Economy

Japan increases investment in Jiangsu

(Xinhua)
Updated: 2011-06-24 09:48

NANJING -- East China's Jiangsu Province has become one of the destinations for Japanese investors as they are increasing investment outside the country as part of Japan's efforts to transfer production capacity after a massive earthquake and tsunami in March.

According to the provincial industry and commerce authority, Jiangsu saw the establishment of 80 Japanese-funded businesses between mid-March and the end of May, a rise of 31.1 percent over the same period last year.

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The 80 businesses represent a total investment of $2.14 billion, up 250 percent year-on-year, and a total registered capital of $1.18 billion, up 270 percent.

Of the total investment, 66.3 percent went to the metallurgical, electronics, new energy and home electrical appliance sectors.

Sources with the provincial bureau of commerce also said that many Japanese manufacturers have expanded their production in China to ensure the normal operation of their supply chains.

Japan-based tire manufacturer Bridgestone has spent 50 million yuan ($7.6 million) to set up a headquarters in Jiangsu for its business dealings in eastern China. At the end of May, Sharp, a leading Japanese electronics supplier, launched a new mobile phone project in Jiangsu's city of Wuxi.