Rampant anti-Japan sentiment in China looks certain to slash the full-year earnings results of Japanese automakers operating in the country, although some analysts argue the bitter fallout from the Senkakus row could become a stepping stone to enhanced global competitiveness.
In October, Japan's major carmakers saw demand in the Chinese market virtually halve year on year in the wake of the government's nationalization of the disputed Senkaku Islands and the ensuing boycott of Japanese products, prompting some to revise downward their fiscal 2012 earnings projections.
Nissan Motor Co. was among the most badly affected manufacturers, as it has the highest exposure to China and generates roughly 30 percent of its global sales in the world's largest auto market.