Many companies are reassessing their dependence on China due to rising risks, yet full withdrawal remains difficult. This article outlines why most firms are shifting toward gradual adjustment using Japan and ASEAN as bridging hubs while keeping India as a long‑term option.

Many foreign companies choose China as their APAC headquarters for logical reasons—market size, supply‑chain concentration, and fast decision‑making. However, this China‑centric model often fails to align with Japan’s unique industrial market, where technical depth, long‑term relationships, and exceptional service expectations define competitiveness. Successful foreign companies in Japan share one trait: they grant the Japan entity sufficient autonomy in service strategy, cus