Notice of Subsidy for Projects to Stimulate Direct Investment in Japan

JETRO is calling for applications from a wide range of companies for the "Subsidy for Foreign Direct Investment Stimulation Project" as follows.

※Applications are now closed.

Objective

This subsidy program covers the cost of demonstration projects by foreign and foreign-affiliated companies in Japan for introducing and developing innovative technologies and business models in Japan through collaboration between foreign companies/foreign-affiliated companies in Japan and Japanese companies/research institutions (*).

(*) Including foreign companies incorporated in Japan (limited to companies in which foreign investors hold more than 1/3 of the shares and the largest foreign investor holds 10% or more of the shares).

Basic Requirements for Subsidy Recipients

Private companies etc. that have an office and legal entity in Japan and have an actual business presence in Japan.

Outline of Projects Eligible for Subsidy

Place of implementation

Japan

Target Fields

  • Manufacturing
  • Healthcare
  • Green
  • Other fields including digital-related areas (mobility, fintech, wholesale/retail trade) that contribute to the introduction of technologies, business models, etc.

Project Requirements

  • The foreign-affiliated company in Japan or the foreign collaboration partner of Japanese companies must have a specific project for investment, business expansion, or collaboration in Japan, and the implementation of the project must promote the investment or creation of collaborative partnership projects in Japan.
  • The contractor must have an adequate internal system in place for the project implementation.
  • The Japanese collaboration partners must be proactively involved in the implementation of the project (in the case of Type 2).
  • The foreign-affiliated company in Japan must be a company in which foreign investors own more than 1/3 of the shares of that Japanese corporation, and in which the largest foreign investor has a stake of 10% or more (In the case of participation by a foreign-affiliated company in Japan)

Additional Project Requirements

  • The project must have technological novelty or contribute to the introduction of a new business model.
  • The project must contribute to solving Japan's economic and social problems.
  • The project must contribute to policy areas such as supply chain resilience.
  • The project must contribute to the revitalization of the region or promotion of FDI in the region.
  • The foreign collaboration partner or foreign-affiliated company in Japan to collaborate is a start-up company with technological innovativeness.
  • Foreign capital accounts for the majority of the foreign-affiliated companies participating in the project.
  • The project is highly feasible in terms of investment in Japan and formation of collaborative partnership projects.
Project Type
Project Type Project Contractors Partners Project examples
Type 1
Application
by foreign-affiliated companies
  • Joint research and social implementation projects through collaboration with related organizations
  • Investment projects for the purpose of social implementation, etc. solely by foreign-affiliated companies
Foreign-affiliated companies in Japan Japanese companies,
foreign companies,
research institutions,
local governments, etc.
(Can be independent)
  • Joint research with research institutions, etc. for developing new technologies and solutions
  • Project development contributing to solving issues faced by local governments
  • Project development for social implementation and business expansion by foreign-affiliated companies
Type 2
Application of Japanese companies
  • Projects for social implementation, etc. through collaborative partnerships with foreign and foreign-affiliated companies
Japanese companies Foreign companies, Foreign-affiliated companies in Japan
  • Formation of collaborative projects with participation of foreign companies and foreign-affiliated companies in Japan in a consortium of Japanese companies
  • Development of new collaborative projects between Japanese companies and foreign companies/foreign-affiliated companies to solve social issues in Japan
  • Joint F/S contributing to attracting foreign companies

Subsidized Expenses

Expenses for machinery and equipment, subcontracting and outsourcing, travel, fixtures, supplies, personnel, auxiliary personnel, advertising, and other expenses necessary to implement the project.

※Expenses that can be identified and confirmed to be used exclusively for the project are eligible for the subsidy.
※The subsidy will be paid after the completion of the project and the submission of the subsidy project performance report, and after the final inspection by JETRO. Please note that there is no estimated payment.

Maximum Subsidy Amount, Subsidy Rates

  • Small and medium-sized enterprises:Subsidy of up to 1/2 of eligible expenses, with an upper limit of 15 million yen
  • Large enterprises:Subsidy of up to 1/3 of eligible expenses, with an upper limit of 15 million yen

※ The amount of expenses to be borne by each project will be determined after reviewing the details of the project.
※ The subsidy amount will be determined after the project is completed and the use of the contracted amount is inspected.
※ If the work stipulated in the contract is not completed, no payment of any expenses can be made.

Number of projects to be selected

Approx. 8 projects (small, medium and large enterprises in total)

Project implementation period

From the date of signing the grant agreement to January 31, 2024

Application Schedule

Application Period

March 24 to April 21, 2023 (17:00 JST)
※All applications will be submitted online. Please apply well in advance.

※Applications are now closed.

Deadline

April 21, 2023, 17:00

Announcement of Selected Projects

Application Process

Please apply from the Japanese website of this project.

Inquiries

DX Promotion Team, Invest Japan Promotion Division Japan External Trade Organization(JETRO)
Tel: +81-(0)3-3582-5644
E-mail: DX_POC@jetro.go.jp
Office hours: 9:00 a.m. - 12:00 p.m. / 1:00 p.m. - 5:00 p.m.
Excluding Saturdays, Sundays, national holidays, and year-end and New Year holidays

*For inquiries regarding this project, please use the "Inquiry Form" below.If you do not have access to the form, please send an e-mail to DX_POC@jetro.go.jp with your company name and name. The secretariat will reply within 5 business days. Please note that inquiries received just before the deadline may not receive a response in time to meet the deadline. Please read the FAQ (Frequently Asked Questions) before making an inquiry. Please note that the contents of your inquiry may be published on this website.

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