In “Current Status and Issues for Optimization of Parts Transactions in the Japanese Automotive Industry,” we will summarize the actual status of transactions, including price negotiations, from the viewpoints of both the ordering and receiving sides, focusing on Tier 1 and Tier 2 companies, regarding the progress and issues toward the optimization of transaction practices in the Japanese automotive industry.

In order to clarify the current issues and deepen understanding of the policy side’s recognition and efforts based on interviews with key persons, hearings with relevant ministries and agencies will also be conducted.
We will make recommendations, with case examples, on negotiation methods to realize fair prices and fair trade for small and medium-sized enterprises.
In addition, we will organize the latest legal amendments to promote proper trade practices, including the first major revision of the Subcontract Act in 20 years and the revision of standards in the Act for the Promotion of Small and Medium-Sized Enterprises among Subcontractors.

The contents of this report provide a clear picture of the actual state of parts transactions between automobile manufacturers and suppliers, and are intended as reference material for achieving appropriate price negotiations and trading conditions based on the agreement of both receiving and placing companies,
It will also contribute to the business development of all concerned as a guideline for building good relationships with suppliers.