sakai business incubation center (s-cube) what the

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Published February 2022 Contact Contact Access the website from here. Access the website from here. (in Japanese only) Finely tuned business support and incubation services Industry-support institutions provide: Finely tuned business support and incubation services Sakai City Industrial Promotion Center Dedicated coordinators provide a matching service to commercialize the research seeds of universities and public research institutes or to solve issues in developing new products/technologies. Support Program for Industry-University Collaboration/Technological Development This program provides support to businesses that are considering digitization and automation so as to improve productivity, create high value-added products and technologies, and enhance efficiency in sales and other operations. ■ Support Program for Promoting SME Digitization and Automation We support human resources development by holding various kinds of seminars and training for those engaged in manufacturing. They include seminars for current and future business owners who are expected to play a leading role in bringing innovation and a competitive edge to the industry. ■ Development of Human Resources for Business A business matching service is provided based on the information on products and technologies collected from visits to companies in the city. Our business matching coordinators with specialized knowledge help identify potential business partners from among more than 1,300 local small- and medium-sized manufacturers. ■ Business Matching Service Fully Supporting SMEs ! Financial Support Division, Sakai City Industrial Promotion Center 183-5 Nagasone-cho, Kita-ku, Sakai City, Osaka 591-8025 TEL:+81 (0)72 255 6700 FAX:+81 (0)72 255 1185 URL:https://www.sakai-ipc.jp/ The Center rents office or laboratory space to entrepreneurs who plan to start new businesses or develop new products and technologies, and provides free and comprehensive management support from incorporation to commercialization in accordance with the individual needs of each tenant. Sakai Business Incubation Center (S-Cube) ■ Available Support Business space rental (office, laboratory and desk) Management support (free of charge) Rental fee assistance (office and laboratory) Subsidy amount:50% of rental fee (25% if headquarters is located outside Sakai) Period:3 years after beginning tenancy Basis for Business Incubation in Sakai for Future Hope and Challenge Sakai Business Incubation Center 130-42 Nagasone-cho, Kita-ku, Sakai City, Osaka 591-8025 TEL:+81 (0)72 240 3775 FAX:+81 (0)72 240 3662 URL:https://www.s-cube.biz/ E-mail:[email protected] Inquiries regarding this brochure Innovative Investment Promotion Office, Commerce, Industry and Labor Department, Industrial Promotion Bureau, Sakai City TEL: +81(0)72 228 7629 FAX: +81(0)72 228 8816 3-1 Minamikawara-machi, Sakai-ku, Sakai City, Osaka 590-0078, Japan Mail: [email protected] URL: http://www.city.sakai.lg.jp/ Sakai City Mayor's Office: Tokyo Office TEL: +81(0)3-5276-2183 FAX: +81(0)3-5276-2587 Email: [email protected] c/o Osaka Prefecture Tokyo Office, 7th floor, Prefectural Assembly Hall, 2-6-3 Hirakawa-cho, Chiyoda-ku, Tokyo 102-0093 Laboratory Laboratory Office Office What the Nakamozu area offers The area serves as the first station on the Osaka Metro Midosuji Line with a travel time to Shin-Osaka Station of about 40 minutes, thus providing excellent access to urban areas. Various industries, research institutions and people gather here and form next-generation clusters that create cutting-edge technologies and businesses. Its living convenience and quiet atmosphere, with residential areas being situated nearby, makes the Nakamozu area ideal for conducting business in a comfortable setting. Home to Sakai City Industrial Promotion Center, S-Cube, Sakai Chamber of Commerce and Industry, and Osaka Prefecture University, the area provides a perfect entry point for startups. Access the website from here.

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Published February 2022

Contact

Contact

Access the website from here.

Access the website from here.(in Japanese only)

Finely tuned business support and incubation servicesIndustry-support institutions provide:Finely tuned business support and incubation services

Sakai City Industrial Promotion Center

Dedicated coordinators provide a matching service to commercialize the research seeds of universities and public research institutes or to solve issues in developing new products/technologies.

■ Support Program for Industry-University Collaboration/Technological Development

This program provides support to businesses that are considering digitization and automation so as to improve productivity, create high value-added products and technologies, and enhance efficiency in sales and other operations.

■ Support Program for Promoting SME Digitization and Automation

We support human resources development by holding various kinds of seminars and training for those engaged in manufacturing. They include seminars for current and future business owners who are expected to play a leading role in bringing innovation and a competitive edge to the industry.

■ Development of Human Resources for Business

A business matching service is provided based on the information on products and technologies collected from visits to companies in the city. Our business matching coordinators with specialized knowledge help identify potential business partners from among more than 1,300 local small- and medium-sized manufacturers.

■ Business Matching Service

Fully Supporting SMEs !

Financial Support Division, Sakai City Industrial Promotion Center 183-5 Nagasone-cho, Kita-ku, Sakai City, Osaka 591-8025TEL:+81 (0)72 255 6700 FAX:+81 (0)72 255 1185 URL:https://www.sakai-ipc.jp/

The Center rents office or laboratory space to entrepreneurs who plan to start new businesses or develop new products and technologies, and provides free and comprehensive management support from incorporation to commercialization in accordance with the individual needs of each tenant.

Sakai Business Incubation Center (S-Cube)

■ Available Support●Business space rental (office, laboratory and desk)●Management support (free of charge)●Rental fee assistance (office and laboratory) Subsidy amount:50% of rental fee  (25% if headquarters is located outside Sakai) Period:3 years after beginning tenancy

Basis for Business Incubation in Sakai for Future Hope and Challenge

Sakai Business Incubation Center 130-42 Nagasone-cho, Kita-ku, Sakai City, Osaka 591-8025TEL:+81 (0)72 240 3775 FAX:+81 (0)72 240 3662URL:https://www.s-cube.biz/ E-mail:[email protected]

Inquiries regarding this brochure

Innovative Investment Promotion Office, Commerce, Industry and Labor Department,Industrial Promotion Bureau, Sakai City

TEL: +81(0)72 228 7629 FAX: +81(0)72 228 88163-1 Minamikawara-machi, Sakai-ku, Sakai City, Osaka 590-0078, Japan

Mail: [email protected] URL: http://www.city.sakai.lg.jp/

Sakai City Mayor's Office: Tokyo Office

TEL: +81(0)3-5276-2183 FAX: +81(0)3-5276-2587 Email: [email protected]

c/o Osaka Prefecture Tokyo Office, 7th floor, Prefectural Assembly Hall, 2-6-3 Hirakawa-cho, Chiyoda-ku, Tokyo 102-0093

LaboratoryLaboratoryOfficeOffice

What the Nakamozu area offersThe area serves as the first station on the Osaka Metro Midosuji Line with a travel time to Shin-Osaka Station of about 40 minutes, thus providing excellent access to urban areas. Various industries, research institutions and people gather here and form next-generation clusters that create cutting-edge technologies and businesses.Its living convenience and quiet atmosphere, with residential areas being situated nearby, makes the Nakamozu area ideal for conducting business in a comfortable setting. Home to Sakai City Industrial Promotion Center, S-Cube, Sakai Chamber of Commerce and Industry, and Osaka Prefecture University, the area provides a perfect entry point for startups.

Access the website from here.

1 2

Sakai, a City of Endless Potential on the Path to Tomorrow

【Working Population】

Primary Industry 1,738 persons

Secondary Industry 82,811 persons

Tertiary Industry 255,315 persons

※Total of 365,836 persons, including 25,972 in unclassified industries.(2015 Population Census)

Renowned as a place where many new products are first produced, Sakai City is blessed with a r ich culture and history going back many centures.Today, a great number of companies in various fields, such as petrochemicals, energy, metals, and machinery, are located in Sakai, making the city one of Japan’s leading industrial centers. Moreover, companies with highly advanced technologies and green technologies have been newly established in Sakai, further increasing the high value-added nature of Sakai’s industry.

■Total Population

■Number of Households

■Area

※The figures are based on the Basic Resident Register(as of March 2021).

829,924

397,037

149.83㎢

Male 398,153Female 431,771

30,471 business facilitiesTotal No. in Sakai 314,806 persons

51,674 persons1,556 business facilitiesManufacturers(over 3 employees)

12,087 persons1,246 business facilitiesWholesalers

36,527 persons3,858 business facilitiesRetailers

【Number of Business Facilities and Employees】

(2016 Economic Census)

【Year-on-year Average Fluctuation Rate of Land Prices in Residential Areas (past 6 years)】

(Unit: %)

(Based on the Land Market Value Publication provided by the Ministry of Land, Infrastructure, Transport and Tourism)* The average fluctuation rate refers to the mean value of fluctuation rates of  standard land prices from the previous year.* +: Year-on-year increase; ▲ : Year-on-year decrease

An increase for Seven consecutive years

JapanOsaka PrefectureSakai City

2021▲0.4▲0.5▲0.3

2016▲0.2 0.0+0.3

2017 0.0 0.0+0.6

2018+0.3+0.1+1.2

2019+0.6+0.2+1.5

2020+0.8+0.4+2.1

A Locat ion Perfect ly Suited for BusinessA Locat ion Perfect ly Suited for Business

Sakai City is located almost in the center of the Kansai region, a huge market of nearly 20 million people, and has easy access to Osaka, Kyoto, Kobe and other major cities. It is also close to Kansai International Airport and the Port of Sakai-Semboku, an international hub port, offering handy access to cities overseas as well. Sakai is equipped with a broad range of business possibilities.

【Transportation and Access】

To Shin Chitose Airport

To Sendai Airport

To Tokyo Station

To Nagoya Station

To Hiroshima Station

To Hakata Station

To Tokyo

To Nagoya

To Hiroshima

To Hakata

Approx. 2h20min. by air

Approx. 1h35min. by air

Approx. 2.5h by shinkansen

Approx. 1h by shinkansen

Approx. 1.5h by shinkansen

Approx. 2.5h by shinkansen

Approx. 6h by road

Approx. 3h by road

Approx. 4.5h by road

Approx. 8.5h by road

Travel Time to Various Cities in Japan

Travel Time from Major Stations and Airports in Osaka

●●

●●

●●

Sapporo(Shin Chitose)Sapporo(Shin Chitose)

SendaiSendai

TokyoTokyoSakai CitySakai City

NagoyaNagoyaOsakaOsakaKobeKobe

HiroshimaHiroshimaFukuoka(Hakata)Fukuoka(Hakata)

Osaka (Umeda)

Shin-Osaka

Sakai City

Kansai International AirportOsaka International Airport(Itami Airport)

Approx.50 min.+

Approx.30 min.

Approx.30 min.

Approx.35 min.

※Travel times are rough estimates, with Kansai International Airport (by  air), Shin-Osaka Station (by shinkansen) and Hanshin Expressway Sakai  IC (by road) taken as starting points.

3 4

When a small or medium-sizedmanufacturer invests ¥1 billion to establish its factoryand R&D facility in the city,a subsidy of approx. ¥92.4 million is provided!

Preferential treatment for companiesthat have invested in Sakai City

Mozu-Furuichi Kofun Group(Nintoku-tenno-ryo Kofun, Sakai City)Stretching over three cities in southern Osaka ―Sakai, Habikino and Fujiidera Cities― Mozu-Furuichi Kofun Group is comprised of ancient burial mounds built from the late fourth to early sixth century. Amongst the kofun of various shapes and sizes is the keyhole-shaped Nintoku-tenno-ryo Kofun, which is the largest in Japan. The group was registered as a World Heritage Site in July 2019.

●SubsidiesApplication of Sakai City Business Growth Promotion Subsidy- Subsidy for facility acquisition: ¥70 million (Factory ¥800 million x 5% = ¥40 million / R&D facility ¥200  million x 15% = ¥30 million)- Subsidy for employment: ¥2.4 million (4 newly-hired employees x ¥0.2 million x 3 years = ¥2.4 million)

● Municipal tax incentivesApplication of the Sakai City Ordinance for Promoting Innovative Investment- Municipal tax reduction (5 years): approx. ¥20 million** Estimated based on past records

A small or medium-sized manufacturer establishes a plant (investing ¥ 800 million) and an R&D facility (investing ¥ 200 million) used for business related to a growing industry field in the waterfront industrial area of the city, and hires four local residents as new employees:

Sakai City Medical Center,a regional medical hub to protect the lives and health of citizens

♦ Establishment of the Critical Care Medical Center as the city’s only tertiary emergency medical facility

♦ Provision of good quality medical care using advanced medical equipment and therapeutic methods

♦ Establishment of the Sakai Children’s Emergency Medi-cal Center, which provides emergency medical care for children after hours and on holidays, adjacent to the Sakai City Medical Center

【Example】

TopicSakai: Japan’s leadingindustrial city

Sakai: A childcare-friendly city with a comfortable andsecure living environment

Sakai City is home to a large number of energetic SMEs, ranging from industry-leading companies to those renowned for superior technologies and services, and those with a long and distinguished history.

Having opened on April 1, 2021, this facility provides a venue for children and guardians to gather, relax, interact and learn. It consists of two areas: The get-together area where visitors interact and share an enjoyable time together; and the play area where they can get active and play. Consultations and information on childcare are also offered.

Sakaikko Hiroba(Sakai City Childcare Support Plaza)

Ranked No. 7 nationwide in terms of theshipment value of manufactured products

No. of employees

10 th51,305persons

No. of business facilities

10 th1,339companies

BrandPower

ProductionCapacity

Sakai’s Industrial Power National ranking in FY 2019(Survey target: business facilities with 4 or more employees)

Shipment value ofmanufactured products

7 th3,631.6billion yen

Ranked No. 1 among 20 major cities in Japan in terms of the per capita shipment value of manufactured products

Per capita shipment value of manufactured products (companies with 4 employees or more)

FENICE SACAY (Sakai Performing Arts Center)The grand opening was on October 1, 2019.This is Sakai’s new hub for the creation, exchange and dissemination of art and culture.

To establish a hydrogen energy societyUsing the potential of its coastal area as a hydrogen energy base, Sakai City promotes efforts to provide its citizens with education programs regarding the creation of a hydrogen energy society and to accelerate hydrogen-related investments, under the theme of “Make, use, and diffuse ,” through collaboration among industry, academia, and the public sector.●Sakai City waterfront areas such as Sakai Semboku handle approx. 65% of the energy consumed in the Kansai region(Petroleum, LNG(in terms of monetary amount))

●One of the largest liquefied hydrogen plants in Japan(In March 2020, Hydro Edge Co., Ltd. will increase its number of liquefied hydrogen production lines.)

●Many hydrogen-related business facilities are located here.(The amount of hydrogen consumption in waterfront areas of Sakai and Takaishi Cities amounts to approx. 10% of the amount consumed nationally.) (approx. 1.4 billion Nm3)

To create businesses related tothe extension of healthy life expectancyWith momentum from the relocation of the Faculty of Medicine, Kindai University and Kindai University Hospital to the city and Expo 2025 Osaka, Kansai, Sakai City promotes efforts to create businesses and employment related to the extension of healthy life expectancy, and attract relevant investments by enterprises into Semboku New Town area. To this end, the city has established the Sakai city Consortium for Business creation of Healthy life expectancy(SCBH)participated in by various companies and universities. In addition, to create a smart city in the Semboku New Town area, Sakai City promotes healthcare initiatives utilizing advanced technologies, including ICT.

(Nikkei DUAL×Nikkei Inc. 2020)

Ranked No.1 in the Kansai region ina list of cities most friendly to working parents and their children

Changes in the Number of Applications for Certified Children’s Centers and Children on Waiting Lists

♦ Promotion of efforts to resolve the issue of children on waiting listsNo. of children on waiting lists: 457 in April 2012 ⇒ Zero in April 2021

♦ Free daycare for third or subsequent children aged 0 to 2 with no income limit or sibling age limit, in addition to the national free preschool education and daycare program

♦ Medical care subsidies for children aged up to 18 with no income limit

♦ Provision of information on childcare services in line with children’s growth through the Sakai Parenting

Support APP

Promoting joint initiatives withbusinesses as a SDGs Future City◆Sakai City formulated the Sakai City’s SDGs Future City Plan(2021-2023)in February 2021 by performing an overall review of the goals, targets, and all other items in the previous version.

◆The City established the Sakai SDGs Promotion Platform in May 2021 with the aim of promoting initiatives toward achieving the SDGs in partnershipwith businesses, educational institutions and other entities.

Sakai City MuseumThis museum introduces visitors to the history of Sakai from ancient times to the present in an easy-to-understand manner. It is devoted to researching, collecting, and storing a wide range of historical, cultural, archaeological, and ethnological documents and other materials that depict the historical development of Sakai, including its local industries.Special exhibitions are held under various themes.

Sakai City

Shizuoka City

Hiroshima City

Kawasaki City

Sapporo City

Fukuoka City

Kumamoto City

Saitama City

Sendai City

Yokohama City

Chiba City

Osaka City

Nigata City

Okayam

a City

Nagoya City

Sagamihara City

Kyoto City

Kobe City

Kitakyushu City

Hamamatsu City

Tenthousand

yen

438

307

265264 254 247226

194182154 147 147140 134

11294

68 62

0

100

200

300

400

500

36 29

0

200

400

600

800

1000

11000

12000

13000

14000

15000

16000

17000

18000

19000

20000

18266182661900219002

1526415264 15416154161582415824

16500165001691116911

1754217542

1946419464No. of children onwaiting lists (persons)

No. of applications

2012 2013 2014 2015 2016 2017 2018 2019 2020 2021

No. of applications (persons)

No. of children on waiting lists

61 58 11 0

457

62 23 16 3154

1940919409

5 6

26

29

12

12 3

45

6 87

910

Nanko-Minami IC

Ohama IC

Sambo IC

Sambo JCT Suminoe IC

Osaka SubwayYotsubashi Line

Hanshin ExpresswayWangan Route (No. 4)

Nanko Port Town Line(New Tram)

SuminoekoenStation

Hanshin ExpresswayYamatogawa Route

Hanshin ExpresswayYamatogawa Route

ShichidoStationShichidoStation

SakaiStation

NankaiLineNankaiLine

HanshinExpresswaySakai Route(No. 15)

HanshinExpresswaySakai Route(No. 15)

Low-carbon energy generation baseLarge-scale logistics hub

Low-carbon energy generation baseLarge-scale logistics hub

Osaka Bay Area Location EnvironmentOsaka Bay Area Location EnvironmentBoasting one of the largest facilities in Japan, J-GREEN Sakai is Sakai City’s national soccer training center, where people can fully engage in various sports and recreation activities.

J-GREEN SakaiTopic

This is one of the best factory night view spots in the Osaka Bay area!A magical night view on an overwhelming scale that resembles a space station illuminating the dark night.

Amazing night view:Sakai Semboku CoastalIndustrial Zone

TopicFeatures of Sakai CityFeatures of Sakai CityAn Advanced Citywith a Long Tradition of Manufacturing

An Advanced Citywith a Long Tradition of Manufacturing

Sakai City has been promoting energy saving with advanced and innovative technologies, as well as utilizing various renewableand next-generation energy production techniques, such as large-scale solar power and biomass fuel, to drastically reducegreenhouse gas emissions.

Among other areas of the city, waterfront, urban, suburban, and residential and greenery areas are home to clusters of industries, each of whom possesses distinctive features. Transportation infrastructure is becoming so more convenient and well connected with Kansai International Airport that many logistics companies invest in waterfront area recently including foreign affiliated one.Sakai is also blessed with academic institutions including Osaka Prefecture University and Kansai University, and business support facilities for small- and medium-sized companies such as the Sakai City Industrial Promotion Center. Such as the Sakai City Industrial Promotion Center, and the Izumi Center of the Osaka Research Institute of Industrial Science and Technology which provides scientific and technological support. ■ Forming a Low-Carbon Energy Generation Base

Features of the Sakai City Area

Location Potential in the Waterfront area

Sakai City boasts a highly-developed transportation infrastructure including the Hanshin Expressway Yamatogawa Route, the industrial complex Green Front Sakai, and easy access to Kansai International Airport. These geographical advantages have made Sakaihama and other waterfront areas an ideal location for logistics/distribution facilities.

■ Formation of a Logistics Hub

Examples of low-carbon businesses❶Environmentally advanced factories throughenergy saving and energy generationGreen Front Sakai since 2009

❷Sakai Solar Power Generation Plant (Mega Solar)Kansai Electric Power Co., Inc. since 2011

❸Power generation using general wasteCity’s waste treatment facility since 2013

❹Power generation using wood wasteJapan Novopan Industrial Co., Ltd. since 2007

❺High-efficiency LNG combined cycle power generationThe Kansai Electric Power Co., Inc. since 2009

❻High-efficiency LNG combined cycle power generationOsaka Gas Co., Ltd. since 2010

❼LNG (Liquefied Natural Gas) supplySakai LNG Co., Inc. since 2006

❽Manufacture of liquid hydrogen using low-temperature LNGHydroEdge Co., Ltd. since 2006

❾Bioethanol manufacturing using wood wasteDINS KANSAI Co., Ltd. since 2007

10Waste recycling by subcritical water reactionRe:CS RF Co., Ltd. since 2006

11Increasing light oil production using heavy oil resolving equipmentProduction of bio-gasoline by mixing bio-fuel ETBE made from plantsCosmo Oil Co., Ltd. since 2010

12Manufacture of Low-E pair glass (eco glass) with high heat-insulation and -blocking performanceCentral Glass Co., Ltd. since 2011

13Manufacture of components for lithium-ion batteriesUbe Maxell Co., Ltd.

14Manufacture of high-purity aluminum for lithium-ion batteriesSakai aluminium Corporation since 2013

15Production of liquefied carbon dioxide by recovery and reuse of carbon dioxideIwatani Corp. and Cosmo Oil Co., Ltd. Since 2014

[Transportation Access]From Sambo IC, Hanshin Expressway Wangan RouteTo Hanshin Port: approx. 20 min.To Kansai International Airport: approx. 30 min.

From Sambo IC, Hanshin Expressway Yamatogawa RouteTo Matsubara JCT, Kinki Expressway: approx. 15 min.

❶Amazon Japan G.K.❷Nissin Corporation❸Kanda Holdings Co., Ltd.❹Maruzen Showa Unyu Co., Ltd.❺Goodman Japan Limited❻Hanwa Co., Ltd./Hanwa Logistics Osaka Co., Ltd.❼MFLP (Mitsui Fudosan Logistics Park) Sakai, MitsuiFudosan Co., Ltd.❽LF Sakai, Cushman & Wakefield K.K.❾Logiport Sakai, LaSalle Investment Management●Profitmart Sakai, Lonco Japan10

1

2

3

4

5

6

78

910

1113

12

14

15

Hanshin ExpresswayRoute 4Hanshin ExpresswayRoute 4

Hanshin ExpresswayRoute 15Hanshin ExpresswayRoute 15

JR Hanwa LineJR Hanwa Line Osaka Metro Midosuji Line Osaka Metro Midosuji Line

Nankai Main LineNankai Main Line

Hankai TramwayHankai LineHankai TramwayHankai Line

Nankai Koya Line

Nankai Koya Line

Hanwa E

xpressway

Hanwa E

xpressway

Hanwa E

xpressway

Hanwa E

xpressway

Semboku Rapid Railway

Semboku Rapid Railway

309

31026

To Namba

To Tennoji

To TennojiTo Umeda

To Izumi Chuo

To Wakayama

To Wakayama City

To Namba

To Mt. Koya

Minami Wardi

NishiishiWardWW

Naka Ward

HigashiiWard

KitaWard

SakaikaaiWardWWaW

MiharaMihWardWa

Sakai City HallSakai City HallSakai Ward OfficeSakai Ward Office

Sakai Chamber of Commerce and Industry

Sakai City Industrial Promotion CenterSakai Business Incubation Center

Exclusive manufacturing zone

Manufacturing zone

Osaka PrefectureUniversityOsaka PrefectureUniversity

NNN

In this industrial area, there are both large-scale and small- and medium-sized manufacturers. Recent years have seengrowing clusters of environment-relatedbusinesses as well as large-scale logistics centers.

Waterfront area

Since olden times the central urban area has developed as a commercial a nd bu s i ne s s a r ea . The c i t y’s machinery and metalwork industries are located in the northern and southern areas.

Urban area

With the improvement of the local road network, the potential of the land in the inland area for industrial use has increased considerably, and small- and medium-sized business clusters have formed in the Kena and Mihara areas.

Suburban area

The area serves as a transport hub for several rail services-the Osaka Metro Midosuji Line, providing a direct link to Shin-Osaka Station, Nankai Railway Koya Line, and Semboku Rapid Railway.Various entities, such as industrial support organizations and Osaka Prefecture University, are located in the Nakamozu area , making i t a suitable place for running a business in addition to offering a superb living environment.

Nakamozu area

A residential area (Semboku New Town) was developed in the late 1960’s. Local commercial and business districts have formed in front of the railway stations.

Residential and greenery areas

7 8

0

20000

25000

15000

10000

5000

Based on the business principles of "coexistence and mutual prosperity" and "from finite mining to infinite industry," we provide new value to future generations through manufacturing. Our Sakai Factory, which celebrated its 50th

anniversary in 2017, manufactures innovative and high value-added chemical products that meet demands in the electronics, automotive and aviation fields. In August 2016, we opened the Osaka Research & Development Center within the Sakai Factory to integrally implement R&D work and manufacturing technology related to battery materials and other functional products in an efficient and speedy manner.One of the advantages of Sakai City is its accessibility to Kansai International Airport, which enables customers from overseas to easily visit our company, and is expected to facilitate active interaction with them. Moreover, since many universities and research institutions are located in the neighborhood, open innovation can easily be promoted. Using this advantage, we will further accelerate research and development to become a major hub that creates new products for the future.

In May 2016, we relocated our Matsubara Factory, where we had conducted business operations since 1970, to a site with over three times the area in Chikko Shinmachi, Nishi Ward, Sakai City. Equipped with Kansai’s largest

classes of two levelers̶a jumbo-sized multiaxial leveler and a high-performance leveler for thin steel sheet̶as well as 11 shirring machines, our large coil center contributes to increasing customer productivity by providing original value.Our sales areas are not only in the Kansai region, but also throughout Japan. The new center is also convenient as a logistics hub, partly because it is located on land with a quay through which raw materials and products can be shipped by sea. In addition, since Onoken Co., Ltd., which possesses a large department for section steel, is situated in the vicinity of our site, the center offers comprehensive convenience.We are very grateful for the generous support provided by Sakai City on the occasion of our factory relocation.

Sakai Factory, Ube Industries, Ltd.

We provide products friendly to people and the environment through the Ube Group’s products and technologies , encompass ing a w ide va r ie t y o f fie lds rang ing f rom automotive and IT to social infrastructure and daily living.

We meet customer needs as the only steel processing center in the Kansai region that conducts integrated production from leveling processing to shirring processing of steel within one factory (site area: approximately 26,400 m²)

Harvest Hill is an agricultural park with an area eight times larger than Koshien Stadium (38,500 m²).Throughout the year visitors can enjoy greenery and flowers of the season, play with animals, savor fancy foods, and participate in hands-on learning and various other events.

Harvest HillTopicIndustrial FeaturesIndustrial FeaturesA Place Where Many Top Class Companies GatherA Place Where Many Top Class Companies Gather

SecuringHuman Resources

SecuringHuman Resources

AbundantHuman Resources

AbundantHuman Resources

Sakai’s total population is approximately 830,000, with approximately 500,000 people of working age. There is a good balance between the generations in Sakai and it will be easy to secure human resources for the future. In addition, there are many schools in the city, which ensures a young workforce for the future. Moreover, collaborative research between SMEs and universities located in the city is supported comprehensively through various efforts to promote cooperation between industry and academia.

A large number of small- and medium-sized companies are located in Sakai City. To prosper domestically and internationally, they have all made efforts to improve their technology and strengthen their brands, and now boast large market shares in their respective industries. Many of them also exhibit high productivity as well as rapid and accurate production engineering, and advanced planning and development capacity. Sakai’s small- and medium-sized companies provide the best solutions in many fields.

Special technical schools/other schools3,335persons

Thanks to Sakai’s history and the advantages of being located near Osaka City, there is a large variety of industries distributed throughout the city. Metal product manufacturing and production machinery manufacturing stand out as the top two manufacturing industries in the city.

■ Details of Sakai's industrial companies

Sakai City is home to excellent traditional industries boasting a long history, as well as many highly advanced companies enjoying a large shares of global markets.The Sakai Chamber of Commerce and Industry grants certification for the Sakai brand “Sakai Wazashu”to remarkable Sakai

businesses so that they can be recognized throughout Japan and around the world, thereby strengthening Sakai City's image and developing its economy. A total of 92 companies have so far been certified.

■ Sakai’s Brand   (certification of company with remarkable skill and technique)

■ Colleges and Universities

■ Supporting a wide range of steps from recruiting to fostering and retaining personnel who will play important roles in the future

■ Supporting companies that ensure active participation of a wide variety of personnel including women and disabled people

The support plaza for matching companies and personnel is established at Sakai JOB Station, which provides comprehensive assistance for those who want to work in Sakai. As part of the employment support facility, the plaza offers an integrated service supporting a wide range of steps from disseminating corporate information and recruiting to retaining and fostering personnel.

Sakai City supports SMEs located in the city that actively address issues such as promoting active participation of various personnel and employing disabled persons by disseminating information regarding such companies, paying incentives, and other means.○Sakai City Certification System for Companies Promoting Active Participation of Various Personnel○Sakai City Certification System for Companies Contributing to the Employment of Disabled Persons

【Iron and Steel, Metal】・Kurimoto, Ltd.・Sakai aluminium Corporation・NIPPON STEEL CORPORATION・NIPPON STEEL COATEDSHEET CORPORATION・NIPPON SHINDO CO., LTD. ・MARUICHI STEEL TUBE LTD.・Mitsubishi Materials Corporation・Yokogawa Bridge Corporationand others【Electric Devices etc.】・Corning Japan Incorporatedand others【Chemical】・Ube Industries, Ltd.・Lion Corporationand others

【Bicycle parts】・SHIMANO INC. The world’s top bicycle parts manufacturer with a 100-year history

・HATTA INDUSTRIES CO., LTD.High usage rate in the racing bicycle parts market

【Iron and Steel, Metal】・IHI Infrastructure Systems Co., Ltd. A top manufacturer of bridges and water gates

・Asaka Industrial Co., Ltd. No.1 share of the made-in-Japan shovel market

・Koyo Engineering Co., Ltd. 70% share of the global market for bent metal parts

・ASAHICHUKO CO., LTD. A specialist manufacturer of ductile cast-ironirregular-shaped water pipes

・UENO IRON WORKS CO., LTD. High share of the valve desorption unit market

・STAINLESS PIPE KOGYO CO., LTD. One of Japan’s leading stainless plumbing pipemanufacturers

・Japan Casting Engineering Overwhelming share of the domestic flux market

・SUPER TOOL CO., LTD. A top class manufacturer of work tools with a 100- year history

【Machinery】・Coaken Techno Co., Ltd. Japan’s only general thermal spraying processing company

In the waterfront area, recent years have seen the established cluster of heavy chemical and materials industries joined by certain frontier industries. The inland area, on the other hand, is populated by companies from smaller and more traditional industries including machining and metal-working, and bicycle and blade manufacture. Sakai is blessed not only with large companies but also many unique and energetic smaller companies.

Large Companies Located in Sakai

(Selected from Nikkan Kogyo Shimbun’s Sakai’s Top 100 Companies and other sources)

・NISSEI KOUKI CO., LTD. One and only producer of air vibration cylinders in Japan

・NIPPON SUPER INDUSTRY CO., LTD. 40% share in the world market for HDD hubs

・Horiuchi Machinery Co., Ltd. 40% share of the domestic hydraulic cylinder market

・Katayama Kogyo Co., Ltd. A flagpole manufacturer with a 150-year history

・Matsumoto Machine Manufacturing Co., Ltd. Pioneer of centrifugal precipitators

・Miura Chemical Equipment Co., Ltd Leading manufacturer of industrial/swimming pool filtration equipment

・Toyo Suisan Kikai Co., Ltd. World-leading manufacturer of marine product processing machinery

・Shin Nippon Koki Co., Ltd. Japan’s leading manufacturer of large machine tools with a 120-year history・Kaji Technology Corporation Top share of the market for compressors for hydrogen stations

【Electronic Devices, etc.】・Sharp Corporation A global company that manufactures electronic devices

・Sakai Display Products Corporation A leading company that manufactures large displays

【Chemical】・Sakai Chemical Industry Co., Ltd. A long-established company with a 100-year history

・JAPAN VAM & POVAL CO., LTD. Japan’s only Poval manufacturer

Unique Sakai-based Companies with Headquarters Located in Sakai【Machinery】・Kubota Corporation・Konica Minolta, Inc.・Daikin Industries, Ltd.・Hitachi Zosen Corporationand others 【Electricity, Gas, Petroleum】・Osaka Gas Co., Ltd.・The Kansai Electric Power Company,Incorporated・Cosmo Oil Co., Ltd.・ENEOS Corporation・Sakai Gas Center Co., Ltd.and others【Other】・Central Glass Co., Ltd.・Nakabayashi Co., Ltd.・The Nisshin Oillio Group, Ltd.・Amazon Japan G.K.・Kanda Holdings Co., Ltd.・Paltac Corporation

●Osaka Prefecture University●Faculty of Health and Well-being, Kansai University●Hagoromo University of International Studies●Izumigaoka Campus, Tezukayama Gakuin University

●St. Andrew’s University of Education●Taisei Gakuin University●Butsuryo College of Osaka●Osaka College of Social Health and Welfare

●Sakai Women’s Junior College●University Consortium of Southern Osaka

Business Support Division, Sakai Chamber of Commerce and Industry130-23 Nagasone-cho, Kita-ku, Sakai City, Osaka 591-8502

Sakai’sLeading Companies

・OSAKI INDUSTRY CO., LTD. Pioneer of road marketing materials “Linephalt” and “Step Guide” (tactile paving)

・MITSUBOSHI PRINTING INK CO., LTD. Industry pioneer and the world’s leading manufacturer of gold and silver ink

・Tohpe Corporation Top company in the paint industry with over 100 years in business

【Software】・YUKE’S CO., LTD. Leading developer of Pro Wrestling game software

【Others】・Tamanoi Vinegar Corporation Over 100 years in the business Pioneer in the vinegar drink products market

・Sakai Moving Service Co., Ltd. Ranked top in sales in the  moving industry

・ROUND ONE Corporation Ranked top in sales in the amusement/ entertainment industry

・Kura Sushi Inc. Leading sushi restaurant chain

・Hiraku Spinning Co., Ltd. Japan’s largest company for carpet woolen spinning

・NIKKATO CORPORATION A leading company in the ceramics industry

“Sakai Wazashu”

(Number of business facilities by industry type in 2019: Industrial Statistics Survey)Industry Type

〈Reference〉Inside Osaka Prefecture

Industrial high schools

11,046personsSpecialized vocational

high schools

864persons

High schools19,639persons

Junior colleges/universities13,210persons

No. of students (As of May 1, 2020)

No. of schools

50schoolsHigh schoolsHigh schools24schools24schools

Junior colleges/universitiesJunior colleges/universities

8schools8schools

Special technicalschoolsSpecial technicalschools

Other schoolsOther schools2schools2schools

16schools16schools

Many unique and energetic companies are located in Sakai City. Here are testimonies from two companies that have invested in the city on why they decided to invest in the city and how satisfied they are with their choice to do so.

Testimonials from Companies that Have Expanded Their Business to Sakai

Sankyo Noritake Steel Co, Ltd.

No. of schools (As of May 1, 2020)

Composition of Population by Age (As of the end of April 2021)

○Employment support service•Displaying an original employment-offer card, holding exchange events between companies  and people in search of employment, etc.○Service to support retaining personnel•Providing seminars on recruiting and fostering of personnel and various consultations[Contact] Support plaza for matching companies and personnel, Sakai JOB Station  TEL:+81(0)72 238 4750

[Contact] Employment Promotion Division, Commerce, Industry and Labor Department, Industrial Promotion Bureau, Sakai City TEL: +81(0)72 228 7404 FAX:+81(0)72 228 8816

Contact

TEL:+81 (0)72 258 5503 http://sakaiwazashu.com/(in Japanese only)

TopicIn April 2020, the stadium opened as a facility where citizens can enjoy baseball in a high-quality environment and watch high-level games. With a seating capacity of about 5,000, it is Sakai City’s first full-scale baseball stadium.

Kura Sushi Stadium SAKAI(Baraike Park Baseball Stadium)

0

100

200

300

400

500

311facilities(23.2%)

145facilities(10.8%)

6.6% 6.1% 5.8% 5.0% 5.0% 4.9% 4.6%

27.9%

Metal product m

anufacturing

Production machinery m

anufacturing

Iron and steel industry

General-purpose machinery m

anufacturing

Chem

ical industry

Textile industry

Transport equipment m

anufacturing

Food processing

Plastic product manufacturing

Others

0 5% 10%

17.4%

20.7%

28.7%

24.4%

8.8%

15% 20% 25% 30%

170,000

230,000

Age 80~

Age 60~79

Age 40~59

Age 20~39

Age 0~19 Working-agepopulation

Approx.500,000

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*2: Examples of growth industry fields(For more details, please contact us.)  ・ ICT-related field: Products and services utilizing advanced digital technologies, including AI, big data and the IoT, and robotics  ・ Next-generation healthcare-related field: Pharmaceuticals, medical devices, long-term-care devices, welfare devices, and products and services   related to health maintenance and enhancement  ・ Environmental and energy-related field: New energy technologies, including fuel cells and storage batteries, and products and services related   to environmental impact reduction and environmental improvement  ・ Next-generation transportation-related field: Aircraft, drones, electric vehicles, autonomous vehicles, and products and services related to space   development  ・ Disaster management-related field: Products and services related to disaster management, disaster risk reduction, and the provision and   collection of information in the event of emergencies*3: Target areas are outlined by solid lines in the respective maps below. For details,please contact us.

Urban area Nakamozu area Izumigaoka area

Sakaihigashi Station

Sakai Station Nakamozu Station

Izumigaoka Station

Innovative Investment Promotion Office, Commerce, Industry and Labor Department, Industrial Promotion Bureau, Sakai City TEL:+81 (0)72 228 7629 FAX:+81 (0)72 228 8816

Contact

■Investment in urban business sites【Eligible investment projects】Construction, extension or relocation of the following designated business facilities, etc.●Offices and research institutes(without industry limitations)

【Target areas*3】●Urban area  ●Nakamozu area  ●Izumigaoka area

【Subsidy details】<Type of tax reduction> ●Fixed property tax(buildings, depreciable property)             ●Urban planning tax(buildings) ●Business office tax(asset propotion)<Period> Maximum: 5 years

Requirements Tax reduction rate

Basic requirementsInvestment in fixed property: 1 billion or more(¥100 million or more in the case of the construction, extension or relocation from outside Sakai City of the head office and/or a research institute)

Head offices and/or research institutes of companies entering growth industry fields in the urban areaRequirement ① and condition A or B below must be met in the urban area.A: Investment by a company that will enter a growth industry field, involving the relocation of   the company’ s head office from outside Sakai CityB: Investment in the establishment of a research institute in a growth industry field

Investment in specified growth industry fields in the Nakamozu or Izumigaoka areasRequirement ① and condition A or B below must be met.A: Investment by a company that will operate in an ICT-related field in the Nakamozu areaB: Investment by a company that will operate in a next-generation healthcare-related field in the Izumigaoka area

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Tax Reduction System for Promoting Investment in Sakai CitySakai City Ordinance for Promoting Innovative Investment

A tax reduction system under this ordinance aims to attract new investment to sites suitable for manufacturing as well as urban business sites in order to increase employment and business opportunities and contribute to the sustainable development of industries in Sakai City and improvement of citizens’ lives.

■ Investment in sites suitable for manufacturing【Eligible investment projects】  Construction, extension or relocation of the following designated business facilities, etc.(buildings and their ancillary facilities below)  ● Plants and offices(limited to those used for conducting business in the manufacturing, and information and communication industries)  ● Research institutes and advanced logistics facilities*1(without industry limitations)

【Target areas】  ●Industrial zones  ●Exclusive industrial zones  ●Light industrial zones

【Subsidy details】<Type of tax reduction> ●Fixed property tax (buildings, depreciable property)

               ●Urban planning tax (buildings) ●Business office tax (asset proportion)  <Period> Maximum: 5 years

*1: Advanced logistics facilities: Facilities with advanced logistics functions utilizing ICT, equipment for streamlining freight handling,   distribution processing equipment, etc.

Requirements Tax reduction rate

Basic requirementsInvestment in fixed property: ●Small- and medium-sized business with an investment of ¥100 million or more               ●Large business with an investment of ¥ 1 billion or more  *Investment in fixed property: Total amount of the cost of construction, extension or reconstruction of   designated business facilities, etc. and the cost of acquisition of depreciable property for business use

Head offices and/or research institutes of companies entering growth industry fields.*2Requirement ① and condition A or B below must be met.A: Investment by a company that will enter a growth industry field, involving the relocation of the company’ s head office from outside Sakai CityB: Investment in the establishment of a research institute in a growth industry field

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Industrial Promotion Tax System

【Target businesses】Small- and medium-sized companies approved under Sakai City Ordinance for Promoting Innovative Investment

【Target zones】Industrial zones and exclusive industrial zones in Sakai City

【Target real estate】Buildings and land for plants, research facilities, and warehouses that were purchased during the target period (until March 31, 2024)(Note: Such buildings must be located in the waterfront area or an area designated by the Port Management Body.)

【Amount of reduction】Half of the amount of real estate acquisition tax imposed on the purchase of the target real estate (Maximum:¥200million)

To promote industrial accumulation in Osaka Prefecture through the tax system, preferential measures are offered which reduce the real estate acquisition tax levied on purchases of land and buildings (factories, research institutions, etc.) in industrial promotion areas.

Contact International Business and Investment Division, Growth Industry Promotion Office, Department of Commerce, Industry and Labor, Osaka Prefectural Government TEL:+81 (0)6 6210 9406 FAX:+81 (0)6 6210 9296

Preferential treatment systems to promote establishment of new business facilitiesPreferential treatment systems to promote establishment of new business facilities

Osaka Prefecture Investment Promotion Subsidy

Contact International Business and Investment Division, Growth Industry Promotion Office, Department of Commerce, Industry and Labor, Osaka Prefectural Government TEL:+81 (0)6 6210 9406 FAX:+81 (0)6 6210 9296

To complement the industrial development measures of Sakai City and facilitate investment and the establishment of new facilities by small- and medium-sized companies committed to maintaining a business presence in Osaka Prefecture, the Osaka Prefectural Government will cover part of the necessary costs incurred in constructing or reconstructing factories or research institutions.

【Target businesses】Small- and medium-sized companies that will construct, extend or reconstruct factories or R&D facilities【Target facilities】① Factories and R&D facilities that are expected to be proved under Sakai City Ordinance for Promoting Innovative Investment② R&D institutions in cutting-edge industries【Target areas】① Industrial zones and exclusive industrial zones in Sakai City② Entire area of Sakai City【Subsidy details】[Subsidy for investment]5% of the costs incurred in building facilities and installing equipment (If headquarters, factories or research institutions are located within the prefecture, 10% will be covered.) (Maximum: ¥30 million)*There are certain conditions that must be met: e.g. investment of ¥100 million or more required.[Subsidy for corporate enterprise tax]50% of the amount of corporate enterprise tax levied on business activities for two years following the year when operations start (Maximum: ¥20 million)*To be eligible, companies must be granted the “subsidy for investment” mentioned above and meet the requirements.

11 12

Subsidies for Investment Promotion in Sakai City

Subsidies are provided to cover part of the costs for investment in the improvement of a company’s headquarters and R&D facilities and the entrance of a manufacturer in the city into a growing industry field. (Combined application under Sakai City Ordinance for Promoting Innovative Investment.)

●When a company establishes its headquarters functions in an existing urban district:【Subsidy requirements】・The company must acquire or rent a facility used to establish its headquarters functions in an existing urban district in Sakai City as provided for in the Kinki Region Development Act (excluding districts on the west side of the left bank of the Ishizu River in the area on the west side of the JR Hanwa Line).・The target costs must be 20 million yen or more (10 million yen or more for SMEs), and the company must increase the number of full-time employees who live in the city by five or more (two or more for SMEs).

【Subsidy details】

●When a company relocates its headquarters to Sakai City from another city:【Subsidy requirements】・The company must possess a factory that serves as a production base in Sakai City; an affiliated company of the aforementioned company is also eligible.・The company must increase the number of full-time employees who live in the city by five or more (two or more for SMEs).

【Subsidy details】

Sakai City Business Growth Promotion Subsidy

SystemSubsidy for investment

Subsidy for employment

DetailsTarget costs x 5% (10% for SMEs)

No. of newly hired full-time employees living in the city x ¥0.2 million x 3 years

Upper limit¥100 million

¥50 million

SystemSubsidy for investment

Subsidy for employment

DetailsTarget costs x 5% (10% for SMEs)

No. of newly hired full-time employees living in the city x ¥0.2 million x 3 years

Upper limit¥100 million

¥50 million

SystemSubsidy for production factories

Subsidy for R&D

Subsidy for employment

DetailsTarget costs x 5%

Target costs x 15%

No. of newly hired full-timeemployees living in the city x ¥0.2 million x 3 years

Upper limit

¥100 million

¥50 million

System

Subsidy for employment

DetailsNo. of newly hired full-time employees living in the city x ¥0.2 million x 3 years

Upper limit

¥50 million

●When a company establishes an R&D facility in Sakai City:【Subsidy requirements】・The company must be mainly engaged in manufacturing.・The company must acquire, renovate or rent a facility used for research and development.・The target costs must be one billion yen or more (10 million yen or more for SMEs).・For large companies, target projects for subsidy must be conducted in areas suitable for the manufacturing industry (exclusive industrial areas, industrial areas, quasi-industrial areas) in existing urban districts as provided for in the Kinki Region Development Act.

【Subsidy details】

●When a company enters a growing industry field:【Subsidy requirements】・The company must acquire, renovate or rent a facility used for business related to a growing industry field (environmental energy, health and medical care, aircraft and linear motors, or disaster prevention) in Sakai City.・The company must be an SME mainly engaged in manufacturing.・The target costs must be 50 million yen or more if incurred by factories used for manufacturing and by facilities used for research and development, or 10 million or more if incurred by facilities used for research and development.* Regardless of the above, costs of 50 million yen or more if incurred by companies used for developing hydrogen stations are also eligible for the subsidy as the city’s special measures concerning growing industry fields are applied to.

【Subsidy details】

* Target costs for investment【Facility acquisition】Costs related to the acquisition of buildings, equipment attached to buildings, structures and mechanical equipment

【Facility rent】Costs related to building renovation and the acquisition of equipment attached to buildings, structures and mechanical equipment

Contact Innovative Investment Promotion Office, Commerce, Industry and Labor Department, Industrial Promotion Bureau, Sakai City TEL:+81 (0)72 228 7629 FAX:+81 (0)72 228 8816

Contact Innovative Investment Promotion Office, Commerce, Industry and Labor Department, Industrial Promotion Bureau, Sakai City TEL:+81 (0)72 228 7629 FAX:+81 (0)72 228 8816

Sakai City Subsidy for Promoting Investment in Green InnovationSubsidies are provided to cover part of the costs for the establishment or improvement of a R&D base or production base related to innovative technologies conducive to building a decarbonized society and for investments in facilities/equipment related to a considerable reduction in or recycling, etc. of CO2 emissions.

【Target businesses】Businesses that meet all requirements(1),(2), and(3)below (1)To conduct either of the projects in the table below with the target costs being one billion yen or more (If the project is performed jointly by two or more companies, the total combined target costs must be one billion yen or more.)

【Application deadline for qualification】(1)In the case of performing work involving building construction, extension or reconstruction:    ① In the case of applying for a building permit: Date of issuance of the building permit    ② In cases other than the above: Date of execution of the contract concerning the said work

 (2)In the case of purchasing or renting the building:    Date of execution of the sales contract or rental contract concerning the said purchase or rental

 (3)In cases other than(1)and(2)above: Date of execution of the contract concerning acquisition of depreciable property

【Subsidy details】

 (2)To cooperate with Sakai City's investigations and dissemination of information regarding the effects of greenhouse gas emission reduction and other matters involving the eligible project.

 (3)The eligible project must not have been approved to receive the Sakai City Business Growth Promotion Subsidy.

Project Details

Establishment or improvement of a research institute

* Please contact us for more information on technologies, products and equipment, etc. eligible for the subsidy.

Category Details Upper limit

Building Costs required to construct, extend, or reconstruct a building x 5% ¥200 million

Depreciable property

Costs required to acquire depreciable property(limited to machinery and equipment, equipment installed in the building, and structures)x 2% ¥100 million

*The amount of the subsidy will be the sum of the amounts calculated for each category in the table.*Excluding the costs of surveying, developing and acquiring the land, as well as taxes and other public charges, including consumption tax and local consumption tax*In cases where the amount of subsidies exceeds 50 million yen, the subsidies will be granted in installments over several years, up to a limit of 50 million yen per fiscal year.

A project to establish or improve a research institute related to hydrogen use, CO2 fixation and recycling, renewable energy, next-generation storage battery, or other innovative tech-nologies or products conducive to decarbonization that are separately prescribed

Establishment or improvement of a production base

A project to establish or improve a production base related to hydrogen use-related prod-ucts, next-generation storage battery materials, offshore wind power generation-related key components, or other products conducive to decarbonization that are separately prescribed

Establishment or improvement of a power plant

A project to establish or improve a hydrogen power plant, ammonia power plant, or other power plants conducive to decarbonization(except for photovoltaic power plants, nuclear power plants, and biomass power plants)

Introduction of equipment

A project to introduce equipment related to a considerable reduction in or recycling of carbon dioxide emissions generated in production processes, interchange of power between plants, or a considerable reduction in or recycling, etc. of other greenhouse effect gas emissions, whose results are expected to reduce greenhouse effect gas emissions as separately specified(except for mere renovation or replacement of existing equipment, etc. with a new purchase)(*Must be expected to reduce CO2 emissions by 5,000 tons or more annually)

Preferential treatment systems to promote establishment of new business facilitiesPreferential treatment systems to promote establishment of new business facilities

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Sakai City is accepting applications for approval of an advanced equipment introduction plan formulated by SMEs. Companies that obtain the city’s approval for their advanced equipment introduction plans and fulfill certain requirements can receive support measures, including special measures concerning fixed property tax.

Approval of an Advanced Equipment Introduction Plan

Support for Capital Investment in Sakai City

【Support measures after approval】■ Special measures concerning fixed property tax For companies that fulfill certain requirements, special measures are applied to allow them to be exempt from fixed property tax for advanced equipment acquired based on the approval plan for three years. For more information, please see the Special Measures concerning Machinery and Equipment Acquired based on the Advanced Equipment Introduction Plan on the city’s website.

【Target businesses】Businesses that fall under Paragraph 1, Article 2 of the Small and Medium-sized Enterprises Business Enhancement Act

■ Support for fund raising Regarding funding for implementing an approval plan, the relevant company may receive an additional guarantee from a credit guarantee association or have its guarantee limit amount increased. For details, please contact the credit guarantee association.

■ Preferential treatment related to government subsidies The relevant company may receive preferential treatment, including receiving additional points in a screening process, related to government subsidies. For details, please refer to the application guidelines for each government subsidy.

*1 Excluding the automotive and aircraft tire and tube manufacturing industry, and the industrial belt manufacturing industry

Industry typeManufacturing, etc.

Wholesaling

Retailing

Service

Rubber product manufacturing *1

Software business / Information processing service

Hotel business

Capital amount or total investment amount¥300 million or less

¥100 million or less

¥50 million or less

¥50 million or less

¥300 million or less

¥300 million or less

¥50 million or less

No. of full-time employees300 people or less

100 people or less

50 people or less

100 people or less

900 people or less

300 people or less

200 people or less

【Approval requirements】Requirements DetailsPlan period 3, 4, or 5 years

Goal on labor productivity

*2 Limited to those that are acquired at a total price of ¥3 million or more and introduced together with advanced equipment, etc.*3 In Sakai City’s basic plan for advanced equipment introduction promotion, plans aimed at personnel reduction are not eligible for approval.

Labor productivity improvement of 3% or more per year compared to the base year (the end of thelatest business year) (9% or more for 3-year plans; 12% or more for 4-year plans; 15% or more for 5-year plans)

Type of advanced equipment, etc.

Equipment directly offered for production and sales activities in Sakai City as listed below■ Types of depreciable property, etc. Machinery and equipment, measurement and inspection tools, apparatuses and fixtures, equipment attached to buildings, software, buildings for business use,*2 structures

Plan details・The plan must conform to the city’s basic plan for advanced equipment introduction promotion. *3・The introduction of advanced equipment must be expected to be implemented smoothly and steadily.・The plan must be confirmed in advance by a certified management innovation support organization (a chamber of commerce and industry, etc.).

Targetbusinesses

Companies with capital or investment of 100 million yen or less, and small-business owners with 1,000 or fewer employees (excluding subsidiaries of major companies)

Targetequipment

●Equipment expected to contribute to increasing productivity at an average annual rate of 1% or more compared   to old models as listed below・Machinery and equipment (Minimum acquisition price: ¥1.6 million or more / Release period: within 10 years)・Measurement and inspection tools (Minimum acquisition price: ¥0.3 million or more / Release period: within 5 years)・Apparatuses and fixtures (Minimum acquisition price: ¥0.3 million or more / Release period: within 6 years)・Equipment attached to buildings*4 (Minimum acquisition price: ¥0.6 million or more / Release period: within 14 years)・Structures(Minimum acquisition price: ¥1.2 million / Release period: within 14 years)

*4 For equipment attached to buildings, eligibility is limited to equipment taxed as depreciable assets.● Buildings for business use(Minimum acquisition price: ¥1.2 million)

Otherrequirements

・The equipment must be directly offered for product production and sales or service provision.・The equipment must not be used assets.・The equipment must be assets listed in the advanced equipment introduction plan.

Contact Innovative Investment Promotion Office, Commerce, Industry and Labor Department, Industrial Promotion Bureau, Sakai City TEL:+81 (0)72 228 7629 FAX:+81 (0)72 228 8816

Under the national government’s Preferential Tax System to Promote the Establishment of Regional Bases, businesses located in areas designated in Osaka Prefecture’s Regional Revitalization Program are eligible for tax breaks.

Preferential Tax System to Promote the Establishment of Regional Bases

Tax Reduction System for Promoting Investment in Sakai City

Sakai City aims to promote research and development and new investment in a growing industry field, thereby developing high value-added industries to expand employment and consumption and create a virtuous cycle of regional economy. To this end, the city has formulated the Basic Plan based on the Regional Future Investment Promotion Act in cooperation with Osaka Prefecture, under which businesses that draw up a regional economy advancement project and obtain approval from the governor of Osaka Prefecture are eligible for tax breaks if they fulfill certain requirements.

Preferential Tax System to Promote Regional Future Investment

【Approval requirements】A regional economy advancement project must satisfy all of the following three requirements:

【Application procedures】 For details on application for a regional economy advancement project, please contact the following division of the Osaka Prefectural Government.

(1)Use of regional characteristics The project must be related to any of the following three fields presented by Sakai City as priority fields to implement a strategy to use regional characteristics ( For details of each field, please refer to the Basic Plan based on the Regional Future Investment Promotion Act published on the website of Sakai City.)1. The growing manufacturing field, which focuses on industrial clusters in the metal product manufacturing industry and the production machine and equipment manufacturing industry2. The environmental and energy field, which focuses on industrial clusters in the low-carbon and energy industry3. The health, medical and nursing care field, which focuses on industrial clusters in the medical and welfare sectors(2) Increased Value Added The increase in Value Added is expected to exceed 61.61 million yen through the implementation of a regional economy advancement project throughout the planned project period. However, since this is supposed to apply to a five-year project, the expected increase in Value Added will vary depending on the period of the plan.(3)Economic effects on local businesses  Any of the following effects must be expected to occur through the implementation of a regional economy advancement project throughout the planned project period. ・The number of employees involved in the regional economy advancement project must increase by 1% or more compared to the fiscal year when the project is launched. ・The sales amount involved in the regional economy advancement project must increase by 7% or more compared to the fiscal year when the project is launched.

① Preferential treatment on corporate tax, including tax breaks for advanced capital investment② Preferential treatment related to government subsidies, including the provision of additional points in a screening process (For details, please refer to the website information on the relevant subsidies.)

【Main support measures after approval】

Regional vitality improvement areas

Quasi-regional vitality improvement areas

【Target areas】 Areas designated in Osaka Prefecture’s Regional Revitalization Program (For quasi-regional vitality improvement areas, however, eligibility is limited to relocation.)【Target businesses】 Businesses that satisfy all of the following three requirements: ① Businesses that will relocate or expand their headquarters functions  * Headquarters functions(specific business facilities): offices(planning dept., etc.), research facilities, and training centers ② Businesses that will establish buildings, etc. for headquarters functions in target areas ③ Businesses that will increase the number of full-time employees working in headquarters functions by five   people or more (for SMEs, two or more)  (In the case of relocation, a majority (in the first year) and more than one-quarter (during the subsequent   planned period) of the increase in the number of employees must be from Tokyo’s 23 wards.)【Subsidy details】  ●Subsidy for acquisition of facilities (Acquisition price must be ¥20 million or more; for SMEs, ¥10 million or more)

  ●Subsidy for employment

International Business and Investment Division, Growth Industry Promotion Office, Department of Commerce, Industry and Labor, Osaka Prefectural GovernmentTEL:+81 (0)6 6210 9406 FAX:+81 (0)6 6210 9296Innovative Investment Promotion Office, Commerce, Industry and Labor Department,Industrial Promotion Bureau, Sakai CityTEL:+81 (0)72 228 7629 FAX:+81 (0)72 228 8816

* For details, please contact the following division of the Osaka Prefectural Government.

Subsidy rate: A 25% special depreciation or a 7% tax deduction for building/facility acquisition costs

Subsidy rate: A 15% special depreciation or a 4% tax deduction for building/facility acquisition costs

[Relocation]Relocation from Central Tokyo (Tokyo’s 23 wards)

[Expansion]Relocation from areas other than Central Tokyo, or expansion

①A tax deduction of ¥500,000 per additional employee for specific business facilities during the company’s business year (First year)② In addition to ①, a tax deduction of ¥400,000* per additional employee for a specific regional office during the company’s business year, including employees who move to Sakai City from Central Tokyo(maximum: 3 years)* ¥300,000 in the case where specific business facilities are located in quasi-regional vitality improvement areas① A tax deduction of maximum ¥300,000 per additional employee for specific business facilities during the company’s business year

[Relocation]

[Expansion]

Contact International Business and Investment Division, Growth Industry Promotion Office, Department of Commerce,Industry and Labor, Osaka Prefectural Government TEL:+81 (0)6 6210 9406 FAX:+81 (0)6 6210 9296

Enquiry regarding applicationand and For other enquiries

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Sakai City Subsidy for the Nakamozu Area Innovation ClusterPart of the relevant expenses is subsidized when ICT-related businesses or startups open business facilities, etc. in the area surrounding Nakamozu Station in Sakai City or when businesses, etc. open flexible offices(offices for temporary rental or for service use, including co-working spaces, shared office spaces, mobile work office spaces, and serviced office spaces)or small offices(offices with a floor area of less than 50 m² and equipped with individual air conditioning systems)in the same area.

【Target businesses】Businesses that meet any of the requirements below(1)Businesses(corporations or limited liability partnerships)that will open business facilities, etc. and meet requirements A and B belowA: Business that has newly rented a business facility, etc. with a floor area of 20 m² or more in the target areaB: Business whose operations at the relevant business facility, etc. meets any of conditions ① to ⑤ below① Business for which the special measure for ICT-related businesses(including businesses that operate in the information service industry or the Internet-ancillary service industry or in providing products or services utilizing advanced digital technology or robotics) is applied② Business that is or was a tenant of the Sakai Business Incubation Center③ Startup that is not more than 10 years old as a corporation and has achieved remarkable growth with net sales of over ¥10 million for the past three terms and with an annual net sales growth rate of 20% or higher in the past two consecutive years④ Business that is funded by venture capital or the like with ¥5 million or more through equity financing⑤ Business that commercializes technological seeds based on research results produced by university faculty members and researchers

(2)Business that will rent and improve a building available for use as flexible offices that includes the subsidized part with a total floor area of 100 m² or more in the target zone and will manage such flexible offices

(3)Business that will acquire and improve a building available for use as flexible offices that includes the subsidized part with a total floor area of 100 m² or more in the target zone

(4)Businesses that will rent a building available for use as rental offices, etc. in the target zone and improve the building into 5 or more small offices, thereby enhancing the appeal of the building as rental offices, etc., and provide the offices by way of subleasing

(5)Business that will acquire and improve a building available for use as small offices that includes the subsidized part with a total floor area of 100 m² or more in the target zone

【Target area】Zone outlined by the solid line on the map shown below, in the area surtourding Nakamozu Station in Sakai City * Please contact us for details.

【Subsidy details】○Eligible businesses that fall under(1)

Special measures:If condition(a),(b)or(c)below is met, the annual subsidy will be increased by 10%, provided that, in the case where condition(a)is met, the maximum subsidy amount shall be ¥15 million.(a)ICT-related businesses (b)Seeds at Osaka Prefecture University(c)Foreign affiliated businesses* Regardless of the above, the subsidy rate for businesses that receive any of the following subsidies is 30% of the target cost.● Sakai City Subsidy for Enhancing the Industrial Hub in the Urban Area(Urban Office Investment Promotion Subsidy)● Sakai City Subsidy for Facilitating the Concentration of Next-generation Healthcare Businesses in the Izumigaoka Area (Semboku New Town Office Investment Promotion Subsidy )● Sakai City Subsidy for Incubation Facility Tenants

○Eligible businesses that fall under(2)

○Eligible businesses that fall under(3)(4)(5)

Target cost

Rent for business facilities, etc.(excluding common service fees, etc.)

Subsidy rate1st year: target cost × 50%2nd year: target cost × 40%3rd year: target cost × 30%

Maximum subsidy amount

¥5 million

Subsidy period

36 months

Target cost

Costs of acquiring a building, equipment installed in the building, structures and/or machinery, etc., and building improvement costs

Subsidy rate Subsidy period

target cost × 10% At the time of establishment

Maximum subsidy amount:

¥20 million

Target cost

Rent for business facilities, etc.(excluding common service fees, etc.)

Subsidy rate1st year: target cost × 50%2nd year: target cost × 40%3rd year: target cost × 30%

Maximum subsidy amount

¥15 million

Subsidy period

36 months

Building improvement cost target cost × 10% ¥5 million At the time of establishment

Preferential Treatment SystemsPreferential Treatment Systems

Contact Innovative Investment Promotion Office, Commerce, Industry and Labor Department, Industrial Promotion Bureau, Sakai City TEL:+81 (0)72 228 7629 FAX:+81 (0)72 228 8816

Subsidy for Promoting the Establishment of OfficesSakai City Subsidy for Enhancing the Industrial Hub in the Urban AreaPart of the rent is subsidized when businesses, etc.(corporations or individual business owners)newly open business facilities, etc. in the urban area of Sakai City.

【Subsidy details】Target cost

Rent for business facilities, etc.(excluding common service fees, etc.)

Subsidy rate

Target cost × 30%

Maximum subsidy amount

¥5 million

Subsidy period

36 months

【Target businesses】Businesses that will open business facilities, etc. and meet requirements A and B below(including foreign-affiliated businesses)A: Business that will operate in any of the following industries defined in the Japan Standard Industrial Classification at the relevant business facility  ●manufacturing industry ●electricity, gas and heat supply industries ●information and communication industry   ●transportation industry ●wholesale industry ●banking industry ●insurance industry, etc.   ●academic research and specialized and technical service industry ●foreign diplomatic services ●school education, etc.   * No industry limitations are imposed on businesses, etc. that are or were tenants of the Sakai Business Incubation Center or have received the Sakai City Subsidy for the Nakamozu Area Innovation Cluster.

B: Businesses that meet conditions(1)and(2)below  (1)The relevant business facility, etc. must have a total of 10 or more employees permanently working there.  (2)The relevant business facility, etc. must have a total floor area of 100 m² or more.

【Target area】 Zone outlined by the solid line in the map shown below, in the urban area of Sakai City * Please contact us for details.

Special measures: If condition(a),(b)or(c)below is met, the subsidy will be increased by 10%, provided that, in the case where condition (a)is met, the maximum subsidy amount shall be ¥15 million. (a)Relocation of the head office function (b)Foreign affiliated businesses (c)Foreign diplomatic services * Please contact us for details regarding the special measures.

Target zone in the urban area Target zone in Nakamozu area Target zone in Izumigaoka area

SakaiStation

Izumigaoka Station

Sakai City Subsidy for Facilitating the Concentration of Next-generation Healthcare Businessesin the Izumigaoka AreaPart of the rent is subsidized when businesses, etc. newly open business facilities, etc. for the operation of a next-generation healthcare business in the area surrounding Izumigaoka Station in Sakai City.

【Target businesses】Businesses(corporations or limited liability partnerships)that will open business facilities, etc. and meet all of requirements A to C belowA: Business that has newly rented a business facility, etc. with a total floor area of 50 m² or moreB: Business that has a total of 5 or more permanent employeesC: Business that will conduct any type of business covered by ① to ③ below at the relevant business facility, etc.*① Business providing pharmaceuticals, medical devices and/or related products or services② Business providing long-term-care devices, welfare devices and/or related products or services③ Business providing products or services for health maintenance and enhancement* Excluding commercial facilities(recreation facilities, restaurants, retailers, consumer service providers, and other facilities attracting individual customers), medical institutions, welfare facilities, and other similar businesses

【Target area】Zone outlined by the solid line on the map shown below, in the Izumigaoka Station area of Sakai City * Please contact us for details.

【Subsidy details】

Special measures: If condition(a)or(b)below is met, the subsidy will be increased by 10%, provided that, in the case where condition(a)is met, the maximum subsidy amount shall be ¥15 million.(a)Relocation of the head office function (b)Foreign affiliated businesses

Target costRent for business facilities, etc.(excluding common service fees, etc.)

Subsidy rate

Target cost × 30%

Maximum subsidy amount

¥5 million

Subsidy period

36 months

SakaihigashiStation

NakamozuStation

OsakaPrefectureUniversity

17 18

Subsidy for Constructing Rental Office BuildingsSakai City Subsidy for Facilitating the Construction of Rental Office Buildings

Preferential treatment systems to promote establishment of new business facilities

Preferential treatment systems to promote establishment of new business facilities

Sakai Grand Design 2040

This subsidy system aims to facilitate the provision of attractive offices and consequently the concentration of business functions in order to enhance the appeal of Sakai City, create employment, and promote the industries of Sakai City.

【Target businesses】Businesses that meet all of requirements(1)to(5)below(1)Business that newly builds or rebuilds a rental office building in any of the target areas(2)Rental office building with a total floor area of 3,000 m² or more in the urban area or 1,500 m² or more in the Nakamozu or Izumigaoka area(3)The total floor area of the part designed for use as rental offices, etc.*(hereinafter, “the subsidized floor area”) must account for 50% or more of the total floor area of the rental office building. (This will not apply if the total subsidized floor area is 1,500 m² or more.)(4)Rental office building with an area of 300 m² or more for each floor(5)Business that have not received the Sakai City Subsidy for the Nakamozu Area Innovation Cluster for the relevant rental office building* Rental offices, etc.: Areas in the building that fall under(a)or(b)below(a)Areas to be rented as offices or research institutes of companies, etc.(excluding housing, commercial facilities, medical institutions, welfare facilities, etc.)(b)Areas to be used or rented as flexible offices(including co-working spaces and shared office spaces), rental meeting rooms, conference rooms, event and seminar spaces or exhibition and demonstration spaces

【Target areas】●Urban area  ●Nakamozu area  ●Izumigaoka area* Please contact us for details.

【Subsidy details】Target cost × up to 10%(maximum amount: ¥200 million)《Target costs》Of the costs of constructing or rebuilding a rental office building, the costs of acquiring the building, equipment installed in the building, structures, and/or machinery(* Excluding the costs of surveying, creating and acquiring the land, and paying taxes and other public charges, consumption tax and local consumption tax)(* Excluding costs incurred for areas other than rental offices, etc. in the building)(* Excluding costs covered by subsidies from the Japanese government and other local governments)

【Application deadline】 Day of issuance of the building confirmation certificate

Hub for dynamic exchanges Area as an incubator of new industries and startups

Next-generation New Town that mixes various facilities and joyful activities

To share a future vision of continuous growth for Sakai City 20 years from now, a project team formed by young and middle-ranking staff of the Sakai City government formulated Sakai Grand Design 2040 in February 2020.

Toward an Excellent City for Visitors, Workers, and Prospective and Current Residents

This museum showcases a wide range of traditional industries of Sakai and is equipped with areas for exhibition and hands-on experience, and a store selling Sakai’s specialties and other quality products. The facility also houses the Sakai Hamono Knife Museum(known as CUT), which reopened after remodeling in April 2021, introducing the charm of Sakai-made knives from various perspectives.

Sakai City Traditional Crafts MuseumTopic

Contact Innovative Investment Promotion Office, Commerce, Industry and Labor Department, Industrial Promotion Bureau, Sakai City TEL:+81 (0)72 228 7629 FAX:+81 (0)72 228 8816

Contact Financial Support Division, Sakai City Industrial Promotion Center TEL:+81 (0)72 255 8484 FAX:+81 (0)72 255 5162

Contact Manufacturing Support Division, Commerce, Industry and Labor Department, Industrial Promotion Bureau, Sakai City TEL:+81(0)72 228 7534 FAX:+81(0)72 228 8816

Contact Employment Promotion Division, Commerce, Industry and Labor Department, Industrial Promotion Bureau, Sakai City TEL:+81 (0)72 228 7629 FAX:+81 (0)72 228 8816

Support for Companies Deeply Rooted in Local Communities in Sakai CitySupport for Manufacturing Companies

Sakai City Work Environment Improvement Support Subsidy for Women Employment PromotionPart of the relevant costs are subsidized to SMEs in Sakai City involved in work environment improvement with the aim of promoting female employment and labor force participation.【Target businesses】SMEs in Sakai City (required to engage in business in the city for at least one year) * There are other conditions to be met.【Target projects】① Installation or improvement of facilities for women (restrooms, shower rooms, changing rooms, lounges) provided exclusively to female employees② Safety measures for female employment【Subsidy amount】Up to half of the costs related to facility installation or improvement (upper limit: ¥500,000)

There are financing systems that provide SMEs with the funds necessary to make capital investment in Sakai City.

Sakai City Financing Systems for SMEs

Sakai City Loans to Support Capital Investment by SMEs (unsecured) (municipal cooperation type)●Loan amount: up to ¥80 million ● Period: up to 10 years ●Interest rate: -0.1% from the interest rate(up to 1.2% per year)prescribed by the financialinstitution(fixed rate)● Guarantee: Credit Guarantee Corporation of Osaka ● Credit guarantee fee: prescribed by Credit Guarantee Corporation of Osaka

Sakai City Loans to Support the Revitalization of SMEs (secured)● Loan amount: up to ¥50 million ・Period: up to 10 years for capital investment ● Interest rate: 1.4% per year (1.0% for loans related to IoT/IT technology introduction as preferential treatment) ● Guarantee: Sakai City Industrial Promotion Center ● Credit guarantee fee: no need to bear, in principle (borne by Sakai City)

■ Subsidy for Promoting SME Digitization  Subsidies are provided to cover part of the costs incurred in implementing initiatives that are expected to lead to market development,   enhanced efficiency of production processes, and productivity growth with the use of digital technologies.  【Target businesses】SMEs in Sakai City  【Subsidy details】Projects expected to lead to market development: Subsidy rate is three quarters of the costs with an upper limit of ¥1 million  Projects expected to lead to enhanced efficiency of production processes and productivity growth: Subsidy rate is 50% of the costs with   an upper limit of ¥0.5 million for IoT and/or AI equipment, and ¥1.5 million for robots■ Program for Promoting Startup Demonstrations  This program invites new business ideas that may contribute to solving social problems facing Sakai City and creating innovation, thereby   providing demonstration opportunities, with part of the demonstration costs being subsidized.  【Target businesses】Businesses with a plan for conducting demonstrations to test their innovative business ideas  【Subsidy details】Support for establishment of a demonstration field or the like, and other relevant support and subsidies  (upper limit: ¥2 million / up to 50% of costs)■ New Manufacturing Business Grant  Sakai City provides a subsidy to cover part of the necessary costs for SMEs that endeavor to create high value-added products and technologies or  advance into new business fields.  【Target businesses】SMEs in Sakai City  【Target projects】Development of new product/technology promoted mainly by an SME located in Sakai City(including improvement of an existing product or technology)  【Subsidy details】Up to 50% of the cost eligible for the subsidy per year (upper limit: ¥3.0 million)

Contact Innovative Investment Promotion Office, Commerce, Industry and Labor Department, Industrial Promotion Bureau, Sakai City TEL:+81 (0)72 228 7629 FAX:+81 (0)72 228 8816

Relaxation of Factory Green Area RegulationsLocal Ordinance in Accordance with the Factory Location ActThe factory green area ratio requirement has been significantly reduced to promote investment by companies.

Before relaxation After relaxation

20% (25%) or more10% (15%) or more

15% (20%) or more※( ) indicates the required percentage of environmental facility areas including green areas.

Exclusive manufacturing zone/         Manufacturing zone

Light manufacturing zone