Geneva Newsletter

Issue 16

July 2010 Geneva Newsletter

Japan’s current economic situation According to the Bank of Indices of industrial production down 0.1% from previous (2005=100) Special points of interest: Japan (BoJ), “Japan’s month. economy shows further Source: METI Moreover, Tankan judg- • Exports rose 27.7% in June 2010 from 110 previous year and indices of industrial signs of a moderate recov- ment index on business production increased 20.4% in May ery, induced by improve- 105 conditions, issued on a over the year. ment in overseas eco- 100 quarterly basis by the BoJ, • Whereas Elpida Memory had a loss of nomic conditions”. It also 95 shows an improvement of ¥147 billion (about CHF 1773 million) stated that “the uptrend in the business sentiment. 90 in FY2008, its operating income is of exports and production is Tankan index went up 9 ¥27 billion (about CHF 326 million) in 85 FY2009. expected to continue, re- points from –24 in March flecting continued im- 80 to –15 in June for all in- • Around 36,000 toys have been exhib- 75 ited at the Tokyo International Toy provement in overseas dustries and jumped 15 Show, held from July 15 to 18. economic conditions, al- 70 points from –14 to 1 for

though the pace of in- Jul Jul large manufacturers, turn- Nov Nov Mar Mar • May May May Yamaha Motor Co., Ltd. announced Sept Sept the release of the “EC-03” electric crease is likely to moder- ing positive for the first Jan 2010 Jan commuter, a zero-emission scooter ate gradually”. 2009 Jan time in two years. scheduled to be sold from October Exports rose 27.7% in Led by exports, Japan’s However, Japan’s econ- 2010 in Japan and 2011 in Europe. June 2010 from previous economy continued to re- omy is still facing a rela- year. Exports to Asia cover. Indices of industrial tively severe unemploy- (+31.7% in June 2010 production increased in ment situation. Unemploy- from a year earlier) and to May 0.1% from previous ment rate declined 0.7% the United States month and 20.4% from a in May over the year to (+21.6%) increased sig- year earlier to 96.1 5.2%, but was up 0.1% nificantly, while exports to (2005=100, see graph). from previous month. Fur- Inside this issue: Western Europe rose at a Coincident composite in- thermore, consumer lower pace (+6.7%) and prices increased 0.1% to Japan’s current economic 1 dex reflecting current busi- situation exports to Switzerland ness conditions in June 99.7 (2005=100), but remained relatively stable was 101.2 (2005=100), were down 0.9% from pre- Elpida Memory aims to be- 1 & 2 (+2.0%). up 17.1% on a year, but vious year. come No.1 DRAM company

Tokyo International Toy Show 2 2010

JETRO took part in WSC Aca- 3 Elpida Memory aims to become No.1 DRAM company demic Week Elpida Memory, Inc. is a capacitor. He is now the Managing leading manufacturer of Established in 1999 by Director of Elpida Memory White Paper on International 3 Dynamic Random Access two Japanese firms, Hi- (Europe) sàrl, located in Economy and Trade Memory (DRAM) inte- tachi and NEC, Elpida Grand-Lancy, Canton of grated circuits. Memory took on Mitsubi- Geneva. He explained the Yamaha released a zero- 4 Used in many electronic shi Electric Corporation's recovery of Elpida’s busi- emission scooter appliances, such as com- DRAM operations in 2003 ness situation and out- puters, game consoles, to become the only DRAM lined advantages to be digital cameras and TVs, Japanese company. located in Switzerland. DRAM is a memory that Akira Yabu joined the com- stores data in a separate pany when it was founded. (Continued on page 2) Page 2 JETRO Geneva Newsletter

Elpida Memory aims to become No.1 DRAM company (Continued from page 1) DRAM increased since the Taiwan. “We are now dis- second half of 2009 cussing about a new facil- Elpida Memory’s business (especially from personal ity somewhere in Asia” to recovered computers and smart produce DRAM and new phones) due to the newly memory products coming Whereas Elpida Memory released technology or soon. In Europe, Elpida had a loss of ¥147 billion products. Second, DRAM Memory has two R&D cen- (about CHF 1773 million) industry had insufficient ters, in Munich and Mi- in FY2008, its operating supply capacity to catch lano. income is of ¥27 billion up this increased demand Eight people are working (CHF 326 million) in as a result of very limited in its Swiss office located FY2009. On the same investments to the manu- in Grand-Lancy, Canton of period, Elpida Memory’s facturing facility in Geneva. The Swiss branch sales went up 41%. FY2007 and FY2008 due of Elpida Memory pro- From January 2009 to to their financial situa- vides technical supports Akira Yabu, April 2010, DRAM prices tions in FY2007 and to introduce memories in Managing Director, Elpida Memory (Europe) sàrl doubled, or even tripled. FY2008. While Japanese customer’s products, and For instance, 1Gb DDR3 and European markets sale services in European 1333Mbps DRAM price remain in stable growth, countries (France, Italy, grew on this period from because of matured mar- Germany, the Nether- around USD 1 to over ket, said Akira Yabu, de- lands, Finland, Sweden USD 2.70. Increase of mand is growing more in and others). DRAM prices played a Asia, and more specifi- Akira Yabu emphasized major part in the recovery cally in China, Taiwan and that “Geneva is a very of Elpida Memory finan- other emerging regions. convenient place”. “We cial situation. Based on can visit our customers its R&D capabilities lead- Advantages of Switzer- and return in the same ing to outstanding break- land and Geneva day”, he said. Further- throughs, it now aims to more, as many interna- become world’s No.1 Headquartered in Tokyo, tional and Japanese com- DRAM company. Elpida Memory employs panies are located in Ge- According to Akira Yabu, more than 6,000 people neva, managers can the recovery of the DRAM around the world. It has share their views on eco- price is due to two fac- two manufacturing facili- nomic situations in tors. First, the demand of ties, in Hiroshima and Europe and Japan.

Tokyo International Toy Show 2010 Toys and games 2008 2009 Organized by the Japan Gloria Toys, Au, Canton of the 2010 Crowns, a Ja- Ordinary games 12,371 12,314 Toy Association, Tokyo St. Gallen). pan’s golf tournament. Card games 75,453 79,387 International Toy Show Among exhibited toys, According to Japan Toy Puzzles 12,528 14,024 2010 was held at Tokyo Sega Toys Co.’s Mindflex Association, the global Electronic games 8,367 6,111 International Exhibition “Brain-Wave” was of par- sales of toys declined Miniature games 42,269 54,799 Center from July 15 to 18. ticular interest. Controlling 0.9% in FY2009 to ¥649.4 Boy toys 43,362 35,077 Around 36,000 toys have a plastic ball with their billion (CHF 7.8 billion). Girl toys 40,801 39,163 been exhibited by 139 mind only, players have to Cuddly toys 16,172 16,474 Educational games 137,863 136,049 firms, including 21 over- keep it afloat and avoid seas companies. Most obstacles. Seasonal toys 52,552 50,756 foreign exhibitors origi- Epoch Co. also exhibited Stationery 82,304 79,332 Railway modelling 122,082 115,320 nated from Asia (China, the “Ryo Ishikawa Excite Hong Kong, Taiwan and Golf”, a virtual golf game Miscellanous 9,160 10,566 Total 655,284 649,372 South Korea). Some came using the name of a fa- Sales of toys in billions of yens from Germany and one mous Japanese profes- Global sales of toys in billions of yens Source: Japan Toy Association from Switzerland (Wisa sional golf player who won Source: Japan Toy Association Issue 16 Page 3

JETRO took part in WSC Academic Week The JETRO and the Japa- Standards Association sity (USA). Some other ex- nese Standards Associa- (JSA) and former President periences related to edu- tion (JSA) took part in of the International Organi- cation about standardiza- World Standards Coopera- zation for Standardization, tion were also presented. tion (WSC) Academic presented JSA internal National and international Week, held in Interna- training courses, seminars standards organizations tional Conference Centre and other education activi- emphasized their contribu- Geneva, from July 5 to 9. ties for Universities, firms tions to the academic The purpose of this con- and industrial associa- world. They also agreed to ference was “to promote tions. further collaborate with the dialogue between aca- Other participants also academic institutions. Masami Tanaka, President, demic institutions and the outlined academic pro- Set up in 2001 by the In- Japanese Standards Associa- international standards grammes on standardiza- ternational Organization tion (JSA), at WSC Academic community, to raise tion. Academic teachings for Standardization (ISO), Week in Geneva awareness and to foster on standardization are, for the International Electro- cooperation and possible instances, provided by the technical Commission joint initiatives”. University of Geneva, the (IEC) and the International The conference was at- Erasmus University of Rot- Telecommunication Union tended by around 50 peo- terdam (the Netherlands), (ITU), the World Standards ple (professors, represen- the International School of Cooperation seeks to tatives of compagnies, Science and Information “strengthen and advance national and international Processing of Pau and the voluntary consensus- standards developing or- Cergy-Pontoise (France), based international stan- ganizations). the Jiliang Metrology Uni- dards systems of ISO, IEC Masami Tanaka, Presi- versity (China), and the and ITU”. dent of the Japanese Pennsylvania State Univer-

White Paper on International Economy and Trade The METI (Ministry of major‘s consumer economic frameworks. It Economy, Trade and market“. Personal stresses the need to Industry) released on July consumption in Asia will promote WTO Doha 13 a White Paper on raise from USD 6.62 Round negotiations and International Economy trillion in 2008 to USD take the opportunity of and Trade 2010. 16.14 trillion in 2020. Japan‘s chair of 2010

It shows that, led by It concludes with some APEC Summit to develop 2005 2009 2015 exports to China, Asian recommendations so as an Asia-Pacific free trade (est.) (est.) economies recovered first. Japan to meet consumer area. EU 30.3% 28.4% 23.8% Asian and emerging demand in emerging A summary in English is economies are expected countries and to available at: http:// United States 27.8% 24.6% 22.3% to increase their share of contribute to the www.meti.go.jp/english/ report/ the world‘s GDP from 40% development of favorable Japan 10.0% 8.7% 7.6% before the economic crisis 18 Emerging 23.7% 30.9% 38.8% 16 2008 to about 60%. It claims 2020 countries that the United States is 14 12 China 4.9% 8.5% 11.5% 10 on a recovery trend, while 8 facing a high 6 Other Asian 3.9% 5.0% 6.3% 4 unemployment rate, 2 countries 0 whereas the recovery Japan China India ASEAN (10 NIES3 Total Asia EU United pace in the EU is slow. countries) (Hong-Kong, States South Korea Brazil 1.9% 2.7% 3.2% The Paper also argues and Taiwan) Russia 1.7% 2.1% 3.7% that Asia is expected to Personal consumption in USD trillion Share of the world’s GDP Source: METI / Euromonitor International 2010 become the „world‘s Source: METI / IMF Issue 16 Page 4

Yamaha released a zero-emission scooter Yamaha Motor Co., Ltd. Yamaha Motor projects announced the release of annual sales of 1,000 in the “EC-03” electric com- Japan. EC-03 will be sold muter, a zero-emission at ¥252,000 (about CHF scooter (see picture). 3,000). The scooter is scheduled Yamaha Motor is part of to be sold from Septem- Yamaha Corporation. ber 1 in Tokyo metropoli- Founded in 1955, it is tan area, from October 1 Yamaha Motor Electric headquartered in Iwata, on Japan’s market, and Commuter « EC-03 » Shizuoka Prefecture from 2011 in Europe and © Yamaha Motor Co., Ltd. / license (Chubu region). It employs Taiwan. about 50,000 people. In The “EC-03” features a Power Unit (YIPU), capable 2009, its consolidated 50V lithium-ion battery to minimize power- sales were of ¥1,153 bil- with a capacity of 43 km transmission loss and lion (about CHF 13.77 at 30km/h. The battery maximize running perform- billion). It exhibited the can be charged in 6 ances, as well as the Ya- “FROG”, an electric hours. The battery charger maha Mutual Communica- scooter prototype, for the is a plug-in type that can tion System, an automatic first time in 1991. It pro- be connected on an elec- system monitoring the bat- duced “Passol”, its first tric outlet. tery, controller, charger electric scooter, in 2002. The scooter also includes and meter systems. a Yamaha Integrated

Agenda 19 th Sept.: Small booth exhibition of Japanese food at the WTO Open Day, in collaboration with the Permanent Mission of Japan in Geneva

23 rd Oct.: SJCC (Swiss Japanese Chamber of Commerce) 25th Anniversary Gala At the Dolder Grand, Zurich (evening event)

26 th Oct.: Japan Day 2010 Uster City Hall (Zurich) Organized by the City of Uster and the Canton of Zurich

10 th Nov.: JSFTEPA (Japan - Switzerland Free Trade and Economic Partnership Agreement) business seminar with SJCC Credit Suisse Forum St. Peter, Zurich

11 th Nov: JSFTEPA business seminar with the “Centre Patronal”, in Lausanne

JETRO is a government-related organization that works to promote mutual trade and investment between Japan and the rest of the world. Originally established in 1958 to promote Japanese exports abroad, JETRO’s core focus in the 21st century has shifted toward promoting foreign direct investment into Japan and helping small to medium size Japanese firms maximize their global export potential. 80, Rue de Lausanne 1202 Geneva The JETRO Geneva Newsletter can also be viewed and/or Phone: 022/732 13 04 downloaded online: Fax: 022/732 07 72 http://www.jetro.go.jp/switzerland/newsletter E-mail: [email protected]