Japan: A Deep Tech Innovation
Partner Startups Shouldn’t Overlook
Japan is emerging as a global hub for startup support, especially in the deep tech sector. A key player is NEDO (New Energy and Industrial Technology Development Organization), a governmental agency that drives innovation and R&D with a budget of over $1 billion annually. With a clear vision to foster a sustainable startup ecosystem, NEDO already has international offices around the world to promote technological cooperation and innovation. This year, it’s expanding its presence to Jakarta, Indonesia. In Thailand, NEDO has initiated more than 30 projects related to renewable energy and EV batteries.
The Japanese government has set a 5-year strategy to grow the number of domestic startups tenfold by 2027. This initiative focuses on improving access to funding, with a dedicated $690 million fund for deep tech, and creating more diverse exit strategies like IPOs or mergers with large corporations. This approach supports startups at every stage—from seed to early and middle stages—and promotes their growth.
A major advantage of Japan’s support system is the clarity and generosity of its programs, particularly NEDO’s Deep Tech Startup Support Program (DTSU). This program is designed to help startups from the very beginning all the way through to expansion. The funding is provided as a grant rather than an equity investment, which allows founders to maintain full control and avoid ownership dilution. Additionally, up to 50% of the funds can be used for operations outside of Japan, offering a golden opportunity for international startups to enter the Japanese market without fully relocating their headquarters.
To qualify for support, international startups only need to be incorporated in Japan, not be controlled by a large corporation, have been founded within the last 10 years, and be able to prepare their proposal in Japanese. These criteria are very welcoming for serious and ambitious entrepreneurs.
Beyond financial support, Japan is also very open to global learning and networking. Programs like Imagine send startup teams to train in Silicon Valley and Paris. The country is also hosting the Global Startups Expo 2025 in Osaka, which will turn global issues into challenges for startups to present innovative solutions in fields like energy, green industry, artificial intelligence, and the circular economy.
For Thai entrepreneurs with expertise in deep tech or global problem-solving technologies, Japan is more than just a market; it’s a dedicated partner ready to provide serious support from day one. If you’re looking for a country that offers funding, technology, business opportunities, and a global network, Japan should be on your radar.
