Investing in Japan
Regional Information
Kanagawa
One of Japan's top prefectures for science and technology, Kanagawa Prefecture is home to many well-known companies from around the world
- Your Regional Guide: Kenichiro Maeda
Inquiry form
Economic Exchange Section, Industrial Vitalization Division, Commerce, Industry and Labor Department
1 Nihon-odori, Nakaku, Yokohama-city, Kanagawa Prefecture 231-8588
TEL: +81-45-210-5567 FAX: +81-45-210-8868
- Basic Information
- Regional Profile
- Services for investment in Japan
- Available incentives
- Living environment for foreigners
- Links to Related Websites
Basic Information
| Population | 8.83 million (Male: 4.46 million, Female: 4.37 million) (2006) |
|---|---|
| Labor force | 6.07 million (Male: 3.14 million, Female: 2.93 million) (2006) |
| Area | 2,416km² (2005) |
| GDP | 30,814 billion yen (2004) |
| Major industries | Electric equipment, transport equipment, general equipment, chemicals and petroleum products |
| Developing industries | Biotechnology, environment, information/communications, medical and welfare and new manufacturing technologies |
| Offices overseas | Singapore (Joint office with JETRO)/London (Joint office with JETRO)/Dalian (Kanagawa Industrial Promotion Center)/State of Maryland (Joint office with JETRO (Kanagawa Prefecture Department of JETRO NY)) |
| JETRO office | JETRO Yokohama |
Regional Profile
Strength of the region's industries and economy
Many outstanding Japanese and foreign companies with advanced technologies are concentrated here. The area functions as a base of research, development and manufacturing, with many knowledge-based and technological industries gathered in Kanagawa.
Next to the vast market of the Tokyo area, Kanagawa is ideally situated with well-developed transportation, including an excellent rail and highway network providing direct access to all of Japan's major cities, and the ports of Yokohama and Kawasaki for rapid, large-scale international transport. The transportation infrastructure is a strong support for rapid-paced business activities.
Strength of the region's education/research institutes
Kanagawa Prefecture has 94 junior colleges, universities and graduate schools, including 12 universities that have engineering departments. In the engineering department of Yokohama National University, small class sizes enable students to receive highly intense education. The engineering department of Kanagawa University places a great deal of emphasis on graduation research projects, and includes a high level of experimentation and hands-on experience. And at Kanagawa Institute of Technology, the goal is to produce engineers who have the ability to discover problems on their own. The prefecture has many universities that provide a wide range of educational services.
The core educational facility of Shonan International Village, a regional industrial project intended to attract a concentration of advanced training and research facilities, is the Graduate University for Advanced Studies. This university consists only of a graduate school, with no undergraduate departments. It is attended by students who have earned or are working toward a master's degree. With the outstanding research functions of an institute that is used jointly by 11 universities nationwide, its goals are to produce scientists with a wide-ranging perspective who can take a leadership role in new scholarly research activities, with an international viewpoint and original creativity.
Industry-government-academia collaboration
<Concentration of research and development institutions and educational institutions>
With about 1,100 research institutions, Kanagawa Prefecture is one of Japan's leading prefectures for science and technology. These research institutions are highly internationalized. Exchange occurs between various research institutions in the prefecture and other advanced research institutions around the world, and technological transfer is an active part of international goods producing networks. As a base for scientific and technological creativity of the collaboration among industry, academia and government, the Kanagawa Academy of Science and Technology is involved in advanced, creative research, educational lectures at the graduate school level, and creative research assistance. The academy is currently engaged in project research by open recruitment, as well as the development of research applications. It is focusing efforts on technological transfer and information sharing with companies in Kanagawa Prefecture.
The Kanagawa Industrial Technology Center has been established as a central organization for regional technological development and research, bringing together four of the prefecture's industrial testing laboratories to improve the research and development capabilities of small and midsize companies while strengthening their business structures and facilitating transitions. This institute furnishes thorough support for the activities of small and midsize companies by providing research and development on advanced technologies, offering advanced technological information, and providing a venue for exchange among scientists and engineers.
Strength of the region's infrastructure
About 1.5 hours to Narita International Airport (New Tokyo International Airport) About 30 minutes to Tokyo Station or Haneda Airport (Tokyo International Airport)Three ports: Yokohama Port, Kawasaki Port, and Yokosuka Port
<Land>
For rapid transportation, Kanagawa Prefecture is equipped with a highly convenient road network including the Tomei Expressway, a major artery in Japan that links the Tokyo area with the Chubu and Kinki economic regions. Narita Airport can be reached within about 90 minutes by limousine bus from major terminals in the prefecture such as Yokohama Station and Kawasaki Station. Tokyo Wan Aqua Line was opened in December 1997, cutting across Tokyo Bay to provide fast transportation between Kawasaki and Kisarazu. This will be integrated with coastal roads around Tokyo Bay as well as the Chuo Renraku Expressway of the capital area, which is currently under construction, and a core city wide-area artery, which is currently in the planning stages. It will play a major role in building a wide-area beltway network in the capital area, further increasing transportation capacity.
<Air>
It takes less than 30 minutes from Yokohama station to Tokyo International Airport (Haneda Airport), a hub airport for domestic airlines, which is located across the Tama River in Tokyo Prefecture. Sitting across Tokyo Bay from Narita Airport, the Kawasaki area also enjoys excellent access. The Haneda Airport will be expanded further and will become an international airport with regular flights by the late 2000s. The internationalization of Haneda Airport will considerably enhance accessibility from abroad.
<Sea>
Kanagawa Prefecture contains Yokohama Port and Kawasaki Port, both of which have been designated as specific important ports; and Yokosuka Port, also an important port. Every year since 1964, Yokohama Port has been entered by more foreign ships than any other port in Japan. Yokohama Port handled a total value of about 9 trillion yen in harbor trade in 2003, ranking third behind Nagoya Port and Tokyo Port. The total volume of container cargo handled at Yokohama Port has doubled over the past ten years, and this port is ranked eighteenth (as of 1998) among the world's container ports. High-specification container berths at a water depth of 15 to 16 meters, able to handle super size container ships, are also being constructed (scheduled to be put into use in 2003), with the goal of improving international competitiveness.
<Railway>
The Tokaido Shinkansen Line stations in Shin-Yokohama and Odawara have helped make Kawagawa Prefecture an important transit hub within Japan. The JR Tokaido line runs parallel to Tokaido Shinkansen, linking the cities of Kanagawa Prefecture (26 minutes from Yokohama to Tokyo, 17 minutes from Kawasaki to Tokyo). Along with other JR lines and private railways, these railroads constitute a transportation system that seamlessly connects Kanagawa Prefecture with central Tokyo. The Minatomirai Line, which started operations in February 2004, connects to the Tokyu Toyoko Line at Yokohama Station. It takes about 35 minutes from Shibuya, a key station in Tokyo, through Yokohama Station and the Minato Mirai 21 area to the terminus, Motomachi-Chukagai Station. Access from Tokyo Prefecture has become much better.
Foreign company(s) operating in the industry
A total of 426 foreign affiliated companies have set up operations in Kanagawa Prefecture (of which 296 serve as head offices), which is the second highest number of all Japanese prefectures after Tokyo Municipality (source: Gaishikei Kigyo Soran 2006: [Foreign affiliated companies in Japan, a comprehensive directory] based on a 2005 survey by Tokyo Keizai Inc.).
Many companies are aware of Kanagawa as the best candidate site for establishing a place of business. Support centers for companies wishing to expand into the Japanese market have been opened in Germany, Great Britain, the U.S., and other countries, helping these companies to gain a firm foothold as they begin doing business in Japan.
Ever since Yokohama Port was opened, many foreigners have come to live in Kanagawa Prefecture, contributing to an atmosphere in which diverse cultural aspects are readily accepted through contact with many foreign cultures, as well as a living environment that is comfortable for foreigners. The prefecture includes an international conference center equipped for simultaneous interpretation, an exhibition hall where events of an international scale can be held, and other facilities suited to global business activities. The Kanagawa International Economic Exchange Promotion Council (KEEP) actively supports exchange and information sharing among different regions and companies, including foreign affiliated businesses.
| Company name | Polar Instruments |
|---|---|
| Date of entry | Mar 2006 |
| Motivation for selecting region |
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| Support provided by local government or JETRO |
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| Comments | Celoxica Japan K.K. |
Services for investment in Japan
| Menu of services | Fees charged? | Content of services |
|---|---|---|
| Providing market information | ||
| Advice on market participation | No | Comprehensive advice on entering the market of Kanagawa Prefecture. |
| Support for establishing a base | ||
| Listing of potential customers and partners | No | Providing data on companies in the prefecture. |
| Listing of potential customers and partners | No | Arranging appointments with responsible officers of companies in the prefecture. |
| Support for establishing a base | ||
| Providing incubation facilities or other facilities | No | Providing space in IBSC Kanagawa (startup facility; some fees charged). |
| Providing information on procedures for investing in Japan | No | Providing one-stop services from entering Japan to establishing a business. |
| Introduction of available properties and advice on hiring personnel | No | Providing information and intermediary services concerning industrial parks. |
| Providing information on permits and licensing procedures | No | Advice on procedural details and methods. |
| Providing information on subsidy programs | No | Introducing programs of local government organizations in the prefecture. |
Support service
Invest Japan Business Support Center Kanagawa (IBSC Kanagawa)
<The first facility established jointly by local governments (Kanagawa Prefecture, Yokohama City, Kawasaki City) and Japan External Trade Organization (JETRO)>
Location: Industry & Trade Center 2F
5 minutes on foot from Nihon-Odori Station on the Minatomirai Line (2 chome, Yamashita-Cho, Naka-ku,
Yokohama-shi: same floor as the JETRO Yokohama office)
Facility summary
Scale: 3 rooms (about 11m² per room)
Equipment: desks, chairs, shelves, telephones, faxes, Internet connection
Information-related support
Various consultation services provided by investment
advisers of JETRO Yokohama (procedures for setting up a business, business strategy, and introduction of legal specialists and business partners); support provided by investment advisers of Kanagawa Industrial Promotion Center (e.g. JETRO Business Library)
Support provided by JETRO Yokohama staff
Database of candidate partners
Available incentives
Invest Kanagawa
Now is your chance to locate in Kanagawa!
(Program runs through March 2010)
Outstanding benefits are ready for you, including financing assistance (at 1.4 percent interest) and tax breaks such as on real estate tax!
We'll help you invest in the outstanding potential of Kanagawa!
- Prefectural GDP of about 30 trillion yen, rivaling entire countries like Switzerland and Belgium
- Population of over 8.7 million persons (third highest in Japan)
- Concentration of universities and graduate schools in science and engineering areas, ranked number one in Japan with a wealth of specialized human resources
- Concentration of advanced technological industries, and the second highest concentration of research institutions in Japan
- Subsidies of up to ¥8 billion, some of the most generous in the nation, are available to companies expanding into Kanagawa Prefecture.
- Kanagawa Prefecture also cooperates with such institutions as JETRO to provide one-stop assistance in meeting the needs of companies from overseas.
- Facility establishment subsidies of up to 5 billion yen for factory and head office functions and up to 8 billion yen for research functions are available to companies expanding into the prefecture.
- Real estate acquisition tax breaks of 50% or 75% are available, depending on the amount of fixed assets acquired.
- Tax breaks of 25% or 50%, depending on the company's capital, are available to companies for their first five business years.
- An industry agglomeration promotion program offers funding of up to 1 billion yen.
「In 2007」
Living environment for foreigners
| Living environment | More than 150 years ago, Kanagawa was the first place in Japan to open its doors to foreign countries. With its progressive, diverse atmosphere, Kanagawa is a welcoming place for foreigners to work and enjoy a comfortable lifestyle. In Kanagawa, modern progress is blended with history and urban environments are blended with nature, forming an environment that provides satisfaction for foreign businesses in every aspect including business, housing, education, medical care and recreation. |
|---|---|
| International schools | 11 schools for foreign students have been opened in the prefecture: |
| Health services catering to foreigners | 42 medical institutions in the prefecture capable of dealing with patients in a foreign language (2001) |
| Other | Consultation desks for foreign residents of the prefecture have been set up at the Yokohama, Kawasaki, and Kenoh Prefectural Resident Centers |
Links to Related Websites
- Kanagawa Prefectural Government
- Kanagawa Prefectural Council for Promoting Business and Industrial Establishment
- Kanagawa International Foundation
- Kanagawa Prefectural Tourist Association
