Japanese population living in urban areas

61 bn$

Estimated growth of the Smart Mobility market in Japan till 2030


Japan in the ranking of the largest IT markets in the world


Smart Mobility market in Japan – overview

Smart Mobility and Future Transportation solutions are on the very forefront of the global economic transformation. New age of transportation, marked by the arrival of the ride-hailing, ridesharing and carsharing services, reformed public transportation and automatization are changing the way we travel. Our perception of cities and the role that the transportation plays in them is also changing – digital revolution is offering and unprecedented window of opportunity in the development of Smart Cities. Future Transportation plays a key role in delivering more efficient, sustainable, and inclusive urban mobility.

With urbanization levels around 90% in 2019, Japanese largest cities prove to be an enabling environment for the Smart Mobility solutions. This is reflected by R&D initiatives of Japanese corporations as well as by the incentives provided by the Japanese government. This thriving environment attracts more and more companies from Europe. Hence, East Analytics research team prepared the report ‘Smart Mobility Market in Japan and Opportunities for EU SMEs’, to offer some insight for the EU companies interested in entering the Japanese market.

The report deals with some of the most important trends and recent developments in the main segments of the market: Automotive, Cargo, Metropolitan Transportation, Car Sharing, Drones. The research team has covered three main topics: the governmental initiatives, main players, and the biggest projects.

What can you find in our report?

  • Projections and estimates on the market, that is expected to grow from 28 bilion euro to 58.080 billion euro by 2027 (20.2% CAGR)
  • Key players in the market segments, including domestic and global leaders such as Toyota Corp, Honda Motor Corp, Nissan Motor Co. Ldt, Toshiba Corp.
  • Governmental strategies that show us the general direction of the changes such as Society 5.0 and Basic Hydrogen Strategy
  • New regulations and law reforms concerning the swift changes in the market,
  • A list of the most important trade events, fairs and organizations,
  • Recommendations for EU SMEs that are seeking information on the opportunities in the market.

Why the Japanese Future Transportation market?

Japan, 3rd largest global economy, is known as one of the pioneers in the development of technology and IT industry and is still a crucible or the AI, modernization and energy-saving trends worldwide. As one of the largest IT markets in the world and home to the biggest tech companies, Japan is standing in the forefront of the changes – its ICT market, worth more than 200 billion euro, is the 3rd largest I the world, after the US and China.

Although the main players in the market compromise of large corporations, 99.5% of all enterprises in Japan are small and medium-sized. Focus on internal consumption leads to the lower international trade-to-GDP ratio on a global scale – around 32%.

Those are not the only factors that influence changes in the Smart Mobility market in Japan. The country faces several structural and social challenges that come from the aging society. Shrinking workforce, rising concerns about the challenges connected to the welfare and healthcare of the citizens as well as the highest life expectancy (84 years) in the world are fueling the innovations.

To address those structural and organizational issues, Japanese government came up with the ambitious concept of the “Society 5.0” that will allow humans to reach a higher level of development. Humans still evolve, just like they evolved past the hunter-gatherer stage of the societal growth. Japan sees the future in the AI, high technologies, Smart Factories, Smart Cities and in the Future Transportation solutions.

The full report as well as the recording of the webinar can be found on the EU Business in Japan’s website concerning the Webinar 171: Smart Mobility Market in Japan and Opportunities for EU SMEs.



  • Potential for the software providers,
  • Boom of the hydrogen and fuel cell technologies that matches ambitious governmental goals,
  • Shortage of the qualified workforce,
  • Large investments in the Internet of Things Industry,
  • Stable and still growing European market of the electric cars that offers opportunities for the mutual cooperation.

  • Reliance on the public transportation, which slows the growth of the car sharing and ride hailing services,
  • Slower demand for the private vehicles in the largest cities (Tokyo, Osaka, Nagoya),
  • Complicated regulatory framework,
  • Domination of the domestic companies.
Do you have any questions regarding this topic?