OK, now you've made me do work!
The detailed description here is rather carefully worded:
http://www.tojiro.co.uk/damascus.shtml
Leaving aside the eloquent allusions to the history of both Damascus steel and Japanese blade making (which tell us nothing about the knife) it appears to describe a separate hard core, with multiple layers of stainless steel on either side.
So I think what's going on is really a triple lamination (soft-hard-soft), where the soft layers
are themselves laminated. This fits nicely with your photo, where the centre layer (which makes the cutting edge) appears a good deal thicker than the layers that make the Damascus pattern.
I would suspect that the Damascus steel is made separately, either by repeated folding, or more likely, a simpler rolling process, and then the blade is made by laminating this fine-layered-material on both sides of the hard centre.
Ah - more info:
http://www.armorica.co.uk/Tojiro__Knive ... Knives/209
this confirms the VG-10 core:
BugBear