Cluster Program

What are industrial cluster Program?

METI has been promoting the Industrial Cluster Program since FY2001, which aims to form industrial clusters for bringing about a stream of
innovation and venture companies in regions. Presently, 17 projects nationwide, with the joint cooperation of regional Bureaus of Economy,
Trade, and Industry and promotion organizations of the private-sector, are building close cooperative relations with about 9,800 regional SMEs
taking on the challenge of new businesses and researchers etc. from more than 290 universities.
While forming industry-university-government networks, promoting the formation of industrial clusters that develop one after another new busi-
nesses that will be viable throughout the world, through comprehensively and effectively introducing various kinds of support measures. Also,
functionally supporting the strengthening of organizational power, by providing in a timely manner information necessary for the dynamic opera-
tion of the networks
METI has allocated 57.6 billion yen as the budget related to these activities in FY2006.

Regional expansion of 17 Industrial Cluster Program nationwide “The values are estimated for the project participation situation as of the end of December 2005.”
* In the Second Term Industrial Cluster Plan, the target is the creation of 40,000 new businesses launched during the 5-year planning period. (The values in brackets are numerical targets per project.)

Hokkaido Kanto
Hokkaido Super Cluster Promotion Strategy II - The Greater-Kanto region Industrial Cluster Promotion Network -
(3,000 businesses) Regional Industry Revitalization Project (10,500 businesses)
IT/Biotechnology fields: ・Support Activities for Networks in Western Tokyo Metropolitan
About 750 companies and 21 universities Area (TAMA)
・Support Activities for Networks along the Chuo Expressway
Tohoku ・Support Activities for Networks in the Region of Tokatsu -
Kawaguchi - Tsukuba (along TX line)
Tohoku Industrial Cluster Project ・Support Activities for Networks in Sanennanshin District
Tohoku MONODZUKURI Corridor (2,400 businesses) ・Support Activities for Networks in Northern Tokyo Metropolitan
Manufacturing fields: Area
About 750 companies and 48 universities ・Support Activities for Networks in Keihin Area
Manufacturing fields: About 2,290 companies and 73 universities
Fostering Bio-Ventures (250 businesses)
Kinki Biotechnology fields: About 380 companies and 19 universities
Kansai Front Runner Project Developing IT-Ventures (250 businesses)
Neo Cluster (8,000 businesses) IT fields: About 560 companies and 1 university
Manufacturing, IT, and Energy fields:
About 1,530 companies and 34 universities
Kansai Bio Cluster Project Chubu
Bio Cluster (1,000 businesses)
Biotechnology fields: Project to Create Manufacturing Industry in Tokai Region
About 450 companies and 35 universities (5,000 businesses)
Environment Business KANSAI Project Manufacturing fields: About 1100 companies and 30 universities
Green Cluster (1,000 businesses) Tokai Bio-Factory Project (60 businesses)
Environment fields: Biotechnology fields: About 60 companies and 51 universities
About 140 companies and 10 universities
Project to Create Manufacturing Industry in Hokuriku Region
(1,000 businesses)
Manufacturing fields: About 240 companies and 13 universities
Kyushu
Kyushu Recycle and Environmental Industry Plaza
(K-RIP) (1,500 businesses) Chugoku
Environmental fields: About 250 companies and
19 universities Project to Form Next Generation Key Industries (3,000
Kyushu Silicon Cluster Project (1,500 businesses) businesses)
Semiconductor fields: Manufacturing fields:
About 410 companies and 33 universities Project to Form Recycling-oriented and Environmentally Society
(800 businesses)
Okinawa Environmental fields:
Two projects: About 290 companies and 17 universities
Okinawa Industry Promotion Project (4,500 businesses)
Commercial Information/health/environmental/processing
fields: About 250 companies and 4 universities Shikoku
Shikoku Techno Bridge Plan (2,000 businesses)
Manufacturing/Health and welfare/Biotechnology fields:
About 400 companies and 5 universities

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 Cluster Program
Note: Inside of blue solid line box in the section of number
1. Formulation of Second Term Medium-range Industrial Cluster Program Summary of each of 17 projects (attachment) of businesses launched indicate additional targets.

Number of businesses
(1) Background [Basic principles] Project name Project outline
launched (common targets)
It is essential, in order to strengthen the competitiveness of The efforts are continued to form “networks where each face is 3,000 businesses in 5

Hokkaido Super Cluster Promotion Strategy II

Japan's industries and promote the autonomy of local economies
led by the endogenous development, to establish networks in
regions for collaboration among enterprises, universities and gov-
ernment agencies, and develop a business environment creating
new industries and new businesses. Therefore, upon the policy
assessment of the Industrial Cluster Program, toward the creation
of further innovations due to the promotion of that program, the
objective and target of the program have been established anew,
and also collaboration with related measures and agencies has [Introduction of PDCA cycle]
been defined clearly. In addition, existing projects were reviewed
individually, reorganized and integrated.
(2) Elements of the Medium-range Plan
[Target setting]
visible.” Based on the networks, innovations are accelerated, and Information business years
- Aiming for the formation of information industry cluster -
concrete achievements are pursued in the creation of new indus- The formation of information industry cluster is pursued through the creation of world-class
*To be modified when the
tries and businesses. In order to implement policies and mea- companies in the fields of software and system house, information processing, and production
next plan is established
and distribution of digital contents by utilizing the accumulation of information industry in an
sures more effectively, and also to make their effects last longer (in FY 2006).
area called Sapporo Valley and the advanced R&D seeds possessed by such as universities.
and spread wider, collaborations between related policies, agen-
Sales: 440 billion
cies, ministries and local governments are pursued. In addition, (Information industry: 400
Biotechnology business billion, Biotechnology indus- - Aiming for the formation of biotechnology industry cluster -
international development, diffusion and penetration of measures, try: 40 billion) The formation of biotechnology industry cluster is pursued through the creation of world-
IPO: 15 companies
and the independence of project activities are established. Sales (Information indus- class companies in the field of biotechnology concerning agriculture and foods, medicine and
try): 60 companies sell more
than medical service, and environment by utilizing the advanced R&D seeds in biotechnology pos-
Every fiscal year, the satisfaction of participant companies is 1 billion
New companies established
sessed by universities or research institutes in Hokkaido.
grasped by implementing questionnaire surveys and measuring (Biotechnology industry):
15 companies
various indices such as the number of new businesses launched, *Targets in the current plan
(from FY 2004 through FY
business negotiations completed, enterprises inaugurated, and 2006)

- Mission of policy IPOs. Also, an external assessment is conducted by a committee

(i) Development of a business environment to promote innova-
tion
(ii) Creation of new industries in accordance with national strate-
gies
(iii) Emergence of synergistic effects with local industry promo-
tion
- Basic policies
(i) Respect for the priority of fields
(ii) Strategic use of policies and measures
[Planning period]
- From April 1, 2006 to March 31, 2011
[Numerical target]
- Creation of 40,000 new businesses launched* during the 5-
year planning period
* New businesses launched include: experimental production, manufac-
turing, and marketing of new merchandises or products, introduction of
new manufacturing technologies, and introduction of new services.
Tohoku Industrial Cluster 2,400 businesses in 5 - Aiming for the formation of manufacturing industry cluster (Manufacturing
of intellectuals which will be set up. Subsequently the results of
Project years Corridor) with close alliances in a region -
the above performances will be reflected onto the efforts in the The formation of manufacturing industry cluster is sought in seven technological and indus-
following fiscal year. Tohoku MONODZUKURI
trial fields such as MEMS technology, semiconductor manufacturing equipment, optical indus-
An interim assessment is implemented in the third year, and an Corridor
try, medical-dentistry-engineering collaboration and health and welfare, technologies related
ex-post assessment in the fifth year. automobiles, non-ferrous metals recycling, and information technology. Above target is
(3) Reorganization and integration of existing projects achieved through the driving force of four regions of Kitakami River basin, wide Sendai,
[Number of projects] Yamagata/Yonezawa, and wide Koriyama which, as the centers of regional alliances, pull the
17 projects (Five projects were terminated*; three were newly whole Tohoku Region forward based on the manufacturing power in Tohoku Region.
established; nine were emphasized and expanded; and five were
continued.)
Support Activities for 2,000 businesses in 5 - Aiming for a center to create high value-added industries -
* As for the terminated five projects, reconsiderations in terms of object
The "TAMA", a center to create high value-added industries which conflated most-advanced
domain and area, as well as fundamental reviews including the desig- Networks in Western years
nation of priority fields have been made. These projects were expan- technologies including biotechnology, optoelectronics, mechatronics, and nanotechnology, is
Tokyo Metropolitan Area
sively dissolved into three new projects, utilizing the results achieved. sought by utilizing potentials of universities of science and technology, research institutes, and
(TAMA)
products development type medium and small size companies in western Tokyo metropolitan
area especially areas along Route 16.
Support Activities for 1,000 businesses in 5 - Aiming for a supply base of sophisticated devices -
The supply base of sophisticated devices for future generation industries including automo-
Networks in Areas along years
biles, semiconductors, digital home appliances, aerospace, and medical services is sought
the Chuo Expressway
through high-mix low-volume production by utilizing potentials of precision machinery industries
in Suwa area and electric machinery industries in Yamanashi area.

Regional Industries Revitalization Project

Support Activities for 1,000 businesses in 5 - Making the transition to research and development type companies -
The transition to more sophisticated research and development type companies is pursued
Networks in the Region of years
through promoting the creation of new businesses and new industries by merging advanced
Period III (2011 - 2020): Industrial Tokatsu - Kawaguchi -
Period I (2001 - 2005): Industrial Period II (2006 - 2010): Industrial Tsukuba (along TX line)
industry fields like biotechnology, security, and medical and health equipments in Tsukuba area
Cluster Autonomous Growth and manufacturing companies of machinery and metals as well as electric and electronics
Cluster Launch Period Cluster Development Period
Period industries in Tokatsu (Chiba Pref.) and Kawaguchi (Saitama Pref.) areas.
Based on actual conditions of Specific business will be While further promoting network
clusters and policy needs, about 20 developed, while continuing to formation and specific business
Support Activities for 2,000 businesses in 5 - Aiming for the creation of innovations in new fields based on the technolo-
Industrial Cluster Program are advance network formation. At the development, independence of
Networks in years gy of transportation equipment industry -
launched with the national same time, management industrial cluster activities in the The center to create innovations is formed through partner- ships between transportation
government playing a central role reorganization of companies and financial aspect should be strived Sanennanshin District
equipment industry, which is assets of the region, and medical service, space industry, agricul-
in their advancement. In creation of venture companies will for, aiming for autonomous ture, and forestry in Enshu (Hamamatsu), Minami- Shinshu(Iida), and Higashi-Mikawa
collaboration with clusters also be promoted. Projects will be development of industrial clusters. (Toyohashi) areas.
developed autonomously by local reviewed and new projects will be
governments, ”visible networks” launched flexibly as required. Support Activities for 1,500 businesses in 5
- Fostering companies challenging to develop new technologies and new
are formed that will become the Networks in Northern years
products -
base of industrial clusters. The center to create local industries is formed through fostering products development type
Tokyo Metropolitan Area
companies which courageously challenge to develop new technologies and new products
derived from the fundamental technologies of transportation equipment and electrical equip-
ment industries which have high potentials in northern Tokyo metropolitan area (Gunma Pref.
and Tochigi Pref.).
6 7

Number of businesses
Project name
launched (common targets)
Regional Industries Revitalization Project
Support Activities for 3,000 businesses in 5
Networks in Keihin Area years
Metropolitan Biotechnology- 250 businesses in 5
Related Startups Network years
IT Venture Forum 250 businesses in 5
years
Creation of independent
core networks
5 networks in 5 years
Project to Create 5,000 businesses in 5
Manufacturing Industry in years
Tokai Region
Tokai Bio Factory Project 60 businesses in 5 years
New companies estab-
lished: 30 companies in 5
years
Project to Create 1,000 businesses in 5
Manufacturing Industry in
years
Hokuriku Region New companies estab-
lished: 30 companies in 5
years
Kansai Front Runner Project 8,000 businesses in 5
Neo Cluster years
Cluster cores established:
175 cores in 5 years
Growth rate in sales of clus-
ter core companies: 25% in 5
years
8 9
Cluster Program
Number of businesses
Project outline Project name Project outline
launched (common targets)
- Aiming for technological design center- Kansai Bio Cluster Project 1,000 businesses in 5 - Aiming for the formation of Kansai Bio Cluster comparable with the world -
The technological design center of R&D and trail production development, which is open to Bio Cluster years The formation of Kansai Bio Cluster comparable with bio clusters in the world is sought
the world and offers technological designs to meet the request based on functional design, is Cluster cores established: through forming multiple and multilayer clusters in collaboration with efforts at home and
sought by utilizing the accumulations and potentials of research institutes, products develop- 75 cores in 5 years abroad by utilizing thick accumulations of universities, research institutes, and related indus-
Growth rate in sales of clus-
ment type companies, and fundamental technology development type companies in Keihin ter core companies: 25% in 5 tries in the fields of medical service (drug discovery and regenerative medical techniques),
years
area (Ota-ku, Shinagawa-ku, Kawasaki City, and Yokohama City). advanced analytical equipments (medical related apparatuses and equipments), and manufac-
turing biotechnologies (bioprocess, food biotechnology, and environment biotechnology).
Environment Business KAN- 1,000 businesses in 5 - Fostering environment businesses including effective utilization of
SAI Project years resources and environment solution technology -
Green Cluster Cluster cores established: The environment businesses which contribute to the effective utilization of scarce resources
100 cores in 5 years and the reduction of environmental burdens are fostered by utilizing the social background in
Growth rate in sales of clus-
ter core companies: 25% in 5 environment field and the potentials of Kinki area in the fields focusing on equipments and
years
apparatuses utilizing organic resources and waste as well as apparatuses and services for
- Creating the place to find out opportunities for bio-venture companies - environmental purification.
The development of bio-venture companies which have global competitiveness is pursued
through creating the place to find out opportunities for venture companies in the field of Project to Form Next 3,000 businesses in 5 - Aiming for the formation of industrial clusters in the fields of manufactur-
biotechnology such as drug discovery, bioinformatics (DNA analysis software etc.), and bio- Generation key Industries years ing, biotechnology, and IT -
chemistry (amino acid etc.) by deepening partnerships among research institutes, universities, The formation of industrial clusters in the fields of manufacturing, biotechnology, and IT is
and companies which are on the cutting edge of biotechnology industry and exist a lot in the pursued by utilizing the accumulations of industries including auto parts, machine tools, elec-
greater Kanto region (Kanto and Koshinetsu). tronic components and devices, flat panel display and related products, and foods and fermen-
tation as well as the research seeds of universities in the fields of medical equipments and
- Fostering venture companies in IT and contents industries - biotechnology in Chugoku area.
In the Tokyo metropolitan area (Tokyo Met., Kanagawa Pref., Chiba Pref., and Saitama
Pref.), the venture companies are fostered in IT and contents industries including internet busi- Project to Form Recycling - 800 businesses in 5 - Promoting the formation of clusters in the fields of resources recycling,
ness, IT service solution, broadband business, and on-line game which pull Japan's leading
oriented and Environmentally years energy, and environmental purification and restoration -
industries forward. Society The formation of industrial clusters in the fields of resources recycling, energy (including
biomass energy), and environmental purification and restoration is pursued in Chugoku area
- Aiming for creative economic society area which leads Japan in the field of by utilizing the local resources in environmental field such as recycling and water decontami-
manufacturing - nation centered in areas along the Seto Inland Sea as well as the potentials of industry, acad-
The creative economic society area which leads Japan is sought in the field of manufactur- emia, and government.
ing including automobile, auto parts, general machinery, electronic components and devices,
ceramics, and metals by utilizing the potentials of "lapping type" industries especially those Shikoku Techno-Bridge Plan 2,000 businesses in 5 - Promoting the formation of clusters in the fields of next generation highly
which have extensive and sophisticated fundamental technologies in Nagoya area (within years functional materials, health, and biotechnology -
around one hour distance from Nagoya City). Second establishment of
The formation of health and bio clusters including physiologically functional foods, health
companies: 60 companies in equipments, and rare sugar as well as next generation highly functional materials cluster
5 years
- Aiming for the formation of center of practical application for biomanufac- IPOs of university venture which supports new industries and growing industries like automobile is pursued in Shikoku
companies: 5 companies in
turing - 5 years area by utilizing the accumulations of industries including basic materials (paper and pulp,
The formation of the "center of practical application for biomanufacturing" is pursued as an chemicals, and etc.) and machinery as well as the research seeds of such as universities in
accumulated place of biotechnology related industries including four core fields of medical the fields of health and biotechnology.
instruments/apparatus and biomedical materials, diagnosis and treatment, physiologically func-
tional food, and environmental biotechnology in the area of Aichi, Mie, and Gifu Prefectures Kyushu Recycling and 1,500 businesses in 5 - Aiming for the formation of advanced environmental and recycling center
centering on Nagoya and Gamagori Cities. Environmental Industry Plaza years in the world -
(K-RIP) Businesses launched over- It is sought that Kyushu becomes an advanced environmental and recycling center in the
seas (transactions with foreign world through the expansion and deepening of networks as well as the projects including sup-
- Aiming for the formation of manufacturing center in strategic fields - companies, advancement into
The formation of manufacturing center is sought through the creation and development of foreign markets): 20 compa- port for the creation of business in the fields of environmental industries such as waste dispos-
nies (4 per year)
postleading companies in Hokuriku area (Toyama, Ishikawa, and Fukui) by integrating activities al and recycling, pollution control apparatuses, eco-materials, and new energies (photovoltaic
Companies newly estab-
in three fields of health/medical service/welfare (fabrics, medicine manufacture, foods, and lished: 25 companies (5 per generation, biomass generation, and etc.).
year)
etc.), highly precise processing/nanomaterials (new materials, IT/electronics, and etc.), and
composite materials (carbon fiber) with other fields like environment or IT as well as by deep- Kyushu Silicon Cluster Project 1,500 businesses in 5 - Aiming for the innovative area in the field of semiconductors -
ening and expanding activities. years It is sought that Kyushu becomes an exciting and innovative area that attracts international
Companies newly estab- attentions and gathers information, human resources, and businesses in semiconductor indus-
lished: 50 companies in 5
- Aiming for the formation of world-class neogeneration industry cluster by years
tries which run the gamut from the manufacturing of semiconductor related components and
utilizing the power of partnership between manufacturing industry and infor- Global top share compa- devices to inspection apparatuses, semiconductor design, and system design.
nies: 10 companies in 5 years
mation industry - IPOs: 10 companies in 5
years
Based on the huge industrial accumulation in Kinki, toward the construction of sophisticated
industrial infrastructures which leads the world, the creation of neogeneration industries which
have large ripple effects to Kinki's economy is made through the development of cluster activi-
ties focused on the fields of information appliances/robots, advanced functional components
(next generation semiconductors and components related to hydrogen/fuel cell), high-efficiency
energy equipments/apparatuses (equipments related to solar battery and etc.), and etc.

Number of businesses
Project name
launched (common targets)
4,500 businesses in 5
Okinawa Industry Promotion
years
Project
Companies established in
Okinawa: 341 companies in 5
years
Sales: Around 1 trillion in
all the industries related to the
project (in 2010)
4.Number of projects of the "Strategy for New Economic
Growth" and the "Strategy for Creation of New Industries"
corresponding to strategic industries
Fuel cell (3), Intelligent household appliances (8), Robot (3),
Contents of information (4), Appliances and services for
health or welfare (9), Appliances and services for environ-
ment or energy (6)
* The figure in parentheses means the number of projects in the rel-
evant industry. Some projects are counted in two or more indus-
tries.
5.Specific items of support to be provided for the present
Items as described below are designated as specific items of
support to be provided for the present, and concrete policies
and measures are implemented. The items are composed of
supports for forming networks, for sophisticating networks,
for research and development, for developing new markets,
for raising funds, and for starting businesses (business incu-
bation) as wells as human resource development.
Cluster Program
2. Setting individual project plans and the overall plan
Project outline
(1) Necessity of introduction of the policy evaluation and man- Assessment of the overall total plan
- Island concepts in four fields of health, IT, trade, and environment - agement system (PDCA cycle) On the basis of assessments carried out each year for industrial
By taking full advantages of rich nature characteristics and indigenous superb culture in A flexible and efficient system for policy assessment and man- cluster Program, an ex-ante assessment is carried out at the first
Okinawa, the realization of island concepts as follows is sought: "Health Island" (creating busi- agement, based on the cycle of PDCA (Plan-Do-Check-Action), is year of the Plan, an intermediate assessment at the third year for
nesses related to the industries of foods, recreation, and medical service); "IT Island" (accumu-
introduced. The system helps to respond properly to changing the first two years of the plan, and an ex-post assessment at the
lating and upgrading companies related to software and IT); "Processing Trade Island" (pro-
economic and industrial trends during the period of the Industrial fifth year for the preceding four years.
moting companies to utilize Okinawa which lies in the mean position between mainland Japan
and Asia); and "Zero Emission Island" (creating companies which maintain and conserve natur-
Cluster Program, and carry out projects flexibly during the period Introduction of external assessment
al ambience). by, for example, adopting efficient and effective policies and mea- An external assessment commission is established with outside
sures according to the progress and achievements of projects, experts and professionals, and their opinions are referred to when
and making intensive investment in industries that have stronger project policies are evaluated.
global competitiveness or are expected to accomplish better Indicators for assessment
Appliances/ Appliances/ results. Indicators are used as effects of project participation, those of
Intelligent Contents of services for services for
Total (17) Fuel cell household Robot policy satisfaction, those of improved environments for creation of
information health or environment or
appliances welfare energy (2) PDCA cycle management method innovations, achievements of innovation, and economic results
Hokkaido (1) Assessment of individual project plans are used for various aspects of cluster formation such as stock,
Tohoku (1)
Every fiscal year, each project will be assessed before the begin- flow and final achievements, from result-oriented, customer satis-
Kanto (3)
ning of the year on the basis of its annual plan. After the end of faction perspectives.
Chubu (2)
the year, the achievement of its numerical targets, such as the Reflection of assessment results
Hokuriku (1)
number of new businesses established, will be assessed, and the On the basis of assessment results, acceleration, reorganization
Kinki (3)
assessment results will be published. and integration, modification of targets, and so on, of the projects
Chugoku (2) Assessment of the projects as a whole will be reviewed in a quick and flexible manner. Focus on impor-
Shikoku (1)
Every fiscal year, the industrial cluster policies are assessed as a tant project developments will also be guaranteed in terms of
Kyushu (2)
whole on the basis of the results of the before-and-after assess- financial sources.
Okinawa (1)
ment of individual projects and results of monitoring research on
the effect and satisfaction level with the projects. The assessment
A parenthesized circle indicates an industry whose project also falls within another industry.
results will be published.
Establishment of individual plans and overall plan

Nationwide Industrial Cluster PDCA

Program, Establishment of Plan
individual plans Do Policy
evaluation
1. Visions 2. Scenarios, targets
3. Mid-and-long term strategies Check
4. Yearly plans
Action

Establishment of overall plan

Setting the overall target, upgrading policy Prior, mid-term, and ex-post
tools evaluation

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