Q: What are the original goals and ideas behind the Asia and Pacific Trade Center, which was founded by the Osaka municipal government and more than 60 major Japanese corporations?

　A: The ATC was established two and a half years ago with the primary objective of promoting imports from overseas. It is one of the few trade centers in the world aimed at developing imports rather than exports.

　Balancing Trade as Its Goal

As you know, under the current situation Japan is accumulating foreign currency every year. This year (1991) we will accumulate nearly US$10billion from Taiwan and US$6 billion from Korea. Everybody knows that this sort of continuous surplus cannot continue. We face a problem with the U.S. already, with Japan bashing a daily topic, and we are afraid that Asian countries might follow along.

　Asian businessmen presume Japan is a very difficult market to get into. Some of them say the market is too sophisticated and complicated, and so they are hesitant to come to Japan. That is where we hope to help them.

　Of course, it's not just sales. There are also problems with caring customs, transportation, the language barrier, cultural differences and so forth. So just building a big complex isn't enough. We also have to offer support services like legal counseling and marketing information.

　Q: Since the center is aimed at balancing trade, why is the Osaka government handling it and not the Japanese government?

　A: Actually, this is kind of a national project, and MITI, the counterpart of your Ministry of Economic Affairs, is backing it up.

We are establishing this big complex in Osaka Bay because of the new Kansai airport there, to be completed about the same time. The airport will be the first around-the-clock airport in Japan. We can expect many foreign businessmen to come in and many Japanese businessmen to go out through this airport, so the Osaka Bay area will become a hub of international traffic.

　Businessmen Who Talk Business

　Q: Forming regional economic cooperatives has become a worldwide trend. Does this mean Osaka wants to play a more important role in the Asian economy?

　A: Of course. Osaka has been communicating with Asian countries for the last 15 centuries, because of its geographical advantages--it is very close to China, Korea, Taiwan, Hong Kong--ever since the sixth century. And people in Osaka, especially the businessmen, are more positive about accepting foreign products. They are more open to foreign products and more business minded than Tokyo people.

　In Osaka, the prime criteria at the time of making a business decision are price and quality. But in Tokyo, the people think about more political factors. The non-price factors have to be considered a lot in decision-making. So it's easier for a foreign product to get into the Japanese market through Osaka. Also, many Asian business people feel it's more friendly and comfortable than Tokyo, and that's very important too, isn't it?

　Q: Taiwan was the first entrant in the ATC. How many other countries have joined so far?

　A: We have been negotiating with many countries. In addition to foreign trade promotion organization like the Taiwan Trade Center, we are also asking private companies to join. Already more than 10 Korean companies have signed up, about five companies from Taiwan, including HCG and Far Eastern Textile, eight companies from Hong Kong, another eight from Thailand, three from Singapore, two from the U.K., one from France and three from the U.S.

　Q: The Taiwan Trade Center is moving along very quickly then. Why are the others hesitating?

　A: Taiwan took very quick action, which is why we appreciate it very much. As for the other countries, it's the same old story. They have a wrong notion about the Japanese market, that it's hard to get into. So I say to all of these people that seeing is believing. Why don't you come and see with your own eyes. Then you'll find out the Japanese market is not so picky, that it's about the same as your market.

　Do You Have the Power to Change Japanese Consumers?

　Q: The Japanese market has always been noted for its conservation distribution system and being hard for outsiders to break into. Will your large-scale trade center be able to change that?

　A: That isn't very likely, because the Japanese market is so huge, and our company is so small. But this is one track to initiate something.

　Q: Do you think that foreign products, especially Asian ones, can sell well here?

　A: I do. You know, I used to work for C. Itoh & Co. and in the '60s and early '70s my job was to sell Japanese made products in the United States. After that, we switched the source of supply to Taiwan, Korea and Hong Kong. I myself have sold a lot of Taiwan products in the U.S. At that time, I found that American consumers became less and less prejudiced against Asian made products. Now most people don't care about the country of origin any more. They just look at the quality and price.

　In Japan they still look at the country of origin first, and even if the quality is good they prefer buying Japanese products. But in the near future, the Japanese consumer will become more educated, so that they'll look at the quality and price and won't pay so much attention to the country of origin. So Asian products will get a good chance to expand their sales in Japan.

　Taiwan and other Asian countries really should come to Japan to change the situation. There are a lot of good products that are made in Taiwan, but the Japanese consumer doesn't know about them. So come to Japan, let them know, and change their buying habits. It may take some time and patience, but there's a large chance for success.

[Picture Caption]

To keep up close interaction with the Taiwan Trade Center, ATC Executive Vice President Kitamura rushed over to take a look as soon as he heard that some of the firms in the center seemed to have low morale.

Construction of the ATC, which will have 500 offices along with a large exhibition floor and conference room, is actively under way. Shown here is an artist's conception of the interior. (photo by courtesy of ATC)

The Japanese information industry leads the world, but Acer, using its own brand, has taken up the Japanese challenge. The picture shows Acer Marketing Director Y.K. Tsai.

Construction of the ATC, which will have 500 offices along with a large exhibition floor and conference room, is actively under way. Shown here is an artist's conception of the interior. （photo by courtesy of ATC）

Anchas Garments, which has the largest Taiwanese factory in the mainland city of Wuhan, has joined the group at the Osaka center. Shown is CEO Kao Sheng-hsiong.

Can the Taiwan trade center make a place for itself amid the busy streets of Osaka?