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Economy and Industry


Outstanding location with an enormous business market



The City of Kobe is one of the core cities in the Kansai economic bloc and maintains Japan’s second largest economy. The Kansai area’s economy exceeds the GNP of Canada at approximately 93 trillion yen. With a gross city product of approximately 6.4682 trillion yen (as of 2006), Kobe has roughly 73,000 business establishments located within the city, clear evidence of Kobe’s economic magnitude.
Night View of Kobe Port

Kobe has a population of approximately 1.53 million residents and is surrounded by an enormous concentration of markets including the Kansai area (Osaka, Kyoto, etc.) with a population of 24 million. In addition, Kobe is also connected with the island of Shikoku and its population of 4 million via the towering Akashi Kaikyo Bridge, the world’s longest suspension bridge.
The high concentration of foreign-affiliated companies is one of the major characteristics of Kobe’s economy. Many of the 73,000 business establishments within the city are active in the wholesale, service, and manufacturing industries. Of this number, roughly 200 enterprises are foreign-affiliated. Nestle, the food manufacturer, Procter and Gamble, manufacturer of daily necessities and chemical products, and other global enterprises have headquarters here in Kobe and contribute greatly to the local economy.
Although the Great Hanshin-Awaji Earthquake in January 1995 devastated a substantial portion of the industries in Kobe, restoration was remarkable and highly evaluated both from abroad and at home. Ten years after the devastating earthquake, the municipal government and private sectors of Kobe are now working on shifting from a heavy industry-base to an intensive intelligence-based structure, in seeking the further development of Kobe’s economy.


Population

Approx. 1,536,125 (male: 727,727/ female: 808,398)

June 1st, 2009
Business establishments 72,788 (# of employees: 718,492) October 1st, 2006
Area 552.80 km2 June 1st, 2009
GDP ¥6,468,200 million (real) 2006

Traditional Local Industries and Advanced Industries

Along with Kobe’s traditional local industries, new industries utilizing IT, science and technology have a high potential in Kobe. The existence of a wide range of industries from global enterprises to small- and medium-sized manufacturers is one of Kobe’s strengths.
Industries in Kobe have developed around the port as the core, supported the city, and made a great contribution in the formation of Kobe’s unique culture and history. The range of companies is diverse including heavy industry such as shipbuilding, industrial machines, iron, and steel, with local industries including clothes, chemical shoes, pearls, Western furniture, coffee, Western cake and refined sake. All of these industries play an important role in vitality of the city.
Furthermore, to keep up with the times, industries related to public health, welfare and medical care have grown rapidly in recent years along with the Kobe Medical Industry Development Project being promoted by the city. Thus, a new industrial structure is being created by maintaining a balance between nurturing developing industries and adding more value to the existing ones. Kobe also aims at revitalizing industry even further by supporting venture businesses and by devoting its efforts towards a partnership with universities and research institutions.

Business partners in Hyogo Prefecture
Research facilities in Hyogo Prefecture




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