Japan and China are becoming good business friends but bad neighbors
... "China is our hottest market," says spokeswoman Ryuko Shioya. ... " Suddenly, for Japan Inc. ... A year aog Japans business press swirled with grim predictions that the nations economy was "hollowing out," as hundreds of bluechip companies moved factories to China. Now those fears are receding amid evidence that China is sucking in Japanese exports rathan than jobs- and playing a crucial role in reviving Japans economy. In February, Japan registered a trade surplus with China, its first in a decade. Last year Japanese shipments to China accounted for 70% of Japans export growth. China is now Japans second-largest trade partner, trailing the U. ... , but Glmand Sachs Japan strategist Kathy Matsui says that for many Japanese companies, China is fast becoming the more important market.