ForeignForeign InvestmentInvestment ActivitiesActivities inin HawaiiHawaii andand thethe UnitedUnited StatesStates 19541954 ThroughThrough 1998,1998, ByBy CountryCountry DBEDT State of Hawaii Department of Business, Economic Development & Tourism This report, Foreign Investment Activities in Hawaii and the United States: 1954 through 1998, has been prepared by the staff of the Research and Economic Analysis Division of the State Department of Business, Economic Development & Tourism (DBEDT). The report provides concise statistical information on the sources and uses of foreign investment in Hawaii and the United States, an historical listing of selected foreign economic activities in Hawaii, and an overview of the measurement and definition alternatives. This report incorporates the listing previously published under the title Listing of Foreign Investments in Hawaii: 1994, compiled by DBEDT’s Business Development Division and released in December 1995. Director, Dr. Seiji F. Naya, heads the department. This report was prepared under the direction of the division administrator, Dr. Pearl Imada Iboshi. Technical notes and source descriptions have been kept to a minimum. However, the staff of the Research and Economic Analysis Division would be happy to respond to any inquiries of a technical nature that readers may have (586-2466). This report would have not been possible without the contributions of many individuals and agencies. Dr. Eric D. Ramstetter of the International Centre for the Study of East Asian Development, Dale P. Shannon of the U.S Department of Commerce, International Investment Division, and the City & County of Honolulu, Department of Budget & Fiscal Services, Real Property Assessment Division, Property Technical Office contributed to the improvement in the quantitative sections 1 through 3. Especial acknowledgment of the dedication and achievement of the many members of the staff of DBEDT is gratefully made. For further information about available data and sources, users should visit the DBEDT website http://www.hawaii.gov/dbedt/ or call the Research and Economic Analysis Division’s Business Resource Center at (808) 586-2424. This report has been catalogued as follows: Hawaii. Dept. of Business, Economic Development and Tourism. Research and Economic Analysis Division. Foreign investment activities in Hawaii and the United States; 1954 through 1998 by country. Honolulu: 1999 1. Investments, Foreign-Hawaii. 2. Investments, Foreign-United States. HG4538.H51.1999 ForeignForeign InvestmentInvestment ActivitiesActivities inin HawaiiHawaii andand thethe UnitedUnited StatesStates 19541954 ThroughThrough 1998,1998, ByBy CountryCountry Hawaii State Department of Business, Economic Development & Tourism Research and Economic Analysis Division February 1999 Table of Contents Page Aloha ................................................................................................................................................................................................... 1 I. Introduction and Methodology, including Glossary .................................................................................................................. 4 List of Countries ........................................................................................................................................................................10 II. Alternate Approaches to Measuring Foreign Economic Activity in Hawaii.............................................................................11 1. A Foreign Direct Investment, Operations of U.S. Nonbank Affiliates of Foreign Companies: 1977-1996 ..............................11 1. B Foreign Direct Investment, Operations of U.S. Nonbank Affiliates of Foreign Companies: 1996 .......................................45 2. Foreign Direct Investment in Hawaii, Establishment Data, by Industry: 1987 and 1992 ....................................................57 3. Real Property Holdings of Foreign Persons on Oahu: 1991-1998 ......................................................................................81 4. Japanese and Asian Investment in the United States and Hawaii and Honolulu: 1985-2000...............................................87 5. Selected Foreign Commercial Activities, by Country: 1954 Through 1998 .......................................................................89 Index, By Activity or Property Name, Year and Country................................................................................................. 223 List of Tables and Figures: Table 1.1 Gross Property, Plant and Equipment, by Country of Ultimate Beneficial Owner: 1977-1996 ................................12 Table 1.2 Employment, by Country of Ultimate Beneficial Owner: 1977-1996......................................................................16 Table 1.3 Gross Property, Plant and Equipment, by Industry of Affiliate: 1977-1996.............................................................20 Table 1.4 Employment, by Industry of Affiliate: 1977-1996 ..................................................................................................24 Table 1.5 Affiliates with Gross Property, Plant, and Equipment, by Property, Plant, and Equipment Size Class: 1977-1996 ..28 Table 1.6 Affiliates with Employment, by Employment Size Class: 1977-1996 .....................................................................32 Table 1.7 Gross Property, Plant, and Equipment of Nonbank Affiliates, by Use: 1987-1996 ..................................................36 Figure 1.1 Foreign Direct Investment in Gross Property, Plant, and Equipment, by Japan as Percent of All Countries: 1977-1996 ............................................................................................................................................38 Figure 1.2 Employment, by Japan as Percent of All Countries: 1977-1996..............................................................................39 Figure 1.3 Gross Property, Plant, and Equipment in Services and Other as Percent of All Industries: 1977-1996 ....................40 Figure 1.4 Employment in Services and Other as a Percent of All Industries: 1977-1996........................................................41 Figure 1.5 Affiliates With Gross Property, Plant and Equipment, Percent in Class Size Small: 1977-1996..............................42 DBEDT, Foreign Investment Activities List of Tables and Figures – Con. Page Figure 1.6 Affiliates, Percent in Employment Size Class Small: 1977-1996............................................................................43 Figure 1.7 Gross Property, Plant, and Equipment Use in Commercial Property as Percent of All Industries: 1977-1996 .........44 Table 1.8 Gross Property, Plant and Equipment of Affiliates, State by Country of Ultimate Beneficial Owner: 1996 .............46 Table 1.9 Employment of Affiliates, State by Country of Ultimate Beneficial Owner: 1996...................................................48 Table 1.10 Manufacturing Employment of Affiliates, State by Country of Ultimate Beneficial Owner: 1996..........................50 Table 1.11 Gross Property, Plant and Equipment of Affiliates, State by Industry of Affiliate: 1996 ........................................52 Table 1.12 Employment of Affiliates, State by Industry of Affiliate: 1996..............................................................................54 Figure 1.8 Gross Property, Plant and Equipment of Affiliates, All States by Japan as Percent of All Countries: 1996 ............56 Table 2.1 Foreign Establishments, by Number and as Percent of All Establishments, and the Number of Japanese Establishments: 1987 and 1992..............................................................................................................................58 Table 2.2 Employment in Foreign Establishments, by Number and as Percent of All Establishments, and Employment in Japanese Establishments: 1987 and 1992...........................................................................................................62 Table 2.3 Employees per Establishment, by Ownership: Foreign, United States, and Japanese: 1987 and 1992......................66 Table 2.4 Payroll of Foreign Establishments, Foreign as Percent of All Establishments and Payroll per Employee in Foreign and United States Establishments: 1987 and 1992.....................................................................................70 Table 2.5 Sales of Foreign Establishments, Foreign as a Percent of All Establishments and Sales per Employee in Foreign and United States Establishments: 1987 and 1992.....................................................................................74 Figure 2.1 Foreign Establishments, by Number and as Percent of All Establishments, and the Number of Japanese Establishments: 1987 and 1992..............................................................................................................................78 Figure 2.2 Employment in Foreign Establishments, by Number and as Percent of All Establishments, and Employment in Japanese Establishments: 1987 and 1992...........................................................................................................79 Figure 2.3 Employees per Establishment, by Ownership: Foreign, United States, and Japanese: 1987 and 1992 .....................80 Table 3.1 Real Property Holdings of Foreign Persons on Oahu, Number of Parcels, by Country: 1991-1998 .........................82 Table 3.2 Real Property Holdings of Foreign