Japan is intensifying its efforts to fortify supply chains across Southeast Asia with a significant investment initiative aimed at enhancing regional operations and technological development. The initiative, valued at approximately 100 billion yen ($679 million), will support 15 Japanese firms in expanding their presence in the ASEAN region.
The Ministry of Economy, Trade and Industry is expected to unveil 13 key projects that will collectively receive 35 billion yen ($238 million) in subsidies. These projects will be implemented in various ASEAN member countries and focus on strategic sectors including semiconductors, electric vehicles (EVs), sustainable aviation fuel (SAF), and green hydrogen.
One notable project involves the establishment of a chip packaging facility in the Philippines, which will streamline both front-end and back-end semiconductor processes. Additionally, operations in Vietnam will receive support for manufacturing polycrystalline silicon, a vital material in semiconductor production.
The automotive sector will also see advancements with the introduction of EVs featuring battery-swapping technology and the development of battery exchange stations in Thailand. This initiative aims to strengthen Japan’s position in the growing EV market and address increased competition from other regional players.
In the energy sector, funding will be allocated for SAF production in Southeast Asia to reduce carbon emissions in aviation. Moreover, a green hydrogen project in Indonesia will focus on supplying eco-friendly hydrogen for ammonia production, aligning with Japan’s goals for sustainable energy solutions.
This investment underscores Japan’s commitment to building resilient and competitive supply chains in ASEAN, while reducing dependency on external sources and fostering regional economic growth.
#ICTTMNews #BreakingNews #SupplyChainInvestment #ASEANExpansion #TechDevelopment #NewsUpdate
