Key dynamics for Indiana and the Japan-America Alliance
“Imagine what we can create together.” Global business opportunities. National security issues arising from East Asia, Europe and the Middle East. AI-powered manufacturing innovation. Complex challenges in achieving zero emissions for a healthy planet. CEOs, top executives and experts spanned the full spectrum with valuable insight during the Japan Currents Indiana conference March 19.
After Subaru forged a then-unique opportunity 40 years ago for the Hoosier state, Indiana quickly propelled upwards to seize a top position for Midwest-based Foreign Direct Investment from Japan. The outcome? As noted at the conference by Tony Denhart, IEDC executive vice president of workforce and talent, there exists today more than 300 Japanese-related companies doing business in Indiana, including a broad array of OEMs.
Major executives outlined present challenge and opportunity alike. With an aggressive People’s Republic of China stirring up international uneasiness in the region, speakers acknowledged the geopolitical unrest spawned by Russia, the Gaza situation, and China’s overreach in east Asia.
A strong alliance for defense
Japan and America stand together on bedrock. “I am honored to stand before you to underscore the enduring strength of the alliance, mutual trust, and deep friendship between the U.S. and Japan,” said the Honorable Jun Yanagi, Consul-General of Japan in Chicago. “Japan has updated [its] National Security Architecture, fundamentally reinforcing defense capabilities and doubling defense budget to 2% of GDP by 2027.”
The Consul General emphasized that in a world facing conflict, the U.S.-Japan relationship reflects Kizuna, which Consul Yanagi defined as “the strong bond of trust and friendship…nourished by a vibrant network of business partnerships and people-to-people interaction.”
Continued peace and security in the Asian theater can rely on the keystone U.S.-Japan Alliance, noted Col. Van Thai, Commander of the 434th Air Refueling Wing at Grissom in Indiana and formerly the U.S. Director of Operations and Exercise at Yokota Air Base, Japan.
Describing tensions enveloping nuclear-capable weaponry threatened by various nations, Col. Thai expressed confidence in the proven Japan-America alliance, positively augmented by the recent successful trilateral summit of Japan, South Korea and America, which heightens deterrence. Cooperation between defense capabilities of America, NATO, the Philippines, Australia and Japan helps counter potential “weaponization of the South China Sea,” he explained. Joint planning and capabilities provide strategic “staying power” for defense aircraft, allowing the building of “air bridges” from Indiana to Japan and the Mideast.
A new generation to produce zero emissions
Building a new world focused on achieving zero emissions will take time and new heights of innovation, essentially transforming the 2020s into an era of exploratory innovation that will produce cost-effective solutions, explained Tony Satterthwaite, Senior Vice President of Cummins.
As was discussed during the conference, coal-powered electric charging of EVs makes no sense for a zero-emission goal, so innovative ideas, new tech and new processes will have to be sorted through. Added to this matrix is the fact that the cost of change is presently prohibitive.
Goals like a zero emissions electric grid will take time to develop, deploy, and build, with multiple solutions likely, including developing new hydrogen technology as potential replacements for older power tech. Market forces will help determine the best and most-cost-effective solutions to reach true zero emissions by 204o. Many hurdles in the next few years will help parse out solutions that may not be currently apparent, including hybrid applications of existing and future innovations.
Japan- U.S. investment dynamics – “imagine what we can create together”
Technological advancements such as broad application of the industrial internet of things (IIoT) will change the international manufacturing landscape in the coming years, according to Scott Brand, incoming President and COO of Subaru of Indiana Automotive. New integration processes will contribute to high quality and less rework, helping pinpoint productive areas of continuous improvement.
Several dynamics forces will impact local, national, and international manufacturing and trade. Change factors include: increases in wages, difficulties in recruiting professional workforce, quality and retention of employees, rising procurement costs and more.
A “new era for the U.S.-Japan relationship” is emerging, according to Hiroyuki Nemoto, Chief Executive Director of JETRO Chicago, who emphasized “imagine what we can create together.”
Collaboration driving new sustainable energy, tech, positive work environment
Multi-national efforts involving Japan, the United States and European countries forge new products and services that produce sustainable and environmentally friendly outcomes. Many Japanese companies espouse aspirational cultures that call for respect for human beings, family-like work environments, a focus on quality of life instead of being “a slave to money,” and building strong bridges between producers to consumers.
Joint U.S. and Japanese progress is advancing toward realistic renewable energy, including sustainable aviation fuel and solid-state battery technology that will increase utility capacity and range for electric vehicles. Unique processes help to reclaim raw metals and materials from e-scrap, transforming old computers, cell phones, and other outmoded technology from e-waste to new critical sources of recycled and reusable raw materials.
MEK was privileged to support and be a sponsor of the March 12 Japan Currents Indiana symposium, organized and presented by the Japan-America Society of Indiana.
