The EU Japan Centre is releasing a weekly press review covering Japan's economic and policy matters…
Weekly Japanese Industry and Policy News: 17 - 23 May, 2025
The EU Japan Centre is releasing a weekly press review covering Japan's economic and policy matters.
Economic News
▶ Security Clearance System Starts; Hopes Rise for Expanded Participation in International Business and Research
17 May, 2025
Japan's new law concerning the protection of critical economic security information came into effect, establishing a security clearance system for government officials and private sector individuals to handle sensitive information. The system aims to prevent information leaks that could harm national security, aligning Japan with practices in the U.S. and Europe. The law covers 19 types of critical information, including cybersecurity measures for infrastructure providers. Unauthorized disclosure can result in up to five years of imprisonment. This system facilitates the sharing of advanced information, especially related to cyberattacks, and is essential for active cyber defense. The government also emphasizes protecting privacy during background checks, with strict limitations on the use of assessment results.
Yomiuri: https://japannews.yomiuri.co.jp/politics/defense-security/20250517-254987/
▶ Most female execs doubt Japan will hit 30% goal for women in top jobs
17 May, 2025
A Kyodo News survey of 41 senior female business leaders in Japan found that over half (54%) doubt the country will reach its target of 30% female executives by 2030, citing slow change in top management attitudes and entrenched company culture. Currently, women hold only 16.2% of senior roles, far below the G7 average of 38.8%. Key barriers identified include traditional gender roles and work-life balance issues. While 80% encourage young women to pursue leadership, only 7% believe Japan’s equal opportunity law has fully achieved its goals since its enactment 40 years ago.
▶ Research Team Develops Auto Parts Made from Recycled Plastic
17 May, 2025
A research team in Japan has developed vehicle interior parts from recycled plastic sourced from used wardrobes. The project, involving automakers, Tohoku University, and the Environment Ministry, aims to reduce carbon emissions and promote domestic recycling. While challenges remain, the team has met the standards for practical use and is expanding to include more parts. The EU plans to require 20% recycled plastic in vehicles by 2031, and Japan aims for 15% of auto parts to be made from recycled plastic.
Yomiuri: https://japannews.yomiuri.co.jp/science-nature/technology/20250517-254990/
▶ Fast-aging Japan rethinks work at 70 and beyond
19 May, 2025
Japan is rethinking aging and work as its senior population grows rapidly, with 5.4 million people aged 70 or older still employed. Companies like Tenpos Holdings and Seisei Server have eliminated mandatory retirement and actively hire older workers, valuing their stability and experience. Legal reforms now require businesses to offer work opportunities up to age 70. Older employees often work flexible shifts tailored to their physical abilities. Major firms like Calbee and Daikin are also adjusting compensation systems to retain senior talent. As labor shortages continue, both private and public sectors are urged to support elderly employment through measures like tax incentives.
Nikkei Asia: https://asia.nikkei.com/Spotlight/Society/Fast-aging-Japan-rethinks-work-at-70-and-beyond
▶ Japan to launch prescreening of visa-free travelers in FY 2028
19 May, 2025
Japan will introduce a pre-arrival screening system for visa-free short-term travelers starting in fiscal 2028, modeled after the U.S. ESTA program. Travelers from 71 visa-exempt countries will need to submit personal and travel information in advance. Authorities will use this data to screen for criminal records or prior immigration violations and may deny boarding if issues are found. The move aims to streamline immigration procedures and support Japan’s goal of attracting 60 million foreign visitors by 2030, up from a record 36.87 million in 2024. Digital technologies and further efficiency measures are also being considered.
▶ Japan-Latvia Summit Meeting
19 May, 2025
On May 19, Japanese Prime Minister Shigeru Ishiba and Latvian President Edgars Rinkēvičs held a summit in Tokyo, issuing a Joint Statement on the Establishment of a Strategic Partnership. The leaders reaffirmed shared values like democracy and the rule of law and agreed to deepen cooperation in economic ties, security, digital and energy sectors, and youth exchanges. They discussed regional issues, pledging joint support for Ukraine, expressing concern over Russia-North Korea military ties, and committing to closer collaboration through NATO and on North Korea-related issues, including abductions.
MOFA: https://www.mofa.go.jp/erp/we/lv/pageite_000001_00989.html
Joint Statement: https://www.mofa.go.jp/files/100847830.pdf
▶ Japan to Introduce Car Fuel with Up to 10% Biofuels from Fiscal 2028; Limited Rollout Expected at Areas with Refineries
19 May, 2025
Japan’s Economy, Trade and Industry Ministry will begin offering gasoline mixed with up to 10% biofuels—made from corn, sugarcane, and other biomass—from fiscal 2028, two years earlier than originally planned. The rollout will start in areas with oil infrastructure and aims to help decarbonize the transport sector, which accounts for about 20% of the nation's CO₂ emissions. About 40% of new vehicles are already compatible with this blend. The government plans to gradually increase the biofuel ratio to 20% by fiscal 2040 and will support fueling station upgrades. Stable supply and cost reduction remain key challenges.
Yomiuri: https://japannews.yomiuri.co.jp/business/economy/20250519-255336/
▶ Japan rolls out fuel subsidy for hydrogen trucks
19 May, 2025
Japan’s Ministry of Economy, Trade and Industry will begin subsidizing hydrogen fuel costs for fuel cell trucks and buses in six prefectures—Tokyo, Kanagawa, Fukushima, Aichi, Hyogo, and Fukuoka—to promote adoption and reduce carbon emissions. The subsidy of 700 yen per kilogram will help lower the cost gap with diesel, easing the financial burden on transport companies. Around 90 hydrogen stations in the priority areas will receive support. Fuel cell vehicles, favored for long-distance travel and quick refueling, are currently used by companies like Yamato Transport and Japan Post. The government aims to grow the fleet from about 160 trucks to over 17,000 by 2030. The program will be funded by the ministry's 46 billion yen budget and could expand to more regions in the future.
Nikkei Asia: https://asia.nikkei.com/Spotlight/Environment/Climate-Change/Japan-rolls-out-fuel-subsidy-for-hydrogen-trucks
▶ Japan to launch offshore "blue carbon" study for CO2 capture, storage
20 May, 2025
The Japanese government will begin offshore "blue carbon" research to capture and store carbon dioxide using cultivated sea plants like kelp and eelgrass. Partnering with organizations such as JAMSTEC and Eneos, the project aims to assess how submerged seaweed can absorb CO₂ and store it in the deep sea. This initiative supports Japan’s goal of achieving net-zero emissions by 2050, especially as forest-based carbon absorption declines. The government aims to capture 1 million tons of CO₂ by fiscal 2035 and 2 million tons by 2040 through marine methods, up from just 34 tons in 2023.
Eneos(Japanese): https://www.eneos.co.jp/newsrelease/20250520_01_01_1040009.pdf
▶ Japan plans to launch pilot fusion power plant next decade
20 May, 2025
Japan aims to conduct its first field test of nuclear fusion power generation in the 2030s, revising its 2023 Fusion Energy Innovation Strategy to include a clearer roadmap. The move is part of efforts to boost economic security and industrial competitiveness, with the government planning legal frameworks, funding, and workforce development. Fusion energy, considered a clean and safe alternative to traditional nuclear power, remains a developing technology. Japan hopes to attract private investment and lead in setting international standards. Key institutions and companies are already involved, with the government investing ¥10 billion to support research and infrastructure.
Nikkei Asia: https://asia.nikkei.com/Business/Energy/Japan-plans-to-launch-pilot-fusion-power-plant-next-decade
▶ Japan-Bulgaria Summit Meeting and Working Dinner
20 May, 2025
On May 20, Japanese Prime Minister Shigeru Ishiba met with Bulgarian President Rumen Radev during his official visit to Japan. The two leaders signed a Joint Statement to establish a Strategic Partnership, upgrading Japan-Bulgaria relations. They discussed strengthening economic cooperation in areas like IT, AI, and energy, and agreed to boost ties through business missions. They also emphasized security cooperation, noting Bulgaria’s strategic role as a NATO member near the Black Sea. The leaders exchanged views on regional issues, including Ukraine and the Indo-Pacific, and agreed on the importance of working together in multilateral forums to uphold the rule of law and international order.
MOFA: https://www.mofa.go.jp/erp/c_see/bg/pageite_000001_00001.html
Joint Statement: https://www.mofa.go.jp/files/100848628.pdf
▶ Japan-Germany Summit Telephone Meeting
20 May, 2025
On May 20, Japanese Prime Minister Shigeru Ishiba held a 30-minute phone summit with German Chancellor Friedrich Merz. Ishiba congratulated Merz on his inauguration and emphasized the strong Japan-Germany relationship. The two leaders discussed strengthening security and economic cooperation, particularly in light of Germany’s increased involvement in the Indo-Pacific and global economic challenges such as U.S. tariff measures. They also exchanged views on Ukraine and regional issues, confirming their commitment to work closely together and maintain ongoing communication.
MOFA: https://www.mofa.go.jp/erp/c_see/de/pageite_000001_00002.html
▶ 3 of Japan’s Nuclear Fusion Institutes to Receive ¥10 Billion in Funding, as Govt Aims to Speed Up Research
20 May, 2025
The Japanese government will invest around ¥10 billion to upgrade equipment at three core nuclear fusion research institutes—QST, the National Institute for Fusion Science, and Osaka University's Institute of Laser Engineering. The aim is to accelerate the timeline for using fusion energy by the 2030s, instead of the original 2050 target. The investment will enhance experimental capabilities, including testing reactor durability and improving laser systems. Facilities will also be opened to private companies to support innovation and collaboration between industry, government, and academia. Japan is pursuing all three major fusion reactor types: tokamak, stellarator, and laser-based.
Yomiuri: https://japannews.yomiuri.co.jp/science-nature/technology/20250520-255367/
▶ Meeting between Prime Minister Ishiba and President Van der Bellen of Austria
21 May, 2025
On May 21, Japanese Prime Minister Shigeru Ishiba met with Austrian President Alexander Van der Bellen, who visited Japan for Expo 2025 Osaka’s National Day Event. During their 20-minute meeting, Ishiba welcomed the visit and emphasized historic Japan-Austria Expo ties and the desire to deepen cooperation in business, science, and technology. Both leaders agreed to strengthen bilateral relations and economic ties, particularly through the Expo. They also discussed global economic concerns, including U.S. tariffs, and exchanged views on Ukraine and East Asia, affirming close international coordination.
MOFA: https://www.mofa.go.jp/erp/c_see/at/pageite_000001_00992.html
▶ Japan eyes 17 eligible sectors under new foreign labor training plan
21 May, 2025
Japan is proposing 17 industries, including agriculture, food services, and construction, for a new foreign labor training program set to launch in 2027. The program, called "Employment for Skill Development," will replace the current technical trainee system and aims to address labor shortages caused by an aging population. The government also plans to expand the Specified Skilled Worker (SSW) visa system from 16 to 19 sectors, adding warehouse management, waste disposal, and linen supply. The new system encourages foreign workers to transition to the more permanent SSW visa after three years, marking a significant policy shift toward accepting long-term foreign labor. A final decision on eligible sectors and worker quotas is expected by December.
Mainichi: https://mainichi.jp/english/articles/20250521/p2g/00m/0na/004000c
▶ Japan's IHI to launch microsatellites with Finland's Iceye
22 May, 2025
Japanese defense contractor IHI will partner with Finnish space company Iceye to launch up to 24 radar microsatellites by fiscal 2027, aiming to build a 100-satellite constellation for near real-time Earth observation. The system will support Japan’s defense efforts by monitoring suspicious vessels and natural disasters, with priority data access given to Japan’s Ministry of Defense. IHI also plans to sell data to other countries for multilateral security cooperation. This marks IHI’s expansion from aircraft engines into satellite systems, leveraging Iceye’s experience and its own launch capabilities.
▶ Japan starts new gasoline subsidy to cut prices by 10 yen per liter
22 May, 2025
Japan has launched a revised gasoline subsidy to lower prices by 10 yen ($0.07) per liter, aiming to ease living costs ahead of the upcoming summer parliamentary election. Unlike the previous scheme, the new plan provides a fixed subsidy to wholesalers, starting with a 7.40 yen cut in the first week and targeting a total reduction of 10 yen by mid-June. The effects are expected to reach consumers within 2–3 weeks. With a budget of about 1 trillion yen, the program could run through March 2026.
▶ Japan plugs homegrown fighters, frigates in export push
23 May, 2025
Japan is actively promoting its defense equipment, including frigates and fighter jets, at the DSEI Japan expo, aiming to boost exports amid growing global interest in alternatives to U.S. arms. Prime Minister Shigeru Ishiba emphasized the defense industry’s role in national security and regional stability. Exhibits included the Mogami-class frigate and next-gen fighter jet developed with the U.K. and Italy. Revised export rules now allow Japan to sell licensed foreign-made lethal parts and equipment, though full exports of Japanese-made lethal weapons remain restricted. Challenges include high costs, limited production capacity, and competition from global players like South Korea.
Nikkei Asia: https://asia.nikkei.com/Politics/Defense/Japan-plugs-homegrown-fighters-frigates-in-export-push
Business News
▶ Hitachi, Toshiba to boost output of power grid equipment in India
17 May, 2025
Japanese tech giants Hitachi and Toshiba are ramping up production of power grid equipment in India to support the country’s growing infrastructure needs and attract global manufacturers.Hitachi Energy plans to invest ¥40 billion ($275 million) over five years to expand transformer and switchgear production in Gujarat, following its HVDC equipment factory launch in Chennai. Toshiba will invest ¥10 billion to boost transformer output in Hyderabad and turn the plant into an export hub. India's push for domestic manufacturing under the "Make in India" initiative, combined with global shifts away from China, is drawing companies like Apple and Dell. However, poor power infrastructure remains a challenge. Japanese firms like JFE Steel, TDK, and Alps Alpine are also investing to support and benefit from India’s industrial expansion.
Nikkei Asia: https://asia.nikkei.com/Business/Energy/Hitachi-Toshiba-to-boost-output-of-power-grid-equipment-in-India
▶ Japan carmakers focus on popular models to soften U.S. tariff impact
17 May, 2025
Japanese automakers like Toyota, Honda, and Nissan face major profit declines due to a new 25% U.S. tariff on cars, effective April 2025. Toyota expects a 35% drop in net profit, Honda a 70% drop, and Nissan significant losses as well. While price hikes and local production are possible responses, companies are cautious due to risks and supply chain challenges. Toyota and Honda plan to gradually increase U.S. production, with no immediate new plant plans. Despite the tariff, automakers remain committed to the U.S. market, focusing on fuel-efficient models and maintaining competitiveness.
▶ Thailand's Banpu and CP turn to Japan 'deep tech' for sustainability
18 May, 2025
Japanese deep tech startups are partnering with major Thai companies to drive sustainability and reduce carbon emissions, aligning with Thailand’s 2050 carbon neutrality goal. Tokyo-based Algal Bio is working with Thai coal producer Banpu to capture CO₂ from a power plant using microalgae, which can later be used in products. Other partnerships include Thermalytica and CP Foods testing insulation to lower farm temperatures, and Umitron piloting aquaculture tech to improve shrimp feed efficiency. While Thailand lags in startup tax incentives, its diverse industries offer opportunities for collaboration. However, concerns remain that many partnerships are still at the MOU stage and not yet fully commercialized.
Nikkei Asia:https://asia.nikkei.com/Business/Startups/Thailand-s-Banpu-and-CP-turn-to-Japan-deep-tech-for-sustainability
▶ Japan rail companies look to superconductor tech for labor, power efficiency
18 May, 2025
Japan is testing superconducting cables for power transmission on JR East's Chuo Line, aiming to reduce energy loss and the number of substations needed for urban trains. Superconductivity enables zero electrical resistance by cooling materials with liquid nitrogen to –196°C, eliminating transmission loss and voltage drops. A successful live trial began in 2024, with further expansion underway. Although challenges remain—such as cooling power needs, material costs, and maintenance—the technology may help address labor shortages and improve energy efficiency. Over a dozen railway operators, including Tokyo Metro, are closely watching the results.
Mainichi: https://mainichi.jp/english/articles/20250515/p2a/00m/0sc/030000c
▶ Seven-Eleven Japan Testing Delivery Robots
19 May, 2025
Seven-Eleven Japan has launched a trial robot delivery service in Hachioji, Tokyo, to address the truck driver shortage. At two stores, robots are manually loaded with items ordered via the 7NOW app and deliver them on public roads.
Jiji: https://jen.jiji.com/jc/eng?g=ind&k=2025051900355
Seven Eleven Japan (Japanese): https://www.sej.co.jp/company/news_release/news/2025/202505191000.html
▶ Recycling of Nonferrous Metal Products Gaining Traction; Demand from Leading Companies Rising Amid Co2-Cutting Efforts
19 May, 2025
Japanese manufacturers are expanding the use of recycled nonferrous metals like aluminum and copper in response to rising demand for low-carbon materials and circular economy goals. UACJ Corp. will begin selling thick aluminum plates made from 100% recycled materials in July under its ALmitas+ SMART brand—marking Japan’s first catalog offering of such products. These plates target semiconductor and display equipment makers. While nearly all aluminum used in casting is recycled, the rate for wrought products like plates remains low. Other firms like Mitsubishi Materials and JX Advanced Metals are also boosting recycled metal offerings. These efforts align with global tech companies like Apple and Microsoft, which use 100% recycled metals in devices, and come amid trade risks such as U.S. tariffs. Recycling is seen as a strategic move to reduce CO₂ emissions and mitigate supply chain pressures.
Yomiuri: https://japannews.yomiuri.co.jp/business/companies/20250519-255287/
▶ Japan's Sakana inks AI agent deal with Mitsubishi UFJ Financial
19 May, 2025
Japanese AI startup Sakana AI, backed by Nvidia, has signed a 3-year, ¥5 billion ($34 million) deal with Mitsubishi UFJ Financial Group (MUFG) to develop custom AI agents tailored to MUFG’s operations. The partnership aims to streamline processes like internal proposal approvals, with Sakana’s COO also serving as MUFG’s AI adviser. Unlike many general-purpose AI tools, Sakana focuses on industry-specific, cost-effective solutions, avoiding large language models. The move reflects a broader trend of AI companies shifting toward customized, sector-focused applications.
▶ Mitsubishi Electric, NTT Com and SK C&C Commence Test Project Aimed at Visualizing Supply Chain Carbon Footprints
19 May, 2025
Mitsubishi Electric, NTT Communications, and SK C&C will begin a test project on June 1, 2025, to automate the calculation and visualization of product carbon footprints across supply chains using the Catena-X data ecosystem. The project will simulate lithium-ion battery production, collecting equipment data to calculate emissions and share results securely between companies. The goal is to promote decarbonization and transparency in the manufacturing industry, especially automotive, with future plans for broader adoption.
Mitsubishi Electric: https://www.mitsubishielectric.com/en/pr/2025/pdf/0519.pdf
▶ MHI Launches "Prismo," a New Brand Eco-Friendly Next-Generation AGT
-- Reducing CO₂ Emissions Through Manufacturing at Mihara, Hiroshima, a Factory Aiming To Reach Carbon Neutrality –
19 May, 2025
Mitsubishi Heavy Industries has launched Prismo, a new eco-friendly automated transit system in its Crystal Mover series. Prismo uses a cutting-edge energy management system that stores regenerative power and charges rapidly at stations, improving energy efficiency and cutting CO₂ emissions by about 10%. It eliminates the need for power rails between stations, reducing infrastructure and maintenance costs. Built at MHI’s carbon-neutral factory, Prismo also cuts emissions during manufacturing and is expected to reduce total lifecycle CO₂ emissions by around 6,400 tons, supporting carbon-neutral urban transport.
Mitsubishi Heavy Industries: https://www.mhi.com/news/250519.html
▶ Final Investment Decision for 2nd eFuels Production Project in USA by Infinium
20 May, 2025
Infinium has made a final investment decision and begun construction on its second commercial-scale eFuels project, Project Roadrunner, in West Texas. Set to become the world’s largest eSAF (electro-sustainable aviation fuel) production facility by 2027, the project is backed by JOGMEC, Mitsubishi Corporation, Brookfield Asset Management, and Breakthrough Energy Catalyst. Infinium, a global leader in ultra-low carbon synthetic fuels made from green hydrogen and CO₂, aims to expand its proprietary eFuels technology globally. JOGMEC and Mitsubishi support the initiative as part of their push for a sustainable society.
JOGMEC: https://www.jogmec.go.jp/english/news/release/news_08_00037.html
▶ Half of Japan's new chip fabs still shy of mass production
20 May, 2025
Only 3 out of 7 new semiconductor plants in Japan have started mass production as of April 2025, due to sluggish demand for non-AI chips like those used in electric vehicles and smartphones. Despite plans for over ¥9 trillion ($62 billion) in industry investment and strong government support, companies remain cautious amid uncertain market conditions. Some, like Renesas and Rohm, have delayed full-scale operations. Japan lags in advanced chip technology, producing 12nm chips at best, while global leaders move toward 2nm. The country’s global semiconductor market share has dropped to 7.1%, the lowest since the 1980s.
Nikkei Asia: https://asia.nikkei.com/Business/Tech/Semiconductors/Half-of-Japan-s-new-chip-fabs-still-shy-of-mass-production
▶ Toyota to launch new EVs in US as Tesla stumbles
20 May, 2025
Toyota is updating its electric vehicle (EV) strategy in the U.S., planning to launch five new models, simplify naming (e.g., renaming bZ4X to bZ), and introduce vehicles with improved battery range and Tesla-compatible charging. Despite low U.S. EV adoption (8%), Toyota sees an opportunity as Tesla loses market share. It aims to grow from its current 3% share and will begin U.S. production in 2026 to reduce tariff risks. Globally, Toyota plans to launch about 15 EV models by 2027 and expand its production and supply network to support long-term EV growth.
Nikkei Asia: https://asia.nikkei.com/Business/Automobiles/Electric-vehicles/Toyota-to-launch-new-EVs-in-US-as-Tesla-stumbles
▶ Japan's Keyence buys German manufacturing software maker Cadenas
20 May, 2025
Keyence has acquired German 3D CAD software firm Cadenas Technologies to expand into new global and IT-related businesses. This marks Keyence’s largest acquisition to date, signaling a shift in how it uses its ¥579 billion cash reserves. The company is also moving into robotic process automation and e-commerce for factory parts. Keyence posted record-high profits in FY2023, with sales surpassing ¥1 trillion and an operating margin over 50% for the 11th consecutive year.
Nikkei Asia: https://asia.nikkei.com/Business/Business-deals/Japan-s-Keyence-buys-German-manufacturing-software-maker-Cadenas
▶ Rakuten to support Ukrainian startups with Kyiv gov't institution
20 May, 2025
Rakuten Group Inc. announced it will partner with Ukraine’s government-backed institution Brave1 to support Ukrainian defense startups. The collaboration aims to help these startups enter the Japanese market by showcasing their technologies at DSEI Japan, a major defense trade show. Rakuten executive Hideaki Mukai emphasized that while the company supports Ukraine’s innovation, it has no immediate plans to enter the defense industry. Brave1's CEO praised Rakuten as a valuable partner. Rakuten has previously shown strong support for Ukraine during its conflict with Russia.
Mainichi: https://mainichi.jp/english/articles/20250520/p2g/00m/0bu/039000c
▶ Toyoda Gosei Launches Horizontal Recycling Technology for Plastic Automotive Parts
20 May, 2025
Toyoda Gosei has developed a new technology to recycle high-quality plastic from end-of-life vehicles (ELVs), enabling reuse in automotive parts with performance equal to new materials. This innovation, initially applied to the Toyota Camry, supports a decarbonized, circular economy. The company achieved this by using 50% recycled polypropylene from ELVs, collaborating with Isono Co., Ltd., and applying its own material modification technology. It marks the world’s first use of such recycled plastic in impact-resistant interior parts like glove boxes. This effort is part of Toyoda Gosei's 2030 Business Plan, aiming to expand the use of recycled materials and reduce CO₂ emissions across the automotive industry.
Toyoda Gosei: https://www.toyoda-gosei.com/news/details.php?id=427
▶ MHI Conducts Flight Test for Hybrid-Type Medium-Sized UAV
-- Joint Research with Yamaha Motor for Medium-Sized Unmanned Aerial Vehicles Currently in Development –
22 May, 2025
Mitsubishi Heavy Industries (MHI) and Yamaha Motor are jointly developing a hybrid-powered, medium-sized unmanned aerial vehicle (UAV) capable of carrying a 200 kg payload and flying up to 200 km. The UAV uses a compact, lightweight power generation unit developed by Yamaha, combining engine and electric motor technologies. A successful flight test was conducted in April 2025, and the prototype will be showcased at the Japan Drone 2025 expo. The UAV is intended for transporting supplies to remote or disaster-affected areas, improving logistics in hard-to-reach locations. MHI aims to address societal challenges through advanced UAV technology.
Mitsubishi Heavy Industries: https://www.mhi.com/news/250522.html
▶ Japan's Mitsubishi Heavy eyes trainer jet for possible export
22 May, 2025
Mitsubishi Heavy Industries (MHI) has unveiled a concept for a new T-X military trainer jet at the DSEI Japan defense trade show, aiming to boost Japan's defense exports and revitalize its domestic defense industry. The subsonic, twin-engine jet is intended to replace the current T-4 and appeal to overseas markets, especially since trainer jets face fewer export restrictions under Japan’s constitution. MHI may partner with Italy’s Leonardo, already a collaborator on the Global Combat Air Programme. Potential engine suppliers include Honeywell and Japan's IHI. The project is still in the early stages, but reflects Japan’s growing defense ambitions, supported by rising defense budgets and relaxed export rules.
▶ SoftBank, OpenAI announce Stargate UAE AI data center project
23 May, 2025
SoftBank Group has launched the Stargate UAE project, starting with a 200-megawatt AI data center set to open in the UAE by 2026, with plans to expand to 1 gigawatt. The project is led by G42 and will be operated by OpenAI and Oracle. It was announced during a visit by tech leaders, including SoftBank CEO Masayoshi Son, coinciding with U.S. President Donald Trump’s Middle East tour. Saudi Arabia also pledged $600 billion toward U.S. AI initiatives. SoftBank hasn’t revealed its investment amount but expressed strong support for the UAE’s AI ambitions.
▶ Japan's Fujitsu to supply Lockheed Martin with radar components
23 May, 2025
Fujitsu will begin producing core power supply components for Lockheed Martin’s SPY7 radar system, marking a significant step in Japan's effort to strengthen its domestic defense industry. These components, vital for Aegis-equipped vessels, will be made in Japan starting with orders expected as early as October. While initial systems will use Lockheed-made parts, Fujitsu will supply replacements from 2027 onward. This collaboration supports Japan’s push for defense self-reliance and economic security. Fujitsu, ranked 71st globally in defense revenue, is expanding its role in large-scale radar systems and is participating in Japan's largest defense trade show, DSEI Japan.
▶ Honda to make India motorcycle factory its biggest in the world
23 May, 2025
Honda Motor will invest about 9.2 billion rupees ($107 million) to add a new assembly line at its Gujarat plant in India, boosting annual motorcycle production capacity by 650,000 units by 2027. This will make Gujarat Honda's largest motorcycle plant globally. The expansion will create 1,800 jobs and support exports to regions like Latin America. With the new line, Honda's total production capacity in India will reach 7 million units, around 30% of its global capacity. India’s motorcycle market is growing, with Honda holding a 27% share, just behind market leader Hero MotoCorp. Honda is also pushing into electric bikes with its Activa e model.
Nikkei Asia: https://asia.nikkei.com/Business/Automobiles/Honda-to-make-India-motorcycle-factory-its-biggest-in-the-world
