China recently threatened serious economic retaliation against Japan if it imposed further restrictions on the servicing and sales of chip making equipment to Chinese companies. It’s reported that China could react by cutting Japan’s access to minerals which are essential for automotive production.
Cars are one of Japan's biggest exports, and Toyota is one of the most influential organizations in the country. Toyota has also invested heavily into Taiwanese chipmaker TSMC’s plant in Kumamoto, so would certainly be amongst the most affected by the potential new Japanese export restrictions.
