ANNOUNCEMENT 30 Apr 2015In April 2015, the government of Japan announced new support for the overseas expansion of domestic firms.
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On 30 April 2015, the Japan Bank for International Cooperation (JBIC) announced its support for expansion of two Japanese SMEs in Mexico. The credit will be extended via the private Hiroshima Bank. However, the original funds are provided from JBIC through a dedicated credit line to Hiroshima Bank.
Based on the agreement, the HAL ALUMINUM MEXICO, S.A. DE C.V., a subsidiary of HIROSHIMA ALUMINUM INDUSTRY CO., LTD. will receive a loan of USD 21 million. Furthermore, ASAHI ALUMINIUM MEXICO, S.A. DE C.V., a subsidiary of Asahi Aluminium Co., Ltd. will receive a loan worth USD 8 million. The purpose of the loans is to support the expansion in the Mexican market for automobile parts.
The Japan Bank for International Cooperation (JBIC) is a fullygovernmental owned financial institution, supporting trade and overseasbusiness activities of the Japanese firms. The described loan is part of its new facility to support overseas business development and expansion, established in 2013 (see related measure).
The GTA includes state guarantees and other financial incentives thatare likely to affect the restructuring and performance of firms facinginternational competition, whether from imports, in export markets, andfrom foreign subsidiaries.