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Survey of Factory Location Trends in the First Half of FY2017 (Preliminary Report) (January-June)

The Ministry of Economy, Trade and Industry (METI) conducted the Survey of Factory Location Trends, targeting businesses in the manufacturing, gas supply, heating supply, and electricity supply sectors that acquired 1,000 m2 or more of land for the purpose of constructing factories in the first half of FY2017 (January-June). METI hereby announces that it has compiled the results of the survey into a report.

Outline of the report

The number of new factory locations acquired by the manufacturing and other sectors*1 in Japan between January and June 2017 was 499 (up by 9.4% on a year-on-year basis), covering a total area of 569 ha*2 (up by 1.7% on a year-on-year basis). The number of new factory locations returned to a level comparable to that of 2014.

Note*

1. The “manufacturing sector and other sectors” includes manufacturing industries such as the food and chemical engineering industries along with the gas supply and heating supply sectors, but do not include the electricity supply sector.
Photovoltaic power generation facilities have been excluded from the target of this survey since 2015. Accordingly, this report excludes figures for the electricity supply sector to compare year-on-year changes under the same condition.

2. 1 ha equals to 10,000 square meters.

With regard to new factory locations by sector in the manufacturing industry, the total number of the four top-ranked sectors of [ⅰ] food, [ⅱ] metal products, [ⅲ] production machinery, and [ⅳ] transportation machinery account for 50 percent in terms of both the number and area of new locations.

Looking at the trends of new factory locations by sector in the manufacturing industry, characteristic trends are seen in the food, chemical engineering and transportation machinery sectors.
The food sector contributed to the increase in both the number and area of new factory locations. The transportation machinery sector negatively contributed to the number of locations, while making the second largest contribution to the increase in area, followed by the food sector.

The number of new factories located in the same prefecture as the respective head office, accounted for more than 60 percent of total.
The top-ranked reason for choosing the locations is proximity to their head office or other sister plants, which accounts for 40 percent of total.

Contribution rank by area to changes in the number of new factory locations is as follows.

The top 5 prefectures in terms of number of new factory locations The top 5 prefectures in terms of area of new factory locations
Shizuoka Prefecture (40) Hyogo Prefecture (53.9ha)
Hyogo Prefecture (36) Shizuoka Prefecture (42.5ha)
Gunma Prefecture (30) Ibaraki Prefecture (36.7ha)
Ibaraki Prefecture (26) Fukuoka Prefecture (32.9ha)
Aichi Prefecture (24) Fukushima Prefecture (32.4ha)

Release date

October 30, 2017

Division in Charge

Business Environment Promotion Division, Regional Economic and Industrial Policy Group

Related website

Ministry of Economy, Trade and Industry1-3-1 Kasumigaseki, Chiyoda-ku, Tokyo 100-8901, Japan Tel: +81-(0)3-3501-1511
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