Japan Vows Tax Cuts for Foreign Firms to Spur Quake Rebound

Japan unveiled an initiative to lure foreign investment to its devastated northeast as economists, investors and corporate leaders urged stronger steps to support business and restore economic growth.

National Strategy Minister Motohisa Furukawa said at a Bloomberg conference in Tokyo today that foreign companies setting up new operations in areas hit by the March 11 earthquake and nuclear disaster won’t have to pay tax for five years. At the same gathering, Lawson Inc. Chief Executive Officer Takeshi Niinami said Japan needs to push for free trade to spur anti-protectionist sentiment in the region while doing more to back domestic firms.