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British Columbia and Japan

Japan is the world’s third-largest economy and one of the most stable societies. With a sizeable retail and luxury retail markets, a transparent business environment and a skilled workforce, Japan is home to many business and collaboration opportunities. B.C. and Japan enjoy that is underpinned by the CPTPP trade agreement.

Trade & Investment Highlights

In 2022, Japan was B.C.’s third largest destination for commodity exports.
The Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) provide Canada and Japan with a steady and diverse commercial relationship covering trade, investment, and innovation.
In 2022, B.C. and the Japan Overseas Infrastructure Investment for Transport and Urban Development (JOIN) signed an agreement for innovative and clean solutions for future transportation projects and priorities. This agreement was co-signed at a trade mission to Asia in May 2023 for a three-year renewal agreement.
B.C. signed a MOU with the Japan Organization for Metals and Energy Security (JOGMEC) in May 2016 to explore mutually beneficial solutions to enhance export opportunities and help unlock new sources of energy, such as hydrogen. This was renewed in 2023.
Through Canada’s Indo-Pacific Strategy, Canada will work with Japan toward sustainable energy and free trade to address climate change and environmental protection.

Japan at a Glance

Monetary figures are in USD

Opportunity for Foreign Investors and B.C. Exporters

Aerospace

Japan boasts the largest and most experienced aerospace sector in Asia, renowned for high-quality manufacturing and innovation across aircraft, helicopters, engines, and space exploration. Industry leaders such as Mitsubishi Heavy Industries, Kawasaki Heavy Industries, Subaru Corporation, and the Japan Aerospace Exploration Agency (JAXA) anchor its global reputation. In March 2024, Japan announced a strategy to mass-produce domestically developed aircraft with decarbonization technology by 2035, aiming to strengthen its aerospace manufacturing capabilities. However, stretched domestic production capacity presents opportunities for British Columbia (B.C.) companies to integrate into Japanese supply chains as suppliers or technology partners. Additionally, Japan’s ongoing projects in defense, transport aircraft, small jets, and engines create a promising market for imported aerospace components and technologies from B.C.

Agrifood & Agritech

Japan’s limited arable land, aging agricultural workforce, and food security concerns make it a significant net importer of agrifood products. The government is addressing these challenges through reforms and initiatives like the Strategy for Sustainable Food Systems (MIDORI) and Climate-Smart Agriculture, aiming to enhance productivity and sustainability. B.C. agritech companies, especially those with innovative ICT solutions, can collaborate with Japan on R&D and smart agriculture technologies. These partnerships can support Japan’s goals for efficient, sustainable farming practices while leveraging shared challenges like high land costs and labor shortages.

Cleantech

Japan’s commitment to carbon neutrality by 2050, supported by its Green Growth Strategy, drives demand for innovative clean technologies. As a global leader in renewable energy patents, Japan is advancing solutions in solar, wind, hydrogen energy, and carbon capture technologies. B.C.’s expertise in hydrogen and fuel cell technology aligns well with these priorities, offering opportunities for technology exports, licensing, and joint R&D. Additionally, B.C. companies can tap into Japan’s interest in methanation and CO2 capture technologies, positioning themselves as valuable partners in Japan’s decarbonization efforts.

Clean Energy

Japan’s transition from fossil fuels to renewable energy, supported by initiatives like the Japan Climate Transition Bond and METI’s Green Growth Strategy, underscores its commitment to achieving carbon neutrality by 2050. The 2023 MOU between B.C. and the Japan Organization for Metals and Energy Security (JOGMEC) highlights opportunities for collaboration in clean energy solutions. B.C.’s hydrogen expertise, coupled with its proximity and reliable energy resources, positions it as a key partner in Japan’s energy transition, particularly in hydrogen and ammonia exports.

Critical Minerals

Japan’s reliance on imported critical minerals, compounded by supply chain vulnerabilities, offers opportunities for B.C. as a secure trade partner. With expertise in exploration and development, B.C. can position itself as a reliable supplier of essential minerals like gold, copper, lithium, and nickel. Strong relationships with Indigenous groups and streamlined approval processes further enhance B.C.’s appeal for investment and collaborative projects with Japanese firms seeking alternative and resilient supply sources.

Digital Media and Entertainment

Japan’s digital media market, particularly its video game industry, is poised for significant growth by the end of 2024. With a globally influential entertainment sector, Japan presents opportunities for B.C. companies specializing in animation, visual effects, and AR/VR technologies. Vancouver’s strong digital ecosystem could attract partnerships with major Japanese firms, facilitating international market expansion. However, smaller B.C. firms may require additional support to gain visibility with Japanese investors, making targeted outreach essential.

ICT

As one of the world’s largest ICT markets, Japan is investing heavily in digital transformation, supported by initiatives like the Digital Agency and green investment tax incentives. Opportunities abound for B.C. tech companies specializing in AI, IoT, and big data to collaborate with Japanese firms and capitalize on the country’s robust digital infrastructure and growing 5G network. Japan’s prioritization of ICT development aligns with B.C.’s strengths, fostering potential partnerships and market entry pathways.

Life Sciences

Japan, the world’s third-largest pharmaceutical and healthcare market, is driving innovation in biotechnology and healthcare to address challenges like an aging population. The government actively seeks international pharmaceutical products and expertise, presenting export and investment opportunities for B.C. life sciences firms. With its reputation for innovation, B.C. can expand its footprint in Japan’s healthcare sector through R&D collaborations, product exports, and potential manufacturing partnerships.

Liquified Natural Gas (LNG)

Japan, the world’s second-largest LNG importer in 2023, represents a significant market for B.C. as LNG exports commence in 2025 following the completion of the LNG Canada project. B.C.’s strategic location, including the Port of Prince Rupert and Ridley Island’s Propane Export Terminals, enhances its appeal as a reliable energy supplier. These developments are set to deepen trade ties, strengthening B.C.’s position as a key LNG exporter to Asia.

Japan Top Industries (2019-2023)

Industries for Outward Investment

Investment Opportunities in Canada: Vehicles & Parts

Investment Opportunities in Canada: Real Estate

Investment Opportunities in Canada: Coal, Oil & Gas

_{Source: FDI Markets}

Import Industries
(by value)

Investment Opportunities in Canada: Mineral Fuels & Oils

Investment Opportunities in Canada - Electrical Machinery Equipment

Investment Opportunities in Canada: Machinery

_{Source: International Trade Centre}

Fastest Growing Import Opportunities

Investment Opportunities in Canada: Grains (Cereals)

Investment Opportunities in Canada: Pharmaceuticals

Investment Opportunities in Canada: Toys, Games & Sports

_{Source: International Trade Centre}

BC Export Industries to Market

Investment Opportunities in Canada: Wood Products

Investment Opportunities in Canada: Mineral Ores, Slag & Ash

_{Source: BC Stats, data sourced from Statistics Canada}

Trade & Investment Resources

For B.C. Businesses

For International Businesses

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How We Help

Assist in commercial location identification and site selection.
Provide information on transportation infrastructure and logistics gateways.
Offer introductions to sector associations, industries and provide cluster insight.
Facilitate understanding and solutions for talent, skilled workforce and labour mobility
Facilitate engagement with professional advisors on legal, compliance and tax matters
Help navigating and offering referrals within government agencies on First Nations, business and regulatory processes.

Identify high potential investment opportunities and offer industry insight.
Introductions to sector associations and local industry contacts.
Introductions to companies seeking investments to expand.
Provide knowledge on local innovation hubs and connections to entrepreneurial opportunities.
Introductions to local venture capital networks.

Assist in navigating government export programs and financial supports.
Advice and coaching in international expansion and exporter development.
Support Team BC missions and trade events.
Match buyers and sellers in local and foreign markets.
Provide insight on trade agreements and barriers.
Introductions to trade representatives in foreign markets.
Market entry assistance in international markets.

Trade & Investment Team in Japan

Japan
- Tokyo

Tokyo

British Columbia and Japan share a long and significant cultural and economic history.

Our representative’s extensive networks in Japan and strong connections to British Columbia help businesses capitalize on shared business opportunities across the country.

Japan Team:

Commercial Section
Embassy of Canada
7 Chome-3-38 Akasaka
Minato City, Tokyo
107-0052, Japan

Contact our Trade and Investment Representatives. Our team welcomes your inquiries:

Christopher Malcolm
Acting Director

Nobuo Araki
Acting Senior Commercial Officer

Tomoko Nakasuji
Commercial Officer

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