The results of the 2006 survey of Japanese direct investment in ten Midwest States (1), conducted by the Consulate General of Japan at Chicago, are as follows:

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(1) Illinois, Indiana, Iowa, Kansas, Minnesota, Missouri, Nebraska, North Dakota, South Dakota, and Wisconsin. Beginning in 2005, the study includes six new states (Iowa, Kansas, Missouri, Nebraska, North Dakota, and South Dakota), which were added to the Consulate's jurisdiction in January of that year.

Business Facilities and Employment

Note: In addition to the above non-retail, business facilities, 850 Japanese-owned retail locations provided 5,860 jobs in 2006.

Key results for the 10-state area are as follows:

1) Total Employment
Total employment remained flat in 2006. Motor vehicle and parts makers provided more than half of the total jobs (51,200), which increased by 1.4%. Employment at precision instrument makers as well as metal and steel manufacturers rose by 12% and 7% respectively.

2) Actual Manufacturing Employment
The 321 actual manufacturers account for nearly one-third of the total business facilities. They provide 55,070 high skill, high paying jobs, or more than one-half of the total employment.

3) Business Facility Number
The number of business facilities declined by 5.4%. Companies with more than 1,000 employees increased while some smaller firms merged or became U.S.-owned.

4) Industry Type
Manufacturing, led by motor vehicles and parts makers, continues to be the leading sector with 92% of the total employment and 66% of the business facilities.

5) Japanese Big Three Highlight the Midwest 's Strengths
The Midwest remains strongly competitive in attracting Japanese direct investment. In 2006, Indiana became the only state with its own Japanese Big Three. The state's two new vehicle assembly plants, along with their satellite parts firms, should further increase American employment at Japanese companies.

The region is particularly attractive to Japanese direct investment due to its central location, transportation network, quality workforce, and favorable business environment. In return, Japanese business facilities provide jobs in both urban and rural areas, source components from U.S. companies, facilitate technology transfer, and furnish new revenue sources to help boost both state and local economies.