"Chinese Tourists Once Obsessed Over Japanese Cosmetics... Now Only Interested in Real Estate"

"Chinese Wealthy Eyeing Vacation Homes in Japan"

"Weak Yen Turns Real Estate into a 'Bargain Sale'"

In the past, Chinese tourists used to shop for products such as cosmetics and electronics in Japan, but now it is pointed out that their interest has shifted almost exclusively to real estate. This change is attributed to Chinese manufacturing having caught up with Japan, as well as a record-breaking weak yen, which has made Japanese houses relatively inexpensive.

The leading Japanese economic media outlet "Toyo Keizai" reported on the 13th (local time) that Chinese demand for Japanese goods has changed, bluntly stating, "Japan is currently in a 'bargain sale' state."

The outlet analyzed the change in consumption patterns among Chinese tourists. In the past, Japanese products such as cosmetics and rice cookers were coveted by Chinese consumers. Chinese tourists would visit Japanese duty-free shops and sweep up cosmetics and electronics indiscriminately, to the extent that the term "Chinese binge-buying" was coined. At the peak of this trend, Chinese tourists would take two-night, three-day train trips from Tokyo to Osaka, stopping at major shopping malls along the way to purchase cameras, luxury watches, and travel souvenirs.

Tourists crowded in Kyoto, Japan. Photo by AFP

However, the outlet pointed out that Chinese tourists are now largely uninterested in Japanese products. Electronics have already dropped out of the top five items purchased by Chinese visitors to Japan, and cosmetics and perfumes have fallen from first to third place. Regarding this, the outlet explained, "The performance of Chinese-made electronics is now hardly different from Japanese-made ones," and, "Cosmetics and perfumes are now readily available at duty-free shops within China. The only uniquely Japanese products worth buying in Japan are distinctive snacks, foods, and Japanese alcoholic beverages."

Instead, wealthy Chinese individuals are showing keen interest in Japanese real estate. They are reportedly buying up homes at bargain prices, mainly in quiet provincial towns or hot spring areas in popular tourist destinations such as Hokkaido and Okinawa.

The outlet noted, "There are already about 900,000 Chinese living in Japan, and now, with the advancement of communication tools such as smartphones, Japanese real estate information is shared overseas." It also emphasized, "Furthermore, Japanese real estate is essentially an open free market for the world. There are hardly any restrictions on foreign purchases of real estate."

Although not at the level of the past bubble economy, Japan's status as the most developed country in Asia continues to stimulate demand for real estate. Toyo Keizai stated, "Japan is a politically stable country among Asian nations, and although it has weakened compared to the past, it remains an economic powerhouse," adding, "Japan has always been regarded as an aspirational country in Asia. Moreover, due to the current weak yen, Japanese real estate has become a virtual 'bargain sale' and is gaining immense popularity."

This content was produced with the assistance of AI translation services.