Fully 38% of German companies taking part in a recent business survey said they are relocating production facilities from China to Japan, while 23% are also shifting regional management functions in the same direction, with economic, political and social stability the primary considerations.

The study was conducted by the German Chamber of Commerce and Industry in Japan, and accounting giant KPMG in Germany, with 164 firms responding to the survey released on March 27.

The report closely echoes the findings of another study, released by the Japan External Trade Organization a week earlier, which found that Japan is an attractive destination for foreign companies that want to avoid geopolitical, trade and financial uncertainties.