In this paper, we examine the determinants for location choice of production plants for Japanese electronics industries in East Asia using the new economic geography (NEG) model. Particular attention is paid to the market potential appropriate to take into account spatial distribution of demand in location choices, supplier access and complex agglomerations. Using the bilateral trade data from 1995 to 2009 in East Asia, we conducted the logit estimation of country choice for Japanese electronics firms in eleven East Asian countries including China (mainland), Hong Kong, India, Indonesia, Korea, Malaysia, Philippines, Singapore, Taiwan, Thailand and Vietnam after calculating the Krugman market potential and supplier access data. In addition, the determinants of location choice for Japanese electronics firms were analyzed. From the estimated results, we found wage, infrastructure, Krugman market potential, domestic supplier access and complex industrial agglomeration show horizontal and vertical industrial agglomeration effects in Japanese electronic affiliates, and affect the Japanese electronics industries investments in East Asia.