Building Japan’s Impact Economy Case Series

Natural Disasters and Response Define a Commitment to Impact As an island nation on the Pacific Ring of Fire and Pacific Earthquake Belt, Japan is accustomed to living with natural disasters—earthquakes, tsunamis, typhoons, floods, and volcanic eruptions. The word “tsunami,” meaning “harbor wave,” originates from Japanese, a reflection of the country’s deep historical connection to these phenomena. These ongoing threats require Japan to maintain a state of preparedness for responding to crises in order to remain resilient. In March 2011, the Tōhoku Great East Japan Earthquake registered a magnitude of 9.0 and was followed by a massive tsunami with one-hundred-foot waves. 29 Japan’s earthquake-resistant building designs helped to minimize the death toll to one hundred casualties. However, nearly twenty-thousand lives were lost in the subsequent tsunami. 30 The event, often referred to as the “Triple Disaster” due to its economic, political, and social consequences, was devastating: 138,000 buildings were destroyed, and economic losses amounted to US$360 billion, making it the most expensive disaster in human history. 31 Japan’s responses to the earthquake and tsunami were rapid, effective, and lifesaving, and they are credited with enabling the successful evacuation of over 470,000 people in the aftermath. 32 The powerful quake also caused a meltdown at the Fukushima nuclear plant—marking the worst global nuclear crisis since Chernobyl in 1986. While the immediate response to the earthquake and tsunami was praised, the government’s handling of the nuclear crisis at Fukushima provoked widespread criticism. 33 The Tōhoku Great East Japan Earthquake changed Japan in fundamental ways. It disrupted Japan’s extensive global supply chains, and in response to the closure of its nuclear reactors, the Japanese government significantly increased its reliance on imported oil to fill the energy gap. 34 By 2012, Japan experienced record trade deficits, totaling US$78 billion. 35 It also changed the country socially and politically. A strong anti-nuclear movement emerged in the wake of the Fukushima crisis, leading to the implementation of more stringent safety standards and regulations for the nuclear industry. 36 Today, with climate change and the need to phase out oil and gas, new discussions are underway to identify how Japan will address its future energy needs and whether nuclear power will once again be considered a viable option. 37 Professionals and volunteers from Japan and around the world were mobilized in rescue efforts. Mitsuaki Aoyagi, Vice-Chair of the Executive Committee at SIIF, was working at the

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Ten Years in the Making

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