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Ready to invest with purpose? Kavan Choksi breaks down the essentials of sustainable and impact investing. Discover how you can support companies that prioritize environmental sustainability and social responsibility. Let's build a better future together! #GreenInvesting #ImpactInvesting #KavanChoksi

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Kavan Choksi: Will Japan's Tourism Sector Recover in 2023?

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Kavan Choksi on Japan’s Decision to Halt Importation of Luxury Cars to Russia

The Japanese trade ministry made headlines last March 2022 when it announced it would halt the importation of luxury cars to Russia. Kavan Choksi shares that this decision adheres to the Japanese sanctions against the Ukraine invasion. The ban formally took effect in the first week of April, but the ministry has yet to decide on a duration. The Ban on Luxury Car Importation Japan ranks among the largest exporters in the automotive industry, so the ministry could have stopped exporting a broader range of vehicles. Why did it limit its sanctions to luxury cars?   Kavan Choksi shares that the ministry understands the severe economic impact of halting all automotive exports, both for Russia and Japan. Innocent civilians will suffer the consequences. Car prices are already high, and halting exportations will only worsen the supply-chain disruption.   On the contrary, the luxury car market (i.e., units upward of $49,200) constitutes a small percentage of automotive exports. Cutting exportati