Japan’s SMEs Uphold Tradition Amid Global Challenges
Japan’s bustling manufacturing sector
continues today to be characterized by ablend of ancient craftsmanship and moderninnovation. This unique fusion, known as
monozukuri , encapsulates the essence of
the Japanese manufacturing philosophy —a commitment to excellence, precision, andcontinuous improvement.
Amidst the challenges of globalization, technological shifts, and economic fluctuations,Japanese small and medium-sized enterprises(SMEs) stand as the guardians of this reveredtradition. Amongst these small yet pivotal
Japanese manufacturing firms, companies areresiliently navigating contemporary hurdles
while championing the monozukuri spirit.
Osamu Yamaji, President of Toray Opelontex – a specialist in industrial products centered on technologies in organic synthetic
chemistry, polymer chemistry, and biochemistry – highlights the strategic pivot Japanesefirms have made towards niche markets,particularly in highly functional materials.
“The ability to actively develop new opportunities by closely analyzing the market has been generating good results,” Mr.
Yamaji notes, emphasizing the resilience andadaptability of Japanese firms in the face ofinternational competition and the aftermathof the COVID-19 pandemic.
Masaaki Nishikawa, President of cosmetics firm Saishunkan Pharmaceutical, points
to the stringent quality demands of the domestic market as a crucible for excellence.
“This has empowered Japanese companies tostrengthen their skill set and deliver high levelsof quality,” Mr. Nishikawa asserts, suggestingthat the domestic market rigors have equipped
Japanese firms to excel on the global stage.
In the realm of luxury goods, Shun Tsuji,
President of KISHUN, sees the current eco-nomic climate as an unprecedented opportunity. With the yen’s weakness attracting foreign
tourists, Mr. Tsuji believes that “introducing
those tourists to Japanese cultural heritageand craftsmanship” could not only boost sales
but also elevate the global appreciation forJapanese jewelry. He also highlights the concept of “Urban Mining,” leveraging Japan’saccumulated wealth of gemstones and metals
as a sustainable resource that underscores thenation’s innovative approach to craftsmanship.
Norimasa Kitazawa, President of Pigeon
Corporation – a leading global baby carecompany – addresses the challenge of the“Galápagos effect,” where uniquely Japanese
products fail to resonate overseas. By focusing
on market-specific demands and incorporating
emotional storytelling into its products, Pigeon
has managed to capture hearts across diverse
markets. “Our company has successfully built a
reputation for promoting products that meetcustomer expectations on a global scale,” Mr.
Kitazawa proudly states, showcasing how
empathy and understanding are as much apart of monozukuri as technical excellence.
Hidekazu Sakamoto, Chairman of healthsupplements business Umeken, reflects on
Japan’s aging demographic, turning what could
be seen as a challenge into a strength. With
the global fascination with Japan’s longevity,
it has spiked interest in Japanese health andwellness. “Food and supplements are contributing to this, and with this attention, I thinkthat more people are paying attention to ourhealthy products,” Mr. Sakamoto observes, indicating how demographic trends can actually
open new avenues for growth and influence.
In this landscape of innovation and tradition,Akira Sedei, President of Co-medical, captures
the essence of how Japanese firms differentiate themselves in the global market. He states:“The advantage that Japanese companies
have is that they are always thinking about
what the customers want and then they tailor their products to meet those needs.” This
customer-centric approach, as Mr. Sedei notes,
is central to creating “true fans of our brands,”
distinguishing Japanese firms from their global
counterparts who might chase transient trends.
Yoshio Kawami, CEO of Holbein Art Materials, lends further insight into the evolution ofJapanese manufacturing in the face of global
market dynamics. He reflects: “It is true thatin the past, products labeled as ‘made inJapan’ sold exceptionally well solely becauseof their origin. However, in recent times, being made in Japan alone is not sufficient toguarantee strong sales.” This acknowledgment by Mr. Kawami underscores a pivotal
shift; to maintain relevance and appeal on theinternational stage, Japanese products must
transcend their geographic origins throughunparalleled quality or unique added value.
These leaders’ insights highlight a criticalmessage: the essence of monozukuri, withits deep roots in craftsmanship, quality, andinnovation, remains a powerful engine forJapanese manufacturing. Amidst the seismic
shifts of the 21st century, Japan’s SMEs are
not just surviving; they’re thriving, innovating, and expanding the global reach of theirstoried manufacturing culture.
In a world where the pace of change accelerates by the day, Japan’s commitment
to monozukuri — a blend of tradition andforward-thinking — offers a blueprint forsustainable, quality-driven growth. As thesecompanies continue to navigate the complexities of global markets, their dedication
to the art and science of making things wellensures that the flame of Japanese craftsmanship burns brighter than ever.

Umeken: From Centuries of Traditional Kampo Medicine to Skincare Innovation“Our products push thelimits by contributing tohealth both inside andoutside the body.”
Hidekazu Sakamoto,Chairman, Umeken Co., Ltd.
Founded in 1978, Umeken began as
a company researching Japanese
Kampo medicine from the oldest
health food used in Japan, pickledplums. The traditional techniques
for making Japanese Kampo into aball shape have been handed downfrom generation to generation for
more than 200 years.

The company’s chairman,
Hidekazu Sakamoto, explains:“This technology allows us tocombine as many as 45 different oriental herbs into a single
ball, allowing us to offer products
tailored to our customers’ needs.”
Since its inception, the company has grown internationally andmaintained a presence in overseas
markets for over 30 years in regions such as the United States,
South Korea, and Southeast Asia.
In 2020, Umeken launched
the cosmetics brand Optimo,
which delivers skincare products
using ingredients grown on its
own farm. Mr. Sakamoto adds:“Supplements contribute to healthfrom the inside of the body, butcosmetics contribute to healthfrom the outside,” which is thereason behind Umeken’s expansion
into the skincare industry.
The company has already been
exporting its products to Southeast and Northeast Asia, Oceania,and North America, and Umeken aims to expand its businessfurther and achieve an overseas
sales ratio of 50%.

As Japan’s population ages, thecompany hopes to pass on its unique
Japanese materials and formulation
technology to young people in thecountry and worldwide.

https://umeken.co.jp/enRadiant Reinvention: Saishunkan Pharmaceutical’s Pursuitof Cosmetics Excellence
Saishunkan Pharmaceutical leads with high-quality,
medically-driven products
like Domohorn Wrinkle, emphasizing innovation and excellence for global expansion.

“We’re not just creating
cosmetics; we’recrafting a legacy ofradiance, where quality
meets innovation.”
Masaaki Nishikawa,
President, Saishunkan
Pharmaceutical Co., Ltd.

Headquarters and factory inKumamoto prefecture
Saishunkan Pharmaceutical has
built its strategic success on quality, innovation, and global expansion.
“Japanese ﬁrms were slow toenter foreign markets,” company
president Masaaki Nishikawa explains. “However, we’ve embraced
our unique value proposition andexpanded overseas while maintaining our commitment to quality.”
Despite Japan’s demographic
shift, Saishunkan has continued

Lashiku brand‘Freeze-dried Rice Porridge’ set

Domohorn Wrinkle products, which mark their 50th anniversary
to focus on supporting customers
through the various life stages.
“We are a company that provides
products and services for the skin,
body and mind, both domesticallyand overseas,” Mr. Nishikawa says.
“By collaborating with companies

familiar with local markets, we canmove more quickly and effectively.”Innovation is highlighted by
the success of the Domohorn
Wrinkle brand.
“We continually evolve thisrange to address customer

needs, integrating traditional
Chinese medicine concepts withthe latest scientific research,”
the president states.
And Saishunkan has ambitious
goals for the future, as it aims tobecome a JPY 10 billion company
in overseas business, one that clients believe is indispensable, andone that has a vibrant work environment for employees.

www.saishunkan.co.jp

Crafting the Threads of Innovation:
Toray Opelontex’s Vision in Textile Evolution
Toray Opelontex pioneers
in the textile industry withits groundbreaking LYCRA®
ﬁber, revolutionizing apparelwith invisible yet impactfulelasticity, while leveraging
partnerships and sustainable
practices for a brighter, more
resilient future.

Cross section of LYCRA®
T400® ﬁber
Established as a joint venture between the Japanese chemical business, Toray, and the U.S. ﬁber andtechnology solutions business, The
LYCRA Company, Japanese ﬁber
manufacturer Toray Opelontex isrevolutionizing the textile industry
with its elastic products.

“Our ‘invisible’
products create‘visible’ value,
fulﬁlling our mission
and embodying ourslogan: ‘Small butDiamond’.”
Osamu Yamaji, President,
Toray Opelontex
The company has two core While it has less elasticity thanproducts. The ﬁrst is Polyurethane LYCRA® ﬁber, it provides the right
LYCRA® ﬁber, a thin and transpar- balance between style and comfort.
In recent years, there has been aent synthetic ﬁber that can stretch
up to seven times. The material strong need to establish a recycling
was initially used for apparel in- system for textile products. Osamudustries before expanding to many Yamaji, President of Toray Opelontex, points out: “Wedifferent fields.
are currently develThe second product,oping methods toLYCRA® T400® ﬁber,
recover and reuseis a bicomponent ﬁthe components ofber in which PET
ﬁnal fabrics that areand PTT polymers
collected from cusare joined together
tomers or shops,
within each ﬁlament.
LYCRA® ﬁber

Fabric with excellent elasticity
using LYCRA® ﬁber
having already established thefundamental technology.”
Mr. Yamaji emphasizes: “Ourgreatest mission is continuing toprovide social value to customers in Japan in order to embody
our slogan, ‘Small but Diamond’.
LYCRA® ﬁber is ‘invisible’ but creates‘visible’ value, to the fabric, and thento people, and ﬁnally to society.”www.toray-opt.co.jp

Co-medical: Japan’s Comprehensive
Beauty Care Company
Founded in 2014, Co-medical offers a complete spectrum of products, from skin careto health supplements, designed to enhance and empower both outer and inner beauty.

“We want to help makepeople happy, makethem enjoy the beautyof themselves.”
Akira Sedei, President,
Co-medical Co., Ltd.

www.co-medical.jp

A total beauty brand, Co-medical ter just one bottle, users will notice
boasts a comprehensive variety improved skin hydration and reof products designed to leave cus- duced fatigue,” Mr. Sedei explains.
Co-medical’s products have
tomers feeling happy and healthy.
“We aim to inspire pride and received awards recognition. Nosmiles – so when someone looks tably, the hugely popular Shonan
in the mirror, they feel a sense of Beauty Eyelash Serum has been
given ‘best buy’ status byachievement,” says the company’spresident, Akira Sedei.
the prestigious cosmetics
magazine LDK the Beauty.
Be it skin, hair, eye or oralcare, Co-medical’s world“Our serum is formuclass products cover evlated without ingredientsthat could stain the skin,
ery cosmetic need. What’s
highlighting our commitmore, the Japanese ﬁrm
ment to products that arealso promotes inner health,both high-performing andthanks to its leading-edge
dietary supplements.
safe,” Mr. Sedei says.
Meanwhile, Co-mediFor example, the CO
cal’s product range also
Moist Goddess Placenta
Drink not only offers
reﬂects a growing interouter beneﬁts, but also Shonan Beauty est in skin care among
invigorates the body. “Af- Eyelash Serum male customers. “OurANDO
ANDO men’s line is meticulously
reﬁned to protect the skin fromeveryday stress,” Mr. Sedei reveals.
The result of extensive research into men’s skin, ANDO is
typical of Japanese companies’
dedication to remaining in stepwith clients’ needs.
“We’re always thinking about
what customers want,” Mr. Sedei
declares. “We tailor our products
to meet those requirements.”

Bringing Color to Life
With over 100 years of history, Holbein has the ability to meet speciﬁc artistic needs.
“Being made in Japan alone
is no longer sufficient to guarantee strong sales,” notes thecompany’s CEO, Yoshio Kawami.

“We support the fusionof people and people,cultures and cultures,and contribute to theprosperity of futuresociety.”
Yoshio Kawami, CEO,Holbein Art Materials Inc.
In a world where the arts andcrafts sector faces challenges fromdigital creations, Holbein remains
an emblem of tradition and innovation, maintaining an unwaveringcommitment to quality products.

Lightfastness testing
Holbein’s success, he emphasizes, lies
in offering high-quality products that
go beyond the allure of the “Made-inJapan” label. With a history rooted
in scarcity, the company’s founderssought exceptional materials andways to stand out from the crowd.
The company’s dispersion technology, a groundbreaking innovation, allows it to work with morethan 400 different pigments.
“Our technology team, typically from a chemistry background,is responsible for developing this,”
Mr. Kawami explains, highlighting the meticulous craftsmanship involved in creating Holbein’sVernét oil colors, a fusion of traditional and modern materials.

Three roll mill (Vernét oil color)
The SQ-T Cat’s Tongue watercolor brush stands as a testament
to Holbein’s dedication to meeting
artists’ needs. Developed in collaboration with a partner company, itaddresses challenges related to traditional brushes. “Our industry, thepaintbrush market, is small but withthe right investment, replicating
the properties of animal hair withsynthetic ﬁbers would be relatively
straightforward,” the CEO adds.

Standard pigments
Holbein’s plans extend beyond
Japan, with the company actively
seeking overseas collaborations
and driving forward with theyounger generations leading on
the improvements.
“We believe art is an integral
part of a well-rounded educationand our mission is to empower
artists to convey their uniquevisions effectively,” Mr. Kawami
says, pointing to relationships in
the U.S., China and South Korea.
“Looking ahead, we view thenext seven years as a signiﬁcantmilestone in our ongoing journeyof development,” Mr. Kawami
concludes. “One that paves theway for our endeavors far intothe future.”

www.holbein.co.jp

KISHUN Inc.: Pioneering Sustainability
in Japan’s Jewelry LandscapeWith its eco-conscious ethos and global outreach, trailblazing KISHUN Inc. is revolutionizing Japan’s jewelry
industry, crafting a new narrative in the glittering world of adornment.

“Our approach inbusiness is B2B2C, so
in that sense a reliablelocal partner outsideof Japan is vital to ourbusiness operations.”
Shun Tsuji,President, KISHUN Inc.
In the glistening landscape thatis Japan’s jewelry industry, KISHUN Inc. stands as a shining
example of innovation and sustainability. Established in 2014

by Shun Tsuji, the company has
carved a niche for itself by offering a holistic approach to thesourcing, manufacturing, andselling of colored stones anddiamonds. With a deep-rooted
connection to Japan’s cultural
heritage and a forward-thinking
mindset, KISHUN is poised tolead the charge in transforming
the jewelry landscape.
Mr. Tsuji’s journey into theworld of jewelry was not merely
a business venture but a passion
project rooted in his family’s
legacy in the kimono industry.
Recognizing the intrinsic link
between traditional attire andornamental adornments, Tsuji
saw an opportunity to bridge
the gap between the two worlds.
He notes: “People often choosea kimono to complement theirjewelry and vice versa, so as akimono seller, the idea of becoming a jeweler myself has always
been in the back of my mind.”

The company’s ethos is centered around the concept of“Urban Mining,” a sustainableapproach to sourcing precious
gemstones and diamonds fromsecondhand sources. This not
only reduces environmental
impact but also highlights thecraftsmanship and artistry
inherent in Japanese jewelry.
By breathing new life into discarded pieces, KISHUN aims
to challenge perceptions andpromote a culture of conscious
consumption.
In recent years, Japan’s jewelry industry has faced significant challenges, including demographic shifts and changing
consumer preferences. With an
aging population and a shrinking
workforce, there is a pressing
need for innovation and adaptation. Mr. Tsuji acknowledges
these challenges, stating: “There
are a lot of problems because ofthis population decline and theincrease in elderly people... We
cannot employ enough people
on a year-to-year basis.”
To address these challenges,
KISHUN has embraced technological advancements and strategic partnerships to expand
its reach both domestically andinternationally. The company’s
foray into e-commerce withthe launch of Pocket-By-Kishun
has opened up new avenues
for growth, particularly among
younger demographics. By leveraging online platforms anddigital marketing strategies,
KISHUN has been able to tap
into the burgeoning demand
for affordable, yet stylish jewelry options.
Moreover, KISHUN’s participation in international events

such as the JCK Jewelry Exhibition in Las Vegas underscores
its commitment to global expansion. Mr. Tsuji explains: “Wewould like to continue participating in such events [aroundthe world], especially thoserelated to jewelry.”
In addition to its commercial endeavors, KISHUN is also
dedicated to promoting ethicalpractices and social responsibility within the industry. Mr. Tsujiemphasizes the importance ofupholding ethical standards
in sourcing raw materials andmanufacturing processes, particularly in light of issues suchas child labor and environmental degradation associated withtraditional mining practices.

Looking ahead, Mr. Tsujienvisions a future where KISHUN continues to push theboundaries of innovation andsustainability in the jewelry industry. With a focus on quality
craftsmanship, environmental
stewardship, and communityengagement, the company ispoised to shape the future ofJapanese jewelry for generations to come.
As Mr. Tsuji reflects on his
aspirations for the company’slegacy, one thing is certain:
KISHUN Inc. is not just a business; it’s a beacon of hope andinspiration for a brighter, moresustainable future.

https://kishun.co.jp