Zaibatsu Families and Labor Camps

Timeline of the Zaibatsu

1910 

  • Japanese industry, particularly in shipping, textiles, and heavy industry, experienced significant growth due to WWI. 
  • The Big Four Zaibatsu’s (Mitsui, Mitsubishi, Sumitomo, and Yasuda) expanded their operations and capital bases. 
  • Holding companies were established to exert centralized control over their increasingly complex and diversified joint stock companies. 

1920

  • The 1927 Showa Financial Crisis allowed the Zaibatsu to establish its dominance in the financial sector.
  • Political connections became more prevalent and influenced government policy.
  • Shinko Zaibatsu (New Zaibatsu) emerged, focusing on new business sectors. Nissan focuses on chemicals, metals, and heavy industry, which were crucial for military expansion.
  • Zaibatsu families moved into chemicals, steel, machinery, and electronics. 
  • This company intersected with the Army and Navy through procurement, shipping, and development activities in Manchuria.

1930

  • Zaibatsu became the primary industrial contractors for the Japanese military.
  • Sectoral controls were introduced, and the army experimented with state-directed development in Manchukuo. 

1940

  • Zaibatsus supplied the Japanese military with resources such as ships, weapons, and vehicles during the war.
  • Through the Munitions company policies and the Ministry of Munitions, the production of goods within multiple zaibatsu companies adhered to military scheduling. 
  • Affiliates of Zaibatsu in China and Southeast Asia engaged in mining, manufacturing, and logistics activities closely linked to military campaigns. 
  • The Allied occupation of Japan ordered the dismantling of the zaibatsu, citing their close ties to the Japanese army during the war. 
  • 16 Zaibatsu were targeted for complete dissolution, and 26 more were targeted for reorganization. 
  • In 1946, the assets of Zaibatsu families were seized, and holding companies were eliminated. 

1950

  • Due to a peace treaty in 1951, many companies became “Enterprise Groups” comprising former Zaibatsu groups.

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