Tomonoura (Hiroshima Pref.)
Prior to the official start of production on Ponyo, Hayao Miyazaki spent two months in Tomonoura soaking up the fishing port’s atmosphere, beauty, and flat out magic, which he would later put to use in creating the town where Sosuke, Ponyo’s first human friend, lives.
Fun fact: Residents of the fishing town really, really love cats. You’ll see them everywhere, they’re absolutely adored.
Source: 663highland, Aimaimyi