Market Intelligence
Equipment and Machinery Industrial Materials Information and Communication Technology Japan Trade Development

Japan Advanced Manufacturing Opportunities

Japan represents a significant and growing market for U.S. companies involved in advanced manufacturing technologies. As Japanese industries rapidly embrace digital transformation to address demographic and productivity challenges, U.S. firms have a timely and strategic opportunity to offer high-value solutions that meet urgent needs in automation, robotics, and smart manufacturing.

For the past decade, value-added manufacturing businesses in Japan have accounted for more than 20 percent of Japan’s GDP, and Japanese manufacturing companies are estimated to have spent $12.9 billion on software alone. In addition, capital investments in upgrading manufacturing facilities with advanced manufacturing and digital technologies have grown steadily. With 80% of Japanese companies utilizing digital technology in 2023, compared to only 50% in 2019, the growth in acceptance of advanced technology solutions presents opportunities for U.S. suppliers to sell into certain niches of the Japanese market.

Japan is home to some of the world’s leading manufacturers and was the second largest industrial-robot market in 2023. Over the past three years, 435,300 robotic units have gone into operation in Japan representing a 17% growth rate. As of 2023, 38% of all industrial robots in the world trace their origin back to Japan. U.S. companies can find buyers among these Japanese manufacturers with components and software for packaging, transport, logistics, food and pharmaceuticals.

There is also an urgent need for advanced manufacturing technologies, namely automation, robotics, and industry 4.0 and related solutions, to address acute workforce shortages in Japan. According to the OECD, Japan has the world’s third “oldest” population and oldest population of G20 countries, with over 28% of its population over the age of 65. Japan’s population has been declining for 13 consecutive years by about 2.95 million. According to the Japanese thinktank, the National Institute of Population and Social Security Research, Japan is projected to experience a net decrease of 5.5 million people in the next 10 years – or 4.68% of Japan’s current population of 123.6 million people. Advanced manufacturing technologies increase productivity at manufacturing sites, consume less energy, and lead to fewer product defects and offer a solution to the diminishing Japanese workforce.

To maximize success in the Japan market, U.S. firms should partner with local agents or distributors with deep industry knowledge and sales networks to market their products to end-users in Japan or establish their own Japan office to have representatives on the ground.

Key Trade Show Opportunities in Japan:

IIFES 2025 
Dates: November 19 – November 21, 2025
Venue: Tokyo Big Sight
https://iifes.jp/ex/
Description: IIFES is a biannual trade show for automation and measurement systems. U.S. Commercial Service has been a partner of this trade show for over 8 years and has been arranging speaking opportunity and booth space for U.S. companies. About 200 exhibitors and 42,500 participants attended this in-person event in 2024.

Japan International Machine Tool Fair (JIMTOF) 2026
Dates: October 26-31, 2026
Venue: Tokyo Big Sight
https://www.jimtof.org/en/
Description:  JIMTOF is a biannual trade show. Almost 1,270 exhibitors and 129,000 manufacturing and machinery business professionals attended JIMTOF 2024. The largest industrial machinery shows in Japan, the show originally started as an industrial machine show, but now as technology has evolved, software, additive manufacturing and other emerging technology products ae also showcased at the event. 

For more information, please contact the U.S. Commercial Service at Office.Tokyo@trade.gov.