The variety of Japanese corporations planning to relocate or downsize their operations in Russia has fallen by half since final yr
The majority of Japanese corporations working in Russia will not be planning to depart the nation regardless of the sanctions-related challenges, based on a brand new survey by the Japan External Trade Organization (JETRO).
Many US, European, and Asian corporations have downsized or exited the Russian market on account of Western sanctions linked to the Ukraine battle since 2022, citing reputational issues or worry of secondary sanctions.
Japan adopted these measures however stored stakes in key vitality initiatives. JETRO knowledge exhibits solely 4% of Japanese corporations with Russian branches have absolutely withdrawn.
According to the survey launched on Tuesday, 76% of Japanese corporations in Russia plan to “maintain the status quo” over the following two years, up from 57% in 2024. The share that plan to downsize, relocate, or withdraw dropped from 37.9% final yr to 18%. JETRO stated the “trend of downsizing and withdrawing” that started in 2022 “is calming down.”
Most corporations staying in Russia cited hopes for an improved geopolitical local weather (64%) as a purpose, noting that many industries are unaffected by sanctions and pointing to the Russian market’s long-term potential. Nevertheless, round 98% of corporations say they felt the impression of the sanctions and Russia’s countermeasures on their operations.
The survey was carried out in September 2025 amongst 50 Japanese corporations working in Russia.
Russian Ambassador to Japan Nikolay Nozdrev beforehand criticized Tokyo for “opportunistically” becoming a member of the Western sanctions marketing campaign, saying it successfully dismantled relations with a key neighbor. He added that Russia would provide most assist to Japanese corporations that remained, however warned that these which left have misplaced the Russian marketplace for good.
While the whole quantity which have absolutely exited Russia is difficult to find out, the Kiev School of Economics claims that solely round 500 of greater than 4,200 tracked corporations have accomplished their exits.
READ MORE: Western companies need to return to Russia – Putin
A Reuters evaluation earlier this yr estimated that overseas corporations that left Russia misplaced greater than $107 billion. Kremlin officers cite even greater losses. Kirill Dmitriev, the pinnacle of the Russian Direct Investment Fund, stated US companies alone have forfeited greater than $300 billion.