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Japanese see disaster as opportunity for broad change (Los Angeles Times, 11.4.2011)

Japan had been floundering from two decades of economic malaise, political gridlock and social woes. Many hope the catastrophe will be a catalyst that will turn around the nation and spur a rebirth. One by one, members of Japan's heartthrob pop band SMAP make their pitch: "You are not alone," says one. "Let's help each other," beckons another. Then comes the final exhortation from celebrity Tortoise Matsumoto: "Believe in Japan's strength!" Such public service ads that fill Japan's TV airwaves today are meant to buck up an anxious nation in the aftermath of the worst disaster since World War II. But the campaign reflects a deeper desire on the part of many in this still-wounded land: to propel Japan back not just to what it was, but something better and different. Before the March 11 earthquake and tsunami, Japan had been floundering from two decades of economic malaise, political gridlock and such entrenched social problems as a shrinking population and dispirited youths. Now, many hope the catastrophe will be a catalyst that will turn around the nation and give it a rebirth. This is an opportunity "to change our thinking, our civilization," said Akira Wada, a professor at the Tokyo Institute of Technology. The shape of the public debate over rebuilding is turning out to be much broader than restoring broken roads and compensating victims in Japan's stricken northeast. It's encompassing a wide range of national policies, such as immigration and the country's electricity use, that probably will determine the growth path for decades to come. Many want to believe that Japan can emerge from the rubble stronger, as it did after the great 1923 earthquake and the devastation of World War II. But in interviews with young and old, businessman and homemaker, bureaucrat and educator, many expressed lingering doubts about whether the country could pull together and overcome such deep-seated problems as weak leadership and Japan's huge public debt. Naoto Kan, Japan's fifth prime minister since 2007, and his government have faced sharp criticism from the public for the slow response to aid victims and their handling of the still-unresolved nuclear power station crisis in Fukushima.

Toyota, Microsoft plan IT alliance (Japan Times, 7.4.2011)

Toyota Motor Corp. and Microsoft Corp. plan to form an information technology alliance under which they will cooperate in developing infrastructure for the diffusion of environmentally friendly vehicles, industry sources said Wednesday. Toyota President Akio Toyoda and Microsoft Chief Executive Officer Steve Ballmer will hold a news conference Thursday morning to announce the alliance, they said. The news conference will be broadcast online. The infrastructure is expected to include a next-generation electricity distribution system called a "smart grid" to improve energy efficiency through measures such as battery storage of electricity generated by solar and wind power, the sources said. If the batteries in plug-in hybrids that Toyota plans to release in early 2012 are compatible with those for home use, it could contribute to the spread of the smart grid system and help conserve energy, they said. The companies may also consider taking advantage of Microsoft technology to allow mobile phones to be used for checking electricity left in batteries for plug-in hybrids and for operating home appliances, they said. Microsoft software may be used for information systems in Toyota cars to allow for easy access to traffic jam and other data.

U.S. factories pick up work from Japan (CNN, 6.4.2011)

The disaster in Japan caused a number of disruptions in Japanese manufacturing after shuttered plants halted production. But some U.S. factories are stepping in to pick up the slack. Japanese automaker Nissan announced last week that it will start shipping engine components from its plant in Decherd, TN, to assembly lines in Japan, the first time the company has exported parts from North America back to Japan. The parts, cylinder blocks, cylinder heads and crankshafts, will replace those normally manufactured at Nissan's engine plant in Iwaki, Japan, about an hour from the crippled nuclear power plant. That plant, which was damaged last month, has yet to resume even partial operation and it could be months before it returns to normal operations. Computer chips are another product likely to be affected by shutdowns in Japan. For example, Texas Instruments said that factories it operates in Dallas and Richardson, Texas, as well as in Freising, Germany will see additional production for much of this year to fill the about 80% gap caused by problems at its Miho, Japan, plant. That plant, which before the quake produced about 10 percent of TI's output as measured by revenue, will not resume any production until mid-April, with a target to reach full production in mid-July. Full shipmen capability won't be reached until September. Len Jelinek, chief analyst with IHS iSupply, said the process of restarting chip plants will be a slow one due to the sensitive equipment required. "The worst case would be 12 months [for Japanese chip plants] to return to normal," he said. And Jelinek said that a number of Japanese companies are also likely to shift production overseas while they work to get chip-fabricating factories back online. But most of the shift in production will likely be short-term, once the damaged plants are repaired, according to Jelinek. "Japanese companies favor purchasing from other Japanese companies," he said. "As soon as the facilities are up and operational, every opportunity will be made to bolster the economy by using the Japanese product."

Sushi exports from Japan canceled on concern over radiation contamination (Bloomberg, 30.3.2011)

Exports of Japanese seafood have been canceled by foreign buyers on concern that the products may have been contaminated by radiation leaking from the crippled Fukushima nuclear plant, a government official said. At least 10 orders have been withdrawn since the March 11 earthquake and tsunami damaged the power station, Hiromi Isa, trade office director at Japan’s Fisheries Agency, said in an interview in Tokyo yesterday. The cancellations were made even as the government assured the food’s safety, Isa said. Sushi restaurants and hotels, including Shangri-La Asia’s luxury chain, dropped Japanese seafood from their menus because of radiation fears. Global fishing companies such as Hong Kong’s Pacific Andes International Holdings Ltd. could benefit from increased demand to replace Japanese produce. Japan exported 565,295 metric tons of fish and other marine products worth 195 billion yen ($2.41 billion) last year. “We’ve heard from Japanese exporting companies that fish purchases have been canceled and buyers have been asking for discounts,” Isa said. He declined to identify companies and countries involved, or the size of the withdrawn orders. Radioactive iodine in seawater near the stricken plant climbed yesterday to 3,355 times the allowable limit, Japan’s nuclear safety agency said today. Nations from Australia to the U.S. have limited Japanese food imports after elevated radiation levels were found outside an evacuation radius around the Fukushima plant. Singapore banned seafood imports from Fukushima, Ibaraki, Tochigi and Gunma while allowing shipments from other Japanese prefectures. “Our test results showed no fish were contaminated by higher-than-acceptable levels of radioactivity,” Isa said. “We can issue certificates for the origin of fish if required by overseas governments as a condition for imports.”

Toyota, Honda assembly lines face long stretch in idle (Japan Times, 24.3.2011)

Toyota Motor Corp. and Honda Motor Co. have said they plan to defer resumption of car assembly amid ongoing difficulties in parts supply following the tsunami devastation in the Tohoku region triggered by the March 11 mega-earthquake. Vehicle output could be in for a lengthy suspension, as the two major automakers currently have no prospects of resuming production. Toyota, the world's biggest carmaker, earlier said it would suspend car assembly until Tuesday but then decided to delay resumption until Saturday. It will not operate plants to assemble vehicles Sunday. The automaker will halt its car assembly for 11 operating days, surpassing the 3 1/2-day suspension that followed a powerful earthquake in Niigata Prefecture in July 2007. As the output suspension period reaches a record for Toyota, it won't be able to produce about 140,000 units. Toyota restarted making parts last Thursday but said it hasn't decided when it will resume finished car output at plants of its Daihatsu Motor Co. and Hino Motors Ltd. units. Honda said it had earlier decided to suspend operations at its three car assembly plants in Saitama, Mie and Kumamoto prefectures until Wednesday but is now planning to continue the shutdown until Sunday. Regarding production next Monday and later, the automaker said it will make a decision by monitoring developments in restructuring efforts and parts supply.

Disaster could cost Japan $235 billion: WBank (AFP, 21.3.2011)

Japan's massive earthquake and tsunami could cost its economy up to $235 billion, or 4.0 percent of output, and reconstruction may take five years, the World Bank said Monday. "If history is any guide, real GDP growth will be negatively affected through mid-2011," the World Bank said in its latest East Asia and Pacific Economic Update report. But growth should pick up in subsequent quarters "as reconstruction efforts, which could last five years, accelerate", it added. The lower end of the World Bank's estimate of the twin disasters' impact was $122 billion, equivalent to 2.5 percent of gross domestic product (GDP). Since the natural disasters struck on March 11, Japan has also had to grapple with a nuclear power plant crisis in Fukushima, but the World Bank did not mention the atomic issue in its assessment of the economic damage. Japanese financial markets were closed Monday. On Friday, Japan and its fellow G7 rich nations vowed to intervene in currency markets to stem the yen's rise and support Japan's economy. The dollar immediately strengthened after the move and was trading at 80.90 yen in morning Asian trade Monday, up from 80.59 in New York on Friday. Japan's GDP grew 3.9 percent in 2010, when it was overtaken by China as the world's second-biggest economy. But Japan has been mired in a malaise for years, since a property bubble imploded in the early 1990s. Vikram Nehru, the World Bank's chief regional economist, said the Japan disasters would affect the rest of Asia but it was too early to give estimates of the cost to the region. "In the immediate future, the biggest impact will be in terms of trade and finance," he told reporters in Singapore. The World Bank noted that after the 1995 Kobe earthquake, Japan's trade slowed only for a few quarters, with imports recovering fully within a year and exports rebounding to 85 percent of pre-quake levels in the same period. "But this time around, disruption to production networks, especially in automotive and electronics industries, could continue to pose problems (beyond one year)," the report added.

Japan big business braces for economic aftershocks (The National, 14.3.2011)

Much of corporate Japan will remain closed this week amid damage assessments from Friday's earthquake and tsunami that will have far reaching consequences for global trade. The world's third largest economy has been ground down to a virtual standstill from the quake, and economic aftershocks are expected for the world's automobiles, electronics, oil and gas, insurance, aviation, shipping and nuclear industries. Auto makers Toyota, Nissan and Honda suspended operations at 10 factories while Sony, the electronics giant, has temporarily shuttered six production facilities, although only one sustained major damage. The weight of the economic fallout is leading to dire predictions for the Japanese economy. "The Nikkei can drop about 20 percent from a recent high of around 10,900," said Masaru Hamasaki, senior strategist at Toyota Asset Management. The country's massive export machine should be able to eventually resurrect itself as few major industries are clustered in the country's northwest, where the damage occurred. Nonetheless, a grim picture is unfolding. A fifth of the country's nuclear energy capability is down, and major oil refineries have been knocked out of action. Significant imports of liquified natural gas will be critical to bridge the gap. In addition, the area of the country most directly affected by the quake has about US$300 billion of insured property, according to disaster-modeling company AIR Worldwide.

Sony to reorganize key businesses (AP, 10.3.2011)

Sony Corp. said Thursday it will reorganize its main electronics businesses and promote the star of its gaming operations to lead a new consumer products division. The massive new consumer group will be led by Kazuo Hirai, a rising executive who has overseen a recovery in Sony's video game business. The move likely sets the stage for him to one day take over for current CEO Howard Stringer. The board will be watching Hirai's performance, Stringer said. But he denied he was stepping down any time soon to make way for a new chief executive. "We haven't made up our mind on who our next president or CEO will be," he told reporters at Tokyo headquarters, while praising Hirai as loyal and charming. The iconic company said it will combine the vast array of products that have made it famous with consumers — including TVs, video games, PCs and mobile phones — into the group. A second main division will be formed with the company's digital components and business-facing products. Tokyo-based Sony remains a household brand name, but has lost much of the glow from years past, when products like its Walkman portable music players transformed the electronics industry. It is currently struggling against flashier rivals like Apple Inc. and behemoth competitors like Korea's Samsung Electronics Co. Profits have grown in the gaming division under Hirai, with its core PlayStation 3 home console expected to sell 15 million units for the year through March, up from 13 million the previous year.

Kodansha International to close doors (Japan Times, 4.3.2011)

Kodansha International Ltd., a leading English-language publisher of translated books on Japan, is closing down by the end of April, sources said Thursday. Contacted by The Japan Times, company President Koji Hirota confirmed that the company was folding but declined to give details, saying it was the decision of the parent company, Kodansha Ltd. The head of PR for Kodansha Ltd., one of the largest publishing firms in Japan, was unavailable to comment Thursday. However, the decision follows the company's announcement of key changes in its business operations for overseas markets. At a Feb. 23 press conference, incoming President Yoshinobu Noma said he would focus on digital publishing and overseas markets. To that end, he announced that Kodansha and Dai Nippon Printing had acquired Vertical Inc., a New York-based publisher of contemporary Japanese books, mainly popular and graphic novels. Noma, 42, currently senior executive vice president, will be promoted to replace his mother, Sawako, 67, by mid-April.

Japan wants new CO2 offset scheme to complement U.N. (Reuters, 2.3.2011)

Japan's idea for a new carbon offset scheme would complement an existing U.N. mechanism and make it easier for developing countries to access clean-energy technology from Japan, a senior climate envoy said on Wednesday. Japan has pressed ahead with plans for bilateral deals in which it invests in clean energy projects in developing countries, in exchange for credits to meet part of targets to reduce greenhouse gas emissions at home. The United Nations also runs a carbon offset scheme called the Clean Development Mechanism (CDM), but it has been criticised for being too complex and rigid while taking too long to approve projects. Many developing countries have already expressed interest in Japan's proposed bilateral scheme, which would be more user-friendly than the CDM, said Kenji Hiramatsu, director-general for global issues at Japan's foreign ministry.

Japan to offer subsidies for rare earths (AFP, 26.2.2011)

Japan said Friday it would offer around 42 billion yen ($513 million) in subsidies designed to slash the nation's reliance on Chinese rare-earth minerals by a third. The ministry of economy, trade and industry will channel 33.1 billion yen into 160 private sector projects, while an additional 8.9 billion yen will be disbursed to other projects later this year, ministry officials said. The recipients of the subsidies will use them to cover part of their investment in developing technologies to reduce rare-earth use, recycle the precious metals and develop alternative resources. "In the mid- and long-term, we expect a reduction of its use by 10,000 tons a year, compared with 30,000 tons in present demand at home," the ministry said in a statement. The subsidies are expected to encourage other private sector firms to follow suit, leading to a total of 110 billion yen in capacity investment, the ministry said. China produces more than 95 percent of the world's rare earths, which are critical to manufacturing anything from iPods and missiles to low-emission cars and wind turbines. Beijing has moved to tighten controls over the elements by cracking down on heavily polluting producers, cutting quotas for overseas shipments and hiking export taxes.

Steel merger to save ¥100 billion in costs: analysts (Bloomberg, 25.2.2011)

Nippon Steel Corp. and Sumitomo Metal Industries Ltd.'s deal to create the world's No. 2 steelmaker may shave as much as ¥100 billion off costs as the companies consolidate operations, according to analysts. "The integration will create an added cost savings of ¥100 billion over the next three years," said Toshiyuki Johno, a Tokyo-based analyst at Citigroup Inc, adding it may generate ¥2,000 for every metric ton of crude steel produced, based on estimated combined annual output of about 50 million tons. The deal, which will combine Japan's largest and third-biggest mills, is aimed at gaining leverage over raw material purchasing and prices as costs soar. The likely cost savings compare with about ¥1,600 per ton of steel created from Mittal's takeover of Arcelor in 2006 to create ArcelorMittal, Nomura Securities Co. said. The savings from combining production, cutting costs, unifying procurement and expanding sales will be between ¥75 billion to ¥100 billion, said Yuji Matsumoto, an analyst at Nomura.

Moody's lowers Japan rating outlook to 'negative' (AFP, 21.22011)

Ratings agency Moody's on Tuesday lowered its outlook on Japan's sovereign debt to "negative", voicing doubt its leaders will manage to contain the industrialised world's biggest debt. The move will put further pressure on Japan's centre-left Prime Minister Naoto Kan, in power less than a year, with legislative gridlock in parliament threatening his reform agenda and imperilling his leadership. Last month rival ratings agency Standard & Poor's cut Japan's credit rating for the first time since 2002, accusing the government of lacking a "coherent" strategy to ease its mountainous debts. Moody's previously held a "stable" outlook on Japan's "Aa2" rating, the third highest on a scale of 19, and analysts said the outlook change would probably lead to a downgrade. "The rating action was prompted by heightened concern that economic and fiscal policies may not prove strong enough to achieve the government's deficit reduction target and contain the inexorable rise in debt, which already is well above levels in other advanced economies," Moody's said. Japan has the industrialised world's biggest debt, at around 200 percent of GDP, after years of pump-priming measures by governments trying in vain to arrest the economy's long decline.

Fast-rail funds not Florida governor's cup of tea (Japan Times, 18.2.2011)

Florida Gov. Rick Scott said Wednesday he will reject federal money for a high-speed rail project, likely sinking Japan's chance of selling shinkansen technology to the state. The expected cancellation of Florida's railway plan is not only a blow to the Barack Obama administration but also to Central Japan Railway Co. (JR Tokai), which had planned to bid for the project, as well as to Japanese transport officials with high hopes of exporting shinkansen technology. The announcement by the fiscally conservative governor came after Foreign Minister Seiji Maehara swung by Florida last month to pitch the bullet-train system to Scott. His state's high-speed project had been going forward at the fastest pace in the U.S. "We are extremely disappointed because we have steadily proceeded with preparations to bid for this project," JR Tokai said in a statement. JR Tokai operates the key shinkansen service linking Tokyo and Osaka.

Japan, India sign free trade pact (AFP, 16.2.2011)

Japan and India signed a free trade pact Wednesday under which the high-tech nation and the South Asian giant pledged to scrap tariffs on 94 percent of goods within a decade. Japan's Foreign Minister Seiji Maehara and Indian Commerce Minister Anand Sharma signed the deal in Tokyo, hoping it will boost two-way trade which totalled 900 billion yen ($10.7 billion) in 2009 -- less than one percent of Japan's total foreign trade. The trade and investment agreement, approved in principle by both countries' leaders last year, aims to open new markets for Japan as its population ages and shrinks, and to fuel the rapid growth of emerging power India.

No electronic defects in Toyotas: U.S. (Japan Times, 10.2.2011)

Electronic flaws weren't to blame for the reports of sudden, unintended acceleration that led to the recall of thousands of Toyota vehicles, the U.S. government said Tuesday. Some of the acceleration cases could have been caused by mechanical defects — sticking accelerator pedals and gas pedals that can become trapped in floor mats — that have been dealt with in recalls, the government said. And in some cases, investigators suggested, drivers simply hit the gas when they meant to press the brake. "We feel that Toyota vehicles are safe to drive," declared Transportation Secretary Ray LaHood. The investigation bolstered Toyota's contentions that electronic gremlins were not to blame and its series of recalls — involving more than 12 million vehicles globally since fall 2009 — had directly addressed the safety concerns. Transportation officials, assisted by engineers with NASA, said the 10-month study of Toyota vehicles concluded there was no electronic cause of unintended high-speed acceleration. The study, launched at the request of Congress, responded to consumer complaints that flawed electronics could be the culprit behind complaints that led to Toyota's spate of recalls.

Team improves solar cell creation process (Yomiuri, 9.2.2011)

A team of researchers has succeeded in producing solar power generation cells by heating glass plates coated with liquid silicon, a significant improvement over conventional methods. The Japan Advanced Institute of Science and Technology team, headed by Prof. Tatsuya Shimoda, announced the achievement Monday. The new method makes it possible to produce solar cells at a much lower cost than conventional means. It also can be used to create multilayer solar cells, which were previously difficult to produce. Shimoda said the new method makes it theoretically possible to significantly improve solar cell performance. The team hopes to put the method into practical use in about five years. The team eventually succeeded in producing a solar cell with three silicon layers, each with different characteristics, by mixing boron and other materials with polysilane. While the new cells can only generate about 20 percent the power of conventional models, the team said it was possible to increase cell performance using higher precision silicon layers.

7-Eleven Experiments With Eco-Friendly Stores (New York Times, 31.1.2011)

At the 7-Eleven across from the Shusse Inari shrine here, the glare of fluorescent light bulbs that is synonymous with convenience stores has been replaced by the soft glow of light-emitting diodes, or LEDs, that consume half the energy and last much longer. The store, which opened a year ago here in the birthplace of the Kyoto Protocol, is the prototype of the latest eco-friendly 7-Eleven, one of 100 that will be open in Japan by the end of February. An ambitious green project calls for the company to build 100 more such stores in the country this year and to convert another 100 existing outlets into "eco-konbinis" - the Japanese term for convenience store - powered by solar energy and equipped with electric-vehicle chargers.

Suzuki taking 'cost-effective' Maruti models to Japan (Economic Times, 27.1.2011)

Twenty six years after launching its cars in the Indian market teeming with potential middle class consumers, automobile maker Suzuki MotorCorp is taking cost-effective car models conceived by its Indian subsidiary Maruti to its home market Japan. Maruti's A-Star will be the first to hit the Japanese market where even Korean auto giant Hyundai Motors retracted as severe competition had jeopardised its growth plans. "The way Maruti cars are capturing global market, Japan is not far away. A-Star meets stiff emission norms of Europe and is a fit case to be marketed in a highly developed market like Japan, where every global car maker has to sweat to sell cars," said Maruti Suzuki Managing Director Nakanishi. Though it was launched only twenty months ago, Maruti's A-Star hatchback forms 25% of the total eight lakh cars it exports. Maruti is developing a host of contemporary models for the future. Some of these would be small cars.

Startup in hunt for lighter EV (Japan Times, 27.1.2011)

SIM-Drive Corp., a Kawasaki-based industrial-academic startup firm, announced Wednesday it has launched a project to develop a new electric vehicle model with a much-lighter body made of chemical materials, which the firm says can drive longer on a single charge. The project is aimed at developing a prototype within a year for license to manufacturers. It is the latest move in the fierce race to develop affordable electric vehicles. SIM-Drive was formed in 2009 by Hiroshi Shimizu, a Keio University engineering professor, and several businessmen, including Soichiro Fukutake, chairman of education firm Benesse Holdings Inc. and Kenichi Hatori, chairman of used car firm Gulliver International Co. The firm will be cooperating with 34 other companies, including several chemical firms, such as Toray Industries Inc. and Du Pont. They also include taxi service Tokyo MK Corp. The vehicle runs with electric motors built within wheels, which the firm says can transfer power more efficiently than conventional EV systems and create more interior space.

Groupon Learns Japan Ropes (Wall Street Journal, 18.1.2011)

Doing business in Japan can be a, well, tricky business. Just ask Andrew Mason, CEO of exponentially expanding online discount specialist Groupon, who ended up posting a personal apology video to customers here on YouTube (in English, with Japanese subtitles) after a flub in orders for Japan’s prized traditional new year’s meal. Andrew Mason, CEO and founder of Groupon, apologized to Japanese customers for a New Year’s deal gone wrong that highlighted the difficulties the company faces in managing its global expansion. “We featured a deal in Tokyo recently that we really messed up,” said Mr. Mason, who goes on to explain how the overflow of orders hamstrung the restaurant that offered the initial deal to successfully fill the orders, “delivering the food late to many of our customers and in terrible condition to others…So what I really want to say is how terribly sorry I am and everyone at Groupon is. We know how important the New Year’s holiday is in Japan.”

Toyota developing alternative electric motor (Mainichi, 18.1.2011)

Toyota Motor Corp., maker of the popular Prius hybrid car, is developing a new type of electric motor to cut its dependence on rare earth metals and lower costs, a company spokesman said Monday. The new technology will help free the world's No. 1 automaker from relying on China, which produces 97 percent of the global output of rare earths needed for many high-tech products, including the current generation of hybrid gasoline-electric motors. Beijing sent shock waves through Japan's high-tech sector late last year when it blocked exports of the exotic metals after a diplomatic spat, and prices have soared as China gradually tightens its output.

Osaka Station to be rebuilt into 'eco-station' that uses recycled rainwater, solar panels (Mainichi, 16.1.2011)

As part of large-scale remodeling work on JR Osaka Station scheduled for completion in April, JR West is giving the station a green makeover, making it into an "eco-station" that will use rain runoff and solar panels. Rainwater from the new 180- by 100-meter dome-like roof, as well as wastewater from restaurants and other facilities that will be in the 31-story "North Gate Building" under construction on the north side of the station will be collected and filtered in a water tank capable of holding about 10,000 metric tons. The filtered water will cover around 90 percent of the toilet water used in the station and North Gate Building. The recycled water will also be used in a rooftop garden on top of the 14th floor, where fruit and vegetables will be grown. JR West intends to lend out parts of the garden for use by citizens, and restaurants in the station building will use a portion of the vegetables and fruits harvested in the garden.

Stalled amid Chinese traffic / Japanese automakers losing ground in world's biggest market (Yomiuri, 12.1.2011)

Japanese carmakers are in a tough fight for shares of the skyrocketing Chinese auto market--where sales topped 18 million in 2010 and red-hot growth is expected to continue. Japanese firms face two major disadvantages: their relatively high prices and a scarcity of models on the Chinese market. While Japan's carmakers have plans to go on the offensive by expanding variety in the world's biggest auto market, competition in China is fierce, with all of the world's major automakers hustling to increase sales. The nation's best seller is the M1, a 1,000cc to 1,300cc compact from domestic maker Chery Automobile Co. that goes for 30,000 yuan to 40,000 yuan (about 380,000 yen to 500,000 yen). According to the Chinese Association of Automobile Manufacturers, top-selling cars in the nation are those with engine capacities less than 1,600cc and priced at about 50,000 yuan. Light commercial vehicles, called "bread vans" due to their loaf-like appearance, are especially popular in farming districts.

Trading giants seek edge in energy (Yomiuri, 10.1.2011)

The decision by Mitsui & Co. and Mitsubishi Corp. to consider joining Russia's largest-ever liquified natural gas project comes amid an increasingly fierce global scramble for energy resources. The two major trading companies say they would be able to secure a competitive edge in the energy market by taking part in the project to develop gas fields on the Yamal Peninsula in northwestern Siberia. Given that the Arctic is believed to hold about 30 percent of the world's untapped natural gas reserves, participation by the two Japanese firms in the project would be very significant, according to analysts. Participation in the megaproject led by Russian Prime Minister Vladimir Putin--though accompanied by technical difficulties in developing gas fields in an extremely severe climate and political risks involving the Kremlin--also would help strengthen Japan's ties with Russia, one of the world's most resource-rich countries, the analysts said.

Hitachi LCD biz to be run by Foxconn (Japan Times, 28.12.2010)

Hitachi Ltd. is negotiating with Taiwan's Hon Hai Precision Industry Co., the world's largest contract electronics maker, to pick up its controlling stake in a liquid crystal display unit, sources said Monday. The Taiwanese manufacturer, widely known as Foxconn, will likely invest around ¥100 billion in Hitachi Displays Ltd., now owned 75.1 percent by Hitachi with the remainder held by Canon Inc. Hon Hai is expected to take a majority stake in Hitachi Displays by acquiring new shares to be issued by the Hitachi subsidiary. Hitachi Displays is expected to use the proceeds to establish a new plant in Chiba Prefecture. Hitachi apparently wants to rid itself of unprofitable operations to focus on its infrastructure business. Hon Hai will probably tap Hitachi's knowhow in LCD panels to lower production costs for displays used in smart phones, the sources added.

E-commerce in Asia: Japanese online retail sector most sophisticated, China to grow fastest (The Independent, 20.12.2010)

Online retail represents the next major area for retail growth in Asia, according to a new study by the Economist Intelligence Unit and PriceWaterHouseCoopers China that was released to the press on December 13. Among the major findings is that Japan's online commerce sector is regarded as the most advanced and sophisticated of its Asian peers. Additionally, China's e-commerce sector is predicted to experience the fastest growth while Hong Kong is expected to have the slowest growth. In Japan, e-commerce lags behind the West, but the Japanese are still in front of most of their Asian peers. E-commerce revenue sales there have increased steadily by about 17 percent every year since 2005 and are expected to grow by 10 percent annually through 2015. Online retailing giant Ratuken dominates the sector, with two thirds of Japan's 90 million Internet users purchasing merchandise through the site.

Japan Says ‘Ni Hao’ as Brands Trump Chinese Diplomacy (Bloomberg, 16.12.2010)

Japanese companies, largely overlooked in China’s five-year, $182 billion overseas acquisition spree, are set to become targets as falling valuations increase the allure of brands and technology. China’s stock market capitalization swelled about seven times since 2005 to $3.8 trillion, almost closing the gap with Japan, and its economy is set to overtake Japan’s as the world’s second largest this year. While Chinese companies have been buoyed by rising valuations and cash piles, Japan’s benchmark Nikkei 225 Average fell by a third in the past five years as confidence in its economic policies waned.

Nissan, Mitsubishi to expand business tieup (Mainichi, 15.12.2010)

Nissan Motor Co. and its smaller rival Mitsubishi Motors Corp. have agreed to expand the scope of their global business collaboration, including a possible mini car joint venture for the domestic market. Under the agreement that the two Japanese automakers reached Tuesday, Nissan will make a small van to be sold under the Mitsubishi brand for the Japanese market, while Mitsubishi will make an SUV sold under the Nissan brand in the Mideast.

Toyota yet to outrun recall crisis, say analysts (AFP, 13.12.2010)

After a year in which Toyota's worst crisis saw the recall of millions of vehicles, a wave of lawsuits and a record fine, the troubles of the world's largest automaker are far from over, say analysts. Sales are sliding in the United States, the market worst-hit by the recalls, as Toyota faces a battle to regain consumer trust and market share despite efforts to tighten quality control. "Before the crisis, Toyota was by far the strongest auto company globally. Now the gap has narrowed," said Tatsuya Mizuno, an auto industry analyst with Mizuno Credit Advisory. "Toyota is weaker now than before, because of the impact of the recalls on brand image, reputation and profitability". In 2008 Toyota ended General Motors' 77-year reign as the world's largest automaker but the road has been a bumpy one for the Japanese giant, facing the impact of the economic crisis, recalls and recently a strong yen. Previously lauded for its vehicles' safety and reliability, a US recall of around four million vehicles in late 2009 swelled to nearly nine million units by February over brake and accelerator defects blamed for dozens of deaths.

Overseas projects get push / JBIC to help Japanese firms get infrastructure projects abroad (Yomiuri, 9.12.2010)

The government's decision to spin off the Japan Bank for International Cooperation from the Japan Finance Corporation comes from concern that Japan's economy cannot grow further unless both the public and private sectors financially support firms chasing major overseas projects. "Exporting social infrastructure" was a key pillar of the government's new growth strategy approved by the Cabinet in June. The strategy calls for the private and public sectors to work together to create an overseas infrastructure-related market worth nearly 20 trillion yen by 2020. Emerging nations in Asia as well as industrialized countries, such as the United States and European countries, are the prime targets of this campaign. The government intends to enhance the JBIC's ability to financially support these projects.

Hitachi Develops Machinery to Recycle Rare Earths for Use in Electronics (Bloomberg, 6.12.2010)

Hitachi Ltd. said it developed machinery to harvest rare earth metals from discarded hard- disk drives and compressors as electronics makers seek to reduce their reliance on Chinese supply. The machine can extract 100 rare earth magnets from hard disk drives per hour, about eight times faster than manual labor, Tokyo-based Hitachi said in a statement today. The company plans to get 10 percent of its rare-earth needs through recycling when the business begins operating in fiscal 2013, according to spokeswoman Satoko Yasunaga.

Japanese firms looking to make splash with late plunge into global smartphone wars (Mainichi, 2.12.2010)

Japanese mobile phone manufacturers are hurrying to release smartphones in an attempt to make up for their late entry into the market and make a splash with overseas customers. Japanese phones are often referred to as "Galapagos mobiles" because the country's mobile network standards are different from those overseas, making Japanese handsets incompatible with foreign networks and leading to a unique Japanese mobile "ecosystem."

Toyota in talks to offer hybrid technology, parts to China's FAW Group (Mainichi, 2.12.2010)

Toyota Motor Corp. is negotiating a deal to license its expertise in hybrid vehicles and to supply car parts to its Chinese partner, FAW Group Corp., company sources said Wednesday. Specifically, Japan's top carmaker plans to offer the technology necessary for making vehicles powered by gasoline and electricity as well as motors, batteries and other parts for use in the FAW Group's hybrids due to be marketed in 2013 or later, according to the sources. (Mainichi)

Selective immigration for highly skilled urged (Japan Times, 25.11.2010)

The Japan Forum on International Relations, a Tokyo-based think tank, urged the government Wednesday to accept more foreign workers and tourists while being selective in accepting long-term residents. In a report submitted to Prime Minister Naoto Kan, the forum argued that Japan should focus in particular on accepting highly skilled professionals. The report urges the government to be cautious about granting local-level voting rights to permanent foreign residents, saying it is "probably unconstitutional" and could lead to "grave political consequences."

Mongolian resources lure world / Japan labors to strengthen ties, drawn by vast untapped reserves (Yomiuri, 22.11.2010)

Japan is making a concerted effort to strengthen its relationship with Mongolia, one of the world's richest stores of minerals. At summit talks held Friday, Prime Minister Naoto Kan and Mongolian President Tsakhia Elbegdorj agreed to begin negotiations as soon as possible to conclude a bilateral economic partnership agreement and accelerate joint development of uranium and rare earths. However, China and other leading resource developers are also paying close attention to Mongolia, threatening Japan's hopes to take advantage of the abundant reserves in the central Asian nation.

University seniors face employment crisis as job offer rate drops to historic low (Mainichi, 18.11.2010)

University students across Japan are expecting the worst-ever unemployment rate for new grads next spring, with only 57.6 percent of students receiving informal job offers from companies as of Oct. 1. The latest figure, released on Nov. 16 by the Ministry of Health, Labor and Welfare and the Ministry of Education, Culture, Sports, Science and Technology, marked a new record low since the survey was started in 1996, down 4.9 points from the same period last year.

1 in 10 firms has female chief; startups credited for trend (Japan Times, 11.11.2010)

One in 10 Japanese companies has a female president, according to a wide-ranging survey by a credit research agency. In the past, female presidents often inherited their businesses from parents or a spouse, but more recently women have started their own businesses by offering original services, the agency said, noting they often build up connections with people "without caring too much about their titles or which groups they belong to," in contrasting them with their male counterparts.

Sizzle, Fizzle in Japan Electronics? (Wall Street Journal, 9.11.2010)

Things are returning to normal for Japanese electronics companies. That's good and bad. Rising sales in Japan and abroad, and some substantial restructuring in recent years, mean the companies have had a good first half. Toshiba's earnings report Tuesday highlighted this: The company's operating profit in the six months through September surged to $1.3 billion, from $26 million a year earlier. Including Toshiba, Japan's eight major electronics companies reported a combined operating profit of $10.3 billion in the six months through September, up from $595 million a year earlier. Four have upgraded their forecasts for the full year through March, despite the strength of the yen and falling prices of products like liquid-crystal displays and TV sets.

Bill in works to woo foreign firms to Japan (Japan Times, 1.11.2010)

The government will submit a bill to the Diet next year that would give foreign firms preferential treatment if they establish headquarters or research centers in Japan. The move is part of an attempt to make Japan more attractive to foreign investment ahead of negotiations on a multilateral trans-Pacific free-trade agreement backed by the United States. The FTA is aimed at completely liberalizing trade and investment.

EU growing more open to negotiating FTA with Japan (Yomiuri, 25.10.2010)

The European Commission, the executive arm of the European Union, is showing a forward-looking stance over signing a free trade agreement with Japan in a document on EU trade policy, scheduled to be adopted on Nov. 9, EU sources said. Japanese business circles are enthusiastic over a Japan-EU FTA. But the commission's document may mark a turning point in the EU's attitude toward the FTA.

Domestic production situation tough but here to stay: Toyoda (Japan Times, 19.10.2010)

Toyota Motor Corp. President Akio Toyoda denied Monday the automaker is stepping up efforts to transfer production bases overseas even though the surging yen has made auto production costly at home. "Logically, it doesn't make sense to manufacture in Japan," Toyoda told reporters in Nagoya. "But I feel a sense of crisis and worry what would happen to this country, which largely depends on manufacturing, if Toyota scaled back production in Japan.

Is Japan's disease curable? (Japan Times, 11.10.2010)

Since the 1990s, often called Japan's "lost 10 years," many parts of Japanese society have been disintegrating. Japan's influence has been in decline in the international community and on the global economic scene. Its share of the world's gross domestic product dropped from 14.3 percent in 1990 to 8.9 percent in 2008, and could drop to around 5 percent in 2015 should this situation continue. Japan now faces serious problems arising from persistent deflation, the yen's rise, employment uncertainty, weak state finances and a declining and aging population.

Japan hopes for quick free trade deal with EU (AFP, 6.10.2010)

Japan hopes to follow in South Korea's footsteps by rapidly striking a free trade deal with the EU, a senior Japanese official said on Tuesday. "Japan wants a deal as soon as possible," Japanese press secretary Satoru Sato said at a news conference held during a two-day Asia-Europe Meeting gathering 46 nations from both regions. The issue was raised at a meeting late on Monday between Japanese Premier Naoto Kan and the head of the European Commission, Jose Manuel Barroso, held on the sidelines of a two-day Asia-Europe Meeting (ASEM) gathering 46 nations from both regions.

PPP boom looms in Japan as infrastructure crumbles (The Australian, 5.10.2010)

Australia is eyeing a stake in more than $120 billion worth of construction projects in Japan through public-private partnerships. Japan is poised to open the doors to PPPs as it grapples with the need to rebuild run-down roads, ports, railways and waterworks without adding to its already large public debt. Legislation is expected to be introduced into the Japanese parliament next year to remove restrictions on building roads, water and sewage projects using the PPP model. The Democratic Party of Japan is also proposing a second amendment requiring agencies to consider PPPs as the preferred model for new projects.

Japan develops hybrid car motor free of rare earths (AFP, 1.10.2010)

Japanese researchers said on Thursday they had developed a hybrid vehicle motor that is free of rare earths, the minerals that are now almost exclusively produced by China. The news from a state-backed research group and a university comes days after industry sources said China had temporarily halted crucial rare earth exports to Japan amid a bitter territorial dispute. Magnets made from rare earths have so far been considered indispensable for motors in gasoline-electric hybrid and electric vehicles produced by Japanese auto makers such as Toyota, Mitsubishi and Honda.

Robust growth for Japan's top three auto makers (Wall Street Journal, 28.9.2010)

Japan's top three car makers rewed up domestic production in August as consumers rushed out to dealerships to pick up new cars just before government purchasing incentives ended. Reporting output and sales figures for last month, Toyota Motor Corp., the world's biggest car maker by sales volume, said Tuesday it boosted its production in Japan 13.3% on year. Meanwhile, Nissan Motor Co., Japan's second-largest player, said it lifted its domestic output 24.6% on year in the same month while third-largest Honda Motor Co. said production grew 24.8%.

S.Korea considers tunnels to China, Japan (AFP, 21.9.2010)

South Korea has launched a feasibility study into the construction of tunnels linking the country with China and Japan for high-speed railways, reports said Tuesday. A state research institute is expected to produce a paper on its investigation before the end of the year at the request of the transport ministry, Yonhap news agency said. The Chosun Ilbo newspaper carried a similar report saying the ministry was reviewing the feasibility of the tunnels as part of its long-term plan for a high-speed railway network with Japan and China.

Sanyo Electric mulls expansion for lithium-ion battery plant (Japan Times, 18.9.2010)

Sanyo Electric Co., the world's biggest maker of rechargeable batteries, may expand a plant making next-generation batteries by 40 percent next year as demand soars for pollution-free vehicles, an official said. The Panasonic Corp.-controlled company may produce an additional 300,000 to 400,000 cells a month in 2011 at a newly completed lithium-ion battery plant in Kasai, Hyogo Prefecture, as demand for car batteries rises to 2 trillion yen in 2015-2020, said Sanyo Vice President Shinya Tsuda.

Toyota Tsusho to enter tuna farming business (Mainichi, 11.9.2010)

Toyota Tsusho Corp. said Friday it will jointly start business with Kinki University to farm fully cultured juveniles of bluefin tuna to up to 30 centimeters in length from 6 centimeters to provide them to farmers. Toyota Tsusho, the trading arm of Toyota Motor Corp., will use know-how of the university which succeeded in fully culturing juveniles of the tuna in 2002 for the first time in the world and supply the grown juveniles to tuna farmers.

ANA plans budget carrier to undercut buses, trains (Yomiuri, 9.9.2010)

All Nippon Airways plans to establish a low-cost carrier under its wing, offering budget fares as low as about 5,000 yen for flights between Kansai Airport and airports in the Tokyo metropolitan area, The Yomiuri Shimbun learned Wednesday. ANA wants to lure passengers from railways and highway buses by setting the fares at one-third of the ordinary fare for the fastest Nozomi Shinkansen bullet train between Tokyo and Shin-Osaka stations.

A shift in strategy needed to revive Japanese industry (Japan Times, 2.9.2010)

Against the backdrop of intensifying Japan-U.S. trade frictions in the 1980s, it was considered for some time that Japan's economic power was a threat to the United States. This country's high rating has since declined, however, giving way to comments like "Japan has disappeared from the world's radar screen." Over time Japan had boasted of its excellent manufacturing skills. But in recent years, China has replaced Japan as the leader in the production of traditional industrial goods while South Korean and Taiwanese makers have overtaken Japanese counterparts in the output of LEDs, 3-D products and other high-tech items. In addition, Japan now lags behind the U.S. in the development of trendy products, such as the iPhone, iPod and iPad.

Japan's taxi firms introducing all-electric fleets (Independent, 31.8.2010)

Impressed by the success of the Better Place experiment with electric taxis in the city of Tokyo, an increasing number of Japan's taxi operators are adopting electric vehicles (EVs). Nissan Motor Co. has received advance orders for around 6,000 orders for its Leaf electric car, which will go on sale in Japan in December, with several hundred of those orders from taxi companies. Mitsubishi Motors Corp.'s i-MiEV is also proving popular with drivers. Many of those firms are based in Yokohama, which is one of two local authorities in Japan to introduce subsidy programs for anyone who purchases an environmentally vehicle. Similar schemes are due to be introduced in other cities around Japan in the near future, including Tokyo.

Fujitsu, Sony stick to 'made in Japan' business model (Mainichi, 27.8.2010)

In spite of Japan's rising yen, computer manufacturers Fujitsu and Sony, which have a strong overseas presence, are strengthening their domestic production of high-performance computers. The electronics giants have determined that the power of the "made in Japan" label remains strong for high-performance models competing in design, weight and processing power. They have also concluded that having domestic planning and design divisions will enable them to quickly respond to changes in consumers' preferences - a key factor in maintaining a competitive edge.

Prius gets humming device to give pedestrians ears-up (Japan Times, 25.8.2010)

Toyota's Prius hybrid is becoming a little less quiet with a new electronic humming device the automaker hopes answers complaints from pedestrians who can't hear the top-selling car approaching. The ¥12,600 speaker system, which will be installed under the hood of the third-generation Prius, sets off a whirring sound designed to be about the same noise level as a regular car engine so it isn't annoying, Toyota Motor Corp. said Tuesday.

Japan to subsidize energy-efficient plants (Reuters, 20.8.2010)

Japan's government plans to subsidize domestic plants producing clean-energy and energy-efficient goods under steps to support the slowing economy, the Nikkei newspaper said, as the murky outlook keeps firms from boosting spending at home. A strong yen is putting additional pressure on Japan's fragile economy, which is already seeing slowing growth and mired in grinding deflation, forcing the government to consider drafting a package of stimulus measures.

China's rich tourists bring a shopping revolution to Japan (Guardian, 17.8.2010)

The Japanese are feeling the impact of China's emergence as an economic superpower in many different ways. As their relative spending power declines, so that of their neighbour's rises and the relationship between the two countries changes. Japanese businesses, for example, are switching from buyer to seller, with shoppers increasingly likely to be served by Chinese workers brought in to help deal with increasing numbers of cash-rich tourists from the middle kingdom. Chinese visitors to Japan have jumped 80% over the last year, following a relaxation on visa requirements, providing a much wanted boost in business at Japan's department stores and luxury outlets, where sales to domestic customers have long stagnated.

Nearly 80% of firms predict slowdown: poll (Japan Times, 16.8.2010)

Nearly 80 percent of 107 major companies expect Japan's economy to weaken soon, although 70 percent see it expanding at the moment, a survey said Sunday. Concern about economic trends in the United States, Europe and China, and the appreciation of the yen are among the factors being blamed for the gloomy near-term outlook in Japan, the Kyodo News survey said. Kyodo polled top executives at 107 leading companies, including Canon Inc., Nintendo Co., Nippon Steel Corp., Nomura Holdings Inc., Mitsubishi UFJ Financial Group Inc., Sony Corp. and Toyota Motor Corp., between late July and early this month.

Japan's automakers recover but challenges remain (AFP, 5.8.2010)

Japan's top automakers reported strong results for the quarter ended June as they reap the benefits of a rebound in global demand, but concerns such as a strong yen cloud their outlook, say analysts. The top three automakers, Toyota, Honda and Nissan, saw quarterly profits surge on-year as the industry recovers from the lows hit in a financial crisis that forced the companies to scale back production and slash thousands of jobs.

Microsoft Will Try to Block Google-Yahoo Japan Deal (PC World, 2.8.2010)

A legal battle is brewing between Microsoft and Google for control of Japan's lucrative search market. Microsoft will try to convince Japan's Fair Trade Commission that a search advertising agreement struck earlier this week between Google and Yahoo Japan will be harmful to competition, Microsoft said on Friday. It had voiced concerns about the deal almost as soon as it was announced Tuesday, saying it gives Google too much control over Japan's search and search advertising markets. The deal means Google's search engine will be used to provide results for more than 90 percent of searches conducted in Japan.

They're Baaack: Japanese Banks Look to the U.S. for Growth (Wall Street Journal, 27.7.2010)

In Japan, the heady days of the late 1980s are back-at least for the country's leading banks. Japan's lenders have finally crawled out from underneath their massive piles of nonperforming loans and are eyeing acquisition opportunities in the U.S. to offset anemic growth at home. Mitsubishi UFJ Financial Group and Sumitomo Mitsui Financial Group-Japan's two leading banks, with more than $3.7 trillion of assets combined-are aggressively ramping up their expansion strategy outside the country. MUFG, which already has a foothold in the U.S. with California's Union Bank, aims to become one of the top 10 commercial banks in the U.S. via further acquisitions.

Driver error caused 'virtually all' acceleration accidents: Toyota (Japan Times, 15.7.2010)

Toyota Motor Corp.'s investigation of accidents involving unintended acceleration traced "virtually all" to drivers who stepped on the wrong pedal, a company spokesman said. The automaker is looking into causes of unintended acceleration in its cars and trucks and has recalled more than 8 million worldwide in the past year for defects such as pedals that stuck or snagged on floor mats. U.S. auto-safety regulators are also probing the causes and haven't released their findings.

Chinese tastes drive Japan business strategy (FT.com, 12.7.2010)

When it comes to toilets, Japanese sanitary fixtures producer Inax usually offer a simple choice of something in black or white. For China, however, something a little more glittery was called for. Before installing two top-of-the-line porcelain thrones in the Japan Industrial Pavilion at Shanghai's World Expo, Inax coated them in real gold, a flamboyant gesture that underlines its willingness to tweak its products for an strategically important market. Such concern for Chinese tastes is a relatively recent phenomenon for many Japanese companies. Inax, for example, has been manufacturing bathroom fittings, tiles and toilets in China for years, but has only recently seen the country as a serious market for its high-technology toilets with their automated seats, massaging shower units, deodorisers and sound systems.

Firms to boost foreigner hiring (Japan Times, 7.7.2010)

Fast Retailing Co., Lawson Inc. and Rakuten Inc. are planning to boost hiring of foreign nationals by up to 50 percent of their new recruits in fiscal 2011, officials of the companies said Tuesday. Because they are expanding global operations, especially in emerging markets in Asia, amid shrinking domestic sales, the three companies are accelerating operations to hire Asian graduates in their home countries and those studying at Japanese universities. The firms hope to promote them to company executives in the future to lead their operations in the Asian markets, the officials said.

Prius ranks as nation's top car for 14th month (Japan Times, 7.7.2010)

The Prius ranked as the nation's top-selling car in June, clinching the No. 1 spot for the 14th straight month on the back of brisk demand for green vehicles. Toyota Motor Corp. sold 31,876 of the gas-electric hybrids last month, far outnumbering Honda's fuel-efficient Fit, which came in second with 15,955 sales, the Japan Automobile Dealers Association said Tuesday.

China-Taiwan deal gives Japan firms pause (Yomiuri, 1.7.2010)

The historic trade pact signed by China and Taiwan on Tuesday will force many Japanese companies to rethink their strategies for this key market--one that could evolve into a powerful economic rival. The economic cooperation framework agreement heavily favors Taiwan companies, cutting tariffs on 539 Taiwan export items to China as opposed to 237 items exported in the other direction.

Easing of visa rules paves way for biggest tourist group from China (Japan Times, 1.7.2010)

The Japan National Tourism Organization has landed its biggest tourist group ever - 10,000 Chinese employees and their relatives - in a welcome piece of news for the government as it eases visa rules on individual Chinese tourists starting Thursday. Pro-Health, a Beijing-based health product manufacturing and sales company, is providing the "incentive travel" package to its employees and their families, as well as those of the company's distributors.

Angola's Luanda beats Tokyo as priciest expat city (Reuters, 30.6.2010)

The capital of oil-rich but poverty-stricken Angola is the world's most expensive city for expatriates, according to a new cost of living survey that also showed other developing African and Asian cities were among the priciest in the world. Luanda knocked the Japanese capital Tokyo off the top of this year's Mercer Worldwide Cost of Living Survey. Tokyo, regularly rated as one of the world's most expensive cities, was in the second slot while Ndjamena, the capital of impoverished, violence-ridden Chad, came in third.

Judge rules against Toyota in US court case (AFP, 24.6.2010)

Toyota lost a bid to control the flow of evidence to opposing lawyers in the latest hearing Wednesday of the Japanese auto giant's mammoth federal lawsuit over defects in their automobiles. The automaker was also ordered to ensure authorized dealers preserved all service records, which plaintiffs hope will prove Toyota knowingly manufactured and sold vehicles that had fatal design flaws. The lawsuit combines more than 230 cases against Toyota. The first wave of documents to be disclosed will deal primarily with Toyota Camry vehicles.

As China wages, yuan rise, exporting to get costly (Japan Times, 22.6.2010)

Toyota Motor Corp. and Honda Motor Co. suppliers sacrificed earnings in China by raising wages to end strikes, and Beijing's decision to allow greater exchange-rate flexibility may slow plans to export vehicles from the nation as the currency appreciates. China's central bank will allow the yuan more flexibility, it said in a statement Saturday, signaling an end to the currency's two-year-old peg to the dollar. The currency climbed against the dollar at its fastest pace in 20 months and forward contracts jumped.

With concessions, Honda strike fizzles in China (New York Times, 18.6.2010)

A strike at a Honda auto parts factory here in southeastern China collapsed on Monday morning, as Honda's hiring of hundreds of replacement workers on Sunday prompted most of the strikers to return to work. More than 100 strikers held a rally outside the factory on Monday morning, watching silently and despondently as replacement workers and former strikers filed through the factory gates. A factory manager with the voice of an auctioneer counted off the minutes until the morning shift started and exhorted the strikers to return to work, using lines like, "We won't give your job to the new workers if you come in now."

Warm welcome awaiting Chinese tourists (Yomiuri, 15.6.2010)

Tourism, electronics retail and other industries--even cancer screening facilities--are rolling out the welcome mat for tourists from China, visits from whom are expected to increase sharply when visa regulations are eased from next month. Although individual tourist visas were previously issued only to wealthy Chinese, the rules will be relaxed in July in a move expected to see the number of households eligible for visas explode ten fold to 16 million. China's emergence as a global economic power has given rise to a wave of tourists flush with cash--a potential gold mine for Japanese industries.

As Ginza changes, so does luxury market in Japan (Reuters, 3.6.2010)

For a glimpse at the diverging consumer forces vexing luxury goods firms in Japan, take a stroll through the ritzy Ginza district where upscale and discount retailers are battling for shoppers' attention like never before. Ginza is Japan's answer to Fifth Avenue of New York and home to the flagship stores of most of the major global luxury brands doing business in the country, including Tiffany & Co, Bulgari and Cartier. A series of store openings by casual clothing chains is changing the face of the district, a reflection of the country's sluggish economy and shrinking market for luxury goods. The move downmarket has some in the Ginza establishment worried. A lot of money is at stake, with more than $5 billion in retail business generated within the district's eight "chome," or blocks, each year.

China, Japan launch Asian eBay rival (AFP, 2.6.2010)

China's largest retail website Taobao and Yahoo! Japan launched a joint service Tuesday in a deal expected to create the world's biggest online marketplace by harnessing Asia's surging ranks of e-consumers. The service is expected to dwarf US rival eBay in terms of users and products on offer, attracting 250 million customers and offering 450 million products. "This marks the birth of the world's largest e-commerce market," Masayoshi Son, chairman of Yahoo! Japan and CEO of mobile phone carrier Softbank, told a packed hall in a Tokyo hotel. Online stores on Taobao will be able to offer products from China to Japanese consumers at Yahoo! Japan's China Mall, the companies said.

New Keidanren chief Yonekura calls for hike in consumption tax (Japan Times, 28.5.2010)

Hiromasa Yonekura, the newly appointed chairman of the Japan Business Federation (Nippon Keidanren), urged the government Thursday to raise the 5 percent consumption tax to improve the nation's fiscal health. "The government should take a swift step toward the tax hike," Yonekura said at his first news conference after being approved as Keidanren's new chairman at a general meeting earlier in the day. He said a gradual rise by 1 percentage point in the consumption tax every year would generate ¥2.5 trillion in tax revenue, which would help finance the swelling social welfare and pension costs that are growing by ¥1 trillion annually.

Nissan CEO Ghosn defends his plan for growth in electric cars (BusinessWeek, 26. 5.2010)

Nissan Motor Co.'s Chief Executive Officer Carlos Ghosn defended his plan to sell 500,000 electric cars a year by 2012, saying skepticism from analysts and competitors won't deter him. Ghosn, 56, also CEO of Renault SA, is trying to sell more electric cars through both companies than rivals are planning. General Motors Co. aims to build 45,000 of its Volt electric car, which also uses gasoline, annually by 2012. California-based startup Tesla Motors Inc. has said it will sell about 20,000 of its Model S sedan starting next year.

China textile firm to buy stake in Japan's Renown (Reuters, 25.5.2010)

Chinese textile group Shandong Ruyi said on Monday that it will buy a 41 percent stake in Japanese apparel maker Renown Inc, the latest in a series of investments by Chinese firms in Japan. The 4 billion yen ($44.4 million) share purchase will make Shandong Ruyi the largest shareholder in Renown, a loss-making collection of men's and women's clothing brands that traces its history back 108 years. The deal underscores the growing economic power of China, which is on a path to overtake Japan as the world's second-largest economy. It also points to a move by Japanese firms to secure a means to tap the promising Chinese market.

Samsung, Sony chiefs may discuss 3D TV deals, LCD supplies (Reuters, 25.5.2010)

Just days after unveiling a Sony-branded Internet TV with Google, Sony's chief executive is set to meet rival Samsung Electronics, for possible alliances, as the Japanese consumer electronics maker aims to turn its TV business profitable with aggressive sales targets. Monday's closed-door meeting between Sony CEO Howard Stringer and Samsung's Lee Kun-hee, is the first since Lee returned as chairman of the South Korean technology powerhouse in March.

Rakuten to acquire U.S. e-commerce firm for $250 mil. (AP, 21.5.2010)

Japan's largest Internet shopping mall operator Rakuten Inc. said Thursday it will acquire the operator of U.S. electronic commerce site Buy.com Inc. for $250 million for its entry into the U.S. market as the Japanese firm seeks to expand operations globally. Rakuten plans to purchase the entire stake in Buy.com through Rakuten USA Inc. to make the U.S. e-commerce firm a wholly owned subsidiary. The acquisition will be completed in late June, Rakuten said.

Chinese invasion offers a ray of hope to tourist trade (Asahi, 20.5.2010)

An influx of free-spending Chinese tourists following a relaxation of visa rules in July is expected to pump hundreds of billions of yen into the Japanese economy. A group of 17 Japanese and Chinese tourism and retail companies estimated Chinese tourists would bring about 430 billion yen ($4.67 billion) into the Japanese economy in 2012, compared with 120 billion yen in 2008. Foreign Minister Katsuya Okada announced Tuesday that individual visitors from China would only be required to have an annual income of 60,000 yuan (about 800,000 yen) or possess a "gold" credit card from July. The current rules insist on a 250,000-yuan income.

Ministry to aid development of super storage batteries (Yomiuri, 19.5.2010)

The trade ministry plans to create a storage or rechargeable battery that lasts 20 years--four times the life span of current batteries--produced at about 10 percent of current costs, with hopes to make such specifications international, ministry sources said. The Economy, Trade and Industry Ministry wants to achieve this goal--through joint research carried out by the government and private sector--by the end of 2030, the sources said, adding that plans may be formalized in a new growth strategy paper to be mapped out by the government in June.

BOJ will facilitate eco-, energy lending (Japan Times, 19.5.2010)

The Bank of Japan outlined measures Tuesday to make it easier for commercial banks to provide loans for environment- and energy-related businesses as part of efforts to reinforce the economy's growth and overcome deflation, sources said. The BOJ plans to present the measures at its regular two-day policy meeting starting Thursday and work out the details as early as June, when the government compiles its growth strategy, the sources said. The proposed lending plan would have the central bank extend collateralized low-cost loans to private-sector banks for more than six months, they said. The loans would carry a 0.1 percent interest rate per annum, which is equal to the BOJ's key policy rate.

Big carmakers back on the road / All 8 domestic firms in the black for FY2009, but challenges remain (Yomiuri, 14.5.2010)

With all eight major automakers back in the black for the 2009 business year, the nation's auto industry appears to have survived the global financial crisis triggered by the so-called Lehman shock. The auto companies have also made optimistic earnings forecasts for the current business year, with plans to invest aggressively in two areas: emerging economies and eco-friendly cars. However, business prospects are far from rosy as they continue to face rising steel prices and other concerns.

NEC swings back into profit (AFP, 13.5.2010)

Japanese electronics giant NEC Corp. said Wednesday it swung back into the black in the year ended March, helped by narrower losses at its chip making unit, cost cuts and business streamlining. The electronics and information technology company posted a group net profit of 11.4 billion yen (124 million dollars) in the last business year, reversing a year-before loss of 296.6 billion yen.

Toshiba plans $6.4 bn chip spending in 3 years (Economic Times, 12.5.2010)

Japan's Toshiba Corp plans to spend $6.4 billion on its chip operations in the next three years to meet strong demand and keep up with cutting-edge technology, the Nikkei business daily reported on Tuesday. The spending plan by the world's No. 3 chipmaker is further evidence of growing optimism in the sector, which expects strong demand this year as an economic recovery encourages consumers to buy new electronics.

China's Taobao and Yahoo Japan announce tie-up (FT.com, 11.5.2010)

Taobao, China's leading retail e-commerce company, on Monday unveiled an alliance with Yahoo Japan Shopping, as the Alibaba unit moves to internationalise its business. Yahoo Japan Shopping will offer 50m Chinese product listings introduced by Taobao to Japanese consumers from June 1, while TaoJapan will carry 8m Japanese listings for Chinese consumers. Alibaba, Taobao's parent company, operates the world's largest business-to-business online marketplace.

JFE to Spend $2.2 Billion on Iron Ore, Coal Mines (BusinessWeek, 10.5.2010)

JFE Holdings Inc., Japan's second- largest steelmaker, plans to spend as much as 200 billion yen ($2.2 billion) to invest in iron ore and coal mines in Australia and Brazil to double self sufficiency in materials as costs jump. "We have two to three candidates" each for the iron ore and coal investments, Eiji Hayashida, the president of Tokyo-based JFE Steel Corp., said in an interview. The steelmaking unit of JFE plans to raise export prices by 20 percent to 30 percent in the July quarter from April to offset costs, he said.

Govt steps up Japan-brand sales efforts (Yomiuri, 7.5.2010)

Cabinet ministers are globe-hopping to help Japanese companies sell their specialized products and technology, such as Shinkansen bullet trains and nuclear power plants. Company officials accompanied the ministers, in an attempt to revive competition against rival countries like France and South Korea. The sales efforts involved members of both the public and private sectors, such as executives from Central Japan Railway Co. (JR Tokai). According to the Economy, Trade and Industry Ministry, global investment in railways and other essential infrastructure is expected to reach 41 trillion dollars (about 3.85 yen quadrillion) by 2030.

New energy laws a boon, bust (Yomiuri, 4.5.2010)

Companies are feeling the heat in their efforts to conform with new regulations to combat global warming. The revised Energy Conservation Law took full effect in April, and the Tokyo metro-politan government launched a mandatory emission trading scheme the same month. As consumer spending remains sluggish, the energy-saving regulations are weighing on companies such as retailers and restaurant operators. However, electrical appliance manufacturers have high hopes that the rules will provide a much needed boost to their businesses.

Chinese firms buy Japanese ones (The Economist, 30.4.2010)

Managers across Japan were stunned last month when a factory belonging to Ogihara, a Japanese diemaker, was sold to BYD, a Chinese carmaker that boasts Warren Buffett as an investor. In a sign of the sensitivity of the matter, the Japanese firm tried to keep the transaction quiet, never issuing a press release and refusing all interview requests. Japan has a long history of resisting foreigners who seek to buy their way into the country. But most recent squabbles have at least been with firms from America, a political ally. Deals involving firms from the Chinese mainland are touchier because of the two countries' uneasy relations. This has kept the number of Sino-Japanese mergers and acquisitions low, even as China surpassed America in 2007 to become Japan's largest trading partner.

Honda's profit soars due to Asia, cost cuts (Japan Times, 29.4.2010)

Honda Motor Co. said Wednesday both its group net and operating profit in fiscal 2009 soared more than 90 percent on the back of strong sales in Asia and its cost-cutting efforts. For the business year through March, Honda reported a net profit of ¥268.40 billion, up 95.9 percent, and an operating profit of ¥363.78 billion, up 91.8 percent, on sales of ¥8.58 trillion, down 14.3 percent.

Japan minister says Toyota has learned its lesson (BusinessWeek, 28.4.2010)

Japan's transport minister criticized Toyota on Tuesday as initially too slow in responding to its recall crisis, but said the automaker had learned its lesson and is getting quicker in announcing recalls. Seiji Maehara, who will meet U.S. Transportation Secretary Roy LaHood later this week during a trip to Washington, said the Japanese government is checking Toyota Motor Corp.'s vehicles, including the Prius hybrid, for possible problems with electronic devices but has found no problem so far.

Japanese carmakers increase output (Japan Times, 27.4.2010)

Toyota Motor Corp., Honda Motor Co. and Nissan Motor Co. increased global auto production in March as demand rose in Asia and the U.S. Toyota's output surged 97 percent to 773,297 vehicles from 392,882 a year earlier, the company said Monday. Honda increased production 62 percent to 349,425 vehicles and Nissan boosted output 85 percent to 318,827, the companies said separately.

Tesla to sell electric sports car in Japan (Yomiuri, 24.10.2010)

Tesla Motors Inc., a U.S. automaker specializing in electric vehicles, will launch its high-end Roadster electric sports car in Japan in early May. This is the first time a foreign automaker will release an electric vehicle in the Japanese market. Mitsubishi Motors Corp. began domestic sales of its i-MiEV electric vehicle last July, while Nissan Motor Co. will launch an electric vehicle in December. The move by the Silicon Valley-based automaker likely will intensify competition in Japan's electric vehicle market.

Amazon considering Japanese e-books for Kindle, Kodansha says (BusinessWeek, 23.4.2010)

Amazon.com Inc. held talks with Kodansha Ltd. to provide electronic versions of Japanese-language books for its Kindle digital reader, Yoshinobu Noma, chief operating officer of Japan's biggest publisher, said. The Seattle-based online retailer has held preliminary talks several times since the beginning of the year with closely held Kodansha, Noma said in an interview. "They haven't decided yet if they are doing the same business in Japan, but they're considering it."

Asahi may buy food, alcohol companies in Asia-Pacific (Bloomberg, 21.4.2010)

Asahi Breweries Ltd., Japan's second-largest beermaker, may buy food and alcohol companies in the Asia-Pacific region as it aims to raise the proportion of sales it gets overseas by almost fourfold in five years. "What we would need is a company with annual sales of 300 to 400 billion yen," President Naoki Izumiya said in an interview in Tokyo yesterday. Asahi is looking for targets in countries including India, Indonesia and Russia as it plans to boost sales 33 percent to at least 2 trillion yen ($22 billion) by 2015, from an estimated 1.5 trillion yen in 2010, he said.

Toyota to pay sticky pedal fine (Japan Times, 20.4.2010)

Toyota Motor Corp. has agreed to pay a record $16.4 million fine for failing to promptly report to the U.S. government problems with sticky gas pedals on its vehicles, the Transportation Department said Monday. Toyota had faced a Monday deadline to accept or contest the $16.4 million fine, the largest ever assessed by the federal government against an automaker, over evidence it knew about the defective gas pedals in September but did not issue a recall until January. Under federal law, automakers are required to notify the government within five business days when they find a potential safety defect.

Energy standards promoted (Japan Times, 17.4.2010)

Japan will make its energy-saving standards for new homes and buildings mandatory in the future to promote energy conservation, land minister Seiji Maehara said Friday. The standards, covering thermal insulation and other energy-saving improvements to windows and outer walls, are currently characterized as nonbinding targets. The government will soon create a panel to consider the scope of mandatory energy-saving standards, and compile recommendations by the end of this year, Maehara said.

Govt wants 50% of new cars green by '20 (Yomiuri, 14.4.2010)

The Economy, Trade and Industry Ministry has announced a strategy that calls for boosting eco-friendly vehicles' share of domestic new car sales to as high as 50 percent by 2020, from the current 9 percent. The ministry also aims to install 2 million chargers in ordinary households for electric, hybrid and other eco cars. As measures to help achieve the targets, it intends to consider offering support, including tax breaks and subsidies for people who buy such vehicles.

Start-up rents out Tokyo's tight spaces (AFP, 14.4.2010)

Japan is famous for its ability to make the most of limited space. The cocoon-like capsule hotels were first developed here and many single city dwellers live in tiny studio apartments known as rabbit hutches. Now, a new online real-estate marketplace is taking that trait to new levels. Nokisaki.com, named after the Japanese word for the space that juts out from the edge of a building, seeks pockets of "dead space" around cities and converts them into short-term rental property. In Tokyo, where every sliver of land is at a premium, a few feet of unused private property near the front entrance of an apartment building can be used to sell muffins.

Japan hopes to corner 6% of global water biz (Japan Times, 13.4.2010)

The government will help the private sector tap into the water business in other countries, aiming to garner 6 percent of overseas markets in 2025, a Ministry of Economy, Trade and Industry panel said in a report released Monday. The move comes amid growing concerns that Japanese firms have lagged behind rival European water companies for contracts in such areas as sewage system construction and seawater desalination in developing nations.

Price hikes for raw materials spell trouble for Japan steelmakers (Asahi, 12.4.2010)

Runaway demand by China for iron ore and moves by mining firms toward more profitable, short-term pricing systems spell trouble for Japanese steelmakers' bottom lines. Despite a record increase this year in the annual benchmark price for iron ore--almost double the fiscal 2009 price--two of the world's three biggest mining firms have started to do away with an existing annual pricing system in favor of short-term contracts linked to the more volatile spot markets.

Venezuela: Japanese company to lend $1 billion (AP, 8.4.2010)

Venezuela's oil minister says an undisclosed Japanese company has approved a $1 billion loan to the Venezuelan government for an offshore natural gas project. Rafael Ramirez says it will be used to develop the Mariscal Sucre gas project in the Caribbean off eastern Sucre state. Ramirez did not name the company in his remarks, which were published Wednesday by the newspaper Ultimas Noticias.

Japan Airlines to cut 16,500 jobs (Reuters, 7.4.2010)

Japan Airlines Corp plans to reduce its workforce by a third within the fiscal year to lower labor costs by 81.7 billion yen a year, the Nikkei business daily said. The restructuring proposal compiled by the carrier and the state-backed Enterprise Turnaround Initiative Corp of Japan suggests to cut 16,500 jobs. The proposed cuts include 5,405 workers from cargo and other peripheral operations, 2,460 flight attendants, 2,043 sales representatives and 775 pilots.

U.S. to fine Toyota $16 million for hiding defects (Japan Times, 7.4.2010)

The U.S. government has accused Toyota of hiding a "dangerous defect" and proposed a record $16.4 million fine for failing to quickly alert regulators to safety problems in gas pedals on popular models such as the Camry and Corolla. The proposed fine, announced Monday by Transportation Secretary Ray LaHood, is the most the government could levy for the sticky gas pedals that have led Toyota Motor Corp. to recall millions of vehicles. There could be further penalties under continuing federal probes. The automaker faces private lawsuits seeking many millions more.

Tokyo bites the bullet on Shinkansen (FT.com, 6.4.2010)

It is a paradox that has frustrated trainspotters who do not live in Japan. The Shinkansen ("New Main Line") is the oldest, busiest, safest and most punctual high-speed rail system. Yet until recently no one has taken a Shin-kansen train outside Japan. That a country whose economy thrives on exports should fail to sell the bullet train, one of its most heralded products, overseas is odd. Nearly five decades after the first Shinkansen train pulled out of Tokyo Station, Japan rail groups are only now changing track, with a stepped-up effort to market to foreign buyers. Targets include the US, where the Obama administration has approved $8bn for high-speed projects, Brazil and China networks.

Toyota Prius tops Japan's March auto sales (AP, 6.4.2010)

Toyota's Prius hybrid was Japan's top-selling car in March for an 11th straight month despite global recall woes, an industry group said Tuesday. Toyota Motor Corp., reeling after recalls over issues that included braking problems with the Prius, sold 35,546 units of the gas-electric vehicle in Japan last month, according to the Japan Automobile Dealers Association. Consumers were choosing the Prius with the help of tax breaks and government subsidies for environmentally friendly vehicles, Miyake said.

Mitsubishi to refocus on energy, environment (Asahi, 2.4.2010)

Mitsubishi Electric Corp. will increase its stake in environmental and energy fields, starting by doubling its investments in energy-efficient power semiconductors this fiscal year, according to Kenichiro Yamanishi, the new president and CEO. Yamanishi, 59, a former senior executive officer, took up the post Thursday, succeeding Setsuhiro Shimomura, who became chairman.

Ghosn: Nissan-Renault open to new allies (Asahi, 2.4.2010)

The Nissan-Renault SA alliance is willing to forge cross-shareholding agreements with other companies to gain an edge in developing vehicles and probing new markets, Carlos Ghosn, president of Nissan Motor Co., said. In an interview with The Asahi Shimbun on Wednesday, Ghosn also expressed his intention to continue serving four more years as Nissan president, a position he will have held for a decade this June.

Panasonic sees extra profit boost from Sanyo (Reuters, 1.4.2010)

Japan's Panasonic Corp's purchase of Sanyo Electric is set to boost profits more than expected as they now plan additional cost savings by merging their accounting systems and procuring materials together, the Nikkei business daily said.

Morgan Stanley, Mitsubishi UFJ to merge operations (Mainichi, 1.4.2010)

Mitsubishi UFJ Financial Group Inc. says it has reached a final agreement with Morgan Stanley to merge brokerage operations in Japan. Japan's top bank and the U.S. financial giant said in a joint statement Tuesday that merged securities operations will begin in May. They will set up two joint ventures -- Mitsubishi UFJ Morgan Stanley Securities Co. Ltd. and Morgan Stanley MUFG Securities Co. Ltd. -- for brokerage operations.

Japan, Poland ink nuclear accord (Japan Times, 1.4.2010)

Japan and Poland signed a memorandum Tuesday to promote cooperation in the civil use of atomic power, with Tokyo aiming to have Japanese firms receive orders to build nuclear reactors in the Eastern European country. Economy, Trade and Industry Minister Masayuki Naoshima held talks with Polish Deputy Prime Minister Waldemar Pawlak on the sidelines of the two-day ministerial meeting of the International Energy Forum, which opened Tuesday in the Mexican city of Cancun.

Toyota takes steps to improve image (Japan Times, 31.3.2010)

With its reputation severely damaged by safety issues, Toyota Motor Corp. announced several steps Tuesday to improve its image, including the establishment of a panel of regional and local quality-control executives that will call the shots on recalls and other steps. The committee, which held its first meeting Tuesday, will also share global information on claims, defects and recalls more speedily, Toyota said.

With fewer mouths to feed, Japan food firms eye Asia (Asahi, 29.3.2010)

Struggling in a shrinking domestic market, Japanese food makers are looking to Asia to market their products--and a Japanese culinary lifestyle with a local twist. With a rapidly aging population, a seemingly endless recession and sagging prices devouring their sales, food companies have little choice but to look overseas for profits. However, different cultural and religious practices make innovation a requirement for success.

Global standards sought for Japan's railway technologies (Asahi, 26.3.2010)

With train and rail orders increasing overseas, a research institute affiliated with Japan Railway companies will establish an organization in April to loosen Europe's grip on global standards for railway technologies. The organization, called the Railway International Standards Center, will operate with an annual budget of 220 million yen ($2.43 million) in the initial year. It will offer proposals for getting Japanese know-how on trains and railways to be recognized as international standards.

Nano-Optonics to crank out electric cars in Tottori (Japan Times, 25.3.2010)

Nano-Optonics Energy Inc. will start producing electric vehicles next year in Tottori, becoming the first nonautomotive company to make the vehicles in Japan, Tottori Gov. Shinji Hirai said. The closely held company, which specializes in environmental technology, will buy a factory site owned by Japan Tobacco Inc. as early as next March in Yonago, near the Japan Sea coast, Hirai said Tuesday.

Toshiba and Westinghouse Take Major Step to Expanding Front-End Business (Asahi, 24.3.2010)

Toshiba Corporation and Westinghouse Electric Company, LLC today announced the formation of a new joint venture, Advance Uranium Asset Management Ltd. (AUAM), that will strengthen Toshiba Group's capabilities in the nuclear front end business segments and enhance the extensive range of support services extended to utilities around the world. United Kingdom based AUAM will undertake uranium related transactions in the front end of the nuclear fuel cycle. The company is 60 percent owned by Toshiba and 40 percent by Westinghouse.

Mitsubishi to triple electric car production (Yomiuri, 24.3.2010)

Mitsubishi Motors Corp. will increase production of its i-MiEV electric car to about 30,000 units a year in fiscal 2012, about triple its expected fiscal 2010 output. The decision, announced Monday, is a reflection of the greater-than-expected number of orders for the car, especially from private companies and government offices. MMC also said it was sure it would be able to sufficiently increase lithium ion battery production.

Nissan plans to lease EV batteries (Japan Times, 23.3.2010)

Nissan Motor Co., seeking to lead the emerging market for electric vehicles, said it expects most customers will lease rather than buy battery packs for the vehicles. Leases will account for the 'vast majority' of batteries for models such as Nissan's Leaf, Jonathan Dixon, the company's business-development manager for zero-emission strategic planning, said Friday in London. He didn't give a specific figure.

Chemical firms expand horizons (Yomiuri, 23.3.2010)

An increasing number of major chemical makers are joining the agribusiness, using manufacturing technologies that can help grow vegetables and flowers more effectively - a move that could help revitalize the country's agriculture. Technologies for such products as light-emitting diodes (LEDs) and solar container nursery panels that can be used in high-tech nurseries that have been dubbed 'plant factories,' which enable vegetables and flowers to be grown effectively indoors under regulated conditions.

Big firms approve pay raises (Yomiuri, 18.3.2010)

Carmakers, electrical manufacturers and other major domestic corporations on Wednesday offered to give their workers mandatory annual pay raises in response to their labor unions' demand in this year's wage hike talks. Their replies were perceived as satisfactory to labor unions at these companies, most of which had demanded automatic annual pay raises--known as teiki-shokyu, or teisho--amid the protracted recession. Their offer came at the peak of this year's annual labor-management wage hike negotiations.

Fast Retailing global sales may pass Japan in 4 years (BusinessWeek, 17.3.2010)

Fast Retailing Co., Asia's biggest clothing retailer, expects overseas sales to overtake domestic revenue in as soon as four years, driven by expansion of its Uniqlo stores in China and South Korea. "Growth will come from Asia, especially China," founder and Chief Executive Officer Tadashi Yanai, 61, whose $5.2 billion stake in the company helps make him Japan's richest man, said in an interview in Tokyo yesterday. "Sales abroad may overtake Japan's in four to five years."

Disney high-speed support may boost Japan, China trainmakers (Bloomberg, 16.3.2010)

Walt Disney World in Florida may be the next stop for bullet-train makers in Japan and China. Central Japan Railway Co. and China South Locomotive & Rolling Stock Corp. are competing for the $8 billion President Barack Obama granted for 13 high-speed corridors across the U.S., including a Tampa-Orlando line that may include a station at the Walt Disney Co. resort in Orlando. The Japanese company, also known as JR Central, is eyeing North America as a shrinking population at home limits its growth.

Mitsui, Marubeni target lucrative water market (Japan Times, 13.3.2010)

Trading houses Mitsui & Co. and Marubeni Corp. plan to up investments in water projects to benefit from global spending forecast to reach $1.2 trillion by 2025. "We now have the knowhow to take the lead on projects, allowing us to move into the global water market," Koichi Wakana, general manager of Tokyo-based Mitsui's water unit, said in an interview. Mitsui, Marubeni and worldwide rivals are competing for water projects and government asset tenders to lock in stable income streams and tap a rise in spending in Asia, the Middle East and South America. China needs to build as many as 300 wastewater treatment plants a year to meet government targets, according to Global Water Intelligence.

Sony unveils motion-sensing game control kit (Japan Times, 12.3.2010)

Sony has a new message for Nintendo Wii gamers: Come join us. The maker of the PlayStation 3 unveiled on Thursday its highly anticipated motion-based controller system, as it takes aim at Nintendo's dominance in gaming. With PlayStation Move, Sony hopes to lure gamers who have outgrown Nintendo, which launched the Wii in 2006 and became the first to introduce motion-detecting controllers.

Foreign financial firms move out (Asahi, 12.3.2010)

Foreign financial companies in Japan are increasingly shedding their local staff and leaving the country for greener pastures elsewhere in Asia, according to a recent report by a human resources company. The report issued by Executive Search Partners Co. said that roughly 4,500 full-time employees at foreign banks, securities companies, investment funds and asset management firms lost their jobs between early 2008 and August 2009. Of that total, only about 900 found new work at foreign financial companies, while the remaining 3,600 landed jobs in other industries or remained more or less unemployed, the report estimated.

Toyota experts challenge faulty electronics claim (Japan Times, 10.3.2010)

Toyota, dogged by millions of recalls and claims that it still has not fixed its safety problems, took its strongest step yet Monday to silence critics who blame faulty electronics for runaway cars and trucks. Toyota assembled a group of experts in a bid to refute studies by an Illinois professor who revved Toyota engines simply by short-circuiting the wiring. Toyota's experts say the experiments were done under conditions that would never happen on the road.

Tokyo gets third airport (Japan Times, 8.3.2010)

Ibaraki Airport held an opening ceremony Sunday ahead of what will be the operational launch Wednesday of the Tokyo metropolitan area's third airport after Haneda and Narita. The airport, Japan's 98th, was built at the Air Self-Defense Force's Hyakuri base in Omitama, Ibaraki Prefecture, about 80 km northeast of the capital.

Toyota secretive on 'black box' data (Japan Times, 6.3.2010)

Toyota has for years blocked access to data stored in devices similar to airliner black boxes that could explain crashes blamed on sudden unintended acceleration, according to an Associated Press review of lawsuits nationwide and interviews with auto crash experts. The AP investigation found that Toyota has been inconsistent, and sometimes contradictory, in revealing exactly what the devices record and don't record, including critical data about whether the brake or accelerator pedals were depressed at the time of a crash.

Japanese researchers turn raw garbage into fuel matching heat output of coal (Mainichi, 5.3.2010)

Technology to produce fuel with the same heat output as coal from raw garbage and waste plastic has been developed by a group of Japanese researchers. Takeshi Sako of Shizuoka University's Faculty of Engineering and other researchers developed a way to produce fuel from food waste in plastic containers that were discarded from convenience stores and supermarkets, and from the non-edible parts of agricultural products. They hope to put the development methods to practical use in three years.

MMC opts for freedom to move in rejecting Peugeot Citroen deal (Asahi, 5.3.2010)

Cash-strapped Mitsubishi Motors Corp. is facing renewed pressure to improve its financial standing after deciding not to form a capital alliance with France's PSA Peugeot Citroen. Opting for freedom in management, MMC dropped out of the deal because the two companies could not agree on which projects to implement after the tie-up was to take effect. DaimlerChrysler sold its entire stake in MMC in 2005. MMC still has an urgent need to bolster its financial standing, which deteriorated amid a string of defect cover-ups that surfaced in 2000.

Nissan recalls 540,000 vehicles (Japan Times, 4.3.2010)

Japanese automaker Nissan Motor Co. is recalling about 540,000 pickup trucks, sport utility vehicles and minivans to fix problems with brake pedals and fuel gauges. Most of the recalled vehicles are in the U.S., with smaller numbers scattered across the globe. The brake pedal recall affects 179,000 vehicles in the U.S. and about 26,000 in the Middle East, Canada, Russia and several other countries.

Britain postpones Hitachi train contract (Asahi, 4.3.2010)

Britain has postponed signing a contract with Hitachi Ltd. for a train project worth more than 1 trillion yen ($11.21 billion) until after the general election expected in May. The signing had been scheduled for mid-March, but Britain's Department for Transport cited a deterioration in the environment for borrowing funds and a slowdown in growth of passenger numbers. In February 2009, Hitachi acquired preferential negotiating rights for the Intercity Express Program contract to supply about 1,400 train cars for main trunk lines in Britain between 2013 and 2018, plus up to 30 years of maintenance.

Department stores struggling / Yet another industrial reorganization appears inevitable (Yomiuri, 3.32010)

Daimaru Matsuzakaya Department Stores Co., a product of the merger of two leading department stores--Daimaru Inc. and Matsuzakaya Co.--began operations Monday, aimed at boosting its purchase of of merchandise and streamlining its operations. Yet a similarly, large-scale reorganization of leading department stores, such as Isetan Mitsukoshi Holdings under which Mitsukoshi Ltd. and Isetan Co. have integrated their management, has brought about few tangible effects. As fears have begun to be voiced over the survival of department stores, which have lost the support of many consumers with the rise in popularity of mass retailers selling products such as clothing and home electrical appliances, some experts have said the entire distribution industry will need to reorganize itself.

Exec apologizes in Europe; new models in offing (Japan Times, 3.3.2010)

Toyota Motor Corp. continued its worldwide damage-control campaign with an apology issued by Vice Chairman Kazuo Okamoto to the automaker's customers in Europe for its safety issues and the concerns they have caused. Okamoto's apology Monday, read to journalists on the eve of press days at the Geneva Auto Show, where Toyota will unveil its hybrid Auris HSD compact and the Lexus CT 200h, a compact hybrid hatchback — follows public apologies by Toyota President Akio Toyoda in China and the United States. 

Retailing giant Daimaru Matsuzakaya opens doors (Japan Times, 2.3.2010)

Retailing giant Daimaru Matsuzakaya opened for business Monday, bringing to fruition the 2007 mega-merger between department store chains Daimaru Inc. and Matsuzakaya Co. The new chain, which combined under holding firm J. Front Retailing Co., will take over strategic planning and product procurement duties from J. Front to save costs amid the current deflation.

Digital camera firms struggling to stand out (Yomiuri, 1.3.2010)

Taking crystal-clear photos is no longer enough to stand out from the pack in a crowded digital camera market. With the spring selling season just around the corner, manufacturers have been adding new functions to their cameras to win over customers and, they hope, put a brake on sliding prices. Fierce competition pushed manufacturers to improve photo clarity and sharpness to the point where it is now common even for compact models to take photographs with resolutions of up to 10 megapixels.

Newspapers lead online charge (Yomiuri, 1.3.2010)

An increasing number of domestic newspapers have started charging readers for their online content. The newspapers hope to attract new readers by providing more specialized and detailed articles online, with the aim of making such services a pillar of their business operations. Nikkei Inc. .., Which publishes the Nikkei business daily, will launch a fee-based online service on March 23 in which subscribers can access news flashes and articles carried in the newspaper's morning and evening editions.

Tokyo Game Show 2010 to be held Sept. 16-19 (AP, 26.2.2010)

The Tokyo Game Show 2010 will be held from Sept. 16 to 19 at the Makuhari Messe convention center on the outskirts of Tokyo, with an eye to drawing a larger crowd from Asia, the organizer of the world's key video game software and hardware expo said Friday. The Computer Entertainment Supplier's Association said this year's expo, which marks its 20th anniversary, aims to lure more visitors from Asia by creating the first business forum that will gather Asian gaming industry experts and Companions to discuss the future of The Game Market in the region.

Honda launches world's first hybrid sports car (Japan Times, 26.2.2010)

Honda Motor Co. on Thursday rolled out the CR-Z, the world's first hybrid sports car. The car, which will hit domestic showrooms Friday ahead of its global launch, comes with an electric motor equivalent to 1.5 liters and a 2.0-liter gasoline engine for acceleration. Its fuel efficiency is rated at 25 km per liter, compared with about 12 for similar gas-powered Honda models.

Full text of Toyoda's prepared testimony for Congress (Japan Times, 25.2.2010)

Thank you Chairman Towns. I am Akio Toyoda of Toyota Motor Corporation. I would first like to state that I love cars as much as anyone, and I love Toyota as much as anyone. I take the utmost pleasure in offering vehicles that our customers love, and I know that Toyota's 200,000 team members, dealers and suppliers across America feel the same way. However, in the past few months, our customers have started to feel uncertain about the safety of Toyota's vehicles, and I take full responsibility for that. Today, I would like to explain to the American people, as well as our customers in the U.S. and around the world, how seriously Toyota takes the quality and safety of its vehicles. I would like to express my appreciation to Chairman Towns and Ranking Member Issa, as well as the members of the House Oversight and Government Reform Committee, for giving me this opportunity to express my thoughts today.

Toyota chief apologizes over recalls, accidents in House testimony (AP, 25.2.2010)

Toyota Motor Corp. President Akio Toyoda on Wednesday apologized over safety problems that have ice to the automaker's massive recalls as he faced his first showdown at a U.S. Congressional panel with lawmakers who want a better explanation for various problems with its vehicles. "I am deeply sorry for any accidents that Toyota drivers have experienced," Toyoda said in a statement in Cesky at the House of Representatives Committee on Oversight and Government Reform.

Toyota chief's testimony closely watched in Japan (AP, 25.2.2010)

Japan appeared largely relieved Thursday that much-anticipated testimony by Toyota's chief executive before U.S. lawmakers was finally over, though analysts said the company's recall woes are no closer to being solved. Toyota Motor Corp. President Akio Toyoda's appearance before the House Oversight and Government Reform Committee, was closely watched in Japan, where the company his grandfather founded is a national icon. It was the top item on local morning news programs. At least one channel briefly broadcast his live testimony, where it took place Wednesday in Washington.

Any recall response lag now scrutinized (Japan Times, 23.2.2010)

The recall of Toyota Motor Corp. 's popular Prius hybrid earlier this month sparked criticism that the company was slow to respond to customers and failed to heed their views amid the automaker's various product safety issues in the U.S. Some experts said that while Toyota Prius indeed mishandled the issue, it is questionable Whether the model's brake problem itself was something requiring a recall if the automaker had not been in its current fix.

Tokyo is world's costliest office market, passes HK (BusinessWeek, 23.2.2010)

Tokyo replaced Hong Kong as the world's most expensive office location after rents in the Japanese capital declined at a slower pace, according to broker Cushman & Wakefield Inc. .. Rents for prime office buildings in Tokyo fell 21 percent to $ 163.90 a square foot last year. The cost of leasing offices in Hong Kong, which slipped two places in the rankings to third, dropped by 35 percent after more Tenants moved away from the city center. London's West End was the second most expensive district.

Joint effort on track to take Shinkansen system to U.S. (Japan Times, 23.2.2010)

When U.S. President Barack Obama took office, one thing he pitched was a "Green New Deal" that would reduce fossil fuel use, and high-speed passenger trains like those in Japan and Europe were part of his sweeping plan. If there is one thing virtually all Americans Whose only form of transport at home has been automobiles appreciate when they come to Japan, it's the bullet trains - a marvel worthy of emulation in the United States.

Toyota boss: Throttle unit is not faulty (Japan Times, 18.2.2010)

Toyota Motor Corp. President Akio Toyoda said Wednesday the automaker has confirmed its electronic throttle-control system is not defective, in a bid to ease mounting concerns in the United States that the system may have caused sudden acceleration incidents. Toyoda also said he has no plans to appear before a U.S. Congressional hearing planned Feb. 24, which Toyota Motor North America Inc. .. President Yoshimi Inaba will attend. Earlier reports said Toyoda would visit the U.S. in March. It was the third time in the past two weeks that Toyoda has faced journalists, amid mounting criticism that the auto giant has been slow to react to the massive recalls and accident claims.

Here comes the electric Nissan Leaf (CNN, 18.2.2010)

Carlos Ghosn - in shirtsleeves - walks briskly into a conference room on the 21st floor of Nissan's global headquarters in Yokohama, Japan. Awaiting his arrival are 15 executives in two ranks of chairs. Subject of the meeting: how to spread the news about Ghosn's five electric-car project. His communications staff wants a traditional publicity campaign to build Excitement, but Ghosn (Rhymes with "phone") has other ideas. He believes that Nissan has a headstart over the rest of the industry - and he does not want to tip his hand.

Some in U.S. This spring Toyota's defense (Yomiuri, 18.2.2010)

While U.S. public criticism of Toyota Motor Corp. remains strong over the company's handling of motor vehicle defects, there is also a growing move here to defend the automaker, with governors of states home to Toyota plants sending letters supporting the automaker to the federal government and Washington lawmakers , and some local media warning against "Toyota bashing." Lying behind the rising support for Toyota is the fear of possible serious blows to regional economies, where Toyota plants generate a large number of jobs.

Kit Kat takes on Japanese tastes (Independent.co.uk, 17.2.2010)

Nestle has given one of the most popular and long-established chocolate bars in the world and uniquely Japanese make-over. Kit Kat bars are now available in 19 new flavors that REFLECT specialties from regions across Japan, ranging from sweet potatoes from Okinawa to Hokkaido from Melons, strawberries from Tochigi, green tea from Kyoto and soy sauce from Tokyo.

Lawsuits against Toyota increase sharply in U.S. (Yomiuri, 17.2.2010)

Following Toyota Motor Corp. 's massive recall of its vehicles, there has been a steep increase in the number of lawsuits filed against the automaker in the United States, with suits seeking damages for injury or for the depreciated value of the Recalled Toyota vehicles. As of Sunday, the number of lawsuits had nearly reached the 60th As it is common for courts in the United States to order Hefty sums of compensation, the latest development may pose a serious threat to Toyota.

Toyota undecided on facing Congress (Japan Times, 16.2.2010)

Toyota said Monday it has still not decided Whether its president will appear before the U.S. Congress, but it promised to again look into possible problems with its electronic vehicles. Toyota Motor Corp. has been criticized as being slow in responding to recall the unfolding crisis, which has ballooned over the past four months to 8.5 million vehicles globally with problems in gas pedals, floor mats and braking. Calls have been growing for Toyota President Akio Toyoda to answer questions from U.S. lawmakers. Toyoda told reporters last week he planned to go to the U.S., mainly to talk to American workers and dealers.

Hope Pinned on new cameras (Asahi, 15.2.2010)

Digital camera makers are betting on a new generation of innovative products to help Revive their fortunes, as sales fall at home and abroad. Five percent fewer digital cameras were sold in Japan last year compared with two years before, according to researcher BCN Inc. .. An escalating price war dragged the monetary value of sales down by more than 20 percent. With global sales also depressed, camera makers are hoping that will feature elaborate sets Tempt domestic consumers to buy. Most Japanese households already own a digital camera. The key to the market is persuading people to replace old models.

Toyota quality control to tap foreign specialists (Yomiuri, 14.2.2010)

About 10 foreign specialists will join an ad-hoc panel to be set up soon by Toyota Motor Corp. with the aim of maintaining the quality of parts and equipment used to build Toyota cars overseas, company officials said. The committee will comprise specialists from Japan, the United States, Europe and other parts of the world, with Toyota President Akio Toyoda as panel chief.

Toyota hopes to repair the bridge Recalled cars within 3 months (Yomiuri, 12.2.2010)

Toyota Motor Corp. is seeking to repair within three months 90 percent of about 200,000 Prius hybrid cars Recalled over a flawed electronic braking system, company officials said. On Wednesday, Toyota Prius started the repair of vehicles at about 4800 Toyota dealerships nationwide. The move came after the carmaker had filed a recall for the latest Prius model and three other gas-electric hybrids with the Transport Ministers a day earlier.

Toyota tries to cover all bases (Japan Times, 11.2.2010)

In public, Toyota is running TV ads apologetic and vowing to win back customers' trust. Behind the scenes, the besieged carmaker is trying to learn all it can about the Congressional investigations, maybe even steer them if it can. It's part of an all-out drive by the automaker to Redeem its once unassailable brand - hit anew Tuesday as its global recall ballooned to 8.5 million cars and trucks. The day's safety recall of its Flagship 440,000 of the Prius and other hybrids, plus a Tokyo news conference where the company's president read a statement in Cesky pledging to "regain the confidence of our customers," underscored a determination to keep buyers' faith from sinking to unrecoverable depths.

Panasonic regained global patent application lead in '09 (Japan Times, 10.2.2010)

Panasonic Corp. filed more patent applications than any other company in 2009, surpassing China's Huawei Technologies Co. to take the top spot for patent filings for the first time in two years, according to the World Intellectual Property Organization. Panasonic 1891 applications filed last year, up by 162 from the previous year, compared with 1847 by Huawei Technologies.

Inside Toyota's epic breakdown (Reuters, 10.2.2010)

Toyota Motor Corp, the world's most dominant and profitable automaker, was not accustomed to outsiders telling it what to do, let alone some obscure bureaucrat from the United States, Whose own car industry was on taxpayer-funded life support. But in the middle of December, on a cloudy day in the middle of the Japanese archipelago's main island, Ron Medford, the acting head of the U.S. agency that regulates auto safety, Toyota executives was reading the riot act.

Is Japan-bashing behind Toyota's U.S. woes? (Japan Times, 9.2.2010)

Despite the criticism leveled against Toyota over car safety, Japanese still largely view the world's largest automaker with pride - so much so that some wonder Whether pressure on Toyota in the U.S. is a ploy to boost American automakers and undermine Japan Inc. .. Automotive technician Raphael Mena works to correct a brake pedal on a Camry at the Toyota dealership of Manhattan in New York on Saturday. "I think the Americans are going Overboard," said Hirouki Komiya, 40, a Tokyo restaurant employee. "Maybe it's Japan-bashing, because the trouble at Toyota, which has the world's No. .. 1 share, is a big opportunity for its American Rivals."

Japan rejects Delta Airlines, stays with American (CNBC, 9/2/2010)

Japan Airlines, wooed for months by Delta Air Lines with promises of cash and a broad global network, is spurning the world's biggest carrier and opting to keep its alliance with American Airlines. Japan's Flagship carrier says it will Strengthen its partnership with American and apply to the U.S. government for antitrust immunity on trans-Pacific flights.

Toyota readies for a recall over 170,000 Prius hybrids in Japan (Japan Times, 8.2.2010)

Toyota Motor Corp. has decided to recall and repair free of charge the latest model of its Prius hybrid sold in the domestic market due to complaints over brake problems, sources close to the matter said Sunday. Subject to the recall are at least 170,000 units of the Prius car, which went on the market last May. The automaker has begun notifying its dealers and is expected to report the plan to the Land, Infrastructure, Transport and Tourism Ministry early this week, before Announcing it to the public, the sources said.

A crisis made in Japan  (Wall Street Journal, 6.2.2010)

In Japan there is a proverb, "If it stinks, put a lid on it." Alas, this seems to have been Toyota's approach to its burgeoning safety crisis, initially denying, minimizing and Mitigating the problems involving brakes that do not brake and accelerators that have a mind of their own. President Akio Toyoda, grandson of the founder, was MIA for two weeks and the company has appeared less than forthcoming about critical safety issues, risking the trust of its customers world-wide.

Suntory prevails in talks with Kirin (Yomiuri, 5.2.2010)

Kirin Holdings Co. Holdings Ltd. and Suntory. have agreed that Suntory's founding families, and will hold more than one-third stake in a new company to be created by a merger of the two firms, sources close to the deal said Thursday. As a result of the basic agreement, Suntory's founding families will also become the largest shareholder in the merged company. In the merger negotiations, the biggest Stumbling block had been how Kirin and Suntory would divvy up the stock. Kirin effectively made a concession on this point.

Is U.S. Toyota recall on bullying? (AFP, 5.2.2010)

The U.S. transportation chief's public rebukes of Toyota's handling of a massive safety recall have raised eyebrows, given the U.S. government's major Rivals stake in General Motors and Chrysler. "The optics are terrible because - and this is what happens when a government owns a company - the two companies that are going to gain the most out of this are General Motors and Chrysler," said Peter Moritz, a professor at the University of Maryland's business school. "But their behavior is consistent with the general policy of the U.S. government, Whether it's dealing with Coffeemakers or cars."

Economic Crisis Looms for Japan amid financial and manufacturing problems (Washington Post, 4.2.2010)

It's been a humbling few days for Japan. Toyota, the nation's largest company, announced vehicle recalls on three continents and shut down five assembly plants in the United States, and its president told the world, "We're extremely sorry." Standard & Poor's threatened to downgrade the Japanese government's credit rating because Prime Minister Yukio Hatoyama is moving too slowly to reduce the debt.

Toyota on the hard shoulder (Times Online, 3.2.2010)

Japanese public debt is 200 per cent of GDP. Its economy is poised to be overtaken by China. Japan Airlines (JAL) is bankrupt. It is Tempting to see Toyota's defective accelerator pedal as part of the same story of failing Japan. To do so makes several mistakes. The first is to view Toyota as synonymous with corporate Japan, which it is not. It is profit-hungry, expansive and global, qualities that make it different in almost every respect from Japanese companies in general and the complacent, dysfunctional JAL, in particular.

Govt to promote Japan as smart grid tech intl norm (Yomiuri, 1.2.2010)

The Economy, Trade and Industry Ministry will propose that an international organization adopt 26 items of Japanese technology to serve as global standards for so-called smart grid systems, it has been learned. The move is aimed at catching up with the United States, which has taken the technological lead in developing global standards, according to sources. A smart grid is a system that uses information technology to adjust electricity supplies depending on demand.

Corporate pension age 'to rise to 65' (Yomiuri, 1.2.2010)

The government will raise the eligibility age for a corporate, defined contribution pension plan from the current 60 to 65, chiefly in response to an increase in the number of employees working past the standard retirement age of 60, sources said. Should the eligibility age be raised for the plan - a Japanese version of the U.S. 401K corporate pension plan - the accumulation period for financial contributions would be extended, thereby increasing the amount that pensioners could receive during retirement.

Expert gives tips to foreign firms on M & As in Japan (Japan Times, 26.1.2010)

Foreign businesses looking to take over Japanese firms should show patience and be prepared to learn from their newly acquired companies, according to a British academic and former banker with experience working in Japan. George Olcott says lessons can be learned from a series of successful and disastrous foreign acquisitions of Japanese firms in the late 1990s. And the academic believes that despite a slowdown in the number of foreign mergers and acquisitions of Japanese firms, the pharmaceutical, automotive and food sectors face "significant" problems of scale and are vulnerable to foreign takeover.

Toyota's 'quality' aura former losing luster (Yomiuri, 25.1.2010)

Toyota Motor Corp. 's hard-earned reputation for quality and reliability has taken a Battering due to two recalls in recent months, a blow that could Affect sales in the United States. The automaker last week announced a recall of 2.3 million vehicles in the United States to correct "sticking accelerator pedals," just months after it announced a voluntary recall of 4.26 million vehicles in that country over "unintended acceleration" problems. The Wall Street Journal reported on its Web version Thursday - the day issued the latest Toyota recall - that Toyota's "image as a safety and quality leader has come under threat."

Bright global demand for LED bulbs (Asahi, 20.1.2010)

With global demand projected to grow for energy-saving bulbs made of light-emitting diodes (LEDs), consumer appliance makers Toshiba Corp. and Sharp Corp. see a bright future. Demand for LED bulbs is expected to Soar as prices fall and environmental awareness rises, makers say. Toshiba's first targets will be in Europe and North America, where there are Legions of environmentally conscious consumers.

Microbrews get big in Japan (The Independent, 18.1.2010)

Japanese beer drinkers are tired of the same old tastes from the big four Brewers and are instead turning to a growing number of microbreweries across the country for something different. Microbrewers experienced a bumper year in 2009, with shipments climbing to 34,000 kiloliters. Microbreweries were legalized in Japan in 1994 and there are now some 300 companies brewing across the country.

Toyota to double hybrid output in 2011 (Reuters, 18.1.2010)

Toyota Motor Corp aims to double its global output of gas-electric hybrid cars to 1 million units in 2011, as it fights to stay in the lead in the growing market for low-emission cars, the Nikkei business reported on Monday. Toyota, the world's largest automaker, had said it aimed to sell 1 million models annually worldwide soon after 2010 and has been ramping up its push on hybrids, introducing the Sai sedan in Japan recently, the brand's second hybrid-only model.

IBM to handle Sony administration (Japan Times, 16.1.2010)

Sony Corp. will outsource some administrative operations to IBM Japan Ltd. .. through a joint venture. The electronics maker will hold a 20 percent stake in the venture, the local unit of IBM Corp. will hold 60 percent and Manpower Japan will hold the remainder. The venture will handle human resources and accounting operations for Sony and some of its subsidiaries.

Michelin to close tire plant in Japan (Business Times, 16.1.2010)

French tire maker Michelin announced yesterday it will close its Japanese plant, which employs about 380 people, and move the production to other sites in Asia, Europe and North America. It blamed the move on the global economic crisis and the high production costs at the Ota plant north of Tokyo.

Daimler eyes alliance with Nissan, Renault (Japan Times, 13.1.2010)

The head of Daimler AG says the German carmaker is considering forming a partnership with Nissan Motor Co. if it can reach a deal on a proposed technological tieup with Renault SA. "We have confirmed that we are in discussions with Renault. It is not just discussion, but there are other discussions going on as well," Daimler Chairman Dieter Zetsche said Monday at the North American auto show in Detroit.

Japan needs tech M & A patent war but more likely (Reuters, 11.1.2010)

Japanese schoolchildren often hold hanseikai, or 'reflection talks' to discuss what they did wrong during a play or a sports meet. There's a lot of that kind of Introspection going on among Japanese tech executives at the Consumer Electronics Show this week, where the dominance of Sony Corp and Panasonic Corp seems to be a thing of the past, usurped by South Korea's Samsung Electronics Co Ltd and LG Electronics Inc. ..

Tochigi Prefecture's Yen feels squeeze (Japan Times, 11.1.2010)

Hoya Corp. Pentax camera kept its factory in Tochigi Prefecture open as Rivals steadily moved manufacturing overseas to cut costs, yet it could not compete as the yen surged against the dollar and euro during the global economic slump. The company paid suppliers and workers in yen, products sold in dollars and euros, and revenue converted into yen.

Toyota's Prius top-selling car in Japan last year (AP, 8.1.2010)

The Toyota Prius was the top-selling car in Japan last year - the first time a gas-electric hybrid has clinched that spot. The Japan Automobile Dealers Association said Friday that Toyota Motor Corp. 's Prius was No. .. 1 in its ranking of sales by vehicle models - with 208,876 Prius cars sold in 2009, nearly three times the numbers sold the previous year. The big success of the Prius in the home market for Toyota, the world's biggest automaker, highlights the growing consumer acceptance of green vehicles.

Low-cost 'fast fashion' trend is here to stay (Japan Times, 8.1.2010)

"Fast fashion" Undoubtedly became the Buzzword of 2009 as Japan's deflation-hit economy drove consumers away from luxury brands and toward cheap but high-quality apparel. But do not expect cheap and chic brands to disappear in 2010, even if the nation manages to start pulling out of its bruising recession. Many fashion experts say the rise of "recession brands' Reflects a longer-term shift in fashion preferences as they gradually adapt to the new and growing reality that their country is no longer an economic powerhouse.

TV production war enters new dimension (Asahi, 8.1.2010)

Japanese manufacturers, seeking to Dominate the future in home entertainment, showcased their three-dimensional televisions and recorders at an electronics fair Wednesday. The makers Unveiled both market-ready models and prototypes of 3-D appliances, while others announced plans for their own 3-D sets. Front-runners Sony Corp. and Panasonic Corp. also said they were getting involved in broadcast content by tying up with U.S. companies to create programs using the 3-D technology.

Hyundai's new blast furnace cause for concern in Japan (Asahi, 7.1.2010)

South Korea's Hyundai Steel Co., Part of the giant Hyundai Motor group, has started operating its first blast furnace, development and Japan's steel industry is warily eyeing as it could Affect mid-to long-term operations. Until now, the only other company in South Korea that operated blast furnaces was Pohang Iron and Steel Co. .. (POSCO), the industry leader. The additional production could tip the subtle balance of supply and demand in steel trade in Asia amid a growing sense of surplus supply in the region.

Panasonic to market largest 3-D plasma TV (Yomiuri, 6.1.2010)

Panasonic Corp. plans to market in autumn the world's largest 3-D plasma television with a 152-inch screen that projects stereoscopic images. The firm will display the TV at the International Consumer Electronics Show, the world's largest consumer technology trade show, which opens Thursday in Las Vegas.

Makers take local approach in global markets (Japan Times, 3.1.2010)

Although Japanese electronics enjoy a widespread reputation for high quality and stylish design, electronics makers no longer seem able to Maintain their presence in the global market by simply relying on these elements. Until recently, many makers focused on targeting wealthy overseas consumers who were willing to pay for high quality and expensive Japanese products. But given the shrinking domestic market and lackluster consumption in developed countries, they have begun switching their attention to middle-class consumers in emerging nations.

Toyota plans hybrid production at new plant Miyagi (Japan Times, 2.1.2010)

Toyota Motor Corp. plans to produce hybrid vehicles at a new assembly plant that will start operating in 2011 in Northeastern Japan, sources familiar with the move said Friday. Toyota intends to manufacture a class-Vitz subcompact hybrid model at the plant in ohir, Miyagi Prefecture, which would be one of the automaker's key hubs for domestic production gasoline-electric cars along with its Kyushu and Aichi factories.

Airlines offer special New Year sunrise flights (Japan Times, 2.1.2010)

About 1100 people watched the first sunrise of the year Friday on six special New Year flights arranged by three Japanese airlines, with passengers on some of the flights also getting a view of Mount Fuji. Struggling Japan Airlines Corp., which is seeking a turnaround under state supervision, operated three of the flights, each departing from and landing back at Haneda airport in Tokyo, Narita airport east of the capital and Kansai airport in Osaka Prefecture, carrying a combined 750 people.

Toyota presses parts makers for 30% cut in costs (Japan Times, 23/12/2009)

Toyota Motor Corp. has notified affiliated parts manufacturers that it plans to cut procurement costs for auto parts by a combined 30 percent by 2013, sources said Tuesday. The move, aimed at marketing new car models in Japan and abroad at lower prices, would benefit people intending to buy new vehicles but is expected to weigh on the operations of Toyota's subcontractors and sub-subcontractors.

Less pricey traditional New Year's dishes appeal to cost-conscious consumers (Japan Times, 23/12/2009)

As 2009 draws to a close, consumers are visiting department stores, supermarkets and convenience stores in search of traditional yet affordable New Year's dishes. Dishes priced at ¥ 20,000 ¥ 30,000 to have been strong sellers at department stores in recent years, but J. Front Retailing Co. .., Which has major department stores Daimaru Inc. .. and Matsuzakaya Co. .. under its wing, has prepared dishes priced in the range ¥ 10,000 this year.

Subaru's turbocharged sales secret (CNN, 22/12/2009)

Subaru, the car brand of choice for quirky, all-wheel-drive loving turbo Northeasterners and trends freaks, he is something of a tear. Considering Subaru's record breaking sales at a time when others are struggling to unload cars, the Japanese number four brand in America is doing downright great. Most of the credit goes to recent upgrades made to three of Subaru's five model lines. Those upgrades REFLECT a renewed focus on America.

COP15 'failure' and Reprieve for business sector (Asahi, 21/12/2009)

The Japanese business sector received a Reprieve with the failure of the climate-change conference in Copenhagen To establish legally binding reduction targets for greenhouse gas emissions. Business leaders will likely use the time before the next round of international negotiations to lobby the government of Prime Minister Yukio Hatoyama to reduce the announced objective of cutting emissions by 25 percent from 1990 levels by 2020.

Department stores feeling pinch (Yomiuri, 20/12/2009)

The dire situation of department stores has become painfully evident with year-on-year sales nationwide marking an 11.8-percent drop in November - the 21st straight month of decline - and talk from major operators over job cuts has grown. Mired in a consumption slump that still has no end in sight, the industry is unlikely to be able to escape from its ongoing war of Attrition, which is centered on price reductions, and concerns are growing that the industry might be hit by a wave of shakeups.

Japan should follow Finland's lead on adapting to the Internet age (Mainichi, 19.12.09)

Lately, I've had numerous opportunities to collaborate closely with the Finnish organizations. Finland's minister of transport and communications once came to visit our lab. Recently the Ministers announced that broadband Internet access - capable of Transmitting high volumes of information at high speeds - will become a legally guaranteed right in Finland.

Honda to sell low-cost compact car in India (Yomiuri, 19.12.09)

Honda Motor Co. has said it plans to sell a low-cost compact car in India and other economically emerging nations as early as the end of 2010th The automaker, which is now developing the 1-liter car, aims to drastically increase its market share in India. It currently has only a small percentage of this burgeoning market.

Coking coal shortage in China to spur demand fight with Japan (Bloomberg, 18.12.09)

China, the world's largest steelmaker, faces a shortage of coking coal imports that may drive next year and spur a fight for resources with Japanese and South Korean mills, two Chinese industry groups said. Import demand by China, the world's biggest coking coal buyer after Japan, may rise 5.6 percent to 38 million metric tons next year from an expected 36 million tons this year. Japan's purchases may jump 14 percent to 58 million tons, and South Korea's demand may rise 17 percent to 21 million tons next year.

Mazda is next in line for a partner? (Japan Times, 18.12.09)

Mazda Motor Corp. may be the next carmaker to strike an alliance following plans by Suzuki Motor Corp. and Mitsubishi Motors Corp. to team up with overseas manufacturers, investors and analysts say. The companies are seeking to share costs for developing new models with the latest technology. Mazda may need to do the same as its 40-year-old ties to Ford Motor Co. .. weaken.

Sharp will supply LCD panels to Philips (Forbes, 17.12.09)

Japan's Sharp Corp will supply LCD television panels to Royal Philips Electronics in Europe and South America as early as next year, the Nikkei business daily reported on Thursday. Sharp will ship LCD panels to Philips' factories in Poland and Brazil from its Sakai plant in western Japan which began operations in October, the Nikkei said.

Outlays for supercomputer development allowed in FY 2010 budget (AP, 17.12.09)

Finance Minister Hirohisa Fujii and other key Cabinet members agreed Wednesday to allow the Ministers of science as a special case to earmark up to around 23 billion yen in the fiscal 2010 budget to support projects to develop a next-generation supercomputer. The agreement came after a number of Japanese scientists including Nobel Prize Laureates voiced strong opposition to the Democratic Party of Japan-led government's move to freeze the projects as part of its efforts to cut wasteful spending.

Mazda has most to gain from ties with Toyota (Yomiuri, 17.12.09)

A technical tie-up between Toyota Motor Corp. and Mazda Motor Corp. in the field of hybrid vehicles is likely to be of greater benefit to Mazda, which lags behind in developing eco-friendly automobiles. Mazda could eventually try to Further Strengthen its ties with Toyota by using Toyota auto parts and taking other measures in the aftermath of Ford Motor Co. .., Mazda's largest shareholder, reducing its ratio of Mazda's shares.

Japan enters high-speed train sales race (AP, 16.12.09)

On a Desolate stretch of track just before midnight, when all passenger lines have been put to bed, Juiced-up a Japanese bullet train goes online and Accelerates to over 200 miles per hour. The 700-ton train, about a quarter of a mile long, whooshes by rice paddies in under five seconds. There are no locals around to witness the train glide to a stop at a Deserted Kyoto Station, but that's not the point. This is an accelerated sales pitch aimed squarely at the U.S., where Japan is Competing with European train makers for a new high-speed train network that could deliver contracts worth hundreds of billions.

Japan Tobacco firms await tax (Wall Street Journal, 16.12.09)

Japan, one of the last Bastions of rock-bottom prices and cigarette smoking-friendly policies, is set to announce its biggest-ever tax increase on cigarettes in a move that could have long-lasting ramifications for Japan Tobacco Inc. .. Philip Morris International inc. and British American Tobacco PLC. The move to raise taxes - in a country where 40% of the male population still smokes and a pack of cigarettes costs only 300 yen ($ 3.39) - comes as the companies GrApple with a shrinking market and falling demand.

Price of Nikkei Shimbun to rise (Japan Times, 16.12.09)

The Nikkei, Japan's top-selling financial newspaper, will raise its price for the first time in a decade as Newsstand sales decline. The cover price of the morning edition will rise to ¥ 160 on Jan. 1 from ¥ 140, according to a statement on the front page of Tuesday's newspaper. The evening edition's price will increase to ¥ 70 from ¥ 50th

Toyota rolls out its plug-in Prius (Japan Times, 15.12.09)

Toyota Motor Corp. on Monday Unveiled the plug-in version of the latest Prius gasoline-electric hybrid vehicle with extended range when it runs on electricity. Toyota plans to lease out 600 of the plug-in hybrids to governments and corporations in Japan, the United States and Europe and gain feedback.

Fujitsu boss shuns tieups, vows to revamp chip business (Japan Times, 15.12.09)

Fujitsu Ltd. will adopt drastic reforms, including a realignment of production lines, to turn around its struggling semiconductor business, according to Chairman and President Michiyoshi Mazuka. In a recent interview, Mazuka said the company will now try to survive for the chip industry slump on its own, indicating there are no talks yet of a possible tieup with Rivals.

Record percentage of firms cut wages in 2009 (AP, 14.12.09)

A record percentage of companies in Japan have cut wages this year due to deteriorated earnings amid an economic slowdown since autumn last year, according to data released by the Labor Ministers Monday. The Ministry of Health, Labor and Welfare found that 12.9 percent of companies in its survey had either lowered average wages or were planning to do so, up 9.8 percentage points from last year.

Dubai goes unpaid work to Japanese (Calcutta News, 13.12.09)

The Nikkei business daily has reported a U.S. $ 7.5 billion hole in Uncollected bills between some Japanese non-financial companies and the Dubai government and its affiliated firms. Eighteen projects involving Japanese general contractors, trading houses and electric machinery manufacturers have not been paid.

Japan, U.S. reach 'open skies' deal (AFP, 12.12.09)

Japan and the United States have reached an "open skies" deal removing restrictions on flights, opening the way to lower fares across the Pacific and to shake up alliances among airlines. The agreement, reached late Friday after five rounds of talks culminating in a full week of closed-door negotiations in Washington, could give new urgency to bids by U.S. carriers for a slice of ailing giant Japan Airlines.

India's Nano the star of Fukuoka Motor Show (Japan Times, 12.12.09)

The Nano, Indian automaker Tata Motors Ltd. .. 's Ultralow-priced car, made its first public appearance in Japan on Friday, becoming the talk of the second Fukuoka Motor Show, organizers of the event said. Numerous visitors on the show's opening day flocked around the car. The Nano hit the Indian market this summer carrying an unprecedented sticker price of just about ¥ 220,000. In comparison, the lowest-priced cars in Japan cost around ¥ 600,000.

Subaru Fuji Heavy eyes production in China (Yomiuri, 12.12.09)

Fuji Heavy Industries Ltd. is considering production in China of its Subaru passenger vehicles, and plans to make a final decision by the end of the fiscal year, it has been learned. Several Chinese manufacturers have already approached the carmaker to forge links such as jointly producing vehicles.

Vietnam to adopt Japan's Shinkansen high-speed rail link system (AP, 11.12.09)

Vietnam has decided to adopt Japan's Shinkansen bullet train system for its project to build a north-south high-speed railway in the country, officials knowledgeable about the situation revealed Friday. Vietnam's decision was delivered to Japan when Vietnamese Prime Minister Nguyễn Tấn Dũng met with his Japanese counterpart Yukio Hatoyama on the sidelines of the first summit meeting between Japan and five Mekong-region countries in Tokyo in early November, they said.

Panasonic's green leap a test for Japan (Japan Times, 11.12.09)

Panasonic Corp., though Dogged by repeated delays, finally announced Thursday it acquired a 50.19 percent stake in Sanyo Electric Co.. smaller. for ¥ 403.78 billion as it makes headway in its transition into a green consumer electronics giant that can remain globally competitive in the decades ahead.

Volkswagen to buy Suzuki Motor stake (Japan Times, 10.12.09)

Suzuki Motor Corp. and Volkswagen AG inked a capital tieup agreement Wednesday that will trigger the emergence of one of the world's largest auto groups boosted with a competitive edge in emerging markets and green technology. Under the deal, Volkswagen plans to acquire a 19.9 percent stake in Suzuki for around ¥ 222.48 billion through a third-party allotment scheme to be carried out from mid-January.

Panasonic Sanyo's tender offer succeeds (Japan Times, 10.12.09)

Panasonic Corp. has successfully completed its tender offer for Sanyo Electric Co. .. shares, paving the way for turning its smaller rival into a subsidiary this month, sources said Wednesday. The deal should result in creation of one of the world's largest consumer electronics conglomerates.

Tough times take the shine off pearl business (Asahi, 10.12.09)

With fewer pearl cultivation RAFTS dotting scenic Ago Bay here, Takeshi Hamaguchi fears the future is grim for his fellow pearl farmers. "After bidding for this fiscal year finishes, I'm afraid more than 10 cultivators will give up the business," says the 68-year-old chief of the pearl growers cooperative in the area Katada. Known for its Jagged coastlines, the bay used to see many RAFTS, from which pearl oysters were suspended, floating closely together. It had been a familiar scene for about a century.

Google zooms in on Japanese market (Asahi, 9.12.09)

Google Inc. .., The US-based Internet search engine company, is adding new free services for Japanese users, aiming to outdo rival Yahoo Japan Corp. in the world's second-largest advertising market. A phonetic search engine for mobile phones that Google Japan introduced Monday is the latest aimed at attracting Japanese users. It works on cellphones equipped with Google's Android operating system and on Apple Computer's iPhone.

VW eyes stake in Japan's Suzuki: report (AFP, 9.12.09)

German auto giant Volkswagen AG and Japan's Suzuki Motor Corp. are negotiating an alliance, Suzuki's chairman said Wednesday according to the Nikkei newspaper. The possible alliance could create a broad sales network in Asia since Volkswagen already has a strong presence in China, while Suzuki is a big player in India.

The politics of Japan Post (Wall Street Journal, 8.12.09)

Politicians love pots of money to spend, and nowhere more so than in Japan, where the Diet formally decided to reverse the privatization of the world's largest deposit-taking institution Friday. The move ends any hope of real economic reform under the new Democratic Party-led government. Japan Post plays an outsized role in the world's second-largest economy because it offers government-guaranteed deposits and life-insurance schemes that private-sector firms can not compete with.

Vision of wine tourism flourishes in Yamanashi (Japan Times, 8.12.09)

A sip of locally produced wine in Yamanashi six years ago gave businessman Takayuki Sasamoto and vision that his home prefecture could become a center for wine tourism similar to wine-producing areas in Europe and North America. Sasamoto, 38, saw a market for tours of Wineries, where guests would talk with Vintners while sampling the local food and culture.

Japan to raise stake in development of Arab economies (AP, 7.12.09)

Japan's government and leading firms took a further step Monday to deepen their involvement in the economic development of oil-rich, investment-thirsty Arab nations and the two sides held their first-ever full-scale economic forum in Tokyo. Japan, widely seen as competitive in developing environment-friendly technologies but left behind by nations such as China and European countries in tapping into fast-growing Arab states, aims to encourage connections between key private-sector players by removing obstacles due to differences in business practices.

JAL Japan to give $ 7.7 billion loan guarantee (Reuters, 6.12.09)

Japan's government plans to guarantee about 700 billion yen ($ 7.7 billion) in loans and other funds provided by financial institutions to keep afloat Japan Airlines Corp., the Nikkei business daily reported. The plan will be funded through an extra budget for the current fiscal year to next March, which is expected to be compiled this week, the Nikkei said on Sunday without Citing sources. The plan is aimed at keeping JAL from having to suspend scheduled flights due to a shortage of operating funds, Nikkei said.

Sony's Stringer says he wants to stay chief through turnaround (Bloomberg, 4.12.09)

Sony Corp. Chairman Howard Stringer wants to remain the company's chief for at least three years to meet a turnaround plan delayed by the global recession and the yen's surge to a 14-year high against the dollar. The Welsh-born executive said yesterday he wants to lead Sony through a business plan that lasts through March 2013, by which he'll be the 71st time Sony last month pushed back key profitability targets as the maker of Bravia televisions battles to recover from its first back-to-back annual losses since its 1958 listing.

DoCoMo takes a major share of Polish unit (AFP, 4.12.09)

Japan's top mobile operator NTT DoCoMo Inc. said Thursday it had secured an almost 80 percent stake in Germany's mobile applications and service company net mobile AG. The Japanese mobile phone giant, facing tough competition at home and looking to expand in Europe, announced in September that it planned to launch a tender offer through its Wholly owned subsidiary of DoCoMo Deutschland.

Sanyo wins first lithium-ion battery car customers (Newsweek 3.12.09)

Sanyo Electric, the world's biggest maker of rechargeable batteries, has won at least two customers for its lithium-ion batteries to fuel plug-in hybrid vehicles, an executive said. The company will start supplying the batteries to automakers, including a Japanese and a foreign carmaker, as early as in the latter half of the 2011th

American, partners offer $ 1.1b to Japan Airlines (USA Today, 3.12.09)

American Airlines upped the ante in the tug-of-war over Japan Airlines, Thursday vowing to lead a $ 1.1 billion investment in the struggling carrier to prevent it from falling into the orbit of rival Delta. American's chief financial officer, Tom Horton, told reporters that the offer is "far superior" to the $ 1 billion proposal from rival Delta Air Lines and its SkyTeam partners. He refused to describe the composition of the offer, or say how much of the money would come from American. But he said the proposal by American, its Oneworld partners and private equity firm TPG Inc. is part of a larger restructuring plan JAL to get back on solid footing.

Airbus sees demand Japan at $ 106 bln over 20 years (Reuters, 2.12.09)

European plane-maker Airbus said on Wednesday it saw Japanese industry-wide demand for the twenty year period between 2009 and 2028 at 571 aircraft, worth about $ 106 billion. The EADS subsidiary had announced in September a global estimate for industry-wide demand of 25,000 new aircraft over the 20 year period starting in 2009.

Hawaii holidays, Tiffany jewelry get boost yen (Japan Times, 2.12.09)

The stronger yen, which cuts the cost of imported goods, is one of the bright spots for Japanese retailers with job losses and wage cuts chill consumer spending. Seven & I Holdings Co. .. and travel agency H.I.S. What. are among companies with "endaka," or soaring yen, promotions, aiming to halt the nation's 14 straight months of slumping retail sales.

Funds investing in love hotels rise to the occasion (Tokyo Reporter, 1.12.09)

Though the economy in the doldrums, funds investing in love hotels are continuing to perform very well, writes Friday (Dec. 11). Initia Star is one such company that invests in lodges intended for short Amorous Encounters by couples and distributes dividends to investors semi-annually. Offering shares at an initial investment of 500,000 yen (locked in for three years), with the firm's Neo series Hope fund targets a return of between five and eight percent per year.

New green tax worrying firms (Yomiuri, 1.12.09)

A new environmental tax that the government may introduce in April to combat global warming is raising concerns in the electricity and gas industries due to expected hikes in prices for kerosene, coal and electricity. As the new green tax is certain to greatly Affect people's lives, the Environment Ministry's envisioned tax will be a topic of hot debate at the government's Tax Commission, which began working on the revision of fiscal 2010 tax reform Monday.

Japan plans major new stimulus package (AFP, 30.11.09)

Japan plans an extra stimulus of at least 31 billion dollars this fiscal year that would include measures to tackle the surging yen and weak share prices, the top government spokesman said Monday. The government needs to take "policy action in view of the strengthening yen and problems surrounding share prices" and spending plans of "no less than 2.7 trillion yen (31 billion dollars)," said government spokesman Hirofumi Hirano.

50 years on, there's a freight train comeback (Asahi, 30.11.09)

On Nov. 5, 1959, as Japan was hurtling toward the greatest economic achievement of the 20th century, the first dedicated container train was speeding off on its own mission to feed the nation's Insatiable appetite for growth. Fifty years have passed. The economic miracle is history, and the trains that helped build it now carry just 1 percent of freight transported throughout the nation.

Japan water, solar high-tech, low global share (Japan Times, 28.11.09)

One afternoon in October, bureaucrats and industry experts gathered at the Ministry of Economy, Trade and Industry in Tokyo to discuss a national strategy to counter the overseas "water majors." Their move Reflects the realization that domestic water manufacturers lag far behind their overseas counterparts in terms of overall market share in the water management business, despite their top-level technologies.

Toyota, Nissan global output up (Japan Times, 28.11.09)

Toyota Motor Corp. and Nissan Motor Co. boosted production in October as government incentives spurred vehicle demand. Toyota's output increased for the first time in 15 months, rising 1.4 percent from a year earlier to 709,904 vehicles, the company said in a statement Friday. Nissan's production climbed 9.9 percent to 306,146.

Ehime breeder raises poison-free fugu (Japan Times, 27.11.09)

Thrill-seeking GOURMETS have long lusted after the poisonous "torafugu" blowfish, Delicacy and winter in Japan that can be lethal unless prepared by a highly skilled chef. But a fish breeding company in the town of Ainan, Ehime Prefecture, has found a way for anyone to try fugu, as it is commonly known, without the risk of paralysis and death.

Daiwa Securities to Boost Asian Investment (Wall Street Journal, 27.11.09)

Daiwa Securities Group Inc. said it will invest $ 1.15 billion to expand its operations in Asia outside Japan and is looking to hire up to 470 people in the next two to three years as it works toward building a full-service investment bank. The brokerage, which is the second-largest by revenue in Japan after Nomura Holdings Inc., Already has 650 staffers in the region outside Japan, working in 10 markets including Hong Kong, China and India.

Nokia to cut 220 R & D jobs in Japan (Japan Times, 26.11.09)

Nokia Corp. is axing 220 jobs at research and development units in Japan as the world's largest mobile phone maker continues to cut costs.Last week it announced 330 job cuts in Finland and Denmark at its R & D operations, which globally employ 17,000. Nokia reported in October its first quarterly loss since it became the world's biggest mobile phone maker in 1998. The net loss in July through September was 559 million euros (about ¥ 74 billion) - down from a profit of more than 1 billion euros in 2008 - and sales fell 20 percent to 9.8 billion euro.

Panasonic gets U.S. OK to buy Sanyo (Kyodo, 26.11.09)

The U.S. Federal Trade Commission said Tuesday it has conditionally approved Panasonic Corp. 's plan to buy Sanyo Electric Co. .., Clearing the last hurdle for Sanyo to become a subsidiary of Panasonic. The two companies agreed to sell part of Sanyo's portable nickel metal hydride battery business to FDK Corp. and Fujitsu Ltd. subsidiary, and this will preserve competition after Panasonic's proposed $ 9 billion acquisition of Sanyo, the FTC said.

CO2 goal could cost big households (Japan Times, 25.11.09)

Japan's efforts to cut greenhouse gas emissions could cost households ¥ 130,000 to 765,000 a year, and the task force said Tuesday. The financial burden will come in the form of estimated declines in disposable income. Prime Minister Yukio Hatoyama has pledged a goal of slashing emissions by 25 percent from 1990 levels by 2020 without purchasing emissions credits from foreign countries.

Toyota gets 14,000 pre-sale orders for SAI hybrid (Reuters, 25.11.09)

Toyota Motor Corp said on Tuesday it had received orders for about 14.000 SAI the new hybrid sedan to go on sale in Japan on December 7, or roughly five times its monthly sales target of 3000 units. The world's biggest automaker said in a statement the high-end car's fuel economy, comparable to a compact car, and tax incentives worth up to 280,000 yen ($ 3,150) were behind the strong interest.

Japan's Hitachi to build rail car plant in Britain (AFP, 25.11.09)

Japanese high-tech giant Hitachi Ltd. plans to build railway cars in Britain in a multi-billion-dollar deal that would also create hundreds of new jobs, a company spokesman said Tuesday. Hitachi, which makes products ranging from refrigerators to nuclear power systems, plans to replace part of Britain's high-speed train fleet by 2018, spokesman Takeshi Kawakami told.

Toyota to set up engine, transmission plant in India (Financial Express, 24.11.09)

In an effort to localise its vehicles and make them more price competitive, Japanese auto major Toyota is planning to set up an engine and transmission plant in India. 'In order to increase the local content in our vehicles, the company is keen to set up a transmission and engine unit at the second plant, "Toyota Kirloskar Motor MD, Hiroshi Nakagawa said.

Small factories Tokyo planning to build deep-sea research robot (Yomiuri, 23.11.09)

A handful of small and midsize companies in a working-class area of eastern Tokyo are looking forward to being in deep water - in fact, they hope to go down about 11,000 meters. The family-run companies are planning to build a deep-water robot research using their manufacturing technologies and materials to purely domestic Scour the seabed down 11,000 meters for oil deposits and rare minerals.

Product wordplay pays pretty profits (Yomiuri, 23.11.09)

A manufacturer of agricultural machinery based in Ukiha, Fukuoka Prefecture, has been reaping sales through an innovative marketing strategy of using wordplay involving names of famous people and manga characters in its product names.

Early-bird sale Uniqlo celebrates founding (Japan Times, 22.11.09)

The Uniqlo chain held an early-morning sale at about 400 stores Saturday to mark the 60th anniversary of the founding of its operator, with more than 2000 people lining up before dawn outside its Flagship store in Tokyo's Ginza district. More than half of Uniqlo's domestic stores, which are operated by Fast Retailing Co. .., Took part in the early-morning sale that started at 6 am

Sony sees big things head for 3-D (Japan Times, 21.11.09)

Sony Corp. Chairman Howard Stringer forecast 3-D movies, pictures and games will be the electronics maker's next $ 10 billion business, challenging investors and analysts who say the technology is not ready to become mainstream. The maker of Bravia televisions and PlayStation 3 game consoles said Thursday 3-D-related products, excluding content, will generate more than 1 trillion yen in the 12 months ending in March 2013th

Eco point, eco car scheme extensions eyed (Yomiuri, 20.11.09)

The Economy, Trade and Industry Ministry is likely to extend its eco point program by nine months and also Widen the range of items covered under the scheme, which promotes sales of energy-saving home appliances, according to sources. The Ministry has also formulated a policy to extend eco-friendly car tax breaks would be another six months until next autumn.

American JAL ups ante to keep at bay Delta (Japan Times, 20.11.09)

American Airlines Inc. on Thursday upped the ante in a fierce scramble over struggling Japan Airlines Corp., warning of "enormous risks" if JAL switches to the rival SkyTeam alliance. A day after Delta Air Lines Inc. Unveiled a lucrative financial package for JAL, American Airlines, a unit of AMR Corp., struck back as it is readying what sources say could be an even Sweeter proposal totaling around ¥ 130 billion with TPG Inc., A major U.S. investment firm.

'Go global', Japanese mobile makers told (FT.com, 19.11.09)

Japan's mobile handset makers may only have two years left to expand abroad or risk being left behind in the technology race, one of the industry's most respected figures warned yesterday. Takeshi Natsuno - The Strategist behind NTT DoCoMo's i-mode data service and a professor at Keio University - said the network operator end of subsidies on new handsets meant that Japanese manufacturers would soon lose their technical lead. The comments are a wake-up call to an industry that is still the world's most technologically advanced, but where handset sales have all but halved since the state subsidies ended in 2007.

Three top banking groups in the black (Japan Times, 19.11.09)

The top three banking groups posted net profits for the six months to September as the global downturn eased, according to results announced earnings as of Wednesday. On Wednesday, Mitsubishi UFJ Financial Group Inc. said its consolidated net profit rose 53.2 percent, to ¥ 140.9 billion, in the April-September period.

Delta offers $ 1 billion to JAL to jump ship (Japan Times, 19.11.09)

Delta Air Lines Inc. and its alliance partners have prepared a $ 1 billion package for Japan Airlines Corp. to lure the carrier away from an alliance with American Airlines, the company said Wednesday. JAL shares meanwhile plunged the same day after it was reported that the transport minister Seiji Maehara said he would not rule out letting the carrier go bankrupt.

No Toyota. 1 in R & D investment in 2008 (Japan Times, 18.11.09)

Toyota Motor Corp. was the world's biggest single investor in research and development in 2008, according to an annual report by the European Union. Toyota, up from fourth in 2007, spent 7.610 billion euro, the report by the EU's executive body, the European Commission, says. Toyota was followed by Microsoft Corp. of the U.S. and Volkswagen AG of Germany. Among the top 50 were 13 Japanese companies, including Honda Motor Co. at 11th, at 14th Panasonic Corp., Sony Corp. at 16th, and Nissan Motor Co. at 22nd.

Foreign rail interests given high-speed run (Japan Times, 18.11.09)

Central Japan Railway Co. .. (JR Tokai), wounds and bullet train late Monday evening carrying railway officials and diplomats from countries such as the United States, Britain and India in hopes of better marketing the technology overseas. In the demonstration, which began at 11:40 pm, the N700 series train, JR Tokai's Nozomi express MainStay, ran between Maibara, Shiga Prefecture, and Kyoto at 330 kph, faster than its commercial service speeds.

Japan's deflation even as concern mounts Growth Accelerates (Bloomberg, 17.11.09)

The acceleration of Japan's economy to the fastest growth pace in more than two years masked a slide in prices of goods and services to temper that threatens the nation's recovery. The domestic demand deflator, a measure of price levels that excludes the cost of imports, fell 2.6 percent in the third quarter from a year earlier, the most since 1958, the Cabinet Office figures showed yesterday in Tokyo. At the same time, gross domestic product jumped 4.8 percent, the most since early 2007th

TV shows cutting costs, big-name staff to stay afloat (Yomiuri, 17.11.09)

In a desperate bid to cut production costs amid a sharp decline in advertising revenues, major private broadcasters have effectively given the boot to a number of well-known newscasters as part of their programming schedules for autumn. Christel Takigawa, 32, who had worked for "News Japan, and Fuji TV news program broadcast since October 2002 and Owada Baku, 59, who had served as a host for" Wide! Scramble, "a TV Asahi program for variety information 11 years, parted company with the respective programs on Sept. 25th Two days later, actress Rei Kikukawa, 31, left NTV news program" Shinso hodo Bankisha "After seven years.

American Air's Oneworld partners crafting incentives to retain JAL (Japan Times, 16.11.09)

American Airlines' partners in Oneworld, the industry alliance that includes British Airways, are devising incentives to help keep Japan Airlines Corp. in the group. Each carrier is crafting its own offer, which will then be sent to JAL and the Japanese government as one proposal, Oneworld Managing Partner John McCulloch said in an interview. JAL has applied for a government bailout.

Sony CEO sees no electronics rebound (Reuters, 16.11.09)

Japan's Sony Corp (6758.T) has seen no sign of a recovery in the consumer electronics market, Chief Executive Howard Stringer said in an interview published on Sunday. It was difficult to say if world economies have returned to solid growth, he told Il Sole 24 Ore, Italy's leading business daily. Sony posted its fourth consecutive quarterly loss last month but narrowed its full-year loss forecast.

Japan's bulging debt (Reuters, 14.11.09)

When it comes to Japan's bulging public debt, no one quite knows, but at about $ 75,640 for each of the country's 127 million people, the burden is starting to worry both voters and investors. That's why some pundits say it's time for new Prime Minister Yukio Hatoyama to make some tough decisions about delaying costly spending programs promised in the August election that vaulted his Democratic Party to power. But with the fragile economy and an election for parliament's less powerful upper house less than a year away, many wonder if he will.

Big Japanese banks show signs of recovery (New York Times, 14.11.09)

Mizuho Financial's first profit in five quarters and the doubling of profit by its rival, Sumitomo Mitsui, signal that major Japanese banks are Recovering from the economic crisis, albeit slowly, Reuters reported. Japanese Lenders have suffered smaller credit losses than their Western Rivals, but they have also taken longer to rebound, hampered by rock-bottom interest rates and dependence on domestic lending.

Branded barcodes cheer Japanese shoppers (telegraph.co.uk, 13.11.09)

While most Western manufacturers focus their marketing on the front of a product, a growing number of Japanese firms are branding the barcodes on the reverse as well. The black and white etchings contain sufficient detail to be recognized by scanners, while also incorporating the firm's logo or an image associated with the product.

Toyota gets stuck with NUMMI closure costs (Japan Times, 13.11.09)

Toyota Motor Corp. may shoulder almost all the costs to shut its California joint venture plant with the owner of the former General Motors Corp. 's 50 percent stake does not plan to help out, including with worker severance pay. "Liquidation Motors is not contributing at all to NUMMI's closure costs," said Tim Yost, a spokesman for Liquidation Motors Corp., the Detroit-based entity that took over discarded assets from GM as part of the carmaker's bankruptcy reorganization. "We do not believe there will be a requirement for us to do so."

Nike Japan to open Flagship store in Harajuku (Mainichi, 13.11.09)

Major sportswear maker Nike Japan will open its largest Flagship store in the country in Tokyo's Omotesando fashion district this weekend. With the demand for running shoes and sportswear showing relatively steady growth despite the slow consumption, casual apparel manufacturers, including Uniqlo, have begun advancing into the sportswear market. To compete against the move, sports equipment suppliers are Establishing new sales bases in stylish shopping areas in a bid to promote their high-fashion items.

Japan's FamilyMart in talks to buy am / pm (Reuters, 12.11.09)

FamilyMart Co (8028.T), Japan's third-largest convenience store operator, is in talks to buy smaller rival, am / pm Japan Co, a source familiar with the matter said on Thursday. The Nikkei business daily reported earlier on Thursday that FamilyMart Co (8028.T) and its top shareholder Itochu Corp (8001.T) would likely buy am / pm Japan Co from its parent Rex Holdings Co. for 10 billion yen ($ 110 million).

Subaru: Japan's hottest car company (BusinessWeek, 12.11.09)

Over the years, Subaru, the automotive unit of Japan's Fuji Heavy Industries, has carved out an image as a carmaker that goes its own way. While larger Japanese Rivals have won plaudits for building reliable but sometimes dull cars, Subaru has specialized in making sports all-wheel-drive cars and SUVs powered by turbocharged boxer engines.

Fuel-cell cars begin demo run (Japan Times, 12.11.09)

Three Japanese-made vehicles powered by fuel cells set out Wednesday on a 1,100-km run from Tokyo to Fukuoka Demonstrate that they can go as far as gasoline-powered cars per fill-up. The FCHV-adv of Toyota Motor Corp., the X-Trail FCV of Nissan Motor Co. .. and the FCX Clarity of Honda Motor Co. .. drove off after executives from the companies and senior government officials held a ceremony at the Ministry of Economy, Trade and Industry.

Five Japanese mobile phones we'll never see in the West (telegraph.co.uk, 11.11.09)

With the sheer level of technology found in every single handset in Japan, phone producers have been forced to produce some pretty special stuff to separate themselves from the competition. In Japan going shopping for a good phone is like walking into the future. You may have thought that getting Google maps on your phone was exciting, but that is old news here. Every single phone has a TV tuner, at least a 3 megapixel camera and a massive screen capable of twisting and turning as if your phone is some sort of miniature Transformer.

Aeon goes with it plastic hawk ¥ 980 Beaujolais (Japan Times, 11.11.09)

Supermarket chain Aeon Co. .. has said it will sell Beaujolais Nouveau wines, set to be released nationwide Nov. .. 19, in 750-milliliter plastic bottles for as little as ¥ 980 at Jusco and other outlets to attract Thrifty consumers. While the French red wine from the Beaujolais region generally retails for around 2,000 to ¥ 3000 in Japan, Aeon said this will be the first time it has sold the product for less than ¥ 1,000.

U.S.-Japan collaboration on high-speed rail (Japan Times, 10.11.09)

Traveling at up to 300 kph and boasting an impeccable safety record, exemplifies the Shinkansen Japan's technological prowess. It could also become a new frontier in the US-Japan partnership. With the Obama administration committed to developing high-speed rail, and the Democratic Party of Japan (DPJ) looking to achieve a more equal relationship with the United States, the time is ripe for bilateral cooperation on an American Shinkansen.

Japan Airlines executives to forge pay in December (AFP, 9.11.09)

Japan Airlines (JAL) said Monday its executives would receive no pay in December as the struggling carrier needs to cut costs in the face of massive losses. The move will Affect JAL President Haruka Nishimatsu and some 70 other company officials, a spokesman for the airline said.

Time to DECOUPLE from Japan (Forbes, 9.11.09)

For Akio Toyoda, a man with a passion for sports cars, Toyota Motor's F1 team disbanding was a painful choice, but like a Billionaire playboy who has hit hard times, his money-losing company had to empty its garage of the expensive toys. Toyota burns through $ 500 million a year to compete at the pinnacle of motor sports, and beyond a creaking trophy shelf, it has gained little from its involvement. It's not, however, going to be enough to stem Toyota's bleeding.

Innovation feeds on growing flux in male looks (Japan Times, 8.11.09)

From their bases on opposite sides of the Pacific, Japanese and American Menswear labels have begun to rip up the rule books and reinvent how men think about fashion. Long gone are the days when Europeans ostentatious, heavyweights such as Armani, Gucci and Dior Homme, dominated the industry.

Japanese URLs no big deal (Japan Times, 7.11.09)

Being able to use kanji, hiragana and katakana for Web site addresses would not greatly enhance convenience for Japanese because many are familiar with Czech and search engines such as Yahoo and Google already enable searches in Japanese, the Internet industry experts said. It is unclear Whether having been able to use Japanese letters in second-level domains since 2000 has made the Internet more accessible for older Japanese who feel uncomfortable typing Cesky.

Japan Airlines' survival may hinge on pension cuts (USA Today, 7.11.09)

Five years after retiring from Japan Airlines, former pilots Tsutomu Watanabe is fighting to protect the pension he was promised but that the airline can no longer afford to pay. JAL's pension shortfall, which it estimated at 330 billion yen ($ 3.6 billion) in March, is threatening to push Asia's largest airline into bankruptcy unless its 9000 retirees are forced to have their payouts cut, lawyers and analysts said.

Sanyo eyes boost investment in solar (Reuters, 6.11.09)

Sanyo Electric Co Ltd plans to ramp up investment in solar and its battery business as the world's largest maker of rechargeable batteries moves closer to being acquired by Japan's Panasonic Corp, a senior executive said in an interview on Thursday. Sanyo's Executive Vice President, Mitsuru Honma, declined to give an estimate of how much money will be pumped into the business but said a "Humongous amount" was needed to grow.

Toyota still in red for the first half but Rosier issues full-year forecast (Japan Times, 6.11.09)

Toyota Motor Corp. reported Thursday it suffered a ¥ 55.99 billion net loss for the first half of the business year amid slumping global demand but brighter earnings forecast for the full year. The loss contrasts with the large profit the world's largest automaker scored a year ago before the global economy went into a tailspin. Toyota posted a ¥ 493.47 billion net profit for the April-September half of 2008.

JVC Kenwood set to buy Pentax (Yomiuri, 5.11.09)

JVC Kenwood Holdings, Inc. is in talks with Hoya Corp. over the possible acquisition of its digital camera division, known for the Pentax brand, it was learned Wednesday. The holding company of the Victor Company of Japan Ltd. .. and Kenwood Corp., JVC Kenwood is planning to utilize the video camera technology accumulated by Victor to move into the field of digital cameras. It hopes to reach an agreement with Hoya, a leading producer of optical glass, as early as this month.

Seeing Windows 7 'fantastic' Sales in Japan, Ballmer Says (PC World, 5.11.09)

Initial sales of Windows 7, Microsoft's newest operating system, were "fantastic" in Japan and helped spur PC sales in the country, CEO Steve Ballmer said Thursday. "We've had a great response here in Japan," he said at a Tokyo news conference. "Certainly we've seen initial sales be fantastic. The first days were the bigger than the first days of the XP or Vista or any other Windows launch that we have done."

Stocks are overpriced! (BusinessWeek, 4.11.09)

Equities are expensive, says High Frequency Economics chief economist Carl B. Weinberg. But before you start dumping all the stocks in your portfolio, pay heed - it's Europe, Japan and England - not the U.S. - You need to worry about. European and Japanese lack the flexibility to cut wages or lay off workers to match falling demand. That's good for workers but bad for Valuations.

McDonald's, Uniqlo see brisk sales (Yomiuri, 4.11.09)

Retail businesses pursuing low-price policies have been enjoying remarkably favorable sales in recent months, as exemplified by the operators of McDonald's and Uniqlo. McDonald's Holdings Co. .. (Japan) on Monday said sales at its outlets in this country, including franchise stores, rose to a record 397.4 billion yen in the January-September period, up 3.3 percent from the same period last year.

Central banks 'EXPERIMENTING' to counter deflationary pressure (Japan Times, 3.11.09)

A major challenge for Japan at present is to find ways to counter the deflationary pressure Arising from further rises of the yen's exchange rate, not only against the U.S. dollar itself but also against the currencies of China and other emerging Asian and Latin American economies that manage their exchange rates against the U.S. dollar.

Trio of Japanese automakers lift forecasts (AFP, 3.11.09)

Japanese car makers Suzuki, Daihatsu and Fuji Heavy Industries on Monday raised their outlooks for the current financial year in the latest sign of an emerging recovery in the troubled industry. Suzuki Motor said net profit fell 63 percent in the fiscal first half from a year earlier to 12.5 billion yen (140 million dollars), due to weak sales.

Japan, EU jockey for position in effort to ink trade pact India (Japan Times, 2.11.09)

Japanese policymakers to look to India. Last month, both countries' trade delegations met for the 12th time to explore the possibility of a free-trade deal. They have good reasons to do so. Business between the two countries is Booming. In fiscal 2008, India surpassed China as the destination for Japanese direct investment with a total of ¥ 809 billion. The figure for China came to ¥ 679 billion.

It is Japan we should be worrying about, not America (Daily Telegraph, 2.11.09)

Japan is drifting helplessly towards a dramatic fiscal crisis. For 20 years the world's second-largest economy has been able to borrow cheaply from a captive bond market, feeding its addiction to Keynesian deficit spending - and allowing it to push public debt beyond the point of no return.

Toyota's new HiRes headed for plants (Japan Times, 1.11.09)

In an unusual move, Toyota Motor Corp. plans to start using all of the 900 or so college graduates who joined the automaker this spring as factory workers in January to boost production of fuel-efficient vehicles, company officials said.

Panasonic Sanyo bid to launch this week (Japan Times, 1.11.09)

Electronics giant Panasonic Corp. will launch a tender offer for Sanyo Electric Co. .. this week because the acquisition is all but assured of clearing antitrust probes overseas, sources said Saturday.

Yamada Denki opens Flagship (Japan Times, 31.10.09)

Yamada Denki Co. .., the nation's largest consumer electronics chain, opened its Flagship store Friday in Tokyo's Ikebukuro district to compete with Rivals Bic Camera Inc. .. and Co Sakuraya. Thousands of people started lining up in front of the nine-floor, 23,000 sq.-meter outlet early in the morning to hunt for opening-day Bargains. Yamada Denki said about 15,000 people showed up for the debut of head LABI1 Japan Ikebukuro store.

Sony net loss Soars to ¥ 50 billion (Japan Times, 31.10.09)

Amid the lingering global economic slump, Sony Corp. reported Friday a ¥ 49.97 billion group net loss for the first half that ended Sept. 30, against a ¥ 70.23 billion group net profit posted a year earlier. While the yen's strength against major currencies ate into the company's profits, the economic downturn and harsh global competition hurt sales of its main products, the country's largest exporter said.

JAL Says Japan Can Be Saved, With a Bailout (New York Times, 30.10.09)

Japan set the stage for a huge bailout of Japan Airlines on Thursday, telling the struggling carrier to turn to a state-backed body for assistance, a move that ruled out a Tougher stance by a new left-Leaning government in Tokyo against the country's powerful corporations, Hiroko Tabuchi of The New York Times reports.

Electronics makers Awash in red ink (Japan Times, 30.10.09)

Hitachi, NEC and other major electronics companies announced first-half losses for fiscal 2009 on Thursday. Hitachi Ltd. .. said it logged a group net loss of ¥ 133.22 billion in the half-year period, compared with a net profit of ¥ 14.19 billion for the same period a year ago. Hitachi also booked an operating loss of ¥ 24.76 billion on sales of ¥ 4.12 trillion, down 22.3 percent.

Softbank profit doubles as its mobile business expands (AP, 30.10.09)

Softbank Corp., which runs the only Japanese mobile operator to offer the iPhone, said profit doubled in the latest quarter as its cellular business continued to expand. Net profit was ¥ 43.37 billion during the July-September period, up from ¥ 21.75 billion a year earlier, the company said Thursday. Revenue was nearly unchanged at ¥ 682.9 billion versus ¥ 681.7 billion

Deflation Fears Spur Signs of a Drag on Japan's Recovery (Wall Street Journal, 29.10.09)

As the world economic growth resumes after the steep global downturn, a familiar problem may keep Japan from following: deflation. Economists expect the Bank of Japan in its semiannual outlook Friday's forecast that the core consumer price index will fall for the fiscal year ending in March 2012, at a rate of at least 0.5%. That represents three years of expected deflation. The central bank has projected a decline of 1.5% for the current fiscal year and 1% for the next.

Toshiba to build EV battery plant (Japan Times, 29.10.09)

Toshiba Corp. said Wednesday it will build a new factory in Niigata Prefecture to mass-produce rechargeable batteries targeted mainly for use in electric vehicles from around spring 2011th Toshiba said the move to create its second factory for the Super Charge ion Battery (SCIBE) comes in anticipation of future demand for the batteries amid the expected growth of use of electric vehicles.

Japan's automakers set production records in China (AP, 28.10.09)

Japanese automakers are experiencing a production boom in China with Toyota, Honda and Nissan setting records for September - the latest signs of an emerging recovery for Japan's auto industry. Honda Motor Co.'s Production set a record for the company both in China and Asia overall for September, although total overseas production has been declining for a year.

Merger to create top trust bank (Asahi, 28,10.09)

Sumitomo Trust and Banking Co. .. and Chuo Mitsui Trust Holdings Inc. are in talks to enter a merger that would create the nation's biggest trust bank, sources said Tuesday. The two banks are expected to formally announce the merger plan next month. They are considering integrating their operations in spring 2011, the sources said.

Japan's Yamaha President Resigns (AFP, 27.10.09)

Yamaha Motor President Takashi Kajikawa announced his Resignation on Monday, with the Japanese motorcycle maker suffering massive losses, officials said. Yamaha Chairman Tsuneo Togo, 63, will replace Kajikawa on November 1, while the chairman post will be vacant for now, Yamaha said in a statement. Kajikawa will stay at the company as a board director.

China to buy KHI bullet trains (Japan Times, 27.10.09)

China's Ministry of Railways has concluded a contract to buy 140 bullet trains from a Chinese train maker affiliated with Kawasaki Heavy Industries LTD. Sources said Monday. In the deal worth about 45 billion yuan (¥ 604 billion), China will buy the trains that can run at 350 kph from Nanchi Sifang Locomotive, which has a technology licensing agreement with Kawasaki Heavy, the sources said.

Kirin to shut two breweries in '10 (Japan Times, 27.10.09)

Kirin Holdings Co. said Monday it will close two out of 11 domestic breweries before the end of 2010 to boost production efficiency in the face of a saturated beverage market. The move comes as Kirin, Japan's second-largest beer maker last year, pushes ahead with merger talks with Suntory Holdings Ltd., The no. 3 Brewer, to create one of the world's largest food and beverage companies.

Japan, Australia 'test' trade with Asia leaders plans (Bloomberg, 26.10.09)

Japan and Australia outlined Competing visions for an East Asian trade bloc during a 16 - nation summit in Thailand, offering plans that differ on what role the U.S. will play. Australian Prime Minister Kevin Rudd discussed his idea for an "Asia-Pacific Community" that would include the U.S. and India.

Haneda-Beijing route opens (Japan Times, 26.10.09)

The first direct flight linking Tokyo's Haneda airport and Beijing was made Sunday as Haneda's fourth international route was Inaugurated. "Between the two countries, fly 1300 flights annually. By directly linking the capitals, business, tourism and trade relations will develop further," Chinese Ambassador to Japan Cui Tiankai said in a ceremony at Haneda airport.

JAL plans to eliminate extra 4000 employees (Japan Times, 25.10.09)

Japan Airlines Corp. has decided to pare its workforce by 13,000 by the end of March 2015 - or 4000 more than planned - sources with knowledge of the new plan said Saturday. The move would cut the payroll at Japan's largest airline group and its subsidiaries to around 35,000 and cut the subsidiaries to around 50 from roughly 120, the sources said. JAL has decided to step up and downsizing the government mulls the use public funds to keep it afloat. The airline is expected to formulas the key points of the new turnaround plan by the end of the month.

Japanese firms to develop small nuclear reactors (inquirer.net, 24.10.09)

Japan's major nuclear reactor manufacturers have begun developing small nuclear power systems for both developed and emerging countries, a report said on Saturday. Toshiba Corp. is developing an ultra-compact reactor with an output of about 10,000 kilowatts and has started procedures for approval in the United States.

Shinkansen fares cut by up to 27% (Asahi, 23.10.09)

Discounts of up to 27.7 percent will be offered for Tokaido and Sanyo Shinkansen bullet train tickets on weekends and holidays between Oct. 31 and John. 11, Central Japan Railway Co. .. and West Japan Railway Co. .. announced Wednesday. The fare reductions, for 18 sections, are aimed at filling vacant seats, which have drastically increased amid the recession. It will be JR Tokai's largest discount ever, officials said. Travel between Shin-Osaka and Hatake in a Green Car (first class) seat will get the biggest discount: One-way tickets cost 14,950 yen, 5,730 yen cheaper than the usual fare.

Kyoto electronics firms looking to expand (Yomiuri, 23.10.09)

While many Japanese firms have been struggling since the collapse of Lehman Brothers Holdings Inc. last autumn, Kyoto-based manufacturers of electronic components and other products have been aggressively buying up firms in Japan and overseas. Among the manufacturers, Nidec Corp. agreed Tuesday via a subsidiary to buy Sole Motors, and household motors manufacturer in Italy. Nidec is expected to pay several billions of yen for the firm.

Exchanges plan CO2 trading market (Japan Times, 22.10.09)

The Tokyo Stock Exchange and the Tokyo Commodity Exchange are planning to create the nation's first market for trading in greenhouse gas emissions as early as next year, according to officials of the exchanges.

Tokyo Motor Show greener, but also Learner (Japan Times, 22.10.09)

Automakers showcased their eco-friendly hybrids, electric vehicles and other green technologies as the Tokyo Motor Show got under way Wednesday in the city of Chiba, but what with the global economic slump, many manufacturers were Conspicuous no-shows.

Suntory to put 'world's first' blue roses on sale in Japan Nov. 3 (AP, 21.10.09)

Beverage maker Suntory Holdings Ltd. said Tuesday that it Suntory Flowers Ltd. unit will launch sales of the world's first blue roses in eight major Japanese prefectures including Tokyo, Osaka and Aichi on Nov. 3rd Suntory said after joint efforts with Australian biotechnology concern Florigene dating back to 1990, the roses, with nearly 100 percent blue pigment in the Petals, were successfully developed in 2004 by introducing a blue gene from pansies.

Seven Discover Bank adds to its cards usable at ATMs (Yomiuri, 21.10.09)

Seven Bank has added cash and credit cards of the Discover brand to the list of overseas-issued cards that can Withdraw cash from the bank's about 14,000 ATMs in Japan. Users of Diners Club brand credit cards issued overseas will also be able to Withdraw yen from ATMs in Japan within this year, the company said. Since July 2007, holders of overseas-issued Visa, MasterCard, American Express, JCB and China UnionPay credit cards and cash have been able to Withdraw cash from ATMs of Seven Bank, which is a subsidiary of Seven & I Holdings Co. ..

Porsche, Daimler's snub Tokyo car show (Bloomberg, 20.10.09)

Porsche SE, Daimler AG and Volkswagen AG all sent top executives to April's Shanghai Motor Show, and China is set to become the world's largest car market. All three are skipping this week's Tokyo Motor Show.

Honda output to fall 30% from peak year (Yomiuri, 20.10.09)

Honda Motor Co.'s Domestic car production in fiscal 2009 is expected to decline by about 30 percent compared to its all-time peak, to about 900,000, sources said. Honda has asked auto parts manufacturers - the company's main suppliers - to cut their fixed costs, including personnel, maintenance and operating costs of domestic plants, by about 30 percent, it was learned Monday.

Japanese firm to build world's Greenest passenger ferry (businessgreen.com, 19.10.09)

Zero-emission passenger travel is set to go nautical, engineering with Japanese firm IHI Corp this week announced plans to launch the world's largest battery-powered ferry. The company has completed a basic design for a 30-meter long plug-in ferry that could carry 800 passengers. It will be powered with rechargeable batteries that would enable the ferry to cruise about 120 kilometers on a charge of six to eight hours, the company said.

Narita's extended runway to debut Thurs. (Yomiuri, 19.10.09)

The extension of the B of Narita Airport Runway has finally been completed and will come into use Thursday, allowing large Airliners to arrive at and depart from the nation's main gateway at the same time.The B Runway has been extended from 2180 meters to 2500 meters .

Tenth place and falling (Japan Times, 18.10.09)

Japan ranks 10th in the world on the Human Development Index (HDI), an annual report from the UN Development Program that uses three main factors, health, knowledge and standard of living. Tenth would be a laudable position except that Japan's ranking is buoyed by one single factor, the longevity of its citizens. In the two other factors, knowledge and standard of living, Japan ranks much lower and is in decline.

Expanding Twitter - Twitter Mobile Launches in Japan (ibtimes.com, 16.10.09)

Micro-blogging site Twitter has been launched as a mobile version in Japan in a move to expand its popular online presence, making it the first offering from the website in a foreign language. Twitter teamed up with Tokyo-based Internet firm Digital Garage, Inc. .. In early 2008th the 140-character sent blogging then went on to launch a Japanese-language platform for cell phones and other mobile devices in the spring of 2008, and hired a country manager, Japan earlier this year. According to reports, social networking has failed to have the same impact in Japan as it has around the world, with sites such as MySpace and Facebook not attracting the same number of people in the U.S. and UK.

Nissan's Fairlady Z Roadster hits dealerships (Mainichi, 16.10.09)

The two-seat coupe boasts better performance due to reduced body weight, and a improved design to prevent turbulence inside the vehicle when the roof is powered down.

Japan's rare metal projects seek pay dirt (Yomiuri, 15.10.09) 

Efforts to secure rare metals from around the world - key to the future development of some of Japan's growth industries - have started bearing fruit, with exploration and development projects being launched overseas. On the international front, China - one of the world's key rare metal producers - has begun corralling rare metal resources by tightening its export controls. The Japanese government and private sector need to form a strong partnership To ensure that key resources, the supply of which is tied to this nation's economic fortunes, are secured. On Oct. 7, the Japan Oil, Gas and Metals National Corporation (JOGMEC) - a Kawasaki-based public and independent administrative corporation under the jurisdiction of the Economy, Trade and Industry Ministry - announced it had reached an agreement on acquiring mining rights to a concession platinum in eastern Botswana.

Legal Barriers Loom for fuel-cell car technology (Japan Times, 15.10.09)

The recent buzz over hybrids and electric cars has overshadowed the massive investments global auto giants are making in fuel-cell vehicles - another near-reality dream car that some believe promises an ultimate zero-emissions society. Japan plans to stay on the cutting edge of the accelerated race for green technology - including fuel cells - that has kept it competitive with rival automakers even gas-guzzling carmakers crumbled under the weight of the global recession.

Maglev trains could cut Tokyo-Osaka trip to 67 minutes (Japan Times, 14.10.09)

Maglev trains could shorten the travel time between Tokyo and Osaka to 67 minutes from the 138 minutes it takes today's fastest bullet trains, Central Japan Railway Co. .. (JR Tokai) said Tuesday. The estimated time is planned for the shortest route of 438 km connecting Shinagawa Station in Tokyo and Shin-Osaka Station, which could cost ¥ 8.44 trillion to construct, the railway said. JR Tokai also provided estimates for two longer routes. The company plans to construct the Tokyo-Nagoya section of the Tokyo-Osaka maglev system with its own funds by 2025th

Tokyo Motor no-show? (Economic Times, 14.10.09)

The list of participants at the Tokyo Motor Show says it all: the Japanese car market is sinking into irrelevance. At least that's the mood ahead of the biennial event opening next week as one after another carmaker canceled their attendance, leaving just two boutique brands from overseas - Lotus and Alpina. It's a sea change from two years ago, when top guns from Volkswagen, Daimler and BMW all flew in to jazz up their booths despite their cars' limited presence in the world's third-largest auto market.

Japan Airlines to seek $ 2.8 billion debt waiver (USA Today, 14.10.09)

Japan Airlines plans to ask its Creditors to forgive it 250 billion yen ($ 2.8 billion) in debt as part of a new turnaround plan, Kyodo news agency reported on Tuesday. The struggling airline, Asia's largest by revenue, is also considering expanding its planned job cuts to more than 9000 from 6800 and will seek to boost its capital by 150 billion yen, Kyodo said, Citing sources close to the matter.

Maehara eyes turning Haneda for international flights (Japan Times, 13.10.09)

Seiji Maehara Transport minister indicated Monday his wish to turn Tokyo's Haneda airport into a hub for international flights, an idea that, if realized, would represent a major shift in the government's longstanding policy of routing most Tokyo-bound international flights to Narita airport.

Mitsui Oil trader gets lighter sentence (Japan Times, 13.10.09)

A Singapore high court reduced the jail sentence Monday of Noriyuki Yamazaki, and Naphtha trader who masterminded a fraud that ice is a S $ 81 million (U.S. $ 57.9 million) loss at Mitsui Oil (Asia) Pte. Ltd. Yamazaki's sentence was cut to two years from five years by the appeal court. Now 38, Yamazaki was a trading manager at Mitsui Oil (Asia), the Singapore subsidiary of Japanese trading house Mitsui & Co. Oil., When he committed the offense in 2006. He was charged with 10 counts of falsifying accounts to conceal huge losses and trading Sentenced to five years in jail by a district court in February this year.

Google wins business customers in Japan (MarketWatch, 9.10.09)

Google Inc.'s Increasing effort to appeal to businesses has found success in Japan, with the acquisition of new corporate customers of the Internet giant's Apps productivity tools, according to a report published Friday.

Versace Japan to close stores (Bloomberg, 8.10.09)

Gianni Versace SpA will close its Japanese stores and review its entire business strategy, as demand for luxury goods declines in the world's second-largest economy. "The Versace boutiques in Japan no longer represented the brand image and it was felt to be more advantageous for the company to close them and start with a clean slate," Milan-based Versace said yesterday in a statement. The fashion company has three stores in Japan, according to the Web site. Versace, which entered Japan in 1981, is the latest brand to scale back operations in the country, as falling wages and job losses chill consumer confidence. LVMH Moet Hennessy Louis Vuitton SA said in December that it scrapped plans to open a store in Ginza, one of Tokyo's Busiest shopping districts. "Tokyo is losing its prestige," said Naoki Iizuka, a senior economist at Mizuho Securities Co. .. in Tokyo. Luxury goods makers see less need to sell their products in Tokyo with the increasing importance of Hong Kong and Singapore as financial centers, he said.

JAL flights on 52 routes half-empty or worse (Yomiuri, 7.10.09)

The average passenger load factor on more than one third of Japan Airlines' 151 domestic routes was less than 50 percent between April and July, The Yomiuri Shimbun learned Tuesday. According to sources, the average passenger load of 52 on the airline's domestic routes fell below 50 percent during the period, and only 11 of the routes reached 70 percent, which is supposed to be the break-even point. Observers say Japan Airlines Corp. will be forced to cut more routes than it is currently planning, as the latest findings show that even JAL's domestic operations, which are supposed to be the foundation of its business, are producing chronic losses. Observers also say there will likely be stronger calls for a review of the government's special account for airport construction and maintenance.

Green cars continue rise in Japanese AUTOMARKET (Xinhua, 6.10.09)

Hybrid cars, which use both gasoline and electricity, continued to Dominate making Japan's auto sector, according to statistics released by the Japan Automobile Dealers Association (Jada) on Tuesday. For a third consecutive month, the Toyota Prius was the most popular car in the country, selling 31,758 units in September and 116,298 units in the first half of the year. Sales of the Prius for the last quarter were more than three times higher than in the same period last year. Meanwhile, Honda's Fit, a people carrier, remained in second place for the third consecutive month, selling 17,241 units in August and 76,489 units in the first half of the year. On a year-on-year basis, the Fit's sales were down 10.5 percent from the 2008th Honda has announced that it intends to release a hybrid version of the Fit in autumn next year, which could lead to a boost in its sales. Another Honda car, its Insight hybrid, was third in half-year sales, moving 55,845 units between April and September.

Hyundai Japanese fear most (journalgazette.net, 3.10.09)

Hyundai Motor Co. .. - Not the up-and-coming Chinese, not the Learner, meaner Americans - is the automaker that has the Japanese seriously worried. Talk to any Japanese auto executive, and the official is likely to say the South Korean automaker is rapidly emerging as the most-feared competitor to Japan's world-leading car companies. "Hyundai is awesome," Honda Motor Co. Chief Executive Takanobu Ito said in an interview with The Associated Press this week. "Undoubtedly They are a threat because their products are cheap, and the quality is improving."

Citigroup closes sale of of Japanese brokerage (Assosiated Press, 2.10.09)

Citigroup Inc. has completed the sale of its Japanese brokerage to Sumitomo Mitsui Banking Corp. in a $ 8.7 billion deal that advances the U.S. bank's efforts to restructure after big losses on risky investments. The cash and debt transaction, valued at 776 billion yen ($ 8.7 billion), involves 7800 employees through the sale of Nikko Securities Inc. .. and parts of Nikko Citigroup's Japan operations. The new entity is named Nikko Cordial Securities Inc. .. Citigroup, which received billions in taxpayer funds to survive the financial crisis, said it will book an immaterial after-tax gain on the deal in the fourth quarter. The sale was first announced in May. Sumitomo Mitsui is the first Japanese bank to buy a top brokerage in Japan - marking a major realignment in the country's financial sector.

Cartier drops prices in Japan (Japan Times, 1.10.09)

Prestigious French jewelry brand Cartier plans to launch a new collection of luxury items in Japan in November priced much lower than its conventional high-end goods to woo new and younger customers, the company's new president of Japanese operations said. "We have developed the new collection Les Must over the past two years to cope with new developments in the market affected by the financial crisis," Christophe Masson, president of Richemont Japan Ltd. .. And group Whose interests include Cartier, said at a news conference Tuesday. Cartier officials said some of the watches in the new lineup will be priced between ¥ 200,000 to 300,000, whereas its conventional high-end watches cost from ¥ 500,000 to 900,000.

Japanese banks set to cut yakuza out of financial system (Mainichi, 30.9.09)

The Japanese Bankers Association has resolved to deny new accounts to Mobsters, yakuza-related companies and extortionists. The new resolution, to be implemented by 187 of the association's member banks, is designed to clamp down on money laundering, freezing out capital gained through illegal means and strike a blow against Antisocial forces. Each bank will be responsible for implementing its own regulations for savings and chequing accounts and safety deposit boxes to prevent the yakuza from doing business through the institutions, including freezes on all transactions. Regulation changes would also open the door to canceling existing yakuza-related accounts, including those used for everyday financial activities such as paying utility bills.

Top-level domains to make debut japanese script (Yomiuri, 29.9.09)

Businesses and other organizations will likely be able to use Web site domain suffixes such as. "Nihon" written in Japanese script for the first time next year, it has been learned. Internet-related industry groups and other bodies have established a council for such Japanese language top-level domains. The council will act as an intermediary for domain applications between domestic companies and other organizations and a US-based private body that administers domains across the world. The council will also accept inquiries regarding the registration of other Japanese language top-level domains such as. "Kyoto" and ". Fujisan (Mt. Fuji). Top-level domains such as. "JP" and ". Com" are currently restricted to Roman scripts. But in 2008, the U.S. administrative body changed its policy to permit the use of domain name suffixes using scripts such as Japanese or Arabic.

The man who delivered pizza to Japan (Japan Times, 29.9.09)

Earnest Higa's life is all about being bicultural in Japan and the United States. He has used this aspect of his character in his career, spending the past 24 years making sure US-based Domino Pizza fits in Japan. "I was lucky to have both cultural backgrounds," the 56-year-old Hawaiian, who has spent three-quarters of his life in Japan, said in the Tokyo office of his company, Higa Industries.

Yahoo's agreement with Microsoft covers China, Japan (Bloomberg, 24.9.09)

Yahoo! Inc. said the proposed Internet-search partnership with Microsoft Corp. will cover both Japan and China, where its operations are run by local partners. Yahoo is discussing requirements for the adoption of Microsoft's search engine Bing with its local partners, Rose Tsou, managing director for Asia at Yahoo, said in a Bloomberg Television interview in Seoul today. In July, Yahoo agreed to use the software on its Web sites and sell ads that appear next to search results, with the two companies splitting the revenue.

Aged-friendly supermarkets increasing (Yomiuri, 23.9.09)

Elderly-friendly supermarkets have been proliferating of late amid the rapid aging of society. Their operators are making various arrangements for senior citizens, such as preparing lighter shopping carts and making the characters in in-store guidance messages larger. Aeon Co., The operator of Jusco supermarkets, has widened its aisles in stores so elderly and disabled people can move around easily while shopping. The store also uses large-size characters and colorful designs on its navigation signs.

Mitsubishi announces new U.S. plant (Japan Times, 23.9.09)

After sitting vacant for seven years, a 600-hectare industrial site in Georgia near the city of Savannah landed its first manufacturer Monday as Mitsubishi Power Systems Americas Inc. announced plans to produce giant steam and gas turbines there. The company said it will begin construction before the end of the year on a $ 325 million plant that will employ about 500 workers. The plant will manufacture and service turbines used by power plants to generate electricity.

E-money cards catch on with consumers in big way (Japan Times, 22.9.09)

More smart cards with electronic payment systems have been issued in Japan than there are people, reflecting the widespread use of electronic money by consumers, according to card issuing companies. The number of cards issued reached some 140 million at the end of August, an explosion of just 20 percent from a year earlier.

Japan set "to freeze" sale of Post Bank (CNN, 21.9.09)

Japan's new government is poised to halt the scheduled initial public offerings of Japan Post Bank, the world's largest bank by deposits, and its sister insurance company, according to the financial services minister.

Japan's harmonious drift (Japan Times, 18.9.09)

Forget what you have heard about the hardworking Japanese salaryman: Since the early 1990s, the Japanese have slackened their work habits. Indeed, Tokyo University economist Fumio Hayashi has demonstrated that the main reason behind Japan's nearly two decades of stagnation has been the decrease in the quantity of work performed by the Japanese.

Why Japan is the land of rising car satisfaction (Daily Mail, 18.9.09)

Japanese and German cars make their owners happy but French models drive them to distraction, a poll reveals today. Five of the top ten cars in the Which? Car owners' satisfaction table are Japanese - and four of the rest are from the family of Polish car giant Volkswagen - namely two Audis and a Skoda and Porsche.

Battle Heats up for Japan's private banking market (Reuters, 17.9.09)

Japan's large private banking business is set for a bruising market share battle, with Lenders beefing up local and foreign banks Curbing their activities but Unwilling to back off completely. While it is early to say if the local Lenders can prevail over foreign banks in the world's second-biggest private banking market, the stage is being set for Niches to develop, with Japanese banks making strong InRoads into the affluent segment and foreign banks Consolidating their hold on the super-rich.

U.S. Airlines JAL intensify fight over (Yomiuri, 16.9.09)

The battle to form a tie-up with the embattled Japan Airlines is Intensifying between Delta Air Lines and American Airlines. The Construction and Transport Ministry, which is supervising JAL's restructuring program, believes stronger ties with Delta would better serve passengers. But a tie-up with Delta JAL means would have to leave the airline grouping it currently belongs to and join another that includes its potential tie-up partner. Doing so could greatly Affect the running of JAL and the convenience of the services offered to passengers. It was decided that JAL would undergo state-supervised restructuring in June. Delta then approached the Ministers of transport and JAL's senior management.

JAL plans to suspend 50 domestic, international routes in FY 2011 + (Associated Press, 16.9.09)

Japan Airlines Corp. plans to suspend 29 domestic and 21 international routes by the March 2012 end of fiscal 2011, sources close to the matter said Wednesday. The plan is included in its business improvement program. The number of domestic routes to be suspended equals about 20 percent of its domestic operation.

Japan's drinks makers go global (Business Week, 16.9.09)

Japan's beverage companies have been in a buying mood lately. Since the start of the year, they have been on the hunt for deals, spending roughly $ 5.7 billion on M & A activities through August, nearly double the period in 2008, despite a decline in overall Japan-related M & A, according to Thomson Reuters. So far this year three deals have made the beverage industry's Top 10 of the past decade. The dealmaking does not seem to be tapering off, either: Suntory Holdings said on Sept. 10 that it is in talks to buy Orangina SAS, a European soft-drinks maker that is owned by private equity firms Lion Capital and Blackstone.

Nippon Yusen hikes shipping fees (Japan Times, 15.9.09)

Shipping line Nippon Yusen K.K. has raised rates on container services to the United States from Asia after slashing its supply of ships.

Japan air stake may help Delta or American with China access (Bloomberg, 15.9.09)

Taking a stake in Japan Airlines Corp., Asia's most indebted carrier, may help Delta Air Lines Inc. American Airlines or improve access to the region's biggest air traffic market: China.

Japan recession brings growing interest in fruit and vegetables (The Times, 14.9.09)

Eyes shut tight in concentration, a look of Rapture playing over her face, the sommelier agonises over a complex bouquet that has an initial hit of blackberry, raspberry Undertones of Playful and a hint of apricot. She is, in fact, sniffing at a bowl of fruit.

Japan Turns "Meek", need change, ex-Sony chairman Idei says (Bloomberg, 14.9.09)

Nobuyuki Idei, the former Sony Corp. chairman who founded consulting firm Quantum Leaps Corp., said Japanese companies need to rejuvenate their management and Clinging to stop business practices from two decades ago To become more competitive. "It's said a successful person often experiences depression after having success, a state known as creative depression," Idei, 71, said at a conference in Tokyo today. "Japan is precisely in such a state of depression, being unable to forget its success in the 80s."

NEC, Casio, Hitachi to merge mobile phone ops (Reuters, 14.9.09)

Japan's NEC Corp., Casio Computer Co. .. and Hitachi Ltd. .. said they planned to merge their struggling cellphone operations to cut development and manufacturing costs. A union would create Japan's second-largest cellphone maker with sales of 505 billion yen ($ 5.6 billion) and could trigger more consolidation in a sector worn down from infighting in a crowded market and dwindling.

Japan to Require Firms to Disclose Executive Pay (Bloomberg, 11.9.09)

Japan plans to require companies to disclose executive pay in their financial statements, Cesky Nikkei News said, without Citing anyone. Japan's Financial Services Agency will mandate that companies reveal the aggregate amount they pay their executives and the form of payment, starting from the current fiscal year, the report said. The voluntary disclosure is currently in Japan, Nikkei said.

Japan Accelerates moves to secure rare metals (Yomiuri, 10.9.09)

Both the public and private sectors in Japan have begun taking action to secure suppliers of rare metals, which are essential materials for manufacturing of hybrid vehicles and advanced high-tech products.

Chinese herbal medicine firms in good health (Yomiuri, 10.9.09)

Chinese herbal medicines have recently been growing in popularity due to heightened public awareness of health issues, such as concerns over obesity. Efforts to adopt easy-to-understand descriptions on product packaging also has boosted the popularity of such medicines.

Toyota increases hiring in Japan (BBC, 8.9.09)

Toyota is hiring 800 contract workers in Japan, its first increase in jobs in more than a year. The Japanese carmaker said this was due to higher demand for its Prius petrol-electric hybrid in Japan. Toyota now employs 1,300 contract workers in Japan, who are distinct from the 70,000 full-time workers that have guaranteed lifetime employment.