Section 3 Communicating Japan's Economic Strengths (Including the Promotion of Japanese Agriculture, Forestry, Fishery and Food Exports)

1 Promotion of Japanese Companies' Overseas Business Expansion by the Ministry of Foreign Affairs and Accompanying Diplomatic Missions Overseas

Recent years have seen a rise in the number of branches operated by Japanese companies with branches overseas, reaching over 74,072 as of October 2019. One of the reasons behind this is that many Japanese companies, which underpin Japan's economic development, have embarked more actively than ever before on overseas expansion with the aim of further cultivating foreign markets. There is considerable momentum behind economic growth abroad, mainly in Asia. To capture this for the Japanese economy, it is becoming increasingly important for the Government to support Japanese companies.

In light of the situation, MOFA, in coordination with diplomatic missions overseas, has been engaged in supporting Japanese companies in their efforts to expand their businesses overseas. At the diplomatic missions overseas, all staff, including those responsible for Japanese business support, provide Japanese companies with information while lobbying foreign governments under the leadership of ambassadors and consuls-general. Under the motto of being “open and responsive government offices,” these missions aim to provide specific support that corresponds with the conditions in that respective region. They also offer seminars about local legal systems, various information and legal consultations. In FY2020, these were provided at 17 diplomatic missions in 13 countries, with a focus on Asia.

In addition to consultations about business problems, another important function performed by diplomatic missions overseas for Japanese companies is promotion and publicity of the “Japan Brand” for products, technologies and services, as well as for agricultural, forestry and fishery products, from Japanese companies at receptions to celebrate the Emperor's birthday and various other events and exhibitions. These missions actively offer the embassies and official residences of the ambassadors for use as publicity and advertising spaces for Japanese companies to hold product exhibitions, or for local governments to hold local product exhibitions and food-tasting events. These spaces can be used for conducting seminars on business expansion, or for exchange with local companies and concerned organizations. However, many projects were discontinued or scaled down in 2020 due to the COVID-19 pandemic.

From the perspective of public-private cooperation and support for companies, it is important not only to support Japanese enterprises seeking to expand their businesses overseas, but also to support those already operating overseas. Following a June 2016 national referendum in the UK on whether to remain in or leave the EU, the UK left the EU on January 31, 2020 and the transition period ended on December 31. As Japanese businesses and the global economy could be significantly impacted by the actions taken by the UK and the EU, as well as the results of their negotiations, the Government of Japan took necessary measures, including consolidating and analyzing information across sectors of the Government through seminars at the diplomatic missions overseas and the Government Task-force regarding the Withdrawal of the UK from the EU, chaired by the Deputy Chief Cabinet Secretary launched in July 2016 (convened 15 times as of January 30, 2020). The Government of Japan will continue to closely observe relevant trends while taking necessary steps, including properly administrating the Japan-UK Comprehensive Economic Partnership Agreement (CEPA), which entered into force on January 1, 2021, and providing information to Japanese companies.