On April 3, 2020, the Japanese news agency NNA released the results of a poll of 347 Japanese manufacturers operating in Southeast Asia and India. The survey indicated that roughly two‑thirds of the respondents—more than 65 %—had experienced serious difficulties with procurement and logistics because of the coronavirus outbreak. Among the firms that reported problems, over 80 % said the main issue was sourcing parts and materials.
The impact varied by country: 95.8 % of manufacturers in the Philippines, 87.9 % in Indonesia, and 87.0 % in Malaysia cited disruptions. In Thailand, 74.5 % of respondents noted trouble obtaining necessary components, even though many of those companies have a relatively high rate of local procurement.
The study also highlighted the reliance on Chinese inputs. Approximately 140 Japanese manufacturers in India and Southeast Asia reported that sourcing from China had been severely affected. This aligns with comments from Kenji Kawase, chairman of the Japan Chamber of Commerce and Industry, who observed that factory closures and reduced trade with China have significantly harmed Japanese companies that depend on China as a key trade partner.
Financial repercussions were evident as well. The survey found that 47 % of the participating firms had seen a drastic decline in output and revenue for February, with 42 % of those reporting a drop of more than 30 %.
Taro Saito, an economist at the Nomura Research Institute, warned that the pandemic could push Japan’s economy into recession during the quarter, following the sharp contraction recorded in December. Looking ahead, Japanese manufacturers anticipate that the effects of the outbreak will persist for several months or longer, which could have lasting consequences for the national economy. As of April 2, more than 10,000 confirmed COVID‑19 cases had been recorded across Southeast Asia and India, suggesting that the region will continue to feel the pandemic’s impact for some time. The crisis is not confined to Japan.
Toshio Dokei, a researcher at the Asian Development Bank, noted that the outbreak has underscored the need for greater regional cooperation and diversification of supply chains. Countries such as Vietnam, Thailand, and Indonesia—each with substantial trade links to China—were identified among the hardest hit by the disruptions.
In a statement, the World Health Organization emphasized that the pandemic has highlighted the necessity for stronger international cooperation and coordination to mitigate its effects. Japanese manufacturers and policymakers will need to weigh the long‑term implications of the outbreak and develop strategies to promote recovery while reducing vulnerability to future supply‑chain shocks.
