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Regional Information Ibaraki

Bring Innovation to Your Business by Establishing an R&D Center in Ibaraki Prefecture

Your Regional Guide : Kaoru Kikyodani

  • Inquires about investment in Japan.

Investment Promotion Group Global Strategy Team

978-6 Kasaharacho,Mito, Ibaraki 310-8555,
Tel: +81-29-301-2857 Fax: +81-29-301-1375


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  • Please note that inquires not regarding investment in Japan may not be answered.

The information below is as of November 2017. (Basic Information: September 2018)

Basic Information

Population *1 2.97 million
Labor force *1 1.52 million
Area (square kilometer)*2 6,097.19
GDP *3 12,992,071 million yen
Major industries
Wage *4
Initial wage for university graduates(Average)
Initial wage for upper secondery school graduates (Average)
Scheduled cash eanings (Average)
Land price(for 1square meter) *5
Land price for industrial use (Average)
Land Price for Commercial Use (Average)
Number of Establishments *6 125,804
Number of Employees *6 1,321,449
Offices overseas

Ibaraki Prefectural Shanghai Office

JETRO office

JETRO Ibaraki

Regional Profile

Strength of the region's industries and economy

Ibaraki Prefecture is located about 100km from Tokyo, and has a population of around 3 million. It comprises a vast flat terrain, which is highly suitable for industrial development.

Kashima port with developped petrochemical complex.

Related Link
Industrial cluster, project: TIAExternal site: a new window will open.

Foreign company(s) operating in the industry

Since 1962, 41 foreign-affiliated corporations have set up in Ibaraki, including Autoliv, Intel, Mercedes-Benz, Nestlé, and Peri Japan.

Company name Autoliv Japan Ltd. External site: a new window will open.
Country Sweden
Industry sector

automotive safety

Outline of business

Research and development, manufacturing, sales and import and export of automobile safety parts such as seat belts, air bags and steering, etc.

Date of entry April 1998
Motivation for selecting region

Launching into the Japanese market officially took place after the acquisition of the company in Ibaraki.

Support provided by local government or JETRO

When we decided to relocate our Fujisawa office to Tsukuba office in 2010, two years after the bankruptcy of Lehman Brothers, and took steps to integrate our operations there. Both Ibaraki Prefecture and Tsukuba City provided us with subsidies for relocation and investment as well as tax exemptions, which enabled us to integrate our offices in a short period of time.


When we planned our expansion to Japan in 1998, there were concerns about whether we could establish manufacturing operations in Japan, starting with about 20 workers. However, with support from Ibaraki Prefecture and Kasumigaura City, we were able to take the necessary steps to succeed in Japan. Today, we have taken a deep root in Japan as a company and have 1,800 Japan-based employees and domestic sales of 93 billion yen.

Company name Mercedes-Benz Japan Co., Ltd. External site: a new window will open.
Country Germany
Industry sector

Import, sales, and after-sales service of automobiles and automobile-related products

Outline of business

Import, sales, and after-sales service of automobiles and automobile-related products

Date of entry January 1992(Hitachi city)

Mercedes-Benz Japan was established in 1986, 100 years after Mercedes-Benz invented the motorcar. We provide Mercedes-Benz and its smart car range to customers across the nation through our network of certified dealers. In January 1992, our vehicle preparation center was established in Hitachi City. At the center, we make final adjustment of new vehicles ferried from Europe and North America prior to shipment to domestic dealers.

Available incentives

Incentive name

Exemption from prefectural and municipal taxes

Incentive type Preferential Tax Treatment
Incentive target industries

Manufacturing, information and communications, information and communication technology providers, transport, wholesaling, scientific and development research institutes, hotel business (depopulated areas), large-scale retail stores (in designated built-up areas and depopulated areas), plant factories (limited to those companies conducting business inside the buildings subject to real estate acquisition taxes)

Outline of Incentives (Requirements etc.)

Corporate enterprise taxes: Exemption from corporate enterprise taxes for 3 years in proportion to the increase of the number of employees caused by new establishment and expansion of offices, etc.
Real estate acquisition taxes: Exemption from real estate acquisition taxes of buildings and sites (where buildings are established) .
Fixed-assets taxes: Exemption from land, building, and depreciable assets.
(Only Available in certain municipals.)

Incentive name

Reduction of industrial water charges

Incentive type Others
Incentive target industries

Companies newly located in targeted areas

Outline of Incentives (Requirements etc.)

Industrial water charges reduced to half annually for 3 years since its start of supply

Incentive name

Leasing scheme

Incentive type Others
Incentive target industries

Companies newly located in targeted industrial parks

Outline of Incentives (Requirements etc.)

Leasing scheme for some industrial parks

Incentive name

Provision of subsidies on electricity charges

Incentive type Subsidies
Incentive target industries

Companies newly located in targeted areas

Outline of Incentives (Requirements etc.)

Subsidies: Provision of subsidy equivalent to half of electricity charges for the first 8 years after company's location
Subsidy: Provide subsidy depending on contract electricity demand

Incentive name

Ibaraki Special Zone for Industrial Regrowth

Incentive type Preferential Tax Treatment
Incentive target industries

Designated companies

Outline of Incentives (Requirements etc.)

Special depreciation, tax deduction, special deduction in corporate taxes, etc.

Services for investment in Japan

Providing market information Advice on the matters related to entering into Japanese market
Support for establishing a base Provision of facilities including a incubation office

International Affairs Division (Ibaraki prefectural government) surporrt you to invest in Ibaraki as one stop service.

Support service

Related Link
Tsukuba Center.Inc,External site: a new window will open.