Japanese beer giant Kirin said Friday it was terminating its joint venture with a military-owned conglomerate. Kirin has been under scrutiny for some time over its ties to Myanmar's army-owned breweries.

There have been calls on multinational companies working with Myanmar's military-linked businesses to cut ties as a way to pressure the generals.

"Given the current circumstances, we have no option but to terminate our current joint-venture partnership with Myanmar Economic Holdings Public Company Limited (MEHL), which provides the service of welfare fund management for the military," the firm said.

The Japanese beverage firm has been under scrutiny for some time over its relations with Myanmar military-owned breweries.

In January, it said an investigation into whether money from its joint ventures had funded rights abuses in Myanmar was "inconclusive".

Kirin launched the investigation after pressure from rights groups and UN investigators over Myanmar's treatment of the Rohingya minority.

Earlier this week, Japanese multinationals in various industries cautiously restarted factories in Myanmar, according to NikkeiAsia.

Toyota Motor-affiliated auto parts supplier Denso restarted its plant on Thursday after suspending operations Monday. Suzuki Motor also reopened a pair of car assembly plants.

But other companies are waiting longer to restart operations, and a full return to normal business is likely to take more time as manufacturers assess the political changes in a market into which they have poured investment over the past decade, NikkeiAsia said.

AFP