The chief executive of Suntory has warned that the corona virus outbreak is hitting alcohol consumption, which will eventually impact on profits at the third-largest spirits maker, adding that he expects the turmoil in China to trigger a return of production to Japan.
“When I look around hotels, a lot of space is available. At restaurants, very few tables are occupied, and at bars, there’s almost nobody,” Takeshi Niinami, head of the world’s third larges spirits maker. “This will impact our bottom line sooner or later.”
“The trend to shift production lines will be enhanced globally,” Mr Niinami, who also sits on an economic advisory panel for prime minister Shinzo Abe, said in an interview. “China will still be the centre, but production will go back to mother countries to some extent.”