Micromechanisms and actuators which are 10-100 micrometers in size are studied by research groups in universities, national research institutes, and private industries in Japan. Some of them belong to a "Micromachine Technology" project lead by MITI (Ministry of International Trade and Industries). Microfabrication technologies based on both IC-compatible processes and mechanical machining are under development. Application-oriented devices in automobile, communication and information industries are also investigated. The research goal is to build a smart micro system through the integration of moving mechanisms, sensors and electronics on a chip; this is the fusion of mechanics and electronics in the microscopic world. This paper reviews recent activities in MEMS research in Japan.