The state of Texas recently signed a business expansion statement with Tokyo, Japan.
According to a press release from the Texas governor's office, Texas and the Tokyo Metropolitan Government's (TMG) Bureau of Industrial and Labor Affairs have signed a statement of cooperation. The agreement details guidelines on how to assist Tokyo's small and medium-sized enterprises (SME) seeking to expand their businesses to Texas.
"The State of Texas is proud to sign the Statement of Mutual Cooperation, further strengthening our already dynamic partnership with Tokyo and opening even more doors to economic expansion here in the Lone Star State," Texas Gov. Abbott said, according to the press release. "Tokyo and Texas may be half a world apart, but we are closing that gap by facilitating more investment and economic development between our two regions. I look forward to our continued work together as we create a more robust partnership and a more prosperous economic future."
Eighteen partners have signed on to the agreement to be local economic development partners dedicated to ensuring the completion of the program's goals. The primary function of the agreement is to ensure that businesses from Tokyo have a "soft landing" in Texas and access to local networks from the beginning to ensure full integration.
"The Economic Development & Tourism office is proud to be working in close collaboration with the Tokyo Metropolitan Government to encourage the continued expansion of Tokyo-based small and medium enterprises into the Lone Star State," Adriana Cruz said. "We look forward to bringing new FDI and trade opportunities to our diverse communities across Texas."
The Texas-Japan relation is not new; since 2003, foreign direct investment from Japan in Texas has totaled $1.3 billion in capital investment and created 25,292 jobs. Texan projects in Japan over the same period totaled $1.36 billion and 4,525 jobs.
"Among SMEs in Tokyo, there are many companies with excellent products and technologies," TMG Bureau of Industrial and Labor Affairs Director General Sakamoto said. "They are highly motivated to expand the businesses overseas. By concluding a new partnership with the State of Texas, we hope that the collaboration between SMEs in Tokyo and local companies in Texas will become even more active than before, and this will promote innovations and create jobs in both markets."
More than 400 Japanese companies are currently operating in Texas. In 2020 alone, Texas exported more than $9.8 billion in goods to Japan. In the same year, imports from Japan to Texas totaled $20.3 billion.