Karnataka Forges Strategic Alliances in Japan to Power Semiconductor and EV Ambitions
Bengaluru, 8 Sept. – In a significant push to solidify its position as a global advanced manufacturing hub, a high-level delegation from the Government of Karnataka, led by Industries Minister M.B. Patil, has concluded a series of pivotal meetings with Japanese industrial giants in Tokyo. The visit, focused on semiconductors, electronics, and electric vehicle manufacturing, yielded concrete investment commitments and paved the way for deeper technological collaboration.
The strategic tour aimed to leverage Japan’s technological prowess to accelerate the development of Karnataka’s industrial ecosystem, showcasing the state’s mature talent pool and investor-friendly policies to top-tier companies.
Tokyo Electron’s Bengaluru Base: A Cornerstone for Innovation
The delegation’s meeting with semiconductor manufacturing equipment giant Tokyo Electron underscored the state’s growing significance in the global chip supply chain. The company revealed that its Bengaluru facility, already established as a development base for new materials and production efficiency, is a “significant milestone in India’s semiconductor journey.”
The government team highlighted Karnataka’s deep semiconductor ecosystem and highly skilled talent pool, positioning the state as the natural choice for Tokyo Electron’s future expansion. Both parties agreed to maintain close engagement to explore further collaboration.
Honda Drives Into EV Future with Kolar Plant
In a major boost for Karnataka’s electric vehicle (EV) landscape, Honda Motor Company confirmed plans to establish its first electric two-wheeler production base in India at its existing facility in Narsapura, Kolar. The plant, already Honda’s largest two-wheeler plant in India with an annual production of over 2.4 million vehicles, will see an investment of INR 600 crore aligned with a prior MoU.
Minister Patil, in discussions with Director Noriya Kaihara and other leaders, urged the automotive titan to explore expanded investments beyond the two-wheeler segment, assuring the company of the state’s full and unwavering support.
Strengthening the Manufacturing Core with Mitsubishi and Yokogawa
Discussions with Mitsubishi Electric focused on broadening the company’s substantial footprint in the state. The delegation reviewed its operations in computerized numerical controllers, elevators, UPS, and chillers manufacturing, focusing on strengthening the capital equipment ecosystem. The state government assured full support for Mitsubishi’s ongoing and future operations.
Similarly, Yokogawa Electric, which has a strong presence in Bengaluru employing over 2,000 people, reaffirmed its positive experience operating in Karnataka. The company stated it would soon reach capacity in its existing facilities and would actively explore expansion opportunities in the state.
The delegation detailed the benefits under Karnataka’s New Industrial Policy 2025-2030, assuring best-in-class incentives. “We are committed to reinforcing Karnataka’s role as a hub for advanced manufacturing and technology-driven industries,” a senior official stated.
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Building the Electronics Value Chain with Restar
The push into electronics manufacturing was advanced in a meeting with Restar Holdings, a key player in electronics and semiconductor solutions. The delegation encouraged the company to initiate Electronics Manufacturing Services (EMS) operations in Bengaluru.
Restar disclosed that it is entering a joint venture with an Indian partner to establish distribution operations in India. The Government of Karnataka assured full support for these ventures and encouraged the company to consider future expansion within the state.
A Strategic Partnership for a High-Tech Future
This visit is a cornerstone of Karnataka’s broader strategy to attract high-value, future-ready investments from Japan. By securing commitments in semiconductors, electric vehicles, and advanced manufacturing, the state government is taking decisive steps to secure Karnataka’s economic future and create a powerful innovation-driven job market.
The resounding message from Tokyo is that Karnataka is open for business and is poised to become India’s undisputed leader in the industries that will define the next decade.
Key Quotes
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On Semiconductor Ecosystem: “The delegation showcased Karnataka’s deep semiconductor ecosystem and highly skilled talent pool, positioning the state as a natural choice for future growth.” – Government Delegation
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On Honda’s Investment: “An investment of INR 600 crore, aligned with the Global Investors Meet MoU… will be grounded shortly.” – Official Announcement
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On State Support: “The Government of Karnataka assured full support for ongoing and future operations while encouraging companies to expand their investments in the state.” – Official Readout
