Under the FY 2010 Subsidy Program for Projects Promoting Asian Site Location in Japan, the Ministry of Economy, Trade and Industry (METI) examined project proposals submitted and decided to adopt five of them as listed in the Appendix.

The Subsidy Program for Promoting Asian Site Location in Japan is intended to sustain and strengthen high-value-added business sites in Japan and to achieve sustainable growth of the Japanese economy by supporting the establishment of new high-value-added sites in Japan, such as Head Sites (*1) or R&D Sites (*2), which have been proven to have a significant impact on the Japanese economy and by attracting and concentrating high-value-added business operations that match the strength of the Japanese economy.

The government’s New Growth Strategy (Cabinet decision on June 18, 2010) stipulates that the government will aim to revive Japan “as an Asian business center” by considering, in combination with cross-cutting measures to improve the business environment, an incentive system including tax incentives tied to the degree of contribution to the employment of highly skilled personnel for inviting foreign firms to build and concentrate their Asian head sites and R&D sites in Japan, with the launch projects in FY 2011 in view. This system is expected to promote the establishment of new high-value-added business sites in Japan and thereby double employment by foreign firms, along with boosting inward direct investment.

Likewise, the “Gist of Comprehensive Emergency Economic Measures In Response to the Yen’s Appreciation and Deflation” (Cabinet decision on October 8, 2010) requires the government to promote Asian site location in Japan by assisting efforts to invite global companies to set up Asian head sites and R&D sites in Japan, in order to ensure that Japan grows in accordance with Asia’s growth in the course of implementing the New Growth Strategy. Thus making Japan an Asian business center is one of Japan’s key policies.

(Note 1)

“Head Site” herein shall refer to business relating to the controlled group company’s decision or coordination of project policy (items essential to the execution of the project (sales and marketing, corporate planning, finance, personnel and training, R&D, production management, distribution, legal affairs, etc.), and projects jointly developing facilities for a minimum of 2 controlled group companies (in 2 or more countries).

(Note 2)

“R&D Site” herein shall refer to facilities needed to carry out R&D, such as industrialization through applied development, trials and product testing from advanced industrial technology in line with technological innovation.

Project proposals were accepted from February 9 to March 29, 2011.
Projects to be adopted were selected based on the screening by an independent committee consisting of external experts.

See the Appendix.

This program is expected to have a positive ripple effect in a broad range of fields, including an inflow of innovative technologies and highly skilled human resources into Japan, making Japan a focal point of Asian economic activities and consequently boosting the Japanese economy.

Trade and Investment Facilitation Division, Trade and Economic Cooperation Bureau

April 28, 2011

(Appendix)

List of projects adopted under the FY 2010 Subsidy Program for Projects Promoting Asian Site Location in Japan

Adopted projects: 5

No.	Company name	Country of Global HQ	Type of project site	Sector
1	salesforce.com Co., Ltd.	United States	R&D Site	IT services
2	Zydus Pharma Japan Co., Ltd.	India	R&D Site	Pharmaceuticals
3	Dyesol Japan Co., Ltd.	Australia	R&D Site	Next-generation photovoltaic cells
4	Eurocopter Japan Co., Ltd.	France	R&D Site	Special-purpose helicopters
5	Dou Yee International Private Ltd.	Singapore	R&D Site	Liquid crystal displays