DUBLIN--(BUSINESS WIRE)--Research and Markets (http://www.researchandmarkets.com/research/3b289b/japan_infrastructu) has announced the addition of the "Japan Infrastructure Report Q3 2011" report to their offering.
Business Monitor International's Japan Infrastructure Report provides industry professionals and strategists with independent forecasts and competitive intelligence on Japan's infrastructure industry.
Reconstruction efforts in the aftermath of the March 2011 earthquake and tsunami will propel Japan's infrastructure and construction industry activity, following nearly two decades of stagnation and recession. Forecasts have been revised up for infrastructure and non-residential and residential construction industry value in Japan. However, the report questions how the Japanese government will fund the reconstruction, and what are the implications for long-term public spending on infrastructure?
The implications of the March 2011 earthquake and tsunami, and subsequent Fukushima nuclear accident, are wide ranging and will impact the entire infrastructure industry in a plethora of ways:
- The government revised the national energy strategy in May 2011 to downscale the role nuclear power will play in the energy mix. Instead, it will increase the focus on natural gas in the medium term and renewables in the long term. This will lead to major revisions in the capex plans of major utilities like Tokyo Electric Power Co (TEPCO) and Chubu, which have investment plans and expertise that are geared towards nuclear power.
- The Fukushima accident is prompting many Japanese companies to return to the domestic infrastructure market. In recent years many of these companies have sought to export construction and engineering expertise abroad, in search of higher growth rates, particularly in emerging markets. Several companies have been withdrawing from international tenders to focus their resources on reconstruction in Japan.
- Japan's nuclear expertise was a crucial export sector, with the Japanese utilities and nuclear technology providers actively seeking new contracts across the globe. It now remains to be seen what the impact of the Fukushima accident will have on the wider perceptions of Japanese nuclear technology. Domestically, with the public's mistrust of nuclear power, the research anticipates that the Japanese nuclear sector will experience sluggish activity in the coming years, certainly at home (with the new energy strategy) and most likely overseas.
- BMI has revised up the growth forecasts for 2011, 2012 and 2013 for infrastructure and residential and non-residential construction. Overall the estimated cost of reconstruction is close to US$300bn, the largest ever reconstruction cost in the aftermath of a natural disaster.
Companies Mentioned:
- Kajima Corporation
- J-Power
- Tokyo Electric Power Company Co (TEPCO)
- Taisei Corporation
For more information visit http://www.researchandmarkets.com/research/3b289b/japan_infrastructu