Investing in Japan

Shizuoka

The information below is as of March 2011.

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• Basic Information
• Regional Profile
• Services for investment in Japan
• Available incentives
• Links to Related Websites

Basic Information

Population*1	3.77 million
Labor force*1	1.98 million
Area*2	7,255 km²
GDP*3	7,265,638 million yen
Major industries	Transportation equipment and machinery, electrical machinery, chemical engineering, beverages and food products, information and communications machinery
Developing industries	Advanced health-related industries (pharmaceuticals, medical equipment, etc.), food and chemical product-related industries( functional food products, etc.), optical and electronic technology-related industries, distribution-related industries
Offices overseas	Singapore / Shanghai, China / Seoul, Korea
Offices in Japan	Tokyo / Osaka
JETRO office	JETRO Shizuoka

*1 Population Census 2010, Ministry of Internal Affairs and Communications　*2 Area data 2010, Geospatial Information Authority of Japan *3 Prefectural Citizens' Economic Accounts 2008, Cabinet Office

*Ask the local government for the latest data.

Regional Profile

Strength of the region's industries and economy

The total value of industrial production in Shizuoka Prefecture is 16.4527 trillion yen, which makes up approximately 3% of Japan's GDP. It is known as the “Manufacturing Prefecture”, occupying second place in Japan for the amount of shipped manufactured goods. Shizuoka’s manufacturing industry has a good balance of industry sectors spread across all its regions. In the eastern region of the prefecture, the manufacturing industry includes electrical machinery, paper and pulp, medical products, and transport equipment; in the central region, electrical machinery, furniture and fishery products; and in the western region, transport equipment, general machinery, chemicals, textiles, and cutting-edge optoelectronics. There are clusters of companies with excellent technical capabilities spread over a wide range of sectors in Shizuoka and the number of business facilities (factories and laboratories) is one of the highest in Japan.

Strength of the region's education/research institutes

Higher education facilities in Shizuoka include 20 universities, 6 junior colleges, and 1 technical college.
Collaborative activities between industry, academia and government are thriving and Shizuoka University and the University of Shizuoka in particular are hubs of research in collaboration with local industry, producing a large number of creative human resources.
In addition, prefectural research institutions include the Industrial Research Institute, the Research Institute of Agriculture and Forestry, the Research Institute of Animal Industry, and the Research Institute of Fishery, which promote R&D to contribute to new growth in Shizuoka through industry, academia and governmental collaborations.

Strength of the region's industry-government-academia collaboration

Eastern, western and central regions in Shizuoka Prefecture are each making use of their local resources and industrial bases. There are three industry clusters being promoted in the “Shizuoka Triangle Research Cluster” project: the Pharma Valley (medical and health) in eastern Shizuoka; Food Science Hills (food) in central Shizuoka; and Photon Valley (optical and electronic technology) in western Shizuoka.
Collaboration is promoted between these three clusters to create an enhanced synergistic effect and to spread the effects of these industrial clusters to the whole prefecture.

Strength of the region's infrastructure

One major reason to choose Shizuoka is its excellent access to Japanese and global markets.

• Located near the center of Japan, Shizuoka is only one hour from　Tokyo and Nagoya and two hours from Osaka by shinkansen (bullet train). The Tomei Expressway provides access to Tokyo and Nagoya in two hours and just over four hours to Osaka. Shizuoka is therefore close to Japan’s three major markets.

• Once the New Tomei Expressway is completed, access from Shizuoka will become even more convenient. Also, the Mt. Fuji Shizuoka Airport has facilitated and sped-up access to Asian markets such as China, South Korea, etc.

<Land>

The Tomei Expressway, a major east-west artery for Japan, runs across Shizuoka and helps to make transportation by land more efficient. There are 16 interchanges in Shizuoka which allow vehicles to reach Tokyo and Nagoya in just two hours and Osaka in four hours. Currently, the New Tomei Expressway is being constructed, promising even more convenient access once it is completed.

<Air>

The Mt. Fuji Shizuoka Airport offers domestic routes to destinations such as Hokkaido, Okinawa, Fukuoka, Kumamoto, Kagoshima, and Ishikawa as well as international routes to destinations primarily in Asia including South Korea and China. It serves to greatly increase ease of travel both within Japan and abroad.

<Sea>

In addition to the Port of Shimizu, which is a specially-designated port, Shizuoka maintains other ports such as Omaezaki Port. The Port of Shimizu maintains 24.5 regular container routes and was the first port in Japan to adopt a 24-hour cargo handling system; it is also directly connected to major arterial routes in Japan, such as the Tomei Expressway, making it a key business hub.

<Railway>

There are six Tokaido shinkansen stations in Shizuoka Prefecture. If you take the shinkansen from Shizuoka Station, you can travel to Tokyo or Nagoya in just one hour and to Osaka in two hours.

(Related information)

• Industrial cluster, project: Shizuoka Triangle Research Cluster
• Industrial cluster, project: Hamamatsu Optronics Cluster
• Education: Shizuoka University

Foreign company(s) operating in the industry

According to industrial location trend surveys performed by the Ministry of Economy, Trade and Industry, the number of foreign firms with facilities (1,000m² or larger and more than 50% financed with foreign capital) in Shizuoka has grown to 26 from 1989 to 2008, putting it at No. 1 amongst prefectures in Japan. The main reason these companies chose Shizuoka was the relatively low cost of living and operations it provided coupled with ease of access to three of Japan’s largest metropolitan areas. Examining these companies according to industry sector shows that manufacturing has the largest representation, particularly high-tech companies.

Company name	JAPAN AIR GASES
Industry sector	Industrial and medical gas manufacturing and sales, etc.
Date of entry	2006
Motivation for selecting region	The two key factors for choosing a new production base were proximity to a large number of customers and finding a location in the center of the prefecture; fortunately, a site in Yoshida Town in Shizuoka, which is located next to a large customer base, was able to be secured. Dealing with the various regulations after securing the site required some work, but the staff in the business promotion sections of the prefectural and municipal governments provided a great deal of needed support.

Company name	Triumph International
Industry sector	Textile manufacturing and sales
Date of entry	1995
Motivation for selecting region	Triumph International chose the Daito-Kamihijikata Industrial Park because it is accessible in roughly 15 minutes by car from the Tomei Expressway Kakegawa Interchange and it is centrally located in Japan, offering equivalent access to Hokkaido in the north and Okinawa in the south. These geographical factors were a key point; however, the active encouragement of the local Kakegawa City government and prefectural government were also a major factor.

Company name	Molex Japan Co.,Ltd
Industry sector	Electric equipment
Date of entry	1982
Motivation for selecting region	(1) Transportation is convenient and it is easy to access to Kanagawa where our technological center locates. (2) Parts are provided for major appliances and automotive-related products, and there are industrial clusters in Shizuoka, making it a convenient business location. (3) In Shizuoka, you can count on the cooperation of the local municipality and enjoy coexistence and co-prosperity.

Services for investment in Japan

Menu of services	Fees charged?	Content of services
Providing market information
Advice on market participation	No	Consultation provided.
Consulting by external experts and advisers	No	Consultation provided.
Support for finding customers
Listing of potential customers and partners	No	Consultation provided.
Listing of potential customers and partners	No	Consultation provided.
Support for establishing a base
Providing incubation facilities or other facilities	As a rule, a fee is charged	Information on incubation facilities is provided.
Providing incubation facilities or other facilities	No	Consultation provided.
Providing information on procedures for investing in Japan	No	Consultation provided.
Arranging the meetings needed to establish a base (real estate, manpower services)	No	Consultation provided.
Introduction of available properties and advice on hiring personnel	No	Consultation provided.
Providing information on permits and licensing procedures	No	Consultation provided.
Providing information on subsidy programs	No	Consultation provided.

Services provided through the One-Stop Service Center
1)　Information provided for site selection and market development; information provided on preferential treatment
2)　Consultations and advice on paperwork and procedures for relevant organizations
3)　Introductions to specialists, such as lawyers
4)　Information provided on the Japanese market; information provided on daily living
5)　Introductions to partner companies

Database of candidate partners

• Shizuoka International Business Association (SIBA) : Shizuoka Business Matching Database (Directory)
  

  This database aims to match foreign firms with local companies interested in international business and has been established in order to promote business for companies with offices, etc., located in Shizuoka, in particular business with foreign firms. Searches can be performed by keyword or by category (industry sector, manufacturing or sales item, etc.).

Available incentives

<Subsidies>
1) Office space rent subsidies for foreign firms
Assistance in reducing the burden of initial investment for foreign firms setting up offices, etc., in Shizuoka for the first time is given in the form of a rent subsidy for the first year which covers half of their rent. Maximum amount: 500,000 yen.

2) New industry facility establishment business cost subsidy
Manufacturing companies establishing new facilities (factories and/or research facilities) in Shizuoka will receive a subsidy for up to 7% (up to 10% if located on a public industrial park) of the costs of constructing facilities related to production, research, development, and operations and of the costs of purchasing machinery and equipment. Maximum amount: 500 million yen.

3) Regional industry facility establishment business cost subsidy
Manufacturing facilities, research institutes and/or software industry, etc., companies being established for the first time in Shizuoka will receive a subsidy covering 1/5th of the cost of land acquisition and up to 500,000 yen per new employee. This money will be provided half from the prefectural government and half from the municipal government. Maximum amount: 200 million yen.　*The requirements are different in each region.

<Overlapping subsidies>
2) and 3) can overlap and both be applied if facility investment employee hiring are at or above a given size.

• Industrial location guide: Shizuoka A Guide to Business Investment
• Incentive: Shizuoka A Guide to Business Investment

Links to Related Websites

Local governments and related organizations

• Official website: Shizuoka Prefecture Official Site
• Industrial location guide: Shizuoka A Guide to Business Investment
• Business support: One-Stope Service Center

Incentives

• Incentive: Shizuoka A Guide to Business Investment
• Support services: One-Stope Service Center
• Shizuoka International Business Association (SIBA) : Shizuoka Business Matching Database (Directory)

Industry cluster plans

• Shizuoka Triangle Research Cluster
• Hamamatsu Optronics Cluster

Education

• Shizuoka University

Transportation / living

• Airport: Mt. Fuji Shizuoka Airport
• Port: Port of Shimizu
• Healthcare: Medical Information System: Search by English (Hospital, Clinic )

Other information

• See the relating regional information.: Shizuoka City
• See the relating regional information.: Hamamatsu City