The EU Japan Centre is releasing a weekly press review covering Japan's economic and policy matters.
▶ Japan plans green subsidies to push use of empty air cargo space
20 Oct, 2024
Japan plans to boost support for using empty passenger aircraft space and articulated trucks to reduce transport emissions. Subsidies will be provided for air cargo on flights and possibly shinkansen trains, as daytime cargo space on flights is often underutilized. Articulated trucks can carry double the load of regular trucks, cutting emissions by 30% to 40%. The government aims to include this in the fiscal 2025 budget and double rail and maritime traffic by the early 2030s, while addressing concerns about an aging driver workforce.
NIKKEI Asia: https://asia.nikkei.com/Business/Transportation/Japan-plans-green-subsidies-to-push-use-of-empty-air-cargo-space
▶ Japan, Britain, Italy to speed up work on next-gen fighter jet plan
20 Oct, 2024
The defense chiefs of Japan, Britain, and Italy agreed to expedite their joint development of a next-generation fighter jet during a meeting in Naples, Italy. They aim to finalize their first contract by next year, with the goal of deploying the aircraft by 2035. Japanese Defense Minister Gen Nakatani announced plans to appoint Masami Oka as the head of the Global Combat Air Program (GCAP), which will be managed by an international organization expected to be established in Britain later this year. The private-sector joint venture for the project will involve Japan's Mitsubishi Heavy Industries, Britain's BAE Systems, and Italy's Leonardo. This initiative underscores growing security cooperation among these nations in response to China's military assertiveness and Russia's actions in Ukraine. Nakatani was recently appointed by Japan's new Prime Minister Shigeru Ishiba.
▶ Digital Transformation (DX) is Key to Securing a Ticket to the Future in Aircraft Development
21 Oct, 2024
The aircraft industry is rapidly transforming through digitization, with Digital Transformation (DX) becoming crucial for Japan to compete with international manufacturers. JAXA is leading efforts to enhance aircraft development processes, aiming to shift from subcontracting to taking the initiative in design. The CHAIN-X consortium is fostering collaboration among stakeholders to digitalize the entire aircraft lifecycle. Partnerships with major firms like IHI and Mitsubishi Heavy Industries focus on improving design, certification, and production. The goal is to create a platform that enhances domestic collaboration and positions Japan competitively in the global aerospace market.
METI (in Japanese): https://journal.meti.go.jp/p/35687/
▶ Japan steps up efforts to foster industries amid economic security concerns (Asahi)
22 Oct, 2024
In July, the Ministry of Economy, Trade and Industry (METI) underwent a significant organizational reform, marking a transformation with the establishment of the "Trade and Economic Security Bureau”. This new bureau reorganized responsibilities by transferring economic cooperation functions to a different division while consolidating trade management and economic security roles. Currently, there are 13 positions that include "economic security" or "security" in their titles.
METI (in Japanese): https://www.meti.go.jp/policy/economy/kyosoryoku_kyoka/pdf/r6summary02.pdf
▶ Australia's minerals czar courts Japan in critical minerals push
25 Oct, 2024
Australia's Resource Minister Madeleine King stated that Japan will be key for investment and technology in developing critical mineral supply chains, aiming to reduce reliance on China. At the Australia-Japan Joint Business Conference, she emphasized the need for cooperation to compete with China's dominance in rare earths and battery materials. Recent partnerships include Panasonic Energy with CSIRO on nickel processing and Sumitomo Corp. with Liontown Resources for a lithium hydroxide plant. King highlighted efforts to create an alternative market for critical minerals amid geopolitical tensions, while also noting the importance of competitive supply chains, backed by significant government support.
NIKKEI Asia: https://asia.nikkei.com/Editor-s-Picks/Interview/Australia-s-minerals-czar-courts-Japan-in-critical-minerals-push
Business News
▶ Sony and Honda to deploy AI to boost EV self-driving capability
20 Oct, 2024
Sony Group and Honda Motor are using AI to enhance self-driving capabilities in electric vehicles through their joint venture, Sony Honda Mobility. The luxury Afeela model, set to debut in Japan and the U.S. in 2026, will feature AI-driven autonomous driving with continuous improvements. This system aims for Level 3 functionality, relying on data learning rather than extensive manual coding. As the global autonomous vehicle market is expected to reach $2.75 trillion by 2033, tech companies like Sony and Alphabet are rapidly entering the next-generation car market.
NIKKEI Asia: https://asia.nikkei.com/Business/Automobiles/Sony-and-Honda-to-deploy-AI-to-boost-EV-self-driving-capability
▶ Toyota, Other Japan Firms Speed Up Efforts to Reuse, Recycle EV Batteries; Keeping Key Mineral Resources in Japan Would Improve Economic Security
20 Oct, 2024
Japanese companies are accelerating efforts to develop technologies for reusing and recycling electric vehicle (EV) batteries to enhance economic security and reduce reliance on foreign resources. Currently, low resale values for used EVs stem from inadequate battery reuse systems, but improved recycling methods could increase their value and promote EV adoption. At the Japan Mobility Show 2024, Toyota showcased a system using used EV batteries with efficient charging capabilities. JERA aims to recover 90% of rare metals from used batteries, while Nissan plans to launch an EV in the UK in 2026 that allows users to sell stored energy. With 80% of valuable EVs currently exported, Japan's government is focusing on creating a circular economy. The Japan Research Institute estimates that domestic battery circulation could generate a market worth \8 trillion by 2050. Toyota's president emphasized the need for a robust battery reuse ecosystem to support EV growth.
Yomiuri: https://japannews.yomiuri.co.jp/business/companies/20241020-217522/
▶ Tesla to retail home batteries through Yamada, Japan's top chain
23 Oct, 2024
Tesla will sell its Powerwall home battery system through Yamada Denki, Japan's largest electronics retailer, as part of a strategy to boost its virtual power plant (VPP) business. Sales will start at Yamada's Hiratsuka store and expand to Osaka and Matsue by year-end. The Powerwall, priced at 2.08 million yen ($13,700), can store enough electricity for an average household's daily use. While Tesla's automotive revenue has declined, its energy division saw sales double year-on-year. Japan's residential solar installations have increased, but home battery adoption remains low. The government plans to promote VPPs starting in fiscal 2026. Yamada aims to diversify its product lineup and increase sales in the home energy market through this partnership with Tesla.
NIKKEI Asia: https://asia.nikkei.com/Business/Energy/Tesla-to-retail-home-batteries-through-Yamada-Japan-s-top-chain
▶ Mitsubishi Electric to Launch 80×60-pixel Thermal-diode Infrared Sensor with More Than Double the Field of View of Existing Sensors
24 Oct, 2024
Mitsubishi Electric Corporation will launch the MelDIR-brand MIR8060C1 thermal-diode infrared sensor on January 6, 2025. This new sensor features an 80×60-pixel resolution and a 100°×73° field of view, more than doubling the coverage of existing sensors. It allows for efficient monitoring in various applications, such as elderly care facilities and building air-conditioning systems, by reducing the number of sensors needed. The sensor utilizes advanced technology to enhance image clarity and is designed to support quick integration into products, aiding manufacturers in speeding up development.
Mitsubishi Electric: https://www.mitsubishielectric.com/news/2024/1024.html
The EU-Japan Centre currently produces 5 newsletters :
Joint venture established in 1987 by the European Commission (DG GROW) and the Japanese Government (METI) for promoting all forms of industrial, trade and investment cooperation between the EU and Japan.
The EU-Japan Centre’s activities are subject to the allocation of a Grant Agreement by the European Commission for 2024-2026
