With a "harmonious internationalization" as its fundamental philosophy, Hitachi, Ltd. hopes to have its overseas departments to carry out sound and autonomous operations. In keeping with this philosophy, since 1989, Hitachi has established and is operating several overseas RD facilities throughout the U.S. and Europe. To support the existing offshore operations, the RD Division in the U.S. is engaged in the development of application research involving semiconductors, automotive components and high definition televisions. In addition to their large North American market, the technological resource and the production standard regulations of the U.S. will provide on effective atomosphere for on productive operation. Recently, with the issue of technological information outflow, the U.S. has raised its interest towards the overseas RD facilities. As the supervisor of the U.S. RD Division, I have established and managed the program from its beginning. In this paper, in addition to introducing the U.S. RD Division, I will also discuss some of the issues and problems on must apply and calculate in establishing and managing RD facilities in the U.S. based on my experience.