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Will China Boycott Japanese Products?

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Published on Sep 13, 2012

China and Japan's territorial dispute over a small group of uninhabited islands may be threatening important trade ties.

China's Commerce Ministry said today that trade with Japan could be hurt by the sudden flare-up in tension over the East China Sea.

Protests across China have called for a boycott of Japanese products, which are popular with newly-wealthy Chinese consumers.

This comes after Japan announced on Tuesday that it's purchasing the Senkaku Islands from a private Japanese owner.

A Nissan Motor executive said last week that tensions have hurt sales in China, following recent attacks on Japanese cars during protests.

China's Vice Minister of Commerce Jiang Zengwei has hinted that China's leadership saw nothing wrong with boycotts of Japanese goods.

While individual protesters have embraced the boycott, it hasn't yet appeared on a large scale.

China is Japan's largest trading partner. In 2011, their bilateral trade grew 14.3 percent in value to a record $345 billion.

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