YOKOHAMA - The City of Yokohama Frankfurt Representative Office

Business Development DivisionEconomic and Tourism Bureau, City of Yokohama1-1 Minato-cho, Naka-ku, Yokohama 231-0017 JapanTel: +81-45-671-3834Fax: +81-45-661-0692E-mail: ke-yuchi@city.yokohama.jphttp://www.city.yokohama.jp/enBusiness Environment ofYOKOHAMA横浜New York Representative Office450 Lexington Avenue, #1480New York, NY 10017, U.S.A.Tel: +1-212-867-6070Fax: +1-212-867-6804E-mail: info@cityyokohama.orghttp://www.cityyokohama.orgFrankfurt Representative Office18F, FBC Frankfurter Büro-Center,Mainzer Landstraße 46,60325 Frankfurt am Main, GermanyTel: +49-69-2423110Fax: +49-69-24231115E-mail: info@yokohama-city.dehttp://www.yokohama-city.deIDEC Shanghai Office27F, HSBC Tower, 1000 Lujiazui RingRoad, Pudong New AreaShanghai 200120, ChinaTel: +86-21-6841-5777Fax: +86-21-6841-5700E-mail: yokohama@idec-sh.comhttp://sh.idec.or.jpFully furnished and equippedoffices & meeting roomsavailable immediately - 20Fwww.regus.com Yokohama Landmark TowerThis brochure is printed on 70% recycled paper.Yokohama City Publication Number: 180224 Type: B-HB 070 August 2006

Greetings from the MayorYokohama has had links withcountries worldwide since theport opened in 1859, whichhave helped cultivate its liberal,enterprising environment. Witha population of 3.6 milliontoday, Yokohama continues togrow as an international metropolis.It is one of Japan’s leadinginternational trade ports, has anextremely convenient transportationnetwork and provides excellentaccess to Haneda Airport,which is scheduled to start serving international routes. Inaddition, it is an ideal business location, with its skilled workers,vast markets and green living environment. The city also brimswith energy and is a tourism and convention crossroads, welcomingnumerous visitors from both Japan and abroad.Along with some of the highest level corporate location incentiveprograms in Japan, Yokohama also offers a diverse menu of corporateinvestment assistance schemes. Nissan Motor has decidedto relocate its headquarters to Yokohama by 2009.This pamphlet provides information on Yokohama’s extremelyattractive business environment and the merits of investing here. Ihope you will find it helpful in formulating your investment plans.Hiroshi NakadaMayor,City of YokohamaC o n t e n t sAdvantages of Yokohama .......................................... 1About Yokohama....................................................... 1Location of Yokohama............................................... 2Transportation Access................................................ 3Business Environment................................................ 4Main Business Districts.............................................. 6Business Facilities for Foreign Companies.................. 8Yokohama’s Advantage: Highly Accessible to IT/Mechatronics Companies in the Area ...................... 10Promoting Life Sciences in Yokohama..................... 12Support for Setting Up a Business in Yokohama....... 14Yokohama’s Excellent Living Environment.............. 16Advantages of YokohamaExcellent transportation accessExcellent cost performanceExcellent human resourcesExcellent corporate neighborsExcellent support for incoming companiesAbout YokohamaGeneralPopulationForeign residentsHouseholdsLand AreaAverage temperatureEconomyAll dollar figures are calculated at US$ = ¥1103,598,493(July 2006)70,025 (June 2006)1,500,186 (July 2006)434.98km 2 (107,485 acre) (April 2006)15.8 (60.44 F) (2005)Gross product in YokohamaPer capita incomeEmployeesBusiness establishments & enterprisesForeign-affiliated companiesLiving Environment (2005)Colleges & UniversitiesInternational schoolsMedical facilitiesPublic librariesMuseumsParks¥12,681 billion ($115.28 billion) (2003)¥3,206,000 ($29,145) (2003)1,347,684 (October 2001)117,000 (October 2001)188 (December 2005)25114,82119412,4941

Location of YokohamaTransportation AccessYokohama is the second largest city in Japan, with a population of approximately 3.60million people. It is located in the metropolitan Tokyo area, which is the center ofbusiness, politics, and information in Japan.Yokohama is a mere 26 minutes from Tokyo. The Shinkansen bullet train also makes traveling tomajor cities throughout Japan easy. Access to Narita and Haneda airports is simple andYokohama boasts more convenient transportation than in downtown Tokyo.Travel time from major cities11:2011:30 10:5512:103:002:402:00Yokohama9:4511:1513:4010:504:10Bangkok5:453:106:509:25Shinkansen (bullet train)route in JapanHaneda to BecomeInternational Airport in 2009With Haneda Airport’s further expansion to handle internationalflights in 2009, Seoul, Shanghai and other cities within a 2,000-kilometer radius will have scheduled services from Haneda. Thiswill reduce mutual access time between Yokohama and these citiesby more than an hour one-way compared to using Narita Airport.Yokohama is urging the national government to expand the scopeof Haneda’s international routes to include major East Asian citiesincluding Beijing, Taipei, Hong Kong as well as ASEAN membercountries.ShinyatsushiroNarita AirportHaneda AirportTokyoShibuyaShinagawaShinjukuSendaiNagoyaKyotoShin-OsakaFukuokaTravel time from Yokohama by train16 min.26 min.22 min.17 min.27 min.1hr. 26 min.2 hr. 5 min.1 hr. 34 min.2 hr. 12 min.2 hr. 28 min.4 hr. 7 min.Note: Above figures apply to the fastest daytime travel times and exclude time required for transfers.2 3

Business EnvironmentLocated within the metropolitan area, which has a huge market of 42 million people,Yokohama offers the advantage over Tokyo of outstanding human resources and muchbetter cost performance in terms of cheaper office and housing rents and land prices.Land Prices454,900Average Land Prices by UseTokyo 23 wardsYokohama City207,1001,728,000431,300370,000207,000249,900119,7006549137Outstanding Human ResourcesKanagawa Prefecture, including Yokohama, boasts thehighest number of researchers and engineers in Japan– more than 340,000. More than 1,000 corporate andpublic research organizations are also located here.Moreover, there are numerous science, engineeringand medical universities that have produced excellentresearch and opportunities for interaction. Liaisonsbetween industry and academia are also abundant.Number of Researchers and Engineers by PrefectureScientific researchersEngineersTotalKanagawa24,487318,513343,000Tokyo17,968319,309337,277Osaka(Yokohama) (Shinjuku) (Osaka)10,094158,305168,399Universities with Science and Engineering Faculties/Graduate Schools in Yokohama123456789UniversityKanagawa UniversityKanto Gakuin UniversityKeio Universityhttp://www.kanagawa-u.ac.jp/http://univ.kanto-gakuin.ac.jp/http://www.keio.ac.jp/Musashi Institute of Technology http://www.musashi-tech.ac.jp/Toin University of YokohamaTokyo Institute of TechnologyTsurumi UniversityYokohama City Universityhttp://www.cc.toin.ac.jp/UNIV/english/http://www.titech.ac.jp/home.htmlhttp://www.tsurumi-u.ac.jp/http://www.yokohama-cu.ac.jp/Yokohama National University http://www.ynu.ac.jp/index_en.htmlFacultyEngineeringEngineeringScience & Technology, MedicineEnvironment & Information StudiesEngineeringBioscience & Biotechnology, Science, EngineeringDentistryScience, MedicineEngineeringHyogo(Kobe)7,308109,413116,721Chiba(Chiba)9,796151,214161,010AichiNational(Nagoya)6,693152,342152,445 2,523,885159,138 2,676,227Source: National Census (2000)Graduate SchoolEngineeringEngineeringScience & Technology, MedicineEnvironment & Information StudiesEngineeringBioscience & Biotechnology, Science & EngineeringDentistryScience, MedicineEngineering, Environment & Information SciencesOffice Rents(¥/m 2 )6,0005,0004,0003,0002,0001,0000Average Monthly RentYokohamaStationDistrictResidentiallandCommerciallandShin- KannaiYokohama DistrictStationDistrictSource: Miki Shoji Co., Ltd. (March 2006)Quasi-industriallandSource: Published Land Prices (January 2006)4,2983,504 3,2855,474BusinessDistrictsin TokyoIndustriallandYokohama Station DistrictShin-Yokohama Station DistrictKannai District82:Business District1 9:UniversityYokohama Station is one of the mostimportant terminus for railways, buses andtaxis. It is home to many IT solution providers,along with large commercial facilities.With direct access to Shinkansen bullettrain, Shin-Yokohama gives an advantagefor nation-wide business development. Itsexcellent traffic convenience has attractedmany companies, including over 300 ITfirms.As a redevelopment project, a new stationbuilding with shops, offices and a hotelwill be opened in 2008.Kannai District has developed as the politicaland economic core of Yokohama, andtoday there are governments and corporateheadquarters, and also commercial, cultural,trade and touristic places.Recently, this district where smaller officesare available is popular among IT entrepreneursand creators.Comparison of Main Cities4 515,000,00012,000,0006,000,0003,000,00035,00030,00025,00020,00015,00010,0005,000003,598,493928,875YokohamaChibaOceangoing shipsDomestic ships11,32332,0776,827Population2,634,8522,220,9401,340,470 1,528,622KawasakiKobeNagoyaOsakaShip Movements25,3539,80230,42225,93012,631,059TokyoSource: Administrative Management and Coordination Bureau, City of Yokohama (July 1, 2006)6,744 7,843Yokohama Tokyo Nagoya Osaka Kobe31,012Source: Yokohama Customs Office (2005)(Number of companies)2,6002,500Number of Foreign-affiliated Companies (Head Office)20015010050015920021722003 2004123451842,591 TokyoYokohamaOsakaKobeChibaKawasakiNagoyaSource: Directory of Foreign-owned Companies in Japan, Toyo Keizai Inc.Main Products by Trade Value (Port of Yokohama)ExportAutomobilesAuto partsMotorsOffice equipmentConstruction/mining machinery188113200567615627ImportNon-ferrous metalsCrude/raw oilApparel, clothing accessoriesNatural gas, manufactured gasOffice equipmentSource: Yokohama Customs Office (2005)

Main Business DistrictsThe city has several districts where offices and labs are clustered. Most office buildings areequipped with IT infrastructure and a comfortable business environment can be obtained atlower cost.1Yokohama Station DistrictOne of the Tokyo area’s leading terminals, Yokohama Station offers a collection of bus, taxi and other transportationfacilities, along with eight train lines. The station is surrounded by a growing number of large commercialand business facilities. One characteristic of this area is that there are many IT solution-related firms located here.2Minato Mirai 21 DistrictThis vibrant section of the city has preserved historicalassets as part of a diverse complex of office, commercial,culture, entertainment and housing facilities. It is a businessdistrict that has attracted attention for its highqualityoffice buildings and Pacifico Yokohama, aworld-class, multi-purpose convention center. Alongwith Metropolitan Expressway ramps, the area’sexcellent transportation links include the MinatomiraiLine, affording access to Shibuya in 30 minutes.In addition, IT infrastructure is in place to meet theneeds of investing companies, and anti-disaster measures,including berths reinforced against earthquakesand underground water tanks, have been incorporatedinto this ongoing urban development project.The Landmark Tower YokohamaMajor function: Office, hotel, shopping mallhttp://www.yokohama-landmark.jp/english/Pacifico YokohamaMajor function: convention hall, conferencecenter, exhibition hall, hotelhttp://www.pacifico.co.jp/english/Queen’s Square YokohamaMajor function: Office, hotel, concert hall, shopping mallhttp://www.qsy.co.jp/english/3Kannai DistrictAs the center of Yokohama’s government and economy,this area has served as the nucleus of Yokohama’s developmentsince the port opened in 1859. Today, too,core government and corporate administrative functionsare concentrated in this district, which is also a focalpoint for commerce, culture, trade and tourism.In recent years, many IT-related entrepreneurs and creatorshave moved into this area, which is characterizedby many small-sized offices.46512374Keihin Waterfront AreaOil, petrochemical, steel, shipbuilding, electrical machinery,automotive and large manufacturing plantsfrom many other industry sectors operate in this largecoastal industrial park between Tokyo and Yokohama,and in recent years, advances have been made instrengthening production and R&D functions.Yokohama Science Frontier, a large, internationalresearch park, is also located here and, along withRIKEN Yokohama Institute, which conducts worldleadingbioscience research, numerous private sectorresearch facilities have located here.5Shin-Yokohama StationDistrictShin-Yokohama is an advantageous location from whichto develop business throughout Japan, using the Shinkansenbullet train. Many companieshave located here totake advantage of the very convenienttransportation network,which allows smooth access toYokohama Station and centralTokyo by train or car. Thereare more than 300 companiesfrom the IT sector here.The area around the station isundergoing redevelopment,with a station building containingcommercial, businessand hotel facilities scheduledfor completion in 2008.6Kohoku New Town DistrictLocated in Yokohama’s northern area, Kohoku NewTown has made the most of the area’s rich natural environmentwith its ongoing community development.Many commercial facilities and international companies’headquarters and research labs are located here.Kohoku New Towna l s o h a s w e l l -developed housing,educational, medicaland cultural facilitiesand is popular as ahigh-quality residentialdistrict.7Kanazawa and TorihamaIndustrial EstatesThese estates, aimed primarily atmanufacturing industries, are situatedalong the city’s southerncoast. Approximately 1,200 firmshave located here, taking advantageof the merits of these industrialestates while pursuing stablebusiness management and technologicaladvances.Yokohama-Kanazawa High-TechCenter, a facility to provide compr e h e n s i v e c o r p o r a t e R & Dbackup, is located in this area.6 7

Business Facilities for Foreign CompaniesThere are five business centers for foreign-affiliated companies within the city. These facilitieswere established to help minimize startup costs and streamline market entry when foreignfirms establish a business in Japan.The new tenants of these facilities may receive rent subsidies.GCITGerman Centre for Industry and TradeThe German Centre for Industry and Trade (GCIT) is a facility offeringleased space to companies for research and development activities.The building was constructed by JG Japan, a subsidiary of DeutscheBank AG, on a 1 hectare (2.47 acre) site within the Hakusan HightechPark,* which was sold in lots by Yokohama City in 1985. Themain use of the building is advanced technology research, informationoffices, management and other services, manufacturing, distributionand processing, product displays and warehousing. GCIT has played avery important part in the activities of R&D-based companies.*Hakusan High-tech ParkHakusan High-tech Park in Midori Ward (northern part of Yokohama) is a research institute complexfor advanced technology companies and high added-value and knowledge-intensive products. Thispark provides wonderful opportunities for human and technological exchanges between tenants ofmany different nationalities.GCIT Company CommentsSUSS MicroTec KKOur company has been a tenant since the foundation of GCIT. As a German high-techcompany, we have been selling semiconductor-related equipment, value added withcutting-edge technology. As a result, it is essential to have a technical center with aclean room on the same premises. In accordance with the concept of “High-TechPark” promoted by the City of Yokohama, GCIT allows for the construction of officespace for R&D, as well as technical services and small production in the same building.We are enjoying the merits of this building to the maximum and are satisfied withthe tenant-oriented service provided by GCIT.TVPUS-Japan Technology Village PartnershipThe US-Japan Technology Village Partnership (TVP) project has the objectiveof providing common space for US companies and thereby reducing costs,increasing the synergy effect among companies entering Japan, and expandingmarkets in Japan. The facility wasconstructed to meet the needs of TVPparticipating members. Tenant membersenjoy various functions, includingoffice space, research and development,testing and storage, and processingand assembly, in a singlebuilding.Yokohama invited the TVP project toMoriya-cho in Kanagawa Ward, in theKeihin Waterfront Area, as a leadingredevelopment project of this area.to Marukobashi/Dai-san Keihin areaHodogaya Bypassto Tomei Expresswayto Atsugi/Chigasaki areato Dai-san Keihin areaNakayama Sta.Yokohama LineTsurumigawa River Kamoi Sta.Nakahara Kaido StreetHakusan to Shin-YokohamaHigh-tech ParkMiyanoshita intersectionNational Route 16GCITAddress: 1-18-2 Hakusan, Midori-ku, YokohamaAccess: 15 min. walk from JR Kamoi Sta.http://www.jgjapan.co.jp/english/TVP Company CommentsBS&B Safety SystemsKamoiintersectionOur firm sells products such as pressuresafety devices and provides relatedservices. We located to Yokohama in2002. TVP is a new, comfortable facilityand the free access floor facilitates OA.From Narita we ship products importedfrom the U.S. and temporarily store themat TVP for inspection and testing. Thefacility is well suited to these purposes.The excellent access to Narita andHaneda Airports is also a big plus.Shinkoyasu Sta.Keihin Tohoku LineKeihin Kyuko LineDai-ichi KeihinMetropolitan Expressway Yokohane LineTVPKeikyu Shinkoyasu Sta.Address: 3-9-13 Moriya-cho, Kanagawa-ku,YokohamaAccess: 5 min. walk from Shin-Koyasu Sta.BICBritish Industry CentreThe British Industry Centre (BIC) was a main project in the“Action Japan” campaign to promote exports to Japanlaunched by the British Department of Trade and Industry.Yokohama was chosen as the location for this projectfrom among the many other cities in Japan for significantreasons, including its excellent access with Tokyo andother regions of Japan, its high-quality business and livingenvironments, and its generally lower business and livingexpenses compared with Tokyo.The center was opened in Yokohama Business Park (YBP)in Hodogaya Ward in the spring of 1997, through the cooperationof the British government, British Embassy, theBritish Chamber of Commerce in Japan (BCCJ), and theCity of Yokohama, with the purpose of assisting Britishcompanies, mainly small and medium-sized enterprises.The objectives of the project are to reduce the start-upcosts for British companies entering Japan and to facilitatetheir smooth participation in the Japanese market. To thisend, the center of approx. 2,000 m 2 (21,000 ft 2 ) providesfacilities for common use, such as meeting space, andother space that meets the needs of companies.Location: 11F West Tower, Yokohama Business ParkURL: http://www.bccjapan.com/ (BCCJ)BIC Company CommentsProcess Systems Enterprise Ltd.Process Systems Enterprise Ltd (PSE), headquartered inLondon, UK, set up a new PSE Japan branch office inYokohama Business Park on June 1, 2005. We are fullysatisfied with the business environment at YBP whereall the necessary facilities are strategically located forour daily demand. What adds to this is the splendidcultural spirit comprising the “sanctuary”; a perfectmixture of the modern Italian-flavoured architecturewith the breeze of Yokohama traditions (Hama-trad).FEMAC Business CenterFEMAC (Fast and Efficient Market Access)Business Center provides office spaces forforeign companies that aim to enter theJapanese market. The fully furnishedoffices help a company to do businessfrom day one, and its bilingual secretariesat the reception take care of phone callsand mails, make travel arrangements, etc.Fees for bilingual administrative services,access to meeting rooms, and audio- andvideo- conferencing studios are includedin the office rent.The Canadian Industry & Trade Centre (CITC) - an initiativeof the City of Yokohama for Canada’s Action Plan forJapan advanced by the Canadian Government – wasopened in Yokohama Business Park (YBP) where BIC isalso located, through the cooperation of the CanadianChamber of Commerce in Japan and the City of Yokohama.The center offers a simple, reasonably priced way torent office space, and thus supports Canadian Companiesentering the Japanese market from Yokohama, where thefirst Canadian trade office in Japan was opened in 1904.Location: Yokohama Business ParkYokohama Business Park (YBP)BIC and CITC are located in this business park's clusterof intelligent buildings.Address: 134 Godo-cho, Hodogaya-ku, YokohamaAccess: 5 min. walk from Tennocho Sta.http://www.nomura-re.co.jp/ybp/english/Kita Shin-Yokohama Sta.Tsurumigawa RiverCITCCanadian Industry and Trade CentreNissan StadiumDai-san Keihin ExpresswayMunicipalsubwayShin-Yokohama Sta.Kozukue Sta.Yokohama LineYokohama Sta.Hiranumabashi Sta.National Route 16Nishi-Yokohama Sta.Hoshikawa Sta. Tennocho Sta.Yokohama Business ParkFEMACTokaido ShinkansenKikuna Sta.Toyoko LineSotetsu LineYokosuka LineHodogaya Sta.Address: 10F, Shin-Yokohama Daini Center Bldg.3-19-5 Shin-Yokohama, Kohoku-ku, YokohamaAccess: 5 min. walk from Shin-Yokohama Sta.http://www.jpn.tuv.com/en/services/business_center/index.php8 9

Yokohama's Advantage:Highly Accessible to IT MechatronicsCompanies in the AreaShin-Yokohama DistrictTown of Bullet TrainStation & Semiconductor DesignersTop Manufacturing IndustriesMany business opportunities exist in Yokohama in the mechatronics industryand with advanced manufacturers. A huge industrial cluster has formedin the waterfront area from Tokyo to Yokohama, with 22,000 companyoffices and over 400,000 workers*. Manufacturing companies provide approximately40% of all goods, with a shipment value of $43 billion. The ITindustry (automotive electronics, mobile communication, household informationappliances, etc.) is very active in the area, making Yokohama ahighly suitable location for both business and R&D.(*This number is the total of the figures for the Tokyo Metropolitan Area, Kawasaki, and Yokohama)Over 2,000 IT CompaniesYokohama has 2,174 IT companies with 83,921 technical experts and workers as of 2004. In terms of the number of IT employees,Yokohama has the third highest number (after the Tokyo Metropolitan area and Osaka). However, in Yokohama itis possible to do business with companies in both Tokyo and Yokohama with the advantages of less traffic congestion andlower office rental fees than those in Tokyo.Yokohama’s IT industry is characterized by a very high ratio of hardware industry (semiconductors, embedded technology,automotive electronics, etc.), which is related to the manufacturing and mechatronics industries.IT Company Location in YokohamaAoba WardMidori WardSeyaWardIzumiWardAsahi WardTotsukaWard41Tuzuki Ward166KohokuWardKanagawa Ward126150Nishi WardHodogaya 142WardSakaeWard 19MinamiWardKonan Ward223IsogoWardKanazawaWard135Source: Establishment and Enterprise Census 2004,Ministry of Internal Affairs and CommunicationsFuji SoftTsurumiWardNakaWardHardware businessn=429Solutions businessn=806Contents businessn=939Total = 2,174Various IT Firms in YokohamaCompany Industry Located DistrictFujitsu Microelectronics SolutionsSoftware Manufacturing, Maintenance of ITSystemsIT and Telecommunication System SolutionServiceMinato MiraiShin-YokohamaI-Net Corporation IT Business Solution Service Minato MiraiKoei CorporationPersonal Computer and Home Video GameSoftware Planningnear Shin-YokohamaMacnica Import and Export of Semiconductor Devices Shin-YokohamaSTARC SemiconductorTechnology Academic ResearchCenterResearch and Development of Advanced LSIDesign TechnologyShin-YokohamaZuken Electronic Design Automation Kohoku New Town(Companies are listed in alphabetical order.)HardwareSolutionContents38%14%48%Tokyo Metropolitan AreaPopulation: 8.5 millionIT Domestic Share*: 25.2%35%16%49%OsakaPopulation: 2.6 millionIT Domestic Share: 4.5%Dedicated Manufacturing Companies in Yokohama49%CompanyAsahi Glass Corporation,Keihin PlantNikon Corporation,Yokohama PlantNissan Motor,Yokohama FactoryPanasonic MobileCommunicationsVictor Company of Japan6%45%YOKOHAMAPopulation: 3.6 millionIT Domestic Share: 3.1%34%3.6 Million Citizens, ExcellentCustomers & WorkersIT companies in Yokohama can do efficient business inthe whole Tokyo Metropolitan area due to convenienttransportation. In addition, Yokohama has outstandinguniversities and institutes of technology, as well ashighly educated workers and technological specialists.Yokohama’s 3.6 million metropolitans would be excellentworkers as well as customers for your company.18%30%IndustryAutomotive Glass, Opto-ElectronicProducts, Nano Materials forSemiconductorsOpto-Electronics, IC Steppers,Digital Imaging EquipmentsMotor Vehicles & PartsMobile Communication DevicesElectronics, Electrical Equipment(Companies are listed in alphabetical order.)IT Industry Scale and a Circle Graph of the Ratio of Sectors by Different Cities50%20%NagoyaPopulation: 2.2 millionIT Domestic Share: 2.1%* “IT Domestic Share” shows48%each city’s percentage of ITcompany workers in the wholecountry.FukuokaPopulation: 1.4 millionIT Domestic Share: 1.5%Proximity to Tokyo & Haneda Airport (to be internationalized in 2009)Shin-Yokohama district, known for the stadium (now called “Nissan Stadium”) where the FIFA World Cup Soccer 2002final match took place, stands in the north-central area of Yokohama. Another source of pride in this district is the convenienttransportation system.It is 30km to the center of the Tokyo Metropolitan area, and 15 km from Haneda Airport. It is also possible to get to theOsaka and Kyoto area (the 2nd largest industrial area after the Tokyo Metropolitan area) within 150 minutes.Heavy Concentration of Semiconductor Chip ManufacturersShin-Yokohama district has many ITfirms. Over 300 IT firms are concentratedin an area of only 80 hectares(with the length of 900 meters). Most ofthem are involved in the design, developmentand consolidation of systemLSI, and other semiconductors.Many global IT corporations turnedtheir attention to the advantages of theShin-Yokohama district, and havelocated their Japanese headquartersand R&D facilities here.Many semiconductor factories and labs are located within 30km of the Shin-Yokohama district.Chuo ExpresswayTomei HighwayFuji Photo Film Miyanodai TechnologyDevelopment CenterCity of Art and CultureFujitsu AkirunoTechnology CenterSony Atsugi Technology CenterNihon Inter ElectronicsRenesas Eastern Japan SemiconductorOumeHitachi Device Development CenterOki Electric Industry SiliconManufacturing CompanyNEC ElectronicsSagamihara OfficeMitsubishi Electric Sagamihara PlantFujitsu Laboratories Atsugi OfficeCanon Central LaboratoryAsahi Kasei Kogyo ElectronicTechnology General LaboratoryKodaira Hitachi Production HeadquartersTachikawa Hitachi ULSI SystemsYokogawa Electric Head Office FactoryKonica MinoltaTokyo Hino SiteNEC Fuchu OfficeHachiojiFuchuAtsugiHiratsukaTokaido Shinkansen LineChigasakiShin-YokohamaKawasakiTokyoFujitsu LaboratoriesSagamiharaRicoh Research and Development Center NEC Tamagawa OfficeToshiba SemiconductorSystems Technology CenterYokohama LineMurata Manufacturing Tokyo Development CenterCanon Ayase OfficeFuji Xerox General LaboratoryCanon Component CenterSource: Semiconductor Factory Map 2006, Sangyo Times, Inc.OfunaNambu LineYokohamaHitachi System Development LaboratoryJVC Central LaboratoryNichia Yokohama Technology CenterFurukawa Electric SemiconductorYokohama R&D LaboratoryEudyna DevicesToshiba MicroelectronicsCenterTokyo BayToshiba Advanced Microelectronics CenterYokosukaNissan Motor Electronics LaboratoryYokohama was Japan’s first city of modernized European urban design andhas been the cultural gateway of this country for 150 years since the Port ofYokohama was opened for trade. The City of Yokohama makes the best useof historical resources to carry out attractive community development.In 2005, Tokyo National University of Fine Arts and Music opened its GraduateSchool of Film and New Media in a heritage building. Takeshi Kitano, themovie director and grand-prix (Golden Lion award) winner of the InternationalVenice Movie Festival 1997, takes office as professor there. A campusfor Media Majors is available as of 2006. Animation Majors will be madeavailable in 2007.10 11

Promoting Life Sciences in YokohamaBy fostering technological innovation and new biotechnology, as well as life science industriesconsidered to hold the key to future industrial development, Yokohama is promoting itself as alife sciences cluster that aims to contribute to residents’ healthy lifestyles, spark the economyand create employment, and encourage research and development.RIKEN Yokohama InstituteUndertakes comprehensive research into plant andanimal genetic, genomic and protein structures andfunctions from the molecular level to entire organisms.Yokohama City University Joint Graduate SchoolEducational and research activities are conducted jointlywith RIKEN in an effort to turn the university’s researchresults into business ventures and foster personnel withinternational perspectives.Yokohama Joint Research CenterProvides a place for universities and companiesin the city to conduct joint research.Leading Venture PlazaOffers rental labs, facilities for product pilot development,and offices to support the turning of industryacademiaresearch efforts into business enterprises andventure corporation activities. Has a number of Japan’sleading bio-ventures as tenants.RIKEN Yokohama InstituteLeading Venture PlazaPromoting joint industrial-academic researchYokohama Science FrontierAs part of its efforts to turn the city into a life sciences hub,Yokohama is moving forward with the development of YokohamaScience Frontier, a research center for advanced R&Dlocated in the Keihin Waterfront Area between Tokyo andYokohama, centered around the RIKEN Institute of Physicaland Chemical Research, a world-renowned post-genomeresearch center.The Keihin Waterfront Area played a major role in Japan’sindustrial development, but changes in the industrial structureand economic globalization have led to a need to revivethis industrial zone’s international competitiveness.Along with the RIKEN Institute, Yokohama City UniversityJoint Graduate School, the Yokohama Joint Research Center,Leading Venture Plaza and a number of other research organizationsand companies involved in biotech-related processes– from basic and applied research to development,trial manufacturing and production – have begun to set upoperations.Numerous R&D companies have set up in other areas of Yokohama, in addition to theKeihin Waterfront Area, and many science, engineering and medical universities andresearch organizations have also located here. They possess the many seeds ofresearch and the development needs of the next generation’s industrial technology,and thus they have extremely high potential in terms of furthering industry-academialiaisons.Yokohama utilizes these resources positively and, in an effort to aid the advancementof existing industries and the creation of new industries, provides support to small andmid-sized businesses and venture companies that are developing new technologiesand products through industry-academia liaisons.An application for a project to develop a new system to rapidly and easily determine skin conditions using biomarkers*was adopted under the Ministry of Economy, Trade and Industry regional revitalization R&D consortium program. Theapplication was submitted in 2006 through an alliance of Yokohama City University research laboratories and companiesin the city, with the Kihara Memorial Yokohama Foundation for the Advancement of Life Sciences as its main drivingforce.* A new skin function analysis system that uses biomarkers to determine skin conditions and illnesses will be created and used for cosmetics development and sales, diagnosis andtreatment of dermatological ailments, and other purposes.Forming bio-cluster through enhanced networkingThe city government has tapped the Kihara Memorial Yokohama Foundation for the Advancement of Life Sciences, toserve as the lead organization in fostering the formation of bio-clusters and promoting interpersonal networks. With thesupport of the Ministry of Economy, Trade and Industry, we are implementing integrated promotion policies to encouragethe expansion of interpersonal networks, the augmentation of programs for biotech companies, and are providingassistance to foster ties between academia and industry.These various strategies will serve as a foundation for efforts to turnYokohama into a center for life sciences, attracting numerous start-upsby bioventures while additionally encouraging active cooperationamong major corporations, universities and research organizations.This will help to spur the local economy, and will also contribute tocity residents’ healthy lifestyles through the establishment of largeclusters of research and development industries.12 13

Support for Setting Up a Businessin YokohamaAlong with providing information about doing business in Yokohama, various forms ofassistance are available to support foreign companies.Subsidy/financing programsBusiness linkups with companies in YokohamaInformation on offices and real estateIntroductions to specialistsPress release supportMain Types of SupportInformation on living in YokohamaVarious kinds of incentives are available, including the ordinancethat allows for the highest-level of assistance in Japan.-Attorneys and accountants for procedures related to incorporation of enterprises and tax practices-Interpreting and translation companiesDistribution of press releases to Press clubs covering the municipal governmentStart-Up OfficesStart-up offices are available forforeign-affiliated firms that havenot yet established a location inYokohama. Full business supportprovided to foreign companiesincludes office advice withregard to establishingoperations, and information onbusiness in Japan.Expert AdviceWBC Start-up Offices4 furnished offices at 108 sq. ft. eachRent: Free (Actual cost of phone, etc.to be charged)Tenancy: 4 monthsSupport from WBCIBSC Kanagawa3 furnished offices at 118 sq. ft. eachRent: Free (Actual cost of phone, etc. to be charged)Tenancy: 50 business daysSupport from JETRO YokohamaJETRO Yokohama9F Industry & Trade Center Bldg.2 Yamashita-cho, Naka-kuTel: +81 45 222 8911Fax: +81 45 662 4980E-mail: yok@jetro.go.jpSupports from overseas offices (New York, Frankfurt, Shanghai)JETRO-Kanagawa Prefecture-City of Yokohama Invitation and Support Program (~February 2007)Fiscal year 2006, JETRO, Kanagawa and Yokohama are jointly assisting foreign companies(IT and the related electronics industries) to start up a business in Japan.Support offeredInvitation Program: Round-trip airfare, Hotel accommodations in Yokohama, Program-related travelexpense and interpretation cost while in JapanSupport Program: A part of the cost of establishment/incorporation procedures (ex. Retaining/consultingfee for an advisor, lawyer, administrative scrivener, etc. Translation/interpretation fee)Specialists provide advice on establishing and registering a company, as wellas on contracts, financial affairs, accounting, opening up sales routes, andother matters related to setting up a business in Yokohama. Advice is providedeither in person or online.ConsultantsAttorney, patent attorneys, certified public accountants,licensed tax accountants, judicial scriveners, etc.FeesFree for up to three in-person consultations and up to fiveonline discussions.Yokohama World Business Support Center (WBC)Subsidy Financing ProgramsProgram Eligibility SupportIncentive for Large-scale Business Location (Acquisition of Fixed Property)Business Location Incentives for Specially Designated AreasIncentives for Renting a Space in an Office Building, etc.Targeted Industry ProgramHead-Office Function Expansion/Transfer Special SubsidyEstablishment of office, installation of new equipment, etc., which meetcertain requirements set for each areaLease and acquisition of offices by companies in the eight sectors ofpriority industry such as IT and biotechnologyTax reduction,SubsidySubsidySubsidyTargeted Facility Program Lease of office in targeted facilities SubsidyIncentive for Factory LocationAssistance for Factory LocationIncentive for Visual Content Production IndustriesBusiness Location Subsidy for Visual Content ProductionIndustriesIncentive for Creators and Artists ProgramEstablishment of factory, lease of factory, installation of new equipment,etc.Facility construction/refurbishment of officeSubsidySubsidyCreator Location Promotion Subsidy Program Business establishment in Kannai, Kangai districts SubsidyIncentive for EntrepreneursYokohama Startup Location Promotion Program Startup with promising business plan and leasing of a small-sized ofice SubsidyYokohama World Business Support Center (WBC), located in theMinato Mirai area, provides support to foreign-affiliated firms.Provision of advice/informationConsultations with advisors on trade procedures and on howto establish a company in Japan. Various forms of businesssupport, including information on companies in Yokohama.Business InquiriesPublishing of foreign-affiliated firms’ product references andother information on WBC’s website, and provision of thisinformation to Japanese companies.Provision of office spaceOffice space designed for foreign-affiliated firms and foreigneconomic organizations6F Yokohama World Porters2-2-1 Shinko, Naka-ku, YokohamaTel: +81-45-222-2030Fax: 81-45-222-2088URL: http://www.ywbc.org/english/Hosting of business missions and business discussionsArrangement of business discussions and receptions withYokohama companies for overseas business delegations.Sponsoring of trade fairs and seminarsCountry-specific trade fairs and regional/sectoral informationseminars in cooperation with overseas economicagencies.Company CommentsThe Dragontec GroupThe Dragontec Group is a Chinese software development companyproviding high quality, low cost services in embeddedsoftware development, large scale corporate system development,package product development and maintenance sectors.When we expanded our business in 2004 by setting up a customerservice center and business systems engineering site, wereceived various forms of assistance from the Yokohama citygovernment, including rent-free office space. This helped usstart up without any hitches, has allowed business to runsmoothly, and has helped us gain successful results and anexpanding customer base.14 15

Yokohama’s Excellent Living EnvironmentHistoryNatureOoka RiverSankeien GardenYokohama Archives ofHistoryHikawa-maru andYamashita ParkSportShoppingChinatownNissan StadiumIn 2002 the final of FIFA World Cup was heldin YokohamaSince the opening of its port in1859, Yokohama has beenhome to many foreign peopleand has created a supportiveand comfortable livingenvironment for them.Yokohama offers endlessopportunity for cultural andintellectual pursuits, anabundance of entertainmentfacilities, a comfortable andtranquil living environment, anda wealth of nature.Red Brick WarehouseEventsArtsYokohama Noh TheaterYokohama International Costume ParadeYokohama Museum of ArtFirework16Yokohama Minato Mirai HallYokohama Cutter Racehttp://www.city.yokohama.jp/en/