Focus of Our Operations
Japan after the Pandemic
Japan came out from the pandemic in 2023. During these containment years, the local currency Yen lost its value by 25% against all major currencies. In 2024, this trend continues and even accelerates. As of June 2024, 1 USD values 160 JPY. It was around 110 in June 2021.
Yet long-awaited restructuring of the business sector has not really happened among SMEs, and the general production cost remains high. The country has become a cheaper destination for most of the tourists, but the ease of doing business is as mediocre as before.
Despite the insufficient change in the environment, however, more and more businesses want to work with overseas companies. The effect of aging society has become more palpable, and many local operators feel that the domestic market is shrinking. The problem is that most of the SMEs do not have means to venture into overseas market
We believe what Japan has accumulated for many years is still relevant to the world and could make a difference in your business. There are many products and knowhows to be discovered and exploited. Japan needs your inspiration.
Sourcing for Your Niche Market
There may be undiscovered items somewhere in the long-stretched archipelago
Renowned Japanese manufacturing expertise is often supported by manual works of skilled engineers or artisans. Instead of investing heavily on the machinery, many manufacturers have developed a meticulous system of collaboration and quality control.
Here manufacturing is not for volume and the production cost in general remains expensive. Our experiences suggest that, for anything sourced from Japan, viable products for export are almost always high value-added ones. In other words, it is rather difficult to materialise outbound operations of commodity-type products.
The challenges
Small-scale manufactures are likely to prefer to communicate in Japanese. This implies that they are not familiar with cross-border operations. It is quite common to have frequent liaison communication just to understand the scope of project even before talking about product specifications.
Another challenge is to wade through Japan’s complex distribution system. It is common that manufactures outsource storage and logistics functions to regional distributors which take care of shipping. Dealing with such intermediaries requires a lot of local knowledge.
The Categories
High-End Manufacturing Goods
Exquisite Traditional Crafts
Natural Raw Materials
Product Development for Your Brand
Leverage local manufactures’ expertise to create special ‘Made in Japan’ products
Along with well-known meticulous production processes and rigid quality control, one of the advantages of developing products in Japan is flexibility in quantity. Since many of the mass production lines have moved to China or other Asian countries, manufacturers that remain here tend to offer small-lot production and high-quality products.
With a Japanese textile manufacturer, for example, you can often order fabric in quantities starting from 1,000 metres. In China, the typical minimum order quantity starts from 10,000 metres. The same happens in other industries as well. Here, the cost is obviously higher. Yet, this may still feel attractive, especially when you are looking for high-quality products for selected customers.
Strengths
We are based in Osaka and know the city’s industry clusters. For textile, machinery, and advanced materials, the city is acclaimed to have a constellation of small and medium-sized manufacturers that are supplying parts, components, and final products to much larger multinational enterprises.
The Categories
Bespoke Handmade Creations
OEM Partnerships for Exceptional Quality
Strategic Market Entry in Tokyo & Osaka
The country needs your inspiration more than ever
The country still maintains solid manufacturing industries focusing on high value-added products. The rapid depreciation of the local currency during and after the pandemic has made items and services more affordable. We believe that having a business entity or a reliable local partner allows you to have a closer look at what is valuable for your business.
Meanwhile, the same depreciation has clearly weakened the purchasing power of the local population, especially for imported goods. So, it may not be the best moment to expand to Japan to sell goods and services.
Strengths
We originally started as a consulting arm of Kano Legal Office, a solicitor’s office in Osaka that dealt with incorporation, property registration, and inheritance.
Our own experiences as an importer and an exporter help us to guide you through the complex web of the local distribution system.
The Categories
Tailored Expansion Strategies
Incorporation
Local Operations in Tokyo and Osaka
Learn how Travesia can add value to your business development
Contact us
info@travesia.jp
Namba Naka 1-10-4, Naniwa-ku,
Osaka 556-0011, Japan
+81 (0)6-6645-0145