Due to the coronavirus pandemic, many camera companies are experiencing delays and temporarily shutting down factories. Japan’s newest financial incentives stimulate manufacturers to move their productions out of China. And since most major camera companies are Japanese, this could change the industry immensely.
According to Bloomberg, Japan has earmarked 220 billion yen (around $2 billion USD) to help companies shift production from China back to Japan. There are additional (over $219 million USD) for companies who seek to move their production elsewhere.
The major problem that the coronavirus has caused is the disruption of supply chains between China and Japan, as well as other major trading partners worldwide. But what is particularly interesting is that most major camera companies are Japanese, as Digital Camera World points out. These include Canon, Nikon, Panasonic, Fujifilm, Sony, Sigma and Tamron, and you’ll agree that they have a huge share in the camera market.
Some companies have already moved their production out of China amidst the coronavirus pandemic. With Japan’s latest financial incentives, I believe there will be many more to do it. Digital Camera World even suggests that this might be the end of camera manufacturing in China. I wouldn’t go that far, but it’s inevitable that the camera industry will suffer major changes.
There is no doubt that the current coronavirus crisis will change the global economy. We are already seeing some big changes, and who knows how huge they will become once this is all over. With the latest measures from Japan, I am curious to see how the situation will unfold in the camera industry.
[via Digital Camera World]