Berkshire Hathaway Plans 50-Year Investment in Japan

At Berkshire Hathaway's annual shareholder meeting, Warren Buffett reiterated his strong commitment to the conglomerate's investments in five major Japanese trading houses, stating there are no plans to sell these holdings for the next 50 years or possibly ever. Berkshire has increased its stakes in Itochu, Marubeni, Mitsubishi, Mitsui, and Sumitomo to nearly 10%, collectively valued at around $23.5 billion by the end of 2024. Buffett and vice chairman Greg Abel emphasized the importance of building long-term relationships with these firms, likening them to Berkshire's own multi-sector approach. The Japanese trading houses, known as 'sogo shosha,' operate across various sectors including commodities, shipping, and steel, and play a significant role in the real economy. Buffett also noted that he currently sees greater potential in securities over real estate, aligning with his investment philosophy of patient, strategic holding for sustained growth. The firm began investing in these companies in 2019 and is open to slightly increasing its stake limit if warranted.