Goyal invites Japanese businesses to expand in India
Union Commerce and Industry Minister Piyush Goyal has invited Japanese businesses to deepen investments and partnerships in India. He highlighted India’s expanding market, young workforce and growing opportunities across emerging industries.
Goyal made the appeal at a dinner hosted by the Uttar Pradesh government for a Japanese delegation. Uttar Pradesh Chief Minister Yogi Adityanath also attended the event. The delegation came from Japan’s Yamanashi Prefecture.
Goyal said the India-Japan partnership has gained greater strategic and economic importance. He linked the relationship to shared aspirations for peace, progress and prosperity across the Indo-Pacific. He also said cooperation now extends beyond national capitals and reaches individual Indian states.
Uttar Pradesh offers major investment opportunities
Goyal presented Uttar Pradesh as an attractive destination for Japanese investment. He said the state aims to become a USD 1 trillion economy. The minister highlighted the state’s large population, improving connectivity and expanding industrial base.
He also pointed to the availability of skilled workers across several sectors. Uttar Pradesh has more than nine million MSMEs, according to Goyal. The state also ranks as India’s fifth-largest exporter.
Several Japanese companies already operate within its manufacturing ecosystem. These include Escorts Kubota and Seiko Advance. Goyal said Japanese technology can complement India’s young workforce and large domestic market.
He also highlighted major infrastructure projects supporting the state’s investment potential. These include Jewar International Airport and the Yamuna Expressway. The Japan International Cooperation Agency supports the Western Dedicated Freight Corridor.
The state also has 27 industrial clusters and sector-specific ecosystems.These clusters cover areas such as defence, semiconductors and electronics.
India-Japan trade reaches USD 27.5 billion
Goyal highlighted the growing scale of bilateral commercial engagement. India-Japan trade reached around USD 27.5 billion during FY 2025-26. Japan has also become India’s fifth-largest source of foreign direct investment. More than 1,400 Japanese companies currently operate across India.
Major names include Suzuki, Toyota and Honda in the mobility sector. Sony operates in electronics, while Hitachi and Mitsubishi have engineering interests. Goyal also highlighted Japan’s plan to invest 10 trillion yen in India over the next decade. The commitment emerged during the 16th India-Japan Annual Summit in New Delhi in July.
He identified artificial intelligence, semiconductors and critical minerals as promising investment areas. Batteries, energy and next-generation mobility could also create significant opportunities.
Infrastructure and technology create new avenues
Goyal pointed to several successful projects that demonstrate bilateral cooperation. The Mumbai-Ahmedabad High-Speed Rail corridor remains a major example.Japanese assistance has also supported metro systems in Delhi, Ahmedabad, Bengaluru and Chennai.
India now has 11 Japanese industrial townships across eight states. These facilities can support deeper manufacturing integration and new supply chain partnerships. Goyal also identified energy and the green and blue economy as priority areas.
Agriculture, defence and infrastructure could offer further opportunities for Japanese companies. He said India’s civilisational soft power can also strengthen people-to-people connections.
Goyal plans Japan visit
Goyal said India’s reform journey follows the Japanese principle of Kaizen.
The principle focuses on continuous improvement.
He cited progress in ease of doing business and infrastructure development.
He also highlighted digital public infrastructure and multimodal logistics. Improved Japanese language capabilities can further support business engagement. Goyal will visit Japan from August 24 to 27, 2026.
He plans to hold discussions with Japanese government representatives and industry leaders. The visit will seek to advance economic cooperation and strengthen the Special Strategic and Global Partnership.
Uttar Pradesh positioned as Japanese growth hub
Goyal urged Japanese companies to consider India as a long-term growth base. He specifically invited businesses to explore opportunities in Uttar Pradesh. He said the state could become a hub for Japanese innovation.
Such a hub could serve markets across the Indo-Pacific and beyond.The India-Japan partnership could therefore gain a stronger state-level dimension.Greater Japanese investment could support manufacturing, employment and technology transfer.
It could also help Indian businesses integrate with Japanese supply chains. Goyal further highlighted the long historical links between India and Japan. He recalled their civilisational connections through the teachings of Buddha. The minister said these shared links provide a strong foundation for deeper economic engagement.
The expanding India-Japan partnership now combines strategic interests with growing commercial opportunities
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