No, the Ainu are still in Hokkaido (the northernmost part of the archipelago). Though small in numbers their language is still spoken and they have (god-only-knows-how) managed to hang onto bits of their culture. They were in the archipelago before the ancestors of the Japanese pushed (should say hunted) them to near extinction and are of Caucasian stock. They do have a reputation for being hairy and the swirling motifs found on their costumes and tattoos are a little reminiscent of rock art.
To quote Chief Seattle yet again, "We may all be brothers after all."