ECONOMIC OVERVIEW OF TOHOKU REGION 2016

ECONOMIC OVERVIEW
OF TOHOKU REGION
2016
Tohoku Bureau of Economy, Trade and Industry
Contents
1. Overview of the Tohoku Region ..............................................................................................................................1
(1) Overview of the Tohoku Region .........................................................................................................................1
(2) Positioning of Tohoku as Shown in Major Economic Indicators .......................................................................2
2. Economic Structure and Trends in the Tohoku Region ............................................................................................3
(1) Gross Product ......................................................................................................................................................3
(2) Real Economic Growth Rate...............................................................................................................................5
(3) Population ...........................................................................................................................................................6
(4) Demographics .....................................................................................................................................................7
(5) Number of Business Establishments (Private) ....................................................................................................8
(6) Industrial Production .........................................................................................................................................10
(7) Consumption .....................................................................................................................................................12
(8) Private Sector Capital Expenditures .................................................................................................................13
(9) Acquisition of Plant Locations..........................................................................................................................15
(10) Labor Force Population...................................................................................................................................17
(11) Employment ....................................................................................................................................................18
(12) Business Entry and Exit Rates ........................................................................................................................19
(13) Internationalization .........................................................................................................................................20
(14) Tourism ...........................................................................................................................................................25
3. Industrial Structure of Tohoku................................................................................................................................27
(1) Manufacturing ...................................................................................................................................................27
(2) Commerce .........................................................................................................................................................35
(3) Service Industry ................................................................................................................................................36
(4) Agriculture, Forestry and Fisheries ...................................................................................................................39
1. Overview of the Tohoku Region
(1) Overview of the Tohoku Region
Gross Regional Product (GRP)
(6.3% of national total)
Aomori
13.7%
Fukushima
22.3%
Yamagata
11.9%
Value of manufactured
goods shipped
Akita
10.8%
(5.5% of national total)
Fukushima
30.4%
(17.7% of national total)
66,947 km
(2015)
Akita
17.4%
Iwate
13.5%
Miyagi
23.7%
Yamagata
15.6%
Iwate
22.8%
Wholesale annual
sales value
Akita
7.2%
(4.4% of national total)
Miyagi
10.9%
Fukushima
14.5%
Yamagata
7.8%
Total population
(7.1% of national total)
Fukushima
21.3%
Yamagata
12.5%
Retail annual sales value
Akita
11.4%
Akita
6.8%
Aomori
11.3%
Iwate
10.3%
15,545.5
billion yen
(2013)
(7.4% of national total)
Aomori
14.6%
8,982,000
people
(2015)
Miyagi
27.4%
16,760
billion yen
(2014)
Aomori
14.4%
2
Yamagata
13.9%
Iwate
14.0%
Aomori
9.5%
Total area
Fukushima
20.6%
32,226.7
billion yen
(FY2013)
Fukushima
21.6%
Iwate
14.2%
Yamagata
12.7%
Miyagi
26.0%
8,982.8
billion yen
(2013)
Akita
11.7%
Miyagi
49.4%
Aomori
13.7%
Iwate
13.9%
Miyagi
26.3%
Economic Indicators for the Tohoku Region
Item
Major
economic indicators
Total area <Square kilometers>
(As of October 1, 2015) <Note 1>
Item
Tohoku
66,947
Data and Source
Major
economic indicators
National Land Area Survey of
Income per capita
Prefectures and Municipalities
<1,000 yen>
(Geospatial Information
Authority of Japan)
Tohoku
(FY2013)
Total population <1,000 people>
(As of October 1, 2015)
Preliminary Report on 2015
Population Census
No. of business establishments
8,982
(Ministry of Internal Affairs
(As of July 1, 2014)
and Communications)
No. of households <Thousands>
(As of October 1, 2015)
3,467
Preliminary Report on 2015
Population Census
No. of employees <1,000 people>
(Ministry of Internal Affairs
(As of July 1, 2014)
and Communications)
Gross Regional Product
(Nominal) <100 million yen>
(FY2013)
322,267
Value of manufactured goods
shipped <100 million yen>
(2014; businesses with four
or more employees)
(Primary industry) <Note 2>
(Secondary industry) <Note 2>
(Tertiary industry) <Note 2>
No. of municipalities
(As of April 1, 2016)
FY2013 Annual Report on
Prefectural Accounts
8,111
(Cabinet Office) Wholesale sales value
82,475
<100 million yen>
Annual Report on Prefectural
2,682 Accounts
(Cabinet Office)
424,333 2014 Economic Census for Business
Frame (Final Report)
(Ministry of Internal Affairs and
Communications and Ministry of
Economy, Trade and Industry)
3,758
167,600
155,455
(2013)
230,451
76 Cities Number of Municipalities in Each
Retail sales value
117 Towns Prefecture
<100 million yen>
(Ministry of Internal Affairs
34 Villages
and Communications)
Data and Source
89,828
2014 Census of Manufacture
(Ministry of Economy,
Trade and Industry)
2014 Census of Commerce (Final
Report)
(Ministry of Economy,
Trade and Industry)
(2013)
<Note 1> For the areas of prefectures with undefined boundaries, reference values recorded in the National Land Area Survey of Prefectures and
Municipalities (Geospatial Information Authority of Japan) are used.
<Note 2> Figures by industry are before the deduction or addition of duties, customs and so forth on imported goods.
-1-
(2) Positioning of Tohoku as Shown in Major Economic Indicators
In Tohoku, primary industry has a large share of the overall economy. “Electronic parts, devices and
electronic circuits” and “information and communications electronics equipment” have relatively large
shares of the manufacturing industry.
0.0
5.0
10.0
17.7
Total area [2015]
Total population [2015]
7.1
Working population [2015]
7.0
14.0
(Primary Industry)
7.5
(Secondary Industry)
6.5
(Tertiary Industry)
6.3
Gross Regional Product [FY2013]
15.1
(Primary Industry)
6.7
(Secondary Industry)
6.1
(Tertiary Industry)
7.3
No. of business establishments [2014]
6.5
No. of employees [2014]
5.5
Value of manufactured goods shipped [2014]
7.1
(Foodstuffs)
13.8
(Electronic parts, devices and electronic circuits)
(Transportation equipment)
(%)
20.0
15.0
2.6
15.2
(Information and communications electronics equipment)
4.4
Wholesale sales value [2013]
Percentage of total population: 7.1%
7.4
Retail sales value [2013]
6.3
Department store/supermarket sales value [2015]
3.1
(Department stores)
7.9
(Supermarkets)
7.1
Convenience store sales value [2015]
7.9
New passenger car registrations [FY2015]
6.9
Housing starts [FY2015]
18.4
Value of public works contracted [FY2015]
8.0
No. of factory locations acquired [2015]
(Note) The working population is based on the 2015 Population Census
(Ministry of Internal Affairs and Communications).
-2-
2. Economic Structure and Trends in the Tohoku Region
(1) Gross Product
The Gross Regional Product (GRP) is 32.2 trillion yen, or 6.34% of the national total.
Changes in (Nominal) Gross Regional Product
 In fiscal year 2013, the Tohoku region’s GRP (nominal) was 32,226.7 billion yen, up 3.3% from the previous
year, and 6.34% of the national total. The GRP increased in the three prefectures affected by the Great East
Japan Earthquake mainly due to demand driven by reconstruction.
域内総生産(名目)の推移
(Trillion
yen)
(兆円)
50
6.11
6.11
40
30
20
10
6.34
6.24
6.17
(%)
6.50
6.10
5.93
31.2
trillion yen
32.2
trillion yen
4.5
4.4
4.4
4.5
8.5
8.8
5.30
7.7
3.4
3.6
3.5
3.6
3.5
3.7
3.5
3.8
4.90
7.0
6.9
6.3
6.7
7.2
2009
2010
2011
2012
31.3
trillion yen
30.3
trillion yen
30.4
trillion yen
29.7
trillion yen
4.5
4.2
4.4
4.1
4.4
4.1
4.4
4.2
7.9
7.8
7.8
3.5
3.8
3.4
3.5
7.4
2008
5.70
0
青森県
Aomori
岩手県
Iwate
宮城県
Miyagi
秋田県
Akita
山形県
Yamagata
福島県
Fukushima
全国比 of national total
Share
(右軸)
(right axis)
4.50
2013 (FY)
(Note) The past figures in the Annual Report on Prefectural Accounts are revised retrospectively,
together with the estimates for the latest fiscal year.
Source: Annual Report on Prefectural Accounts, Cabinet Office
 The Tohoku region’s GRP (nominal) follows those of the Kanto, Kinki, Chubu and Kyushu regions. Its share of
the national total increased 0.23 points in fiscal year 2013 compared to fiscal year 2008.
地域別域内総生産(名目)
(Nominal) GRP by Region
(Trillion yen)
250
FY2008
230.5
227.0
Hokkaido
Tohoku
FY2013
200
Kanto
Chubu
Kinki
Chugoku
Shikoku
150
Kyushu
100
84.8 82.6
Okinawa
Hokkaido
Aomori, Iwate, Miyagi, Akita, Yamagata, Fukushima
Ibaraki, Tochigi, Gunma, Saitama, Chiba, Tokyo,
Kanagawa, Niigata, Yamanashi, Nagano, Shizuoka
Toyama, Ishikawa, Gifu, Aichi, Mie
Fukui, Shiga, Kyoto, Osaka, Hyogo, Nara, Wakayama
Tottori, Shimane, Okayama, Hiroshima, Yamaguchi
Tokushima, Kagawa, Ehime, Kochi
Fukuoka, Saga, Nagasaki, Kumamoto, Oita, Miyazaki,
Kagoshima
Okinawa
57.4 59.2
50
0
18.3 18.3
Hokkaido
43.6 43.9
31.3 32.2
Tohoku
28.5 28.0
Kanto
Chubu
Kinki
Chugoku
13.5 13.6
Shikoku
3.7 3.9
Kyushu
Okinawa
北海道 東北 関東 中部 近畿 中国 四国 九州 沖縄
Changes in Shares of National Total
Hokkaido
FY2013
3.59
Share
FY2008
3.58
FY2013–FY2008
0.01
Tohoku
6.34
6.11
0.23
Kanto
44.63
45.06
-0.43
Chubu
11.63
11.22
0.41
-3-
Kinki
16.23
16.58
-0.35
Chugoku
5.51
5.57
-0.06
Shikoku
2.68
2.64
0.04
Kyushu
8.63
8.52
0.11
(Unit: %; points)
Okinawa
0.76
0.72
0.04
 By industry classification, primary industry accounts for 2.5%, secondary industry for 25.7%, and tertiary
industry for 71.8%. Due to work related to reconstruction in the aftermath of the earthquakes, the share of the
construction industry rose to10.0%.
Changes in the Shares of Industry Sectors in (Nominal) GRP
FY2008
31,257.7 billion yen
FY2013
32,226.7 billion yen
FY2013
508,645.6 billion yen
Primary
industry
Secondary industry
Private & nonprofit service
producers for
households
Government
service producers
Services
Information and
communications
Transport
Real estate
Finance and
insurance
Wholesale
and retail
Electricity,
gas and water
Construction
Manufacturing
Japan
Agriculture,
forestry and
fisheries
Mining
Tohoku
Tertiary industry
(Note) The above shares are before the addition and deduction of duties, customs and so forth on imported goods.
Source: Annual Report on Prefectural Accounts, Cabinet Office
-4-
(2) Real Economic Growth Rate
The real economic growth rate in fiscal year 2014 was 0.5%, a positive growth for three consecutive
years.
 The Tohoku region’s real economic growth rate in fiscal year 2014 was 0.5% (compared to a 1.0% drop in the
real economic growth rate of Japan), continuing the trend of positive growth for three consecutive years.
Changes in the Real Economic Growth Rate in the Tohoku Region (chain-linking method)
Peak: February 2008
Trough: March 2009 Peak: March 2012 Trough: November 2012
Tohoku
Japan
Great East Japan Earthquake
Lehman Shock
2004
2005
2006
2007
2008
2010
2009
2011
2012
2013
2014
2015
2016
2017 (FY)
The shaded areas indicate a period of economic recession.
(Note 1) The above figures are based on 93SNA (System of National Accounts), and the figures after 2005 are calculated using the
chain-linking method (chain-linking price to the calendar year 2005).
(Note 2) Business-cycle peaks and troughs are based on the Cabinet Office’s reference dates for the business cycle.
(Note 3) The FY2014 figures for the Tohoku region are based on preliminary figures for the six prefectures in the region.
(Note 4) The annual national figures are based on the Preliminary Report on Quarterly GDP for January to Mach 2016 released by the
Cabinet Office on June 8, 2016.
(Note 5) The national figures for fiscal years 2016 and 2017 are taken from the Mid-Year Economic Projection for FY2016 released by
the Cabinet Office on July 13, 2016.
(Note 6) The figures for the Tohoku region from FY2015 onward are not included, because the six Tohoku prefectures have not yet
released them.
Source: Early Estimates/Preliminary Report on the Annual Report on Prefectural Accounts for the six Tohoku prefectures; and the
National Accounts of Japan (Final Report) and the Preliminary Report on Quarterly GDP by the Cabinet Office
 With respect to the level of contribution made by different economic activities (industry sectors) to the real
economic growth rate in fiscal year 2014, construction and manufacturing made positive contributions of
1.3% and 0.6% respectively, while wholesale and retail had a negative impact of minus 1.0%.
 In terms of changes in the real economic growth rate of each prefecture in Tohoku, Fukushima and Iwate
recorded positive growth for three consecutive years, while Miyagi, Akita and Yamagata turned negative.
Contribution to the Real Economic Growth Rate
in FY2014 by Economic Activity
Changes in Real Economic Growth Rate
by Prefecture
(Chain-linking method)
(Chain-linking method)
Fukushima 3.9
Wholesale and retail
Services
Government service
producers
Agriculture, forestry and
fisheries
Electricity, gas and water
Information and
communications
Transport
Real estate
Mining
Private & non-profit service
producers for households
Finance and insurance
Manufacturing
Construction
Iwate 0.7
Miyagi 0.0
Aomori 0.0
Yamagata -1.9
Akita -2.0
2009
Aomori
2010
Iwate
2011
Miyagi
2012
Akita
2013
Yamagata
2014 (FY)
Fukushima
Source: (2014) Estimates/Preliminary Report on the Annual Report on
Prefectural Accounts for the six Tohoku prefectures
(2009 to 2013) Annual Report on Prefectural Accounts, Cabinet
Office
Source: Estimates/Preliminary Report on the Annual Report on
Prefectural Accounts for the six Tohoku prefectures
-5-
(3) Population
The working-age population in Tohoku is projected to shrink by 32.6% between 2015 and 2040.
 In 2015, the Tohoku region had a population of 8.98 million, accounting for 7.1% of the national population
(127.11 million people). Its population started to decrease after peaking in 1995, and is projected to drop
23.6% between 2015 and 2040 to 6.86 million, or 6.4% of the national population.
Changes in the Population of the Tohoku Region
(10,000 people)
Aomori
1.31
million
1.28 million
Iwate
Share of national total
Miyagi
2.33
million
Akita
1.02
million
Yamagata
1.12
million
Fukushima
1.91
million
1955
1965
1975
1985
1995
2000
2005
2010
2015
2020
2030
2040
(Note) The above estimates are based on medium assumptions of births and deaths.
Source: (1955 to 2015)
Population Census of Japan by the Statistics Bureau of the Ministry of Internal Affairs and Communications
(the figures for 2015 are based on the preliminary report on population data)
(From 2020 onward) Population Projection by Prefecture by the National Institute of Population and Social Security Research
(Projection form March 2013)
 In terms of population changes in three age groups between 2015 and 2040, the working-age population (15
to 64 year olds) and the child population (0 to 14 year olds) are projected to decrease by 1.71 million and
400,000 respectively, while the elderly population (aged 65 or older) is projected to increase by 100,000.
Population Trends of Three Age Groups
(10,000 people)
1995
2000
2005
Child population
2010
2015
Working-age population
Source: (1995 to 2015)
2020
2030
2040
Elderly population
Population Census of Japan by the Statistics Bureau of the Ministry of Internal Affairs and Communications
(the figures for 2015 are based on a preliminary report on sample population)
(From 2020 onward) Population Projection by Prefecture, the National Institute of Population and Social Security Research
(Projection from March 2013)
-6-
(4) Demographics
Tohoku’s population shrank by 47,000 due to natural population decline, and by 22,000
due to net migration loss.
 In 2015, the number of live births in the Tohoku region was 63,300, down 900 from the previous year, while
there were 110,700 deaths, up 900 from the previous year. As a result, natural population decline increased
from 45,600 people in the previous year to 47,400 people.
 85,700 people moved to the Tohoku region, and 107,500 people moved out of the region. As a result, the
region’s net migration loss (arrivals minus departures) increased from 17,400 people in 2014 to 21,800 people.
For individual prefectures, Miyagi Prefecture recorded a net migration loss for the first time in four years.
This meant that all six Tohoku prefectures incurred net migration loss.
Changes in the Number of Live Births and Deaths
(1,000 people)
Changes in Arrivals and Departures
(1,000 people)
2000
2005
2010
2013
2014
Number of
Number of
live births
deaths
2015
2000
2005
2010
2013
Numbers of
arrivals
(Note) The figures for natural population decline and net migration loss may
not match because the number of live births and the number of deaths
are rounded.
2014
2015
Numbers of
departures
(The numbers of arrivals/departures do not include people who moved
within the Tohoku region.)
Source: Annual Report on the Internal Migration in Japan
Derived from the Basic Resident Registers, Ministry of
Internal Affairs and Communications
Source: Annual Report on Demographic Statistics, Ministry of
Health, Labour and Welfare
Comparison of Net Migration Loss in Tohoku Prefectures (2014/2015)
(1,000 people)
Arrivals –
Departures
Aomori
Iwate
Miyagi
Akita
Yamagata
Fukushima
Tohoku
2014
6.5
3.2
2.4
4.4
3.6
2.2
17.4
2015
6.6
4.1
0.1
4.5
4.1
2.4
21.8
Source: Annual Report on the Internal Migration in Japan Derived from the Basic Resident Registers, Ministry of Internal Affairs and
Communications
 There were approximately 470,000 evacuees and displaced people immediately after the Great East Japan
Earthquake. Their number dropped to around 148,000 as of July 2016. (Number of evacuees as of July 2015:
202,000 people)
The number of evacuees, etc. of the Great East Japan Earthquake (By prefecture of evacuation)
Yamagata
Fukushima
Miyagi
Akita
Iwate
Out of Tohoku
Total of
147,772
people
Aomori
[Evacuees who moved to other prefectures] 40,982 people from Fukushima, 5,930 people from Miyagi, and 1,390 people from Iwate
Source: Reconstruction Agency survey (as of July 14, 2016)
-7-
(5) Number of Business Establishments (Private)
Private business establishments in Tohoku represent 7.3% of the national total, while the number of
employees accounts for 6.5% of the national total.
 In 2014, the Tohoku region had 424,333 private business establishments, or 7.3% of the national total
(5,779,072 establishments). The number rose 0.9% from the previous survey conducted in 2012. In particular,
Miyagi and Iwate saw a significant growth of 5.4% and 1.7% respectively.
Number of Private Business Establishments and Employees by Prefecture
Number of business establishments
2012
Aomori
Iwate
Miyagi
Akita
Yamagata
Fukushima
Tohoku
Japan
2014
61,549
59,537
98,190
52,285
59,304
89,518
420,383
5,768,489
Number of employees
Share in
national total
(%)
1.1
1.0
1.8
0.9
1.0
1.6
7.3
100.0
Change (%)
1.1
1.7
5.4
2.2
1.7
0.5
0.9
0.2
60,866
60,543
103,505
51,156
58,292
89,971
424,333
5,779,072
2012
2014
503,372
509,979
955,780
418,749
479,223
782,816
3,649,919
55,837,252
508,770
536,313
1,010,795
418,534
480,627
803,372
3,758,411
57,427,704
Change (%)
1.1
5.2
5.8
0.1
0.3
2.6
3.0
2.8
Share in
national total
(%)
0.9
0.9
1.8
0.7
0.8
1.4
6.5
100.0
Ratios of Private Business Establishments and Employees by Prefecture (2014)
Number of business establishments
424,333 establishments
Number of employees
3,758,411 people
Aomori
Iwate
Miyagi
Akita
Yamagata
Fukushima
(Note) The number of business establishments includes businesses whose business details are unclear.
Source: 2012 Economic Census for Business Activity and 2014 Economic Census for Business Frame (Final Report),
Ministry of Internal Affairs and Communications and the Ministry of Economy, Trade and Industry
 In terms of the ratios of private business establishments by industry (large classification), wholesale and retail
have the largest share at 26.8%, followed by accommodation and food services at 12.1% and construction at
10.9%. The tertiary industry has a significant share at 81.0%. In comparison to 2012, medical and welfare
services increased their share by 0.8 points.
Changes in Ratios of Private Business Establishments by Industry (Large Categories)
2012
404,616 establishments
Construction
Manufacturing
2014
414,900 establishments
Construction
Manufacturing
Agriculture, forestry and fisheries
Primary industry
4,062 establishments
(1.0%)
Mining, quarrying and
gravel extraction
Secondary industry
74,713 establishments
Accommodation
and food services
Wholesale and retail trade
Accommodation
and food services
Wholesale and retail trade
Living-related
services and leisure
services
Living-related
services and leisure
services
Transport and postal services 2.3%
Scientific research, professional
and technical services 3.5%
Finance and insurance
Information and
communications 0.7%
Real estate and goods rental
Electricity, gas, heat
and leasing
supply and water
0.1%
Tertiary industry 336,125 establishments (81.0%)
Medical and
welfare
services
Medical and
welfare
services
Education/
learning
support
Services (not
classified into
other categories)
Services (not
classified into
other categories)
Composite
services
0.9%
(Note) The number of business establishments by industry includes only those for which required values could be obtained.
Source: 2012 Economic Census for Business Activity and 2014 Economic Census for Business Frame (Final Report), Ministry of
Internal Affairs and Communications and the Ministry of Economy, Trade and Industry
-8-
 In 2014, the total number of employees in the Tohoku region was 3,758,000, representing 6.5% of the
national total (6.5% in the previous survey). In terms of the number of employees hired by private business
establishments by industry (large categories), primary industry hired 1.2%, secondary industry 26.1%, and
tertiary industry 72.7%. In comparison with 2012, the number of employees in medical and welfare services
rose by 1.5 points, while those hired in the manufacturing industry decreased by 0.8 points.
Changes in Ratios of Employees by Industry (Large Categories)
2012
3,649,919 people
Construction
Manufacturing
2014
3,758,411 people
Construction
Manufacturing
Agriculture, forestry and fisheries
Primary industry
46,216 people
(1.2%)
Mining, quarrying
and gravel extraction
Electricity, gas,
heat supply and
water
0.4%
Secondary industry 981,634 people
(26.1%)
Transport
and postal
services
Transport
and postal
services
Wholesale and retail trade
Wholesale and retail trade
Information and
communications
1.2%
Finance and insurance
2.4%
Accommodation
and food
services
Accommodation
and food
services
Medical and welfare
services
Medical and welfare
services
Education/
Living-related services learning support
and leisure services 2.5%
4.5%
Scientific research, professional
and technical services 2.3%
Tertiary industry 2,730,561 people (72.7%)
Real estate and goods
rental and leasing
2.0%
Services (not
classified into
other
categories)
Services (not
classified into
other
categories)
Composite
services
1.3%
(Note) The figures for 2012 were as of February 1, 2012, while the figures for 2014 were as of July 1, 2014.
Source: 2012 Economic Census for Business Activity and 2014 Economic Census for Business Frame (Final Report),
Ministry of Internal Affairs and Communications and the Ministry of Economy, Trade and Industry
-9-
(6) Industrial Production
Recovered in early 2015 but weakened thereafter
 The Tohoku Region’s Industrial Production Index in 2015 dropped 0.8% from the previous year to 95.3
(2010=100).
 By quarter, the Industrial Production Index (seasonally adjusted: 2010=100) in the 1st quarter of 2015
recovered from 2014 and rose 3.0%, quarter over quarter, to 98.2, thanks to various factors including an
increase in exports to North America due to the better export environment. From the 2nd to 4th quarters,
information and communications electronics equipment contracted significantly due to the weak domestic
market, and the impact of the slowing Chinese economy became evident in electronic parts and devices and
general-purpose, production and business oriented machinery, among others. As a result, industrial
production weakened overall and the Industrial Production Index dropped for the three consecutive quarters
by 3.4%, 0.5% and 0.4% quarter over quarter, respectively. The Industrial Production Index therefore
decreased from 98.2 in the 1st quarter to 94.0 in the 4th quarter.
 In the first six months of 2016, the quarterly Industrial Production Index rose 3.3% in the 1st quarter from the
previous quarter, and reached 97.1 mainly due to the steady production of general-purpose, production and
business machinery aided by the impact of an increase in production facilities and semi-conductor related
demand, despite poor domestic demand in some industries and items and the continued impact of the slowing
Chinese economy. In the 2nd quarter, the Index dropped 0.5% to 96.6 quarter over quarter, due to the impact
of the Kumamoto earthquake in April and the continued impact of the slowing Chinese economy, although
there was steady production of some items thanks to some factors including an increase in production
facilities.
Changes in the Industrial Production Index
(Index)
Peak March
Trough 2012
March
Trough November
2009
2012
Peak
February
2008
Annual index: original index; quarterly index: seasonally adjusted, 2010 = 100
Consumption hike
from 5 to 8%
Great East Japan
Earthquake
2015
2014
2013
2012
2011
2010
2009
2008
2007
2006
Lehman Shock
2010
2011
Production in Tohoku
2012
2013
2014
2015
2016
Production in Japan
(Note) Business-cycle peaks and troughs are based on the Cabinet Office’s reference dates of business cycle. (The shaded area
represents a period of economic recession.)
The Production Index for Japan is prepared by the Ministry of Economy, Trade and Industry, while the Production Index
for Tohoku is prepared by the Tohoku Bureau of Economy, Trade and Industry. The Indexes for both Tohoku and Japan
are annualized for the period from January 2015.
The Indexes for both Tohoku and Japan are revised based on the figures for 2010 as the base values.
- 10 -
 In 2015, the following industry sectors had negative year-over-year Production Index growth: foodstuffs and
tobacco (down 11.8%), information and communications electronics equipment (down 10.6%), among others.
On the other hand, the 2015 Production Index rose year over year for electrical machinery (up 13.2%), metal
products (up 10.2%) and others.
 In terms of the level of contribution by industry sector, foodstuffs and tobacco, for which factories were
closed for some items, and information and communications electronics equipment, which had poor
performance due to the weak domestic market, had negative contributions to the overall result, at minus 1.16
and minus 0.78, respectively. Meanwhile, positive contributions to the Production Index were made by
electronic parts and devices, which had steady performances helped by the demand for in-car products (0.84),
electrical machinery, whose performance was solid as it was supported by reconstruction demand (0.57), and
metal products (0.45), among others.
2015 Year-on-year Growth
2015 Industry Sector Contribution (% point) to
in Production Index (%)
Year-on-year Production Growth (minus 0.8%)
Electrical machinery
Electronic parts and devices
Metal products
Electrical machinery
Electronic parts and devices
Metal products
Pulp, paper and paper products
Pulp, paper and paper products
Plastic products
Plastic products
Chemical and petroleum products
Chemical and petroleum products
General-purpose, production and business oriented machinery
Mining
Non-ferrous metals
Non-ferrous metals
Iron and steel
Iron and steel
Transportation equipment
Textile products
Other manufacturing
Ceramic, stone and clay products
Ceramic, stone and clay products
Other manufacturing
Mining
General-purpose, production and business oriented machinery
Textile products
Transportation equipment
Information and communications electronics equipment
Information and communications electronics equipment
Foodstuffs and tobacco
Foodstuffs and tobacco
The figures in parentheses show the weight of the relevant industry sector.
(Note) Weight: The share of each industrial sector in the total (Total of mining and industrial production = 10,000)
Contribution: Breakdown of the percentage change of the entire production by industry sector. It shows the impact of any changes in the production of the
relevant industrial sector on the entire production.
Prepared by the Tohoku Bureau of Economy, Trade and Industry
 By product category, capital goods production rose 2.5% in 2015 over 2014 levels thanks to contributions
from water gates, cameras, electric testers and so forth, while construction materials production shrank 1.7%
year over year due to the smaller production of general materials and aluminum exterior materials. The
production of consumer durables contracted by 2.8% from 2014, led by PCs and car navigation systems,
among other products. The production of consumer non-durables also dropped 5.1% compared to 2014 as the
production of tobaccos, beers and other products dwindled. The production of producer goods also shrank by
0.1% from a year earlier due to the smaller production of hydraulic equipment, glass fiber products and ball
bearings and so forth, although the production of silicon wafers, connectors, lithium ion storage batteries, and
others increased.
Changes in Production Index (Seasonally Adjusted)
by Industry Sector
Industrial Production Trend (By Goods)
2008
2014
2015
General-purpose, production and
business machinery
Information and
communications equipment
Transport machinery
Food and tobacco
2009
2010
2011
2012
2013
2014
2015
2016
Electronic parts and
devices
Prepared by the Tohoku Bureau of Economy, Trade and Industry
Capital goods
Construction goods
Consumer nondurable goods
Producer goods
Consumer durables
Prepared by the Tohoku Bureau of Economy, Trade and Industry
- 11 -
(7) Consumption
 Department store/supermarket sales value
Sales at department stores and supermarkets increased four years in a row on an all-store basis, while
sales at existing stores dropped for the third consecutive year.
 In 2015, department stores and supermarkets in the Tohoku region recorded 1,258.8 billion yen in sales on an
all-store basis, up 0.6% from the previous year and marking 2015 the fourth consecutive year of sales growth.
Meanwhile, sales at the existing stores shrank 0.7% year over year, declining for three consecutive years.
 In terms of year-over-year comparison of sales by store type (on an all store basis), department store sales
decreased 1.9%, the third consecutive year of decrease, while supermarket sales increased 1.1%, recording
the fifth consecutive year of growth.
Department Store/Supermarket Sales Value and Year-on-year Changes (All Store Basis)
(Sales value; 100 million yen)
(Year-on-year comparison; %)
Department stores + supermarkets
(all stores)
Supermarkets (all stores)
Department stores + supermarkets
(existing stores)
Department stores (all stores)
Supermarket sales value
Department store sales value
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
(Note 1) Existing stores refer to the stores that existed both in the month when the survey was conducted and in the same month of the previous year.
(Note 2) In July 2010 and July 2015, a review was conducted on the business establishments covered by the survey. As a result, the year-on-year changes related to these
establishments are calculated using figures obtained by applying the link coefficient to eliminate any discontinuity.
Source: Current Survey of Commerce, Ministry of Economy, Trade and Industry
 Sales value in 2015 (existing stores) was smaller than that of the previous year until March due to a reaction
to the last-minute surge in demand ahead of the consumption tax rate hike in the previous year. This was
especially evident for high-ticket items and cosmetics sold in department stores and long-shelf-life drinks and
food items sold in supermarkets. However, sales increased in April and May for many products. From June
onward, despite the weak performance of clothing items, sales of beverages and foodstuffs were steady, and
high-ticket item sales improved, mainly in the Sendai region. Throughout 2015, sales were affected by
uncertain weather conditions such as the record heat, disasters caused by heavy rain, and a warmer winter.
 The sales value for department stores and supermarkets in the 1st to 2nd quarters of 2016 remained steady for
items such as drinks/foods and cosmetics, but sales of high-ticket items such as overseas brand products and
expensive watches slowed in the 2nd quarter.
Year-on-year Changes in Quarterly
Sales at Department
Stores/Supermarkets (All Stores)
Supermarkets
Department stores
Total
2013
2014
2015
Year-on-year Changes in Quarterly Sales
at Department Stores/Supermarkets
(Existing Stores)
2nd quarter of
2016
(all stores)
Total:
-0.4
Department
stores:
-1.1
Supermarkets:
-0.3
2016
Supermarkets
Total
2013
Source: Current Survey of Commerce, Ministry of Economy, Trade and Industry
- 12 -
2nd quarter of
2016
(existing stores)
Total:
-0.8
Department
stores:
-1.1
Supermarkets:
-0.7
Department stores
2014
2015
2016
Source: Current Survey of Commerce, Ministry of Economy, Trade and Industry
(8) Private Sector Capital Expenditures
The private sector’s capital spending plans expanded for the third consecutive year in FY2016.
 The private sector in the Tohoku region
YOY Changes in Capital Expenditures
plans capital expenditures worth 418.7
in the Tohoku Region
billion yen (according to the June 2016
survey) in fiscal year 2016, up 13.2%
from their actual capital spending in the
previous fiscal year.
The manufacturing industry plans to
spend 17.4% more than the previous
year, which will be the first increase in
two years, while the non-manufacturing
industry plans to increase its capital
expenditures by 8.5% from the previous
year (or by 27.4% for the nonmanufacturing industry excluding
FY2011
FY2012
FY2013
FY2014
FY2015 (actual) FY2016 (plan)
electricity).
According to the capital spending
Manufacturing
All industries
Non-manufacturing (excl. electricity)
plans as of June 2015 when the survey
Non-manufacturing
was conducted, the amount of capital
Source: Survey on Planned Capital Spending in the Tohoku Region,
expenditures in fiscal year 2015 was
Development Bank of Japan
* The published data were recalculated for the six Tohoku prefectures.
projected to be 4.4% smaller than the
The same shall apply hereinafter.
actual amount spent in fiscal year 2014.
However, the actual amount spent in
fiscal year 2015 turned out to be 2.1% larger than that of fiscal year 2014. This reflects a 7.0% year-over-year
decrease in capital spending by the manufacturing industry and a 4.8% year-over-year increase in capital
spending by the non-manufacturing industry (or a 16.7% drop in capital spending by the non-manufacturing
industry excluding electricity expenses).
 By industry sector, capital expenditures in fiscal year 2016 are projected to increase over the previous fiscal
year in chemicals, for which investments will be made to increase production capacities of pharmaceutical
products, as well as of foodstuffs and general machinery, whose production facilities are also to be expanded.
Meanwhile, reduced capital expenditures on paper/pulp, petroleum products and precision machinery, among
others are planned. In the non-manufacturing industry, capital spending will increase for wholesale and retail,
real estate and so forth, while it will decrease for electricity, gas, and rental and lease of equipment, among
others.
Capital Spending Trend (FY2016 Plan)
YOY change in FY2016 (%)
Foods
Chemicals
Ceramic,
clay and
stone
products
NonGeneral
ferrous machinery
metals
Electrical
machinery
Iron and steel
Paper/pulp
Other nonmanufacturing
Real estate
WholeConstruc- sale and
retail
Transpor- tion
trade
tation
Transport
equipment
Precision
machinery
Communications and
information
Services
Other
manufacturing
Electricity
Textile
Petroleum
YOY change in FY2016
Percentage ratios in FY2015
Percentage ratios of capital spending by industry sector in FY2015 (%)
Source: Survey on Planned Capital Spending in the Tohoku Region, Development Bank of Japan
- 13 -
Gas
Leasing
 By prefecture, Aomori and Akita plan to reduce their fiscal year 2016 capital expenditures by 22.1% and
6.9%, respectively, compared to the previous year, while Iwate, Miyagi, Yamagata and Fukushima plan to
increase their capital spending by 12.3%, 11.2%, 63.0%, and 25.9%, respectively.
Changes in Capital Expenditures by Prefecture
(100 million yen)
Nonmanufacturing
YOY change of
FY2016 plan
Nonmanufacturing
Manufacturing
Manufacturing
FY2015
Actual
FY2016 FY2015
Plan
Actual
Aomori
FY2016
Plan
Iwate
FY2015
Actual
FY2016
Plan
Miyagi
FY2015
Actual
FY2016 FY2015
Plan
Actual
Akita
FY2016
Plan
Yamagata
FY2015
Actual
FY2016
Plan
Fukushima
Source: Survey on Planned Capital Spending in the Tohoku Region, Development Bank of Japan
- 14 -
(9) Acquisition of Plant Locations
Plant location acquisitions decreased for three consecutive years.
 In 2015 (from January to December), the number of plant location acquisitions in the Tohoku region
decreased by 5 (or 5.6%) to 84 from the previous year, making it the third consecutive year of decrease. The
region’s share of the national total also dropped 0.7 points to 8.0%.
 By prefecture, Miyagi had the largest number of plant location acquisitions at 35 (32 in 2014), followed by
Yamagata at 16 (eight in 2014), Fukushima at 15 (25 in 2014), Iwate at seven (12 in 2014), Akita at seven
(five in 2014) and Aomori at four (seven in 2014). The number of plant location acquisitions increased
significantly in Yamagata by eight. Plant location acquisitions in the coastal area, which was affected by the
Great East Japan Earthquake (acquisitions with a plan to close down all or part of an existing plant), increased
by two to nine from the previous year.
Changes in Number of Plant Location Acquisitions
(Acquisitions)
Aomori
Iwate
Miyagi
Akita
Yamagata
Share of national total
(right axis)
Fukushima
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
(Note 1) The above figures include the acquisition (including leasing) of land of a size of 1,000 square meters or larger for the purpose of
building a factory, business office or research center for the manufacturing, gas or heat supply industries. They do not include the
acquisition of locations in vacant plants and for-lease plants, which seem to have increased after the earthquakes.
(Note 2) Hydraulic power plants, geo-thermal power plants and solar power plants were excluded from the 2015 and subsequent surveys.
Accordingly, the above comparison is made excluding the electricity industry.
Source: Survey of Factory Location Trends (2015 Preliminary Report), the Tohoku Bureau of Economy, Trade and Industry
 The top five industry sectors (excluding electricity) in terms of the number of plant location acquisitions are:
foodstuffs (15), metal products (12), lumber and wood products (seven), plastic products (six) and production
machinery (six).
 Of the 84 location acquisitions in 2015, the number of “new” locations dropped by eight to 67 from the
previous year.
In terms of the source of capital, 37 locations were acquired with capital raised within the Tohoku region (46
in the previous year), while 30 locations were acquired with capital from outside the region (29 in the
previous year). Capital from outside the Tohoku region accounted for 44.8% (up 6.1 points from the previous
year).
- 15 -
Distribution of Plant Location Acquisitions
by Industry Sector and Prefecture (2015)
(Number of acquisitions)
Foodstuffs
Metal products
Lumber and wood products
Plastic products
Production machinery
Textile products
Transportation equipment
Chemical products
Non-ferrous metals
Beverages/tobacco/feedstuff
Ceramic, clay and stone products
Business oriented machinery
Electronics/devices
Furniture/fixtures
Pulp/paper
Printing
Rubber products
Iron and steel
General-purpose machinery
Changes in Number of New Locations
Acquired by Source of Capital (Within or
outside the Tohoku region)
(Number of acquisitions)
Ratio of capital from outside the region
(Right axis)
Outside the
region: 30
locations
Aomori
Iwate
Inside the
region: 37
locations
Miyagi
Akita
Yamagata
Fukushima
(Note 1) Excludes electricity.
Source: Survey of Factory Location Trends (2015 Preliminary Report),
the Tohoku Bureau of Economy, Trade and Industry
- 16 -
2013
2014
2015
(Note 1) Excludes electricity.
(Note 2) Capital from outside the region refers to capital
provided by companies whose head office is located
outside the Tohoku region or by a separate company
established in Tohoku.
Source: Survey of Factory Location Trends (2015
Preliminary Report), the Tohoku Bureau of
Economy, Trade and Industry
(10) Labor Force Population
4.45 million people are employed, 160,000 people have no jobs, and 3.28 million people are not classified
as part of the labor force population.
 In 2015, the number of people with jobs in the Tohoku region was 4.45 million, while the number of people
without jobs was 160,000. Both figures are below those for 2010, before the Great East Japan Earthquake
occurred. The unemployment rate remained flat from the previous year at 3.6%.
People in employment
(10,000 people)
(10,000 people)
Changes in the Unemployment Rate
and People without Jobs
4.45 million
160,000
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
People without jobs
Tohoku
Japan
Source: Labor Force Survey, Ministry of Internal Affairs and Communications
(Note) The figure for 2011 is an estimate made as supplementary data due to
the impact of the East Great Japan Earthquake.
Source: Labor Force Survey, Ministry of Internal Affairs and Communications
 All six Tohoku prefectures have a higher employment rate than the national average among women aged 25
to 44 who have a young child (or children). Yamagata has the second highest employment rate among this
group of people following Shimane (74.8%).
 By industry, wholesale and retail hire the largest number of people at 700,000 (15.8%), followed by
manufacturing with 670,000 people (15.1%), medical and welfare services with 570,000 people (12.8%),
construction with 490,000 people (11.0%), and agriculture and forestry with 280,000 people (6.3%).
Employment Rate of Women Aged 25 to 44
Who Have a Young Child (or Children)
Number of People Employed by Each
Industry Sector (2015)
Unclassified 4
Public services 18
Fisheries 4
1,000 people (or 100,000 people for national figures only)
Services 26
Composite services 6
Mining, stone quarrying,
gravel extraction 0
Agriculture
and forestry
28
Construction 49
Medical and
welfare
services 57
10,000s of people
(Total 4.45 million)
Education/learning
support 19
Living-related
services/leisure
services 16
Electricity, gas, heat
supplies and water 3
Accommodation/
food services 25
Aomori
Iwate
Miyagi
Employed
Akita
Unemployed
Yamagata Fukushima Japan
Employment rate
Scientific research,
professional and technical
services 10
Real estate and goods
rental and leasing 5
Source: Employment Status Survey, Ministry of Internal Affairs and Communications
- 17 -
Manufacturing 67
Information and
communications 7
Wholesale and retail trade
70
Finance and insurance 9
Transport and
postal services
21
(11) Employment
Both the new job openings-to-applicants ratio and active job openings-to-applicants ratio remain high.
 In 2015, the active job openings-to-applicants ratio in Tohoku remained high as in elsewhere in Japan. It
reached 1.23 in July (1.23 openings per applicant), and the annual average (1.21) was 0.08 points higher than
the previous year. By prefecture, all prefectures except Aomori had a ratio higher than 1.0. In addition, the
new job openings-to-applicants ratio also remained high, and was over 1.0. It rose to 1.73 in October. The
annual average was 1.69, which was 0.09 points higher than the previous year.
Changes in the Job Openings-to-Applicants Ratio
(Times)
(Times)
2010
2011
Japan (New job
openings-toapplicants ratio)
2012
2013
Tohoku (New job
openings-toapplicants ratio)
2015 Average
Aomori
Iwate
Miyagi
Akita
Yamagata
Fukushima
Jan.
Mar.
May
Jul.
Sep.
Nov.
Jan.
Mar.
May
Jul.
Sep.
Nov.
Jan.
Mar.
May
Jan.
Mar.
May
Jul.
Sep.
Nov.
Jan.
Mar.
May
Jul.
Sep.
Nov.
Jan.
Mar.
May
Jul.
Sep.
Nov.
Jan.
Mar.
May
Jul.
Sep.
Nov.
2015 Average
Japan (New job openings-to-applicants ratio) 1.80
Tohoku (New job openings-to-applicants ratio) 1.69
Japan (Active job openings-to-applicants ratio) 1.20
Tohoku (Active job openings-to-applicants ratio) 1.21
Active Job Openings-to-Applicants Ratio
by Prefecture
2014
Japan (Active job
openings-toapplicants ratio)
2015
2016
2010
Tohoku (Active job
openings-toapplicants ratio)
2011
Aomori
Source: Employment Referrals for General Workers,
Ministry of Health, Labour and Welfare
Iwate
2012
2013
Miyagi
2014
Akita
2015
Yamagata
2016
Fukushima
Source: Employment Referrals for General Workers,
Ministry of Health, Labour and Welfare
 With respect to fiscal year 2015 prospective high-school graduates, both the jobs-to-applicants ratio and the
percentage of those who had found a job as of March 2016 were higher than the same time the previous year.
 The ratio of non-regular employees/staff to the total number of employed people is lower than the national
average, but rose in 2015 from the previous year.
Prospective High-School Graduates Who Found
employment (as of March 31 each year)
Changes in the Ratio of
Non-regular Employees/Staff
(Times)
2007
2008
2009
2010
2011
Ratio of prospective high-school
graduates who have found a job
2012
2013
2014
2015
2007
(FY)
Jobs-to-applicants ratio
(right axis)
Source: State of Unofficial Acceptance of Employment for Newly
Graduates of Junior and High Schools, Ministry of Health,
Labour and Welfare
2008
2009
2010
2011
Japan
2012
2013
2014
2015
Tohoku
(Note) No data was collected in 2011 due to the Great East Japan Earthquake.
Source: Labor Force Survey, Ministry of Internal Affairs and
Communications
- 18 -
(FY)
(12) Business Entry and Exit Rates
The business entry rate decreased for the third consecutive year, while the business exit rate increased
slightly.
 According to employment insurance statistics, in fiscal year 2015, the business entry rate in the Tohoku
region was 4.22%, decreasing for the third consecutive year. After the Great East Japan Earthquake, the
business entry rate rose in fiscal years 2011 and 2012 mainly in Miyagi, Fukushima and Iwate. However, it
started to decrease from fiscal year 2013. The business entry rate for Japan has risen for the fourth
consecutive year, to reach 5.2%.
 The business exit rate rose slightly to 3.3%, compared to 3.8% for Japan as a whole.
Changes in Business Entry and Exit Rates
in Japan and Tohoku
Changes in Business Entry Rate
in Tohoku Prefectures
Business entry rate in Japan
Miyagi
Business entry
rate in Tohoku
Fukushima
Business exit
rate in Japan
Iwate
Yamagata
Aomori
Business exit
rate in Tohoku
Akita
2010
2011
2012
2013
2014
2015 (FY)
2010
2011
2012
2013
2014
2015 (FY)
(Note) The business entry and exit rates are calculated using the following formulas, based on data from the Annual Reports on Employment Insurance Services:
Business entry rate=Number of business establishments newly applying for employment insurance in the relevant business year / Number of business establishments
covered by employment insurance as of the end of the previous business year x 100 (%)
Business exit rate=Number of business establishments that ceased to be covered by employment insurance in the relevant business year / Number of business
establishments covered by employment insurance as of the end of the previous business year x 100 (%)
* The business establishments covered by employment insurance mean business establishments that have an insurance relationship for employment insurance pursuant
to the provisions of the Act on the Collection, etc., of Insurance Premiums of Labor Insurance. An existing business establishment does not become a business
establishment covered by employment insurance until it hires an employee.
Source: Monthly and Annual Reports on Employment Insurance Services, Ministry of Health, Labour and Welfare
 In terms of the difference between the business entry rate and the business exit rate in fiscal year 2015, the
business entry rate exceeded the business exit rate by 1.4 points for Japan and by 0.9 points in Tohoku. By
prefecture, the business entry rate exceeded the business exit rate in Miyagi, Yamagata and Fukushima, while
the business exit rate was higher than the business entry rate in Aomori, Iwate and Akita.
Business Entry and Exit Rates in FY2015
Business entry rate
Business
exit rate
Japan
Tohoku
Aomori
Iwate
Miyagi
Akita
Yamagata
Source: Monthly and Annual Reports on Employment Insurance Services, Ministry of Health, Labour and Welfare
- 19 -
Fukushima
(13) Internationalization
 Trade
Exports increased for the fourth consecutive year, while imports decreased for the first time in four
years.
 In 2015, exports(Note) from the Tohoku region rose 3.4% from the previous year to reach 656.1 billion yen, for
the fourth consecutive year of growth. This was mainly attributable to an increase in the export of ships and
office equipment. The region’s exports stood at 101.2% compared to 2010, exceeding the level recorded
before the Great East Japan Earthquake. Meanwhile, imports(Note) decreased 19.0% year over year to 1,517.6
billion yen, marking the first decrease in four years. This reflected decreases in the imports of major items
such as crude oil, raw oil, and metallic ores/scrap metals, and an increase in the importation of electronic
parts such as semiconductors. The Tohoku region accounted for 0.9% of Japan’s exports (0.9% in 2014) and
1.9% of its imports (2.2% in 2014).
Changes in Exports and Imports in the Tohoku Region
(100 million yen)
2005
2006
2007
Exports
2008
Imports
2009
2010
2011
Share of Japan’s exports
(right axis)
2012
2013
2014
2015
Share of Japan’s imports
(right axis)
(Note) The value of cargos that passed through export and import customs clearances at the customs offices in the six Tohoku prefectures
Source: Overview of Trade in the Tohoku Region, Yokohama Customs, Ministry of Finance
 By port, Sendai-Shiogama Port handles the largest volume in the Tohoku region based on the value of exports,
followed by the Port of Hachinohe and Sakata Port. Based on the value of imports, Sendai-Shiogama Port
ranked first, followed by Onahama Port and the Port of Hachinohe. In comparison to the previous year,
imports to many ports shrank. In particular, imports to Sendai-Shiogama Port dropped significantly.
2014/2015 Trade Value by Port in the Tohoku Region
(100 million yen)
Aomori Port
Exports
2014
2015
Port of Hachinohe
Miyako Port
Kamaishi Port
Port of Ofunato
Ishinomaki Port
Sendai-Shiogama Port
Sendai Airport
Akita Port/
Funagawa Port
Sakata Port
Soma Port
Onahama Port
Source: Ranking of Major Ports Based on the Value of Trade, Yokohama Customs, Ministry of Finance
- 20 -
Imports
2014
2015
 Major destinations of Tohoku’s exports are the United States (U.S.), the People’s Republic of China (PRC)
and the Republic of Korea (ROK), while the major sources of imports are Australia, the PRC and the U.S.
 Major export items include office equipment, rubber products, and iron and steel, while major import items
include metallic ores and metal scraps, crude oil and raw oil, and coal.
2015 Major Destinations of Exports
(Countries/Regions)
2015 Major Sources of Imports
(Countries/Regions)
Australia
Other
U.S.
Vietnam
PRC
12.1%
Other
Liberia
Philippines
Malaysia
PRC
Thailand
U.S.
10.7%
Chile
Singapore
Taiwan
Kuwait
7.2%
Indonesia
ROK
Netherlands
ROK
United Arab Emirates (UAE)
Source: Overview of Trade in the Tohoku Region,
Yokohama Customs, Ministry of Finance
Source: Overview of Trade in the Tohoku Region,
Yokohama Customs, Ministry of Finance
2015 Percentage Ratios
of Export Items by Value
Other
Office
equipment
Rubber
products
Organic compound
Iron and steel
Russia
2015 Percentage Ratios
of Import Items by Value
Electronic parts
including
semiconductors
Metallic
ores/scrap
metals
Crude
oil/raw oil
Other
Lumber
Petroleum products
Memory devices (including
those containing recorded data)
Motors
Coal
Grains/grain products
Seafood/seafood products
Petroleum products
Paper/paper products
Wood and cork products
(excl. furniture) 3.7%
Metallic ores/scrap Ships
metals
Source: Overview of Trade in the Tohoku Region,
Yokohama Customs, Ministry of Finance
Natural gas/
manufactured gas 7.1%
Source: Overview of Trade in the Tohoku Region,
Yokohama Customs, Ministry of Finance
● Approximately 33.4% of cargos produced in the Tohoku region and exported in marine containers were
loaded in the Port of Yokohama, while 29.2% were loaded in the Port of Tokyo. A large proportion of cargos,
therefore, were loaded in ports located outside the Tohoku region. In addition, 32.8% of cargos consumed in
the Tohoku region were unloaded in the Port of Tokyo, and 17.1% in the Port of Yokohama.
Loading Ports of Export Cargos (tons)
(November 2013) (Place of production: Tohoku)
Unloading Ports of Import Cargos (tons)
(November 2013) (Place of consumption: Tohoku)
Other ports outside
the Tohoku region
Other ports in the Tohoku region
4.6%
2.4%
Other ports in the Tohoku region
Other ports outside
the Tohoku region
5.4%
5.8%
Port of Hachinohe 5.4 %
Port of Hachinohe
4.1%
Akita Port 5.9 %
SendaiShiogama Port
19.1%
Port of
Yokohama
33.4%
Akita Port
12.3%
Port of
Yokohama
17.1%
Port of Tokyo
29.2%
Port of Tokyo
32.8%
SendaiShiogama Port
22.4%
(Note) This survey is conducted once every five years to gain a grasp of the movements of international marine containers in detail.
Source: FY2013 Survey Results of Japan’s Export and Import Container Cargo Movements, Ports and Harbors Bureau,
Ministry of Land, Infrastructure, Transport and Tourism
- 21 -
 Internationalization of corporate activities
The number of overseas subsidiaries of companies headquartered in the Tohoku region and their direct
exports both decreased.
 The number of overseas subsidiaries and affiliates owned by companies headquartered in the Tohoku Region
(the number of companies that responded to the survey: 1,536 companies) dropped by 23 from the previous
year to 218, as of the end of March 31, 2014. (When a company owns over 50% of the voting rights of
another company, the latter is the former’s subsidiary; if a company owns 20 to 50% of the voting rights of
another company, the latter is the former’s affiliate.) The largest percentage of these overseas
subsidiaries/affiliates are in China (84 companies, or 38.5% of the total), followed by other Asian countries
(84 companies, or 38.5%) and North America (21 companies, or 9.6%).
(Companies)
Changes in the Number of Overseas Subsidiaries/
Affiliates Owned by Companies Headquartered in the Tohoku Region
FY2007
FY2008
FY2009
Asia (excl. China)
FY2010
China
Europe
FY2011
FY2012
North America
FY2013
(as of March 31, 2014)
Other regions
(Note) The Basic Survey of Japanese Business Structure and Activities surveys companies with 50 or more employees and a capital amount
or equity investment amount of 30 million yen or more, that own a business establishment that engages in mining, manufacturing,
electricity and gas, wholesale, retail, services or other businesses.
Source: Basic Survey of Japanese Business Structure and Activities, Ministry of Economy, Trade and Industry
●With respect to overseas transactions of companies (fiscal year 2013), the value of direct exports (based on
answers from 146 companies) decreased to 413.7 billion yen year over year. The ratio of exports to sales at
the companies that responded the survey was 22.5%. Meanwhile, the value of direct imports (based on
answers from 161 companies) rose for the second consecutive year, reaching 378.2 billion yen. The ratio of
imports to total purchases at importing companies was 24.2%.
Changes in Values of Direct Exports and Imports by Companies Headquartered in the Tohoku Region
(100 million yen)
2007
2008
Value of
direct exports
2009
2010
Value of
direct imports
2011
Ratio of exports
(right axis)
2012
2013
(FY)
Ratio of imports
(right axis)
(Note) The value of direct exports is the value of exports whose customs clearance procedures were taken in the name of the exporting
company (excluding services).
The value of direct imports is the value of imports whose customs clearance procedures were taken in the name of the importing
company (excluding services).
Source: Basic Survey of Japanese Business Structure and Activities, Ministry of Economy, Trade and Industry
- 22 -
 International Arrivals/Departures and Foreign Residents
The number of non-Japanese nationals arriving and departing through ports and airports
in Tohoku is increasing.
 The total number of people arriving and departing through ports and airports in Tohoku was 272,212, a 3.0%
rise from 264,216 in 2014. In particular, the number of non-Japanese nationals arriving and departing through
Tohoku is growing after a dramatic decrease following the Great East Japan Earthquake.
While the number of non-Japanese nationals arriving in and leaving Japan is rapidly increasing throughout
the country, the number of non-Japanese nationals who arrived or departed through ports or airports in
Tohoku represented 0.4% of the total arrivals and departures of non-Japanese nationals.
Changes in International Arrivals and Departures
through Ports and Airports in Tohoku
No. of
departures
(1,000 people)
Changes in the Number of
International Arrivals and Departures (Japan)
No. of arrivals
No. of
departures
2010
2010
2011
2011
2012
2012
2013
2013
2014
2014
2015
2015
Non-Japanese nationals/others
Japanese Japanese
Non-Japanese
nationals/others
Non-Japanese nationals/others
(1,000 people)
Japanese
Japanese
No. of arrivals
Non-Japanese
nationals/others
Source: Annual Report on Overseas Arrivals and Departures Statistics, Ministry of Justice
 There were 48,683 foreign residents in the Tohoku region as of the end of December 2015, a 5.8% rise from
the previous year and 2.2% of the national total. By nationality, there were 43,555 foreign residents from
Asian countries, representing 89.5% of the total. In particular, Chinese nationals (16,666 people, or 34.2%)
and the ROK/Korea (9,486 people, or 19.5%) account for a significant portion of foreign residents in Tohoku.
- 23 -
Changes in the Number of Foreign Residents (Number of people who used to be registered
under the now-obsolete alien registration system) (Note)
(No. of people)
Other regions 681
Other
Asian
countries
South America
733
North America
2,295
Europe
1,419
ROK/Korea
China
2010
China
ROK/Korea
2011
Other Asian
countries
2012
Europe
2013
North
America
2014
South
America
As of Dec. 31, 2015
Other regions
YOY change
(right axis)
Share of national
total (right axis)
(Note) Following the revisions to the Immigration Control and Refugee Recognition Act and the introduction of a new management system for foreign residents in Japan in
July 2012, the Alien Registration Act was abolished. Accordingly, the above statistics cover “medium- to long-term residents” and “special permanent residents”
who are managed under the new foreign resident management system (hereinafter, collectively referred to as “foreign residents”). As a result of these changes to the
system, the figures for foreign residents under the new system and registered aliens under the old system do not match. It is therefore impossible to simply compare
the number of foreign residents and the number of people who used to be registered under the alien registration system.
Source: Statistics on Foreign Residents in Japan (formerly Statistics on Registered Aliens), Ministry of Justice
- 24 -
(14) Tourism
The total number of overseas overnight guests is increasing.
 The number of inbound tourists to the Tohoku region decreased considerably in 2011 due to the Great East
Japan Earthquake, but recovered to 243.8 million in 2014.
Changes in the Number of Inbound Tourists to the Tohoku Region
(Million people)
YOY change (right axis)
2014
2010
2011
2013
2012
Source: Graphic Illustration of Transport in Tohoku, Tohoku District Transport Bureau; statistics on tourism in each prefecture
 The total number of overseas overnight visitors to the Tohoku region was 608,000, a 51.2% increase from the
previous year. This growth rate was higher than the national growth rate of overseas overnight visitors
(46.4%). In particular, the number of overnight visitors from Taiwan rose significantly by 38.4% year over
year.
Changes in the Total Number of
Overseas Overnight Guests
Changes in the Total Number of Inbound
in Each Prefecture
(1,000 people)
Overnight Tourists by Nationality
(People)
National total
2009
ROK
2010
2011
2012
2013
2014
2010
2011
China
2012
Hong
Kong
2013
Taiwan
2014
2015
U.S.
2015
(Note) From the April to June 2010 survey onward, all accommodation
facilities including those with nine or fewer employees were
included. This makes it impossible to compare data before and
after this change.
Source: Statistics on Overnight Trips, Japan Tourism Agency
- 25 -
(Note) Include accommodation facilities with 10 or more employees only.
Source: Statistics on Overnight Trips, Japan Tourism Agency
Consumption by Inbound Tourists Significantly Increased
 In 2014, consumption by inbound tourists in the Tohoku region stood at 21.857 billion yen. Although this
showed an upward trend, it remained only 12.7% compared to the consumption in Hokkaido. Consumption
per person during visits rose more than 60% from the previous year to 72,856 yen. However, this was less
than 60% of the same value for Hokkaido. Over half of inbound tourists shopped at convenience stores,
supermarkets and department stores.
Changes in Consumption by Inbound Tourists
(Million yen)
Shopping Places for Inbound Tourists
(Yen/per person per visit)
Convenience stores
Supermarkets
Department stores
Airport duty free shops
Drug stores
Souvenir shops in tourist spots
100-yen shops
Home appliance mass merchandise shops
Shops in stations
Outlet malls
Fashion boutiques
Commercial complexes in central business districts
Discount stores
Other shopping centers
2011
2012
2013
Tourism consumption
Unit value of tourism consumption
(right axis)
Accommodation facilities
2014
Tohoku
Hokkaido
Tohoku
Hokkaido
Highway service areas/road stations
Others
(Note 1) Tourism consumption means the total value of consumption by
inbound tourists visiting the relevant prefecture(s).
(Note 2) The unit value of tourism consumption means tourism
consumption per inbound tourist in the relevant prefecture(s)
during one visit.
Source: 2015 Consumption Trend Survey for Foreigners Visiting
Japan, Japan Tourism Agency
Source: Statistics on Inbound Tourists, Japan Tourism Agency
●The number of retail outlets with duty free services (retailers that sell export goods) in the Tohoku region
increased almost 14 times, from 81 in April 2014 to 1,149 in April 2016. However, this figure still only
accounts for 3.3% of the national total.
Changes in the Number of Retail Outlets with Duty Free Services in Each Prefecture
(Shops)
Aomori
Iwate
Miyagi
Akita
Yamagata
Fukushima
Share of national total
April
October
April
2014
October
2015
(Note) In October 2014, the range of items that could be sold duty free was expanded.
Source: Japan Tourism Agency
- 26 -
April
2016
3. Industrial Structure of Tohoku
(1) Manufacturing
 Overview
The value of manufactured goods shipped rose 6.2% year over year to 16.760 trillion yen.
 The value of manufactured goods shipped in the Tohoku region in 2014 increased 6.2% from the previous
year to 16.760 trillion yen for the third consecutive year of growth. Its share of the national total also rose 0.1
point year over year to 5.5%.
Changes in the Value of Manufactured Goods Shipped
(Trillion yen)
Share of national total
16.8
trillion
yen
Aomori
Iwate
Miyagi
Akita
Yamagata
Fukushima
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
(Note) From the 2007 survey, the entire activities of business establishments were included in the scope of the survey in order to gain a grasp of
activities other than manufacturing. As a result, the survey results for 2006 and 2007, including the value of manufactured goods
shipped, cannot be linked.
Source: Census of Manufacture (four or more employees) for all years except for 2011; Economic Census for Business
Activity 2012 (four or more employees) for 2011.
 By prefecture, while the number of business establishments decreased in all Tohoku prefectures, the number
of employees increased in four of the prefectures, with Aomori and Akita the exceptions. The value of
manufactured goods shipped and value added rose in all Tohoku prefectures.
Manufacturing Data by Prefecture
Number of business establishments
2013
2014
YOY
change
Value of manufactured goods shipped
(million yen)
Number of employees (people)
2013
YOY
change
2014
2013
2014
YOY
change
Value added
(gross added value for establishments
with 29 or fewer employees)
2013
2014
YOY
change
Aomori
1,472
1,449
1.6
55,647
55,464
0.3
1,520,298
1,595,132
4.9
577,590
592,415
2.6
Iwate
2,148
2,130
0.8
82,077
82,600
0.6
2,267,151
2,270,696
0.2
622,738
634,826
1.9
Miyagi
2,693
2,647
1.7
107,580
108,908
1.2
3,726,535
3,972,171
6.6
1,041,497
1,140,223
9.5
Akita
1,940
1,897
2.2
61,554
60,659
1.5
1,106,465
1,214,936
9.8
422,420
469,466
11.1
Yamagata
2,682
2,634
1.8
97,320
98,434
1.1
2,395,796
2,608,074
8.9
826,419
835,812
1.1
Fukushima
3,832
3,798
0.9
150,818
152,768
1.3
4,762,508
5,098,999
7.1
1,531,648
1,615,051
5.4
14,767
14,555
1.4
554,996
558,833
0.7
15,778,753
16,760,008
6.2
5,022,312
5,287,793
5.3
208,029
202,410
2.7
7,402,984
7,403,269
0.0
292,092,130 305,139,989
4.5
90,148,885
92,288,871
2.4
Tohoku
Japan
Source: Census of Manufacture (four or more employees)
- 27 -
 National Share by Industry Sector
Information and communications equipment, and electronic parts, devices and electronic circuits have
a larger share than the national average.
 By industry sector, Tohoku’s share of the value of manufactured goods shipped in Japan in 2014 was
comparatively large for information and communications equipment (15.2%), electronic parts, devices and
electronic circuits (13.8%), and lumber and wood products (excluding furniture) (12.3%), while it was small
for export machinery and equipment (2.6%) and iron and steel (2.9%).
Tohoku’s Share of the Value of Manufactured Goods Shipped in Japan (2014)
Information
Electronics
Lumber
Business
Ceramics
Paper/pulp
Non-ferrous
Beverages
Other
Foodstuffs
Furniture
Textiles
Production
Metals
Printing
Electrical
Manufacturing average
Plastics
General-purpose
Chemicals
Iron and steel
Transportation
(Note) Three industries (rubber products, leather tanning/leather products/fur skins, and petroleum products) are not included in the above comparison, as some
information is not disclosed.
The figures in the brackets represent the share of the national total in 2013.
Source: Census of Manufacture (four or more employees)
<Reference> Abbreviations for industry sectors in the above graph refer to the following:
Name of middle division industrial classification
Abbreviation
Name of middle division industrial classification
Abbreviation
Name of middle division industrial classification
Abbreviation
Manufacture of food
Foodstuffs
Manufacture of petroleum and coal products
Petroleum
Manufacture of general-purpose machinery
General-purpose
Manufacture of beverages, tobacco and feed
Beverages
Manufacture of plastic products
Plastics
Manufacture of production machinery
Production
Manufacture of textile products
Textiles
Manufacture of rubber products
Rubber
Manufacture of business oriented machinery
Business
Manufacture of lumber and wood products
(except furniture)
Lumber
Manufacture of leather tanning, leather products
and fur skins
Leather
Electronic parts, devices and electronic circuits
Electronics
Manufacture of furniture and fixtures
Furniture
Manufacture of ceramic, stone and clay products
Ceramics
Manufacture of electrical machinery, equipment
and supplies
Electrical
Information
Manufacture of pulp, paper and paper products
Paper/pulp
Manufacture of iron and steel
Iron and steel
Manufacture of information and communications
electronics equipment
Printing and allied industries
Printing
Manufacture of non-ferrous metals and products
Non-ferrous
Manufacture of transportation equipment
Transportation
Manufacture of chemical and allied products
Chemicals
Manufacture of metal products
Metals
Other manufacturing
Other
- 28 -
 Percentage Ratios by Industry Sector and by Prefecture
The major industry sectors in Tohoku are foodstuffs, electronic parts, devices and electronic circuits,
transportation equipment, and information and communications electronics equipment.
●In 2014, six industry sectors (electronic parts, devices and electronic circuits, foodstuffs, transportation
equipment, information and communications electronics equipment, chemical products, and production
machinery) accounted for about 50% of the value of manufactured goods shipped in the Tohoku region.
Percentage of the Value of Manufactured Goods Shipped in Tohoku by Industry Sector (2014)
(Unit: %)
2003
2008
2012
2013
Other
Iron and steel
Paper/pulp
Ceramics
Business
Electrical
Beverages
Metals
Non-ferrous
Production
Chemicals
Information
Transportation
Foodstuffs
Electronics
2014
Source: Census of Manufacture (four or more employees)
(Industrial classifications were revised from the 2008 survey onward. Accordingly, “general machinery” in the 2003 survey was divided into
“general-purpose machinery,” “production machinery,” and “business oriented machinery.” For the purpose of convenience, “general
machinery” in the 2003 survey is posted as “production machinery” in the above graph.)
 The industry sectors that have the largest share in each prefecture are: non-ferrous metals in Aomori,
transportation equipment in Iwate, foodstuffs in Miyagi, electronic parts, devices and electronic circuits in
Akita and Yamagata, and information and communications electronics equipment in Fukushima.
Percentage of Industry Sectors in the Value of Manufactured Goods Shipped
in the Six Tohoku Prefectures (2014)
(Unit: %)
Aomori
Iwate
Miyagi
Akita
Yamagata
Other
Paper/pulp
Iron and steel
Ceramics
Business
Electrical
Beverages
Metals
Non-ferrous
Production
Chemicals
Information
Transportation
Foodstuffs
Electronics
Fukushima
(Note) The following industry sectors have small percentage ratios in Tohoku and are therefore classified as “Other”: plastic products, general-purpose machinery,
lumber and wood products, other goods, rubber products, printing, textiles, furniture and fixtures, petroleum products, leather tanning, leather products, and fur
skins.
Source: Census of Manufacture (four or more employees)
- 29 -
 Value of Shipment in Four Major Industry Sectors
The shipment value of transportation equipment is increasing.
 In 2014, the manufactured goods shipment value of
electronic parts, devices and electronic circuits rose
8.1% from the previous year to 1.9134 trillion yen.
Compared to 10 years previous (2004 = 100), the
relative value was 80.0 (74.1 for Japan), i.e., at the 80%
level.
 The manufactured goods shipment value of foodstuffs
grew 4.1% year over year to 1.8447 trillion yen.
Compared to 2004 (=100), the relative value was 100.2
(113.8 for Japan), and the figure has steadily recovered
since the year of the Great East Japan Earthquake.
 The manufactured goods shipment value of
transportation equipment contracted 4.8% from the
previous year to 1.5526 trillion yen, representing a
relative value of 138.4 (118.5 for Japan) compared to
2004 (=100), and exceeding the national level.
 The manufactured goods shipment value of information
and communications electronics equipment expanded
12.4% from a year earlier to 1.3128 trillion yen,
representing a relative value of 64.2 (67.0 in Japan)
compared to 2004 (=100), i.e., around the 60% level.
Changes in Manufactured Goods Shipment
Value of Electronic Parts, Devices and
Electronic Circuits
(100 million yen)
2004=100
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Tohoku
National index
Tohoku index
Changes in Manufactured Goods Shipment
Value of Foodstuffs
(100 million yen)
2004=100
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Tohoku
Changes in Manufactured Goods Shipment
Value of Transportation Equipment
(100 million yen)
2004=100
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Tohoku
National index
National index
Tohoku index
Changes in Manufactured Goods Shipment
Value of Information and Communications
Electronics Equipment
(100 million yen)
2004=100
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Tohoku index
Tohoku
National index
Tohoku index
Source: Census of Manufacture and Economic Census for Business Activity (four or more employees)
(Note 1) From the 2007 survey onward, the entire activities of business establishments were included in the scope of the survey in order to gain a grasp of activities
other than manufacturing. As a result, the figures for 2006 and 2007, including the value of manufactured goods shipped, cannot be linked.
(Note 2) New classifications were introduced in 2008 (some sections of electrical machinery, equipment and supplies were transferred to electronic parts, devices and
electronic circuits). This has disrupted data linkage.
- 30 -
 Overview of Manufacturing Companies Headquartered in Tohoku Region
Profit margins and shareholders’ equity ratio are rising.
<Number of business establishments and permanent employees per company>
 In fiscal year 2013, manufacturing companies headquartered in Tohoku (771 companies*) had, on average,
3.26 business establishments, which included plants and sales office (up 5.0% from the previous year); 238
full-time employees (down 0.5% from the previous year); 8.05 billion yen in sales (up 2.2% year over year);
and 0.70 subsidiaries (down 1.5% from the previous year) per company.
Changes in the Number of Business Establishments, Number of Full-time Employees,
Sales and Subsidiaries per Manufacturing Company
(Index based on 2003=100)
2003
2004
2005
2006
No. of business establishments
2007
2008
2009
2010
No. of full-time employees
2011
Sales
2013 (FY)
2012
No. of subsidiaries
Number of Business Establishments and Other KPIs per Manufacturing Company
No. of business
establishments
No. of full-time
employees
Sales (100 million yen)
Subsidiaries
Tohoku
Japan
Tohoku
Japan
Tohoku
Japan
Tohoku
Japan
FY2011
3.178
5.863
235.2
394.2
68.04
206.9
0.644
3.748
FY2012
3.103
5.882
239.6
401.1
78.75
209.1
0.709
3.893
FY2013
3.259
5.928
238.3
404.5
80.51
220.6
0.698
3.990
YOY change (%)
5.0
0.8
0.8
2.2
5.5
0.5
1.5
Source: Basic Survey of Japanese Business Structure and Activities, Ministry of Economy, Trade and Industry
2.5
The Basic Survey of Japanese Business Structure and Activities surveys companies with 50 or more employees and a capital amount or equity
investment amount of 30 million yen or more.
<Operating Income-to-Sales Ratio>
 The ratio of operating income to sales for manufacturing companies headquartered in the Tohoku region was
2.6% (a 1.3 point rise from the previous year), while the ratio of ordinary income to sales was 3.0% (up 1.3
points from the previous year) and the ratio of net income to sales was 1.2% (up 0.4 points from the previous
year).
Changes in Ratios of Operating Income, Ordinary Income and
Net Income to Sales in Manufacturing Companies
2003
2004
2005
2006
Operating income-to-sales ratio
2007
2008
2009
2010
Ordinary income-to-sales ratio
2011
Source: Basic Survey of Japanese Business Structure and Activities, Ministry of Economy, Trade and Industry
- 31 -
2012
2013 (FY)
Net income-to-sales ratio
Operating Income-to-Sales Ratio and Other KPIs in Manufacturing Companies
Operating incometo-sales ratio (%)
Ordinary income-to- Net income-to-sales
sales ratio (%)
ratio (%)
Total capital
(million yen)
Net assets
(million yen)
Shareholders’ equity
ratio (%)
Tohoku
Japan
Tohoku
Japan
Tohoku
Japan
Tohoku
Japan
Tohoku
Japan
Tohoku
Japan
FY2011
2.3
3.0
2.3
4.1
0.1
1.5
8,478
22,977
2,403
10,491
28.3
45.7
FY2012
1.3
3.2
1.7
4.6
0.8
2.0
8,654
23,533
2,642
10,877
30.5
46.2
FY2013
2.6
4.7
3.0
6.3
1.2
4.2
8,616
24,820
2,698
11,729
31.3
47.3
YOY change
1.3
1.5
1.3
1.7
0.4
2.2
0.4
5.5
2.1
7.8
0.8
1.1
*YOY change for total capital and net assets represents the percentage change from the previous year (%).
<Shareholders’ Equity Ratio>
 Manufacturing companies headquartered in the Tohoku region in fiscal year 2013 had total capital (total
assets) of 8.62 billion yen (down 0.4% from the previous year), net assets of 2.7 billion yen (up 2.1% from
the previous year), and a shareholders’ equity ratio of 31.3% (up 0.8 points from the previous year) per
company.
Changes in Total Capital (Total Assets) and Shareholders’ Equity Ratio per Manufacturing Company
(100 million yen)
2003
2004
2005
2006
2007
2008
Total capital per company (right axis)
2009
2010
2011
2012
2013
(FY)
Shareholders’ equity ratio
Source: Basic Survey of Japanese Business Structure and Activities, Ministry of Economy, Trade and Industry
*Shareholders’ equity ratio = net assets (shareholders’ equity)/total capital. Generally, the higher this ratio, the smaller the liabilities of the company.
<Research and Development (R&D)>
 Of the 771 manufacturing companies headquartered in the Tohoku region, 212 companies reported their R&D
expenses, representing 27.5% of the total number of manufacturing companies (a 48.5% response rate for
Japan).
 The ratio of R&D expenses to sales rose 0.66 points from the previous year to 3.63%. Furthermore, R&D
expenses per company increased 26.5% from the previous year to 560 million yen.
Current Status of R&D Expenses in Manufacturing Companies
No. of companies that
responded to the Basic
Survey of Japanese
Business Structure
and Activities
No. of companies that reported their R&D expenses
Tohoku
R&D expenses-to-sales
ratio
(%)
Japan
R&D expenses per
company
(million yen)
Tohoku
Japan
No. of
companies
Ratio
(%)
No. of
companies
Ratio
(%)
Tohoku
Japan
Tohoku
Japan
FY2011
786
13,345
209
26.6
6,344
47.5
3.04
4.68
359.7
1,674.9
FY2012
786
13,203
228
29.0
6,383
48.3
2.97
4.81
444.7
1,743.9
FY2013
771
13,053
212
27.5
6,327
48.5
3.63
4.61
562.7
1,806.5
YOY change
15
150
16
1.5
56
0.1
0.66
0.20
26.5
3.6
(Note) YOY change in R&D expenses per company represents the percentage change from the previous year (%).
- 32 -
Changes in the R&D Expenses-to-Sales Ratio and the R&D Expenses per Company
for Manufacturing Companies
(Million yen)
2003
2004
2005
2006
2007
R&D expenses per company
2008
2009
2010
2011
2012
R&D expenses-to-sales ratio (right axis)
Source: Basic Survey of Japanese Business Structure and Activities, Ministry of Economy, Trade and Industry
- 33 -
2013 (FY)
 Industrial Property Rights
The number of applications for industrial property rights increased for the second consecutive year
with respect to utility models and trademarks.
 With respect to the number of applications for industrial property rights made in 2015 in the Tohoku region,
the number of applications rose for utility models (189) and trademarks (2,302), while the number of
applications decreased slightly for patents (1,719) and designs (264).
 After a decrease in 2011 in the aftermath of the Great East Japan Earthquake, the number of applications has
gradually recovered. Although the numbers of applications for patents, utility models and designs were still
below the pre-earthquake levels, the number of applications for trademarks exceeded the number of
applications made before the earthquakes.
Changes in the Number of Industrial Property Right Applications
(Applications)
Patent
Utility model
Design
Trademark
2010
2011
2012
2013
2014
2015
Source: Japan Patent Office Annual Report, Japan Patent Office
 The Tohoku region accounts for 0.66% of patent applications, 3.63% of utility model applications, 1.06% of
design applications, and 1.95% of trademark applications in Japan.
2015 Number of Industrial Property Right Applications by Region (Applications by Japanese nationals)
Hokkaido
Tohoku
Kanto
Chubu
Kinki
Chugoku
Shikoku
Kyushu
Patent
Utility model
Design
Trademark
Okinawa
(In thousands)
(Unit: %)
Share of
national total
Hokkaido
Tohoku
Kanto
Chubu
Kinki
Chugoku
Shikoku
Kyushu
Okinawa
Patent
0.26
0.66
63.21
12.43
19.19
2.01
0.96
1.23
0.05
Utility model
2.13
3.63
49.93
9.12
21.99
4.32
2.38
6.16
0.35
Design
0.82
1.06
52.12
11.01
27.36
2.87
2.01
2.54
0.20
Trademark
1.34
1.95
50.89
6.13
31.01
2.42
1.26
4.54
0.45
(Note) Excluded applications made by Japanese nationals when it could not be determined which prefecture they belonged to.
Source: Japan Patent Office Annual Report, Japan Patent Office
- 34 -
(2) Commerce
 Overview
The number of business establishments increased for wholesalers, while the sales and number of
employees rose for both wholesalers and retailers.
 In 2014, the total number of business establishments of wholesalers and retailers in the Tohoku region was
111,008 (up 1.2% from the 2012 survey; the national figure also rose 0.2% during the same period), while the
number of employees was 776,029 (up 4.4% from the 2012 survey; up 3.5% for Japan). Annual sales of
goods stood at 24,528.2 billion yen (up 6.2% from the 2012 survey; the national figure was down 0.3%
during the same period). Annual sales of goods show sales of goods during the calendar year immediately
before the year of the survey.
 For wholesalers, the number of business establishments, the number of employees and annual sales of goods
all increased. For retailers, the number of business establishments decreased slightly by 0.4% from the
previous survey; however, the number of employees and annual sales of goods grew.
Changes in the Number of Business Establishments, Number of Employees and Annual Sales of Goods
No. of business establishments
Annual sales of products (*Sales during
the calendar year immediately preceding
the year of the survey)
No. of employees
Change from the
Share of Change from the
Share of
national previous survey (%) (People) national previous survey (%)
total (%) Tohoku
total (%) Tohoku
Japan
Japan
Commerce
total
Wholesalers
Retailers
(Million
yen)
Share of Change from the
national previous survey (%)
total (%) Tohoku
Japan
2012
109,683
7.8
-
-
743,262
6.6
-
- 23,102,394
4.8
-
-
2014
111,008
7.9
1.2
0.2
776,029
6.7
4.4
3.5 24,528,243
5.1
6.2
- 0.3
2012
25,868
7.0
-
-
207,921
5.4
-
- 14,693,149
4.0
-
-
2014
27,511
7.2
6.4
2.9
220,524
5.6
6.1
2.9 15,545,466
4.4
5.8
- 2.4
2012
83,815
8.1
-
-
535,341
7.2
-
- 8,409,248
7.3
-
-
2014
83,497
8.1
-0.4
-0.8
555,505
7.2
3.8
3.8 8,982,777
7.4
6.8
6.4
(Note 1) The number of business establishments and the number of employees were as of February 1, 2012 for 2012 and as of July 1, 2014 for 2014.
(Note 2) Changes from the previous survey in the number of business establishments, the number of employees and annual sales of goods are based on comparison between 2012
and 2014.
Source: Table 1, Vol. 2 Industries (Prefecture Table), 2014 Census of Commerce (Final Report), Ministry of Economy, Trade and Industry
 By prefecture, the number of business establishments and the number of employees were both larger than
those in the previous survey for wholesalers, and annual sales of goods also exceeded the previous survey in
all prefectures except Iwate and Akita. For retailers, the number of establishments was below that in the
previous survey in all prefectures except Miyagi, while the number of employees and annual sales of goods
were above those in the previous survey in all prefectures.
2014 Changes from Previous Survey by Prefecture (Comparison with 2012)
Wholesalers
No. of business
establishments
No. of employees
Retailers
Tohoku
Tohoku
Aomori
Aomori
Iwate
Iwate
Miyagi
Miyagi
Akita
Akita
Yamagata
Yamagata
Fukushima
Fukushima
Annual sales of
goods
No. of business
establishments
No. of employees
Annual sales of
goods
Source: Table 1, Vol. 2 Industries (Prefecture Table), 2014 Census of Commerce (Final Report), Ministry of Economy, Trade and Industry
- 35 -
(3) Service Industry
The service industry’s share of all industries decreased with the expansion of the construction industry.
 In fiscal year 2013, the service industry in the Tohoku region had a Gross Regional Product (GRP) of 6.0802
trillion yen, a 2.4% increase from the previous year. The construction industry’s GRP was 3.2134 trillion yen,
a 10.3% year-over-year increase.
 The service industry accounted for 18.9% of the GRP (nominal) of all industries. This marked a 0.2 point
drop from the previous year (19.1%). Meanwhile, the share of the construction industry rose 0.6 points from
9.4% in the previous year to 10.0%. With the expansion of the construction industry, the relative share of the
service industry decreased.
Changes in Gross Product (Nominal)
(Trillion yen)
trillion yen
trillion yen
2003
2004
2005
Gross product of
service industry
2006
2007
2008
Gross product of
construction industry
2009
2010
Share of service
industry
2011
2012
2013 (FY)
Share of construction
industry
Source: Annual Report on Prefectural Accounts, Cabinet Office
 According to the 2014 Survey of Selected Service Industries, the number of business establishments in the
Tohoku region was greater than the national average for miscellaneous goods rental and leasing (12.4%),
office machinery rental (12.0%) and machine repair shops (10.0%).
 The Tohoku region’s sales per employee exceeded the national average in the following business categories:
industrial equipment and machinery rental (57.99 million yen), miscellaneous goods rental and leasing (15.48
million yen), and surveyor certification (11.71 million yen).
- 36 -
2014 Annual Sales, Number of Business Establishments, Number of Employees, Annual Sales per Business
Establishment, and Annual Sales per Employee of Selected Service Industries
Annual sales (100 million yen)
No. of business establishments
No. of employees (people)
Business category
Japan
Share of
national
total (%)
1,960
1.6
Tohoku
Japan
Share of
national
total (%)
904
4.0
Tohoku
Japan
Share of
national
total (%)
14,687
2.2
Tohoku
Annual sales per
business
establishment
(million yen)
Annual sales per
employee
(10,000 yen)
Japan
Japan
Tohoku
Tohoku
Software services
126,189
22,331
663,745
56,508
21,676
1,901
1,334
Data processing and information
67,306
975
1.4
11,071
478
4.3 310,911
6,914
2.2
60,795
20,391
2,165
1,410
services
Internet based services
16,169
93
0.6
3,012
82
2.7
51,047
551
1.1
53,682
11,295
3,167
1,681
General goods rental and leasing
38,703
1,758
4.5
1,375
171
12.4
22,666
1,974
8.7 281,475 102,805
17,075
8,906
Industrial equipment and machinery
35,697
3,240
9.1
8,808
830
9.4
70,379
5,587
7.9
40,528
39,033
5,072
5,799
rental
Office machinery rental
9,780
557
5.7
450
54
12.0
4,532
306
6.8 217,330 103,230
21,580
18,217
Automobile rental
15,918
786
4.9
5,015
497
9.9
36,445
2,563
7.0
31,741
15,819
4,368
3,067
Sport and hobby goods rental
121
×
×
351
13
3.7
1,884
96
5.1
3,460
×
645
×
Miscellaneous goods rental and
10,113
691
6.8
8,495
566
6.7
76,010
4,462
5.9
11,905
12,204
1,331
1,548
leasing
Design services
3,240
63
1.9
8,161
270
3.3
8,161
270
3.3
3,970
2,331
3,970
2,331
Machinery design
5,113
77
1.5
6,440
201
3.1
51,533
911
1.8
7,940
3,829
992
845
Advertising agencies
82,620
1,846
2.2
9,286
541
5.8 123,424
4,159
3.4
88,973
34,116
6,694
4,438
Surveyor certification
2,215
167
7.6
843
57
6.8
20,268
1,429
7.1
26,277
29,365
1,093
1,171
Machine repair shops
19,406
1,100
5.7
11,890
1,184
10.0 103,159
7,280
7.1
16,321
9,292
1,881
1,511
Electric machinery, appliances and
13,370
465
3.5
7,159
590
8.2
69,682
3,026
4.3
18,676
7,882
1,919
1,537
supplies repair shops
Wedding ceremony halls and funeral
22,852
1,725
7.5
9,862
897
9.1 129,166
11,938
9.2
23,172
19,228
1,769
1,445
services
Cinemas
2,513
124
4.9
523
41
7.8
17,425
1,026
5.9
48,056
30,202
1,442
1,207
Event venues and operators
9,155
192
2.1
2,342
50
2.1
28,581
1,023
3.6
39,091
38,326
3,203
1,873
Sport facility providers
19,389
671
3.5
12,921
874
6.8 277,876
12,054
4.3
15,005
7,674
698
556
Parks, amusement parks, and theme
5,928
×
×
147
10
6.8
41,472
222
0.5 403,297
×
1,430
×
parks
Preparatory schools
9,422
299
3.2
49,319
2,798
5.7 328,796
13,142
4.0
1,910
1,069
287
228
Cultural and skill education
9,328
371
4.0
79,509
5,435
6.8 256,477
11,727
4.6
1,173
682
364
316
*The colored cells in the above table indicate an 8% or larger share of the national total, or annual sales per business establishment or annual sales per employee that are above the
national average.
*“×” in the above table indicates that there are prefectures that did not disclose the relevant figure.
Source: 2014 Survey of Selected Service Industries, Ministry of Economy, Trade and Industry
- 37 -
 In terms of the Tohoku region’s share of national annual sales, business categories with a larger share include
industrial equipment and machinery rental (9.1%), surveyor certification (7.6%), and wedding ceremony halls
and funeral services (7.5%). Business categories with a smaller share include Internet-based services (0.6%).
2014 Share of National Annual Sales of Selected Service Industries
Industrial equipment and machinery rental
Surveyor certification
Wedding ceremony halls and funeral services
Miscellaneous goods rental and leasing
Office machinery rental
Machine repair shops
Automobile rental
Cinemas
General goods rental and leasing
Cultural and skill education
Electric machinery, appliances and supplies repair shops
Sport facility providers
Preparatory schools
Advertising agencies
Event venues and operators
Design services
Software services
Machinery designing
Data processing and information services
Internet based services
Source: 2014 Survey of Selected Service Industries, Ministry of Economy, Trade and Industry
 In terms of each business category’s share of sales in selected service industries, industrial equipment and
machinery rental (18.9% in Tohoku and 6.9% in Japan) and wedding ceremony halls and funeral services
(10.1% in Tohoku and 4.4% in Japan) have a larger share in Tohoku than they do nationally. Meanwhile,
software services (11.4% in Tohoku and 24.3% in Japan), data processing and information services (5.7% in
Tohoku and 13.0% in Japan), and advertising agencies (10.8% in Tohoku and 15.9% in Japan) have a lower
share in Tohoku than they do nationally.
Percentage Ratio of Sales of Each Business Category in Selected Service Industries (2014)
(Unit: %)
Japan
Source: 2014 Survey of Selected Service Industries, Ministry of Economy, Trade and Industry
- 38 -
Preparatory schools
Cultural education and skills teaching
Sport facility providers
Cinemas
Event venues
Wedding ceremony halls and funeral services
Electric machinery, appliances
and supplies repair shops
Machine repair shops
Surveyor certification
Advertising agencies
Automobile rental
Miscellaneous goods rental and leasing
Design services
Machinery designing
Office machinery rental
Industrial equipment and
machinery rental
General goods rental and leasing
Data processing and
information services
Internet based services
Software services
Tohoku
(4) Agriculture, Forestry and Fisheries
 Agriculture
The total cultivated area for agricultural crops decreased for the first time in three years.
 The total cultivated area for agricultural crops in the Tohoku region shrank in 2011 following the Great East
Japan Earthquake, then increased slightly in 2012 and 2013, and again decreased in 2014. The major reason
was the reduction in the total cultivated area for wetland and upland rice (for human consumption).
Changes in Total Cultivated Area for Agricultural Crops
(ha)
744,800 in total
2010
Wetland and upland rice
(for human consumption)
714,800 in total
715,100 in total
716,800 in total
712,800 in total
2011
2012
2013
2014
Wheat, barley and grains
(for human consumption)
Pulses (for dried beans)
Vegetables
Fruit trees
Crops for fertilizers/feeds
Other
Source: Pocket Book on Tohoku’s Agriculture, Forestry and Fisheries Statistics, Tohoku Regional Agricultural Administration Office
 In 2014, livestock products had the largest share of agricultural output in the Tohoku region (1.2298 trillion
yen) at 33.7%, followed by rice (27.9%), vegetables (17.9%), and fruits and nuts (15.5%).
 Tohoku’s share of national agricultural output (8,427.9 billion yen) in 2014 was lower than the previous year,
at 14.6%. While the share of rice, which had the largest share until 2013, decreased, the share of fruits and
nuts increased and claimed the largest share. Other items remained flat.
2014 Tohoku Region’s Agricultural Output
by Item
Tohoku’s Share of National Agricultural Output
Other 20.4 billion yen
Rice
Rice
343.1 billion yen
Livestock
products
414.5 billion yen
Fruits and nuts
Livestock products
1,229.8
billion yen
(2014)
Vegetables
Industrial crops
Flowering plants
Industrial crops
13.6 billion yen
Vegetables
220.5 billion yen
Other
Fruits and nuts
191.1 billion yen
Total
Flowering plants
26.6 billion yen
2010
2011
2012
2013
2014
Source: Agricultural Output and Production Agriculture Income by Prefecture, Ministry of Agriculture, Forestry and Fisheries
- 39 -
 Forestry and Fisheries
The forestry industry’s output and the fisheries industry’s production value are both growing.
 The output of the forestry industry in the Tohoku region rose 12.4% year over year to 76.73 billion yen in
2014. In addition, Tohoku’s share of the national output increased from the previous year to 17.1%.
Meanwhile, the ratio of “cultivated fungi” in the total output of Tohoku’s forestry industry remained
unchanged from the previous year at 28.8%.
Changes in the Output of Forestry Industry
(Lumber, Cultivated Fungi, Other)
Breakdown of 2014 Output of Forestry Industry
(100 million yen)
Other
682.5
in total
Japan
447.77 billion yen
767.3
in total
Cultivated
fungi
2009
2010
2011
Lumber production
Other
2012
2013
Lumber
production
Tohoku
76.73 billion yen
2014
Cultivated fungi production
Outer circle: Japan
Share of national total (right axis)
Lumber
production
Inner circle: Tohoku
Cultivated fungi
Other
Source: Pocket Book on Tohoku’s Agriculture, Forestry and Fisheries Statistics, Tohoku Regional Agricultural Administration Office, and others
 In 2014, the production value of marine fisheries and aquaculture rose 11.0% from the previous year to 164.7
billion yen. Its share of the national total also grew to 11.7%, although this was still below the pre-earthquake
level.
 Tohoku’s share of the production volume of processed fishery products in 2014 rose for some of the major
items, such as minced and steamed fish (kamaboko) and frozen, fresh seafood, and other processed food
products (e.g., salted fish guts, seafood pickles, and seasoned and processed products).
- 40 -
Changes in Production Value of Fisheries
(Marine Fisheries + Aquaculture)
and Share of National Total
Tohoku’s Share of National Production Volume
of Processed Fishery Products
(100 million yen)
Minced and
steamed fish
(kamaboko)
Dried-salted fish
1,483
in total
1,647
in total
Frozen,
fresh seafood
Other processed
food products
2009
2010
Marine fisheries
2011
2012
Aquaculture
2013
2014
2011
Share of national
total (right axis)
2012
2013
2014
(Note) In addition to marine fisheries and aquaculture, the production value of fisheries includes inland water fisheries and aquaculture. However, there is
no regional data on these products.
Source: Pocket Book on Tohoku’s Agriculture, Forestry and Fisheries Statistics, Tohoku Regional Agricultural Administration Office, and others
- 41 -
ECONOMIC OVERVIEW
OF TOHOKU REGION
2016
Tohoku Bureau of Economy, Trade and Industry