Japs lost their mojo.
This is because copying only takes you so far.
Moreover, they are not the best at a lot of things, they are rather mediocre.
Their modus operandi was to copy the west, compete on the basis of cost. When lower cost competitors arrived, they got squeezed from both ends.
Now their only famous export might be jav or some childish anime or playstation or such. And some cars.