Gov't to submit bill encouraging foreign firms to headquarter in Japan

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TOKYO, Oct. 31 Kyodo -
The government has decided to submit a bill in the regular Diet session next
year that would provide favorable treatment for foreign firms establishing
headquarters or research centers in Japan.
The move is part of the government's efforts to create an attractive
environment for foreign investment as it mulls joining talks on a U.S.-backed
multilateral trans-Pacific free trade agreement, which aims for a complete
liberalization of trade and investment.
Measures that may be considered in the bill include subsidies for foreign firms
that will set up headquarters or research centers in Japan, income tax
exemption or reduction for a limited period, preferential treatment on resident
status for personnel at firms investing in Japan and easing of regulations at
distribution-related facilities such as ports and airports.
It plans to outline the bill by the year-end given the increase in the number
of foreign firms moving their Asian headquarters from Japan to other Asian
countries such as South Korea and Singapore, which are enthusiastic in inviting
firms from Europe and the United States.
The bill is being prepared by the ruling Democratic Party of Japan's project
team to promote economic stimulus measures and growth strategy, headed by
Masayuki Naoshima, a former minister of economy, trade and industry.
Efforts to promote Japan as a base for foreign firms operating globally were
mentioned in the new economic stimulus package Prime Minister Naoto Kan
unveiled earlier this month.
==Kyodo
2010-10-31 16:16:12