State's Japanese employees increasing

Despite a decline in Michigan-based Japanese facilities, the number of Japanese residents employed in Michigan has climbed by more than 2,000 — and that's good news for the 2,666 who live in Novi, the state's largest Japanese population.

According to Ara Topouzian, the city's economic development director, Novi is home to approximately 65 Japanese businesses.

Toyota Boshoku America has been in Novi since 2002. When the company located here, it had about 10 employees. Now there are two buildings with 210 employees, and approximately 30 of those are Japanese assignees.

“We chose Novi due to its proximity to GM, Toyota and the international airport,” said Ted Schafer, vice president, Technical Center. “In addition, the Japanese-friendly schools and community were also big factors in the decision.”

American Mitsuba Corp. located to Novi in December 2009, and the number of employees has increased to 32 currently. David Martin Stevens, senior vice president, said his firm chose this city for its proximity to its customers and the fact it was a good building with a reasonable lease cost.

“We at American Mitsuba have had a great relationship with Novi, the Consulate General of Japan in Detroit, JBSD and JAPIA,” Stevens said.

Survey says

After Novi, Ann Arbor has 1,541 Japanese residents, followed by West Bloomfield, 1,047; Farmington Hills, 589; and Battle Creek, 358.

As of Oct. 1, 2012, the Japanese Direct Investment Survey data shows that there are now 481 Michigan-based Japanese facilities which provide 35,554 local jobs. The survey by the Consulate General of Japan in Detroit indicates 2,208 more residents were employed in the state than in 2011.

Consul General Kuninori Matsuda, Japan's chief diplomat in Detroit, greeted the results with enthusiasm.

“Japanese automakers and their suppliers continue to boost investments in their R&D;, sales, as well as manufacturing operations in the great state of Michigan, resulting in an impressive 7-percent gain in year-over-year hiring,” Matsuda said. “These companies have rebounded admirably from the challenges of the Great East Japan Earthquake of 2011, and as Michigan's economy and business climate continue to strengthen, so too does their commitment to producing, employing and investing locally.”

Investment is heavily concentrated in Michigan's automotive sector, with manufacturing jobs accounting for 43 percent of total employment. In 2012, there was a net gain of 728 manufacturing positions in Michigan, representing a 5-percent increase over the previous year.

Japanese investment is concentrated in the southeast and southwest regions of the state. There are 391 facilities in southeast Michigan which provide 20,816 jobs. The 90 facilities in other regions provide 14,738 jobs. Southeast Michigan facilities are primarily R&D;, engineering and sales offices, while there is a high concentration of manufacturing facilities in the southwest region of the state.

While auto-related operations are the driving force behind Japan's investment, Matsuda said he's very encouraged to see Japanese companies diversifying into Michigan's chemical, advanced composite materials and energy-related sectors.

“The state's promising medical device sector is also an area in which I encourage greater Japanese investment,” he said.

cstone@hometownlife.com (248) 437-2011, Ext. 237 Twitter: @TheNoviNews