Imports of Japanese-brand cars into Japan are expected to grow beyond the figure for 2010, the highest in a decade, thanks largely to Nissan's shift of production of the popular March compact to Thailand.
The export frenzy of the 1980s that caused trade friction with the United States is gone because Japanese automakers largely shifted production overseas to be closer to the point of sales. Now the trend is to produce cars overseas to sell in Japan because the made-in-Japan focus has eased.
Experts say domestic automakers will shift more production to other parts of Asia, particularly when it comes to compact cars, because of the intense global cost competition and the yen's strength against the dollar.