Our Man from Hitachi

An interesting encounter yesterday with Sir Stephen Gomersall, the former diplomat who now heads the European division of the Japanese industrial giant Hitachi.
A former British ambassador leading a Japanese electronics firm sounds interesting enough in its own right, but it was the reason Sir Stephen popped into our offices that fascinated.
He was partly on a fishing mission.
Now, Hitachi is known to most people for the TVs they can see on the top floor at John Lewis in the Victoria Centre. But the reality is that consumer electronics forms only a small part of a business that is also into IT, consulting, and rail engineering.
This is the company that makes Japan's high-speed Bullet train. And it's well-aimed shot at the UK trains market means it now needs to build a factory over here to make a new generation of trains that will replace the 35 year-old HS 125s that currently wheeze their way up and down the East and West Coast main lines.
That factory will need engineers to staff it. Some will come over from Japan, most will have to be recruited locally. Where is the most fertile ground for rail engineering? Right here in the East Midlands.
There was initially political uproar when Ashfield MP and Transport Minister Geoff Hoon announced that the £1.7bn deal to build these new trains had gone to a Japanese-led consortium, rather than Bombardier, which employs 2,000 people building trains in Derby.
The fuss has gone quiet for two reasons. One is that Bombardier is now being given a shot at some thumping great contracts elsewhere. The other is Hitachi's decision to look at building its plant in the East Midlands.
The £100m factory will employ up to 500 people. As with other Japanese inward investments it may well be joined by some of the supply companies it has relationships with at home.
All of which makes the two East Midlands sites sound very logical. We won't know which site Hitachi will choose until the end of the year, but all things being equal a site near the airport would be a politically astute choice.
Sir Stephen's meeting with Emda yesterday will have covered off exactly what sort of logistical and financial help might be available.
Sir Stephen is courteous, astute, forensic. In his meeting at the Post he asked most of the questions: what was the economic landscape like in Nottingham, where were the opportunities, were the crime headlines a true reflection, who was worth talking to?
Though the inward investment would not be directly in Nottingham, anything which brings knowledge and technology-related jobs on to our doorstep should be welcomed. So it's us who should be talking to them.
Long-term, this could be a significant opportunity as investment in rail is likely to increase. Having another big-hitter alongside Bombardier will give added momentum to a sector capable of generating significant knock-on income.
So, not such a bad deal after all? Yes, but one point to remember: Hitachi's train will be taking over from a loco that was designed and developed in Britain with British engineering expertise.
That expertise has not gone away. Thirty-five years on, that part of the contract has. But anybody who assumes this is an insignificant opportunity would be making a mistake of historic proportions.