Warren Buffett pours fresh capital into an already prosperous Japanese investment

Berkshire Hathaway has announced that its subsidiary National Indemnity Company has increased its stake in five Japanese trading firms to an average of over 8.5%. The companies involved are Itochu, Marubeni, Mitsubishi, Mitsui, and Sumitomo. The total value of these investments exceeds any of Berkshire Hathaway's holdings in companies outside the United States. Berkshire Hathaway plans to hold these Japanese investments for the long term, and Buffett has pledged that the company will not acquire more than 9.9% of any of the five firms. In April, Buffett visited Japan and revealed plans to increase the company's investment in the Japanese trading houses to 7.4%, as he identified them as comparable entities to his conglomerate. These five firms, known as sogo-shosha or general trading companies, focus on diversified long-term investments prioritizing value and cash flow. They have traditionally played a key role in importing energy, minerals, and food into Japan, as well as exporting finished products. Apart from these investments, Berkshire Hathaway has no other holdings in Japan.