RESTRICTED
WORLD TRADE G/SCM/Q2/JPN/14
14October 1997
ORGANIZATION(97-4435)
Original: English Committee onSubsidies
andCountervailing Measures
SUBSIDIES
Request from theEUROPEAN COMMUNITY
toJAPAN Pursuant toArticle 25.10 oftheAgreement
Thefollowing communication, dated 30September 1997, hasbeenreceived fromthePermanent
Delegation oftheEuropean Community.
_______________
TheCommunityhasobtainedinformationconcerninganumberofactionsandpractices,described
intheannex herewith, which theECconsiders might besubject tonotification totheCommittee under
Article 25.2oftheAgreement.
TheECrequests thatthose subsidy programmes aswellasallotherprogrammes atsub-national
levelwhich maymeet thenotification requirements, benotified totheCommittee onSubsidies and
Countervailing Measures. Should anotification notbemade promptly, theECreserves itsrightto
raisethealleged subsidies fordiscussion atthenextregular meeting oftheCommittee.G/SCM/Q2/JPN/14
Page2
SUBSIDY 1-FUND FOR TEXTILES INFUKUI
1. Title
Fukui: Special Funds oftheFukui Prefecture fortheEquipment Reinforcement byTextile
Industries
2. Period covered
Theperiod covered is1994.
3. Policy objective andpurpose ofthesubsidy
Theobjective istoprovide loans atpreferential interest ratestoSMEs located intheFukui
prefecture which invest innewequipment fortheproduction oftextiles.
4. Background andauthority
Theprogramme isadministered bytheFukui Prefecture.
5. Form
Loans atpreferential interest rates.
6. Towhom andhowthesubsidy isprovided
Theprogramme isavailable toSMEs inthetextile sector with49employees orless(or99
orlessincaseofthedyeing industry). Itislimited tocertain enterprises within theterritory ofthe
granting authority andistherefore specific.
7. Subsidy perunitortotalbudget
Theamount oftheloans cover 100% oftheeligible expenses. TheloanlimitisJPY30million.
Theloaninterest ismaximum 3.3% perannum.
8. Duration ofthesubsidy
Thescheme isongoing.
9. Trade effects
n.a.G/SCM/Q2/JPN/14
Page3
SUBSIDY 2-FUND FOR GLASS INDUSTRY INFUKUI
1. Title
Fukui: Extra Funds oftheFukui Prefecture forImproving theGlass Industries
2. Period covered
Theperiod covered is1994.
3. Policy objective andpurpose ofthesubsidy
Theobjective istoprovide loans atpreferential interest ratestoenterprises located intheFukui
prefecture which conduct R&D fornewtypes ofproducts.
4. Background andauthority
Theprogramme isadministered bytheFukui Prefecture.
5. Form
Loans atpreferential interest rates.
6. Towhom andhowthesubsidy isprovided
Theprogramme isavailable toallenterprises intheglass industry. Itislimited tocertain
enterprises within theterritory ofthegranting authority andistherefore specific.
7. Subsidy perunitortotalbudget
Theamount oftheloans cover 100% oftheeligible expenses. TheloanlimitisJPY20million.
Theloaninterest ismaximum 3.2% perannum.
8. Duration ofthesubsidy
Thescheme isongoing.
9. Trade effects
n.a.G/SCM/Q2/JPN/14
Page4
SUBSIDY 3-REGIONAL DEVELOPMENT INEHIME
1. Title
Ehime: Special loans forSmall Scale Enterprises inRegional Development Measures Areas
2. Period covered
Theperiod covered is1994.
3. Policy objective andpurpose ofthesubsidy
Theobjective istoattract enterprises tospecial areas intheprefecture ofEhime.
4. Background andauthority
Theprogramme isadministered bytheEhime Prefecture.
5. Form
Loans atpreferential interest rates.
6. Towhom andhowthesubsidy isprovided
Theprogrammeisavailabletoallsmall-scaleenterpriseswith20employeesorlesswhichrelocate
tothespecial areas within theprefecture. Theprogramme islimited tocertain enterprises within the
territory ofthegranting authority andtherefore specific.
7. Subsidy perunitortotalbudget
Theamount oftheloans arelimited toJPY4.5million.
8. Duration ofthesubsidy
Thescheme isongoing.
9. Trade effects
n.a.G/SCM/Q2/JPN/14
Page5
SUBSIDY 4-SUBSIDY FOR WOOD INDUSTRY INHOKKAIDO
1. Title
Hokkaido: Wood industries upgrading funds.
2. Period covered
Theperiod covered is1995.
3. Policy objective andpurpose ofthesubsidy
Theobjective ofthisprogramme istoprovide loans atpreferential interest ratestothewood
andforestry industry.
4. Background andauthority
Theprogramme isadministered bytheHokkaido Prefecture.
5. Form
Loans atpreferential interest rates.
6. Towhom andhowthesubsidy isprovided
Theprogramme isavailable toallSMEs which areactive inthewood andforestry industry.
Theprogrammeislimitedtocertainenterpriseswithintheterritoryofthegrantingauthorityandtherefore
specific.
7. Subsidy perunitortotalbudget
Theamount oftheloans arelimited toJPY200million.
8. Duration ofthesubsidy
Thescheme isongoing.
9. Trade effects
n.a.G/SCM/Q2/JPN/14
Page6
SUBSIDY 5-REGIONAL DEVELOPMENT INSAGA
1. Title
Saga: SagaPrefectural Funds fortheestablishment ofEnterprises inAreas Adjacent toElectric
Power Generating Facilities
2. Period covered
Theperiod covered is1995.
3. Policy objective andpurpose ofthesubsidy
Theobjective istoprovide loans without interest toenterprises which establish within limited
regionsintheSagaprefecturewhereresidentscancommutetoareasadjacenttoelectricpowergeneration
facilities.
4. Background andauthority
Theprogramme isadministered bytheSagaPrefecture.
5. Form
Loans without interest.
6. Towhom andhowthesubsidy isprovided
Theprogramme isavailable toallenterprises established inalimited number ofareas within
theprefecture. Theprogramme islimited tocertain enterprises within theterritory ofthegranting
authority andtherefore specific.
7. Subsidy perunitortotalbudget
Theamount oftheloans arelimited toJPY100million. Theloans cover 70%ofeligible
expenses.
8. Duration ofthesubsidy
Thescheme isongoing.
9. Trade effects
n.a.G/SCM/Q2/JPN/14
Page7
SUBSIDY 6-TAKEUCHI INDUSTRIAL PARK INTOTTORI
1. Title
Tottori: Tottori Prefectural Subsidy forPromoting Enterprise Establishment atTakeuchi
Industrial ParkinSakai-Minato
2. Period covered
Theperiod covered is1995.
3. Policy objective andpurpose ofthesubsidy
Theobjective istoprovide grants toenterprises which acquire landinandrelocate toTakeuchi
Industrial Park.
4. Background andauthority
Theprogramme isadministered bytheTottori Prefecture.
5. Form
Grant.
6. Towhom andhowthesubsidy isprovided
Theprogramme isavailable toallenterprises which relocate totheindustrial parkinthe
prefecture. Theprogramme islimited tocertain enterprises within theterritory ofthegranting authority
andtherefore specific.
7. Subsidy perunitortotalbudget
Theamount ofthegrants arelimited toJPY1,000 million.
8. Duration ofthesubsidy
Thescheme isongoing.
9. Trade effects
n.a.G/SCM/Q2/JPN/14
Page8
SUBSIDY 7-INDUSTRIAL PARK INNIIGATA
1. Title
Niigata: Prefecture Subsidy forthePromotion ofEnterprises Location inToko Industrial Zone
2. Period covered
Theperiod covered is1995.
3. Policy objective andpurpose ofthesubsidy
Theobjective istoattract enterprises totheToko industrial zoneintheprefecture ofNiigata.
4. Background andauthority
Theprogramme isadministered bytheNiigata Prefecture.
5. Form
Grants.
6. Towhom andhowthesubsidy isprovided
Theprogramme isavailable toallenterprises which acquire landinandrelocate totheindustrial
zone. Theprogramme islimited tocertain enterprises within theterritory ofthegranting authority
andtherefore specific.
7. Subsidy perunitortotalbudget
Theamount ofthegrants arelimited toJPY200million.
8. Duration ofthesubsidy
Thescheme isongoing.
9. Trade effects
n.a.G/SCM/Q2/JPN/14
Page9
SUBSIDY 8-SUBSIDY FOR SPECIFIED AREAS INFUKUOKA
1. Title
Fukuoka: Prefectural Grants forSpecified Areas
2. Period covered
Theperiod covered is1995.
3. Policy objective andpurpose ofthesubsidy
Theobjective istoattract enterprises tospecial areas intheprefecture ofFukuoka.
4. Background andauthority
Theprogramme isadministered bytheFukuoka Prefecture.
5. Form
Loans atpreferential interest rates.
6. Towhom andhowthesubsidy isprovided
Theprogramme isavailable toallenterprises which establish newplants inspecified areas
within theprefecture. Theprogramme islimited tocertain enterprises within theterritory ofthegranting
authority andtherefore specific.
7. Subsidy perunitortotalbudget
Theamount oftheloans arelimited toJPY300million.
8. Duration ofthesubsidy
Thescheme isongoing.
9. Trade effects
n.a.G/SCM/Q2/JPN/14
Page10
SUBSIDY 9-SUBSIDY FOR INDUSTRIAL SITES INISHIKAWA
1. Title
Ishikawa: Subsidies forEncouraging Investment inCore Noto Industrial Sites.
2. Period covered
Theperiod covered is1995.
3. Policy objective andpurpose ofthesubsidy
Theobjective istoattract enterprises tospecial areas intheprefecture ofIshikawa.
4. Background andauthority
Theprogramme isadministered bytheIshikawa Prefecture.
5. Form
Grants.
6. Towhom andhowthesubsidy isprovided
Theprogramme isavailable toallenterprises acquiring landinCore Noto industrial sites.
Theprogrammeislimitedtocertainenterpriseswithintheterritoryofthegrantingauthorityandtherefore
specific.
7. Subsidy perunitortotalbudget
Theamount ofthegrants arelimited toJPY200million.
8. Duration ofthesubsidy
Thescheme isongoing.
9. Trade effects
n.a.