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INVEST KANSAI INVEST KANSAI WEB SEARCH - GROWTH ENVIRONMENT - ASIAN HUB - BIG MARKET - RICH CULTURE One-window support for investment in Kansai

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Page 1: INVEST KANSAI - Minister of Economy, Trade and · PDF fileINVEST KANSAI . INVEST. KANSAI WEB . SEARCH ... 4-2. Life Science Innovation ... KIX provides access to 52 Asian cities,

INVEST KANSAI

INVEST KANSAI WEB SEARCH

- GROWTHENVIRONMENT

- ASIAN HUB

- BIG MARKET

- RICH CULTURE

One-window support for investment in Kansai

Page 2: INVEST KANSAI - Minister of Economy, Trade and · PDF fileINVEST KANSAI . INVEST. KANSAI WEB . SEARCH ... 4-2. Life Science Innovation ... KIX provides access to 52 Asian cities,

1

IntroductionWith a long history as the heart of Japan, Kansai is home to many traditional and historic cultural resources.

With a high concentration of world-class manufacturing companies, universities, research institutions, traditional high-skilled craftworks and craftsmanship in various fields, Kansai boasts a climate favorable for innovation.

Cover photo: “Kumihama Bay” © “Kyoto by the Sea” Kyotango City Executive Committee (Licensed under CC BY 4.0)https://creativecommons.org/licenses/by/4.0/

Asian countries account for a high percentage of Kansai’s foreign trade and foreign-affiliated companies operating in the region.

This publication showcases various aspects of Kansai’s business environments. We hope that you will use this brochure as a supporting tool to invest in the region. Welcome to Kansai!

- Big MarketKansai has an economy that can rival many national economies around the world, with a wide array of industries based here.

- Growth Environment

- Asian Hub

- Rich CultureAs the birthplace of many traditional Japanese performing arts and cultural histories, Kansai is home to a large number of World Heritage sites, and attracts worldwide attention as a tourist destination.

Photo on this page: “Cherry Blossoms on the Former Site of Heijokyo” © Kimihiko Nakamura (Licensed under CC BY 4.0)https://creativecommons.org/licenses/by/4.0/

INVEST KANSAI

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Contents

4. Industries Expected to Grow

5. Attractive Industries

2

1. What is Kansai?1-1. Large Kansai economy ・・・・・・・・・・・・・・・・・・・・・・・

6. Well-equipped Business Environment6-1. Asia’s Leading International Conference

Location ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・

6-2. Comfortable Working and Living Environment・

3. Great Intellectual Cluster3-1. University/Research Institute Clusters ・・・・・・・・

4-1. Green Innovation ・・・・・・・・・・・・・・・・・・・・・・・・・・・4-2. Life Science Innovation ・・・・・・・・・・・・・・・・・・・・・

5-1. Small and Medium-sized EnterprisesSupporting the World from Kansai ・・・・・・・・・・・

5-2. New Products/Services Developed in Kansai ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・

5-3. Famous Entrepreneurs from Kansai ・・・・・・・・・・

2-1. Kansai connected to the world/Asia by many routes ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・

2-2. Location of the Kansai Region ・・・・・・・・・・・・・・・

2-3. Kansai International Airport ・・・・・・・・・・・・・・・・・・

2. Highly Developed Infrastructure

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9

10

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1112

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14 Tourism-Related Websites of Kansai ・・・・・・・・・・・・・・

8. Kansai’s Industrial Structure & Commerce8-1. Characteristics of manufacturing industries・・・8-2. Trade Value by Region and Product ・・・・・・・・

9. Diversity of Foreign-Affiliated Companies Entering into Kansai9-1. Foreign-Affiliated Companies Entering into

Kansai ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・9-2. Examples of Foreign-Affiliated Companies

in Kansai ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・10. Support for Foreign Investment in Kansai

10-1. Foreign Investment Support Systems in Kansai ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・

10-2. Foreign Investment Support Programs by Local Governments ・・・・・・・・・・・・・・・・・・・・・・・

10-3. Government Efforts to Promote Foreign Investment in Japan ・・・・・・・・・・・・・・・・・・・・・・

10-4. Examples of Incentives Offered by Local Governments ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・

7. Alluring Sightseeing7-1. Kansai, satisfying all kinds of tourists’

interests ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・7-2. New style of tourism : “Industrial

tourism” ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・7-3. Creating a comfortable environment for

foreigners in Kansai・・・・・・・・・・・・・・・・・・・・・・・・

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INVEST KANSAI

Introduction・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・

8

20

Photo on this page: “Momijidani Garden” © Wakayama City(Licensed under CC BY 4.0) https://creativecommons.org/licenses/by/4.0/

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World’s 5th cleanest city

Wakayama

Fukui

ShigaKyoto

Nara

Hyogo

Osaka

Second largest economy in Japan

Shanghai

Mumbai

New York

San Paulo

Kansai

1-1. Large Kansai Economy1. What is Kansai?

Kansai is an area that is located in the center of Japan and has a huge market with a population of approximately 21.66 million and a GRP of approximately $823.8 billion. The size of the Kansai economy alone is equivalent to that of Netherlands (ranked 17th in the world).

Kansai has international cities, such as Osaka, Kyoto, and Kobe. Kansai’s compactness is an attractive point, as Kyoto and Kobe are about a 30-minute train ride from Osaka’s city center.

World’s Best Awards,2017 ”The World’s Top 15 Cities”

MBC Times “The 12 cleanest cities in the world 2015”

Sources: 2016 Statistical reports on land area of prefectures and municipalities in Japan (Geospatial Information Authority of Japan), Population based on Residential Basic Book (Ministry of Internal Affairs and Communications; as of January 1, 2016), 2013 National Accounts (Cabinet Office), 2013 Annual Report on Prefecture Accounts (Cabinet Office)

Note: GRP of Kansai = Derived from Fiscal Year 2013 nominal GRP of the region

Foreign exchange rate: ¥100.23/USD

OsakaKyoto

Kobe

3

(US$ billion)

915

854

824

823

685

Indonesia

Netherlands

Turkey

Switzerland

(US$ billion)

Comparison of GDP:Kansai and other countries

Kansai

Kansai Domesticshare

Area (k㎡) (2016) 31,542 8.3%Population (1,000) (2016) 21,663 16.9%GRP,GDP (US$ billion) (2013) 824 16.2%

INVEST KANSAI

World’s 4th most popular city

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2-1. Kansai connected to the world/Asia by many routes

Europe 26 flights weekly N. America 56 flights weekly

Asia 1,005 flights weekly

Kobe Port

Maizuru Port

Sakai Senboku PortWakayama Shimotsu Port

TsurugaPort

Kansai Int’l Airport

Osaka PortOthers 39 flights weekly

4

2. Highly Developed Infrastructure

In 2017, the area is serviced by 1,260 flights* per week, which is arecord number of flights connecting Kansai to the rest of the world.

Kansai plays a core role in Asia, developing airports and seaports to handle large volumes of cargo and large cruise ships as an international trade hub.

Number of airline companies: 76Number of countries (regions) served: 24Number of cities served: 82Number of weekly flights: 1,260(including freight flights)

Asia and nearby areas: 140.7 ships/wk, N. America: 8 ships/wk, Europe: 2 ships/wk, Others: 5 ships/wk

* Plan at the peak (July) of the 2017 summer schedule (including freight flights)

*Total of ports in Kansai served by regular oceangoing containers. Number of foreign trade container ships visiting Japan on regular sea lanes (ships/week) (MLIT)

Source: Compiled based on Kansai Airports materials*Plans for summer 2017 peak schedule (July)

【Regular foreign trade containers using Japanese ports】

*As of November, 2015

【Number of cruise ships stays at ports in Kansai】

Kobe: 104 stays Osaka: 28 stays Maizuru: 17 stays Shingu: 7 stays Himeji: 3 stays Tsuruga: 4 staysMiyazu: 1 stay Hidaka: 1 stay*Based on port survey by Kansai District Transport and Tourism Bureau, MLITfor January-December 2016

Himeji Port

Shingu Port

Miyazu Port

【International Flight Network】

Photos provided by Kansai Airports

Photos provided by Kansai District Transport and Tourism Bureau, MLIT

INVEST KANSAI

Photos provided by Mitsui O.S.K. Lines, Ltd.

Photos provided by Mitsui O.S.K. Lines, Ltd.

【Details of international passenger flights by destination area】

Hidaka Port

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Sapporo

5

Osaka

Aviation:✈

Tokyo

Fukuoka

1hour and 50minutes1hour

1hour

Nagoya

Hiroshima

Shinkansen:🚄🚄 Expressway:🚗🚗

🚄🚄

50minutes

2hours and30minutes

2hours and30minutes

6hours

🚗🚗 7hours and 30minutes

4hours

2hours

🚄🚄 1hour and30minutes

2-2. Location of the Kansai Region2. Highly Developed Infrastructure

Kansai has advanced air, railroad, and road transportation networks. Kansai has established means of transportation, ensuring easy access to everywhere in Kansai and major

domestic cities throughout Japan.

INVEST KANSAI

Domestic Network

🚗🚗

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2-3. Kansai International Airport●Kansai International Airport (KIX) located in the center of Kansai and Japan is an

urban airport, offering a high level of convenience.●KIX provides access to 52 Asian cities, and has 17 international LCCs connecting it to 20 cities, the largest access

among all the other domestic airports.(as of 2017 summer scedule) It is a 24/7 international cargo hub, connecting Asia and the rest of the world.KIX Terminal 2, dedicated to LCC fights, was expanded in January 2017, in expectation of the airport’s further

development.

«Walk-through shopping area» Japan’s first in the introduction of a walk-through style duty-free shopping

area to boost passengers’ consumption!

Features of Terminal 2

«Low-temperature warehouse for pharmaceutical products»A single warehouse, dedicated to packing and storing

pharmaceutical products at controlled temperature, can flexibly handle mass pharmaceutical imports and exports!

Shared temperature-controlled warehouse for pharmaceutical products

Cooling dolly Drug export packaging facility (KIX-Medipac)

«The only one in Japan!» 24-hour airport with multiple 4,000m-class runways

Flight network to 82 cities in 24 countries24/7 full scale operation, with reduced lead time by using late-night flights!

2. Highly Developed Infrastructure

Photos provided by Kansai Airportshttp://www.kansai-airport.or.jp/en/index.asp 6

«Smart Security System» Japan’s first in the reduction of safety inspection

time through smart security!Diverter system (Filtering out baggage judged to be unacceptable)

Rechecking monitor(rechecking baggage once judged to be unacceptable)

Automatic tray-returning system

X-ray scanner

Able to handle the baggage items of four passengers at once

INVEST KANSAI

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3-1. University/Research Institute Clusters Kansai is home to a cluster of prestigious universities and research institutions.

3. Great Intellectual Cluster

Distinctive research and development bases have been formed and a large number of prestigious universities are clustered, and industry-university cooperation is making progress.

Kansai has produced a number of Nobel Prize winners. Furthermore, overseas institutions under industry-university cooperation are located in Kansai.

[Main research and development bases and overseas institutions under industry-university cooperation in Kansai] [Industry-university joint research spending]

[Saito (International Culture Park)]<Life Science Park>

National Institute of Biomedical Innovation, Health and Nutrition (NIBIOHN)Bio-Incubator (in cooperation with Osaka University, etc.)

Japanese Red Cross Kinki Block Blood CenterVarious companies’ R&D facilities

[Harima Science Garden City]<Large research facility>

SPring-8SACLA

[Kansai Cultural and Academic Research City]<City of knowledge creation that is paving the way to the future>

Cluster of nearly 130 public and corporate research institutes

Research Institute of Innovative Technology for the Earth (RITE)

Advanced Telecommunications Research Institute International (ATR)

National Institute of Information and Communications Technology ( NICT)

National Institutes for Quantum and Radiological Science and Technology (QST)

Oxford UniversityInnovation / OUIJAPAN OFFICE

Fraunhofer (AIST)Industry-university joint research across the nation (Value-basis)

Kansai 25%

In terms of monetary amount, 25% of industry-university joint research throughout Japan is conducted in Kansai, and the amount of money received per research project is higher than the national average.

Kansai produces manyNobel Prize winners

14 out of 25 Japaneselaureates are from Kansai

area

Blue LED iPS cell

Ministry of Education, Culture, Sports, Science and TechnologyImplementation status of industry-university cooperation and performance of joint research(on an institution-by-institution basis) (FY 2015)

7

Kansai

Nationwide

(Thousand yen)

SPring-8/SACLA ⓒRIKEN

K computer

© Center for iPS Cell Research and Application, Kyoto University

INVEST KANSAI

2,496

3,308

0 2000 4000

[Kobe Biomedical Innovation Cluster]<Japan’s largest biomedical cluster〉

A cluster of over 337 companies and universities, as well as state-of-the-art research institutes and advanced specialty medical institutions

RIKEN, JapanK computerFoundation for Computational Science (FOCUS) supercomputer

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4-1. Green Innovation4. Industries Expected to Grow

Kansai is one of the largest hubs for development and production in energy-related industries, including lithium-ion battery makers.

The industrial cluster consists not only of battery manufacturers but also of related component/material and device manufacturers.

Device manufacturerHIRANO TECSEED CO., Ltd.

Nishimura MFG. Co., Ltd.Component/material

manufacturerTanaka Chemical Corp.Daiwa Kasei Co., Ltd. Battery manufacturer

Panasonic Corp.GS YUASA

[Cluster of companies related to lithium-ion batteries that are unique and boast top shares]

The world’s largest constant-temperature battery test and evaluation facility (testing up to container sized storage battery systems)

Panasonic, Kyocera, Hitachi Zosen, Aquafairy➢Fuel cell manufacturers

➢Fuel cell-related device and parts manufacturers

Fujikin, Samtech, FIS, Takaishi Industry, TECHNO TAKATSUKI , Yamato H2Energy Japan, KAJl TECHNOLOGY, TOYOBO, NIPPON SHOKUBAI

➢Hydrogen manufactures and storage companiesIwatani Corporation, Kawasaki Heavy Industries, AIR WATER INC., KOBELCO ECO-SOLUTIONS➢Inspection and evaluation equipment manufacturers

[Major companies related to fuel cells in Kansai]

Shimadzu Corporation, HORIBA LTD., Round Science Inc.

Long-life storage cell “Redox Flow Battery”

8

National Institute of Technology and Evaluation (NITE)

Home-use fuel cell cogeneration system

National LABoratory for advanced energy storage technologies

Outer appearance and the event space of “Iwatani Hydrogen Station at Kansai International Airport”

Inside of the facility

INVEST KANSAI

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4-2. Life Science Innovation4. Industries Expected to Grow

Kansai has been a base for medicine since ancient times, with a large cluster of pharmaceutical company headquarters.

A large number of foreign companies and medical equipment manufacturers are located in Kansai, where the world’s first therapeutic agent was developed using clinical research that applied iPS cells.

Regenerative medicine, discovering disease mechanisms, drug discovery, etc.

A large cluster of pharmaceutical company headquarters

Shionogi & Company

Ono Pharmaceutical

Kaigen Pharma

Takeda Pharmaceutical

AstraZeneca K.K.

Nippon Boehringer Ingelheim

A large number of foreign companies are advancing to Kansai as well

Medical equipment manufacturers concentrated in this area

Omron

Shimadzu Corporation

Kobe Medical Industry Development Project

Saito Life Science Park

Kansai Branch of Pharmaceuticals and Medical Devices Agency (PMDA)

Concentration of research and development bases and core institutions

Eli Lilly Japan K.K.

“Production Statistics for Pharmaceutical Industry in 2015,” Ministry of Health, Labour and WelfareFigure 1: Pharmaceutical production, import, shipment, and inventory value by prefectureFigure 26: Non-pharmaceutical production, import, shipment, and inventory value by prefecture

9

NIPRO

Mitsubishi Tanabe Pharma

Fuso Pharmaceutical Industries Sysmex

[Share of shipment value of pharmaceutical products]

Center for iPS Cell Research and Application, Kyoto University

[Share of production of non-pharmaceutical products]

INVEST KANSAI

Kansai32%

Other68%

Kansai21%

Others79%

West Japan Supervising Department of Japan Agency for Medical Research and Development (AMED)

(Excluding Fukui)

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5-1. Small and Medium-sized EnterprisesSupporting the World from Kansai

A large number of small and medium-sized companies with world-class technologies are clustered in Kansai. The unrivaled manufacturing force of small and medium-sized enterprises are supporting Japan’s

manufacturing industry.

10

The company has reliable technologies indispensable to high-speed and other railroads in Europe and Asia, large-scale natural resources in Brazil and other countries, bridges and high-rise buildings, such as the Tokyo Skytree.The company’s products performed excellently in vibration tests of National Aerospace Standards (NAS), and occupies the top share in the world.

The company focuses on producing arrestors for the power, railroad, broadcasting, and communications fields, occupying the top domestic market share in the power industry. A zinc oxide element used as the heart of each arrestor is a high-quality device approved in Japan and overseas.

5. Attractive Industries

The company provides ‘super rapid prototyping’ services using stereolithography and vacuum casting. It has customers in a wide range of fields, including consumer electronics manufacturers, automobile component manufacturers, and medical equipment manufacturers, industrial equipment manufacturers, universities, and research institutes. The company’s biological heart model realistically reproducing the inside and tactile sensation of the heart has been approved for surgeon training and preoperative simulation.

Conventional polarizing lensRefractive index: 1.498Degree of lens: S-6.00

High-refractive polarized lensRefractive index: 1.664Degree of lens: S-6.00

HARDLOCK INDUSTRY CO., LTD. OTOWA ELECTRIC CO., LTD. Nuts that Never Come Loose Specialist in Lightning Countermeasures

crossEffect, Inc.Aiming for the world’s fastest manufacturing

HOPNIC LABORATORY Co., Ltd.Professional in functional lenses

The company is a lens manufacturer, and the worldwide market share of its high-refractive index-polarizing lens exceeds 90%. Overseas famous brand sunglasses adopt the company’s polarized sunglass lenses for glare suppression. Furthermore, the company developed color dimming lenses sensitive to light (ultraviolet rays) and absorbent lens which respond to a specific bright wavelength (580 nm).

INVEST KANSAI

http://www.hardlock.co.jp/en/index.php >>>

http://www.xeffect.com/english/index.html

>>>

http://www.hopnic.co.jp/english/

http://www.otowadenki.co.jp/eng/ >>>

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5-2. New Products/Services Developed in Kansai5. Attractive Industries

1902: Spiral-shaped mosquito coil(Dainihon Jochugiku, Osaka)The company has greatly contributed to the prevention of malaria and other infectious diseases from mosquitoes. The spiral-shaped product was a revolutionary design by the company.

2002: The complete farming of bluefin tuna (A-marine Kindai, Wakayama)A-marine Kindai – the first company in the world that succeeded in the complete farming of bluefin tuna. This allows the mass production of tuna that are in popular demand, thus contributing to preventing decrease in the number of tuna.

1958: Chicken Ramen(Nissin Food Products, Osaka)(The First Instant Noodles in the World)

1971: CUP NOODLES(Nissin Food Products, Osaka)(The First Instant Cup Noodles in the World)

People in many countries still eat CUP NOODLES, which has wide appeal across dietary traditions.

1967: Automated ticket gates system (Tateisi Electric Manufacturing (now Omron), Kyoto)

World‘s first system to solve commuting rush hours, which was a social issue at the time. This system enabled efficient mass transit and has greatly contributed to the modernization of urban cities.

1958: Sushi-go-round (Genroku Sushi, Osaka)Sushi, a representative Japanese food, became available at a sushi-go-round.This has made it possible for people all over the world to enjoy sushi.

2000: Mobile phone with a built-in camera (Sharp, Osaka)This was the first mobile phone enabling to take and send photos, today an essential component in every phone.

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INVEST KANSAI

Photos provided by, and published in cooperation with OMRON Corporation

Photos provided by, and published in cooperation withNISSIN FOODS HOLDINGS CO., LTD.

Photos provided by, and published in cooperation withDainihon Jochugiku Co., Ltd.

Photos provided by Genroku Industry Co., Ltd.

Photos provided by, and published in cooperation withSharp Corporation

Completely cultured bluefin tuna

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5-3. Famous Entrepreneurs from Kansai5. Attractive Industries

In random order with honorifics omitted 12

The founder of Shima Seiki Mfg. Ltd., a leading manufacturer of horizontal knitting machines.

Masahiro Shima

Noriyuki Inoue

The founder of Matsushita Electric Industrial (currently Panasonic Corporation), a global manufacturer of general electronics.

Konosuke Matsushita

Shinjiro ToriiThe founder of ASICS Corporation, a world-class supplier of sporting goods, including running and athletic shoes

Kihachiro OnitsukaThe founder of KYOCERA Corporation, a global manufacturer of general electronic parts.

Kazuo Inamori

The founder of OMRON Corporation, an electronics manufacturer that produced a number of “world’s first” innovative products, such as the automatic ticket gate system.

Kazuma TateishiThe founder of Shimadzu Corporation, a global manufacturer of analytical and measuring instruments. He succeeded in launching Japan’s first manned balloon.

Genzo Shimazu

He developed the first instant noodles and cup noodles in the world. The founder of Nissin Food Products Co., Ltd.

Momofuku Ando

The founder of Suntory, the manufacturer of Yamazaki Whisky, which won the highest score in the Whisky Bible 2015 edition in the UK.The talented business manager who has

developed Daikin Industries, Ltd. into the world’s greatest comprehensive manufacturer of air-conditioning equipment.

INVEST KANSAI

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6-1. Asia’s Leading International Conference Location6. Well-equipped Business Environment

Kansai has a large number of leading international conference halls, and is Asia’s leading international conference location.

Kansai provides a comfortable environment not only for MICE but also for business and life.

If you travel just outside this economic center, you will find beautiful and inspiring natural and cultural treasures.

Osaka International Convention Center(Grand Cube Osaka)

Provided by Osaka Prefecture

Kyoto International Conference Center

Nara Kasugano International ForumIRAKA Noh Theatre

Provided by Nara Prefecture

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[Number of international conferences by country in Asia-Pacific regionJapan received the top ranking for four straight years since 2012] Statistics on international conferences (ICCA)

2015, JNTO

Kansai held 25% of all international

conferences in Japan

Japan’s biggest international exhibition space, INTEX Osaka

Kobe International Conference CenterProvided by Kobe City

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Yokokan Garden (Fukui)Mishima Pond (Shiga) ©Fukui City(Licensed under CC BY 4.0)

https://creativecommons.org/licenses/by/4.0©Maibara City(Licensed under CC BY 4.0)https://creativecommons.org/licenses/by/4.0

Provided by INTEX Osaka HP

Provided by Kyoto International Conference Center

Kansai25%

Others75%

Hongu Onsen(Wakayama)

Tanabe City Kumano TourismBureau

Mountain with Aridamandarin orange trees (Wakayama)

©Arida City(Licensed under CC BY 4.0)https://creativecommons.org/licenses/by/4.0

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6-2. Comfortable Working and Living Environment6. Well-equipped Business Environment

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Investment-related deregulation

Providing living information for people from abroad

“Living in Japan” (JETRO website)→ https://www.jetro.go.jp/en/invest/living.html

In organizing the Working Group for Revising Regulations and Administrative Procedures in the Council for Promotion of Foreign Direct Investment in Japan, the Japanese government is considering simplifying regulations and administrative procedures that may represent hurdles for foreign companies to overcome when investing in Japan. The government’s coordination with related ministries and agencies is underway for that purpose.

56.7

68.2

82.8Labor costs

Office rents

Private housing rents

* Concrete measures to be implemented by ministries and agencies (formulated on April 24, 2017) Measures related to incorporation and registration Measures related to residence status Establishment of a one-stop service system for administrative procedures Information sharing in non-Japanese languages, and consultation service for foreign companies Import-related measures

For more details or the latest update, visit: http://www.invest-japan.go.jp/policy/simplify_regulations_and_procedures/en_index.html

Costs in Osaka against those in Tokyo assumed as 100

Note) The cost levels in Osaka are used as the representative of Kansai.

CBRE’s “Vacancy Rates and Average Offer Rents Nationwide” (2017 first quarter)“Retail Price Survey (Trend Survey)” of the Statistics Bureau, Ministry of Internal Affairs and Communications (April 2017)“Monthly Labor Survey (Regional Survey)” of the Ministry of Health, Labor and Welfare (averages of 2015)

A collection of living information, including information about hospitals, banks, cell phones, electricity and gas supply, is provided based on the decision by the Council for Promotion of Foreign Direct Investment in Japan.

“Regional Information Living Informationfor Foreigners” (JETRO website)

→ https://www.jetro.go.jp/en/invest/region/living.html

Living information by prefecture is also posted.

Comparing business and living costs in Tokyo and Osaka

INVEST KANSAI

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7-1 Kansai, satisfying all kinds of tourists’ interests

As the birthplace of a wide variety of performing arts and cultural elements, Kansai boasts a high concentration of all kinds of attractive tourist spots, including many World Heritage sites, varied food culture, seasonal destinations rich with natural features, and unique vibrant cities.

Home to many World Cultural Heritage sites The birthplace of many artistic & cultural elements

Historic Monuments of Ancient Nara [Nara Prefecture](Horyu-ji Temple, the world’s oldest existing wooden building and buddhistmonuments .)

Historic Monuments of Ancient Kyoto [Kyoto Prefecture] Himeji-jo [Hyogo Prefecture]

Kansai is home to 72.6% of National-Treasure-designated structures, and 51% of National-Treasure-designated fine arts and crafts.

“Statistical Abstract” of the Ministry of Education, Culture, Sports, Science and

Technology (2017)

Kumano Kodo pilgrimage route [Wakayama Prefecture]

For more details, visit the website run by Kansai Tourism Bureau, “O-KO-SHI-YA-SU” Welcome to Kansai, Japan.

7. Alluring Sightseeing

Photo provided by Nara Prefecture

Photo Copyright © Byodoin TemplePhoto provided by Himeji City

Photo provided by Nara Visitors Bureau

This page was created in cooperation with Kansai Tourism Bureau.

http://kansai.gr.jp

Noh

Ikebana

Tea ceremony

15

INVEST KANSAI

Photo provided by Kansai Tourism Bureau

Photo provided by Nara Prefecture

Photo provided by WAK JAPAN Co.

Photo provided by WAK JAPAN Co.

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KANSAI ONE PASS is an IC-card-type passenger ticket only for international tourists. With only this card, you can take all trains and buses in Kansai. This is a very convenient ticket with special benefits. KANSAI ONE PASS is available at main stations in Kansai, including the Kansai Airport Station.

Price: 2,000 yenRechargeable at ticket machines

Varied food culture

Rich seasonal natural features

Large cities with unique identities

Kyoto cuisine [Kyoto Prefecture] Kobe beef [Hyogo Prefecture] Okonomiyaki [Osaka Prefecture] Ramen [various places]

Cherry blossoms on Mount Yoshino[Nara Prefecture] Tojinbo [Fukui Prefecture] Deer in Nara Park

[Nara Prefecture]Hozu-gawa River boat ride

in the snow in Kameoka[Kyoto Prefecture]

Umeda Sky Building,Tsutenkaku and Shinsekai[Osaka Prefecture]

Kobe Port Tower [Hyogo Prefecture]

KANSAI ONE PASS: the best friend of Kansai travellers!

(This page including photos was created in cooperation withKansai Tourism Bureau)

16©Tezuka Productions

INVEST KANSAI

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7-2. New style of tourism: “Industrial Tourism”7. Alluring Sightseeing

17

Industrial tourism, which provides on-site learning, experiencesand idea exchanges on industries and companies, has been attracting attention. Kansai has a number of these industrial tourism facilities and more than 16 million

people annually visit Kansai from inside Japan and overseas.

http://www.kansai.meti.go.jp/english/tvlist/tvtopeng.html

On the website above, you can find about 500 industry-related facilities in the Kansai area (available for factory tours, offering company museums, and production experiences, etc.) !!

INVEST KANSAI

Photo on this page: “Night view of a group of plants in Takaishi City” © Takaishi City(Licensed under CC BY 4.0) https://creativecommons.org/licenses/by/4.0/

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App that helps connect your mobile device to a free Wi-Fi network in various places in Kansai

7-3. Creating a comfortable environment for foreigners in Kansai

“International Visitors Taxi”(Photo provided by the Osaka Taxi Center)

“KANSAI ONE PASS”(Image provided by Kansai Tourism Bureau)

18

KANSAI Free Wi-Fi (Official)(Image provided by the Kansai Economic Federation)

©Tezuka Productions

Sightseeing with empty hands

Taxi with non-Japanese language service

Foreign money changing counter and foreign money changing machine

Yen-cash withdrawal service

«For cash cards issued abroad»

Multilingual service

Multilingual speech translation app “VoiceTra”(Images provided by the National Institute of Information and Communications Technology (NICT))

“QR Translator”(Images provided by PIJIN)

Foreign money changing service

Tourist guide and medical guide through internet phone:“Osaka Call Center”(Images provided by the Osaka Convention & Tourism Bureau)

(Images provided by Japan Post Bank and Seven Bank)

(Images provided by the Senshu Ikeda Bank)

“Foreign Friendly Taxi”(Images provided by the Foreign Friendly Taxi Certification System Council)

Sightseeing, shopping, etc.

Tourists can temporarily leave their baggage at airports, stations, shopping facilities, etc., or have their baggage delivered to the airport, station, hotel, etc.

Comfortable sightseeing in Japan

with empty hands!

“Sightseeing with empty hands”(This section including images was created in cooperation with the Kinki District Transport Bureau, Ministry of Land, Infrastructure, Transport and Tourism)

7. Alluring Sightseeing

Nara City Kansai International Airport

INVEST KANSAI

IC-card-type passenger ticket with special benefits

The Senshu Ikeda Bank, Ltd.

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7-3. Creating a comfortable environment for foreigners in Kansai

Guesthouse for meeting new people

Kansai Finder, a general information site providing information on popular spots in Kansai, personal ads, job offers, etc.(Image provided by Kansai Scene)

Cultural experience of tea ceremony, origami, cooking, etc.(Photos provided by WAK JAPAN Co.)

Free English language magazine Kansai Scene(Photos provided by Kansai Scene)

19

Providing traditional Japanese cultural experiences

Online information and English language media

Halal lunch box(Photo provided by Umemori Honten)

Sushi cooking school(Photo provided by Umemori Honten)

Meeting religious dietary needs, including those for halal food

Prayer rooms(Photo provided by Kansai Airports)

Pictograms helpful for vegetarians, Muslims, etc.(Image provided by Foodpict Inc.)

Noh experience(Photo provided by Yamamoto Noh Theater)

Guesthouse FUJITAYA(Photo provided by Feel Japan Co., Ltd.)

7. Alluring Sightseeing INVEST KANSAI

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8-1. Characteristics of manufacturing industriesINVEST KANSAI

Census of Manufacturers 2014, Ministry of Economy, Trade and Industry

Primary material industries, including the chemical and steel industries, account for a high percentage of manufacturing in Kansai.

20

8. Kansai’s Industrial Structure and Commerce

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

2.3

2.0

9.2

10.9

6.1

5.4

3.8

4.5

1.1

2.4

2.4

6.3

9.3

3.1

3.0

4.6

6.0

3.3

5.9

5.4

7.1

2.3

1.9

4.5

3.8

5.6

8.1

2.8

2.1

19.7

8.1

8.5

7.8

3.1

3.0

1.3

2.2

1.8

2.0

1.3

2.0

Shipments by product and industry in Kansai and nationwide

Pulp & paper

Chemicals

Chemicals

Plastics

Petroleum & coal products

Plastics

Ceramics, cement and glass

Steel

Nonferrousmetals

Nonferrousmetals

Metal products

General purpose machines

General purpose machines

Electric machines

Electric machines

Information & communication machines

Electronics& devices

Electronics & devices

Transportation machines

Transportationmachines

Foods

Foods

Beverages, tobacco and feed

Beverages, tobacco and feed

Textiles Other

OtherPulp & paper Ceramics, cement and glass

Metal products

Primary material industries Processing and assembly industries Daily commodity industries

Petroleum & coal products

Steel

Machines for business use

Industrialmachines

Information & communication machines

Industrialmachines

Machines for business use

Textiles

Printing

Printing

Rubber products

Kansai

Nationwide

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8-2.Trade Value by Region and Product

Kansai

Japan

EU

10.1%

EU

11.4%

Others8.8%

Others15.5%

Asia 67.8%

(of which China accounts for 23.8%)

Asia 52.9%

(of which China accounts for 17.7%)

US

13.2%

US

20.2%

US8.5%

US11.0%

EU11.3%

EU12.3%

Others21.3%

Others26.3%

Asia 58.9%

(of which China accounts for 33.5%)

Trade Statistics, Osaka Customs Table for Kinki District StatisticsTable for statistics within the Tsuruga Customs Branch (Fukui Prefecture)(2016)

Comparison of Imports by Region(2016)Comparison of Exports by Region(2016)

National Export Total Approx. 70.0 trillion yen

21

Export Total Approx. 15.0 trillion yen Import Total Approx. 13.1 trillion yen

National Import Total Approx. 66.1 trillion yen

●Electric appliances, machinery and chemical products constitute a high percentage of exports from Kansai because global manufacturers in the fields of machinery (home appliances, motors, construction/agricultural machinery, etc.)and chemical products (medical products, plastics etc.) are located in the region.

●Asia represents a large portion of both exports from and imports to Kansai, in comparison to Japan as a whole, and thus Kansai has become a central Asian hub.

Electricappliances

30.6%

Machinery22.0%

Chemicalproducts

12.3%

Transportation equipment

4.6%

Steel4.4%

Scientific and optical

instruments4.4%

Nonferrous metal1.9%

Metal products

1.8%Others18.0%

Total value

¥ 15.0 trillion

※Total value of exports from Japan:¥70.0 trillion

Value of Exports from Kansai by Commodity(2016)

Electric appliances

16.6%

Chemical products

14.5%

Mineral fuels13.7%Foodstuffs

10.6%Machinery

8.6%

Clothing andaccessories

8.0%

Others28.0%

Total value

¥13.1 trillion

Value of Imports to Kansai by Commodity(2016)

※Total value of imports to Japan:¥66.1 trillion

INVEST KANSAI

Asia 50.3%(of which China accounts for 25.8%)

8. Kansai’s Industrial Structure and Commerce

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US26.5%

Germany14.6%

China7.8%

South Korea7.3%

UK5.9%

Italy5.5%

France4.6%

Netherlands3.7%

Hong Kong S.A.R.3.2%

Switzerland3.2%

Taiwan2.2%

Denmark1.8%

Singapore1.4%

Others12.3%

Total219

Machinery wholesale

12.8% Machinery / equipment

manufacturing8.2%

Chemical products manufacturing

6.4%

Electrical machinery wholesale

5.0% Pharmaceuticals manufacturing

4.6% Information, systems,

software4.1%

Electrical machinery manufacturing

3.7%

Textiles and apparel wholesale

3.7%

Precision machinerywholesale

3.2%

Chemicals wholesale3.2%

Precision machinery manufacturing

3.2%

Steel and metal wholesale2.7%

Others wholesale 16.4%

Others manufacturing

12.3%

Others10.5%

Total219

Foreign-affiliated firms: Foreign capital of 20% or over (including branch offices)Source: Foreign Companies CD-ROM 2016, Toyo Keizai Inc.

Toyo Keizai Foreign Companies Database (2016)

9-1.Foreign-Affiliated Companies Entering into Kansai9. Diversity of Foreign-Affiliated Companies Entering into Kansai

22

Companies by country and region (2016) Companies by industry (2016)

INVEST KANSAI

U.S. and European companies comprise the largest portion of foreign-affiliated companies in Kansai.Asian companies also comprise 26% which is larger than the national average of 18%.

By type of industry, foreign-affiliated companies in the manufacturing sector (manufacturing machinery, chemical products, pharmaceuticals, electrical machinery, etc.) comprise approximately 38% of the industry, a significantly larger percentage compared to the national average of 22%.

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9-2. Examples of Foreign-Affiliated Companies in Kansai

23

Caterpillar (Hyogo)Galanz Japan Co., Ltd.(Osaka)Samsung R&D Institute Japan Co., LTD. (Osaka)Nestlé Japan Ltd. (Hyogo)P&G Japan (Shiga, Hyogo)BASF Japan Ltd. (Hyogo)RECARO Japan Co., Ltd. (Shiga)

R&D / Production bases

AstraZeneca K. K. (Shiga,Kyoto,Osaka,Hyogo)

ABBOTT JAPAN CO., LTD. (Kyoto,Osaka,Hyogo)

TORNIER JAPAN K.K. (Hyogo)

Eli Lilly Japan K.K. (Kyoto,Osaka,Hyogo)

IE Japan (Osaka)

INSTAR ITS Japan, Inc. (Osaka)

DunAn International (Japan) Co., Ltd. (Osaka)

Ceres Power (Kyoto)

Environment/Energy field

IKEA Japan (Osaka,Hyogo)

AIG Japan Holdings K.K.(Osaka)

Equinix, Inc. (Osaka)

Zebra Japan Inc.: Flying Tiger Copenhagen

Salesforce.com Co.,Ltd.(Osaka,Wakayama)

TÜV Rheinland Japan (Osaka)

Tata Consultancy Services Japan Limited (Osaka)

Haier Japan Sales Co., Ltd. (Osaka)

Hillman Restaurant Japan (Osaka)

Distribution/Service field

Osaka Hilton (Osaka)

Ctrip International Travel Japan Co., Ltd. (Osaka)

JUNEYAO AIRLINES Co., Ltd. (Osaka)

DIORA Japan Osaka Co., Ltd. (Osaka, Hyogo)

PEAK DMC JAPAN (Kyoto)

Tourism field

9. Diversity of Foreign-Affiliated Companies Entering into Kansai INVEST KANSAI

Life science field

(Kyoto,Osaka,Hyogo)

Note: Companies listed are those that have head offices, sales offices or research institutes in Kansai.

Source: Compiled from Foreign Companies Database 2016, Toyo Keizai Inc. and company Informationfrom JETRO and O-BIC

http://www.kansai.meti.go.jp/3-1toukou/invest_in_kansai/e_interviews.htmlInvest_in_Kansai-e_interviews SEARCHFor more information

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10-1.Foreign Investment Support Systems in Kansai

Foreign-affiliated companies

Kansai Economic Federation

Kansai Bureau of Economy, Trade

and Industry

Federationof Chambers of

Commerce and Industry in the Kansai Area (Osaka Chamber of

Commerce and Industry)

JETRO Osaka

Council for INVESTKANSAI

Website: INVEST Kansai Webhttp://www.kansai.meti.go.jp/3-1toukou/invest_kansai/en/e_index.html

Facilities• Temporary offices(free of charge up to 50 business days)• Meeting rooms• Business libraries

Consulting• Advice for market access• Finding human resources

and offices• Providing information on laws,

various standards and incentives

• Estimation of costs to set up business- One-stop support for investment in Kansai -JETRO Invest Japan Business Support Center, Osaka(JETRO IBSC Osaka)

TEL: +81-6-4705-8660 FAX: +81-6-4705-8650JETRO Invest Japan Business Support Center, Kobe (JETRO IBSC Kobe)

TEL: +81-78-252-7505 FAX: +81-78-232-3439JETRO Fukui

TEL: +81-776-33-1661 FAX: +81-776-33-7110JETRO Shiga

TEL: +81-749-21-2450 FAX: +81-749-27-3750JETRO Kyoto

TEL: +81-75-325-5703 FAX: +81-75-325-5706

10. Support for Foreign Investment in Kansai

The Council for INVEST KANSAI is comprised of Kansai Economic Federation, JETRO Osaka, Federation of Chambers of Commerce and Industry in the Kansai Area (Osaka Chamber of Commerce and Industry), and Kansai Bureau of Economy, Trade and Industry. Its objective is to promote foreign investment in Kansai.

In the Council, as one-stop support, Invest Japan Business Support Center (IBSC) supports foreign companies planning to enter Kansai in various ways, including providing information and individual consultations.

The Council for INVEST KANSAI provides support such as providing information on investment incentives, factory locations etc., as well as finding business partners with local governments, regional business communities and specialists.

Conceptual diagram of the Kansai region’s investment promotion system

24

INVEST KANSAI

INVEST KANSAI

IBSC

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• Providing information on administrative incentives

• Providing information on real estate

• Introducing agents providing expertise in company registration and acquiring resident status

• Introducing interpreters, translators, market researchers, attorneys, tax consultants, accountants and other professionals or companies

• Cooperating on PR

10-2. Foreign Investment Support Programs by Local Governments

In Kansai, foreign investment support organizations belonging to local governments offer various kinds of one-stop services.

10. Support for Foreign Investment in Kansai

Osaka Business and Investment Centre Kyoto Prefecture, Kyoto City, Kyoto

Chamber of Commerce and IndustryKansai Science CityKyoto Research Park (KRP)JETRO Kyoto Trade Information Center

Kyoto Foreign Investment Promotion Committee (KIC)

Hyogo-Kobe Investment Support Centre (HKIS)

We provide foreign companies, foreign individual business persons and researchers with information and support about Kyoto to help them start doing business in Kyoto.

We offer extensive and detailed support services according to the company’s needs for entering into Osaka, including introduction of potential partners, providing information on investment incentives and temporary offices.

IBPC Osaka Investment Promotion Project

http://www.kic-kyoto.jp/index.html

http://www.investosaka.jp/eng/

http://o-bic.net/

We support foreign companies, foreign government offices and economic organizations, as well as companies in Japan that wish to establish new offices in, and expand their activities into Osaka by the following means:

25

Supporting foreign companies in an extensive and detailed manner according to their needs

Osaka Prefecture

Osaka City Hyogo Economic Development Center

Hyogo-Kobe Investment Support CenterOne-stop Service

HyogoPrefecture

Commercialreal estate Relevant

localinstitutions

The KobeChamber ofCommerce

and Industry

JETROKobe

Kobe City andOther

municipalitiesin Hyogo

Prefecture

Promoting companies’ advancement in Hyogo and Kobe

Assisting domestic and foreign companies’ advancement in Hyogo Prefecture

Support for opening new and additional factories and offices etc.We provide various types of information on Hyogo: not only information on industrial estates, suitable sites for factories, vacant land, offices for rent, etc., but also on administrative procedures needed when establishing a business in the area, employment, residences and everyday life.

http://www.hyogo-kobe.jp/best/index.php?easiestml_lang=en

Osaka Chamber of Commerce

and Industry

INVEST KANSAI

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Incentives for foreign and foreign-affiliated companies

10-3. Government Efforts to Promote Foreign Investment in Japan

Preferential measures, including reduced patent fees for global companies planning to set up a company in Japan to conduct new R&D projects and business operations. «Applications can be filed in English.»

Reduction of patent fees

Shortened investment procedures

50% reduction of screening and patent fees for patented invention

Acceleration of patent application screening

Accelerating patent application screening and proceedings [Ordinarily around 22 months → shortened to about 2 months] (FY2011result)

Assistance with fund raising Fund raising assistance offered by Small and Medium Business Investment & Consultation Co., Ltd.

(Also applicable to incorporated companies with capital of 300 million yen or more)

Accelerating screening for the Certificate of Eligibility for Status of Residence applied by foreign nationals who intend to work in Japan [Ordinarily 1 month → shortened to about 10 days]

10. Support for Foreign Investment in Kansai

* See details at → http://www.meti.go.jp/english/policy/external_economy/investment/act_information.html

Acceleration of residence status examinations

Shortening the period of screening of advance notifications of direct inward investment, etc. in industries subject to regulations, from 30 days in ordinary cases to two weeks

«For Inquiries» Investment Facilitation Division, Trade and Economic Cooperation Bureau, Ministry of Economy, Trade and Industry Tel.: +81 (0)3-3501-1662

26For information on other incentives, etc., see JETRO’s website.→ https://www.jetro.go.jp/en/invest/incentive_programs.html

Act on Promotion of Japan as an Asian Business Center (Act on Special Measures to Promote Research and Development Business, etc. by Specified Multinational Enterprises)

* Applicable only to SMEs

* Applicable only to SMEs

INVEST KANSAI

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10-4. Examples of Incentives Offered by Local Governments

Business start-up subsidy (financial aid for business activity costs)Subsidies for the business expenses of high-tech or health-and-longevity businesses(Maximum of ¥100 million per year for 3 years)

Subsidy programBusiness start-up subsidy (financial aid for facilities)Subsidies for equipment acquired for high-tech ,health-and-longevity or food businesses (maximum of ¥3 billion). Subsidies for facility acquisition and new hiring for HQ function (including test research) (maximum of ¥600 million)

Tax cuts

Reduction or exemption of business tax, real estate acquisition tax, fixed asset tax, etc. on businesses in applicable areas for 3 years.

Financing programFinancing to promote establishment of corporate sitesLow-interest loans for businesses to encourage companies to locate in the prefecture and hire local residents(Rate: 1.5% a year (fixed rate), limit: ¥500 million (¥1 billion if specially approved), duration: 15 years max.)

Fukui

Business start-up subsidies (financial aid for R&D)Subsidies for the research and development expenses of businesses that plan to establish or expand research facilities in applicable areas (Subsidize 50% of total cost; maximum of ¥100 million/year and an overall total of ¥500 million)

10. Support for Foreign Investment in Kansai

27

<As of April 2017>

(Note) For more details of local governments’ support systems, visit the website of the Kansai Bureau of Economy, Trade and Industry or JETRO.

Kansai Bureau of Economy, Trade and Industry: http://www.kansai.meti.go.jp/3-1toukou/invest_in_kansai/e_various_incentives.htmlJETRO “Regional Information”: https://www.jetro.go.jp/en/invest/region/

INVEST KANSAI

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10-4. Examples of Incentives Offered by Local Governments

Subsidy programSubsidies for the establishment of headquarters, research and development facilities and mother factories of growth industries (up to ¥1 billion)

Tax cuts

Reduction or exemption of business tax, real estate acquisition tax, etc. on businesses in applicable areas for 3 years.

Financing programLow-interest loans for the equipment for plants or research institutes.(Annual interest rate: 1.25%; limit: ¥200 million (land acquisition: ¥100 million);duration: 10 years max (including an up-to-two-year period of deferment))

Shiga

Subsidies supporting electric power costs in the establishment or expansion of facilities in applicable areas near nuclear power stations.

<As of April 2017>

28

10. Support for Foreign Investment in Kansai

(Note) For more details of local governments’ support systems, visit the website of the Kansai Bureau of Economy, Trade and Industry or JETRO.

Kansai Bureau of Economy, Trade and Industry: http://www.kansai.meti.go.jp/3-1toukou/invest_in_kansai/e_various_incentives.htmlJETRO “Regional Information”: https://www.jetro.go.jp/en/invest/region/

INVEST KANSAI

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10-4. Examples of Incentives Offered by Local Governments

(Note) For more details of local governments’ support systems, visit the website of the Kansai Bureau of Economy, Trade and Industry or JETRO.

Kansai Bureau of Economy, Trade and Industry: http://www.kansai.meti.go.jp/3-1toukou/invest_in_kansai/e_various_incentives.htmlJETRO “Regional Information”: https://www.jetro.go.jp/en/invest/region/

Financing programLow-interest loans for necessary funds for building or expanding a factory or the like applicable to the Special Business Subsidy under Kyoto Industrial Site Strategy 21(Annual interest rate (fixed during the first 10 years): 1.7%; special rate: 1.2%; upper limit: ¥ 2 billion; duration: up to 20 years for equipment fund, and up to 7 years for operating fund)

Subsidy program

Reducing real estate acquisition tax by 50% at maximum, if a factory or the like is built or expanded in an integration promotion area for manufacturing and other industries

Tax cuts

Special Business Subsidies under Kyoto Industrial Site Strategy 21Subsidizing companies that build or expand a factory or the like in Kyoto Prefecture, to compensate their labor costs for regular employees within the prefecture and their investments in fixed assets

Subsidies for supporting businesses located near nuclear power plants, etc.Subsidizing companies that build or expand a factory or the like in applicable areas, to compensate their electricity charges resulting from their electricity contracts.

Kyoto City

<As of April 2017>

Subsidies for developing Kyoto-type top global niche companies: Subsidizing target companies, including companies ranked “A” by the Kyoto City venture business committee, which build or expand business locations, to compensate the fixed asset tax andcity planning tax for five years, and to cover archaeological excavation costs and costs for establishing rainwater runoff control facilities in specified exclusive industrial districts

Subsidies for promoting the establishment of corporate facilities in Kyoto City: Subsidizing companies that build or expand their head offices, factories, research institutes, and R&D centers in the city, to compensate the fixed asset tax and city planning tax on the newly acquired assets (for five years for SMEs and for two years for large enterprises with a one-year extension for all enterprises located in specified areas, such as Rakunan Shinto), and to cover archaeological excavation costs and costs for establishing rainwater runoff control facilities in specified exclusive industrial districts

29

Kyoto City landowner incentives for promoting the establishment of business facilities: Providing owners of land in specifiedindustrial districts with incentives when they sell their land to businesses intending to use the land to establish business facilities

Kyoto

10. Support for Foreign Investment in Kansai INVEST KANSAI

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10-4. Examples of Incentives Offered by Local Governments

Osaka

Subsidy program

Subsidies to promote investment in the prefectureSubsidies for building, expanding, or renovating plants or R&D facilities in target areas (maximum of ¥30 million)Subsidies for corporate enterprise taxes (maximum of ¥20 million for each company, only when a company is granted subsidies for the investment above).

Subsidies to promote business start-ups by foreign companiesSubsidies for foreign companies advancing into the prefecture to establish head offices.Building acquisition: 5% (subsidy rate) for buildings, facilities, etc.; maximum of ¥100 millionRent: 1/3 of rent (24 months); maximum of ¥60 million

<As of April 2017>

Tax system to promote industrial clusters (Reduction of Real Estate Acquisition Tax)Real estate acquisition tax on land and buildings (factories, buildings for research etc.) acquired in regional industrial promotion areas will be cut 50% (limit: ¥200 million)

Tax cutsGrowth zone tax system (prefectural tax)Reducing the local taxes (prefectural tax and municipal tax) on companies advancing to a special zone in the prefecture to do business on new energy and life sciences under approved business plans. Maximum reduction to prefectural tax is 100%.

Loans Proposed by Financial Institutions Loans necessary for construction of plants or research institutes etc. in Osaka Prefecture (Conditions differ depending on the financial institution.)

Financing program

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City tax preferential treatment under Sakai’s municipal regulations on manufacturing investment promotionTaxes, such as the fixed asset taxes, on companies expanding or renovating factories in industrially suitable sites in the city will be reduced from 3/4 to 1/2 (for five years).

Sakai City

Sakai City subsidies for attracting businessSubsidizing companies that newly open business locations in the city’s downtown area, the Nakamozu area or Senboku New Town, to cover their rent and other costs, with increased subsidy rates for company headquarters, foreign-affiliated companies and foreign public establishments (50% at maximum for three years within an upper limit of ¥5 million)

SakaiCity

Cooperation with Osaka City etc.

10. Support for Foreign Investment in Kansai

(Note) For more details of local governments’ support systems, visit the website of the Kansai Bureau of Economy, Trade and Industry or JETRO.

Kansai Bureau of Economy, Trade and Industry: http://www.kansai.meti.go.jp/3-1toukou/invest_in_kansai/e_various_incentives.htmlJETRO “Regional Information”: https://www.jetro.go.jp/en/invest/region/

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10-4. Examples of Incentives Offered by Local Governments

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Hyogo

Subsidies to promote establishment of industries (employment standards)Subsidies for new local employers (regular employment)(¥300,000 per person, maximum of ¥300 million)

Subsidy program

Tax cutsReducing the fixed asset tax, the business facility tax, etc. on companies in strategic industries by 9/10 for five years (or 10 years for large facilities applicable to special treatment) (without upper limits) (by 2/3 for companies in non-strategic industries)

Subsidies for office rentSubsidizing 50% of office rent for foreign companies for 3 years (up to ¥2 million for each company per year).* The upper limit of subsidies for companies with offices in specified areas in Kobe City is ¥11 million, including

additional subsidies from Kobe City.

Assisting relocation of headquarters from one of three major cities in Japan or from overseasIncluding subsidies within 5% for capital investment

Subsidies to promote the large-scale investment of leading-edge manufacturing businessesSubsidies within 6% for capital investment (no ceiling)

Subsidies for relocating headquarters from Tokyo’s 23 wards, etc.Subsidies within 7% for the acquisition of buildingsEmployment assistance (up to ¥500,000 per person)(Up to 30% of the tax for the current term) Cooperation with

Kobe & Himeji City etc.

Kobe CityKobe City

A 1/3 reduction in corporate business tax for five years and 50% reduction in real estate acquisition tax (maximum of ¥200 million) for companies relocating their headquarters from one of three major cities in Japan or from overseas to a special zone.

Start-up subsidyFinancial assistance for market research and cost of corporate registration (up to 50%-the limit for market research is ¥1 million and ¥200,000 for registration costs)

<As of April 2017>

10. Support for Foreign Investment in Kansai

(Note) For more details of local governments’ support systems, visit the website of the Kansai Bureau of Economy, Trade and Industry or JETRO.

Kansai Bureau of Economy, Trade and Industry: http://www.kansai.meti.go.jp/3-1toukou/invest_in_kansai/e_various_incentives.htmlJETRO “Regional Information”: https://www.jetro.go.jp/en/invest/region/

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10-4. Examples of Incentives Offered by Local Governments

Tax cuts

Exemption of real estate acquisition taxReduction of business tax ( 75% for 3 years)

Nara

Subsidies to support securing human resources Subsidies for recruitment advertisements and human resources introductions by businesses located in the prefecture.

Subsidy program

Business start-up subsidySubsidies for businesses establishing plants or research institutes in the prefecture (up to ¥3 billion for large-scale lots (¥2 billion for plant / institute construction work which will start in FY2018 or later), ¥1 billion for medium sized lots).Subsidies for promoting establishment of telecommunications businessesSubsidizing capital investment and rent for the establishment of telecommunications businesses.

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Subsidy to promote strengthening of local sitesGranted to companies investing in the relocation of HQs from the outside of the prefecture or in the expansion of HQs within the prefecture (maximum of ¥100 million)

<As of April 2017>

10. Support for Foreign Investment in Kansai

(Note) For more details of local governments’ support systems, visit the website of the Kansai Bureau of Economy, Trade and Industry or JETRO.

Kansai Bureau of Economy, Trade and Industry: http://www.kansai.meti.go.jp/3-1toukou/invest_in_kansai/e_various_incentives.htmlJETRO “Regional Information”: https://www.jetro.go.jp/en/invest/region/

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10-4. Examples of Incentives Offered by Local Governments

Up to 15% of the fixed assets of applicable businesses employing local people in the prefecture (up to ¥9 billion in the case of employing 500 or more people).

Subsidy program

Granted to businesses constructing applicable facilities and employing local people in the prefecture (up to ¥1 billion in the case of employing 100 or more people).

Tax cuts

Reduction or exemption of business tax, real estate acquisition tax, fixed asset tax, etc. on businesses in applicable areas for 3 years.

Financing program

Low-interest loans for businesses located in the prefecture employing local residents.(Rate: long-term prime rate × 3/4%; limit: ¥200 million; duration: Up to 10 years)

Wakayama<As of April 2017>

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10. Support for Foreign Investment in Kansai

(Note) For more details of local governments’ support systems, visit the website of the Kansai Bureau of Economy, Trade and Industry or JETRO.

Kansai Bureau of Economy, Trade and Industry: http://www.kansai.meti.go.jp/3-1toukou/invest_in_kansai/e_various_incentives.htmlJETRO “Regional Information”: https://www.jetro.go.jp/en/invest/region/

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Union of KANSAI GovernmentsKansai Sightseeing Web

http://www.kouiki-kansai.jp/tourist_info/en/

FUKUI Fukui Prefectural Tourism Federationhttp://www.fuku-e.com/lang/english/

SHIGA Biwako Visitors Bureauhttp://en.biwako-visitors.jp/

KYOTO Kyoto Tourism Federationhttp://www.kyototourism.org/en/

Kyoto City Tourism Associationhttps://kyoto.travel/en

OSAKA OSAKA CONVENTION & TOURISM BUREAUhttp://www.osaka-info.jp/en/octb/

Sakai Tourism & Convention Bureauhttp://www.sakai-tcb.or.jp/english/

HYOGO Hyogo Tourism Associationhttp://www.hyogo-tourism.jp/english/

Kobe Convention & Visitors Associationhttp://www.feel-kobe.jp/_en/

NARA Nara Visitors Bureauhttps://www.visitnara.jp/

WAKAYAMA Wakayama Tourism Federationhttps://en.visitwakayama.jp/

Tourism-Related Websites of KansaiKansai Window

“Kansai Window” is a portal site run by Kansai Tourism Bureau. It provides a variety of information on Kansai, 10 prefectures (including Fukui, Mie, Tottori and Tokushima) and 4 ordinance-designated cities, in Japanese, English, Chinese (simplified and traditional) and Korean.

Its main sections are “What’s New,” collected information on events in Kansai; “KANSAI Close-up,” notable news from Kansai; “Kansai Window TV,” introducing Kansai through animation; and “SIGHTSEEING Welcome to Kansai!” filled with information on sightseeing.

In addition, it’s full of links to sites such as the foundation’s Facebook page about sightseeing and sites about information on art and culture, as well as web banners that prefectures and economic organizations endorse, serving as a gateway for information on Kansai.

http://www.kansai.gr.jp/en/

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[Contact information about this brochure]International Investment Promotion Division, Kansai Bureau of the Ministry of Economy, Trade and Industry

Address: 1-5-44 Otemae, Chuo-ku, Osaka, 540-8535TEL: +81-6-6966-6033 (domestic call: 06-6966-6033)FAX: +81-6-6966-6087 (domestic call: 06-6966-6087)E-mail: [email protected]: http://www.kansai.meti.go.jp/english/index.html

(Printed in July 2017)You may quote freely from this brochure by indicating the source. However, you may not reproduceor copy pictures used in this brochure. Please contact us for more information.

[Contact information about foreign investment in Kansai]JETRO Invest Japan Business Support Center, Osaka (JETRO IBSC Osaka)

Address: Osaka-Kokusai Bldg. 29F, 2-3-13, Azuchi-machi, Chuo-ku, Osaka, Osaka 541-0052TEL: +81-6-4705-8660 (domestic call: 06-4705-8660)FAX: +81-6-4705-8650 (domestic call: 06-4705-8650)URL: https://www.jetro.go.jp/osaka

JETRO Invest Japan Business Support Center, Kobe( JETRO IBSC Kobe)Address:Kobe C.I.T. Center Bldg.4F, 5-1-14 Hamabedori, Chuo-ku, Kobe, Hyogo 651-0083

TEL: +81-78-252-7505 (domestic call: 078-252-7505)FAX: +81-78-232-3439 (domestic call: 078-232-3439)URL: https://www.jetro.go.jp/kobe

JETRO Kyoto Address: 2F, Building #2, KRP,

134 Chudoji Minamicho, Shimogyo-ku, Kyoto,Kyoto 600-8813

TEL: +81-75-325-5703 (075-325-5703)FAX: +81-75-325-5706 (075-325-5706)URL: https://www.jetro.go.jp/kyoto

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JETRO Fukui Address: Fukui CCI Bldg.6F,

2-8-1, Nishikida Fukui , Fukui918-8004

TEL: +81-776-33-1661 (0776-33-1661)FAX: +81-776-33-7110 (0776-33-7110)URL: https://www.jetro.go.jp/fukui

JETRO ShigaAddress: Hikone CCI 1F,

3-8 Chuoh-cho, Hikone, Shiga 522-0063

TEL: +81-749-21-2450 (0749-21-2450)FAX: +81-749-27-3750 (0749-27-3750)URL: https://www.jetro.go.jp/shiga