEAN region with foreign exchange forward contracts. - FY2025-H1MitigatedAnnual report
「For product procurement, the company sought to mitigate foreign-exchange risk by lowering procurement costs through sourcing from China and the ASEAN region. As a result, the gross profit margin declined by only 0.1 percentage points.」
Explaining that the Company sought to mitigate foreign exchange risk by reducing procurement costs through sourcing from China and the ASEAN region. - FY2023WorsenedAnnual report
「We source a portion of the products sold in Japan from China and the ASEAN region. If economic growth slows, personal consumption stagnates, political or economic conditions become unstable, laws or policies change, terrorist activity occurs, an infectious disease breaks out or other such events occur in China or the ASEAN region, or if problems arise with logistics, quality control, taxation or other aspects of transactions with China or the ASEAN region, our business and performance could be adversely affected.」
The scope of the risks has expanded from the previous China sourcing risks to cover the ASEAN region in addition to China. - FY2023-Q1MaterialisedAnnual report
「However, uncertainty about the outlook continues due to import and export restrictions resulting from the Shanghai lockdown, higher raw material prices caused by the situation in Ukraine and elsewhere, financial policies and foreign exchange trends in countries around the world, and concerns about a renewed spread of COVID-19 infections.」
Import and export restrictions resulting from the Shanghai lockdown have emerged, bringing external-environment risks related to sourcing products from Asia, including China, to the fore. - FY2022WorsenedAnnual report
「As a result of the global spread of COVID-19, product sourcing from various parts of Asia was affected by reduced sales opportunities due to sourcing delays and higher costs resulting from changes in sourcing methods, creating the possibility of deteriorating profitability.」
Further specifying the impacts of COVID-19 on product sourcing risks from Asia, including China, in the form of sourcing delays, reduced sales opportunities and higher costs. - FY2020RestatedAnnual report
「We source a portion of the products sold in Japan from China. If economic growth slows, personal consumption stagnates, political or economic conditions become unstable, laws or policies change, terrorist activity occurs, an infectious disease breaks out or other such events occur in China, or if problems arise with logistics, quality control, taxation or other aspects of transactions with China, our business and performance could be adversely affected.」
Reconfirming the economic, policy, logistics, quality control and other risks associated with sourcing products from China. - FY2018RestatedAnnual report
「We source a portion of the products sold in Japan from China. If economic growth slows, personal consumption stagnates, political or economic conditions become unstable, laws or policies change, terrorist activity occurs, an infectious disease breaks out or other such events occur in China, or if problems arise with logistics, quality control, taxation or other aspects of transactions with China, our business and performance could be adversely affected.」
Reconfirming in the annual report the economic, policy, logistics, quality control and other risks associated with sourcing products from China. - FY2018-Q3MaterialisedAnnual report
「This was affected by temporary production delays at subcontracted factories and the resulting delivery delays caused by China's environmental policies.」
Production and delivery delays at subcontracted factories actually occurred against the backdrop of China's environmental policies, bringing the risks associated with sourcing products from China to the fore. - FY2017First statedAnnual report
「We source a portion of the products sold in Japan from China. If economic growth slows, personal consumption stagnates, political or economic conditions become unstable, laws or policies change, terrorist activity occurs, an infectious disease breaks out or other such events occur in China, or if problems arise with logistics, quality control, taxation or other aspects of transactions with China, our business and performance could be adversely affected.」
Disclosing risks related to the economic and political environment, laws and policies, logistics, quality control, taxation and other factors associated with sourcing a portion of products from China.