JAPANESE ECONOMIC AND BUSINESS WEEKLY NEWSLETTER: 07 - 13 November ,2026
The EU Japan Centre is releasing a weekly press review covering Japan's economic and business matters.
Weekly Japanese Economic and Business News (07-13 November, 2026)
Outline
1. Economic News
▶ Japan, Vietnam leaders to deepen energy security cooperation in Tokyo talks
09 Nov, 2026
Photo Source: Mainichi
Japanese Prime Minister Sanae Takaichi and Vietnamese President To Lam are expected to strengthen bilateral cooperation on energy security, including nuclear and gas-fired power projects, stable oil supplies and rare earth supply chains. The talks also aim to deepen economic and security ties amid regional tensions and concerns over China's export restrictions. Both leaders reaffirmed the importance of a Free and Open Indo-Pacific and cooperation based on international law.
Mainichi:https://mainichi.jp/english/articles/20261109/p2g/00m/0na/025000c
▶ Threat of trade curbs pushes Japan steel exports to three-decade low
10 Nov, 2026
Photo Source: Kosuke Iguchi/Nikkei
Japan’s steel exports fell 4% year on year to 14.51 million tons in the first half of fiscal 2025, the lowest level for the period since 1997. The decline reflects rising global protectionism, including antidumping investigations, weaker demand in China, and disruptions in the Middle East. The EU’s carbon border adjustment mechanism and local-industry protection measures also add pressure on international steel trade. The trend highlights growing trade barriers and challenges for Japan’s steel industry.
▶ Japan to create defense research hubs at universities for AI, space tech
10 Nov, 2026
Nikkei montage/Source photos by Nikkei, JAXA
Japan plans to establish government-backed research hubs at universities and national research institutions by fiscal 2031 to develop technologies with potential defence applications, particularly in AI and space. The initiative aims to strengthen Japan’s long-term defence research capabilities by expanding collaboration between academia and the defence sector. It reflects growing concerns over technology-driven warfare and Japan’s efforts to enhance its defence industrial and technological base.
▶ Japan to include denial defense in revised security documents
11 Nov, 2026
Photo Source: Kyodo
Japan plans to incorporate the concept of denial defence into its three key security documents, focusing on strengthening deterrence through expanded use of drones, long-range missiles and integrated air defence systems. The revisions aim to align Japan's defence strategy more closely with that of the U.S. and enhance cooperation with regional partners, including Australia, South Korea and India. The government will also prioritize AI, defence industry resilience, ammunition stockpiling and SDF personnel recruitment to strengthen Japan's ability to respond to prolonged conflicts and evolving regional security challenges.
Nikkei Asia:https://asia.nikkei.com/politics/defense/japan-to-include-denial-defense-in-revised-security-documents
▶ Rare earth yttrium soars 9-fold in a year amid China curbs
12 Nov, 2026
Photo Source: Reuters
China's export restrictions have driven yttrium prices up ninefold in Europe over the past year, while Japan's import volumes have fallen by around 70%. Japan is strengthening cooperation with the U.S. and G7 partners and diversifying its supply sources, while Shin-Etsu Chemical is investing in new refining facilities. Although the impact on Japanese companies remains limited for now, continued dependence on China poses significant risks to Japan's industrial competitiveness and supply chain security.
Nikkei Asia:https://asia.nikkei.com/business/materials/rare-earth-yttrium-soars-9-fold-in-a-year-amid-china-curbs
▶ Japan eyes state takeover of aging plants making critical materials
13 Nov, 2026
Photo Source: Yuki Nakao/Nikkei
Japan is considering a temporary nationalization framework to protect domestic production facilities manufacturing strategically important materials, such as chemicals and castings. Under the proposed scheme, public agencies would acquire and modernize aging facilities using government funds, while private companies would continue operating them. The initiative aims to prevent supply disruptions, reduce dependence on foreign suppliers, particularly China, and strengthen Japan's economic security. The government plans to incorporate the measure into its revised economic security plan and establish a legal framework.
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2. Business News
▶ Mitsubishi Shipbuilding Acquires Certification from WinGD for MAmmoSS® Ammonia Fuel Handling System
09 Nov, 2026
Photo Source: MHI
Mitsubishi Shipbuilding, part of the Mitsubishi Heavy Industries Group, has become the first Japanese company to obtain Supplier Pre-Approval from Swiss marine engine manufacturer WinGD for key components of its ammonia fuel handling system, MAmmoSS®. The approval covers equipment for WinGD's ammonia-fueled marine engines and paves the way for its commercialization. The partnership marks progress in the development of ammonia-fueled vessels and supports efforts to decarbonize international shipping and advance the maritime industry's energy transition.
MHI: https://www.mhi.com/news/261109.html
▶ Musk's Terafab chipmaking project lines up Japan suppliers
10 Nov, 2026
Photo Source: Nikkei and Reuters
Elon Musk’s Terafab project, a joint initiative by Tesla and SpaceX to manufacture AI and robotics chips in Texas, has begun procurement talks with Japanese semiconductor equipment suppliers. The ambitious plan targets mass production from 2028, with a longer-term goal of producing up to one million wafers monthly by 2032. While the project could create significant business opportunities for Japanese suppliers and help ease global chip shortages, its feasibility, investment scale, and future demand remain uncertain.
▶Japan's Mitsui Chemicals to buy chip materials maker JSR for $11.6bn
10 Nov, 2026
Photo Source: Hikaru Yagi/Nikkei
Mitsui Chemicals will acquire semiconductor materials maker JSR from the state-backed Japan Investment Corp. in a $11.6 billion deal, expected to be completed in the second half of fiscal 2027. The acquisition will strengthen Mitsui’s position in the global semiconductor materials market by expanding its portfolio to include photoresists and other advanced chipmaking materials. The deal also reflects Japan’s broader strategy to reinforce its domestic semiconductor supply chain and economic security.
▶ Japanese Startup Subsidiary to Compete to Be Prime Contractor For Nasa’s Lunar Missions, in 1st for Japan
10 Nov, 2026
Photo Source: ispace
The U.S. subsidiary of Japanese lunar exploration startup ispace has been selected by NASA as one of nine companies eligible to compete for future lunar surface delivery missions, marking the first time a Japanese company has qualified as a potential prime contractor. The program aims to support the development of a future lunar base, with selected companies expected to transport large payloads to the Moon. The announcement highlights the growing international role of Japanese space technology, while NASA also plans to deploy a nuclear-powered rover near the Moon's South Pole by 2028 to explore potential resources, including water.
Yomiuri:https://japannews.yomiuri.co.jp/business/companies/20261110-358038/
▶ Japan metals maker plans $1.2bn Malaysia copper foil plant on AI demand
11 Nov, 2026
Photo Source: Mitsui Kinzoku
Japanese materials manufacturer Mitsui Kinzoku plans to invest ¥190 billion ($1.2 billion) in a new copper foil plant in Malaysia to meet growing demand from AI data centers and semiconductor-related industries. Scheduled to begin operations in stages from April 2031, the facility will produce advanced copper foil materials used in semiconductor substrates and high-speed network equipment. The investment will significantly expand production capacity, reinforcing the company's position in the global semiconductor and AI supply chains.
Nikkei Asia: https://asia.nikkei.com/business/materials/japan-metals-maker-plans-1.2bn-malaysia-copper-foil-plant-on-ai-demand
▶ IHI to mass-produce dual-use satellites in Japan
11 Nov, 2026
Photo Source: IHI
Japan's IHI plans to begin mass production of small satellites domestically, targeting an annual capacity of 20–30 satellites by fiscal 2029, in cooperation with Finnish company ICEYE. The satellites will support a planned 100-satellite constellation by around 2030, providing surveillance of critical infrastructure, military facilities and sea lanes. The initiative aims to strengthen Japan's defence capabilities, economic security and domestic space industry by developing a Japan-based supply chain and reducing reliance on overseas production.
▶ Ukraine defense tech unicorn cultivates Taiwan and Japan supply chain ties
12 Nov, 2026
Photo Source: DSET
Ukraine-rooted defence technology company Uforce, valued at over $1 billion, is expanding supply chain cooperation with Japan and Taiwan to strengthen drone production. The company has signed an agreement with Taiwan's AerosoarX to leverage Taiwan's expertise in semiconductors and electronics, while drawing on Ukraine's battlefield experience in autonomous systems. Uforce is also exploring Japanese components and potential joint production. The partnerships aim to diversify supply chains away from China and strengthen international defence industry cooperation amid growing regional security concerns.
▶ Australia miner Tivan teams with Sumitomo on tungsten, other key minerals
13 Nov, 2026
Photo Source: Tivan
Australian miner Tivan is expanding critical minerals development in partnership with Japanese companies, including Sumitomo and JOGMEC, to diversify supply chains and reduce dependence on China. Their projects focus on tungsten and fluorite, essential for advanced manufacturing, semiconductors, aerospace and other strategic industries. The cooperation highlights strengthening Australia–Japan economic and resource security ties amid growing geopolitical tensions and Chinese export restrictions.
Published: November 2026
EU-Japan Centre for Industrial Cooperation
Joint venture established in 1987 by the European Commission (DG GROW) and the Japanese Government (METI) for promoting all forms of industrial, trade and investment cooperation between the EU and Japan.
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