Executive Director’s MessagExecutive Director’s MessagExecutive Director’s Messageee

Recently I have

read some inter-

esting articles on

international

trade and invest-

ment in the

Globe and Mail.

In Canadian

companies are

investing, just

not here (Sept. 1,

2015), I learned that Canadian compa-

nies have increased foreign direct in-

vestment despite the weakening loonie.

Canada’s foreign affiliates change

country’s trade game (May 21, 2015)

also explains that Canadian companies

have conducted their foreign dealings

not through shipments of goods made

in Canada, but rather via their own

affiliates set up in foreign countries.

With the globalization of the world

economy, doing business in foreign

countries can’t be avoided. Companies

are forced to locate near clients, part-

ners and markets. Japan is the 3rd larg-

est economy in the world with many

world-class companies as potential

partners. Due to the proximity of the

huge Asian market, Japan can be also

your strategic business location in the

region.

Now the Japanese Government is ac-

celerating structural reforms and dereg-

ulation in Japan. Taking the example of

the corporate tax, it is set to be reduced

to 31.33% in FY2016 and the govern-

ment will continue to reduce the corpo-

rate tax rate down to the 20% range in

the FY2017 to create a better business

environment for international business.

JETRO Canada is here to assist your

investment project to Japan. Please feel

free to contact us!

Inside this issue….Inside this issue….Inside this issue….

Fujiwara Wastewater InstallationFujiwara Wastewater InstallationFujiwara Wastewater Installation

Japan ICT Seminar SeriesJapan ICT Seminar SeriesJapan ICT Seminar Series

2015 Trade & Investment Report2015 Trade & Investment Report2015 Trade & Investment Report

Japan Pavilion at BC LNG Show Japan Pavilion at BC LNG Show Japan Pavilion at BC LNG Show

Consumption Tax RevisionConsumption Tax RevisionConsumption Tax Revision

Subsidy Program Announcement Subsidy Program Announcement Subsidy Program Announcement

Kazuo Nakamura

Executive Director

JETRO Toronto

September 15, 2015 - vol.3 no.2

Fujiwara Industries Fujiwara Industries Fujiwara Industries

Completes First Canadian Completes First Canadian Completes First Canadian

Wastewater InstallationWastewater InstallationWastewater Installation

JETRO supports Japanese technology JETRO supports Japanese technology JETRO supports Japanese technology

After delivering 4,500 units throughout Japan, China, Taiwan and Malaysia, Osaka’s

Fujiwara Industries has successfully installed the first unit of its innovative Fuji-float

automatic scum removal system at Toronto’s Ashbridges Bay Wastewater Treatment Plant,

their first installation outside of Asia.

This market access breakthrough for Fujiwara is the result of the efforts of Fujiwara’s

exclusive Canadian distributor, Ontario-based Directrik, along with JETRO’s continued

support. Directrik made initial contact with Fuijwara when it was exhibiting in a JETRO

organized pavilion for Japanese companies at the 2012 WEFTEC trade show in New

Orleans. Subsequently, Directrik President, Sam Directo, was invited to participate on

JETRO’s 2013 and 2014 Environmental and Wastewater Buyers Programmes, where

JETRO facilitated successful meetings between the two companies.

With its first successful installation completed,

Fuijwara and Directrik are looking to continue

developing opportunities in Canada. The next technol-

ogy Fujiwara is focused on bringing to Canada is its

Monorail-type Sludge Collector – an inventive system

which they believe will find success in Canadian

wastewater treatment plants.

For complete success story:

www.jetro.go.jp/ext_images/canada/pdf/fujiwara.pdf Ashbridges Bay Wastewater Treatment Plant

Event Notice: Event Notice: Event Notice: Japan ICT Market Seminar Series Japan ICT Market Seminar Series Japan ICT Market Seminar Series

Japan’s ICT market was over US$325 billion in 2013, 8.8% of the global ICT market.

JETRO will hold a cross-Canada series of seminars featuring JETRO San Francisco’s

ICT Advisor who will explain about opportunities for Canadian companies in Japan’s

ICT market. Events will also feature foreign company success stories.

- Toronto: Toronto: Toronto: October 5 (12:00-2:00 pm w/ light lunch)

- KitchenerKitchenerKitchener---Waterloo: Waterloo: Waterloo: October 6 (8:00-10:00am w/ light breakfast)

- Montreal: Montreal: Montreal: October 7 (8:30-10:30 am w/ light breakfast)

- Vancouver: Vancouver: Vancouver: October 8 (8:30-10:30 am w/ light breakfast)

For full details and to register: www.jetro.go.jp/canada/events/ictseminarseries.html

Success Stories : Voices of Success Stories : Voices of Success Stories : Voices of

Foreign Company Executives in JapanForeign Company Executives in JapanForeign Company Executives in Japan

Full article: www.jetro.go.jp/en/invest/success_stories/pdf/ikea_en.pdf

Full article: www.jetro.go.jp/en/invest/success_stories/pdf/valeo_en.pdf

Full article: www.jetro.go.jp/en/invest/success_stories/pdf/axa_en.pdf

JETRO Global Trade and JETRO Global Trade and JETRO Global Trade and

Investment Report 2015Investment Report 2015Investment Report 2015

On August 2015, JETRO published the latest edition of

its annual Global Trade & Investment Report. JETRO’s

economic research department shares its insights into a

wide range of topics including: world trends in trade and

FDI, GDP growth projections, tracking of bilateral and

multilateral FTAs, analysis of Japanese companies’

performance in global markets, and more. The full re-

port can be downloaded free at JETRO Tokyo’s website.

www.jetro.go.jp/en/news/2015/ea96c87efd06f226.html www.jetro.go.jp/ext_images/_News/announcement/2015/

ea96c87efd06f226/material.pdf

～ Key points ～

１．World trade growth is weak.

２． Japan’s trade deficit shrinking since middle of

2014. Profits from overseas operations increasing further.

３．Japan’s outward FDI remains at high level with

robust investment in ASEAN .

４．Japan’s inward FDI increases for three consecutive

years. Asia gains importance.

５. 271 FTAs are in force around the world. Mega FTAs

expected to develop further, led by TPP.

６. ASEAN Economic Community (AEC) to develop

further at the end of 2015.

７．Service sectors becoming important in overseas

expansion.

８．Increasingly attractive “critical mass” markets and

business expansion through alliances.

９．Revitalization of regional economies through invest-

ment in Japan, exports of agricultural and fishery prod-

ucts and inbound tourism.

1０． Globalization of management through diversity.

JETRO CanadaJETRO CanadaJETRO Canada

JETRO Toronto

120 Adelaide St. West, Suite 916

Toronto, ON, M5H 1T1

Phone: (416) 861-0000

E-mail: Inquiry@jetro.go.jp

JETRO Vancouver

Oceanic Plaza,

1066 West Hastings Street, Suite 2000

Vancouver, BC, V6E 3X2

Phone: (604) 684-4174

E-mail: office@JetroVancouver.org

www.jetro.go.jp/canada/

JETRO Organizes Pavilion at JETRO Organizes Pavilion at JETRO Organizes Pavilion at

BC LNG Trade Show BC LNG Trade Show BC LNG Trade Show

IHI E&C International Corporation IHI E&C International Corporation IHI E&C International Corporation

Houston-based EPC company delivering projects in a variety of

industries, including Gas Processing and Liquefied Natural Gas

(LNG), Petrochemicals, Chemicals and Polymers, Synthesis Gas

and Derivatives, and Refining. Subsidiary of IHI Corporation.

www.ihi-ec.com

Iino Kaiun Kaisha, Ltd. Iino Kaiun Kaisha, Ltd. Iino Kaiun Kaisha, Ltd.

Independent owner / operator of various vessels, with a total

operating fleet of 133 (including period chartered vessels) con-

sisting of 60 Gas Carriers (including equity shareholding), 3 Oil /

Product Tankers, 45 Chemical Tankers and 25 Dry bulkers.

www.iino.co.jp

Inpex Corporation Inpex Corporation Inpex Corporation

International oil and gas exploration and production company

with projects in Australia, Indonesia and others in Asia-Pacific.

In Canada, INPEX owns shale gas assets in British Columbia

through its subsidiary INPEX Gas British Columbia Ltd.

www.inpex.co.jp/english/

Japan Petroleum Exploration (JAPEX) Japan Petroleum Exploration (JAPEX) Japan Petroleum Exploration (JAPEX)

Engaged in oil and natural gas exploration and production (E&P)

activities both in Japan and overseas. JAPEX has acquired 10%

interest in the shale gas mineral license in the North Montney

area and planned Pacific Northwest LNG Project.

www.japex.co.jp/english/index.html

JGC Corporation JGC Corporation JGC Corporation

At the EPC stage of LNG Facilities, JGC is the world leader,

having designed and constructed nearly 40% of the world’s

current total LNG production volume. It is the pioneer in

modularization and an expert in extreme weather conditions.

www.jgc.com

Kawasaki Heavy Industries, Ltd. Kawasaki Heavy Industries, Ltd. Kawasaki Heavy Industries, Ltd.

Kawasaki Heavy Industries (KHI) has its own capabilities to

manufacture LNG Carriers as well as LNG Storage tanks with

highly reliable construction performance.

www.khi.co.jp

Mayekawa Canada Inc. Mayekawa Canada Inc. Mayekawa Canada Inc.

For 40 years in Canada's gas compression scene, Mayekawa's

"MYCOM" brand compressors have been widely used at gas

plants and gas gathering sites in Western Canada.

www.mayekawa.ca

Toshiba MitsubishiToshiba MitsubishiToshiba Mitsubishi---Electric Electric Electric

Toshiba Mitsubishi-Electric Industrial Systems Corporation

(TMEIC) is the leading application expert for high performance

motor and drive systems and services, combining strong global

capabilities with a flexible customer-centric business approach.

www.tmeic.com/North%20America

Chiyoda CorporationChiyoda CorporationChiyoda Corporation

Engineering, Procurement and Construction for gas processing,

refineries and other industrial plant projects. Chiyoda is a leading

contractor for LNG plants, accounting for constructing over 40

percent of the world's total LNG production capacity.

www.chiyoda-corp.com

Elliott GroupElliott GroupElliott Group

Manufactures centrifugal and axial compressors, steam turbines,

steam turbine generators and power recovery expanders for the

full spectrum of oil & gas, refining, LNG, petrochemical, and

other process and power applications. Owned by Ebara Corp.

www.elliott-turbo.com

On Oct.14-16, 2015 at the Vancouver Convention Centre, JETRO

is organizing a Japan pavilion of 11 Japanese companies, at the

Third Annual International LNG in BC Conference. With an

extensive track record in the LNG industry throughout the world,

the exhibiting Japanese companies are looking to showcase their

technology and services in support of BC’s emerging LNG sector.

For more information: www.lngconference.ca www.jetro.go.jp/canada/events/current.html

JOGMECJOGMECJOGMEC

Japan Oil, Gas and Metals National Corporation is in charge of

securing a stable supply of oil and natural gas for Japan as well as

ensuring a stable supply of nonferrous metal and mineral

resources and implementing mine pollution control measures.

www.jogmec.go.jp/english/index.html

Events & ProgrammesEvents & ProgrammesEvents & Programmes

New York Invest Japan SeminarNew York Invest Japan SeminarNew York Invest Japan Seminar

On Sept. 28, 2015 (9-11 am), JETRO

New York will host an Invest Japan

Seminar at The New York Athletic

Club followed by a lunch reception.

Speakers include the head of JPMorgan

Chase, high-level Japanese government

officials, Japanese Prefectural Gover-

nors and Mayors and a leading US

industrial firm. Topics include:

- business strategy & perspectives

- attractiveness and business environ-

ment of local regions in Japan

- governance and policy changes hap-

pening in Japan

- JETRO success case studies

For more information:

www.jetro.go.jp/usa/investinjapan/_371739.html

Saskatchewan Seminar Saskatchewan Seminar Saskatchewan Seminar

On Sept. 15, 2015 (10-11:45 am), we

will hold a seminar at JETRO Toron-

to’s office on Saskatchewan for Japa-

nese companies.

For more information:

www.jetro.go.jp/canada/events/current.html

www.jetro.go.jp/ext_images/canada/pdf/

saskseminarflyer.pdf

Alberta Seminar Alberta Seminar Alberta Seminar

On Oct. 27, 2015 (am), we will hold a

seminar at JETRO Toronto’s office on

Alberta for Japanese companies.

Updates will be posted later at:

www.jetro.go.jp/canada/events/current.html

JETRO at Stem Cell EventJETRO at Stem Cell EventJETRO at Stem Cell Event

On Oct. 26-28, JETRO will have a

booth at the 2015 Till & McCulloch

Meetings at the Sheraton Centre Hotel,

downtown Toronto. Till & McCulloch

is Canada’s premier stem cell research

event. Feel free to drop by to say hello

and learn more about the regenerative

medicine market in Japan and the event

we are planning for early 2016 .

For more information:

www.cvent.com/events/2015-till-mcculloch-

meetings/custom-115-

fb93751af7d24360a6fc6499246b3eff.aspx

HK Powertech, Korea

In September 2014, Korea-based HK Power-

tech Co. Ltd. began operation of a 1MW

solar power plant in Okayama Prefecture

selling power to Chugoku Electric Power

Company. Established a subsidiary in Japan

in January 2013, HK Powertech chose Oka-

yama because its abundance of sunlight

hours and low risk of natural disasters.

www.jetro.go.jp/en/invest/newsroom/

businesses/2015/20150217035.html

Revision of Consumption Taxation on Revision of Consumption Taxation on Revision of Consumption Taxation on

CrossCrossCross---Border Supplies of Services Border Supplies of Services Border Supplies of Services

From October 2015

onwards, the govern-

ment of Japan will

extend the coverage

of consumption tax

to cross-border sup-

plies of electronic

commerce by for-

eign businesses,

such as the provision

of digital books, music and advertisements, in order to ensure competitive equality between

domestic and foreign businesses. In particular, a foreign business who provides B2C

electronic services to Japanese residents shall account for Japan Consumption Tax. For fur-

ther details, please see Ministry of Finance and National Tax Agency links below.

For more information:

www.jetro.go.jp/en/invest/newsroom/2015/17c8e32ff29519f2.html www.mof.go.jp/english/tax_policy/tax_reform/fy2015/tax2015ct.htm

www.nta.go.jp/foreign_language/consumption_tax/04.htm

Subsidy Programme in the Areas Recovering Subsidy Programme in the Areas Recovering Subsidy Programme in the Areas Recovering

from Tsunami and Nuclear Disasterfrom Tsunami and Nuclear Disasterfrom Tsunami and Nuclear Disaster

On Aug. 12, 2015, the Ministry of Economy, Trade and Industry (METI) announced the start

of the 5th Subsidy Programme for New Business Establishment in the Areas Recovering

from Tsunami and Nuclear Disaster towards Employment Creation.

This subsidy programme aims to accelerate industrial reconstruction by facilitating the estab-

lishment of new factories, distribution facilities, experiment and research facilities, call / data

centers, etc in the areas of northern Japan that were inundated by the tsunami on March 11,

2013 and where the evacuation order has been lifted in Fukushima.

For eligible projects, and depending on the area and size of the company, the programme

will subsidize potentially up to 3/4 the cost of land acquisition, land development, building

acquisition and equipment at facilities eligible for subsidy. The deadline for application is

noon on Sept. 30, 2015.

For more information and to download the presentation: www.jetro.go.jp/en/invest/incentive_programs.html#tsunami

(Minitry of Finance)

Cooori, Iceland

Cooori, an Icelandic language learning soft-

ware developer and distributer establishes its

Japanese arm in March 2015. Using software

built on specially designed Artificial Intelli-

gence, it will focus on the TOEIC market

before venturing off into other areas and

plans to offer language learning solutions for

over 10 different languages by 2020.

www.jetro.go.jp/en/invest/

newsroom/2015/4e3ed0c6377167b8.html

Success StoriesSuccess StoriesSuccess Stories