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Japanese suppliers attacked in China

by on17 September 2012

Panasonic feels the sharp end

Japanese electronics giant Panasonic has suspended production at two electronics components factories in China and closed another, telling workers to stay at home after the facilities were attacked by anti-Japan protesters.

Panasonic said that factories where production was suspended will be reopened after assessing the damage. Atsushi Hinoki, a Tokyo-based Panasonic spokesman, said another plant in China has been closed after several workers "sabotaged" operations in the factory. The plant will also remain closed until Tuesday.

Relations between China and Japan are hitting a new low after a row about the Diaoyu or Senkaku Islands. The islands are called the Senkaku by Japan and Diaoyu by China. The People's Republic and Taiwan claim that the islands have been a part of Chinese territory since at least 1534. Japan took control of the islands in 1894–1895 during the first Sino-Japanese War, through the signature of the Treaty of Shimonoseki. They claim that Potsdam Declaration required that Japan relinquish control of all islands except for "the islands of Honsh?, Hokkaid?, Ky?sh?, Shikoku and such minor islands as we determine", and they state that this means control of the islands should pass to China.

But the row is threatening trade relations between the two countries and it looks like Chinese rioters are starting to attack Japanese tech plants in China.

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