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Regional Information Iwate

Iwate, where hardworking and honest human resources support the global development of automobile and semiconductor-related industries

Your Regional Guide : Hikaru Yoshida

  • Inquires about investment in Japan.

Department of Commerce, Industry, Labor and Tourism Office of Automotive Manufacturing and DevelopmentExternal site: a new window will open.

10-1 Uchimaru Morioka-city, Iwate Prefecture 020-8570
Tel: 019-629-5563 Fax: 019-629-5569
AE0004@pref.iwate.jp

Iwate

  • If you can't find the information you need, please contact JETRO .
  • Please note that inquires not regarding investment in Japan may not be answered.

The information below is as of January 2017.

Basic Information

Population *1 1.27 million
Labor force *1 0.66 million
Area *2 15,275.0 km²
GDP *3 4,516,178 million yen
Major industries Foods and beverages, transportation machinery and tools, electronic components and devices, general machinery and tools, metal products
Wage *4
Initial wage for university graduates(Average)
183,200yen
Initial wage for college of technology/junior colledge graduates (Average)
168,600yen
Initial wage for upper secondery school graduates (Average)
146,300yen
Scheduled cash eanings (Average)
235,900yen
Land price(for 1m²) *5
Land price for industrial use (Average)
12,400yen
Land Price for Commercial Use (Average)
45,900yen
Number of Establishments *6 59,537
Number of Employees *6 509,979
Offices overseas

Seoul, South Korea (Founded jointly by 3 northern Tohoku prefectures (Aomori, Akita, and Iwate) and Hokkaido) / Dalian, China (Founded jointly with Miyagi Prefecture)

JETRO office

JETRO Morioka

Regional Profile

Strength of the region's industries and economy

In terms of production capacity in Iwate Prefecture, the service industry (18.0%) is the largest industrial sector, followed by the construction industry (16.0%), the manufacturing industry (12.3%), and the real estate industry (12.3%).

Automotive, semiconductor, and medical equipment-related industries play a core role in the manufacturing sector, and the prefecture has been aiming to incorporate related sectors in a “mountain-range type industrial cluster” to drive the local economy.

Foreign company(s) operating in the industry

We have provided indiscriminate support for foreign companies wishing to locate in Iwate Prefecture via our one-stop service.

Available incentives

Iwate Prefecture endeavors to provide “one-stop service” and to make follow-up its top priority in order to ensure that companies can move into the prefecture quickly and without difficulty and that they can develop their business in the best possible environment following their establishment in the prefecture. Iwate does not merely offer factory sites, it promises to work as a business partner, striving to make sure companies are fully satisfied.

Incentive name

Support System Based on the Ordinance Related to the Activation of the Industry in the Designated Area

Incentive type Others
Incentive target industries

Manufacturers

Outline of Incentives (Requirements etc.)

In the case where: a company builds or expands a plant or other facilities at a cost of 50 million yen or more of fixed property investment, and hires five or more new employees, the company is eligible for:

- Exemption or reduction of the local tax (exemption of the real estate acquisition tax; 3-year exemption of the corporate enterprise tax, and 50% tax reduction for 2 years following the exemption)
- Loan (2 billion yen at maximum)
- Subsidy (no upper limit is set for building a large-scale plant that may have a ripple effect to the economy in the prefecture)

Incentive name

Loan for Promoting the Invitation of Companies to Locate in Iwate Prefecture

Incentive type Loan Scheme
Incentive target industries
  • Manufacturing
  • Software businesses
  • Information processing services
  • Informational services
  • Design business
  • Mechanical designing
  • Engineering
  • natural science R&D centers
  • Warehousing
  • Packaging,
  • Wholesaling
Outline of Incentives (Requirements etc.)

In the case where: a company starts its operation with investment of 100 million yen or more in total within three years from the day when it has decided to locate in Iwate Prefecture, the company is eligible to receive a loan for land acquisition, land development, and acquisition of plants and equipment, under the requirements specified by the designated financial institutions:
(1) Within 10 years (including 3-year grace period), 1.8% or under annual interest
(2) Within 15 years (including 3-year grace period), 2.0% or under annual interest

Incentive name

Subsidy for Operation Costs to Promote Companies to Locate in Iwate Prefecture

Incentive type Subsidies
Incentive target industries

Manufacturing industries
Software industries
Natural science laboratories

Companies that rent land and buildings to any companies from the above-mentioned industries that have newly located in the prefecture

Outline of Incentives (Requirements etc.)

If a company meets the conditions regarding the amount of the investment in the fixed property specified by the area where the company builds or expands a new plant or other facilities or by each district of the area in question, and those regarding the number of employees, Iwate Prefecture will subsidize the company for from one tenth to three tenths the amount of the investment in the fixed property in question.

Related Link
Industrial location guide: Iwate Prefecture corporate location guideExternal site: a new window will open.
Incentive: Incentive programsExternal site: a new window will open.

Services for investment in Japan

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

Development Center by Collaboration of Morioka City and Iwate University
Industrial Promotion Center of Hanamaki City
Kitakami Office Plaza
Takizawa City Iwate Prefectural University Innovation Center

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