Latest news with #KentaroOkasaka
Yahoo
16-07-2025
- Business
- Yahoo
Japan's Kawasaki Kisen prepared to reroute more ships away from US over tariffs, CEO says
(This story has been republished to change photographer credit in the image, with no changes to text) By Kentaro Okasaka TOKYO (Reuters) -Japanese shipper Kawasaki Kisen (K-Line) is adjusting its U.S. services and is prepared to reroute more ships away to other regions as it braces for potentially higher U.S. tariffs, CEO Takenori Igarashi said on Wednesday. "There have been times when ships couldn't be fully loaded on some routes, and when we reduced the frequency of container services from East Asia to the U.S.," Igarashi, who took his post in March, told Reuters in an interview. "We're adjusting our fleet capacity according to cargo volumes." One of Japan's major shipping companies, Kawasaki Kisen has factored in a 30 billion yen ($200 million) impact from U.S. tariffs for the financial year through March 2026, citing a hit to the car carrier business and lower container volumes and freight rates. Igarashi said that the container ship business would be especially affected by the outcome of U.S.-China tariff negotiations, which the company was closely watching. U.S. President Donald Trump has threatened higher tariffs on a range of trading partners unless they agree trade deals before an August 1 deadline. Depending on the tariff rates that various countries ultimately face and what they do to trade flows, there could be some positive impact if shipping distances lengthen, Igarashi said. To adjust to tariff-related demand at the operational level, Kawasaki Kisen could redirect vessels from U.S. routes to Europe, the Middle East, Australia and Africa, he said. "When it comes to strategic adjustments, we may, for example, reduce assets in the form of vessels a bit, but unless we are clear about the direction of trade policies, we can't suddenly make drastic cuts," he said. "We're still in the wait-and-see phase." ($1 = 149.8000 yen)
Yahoo
17-06-2025
- Automotive
- Yahoo
Nissan launches new Leaf in push to revive its electric mojo
By Maki Shiraki and Kentaro Okasaka TOKYO (Reuters) -Nissan is betting on a new version of its Leaf electric vehicle (EV) to revive its fortunes, having gone from mass-market EV pioneer to laggard since its first model entered showrooms in 2010. The Japanese carmaker's third-generation Leaf was launched on Tuesday and will go on sale in the United States in the autumn, with other regions to follow. But its success is far from certain in the face of significant obstacles. The cars sold in the U.S. will be made at Nissan's factory in Tochigi, Japan, and therefore subject to tariffs. EV demand in the U.S., meanwhile, has cooled as customers clamour for hybrids, which Nissan still does not offer in America. "There is a high possibility that this is going on sale at the worst possible time, given the imposition of tariffs and the Trump administration's rollback of EV subsidies," said Koji Endo at SBI Securities. "If the new Leaf doesn't sell, it will mean big trouble for Nissan." The price of the new Leaf has yet to be announced, but the previous hatchback styling has been overhauled as a crossover with battery capacity up to 25% more than the previous version. Nissan estimates a maximum range of up to 303 miles in the U.S. with its 75 kWh battery. Even with the tariffs, the U.S. price will be competitive, a Nissan spokesperson said. It is difficult to understate the Leaf's symbolic importance to Nissan. It was the world's best-selling EV for years until it was overtaken by Tesla. Introduced by the now-disgraced Carlos Ghosn, it heralded Nissan's desire to play a big role in the electric future. Despite the company's troubles in recent years, it has sold almost 700,000 Leaf vehicles. Chief Executive Ivan Espinosa now faces the difficult task of delivering much-needed cost cuts while continuing to invest in development of new vehicles to refresh its ageing line-up and lack of hybrids in the United States. Espinosa has laid out plans for big cuts, including seven plant closures and 11,000 jobs. That will bring staff cuts to about 20,000, including those announced by his predecessor last year. Nissan reported a net loss of about $4.5 billion in the past financial year and faces 596 billion yen ($4.1 billion) in debt due next year. The new Leaf will also be made at the Sunderland factory in Britain. The Tochigi and Sunderland plants are not expected to be among the closures, though the Oppama factory where the Leaf was first made could be axed.
Japan Today
15-06-2025
- Business
- Japan Today
Trump throws curveball at Japan tea giant's U.S. expansion swing
By Kentaro Okasaka and John Geddie Top Japanese tea brand Ito En's latest push to win over health-conscious U.S. customers with its traditional unsweetened brew has hit a new road bump: President Donald Trump's trade tariffs. The company, which splashed out on a tie-up with Major League Baseball star Shohei Ohtani and launched a less bitter tea to capture a bigger slice of the lucrative growth market, is now debating whether to hike prices or move some production across the Pacific, executives said in interviews with Reuters. The dilemmas facing Ito En can be found across Japan, the biggest foreign investor in the United States, as Tokyo's trade negotiators returned to Washington this weekend to try and strike a deal to cushion the blow to its fragile economy. Makoto Ogi, Ito En's general manager of international business development, told Reuters the company may raise prices of its products in the U.S. to compensate for Trump's 24% levy on Japanese goods set to come into force next month. The problem is their retailers and distributors may resist for fear of losing sales. "We may not be able to ask them to raise our prices despite what Trump is saying," he said. The last time Ito En raised prices in the U.S. - by approximately 10% in 2022 - sales dropped by around 5%. The company said the decline reflected the price hike as well as factors such as COVID-19 that affected market conditions. The company is also considering making tea bags in the United States, and bottling drinks there rather than in Japan, Taiwan and Thailand as it does presently, Ogi and other executives explained during interviews in Tokyo. These details of the firm's potential plans to counter tariffs have not been previously reported. The executives did not disclose the costs of such moves. In its latest results released this month, Ito En reported its profit shrank by 8.2% in the year to April, but forecast an 11% jump this year. It set a modest 3.7% profit growth target for its U.S. tea business, versus 20.7% growth achieved last year, an outlook partly related to tariffs, a company spokesperson said. Its shares rose to nearly a four-month high in the wake of the results, with its president later telling investors the forecasts were "conservative". Many Japanese firms have set up war rooms to chalk out plans to restructure supply chains or cut costs to offset tariffs and keep their U.S. growth plans on track, said Mizuho Bank analyst Asuka Tatebayashi. A survey of 3,000 Japanese companies by export promotion organization JETRO late last year before Trump's tariffs found the level of interest in U.S. markets at the highest in nearly a decade, with food and beverage companies like Ito En the most enthusiastic. "When you talk to companies in Japan, the U.S. comes first," said Tatebayashi, adding that they face shrinking domestic demand and are generally cautious about expanding into riskier emerging markets. GRAND PLANS For Ito En, the U.S. has long been a market it is eager to crack. Five years ago, Joshua Walker, the newly-appointed head of U.S. non-profit Japan Society, hosted Ito En's North America head Yosuke Honjo in his New York office. Honjo gestured to the green-colored bottles of their flagship Oi Ocha brand lining the shelves and said he wanted them to spread around the world like Coca-Cola's red bottle. "It was refreshing. Japanese companies would not normally have ambition of that type of grandeur," said Walker, recounting the executive's previously unreported remarks. Honjo, via a company spokesperson, confirmed the remarks. Founded in the 1960s by Honjo's father and uncle, Ito En has grown to dominate Japan's tea market, using around a quarter of the country's total crude tea production. Since expanding into the U.S. in 2001, it has dabbled in selling sweet and flavored tea varieties familiar to Americans. But more recently it has focused on the unsweetened tea popular in its home market, hoping to tap health-conscious customers and a boom in Japanese food and cultural exports. Honjo said growth has also been aided by a sharp rise in Asian Americans, estimated at nearly 25 million in 2023, or around 7% of the U.S. population, according to the Pew Research Center. Japan's exports of green tea surged 24.6% to 36.4 billion yen last year, with nearly half destined for the United States, official data showed. Some equity analysts like Jiang Zhu of Tokyo-based rating agency R&I have highlighted the high marketing cost of Ito En's international push at a time it faces tough competition at home from tea brands such as Coca-Cola's Ayataka. The company said it has around a 2% share of the U.S. market for tea beverages, ranking eighth largest, with Unilever's Pure Leaf leading the sector. But it has a long way to catch up with the 3.9 billion gallons of Coca-Cola's trademark Coke drinks sold in the U.S. last year, at only 3.1 million gallons by comparison, according to research firm Beverage Marketing Corporation. "Kikkoman's soy sauce is probably in every American household now, but it took about 50 years for it to become a part of the culture," said Akihiro Murase, Ito En's public relations manager, referencing the Japanese food manufacturer as a template for success. "We are not there yet but we would like to make unsweetened green tea a part of the food culture," he said. © Thomson Reuters 2025
Gulf Today
13-06-2025
- Business
- Gulf Today
Trump's curveball at Japan tea giant's US expansion
Kentaro Okasaka and John Geddie, Reuters Top Japanese tea brand Ito En's latest push to win over health-conscious US customers with its traditional unsweetened brew has hit a new road bump: President Donald Trump's trade tariffs. The company, which splashed out on a tie-up with Major League Baseball star Shohei Ohtani and launched a less bitter tea to capture a bigger slice of the lucrative growth market, is now debating whether to hike prices or move some production across the Pacific, executives said in interviews with Reuters. The dilemmas facing Ito En can be found across Japan, the biggest foreign investor in the United States, as Tokyo's trade negotiators return to Washington this week to try and strike a deal to cushion the blow to its fragile economy. Makoto Ogi, Ito En's general manager of international business development, told Reuters the company may raise prices of its products in the US to compensate for Trump's 24% levy on Japanese goods set to come into force next month. The problem is their retailers and distributors may resist for fear of losing sales. "We may not be able to ask them to raise our prices despite what Trump is saying," he said. The last time Ito En raised prices in the US - by approximately 10% in 2022 - sales dropped by around 5%. The company said the decline reflected the price hike as well as factors such as COVID-19 that affected market conditions. The company is also considering making tea bags in the United States, and bottling drinks there rather than in Japan, Taiwan and Thailand as it does presently, Ogi and other executives explained during interviews in Tokyo. These details of the firm's potential plans to counter tariffs have not been previously reported. The executives did not disclose the costs of such moves. In its latest results released this month, Ito En reported its profit shrank by 8.2% in the year to April, but forecast an 11% jump this year. It set a modest 3.7% profit growth target for its US tea business, versus 20.7% growth achieved last year, an outlook partly related to tariffs, a company spokesperson said. Its shares rose to nearly a four-month high in the wake of the results, with its president later telling investors the forecasts were "conservative". Many Japanese firms have set up war rooms to chalk out plans to restructure supply chains or cut costs to offset tariffs and keep their US growth plans on track, said Mizuho Bank analyst Asuka Tatebayashi. A survey of 3,000 Japanese companies by export promotion organisation JETRO late last year before Trump's tariffs found the level of interest in US markets at the highest in nearly a decade, with food and beverage companies like Ito En the most enthusiastic. "When you talk to companies in Japan, the US comes first," said Tatebayashi, adding that they face shrinking domestic demand and are generally cautious about expanding into riskier emerging markets. For Ito En, the US has long been a market it is eager to crack. Five years ago, Joshua Walker, the newly-appointed head of U.S. non-profit Japan Society, hosted Ito En's North America head Yosuke Honjo in his New York office. Honjo gestured to the green-coloured bottles of their flagship 'Oi Ocha' brand lining the shelves and said he wanted them to spread around the world like Coca-Cola's red bottle. "It was refreshing. Japanese companies would not normally have ambition of that type of grandeur," said Walker, recounting the executive's previously unreported remarks. Honjo, via a company spokesperson, confirmed the remarks. Founded in the 1960s by Honjo's father and uncle, Ito En has grown to dominate Japan's tea market, using around a quarter of the country's total crude tea production. Since expanding into the US in 2001, it has dabbled in selling sweet and flavoured tea varieties familiar to Americans. But more recently it has focused on the unsweetened tea popular in its home market, hoping to tap health-conscious customers and a boom in Japanese food and cultural exports. Honjo said growth has also been aided by a sharp rise in Asian Americans, estimated at nearly 25 million in 2023, or around 7% of the U.S. population, according to the Pew Research Center. Japan's exports of green tea surged 24.6% to 36.4 billion yen ($251 million) last year, with nearly half destined for the United States, official data showed. Some equity analysts like Jiang Zhu of Tokyo-based rating agency R&I have highlighted the high marketing cost of Ito En's international push at a time it faces tough competition at home from tea brands such as Coca-Cola's Ayataka. The company said it has around a 2% share of the US market for tea beverages, ranking eighth largest, with Unilever's Pure Leaf leading the sector. But it has a long way to catch up with the 3.9 billion gallons of Coca-Cola's trademark Coke drinks sold in the US last year, at only 3.1 million gallons by comparison, according to research firm Beverage Marketing Corporation. "Kikkoman's soy sauce is probably in every American household now, but it took about 50 years for it to become a part of the culture," said Akihiro Murase, Ito En's public relations manager, referencing the Japanese food manufacturer as a template for success. "We are not there yet but we would like to make unsweetened green tea a part of the food culture," he said.
Yahoo
13-06-2025
- Business
- Yahoo
Trump throws curveball at Japan tea giant's US expansion swing
By Kentaro Okasaka and John Geddie TOKYO (Reuters) -Top Japanese tea brand Ito En's latest push to win over health-conscious U.S. customers with its traditional unsweetened brew has hit a new road bump: President Donald Trump's trade tariffs. The company, which splashed out on a tie-up with Major League Baseball star Shohei Ohtani and launched a less bitter tea to capture a bigger slice of the lucrative growth market, is now debating whether to hike prices or move some production across the Pacific, executives said in interviews with Reuters. The dilemmas facing Ito En can be found across Japan, the biggest foreign investor in the United States, as Tokyo's trade negotiators return to Washington this week to try and strike a deal to cushion the blow to its fragile economy. Makoto Ogi, Ito En's general manager of international business development, told Reuters the company may raise prices of its products in the U.S. to compensate for Trump's 24% levy on Japanese goods set to come into force next month. The problem is their retailers and distributors may resist for fear of losing sales. "We may not be able to ask them to raise our prices despite what Trump is saying," he said. The last time Ito En raised prices in the U.S. - by approximately 10% in 2022 - sales dropped by around 5%. The company said the decline reflected the price hike as well as factors such as COVID-19 that affected market conditions. The company is also considering making tea bags in the United States, and bottling drinks there rather than in Japan, Taiwan and Thailand as it does presently, Ogi and other executives explained during interviews in Tokyo. These details of the firm's potential plans to counter tariffs have not been previously reported. The executives did not disclose the costs of such moves. In its latest results released this month, Ito En reported its profit shrank by 8.2% in the year to April, but forecast an 11% jump this year. It set a modest 3.7% profit growth target for its U.S. tea business, versus 20.7% growth achieved last year, an outlook partly related to tariffs, a company spokesperson said. Its shares rose to nearly a four-month high in the wake of the results, with its president later telling investors the forecasts were "conservative". Many Japanese firms have set up war rooms to chalk out plans to restructure supply chains or cut costs to offset tariffs and keep their U.S. growth plans on track, said Mizuho Bank analyst Asuka Tatebayashi. A survey of 3,000 Japanese companies by export promotion organisation JETRO late last year before Trump's tariffs found the level of interest in U.S. markets at the highest in nearly a decade, with food and beverage companies like Ito En the most enthusiastic. "When you talk to companies in Japan, the U.S. comes first," said Tatebayashi, adding that they face shrinking domestic demand and are generally cautious about expanding into riskier emerging markets. GRAND PLANS For Ito En, the U.S. has long been a market it is eager to crack. Five years ago, Joshua Walker, the newly-appointed head of U.S. non-profit Japan Society, hosted Ito En's North America head Yosuke Honjo in his New York office. Honjo gestured to the green-coloured bottles of their flagship 'Oi Ocha' brand lining the shelves and said he wanted them to spread around the world like Coca-Cola's red bottle. "It was refreshing. Japanese companies would not normally have ambition of that type of grandeur," said Walker, recounting the executive's previously unreported remarks. Honjo, via a company spokesperson, confirmed the remarks. Founded in the 1960s by Honjo's father and uncle, Ito En has grown to dominate Japan's tea market, using around a quarter of the country's total crude tea production. Since expanding into the U.S. in 2001, it has dabbled in selling sweet and flavoured tea varieties familiar to Americans. But more recently it has focused on the unsweetened tea popular in its home market, hoping to tap health-conscious customers and a boom in Japanese food and cultural exports. Honjo said growth has also been aided by a sharp rise in Asian Americans, estimated at nearly 25 million in 2023, or around 7% of the U.S. population, according to the Pew Research Center. Japan's exports of green tea surged 24.6% to 36.4 billion yen ($251 million) last year, with nearly half destined for the United States, official data showed. Some equity analysts like Jiang Zhu of Tokyo-based rating agency R&I have highlighted the high marketing cost of Ito En's international push at a time it faces tough competition at home from tea brands such as Coca-Cola's Ayataka. The company said it has around a 2% share of the U.S. market for tea beverages, ranking eighth largest, with Unilever's Pure Leaf leading the sector. But it has a long way to catch up with the 3.9 billion gallons of Coca-Cola's trademark Coke drinks sold in the U.S. last year, at only 3.1 million gallons by comparison, according to research firm Beverage Marketing Corporation. "Kikkoman's soy sauce is probably in every American household now, but it took about 50 years for it to become a part of the culture," said Akihiro Murase, Ito En's public relations manager, referencing the Japanese food manufacturer as a template for success. "We are not there yet but we would like to make unsweetened green tea a part of the food culture," he said. 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