## Chapter 3

## Cultivating and Expanding New Markets, Securing Leaders, and Adopting New Technologies

In Section 1: Cultivating and Expanding New Markets of Chapter 3: Cultivating and Expanding New Markets, Securing Leaders, and Adopting New Technologies, we will introduce initiatives relating to the overseas development of infrastructure systems and examples of the incorporation of inbound visitors based on the use of infrastructure from the standpoint of the importance of the incorporation of overseas growth fields into Japan, a country that is undergoing depopulation.

In Section 2: Securing Leaders for the Development of Infrastructure, Improving On-Site Productivity, and Adopting New Technologies, we will introduce various initiatives, including one that consists of the establishment of Japan Infrastructure Management Council (tentative name) for the purpose of leading the world in cultivating and activating a maintenance sector and promoting local industrialization in connection with measures to deal with securing and cultivating leaders in the construction industry who will serve as leaders in the development of infrastructure (such as by improving working conditions; ensuring steady, ongoing reviews; and promoting actions taken by young people and women) and measures to deal with the pressing issue of the superannuation of infrastructure. On the part on Improving On-Site Productivity, we will introduce the i-Construction initiative for enhancing productivity through the incorporation of ICT into the various processes involved in developing infrastructure and the latest trends in the development and adoption of next-generation robots for societal infrastructure, which are used to inspect infrastructure.

Section 1

## Cultivating and Expanding New Markets

## Overseas development of infrastructure systems

As we saw in chapter 1, Japan’s domestic market is expected to shrink as the population declines due to the aging of the population and falling birthrates. At the same time, the infrastructure needs of the world are huge and are expected to continue growing. Against this backdrop, it is important that we proactively respond to the huge global demand for infrastructure by proceeding with the overseas development of infrastructure systems in order to support Japan’s economic growth. We will analyze and look into the state of the overseas development of infrastructure systems below.

## (1) Global demand for infrastructure and international competition

(Vigorous global demand for infrastructure)

As we saw in chapter 1, the global demand for infrastructure in 2030 will exceed USD 2,326 billion per year according to the Organization for Economic Co-operation and Development (OECD).

If we examine the demand for the development of railways, airports, ports, and harbors, we see that the average annual amount of demand for the years between 2015 and 2030 (USD 430 billion) is expected to be approximately 1.8 times greater than the average annual amount of demand for the years between 2009 and 2015 (USD 233 billion) (Figure 3-1-1).

If we focus on demand for infrastructure in Asia, it is estimated that approximately USD 8.2 trillion (annual average of approximately USD 750 billion) will be needed