In mid-November, newly appointed Japanese Prime Minister Sanae Takaichi sparked strong controversy with her erroneous remarks on China's Taiwan region, drawing strong reactions from China and once again straining China-Japan relations.

One notable development in the context of the strained bilateral relationship is the shift in the behavior of Chinese consumers, who, instead of resorting to the widespread boycotts of Japanese goods that characterized past tensions, have largely remained calm in their response this time.

Analysts say this shift is not due to diminished public sentiment on sensitive issues but rather reflects a deeper transformation in China's consumer market and industrial landscape. Over the past decade, the presence and influence of Japanese products in China have been steadily eroded by the rise of increasingly competitive domestic brands.

A decade ago, Japanese goods occupied a prominent place in the Chinese market. Japanese cars were regarded as reliable, cost-effective choices, and electronics brands like Sony, Sharp and Panasonic represented high-quality manufacturing. Today, that dominance has largely faded.

For example, Sony, once considered a premium smartphone brand, quietly exited the Chinese phone market in 2025 after years of dwindling sales – a withdrawal driven not by geopolitics but by fierce competition from Chinese smartphone brands such as Huawei, Xiaomi, OPPO and Vivo.

In consumer electronics and home appliances, Chinese brands have rapidly closed the gap. Items that once symbolized Japanese craftsmanship, such as high-end toilet seats popular among Chinese tourists a decade ago, are now mainly produced by Chinese manufacturers, who hold more than 65 percent of the domestic smart-toilet market.

The shift is even more pronounced in the automobile industry. As China accelerates its transition to new energy vehicles, Japanese automakers – long strong in fuel-efficient gasoline cars – have been losing ground.

Data shows that China's passenger vehicle sales are expected to reach around 25 million units in 2025, while the combined sales of the three major Japanese automakers – Honda, Nissan and Toyota – are projected to have fallen below 3.3 million units recorded in 2024. The market share of Japanese cars in China has declined from a peak of roughly 24 percent to about 11 percent now. Meanwhile, major Chinese brands such as BYD, Geely, Chery and Changan have each achieved sales volumes rivaling or surpassing the entire Japanese segment.

With more than half of new cars now electric or hybrid and Chinese companies leading in battery technology, supply chain integration and price competitiveness, industry observers expect Japanese brands to lose even more ground in the coming decade.

Many analysts argue that the fading calls to boycott Japanese goods are rooted in this shifting economic reality.

Mark Tanner, the managing director of the Shanghai-based consultancy China Skinny, said that Chinese brands tend to have excellent design and high quality and that Chinese products are more targeted to local consumers and offer better value. "Japanese brands must work significantly harder to keep up," he said.

Media commentator Ming Jinwei said the disappearance of boycott campaigns is a direct result of the rise of China's own industries. When Japanese brands are no longer particularly influential or visible in the lives of ordinary consumers, he said, boycotts lose their relevance.

"China is not talking about boycotting Japanese goods because Chinese brands are rising," he noted. "When foreign brands no longer hold a central place in the market, boycotts become unnecessary."

Ming added that Japan's increasingly hardline political stance, reflected in the rise of far-right forces, should be understood in the context of domestic pressures. "The rise of Japan's far-right forces today is essentially a form of Japanese populism. And in any country, when populism spreads, it reflects internal stagnation, mounting problems and deepening social contradictions."