Japanese Firms Favor Kamala Harris Over Trump for Business Stability

More Japanese businesses prefer Kamala Harris over Donald Trump for the U.S. presidency due to concerns about protectionism and policy unpredictability, according to a Reuters survey. The election's outcome is closely monitored worldwide, with Japan's firms wary of a renewed U.S.-China trade war and its economic implications.

More Japanese businesses are leaning towards a Kamala Harris presidency in the U.S., believing it would benefit their operations more than a second term for Donald Trump, a Reuters survey revealed on Thursday. This sentiment stems from concerns over protectionist policies and policy unpredictability associated with the Trump administration.

The outcome of the U.S. presidential election in November is under global scrutiny, especially from Japan, a close ally of the U.S. with significant troop presence. Japanese firms, heavily impacted by the U.S.-China trade dynamics, show 43% favoring Harris versus 8% for Trump, aligning with their corporate strategies.

With Japan's relations with the Trump administration having been strained due to demands for higher military assistance payments and trade tensions, a continuation of current policies under Harris would provide better future visibility. Meanwhile, a Trump win could prompt changes in foreign exchange strategies, supply chains, and reduction in China operations, amid potential new tariffs that could disrupt international markets.

(With inputs from agencies.)