Japan targets $2.3 trillion of investments by 2040 to boost tech sectors

Japan has unveiled a long‑term growth strategy that aims to mobilise about 370 trillion yen (roughly $2.3 trillion) in public and private investment by 2040. The plan, overseen by Prime Minister Sanae Takaichi, focuses on 17 strategic sectors such as semiconductors, robotics, artificial intelligence, space exploration, shipbuilding and critical minerals.

To reduce risk and attract international capital, the government will provide subsidies, consider multi‑year budgeting and may use relay bonds. It intends to increase domestic semiconductor revenue fivefold to around €221 billion and devote €56.6 billion to “physical AI,” emphasizing autonomous systems and robotics. The initiative is presented as a response to Japan’s low growth, aging population and the need for technological independence, with full details expected in an official announcement next week.