Japanese cos bet on India as part of their 'China+1' plans

NEW DELHI: Post Covid-19 pandemic, Japanese companies are eyeing India as a base as they adopt the 'China Plus One' strategy to diversify their manufacturing and supply chains to reduce dependence on China, experts from Deloitte said.

The strategy involves establishing production facilities in alternative countries, with India emerging as a significant beneficiary.

"Post-Covid, Japanese companies have been actively exploring China-plus supply chain strategies, with India emerging as a key destination. While some companies returned to Japan, others are looking at India not just as a manufacturing hub, but as a gateway to high-growth markets like the Middle East and Africa," Deloitte Japan CEO Kenichi Kimura said. The Japanese government has actively supported this shift.
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