Osaka Restaurant Sparks Debate with “No Chinese Customers” Sign

Osaka, May 14, 2025 — A yakitori restaurant in Osaka has come under fire after a discriminatory sign was posted at its entrance stating that Chinese customers were not allowed, citing “many people with bad manners.” The incident has triggered widespread backlash on both Chinese and Japanese social media, igniting debate over customer conduct, cultural misunderstandings, and business ethics.

The restaurant, “Hayashin,” located in Osaka’s Nishi Ward, is part of SASAYA Holdings Co., Ltd., a company that operates various izakaya-style eateries across Japan. The controversial message, written in Chinese, read:

“There are many people with bad manners. We do not permit entry to Chinese customers. Thank you for your understanding.”

The sign quickly went viral after photos were posted online, prompting outrage from Chinese netizens who labeled the act discriminatory and in violation of Japan’s constitutional principles. Japanese internet users were divided, with some defending the restaurant’s right to refuse service, while others condemned the action as harmful to Japan’s image, especially amid a tourism boom.

In response to the backlash, SASAYA Holdings issued a formal apology in both Japanese and Chinese, stating that the sign was put up without company authorization by the local shop manager. The company removed the sign immediately upon discovering it and stressed that such actions were inconsistent with their core values and commitment to hospitality.

“We sincerely apologize to everyone affected by this inappropriate signage. Our policy is to welcome all customers, regardless of nationality, and we are taking steps to ensure this does not happen again,” said a company spokesperson.

As of May 14, the restaurant “Hayashin” has been removed from SASAYA Holdings’ official website, suggesting a potential rebranding or disassociation in light of the controversy.

This incident comes at a time of increasing scrutiny over so-called “overtourism” in Japan, with some businesses struggling to manage large numbers of foreign visitors. Experts warn that while businesses have the right to set rules, outright exclusion based on nationality could damage Japan’s reputation as a hospitable destination.

The Osaka Metropolitan Government has not yet commented on the case.