Japan aims to deploy 10 million AI robots by 2040 amid labor shortage

Japan’s Ministry of Economy, Trade and Industry released a revised AI Robot Strategy on June 30, setting a target of 10 million AI robots across 18 sectors by 2040 to counter an aging population and shrinking workforce. The plan includes up to ¥1 trillion in funding over five years for Noetra—a joint venture of SoftBank, NEC, Honda and Sony—to develop a multimodal AI platform, with a ¥387 billion allocation for fiscal 2026.

Taiwanese firms are positioned as key partners in Japan’s physical‑AI push. Start‑ups such as Valtec are supplying maritime sensors and unmanned‑air‑system services to Japanese fisheries, while GMI Cloud, Wistron and Chung Hwa Development are involved in building a gigawatt‑scale AI data centre in Kyushu, supplying hardware, financing and integration expertise. Japan’s strong sensor base—radar and sonar installed on half of the world’s commercial ships—underpins the data needs of physical‑AI deployments.

In China, industrial‑scale enterprises have now exceeded a 30 % AI‑application penetration rate, and the government expects humanoid robot production to surpass 100 000 units annually. The Ministry of Industry and Information Technology is advancing initiatives such as “Modular Resonance” and “Embodied Intelligence” training, and a China‑BRICS AI ethics governance plan is slated for release. These moves signal a rapid expansion of AI and robotics across Asian manufacturing.