Unlocking strategic investment opportunities through JETRO

The Japan External Trade Organisation (JETRO) plays a pivotal role in strengthening the dynamic partnership with the UAE by offering a diverse and strategically aligned range of opportunities to its investors across innovation, sustainability, advanced industries, and healthcare, its top official says.

Nobuyuki Nakajima, Managing Director, JETRO Dubai, Middle East and North Africa, said the UAE investors are increasingly drawn to Japan’s stable and innovation-driven economy, with several sectors offering promising opportunities for collaboration and growth.

Recommended For You

3 killed in shooting at Australia lakeside town, gunman at large

Sharjah Islamic Bank proposes 20% cash dividend as it posts net profit of Dh1.3 billion for 2025 

Explained: NCM official breaks down the latest cold wave across UAE, parts of the world

Trump launches his Board of Peace, says it will work 'in conjunction' with UN

Goldman Sachs raises 2026-end gold price forecast by $500 to $5,400/oz

 

“The UAE’s private investors are also actively engaging in Japan’s vibrant startup ecosystem, especially in areas like deep tech and digital innovation,” Nakajima said during an interview.

He said Japan’s national priorities such as digital transformation, green growth and healthcare innovation, among others, mirror the UAE’s diversification goals and provide fertile ground for co-investment in cutting-edge sectors.

Excerpts from the interview:

What are the main sectors driving the growth of bilateral trade between Japan and the UAE, and how is JETRO supporting these sectors to enhance trade relations?

The UAE’s economic diversification and Japan’s technological strengths create strong synergy. With non-oil economy expanding rapidly and JETRO’s sustained support, bilateral trade is expected to deepen across advanced manufacturing, green energy, food and consumer goods, healthcare, innovation sectors, building a future-oriented partnership beyond hydrocarbons. JETRO plays a pivotal role in strengthening the dynamic partnership between Japan and the UAE. Through its extensive initiatives, JETRO supports trade, investment, and innovation exchange between the two nations — aligning with the UAE’s diversification goals and Japan’s focus on sustainable global growth.

Market Intelligence and Research: JETRO provides Japanese and Emirati businesses with market intelligence, sector reports, and regulatory updates. JETRO Dubai conducts reports on key sectors such as food and agriculture, healthcare, technology, and energy. Periodic research on trade trends, investment climate, and economic developments in Japan and the UAE. These reports help businesses understand market dynamics and identify opportunities for entry or expansion.

Business Matching and Trade Missions: To foster direct business connections, JETRO organises targeted trade missions and networking events that bring together Japanese firms and UAE counterparts across high-growth sectors. These missions facilitate knowledge sharing, technology transfer, and long-term partnerships that expand commercial opportunities beyond traditional energy.

Trade Fairs and Japan Pavilions: JETRO actively promotes Japanese products and innovations at major international exhibitions such as Gulfood, GITEX Expand North Star, Arab Health. Through “Japan Pavilions,” it showcases a wide range of industries — from food and healthcare to energy technology — highlighting the quality, reliability, and sustainability of Japanese solutions to the Middle Eastern market.

Investment Facilitation: As a key link between investors and policymakers, JETRO assists Japanese companies establishing operations in the UAE, while also supporting UAE investors seeking opportunities in Japan. The organisation provides guidance on legal frameworks, market entry, taxation, and investment incentives — helping businesses navigate both regulatory environments.

Can you elaborate on the current investment landscape for Japanese companies in the UAE and vice versa? What emerging opportunities do you see for investors from both countries?

Japan and the UAE are deepening their investment ties, driven by shared goals in sustainability, innovation, and economic diversification. Their partnership is evolving from traditional energy trade to advanced industries and technology.

Expanding the Scope of Bilateral Investment: The UAE’s liberal investment policies, including 100 per cent foreign ownership and expansion of free zones, have made its business environment more attractive to Japanese firms. Emirati institutions are investing in Japan’s strategic sectors including clean technology, manufacturing, food security, and digital innovation.

Opportunities for Japanese Companies in the UAE

Clean Energy and Hydrogen: Japan’s expertise supports the UAE’s clean energy and decarbonization goals.

Water and Waste Management: Demand for Japanese recycling and circular economy solutions is growing.

Healthcare and Life Sciences: Expanding collaboration in medical technology and digital health.

Food and Agri-Business Cooperation: Japanese agri-tech and premium food exports are gaining popularity, supported by JETRO and trade exhibitions like Gulfood.

Digital Transformation and Fintech: Japanese firms are exploring partnerships in fintech, logistics, and automation.

UAE investors are increasingly drawn to Japan’s stable and innovation-driven economy, with several sectors offering promising opportunities for collaboration and growth. In the field of renewable energy and clean technology, the UAE is investing in Japan’s solar and wind energy projects, aligning with its global sustainability commitments. There is also strong interest in Japan’s advanced manufacturing and technology sectors, particularly in robotics, and industrial automation. Additionally, food and agri-investments are gaining traction, with opportunities in food processing, cold-chain logistics, and sustainable aquaculture.

Japan offers a diverse and strategically aligned range of opportunities for UAE investors across innovation, sustainability, advanced industries, and healthcare — supported by robust institutional frameworks that facilitate market entry and long-term collaboration. Through initiatives such as JETRO’s Invest Japan Business Support Centre (IBSC), UAE investors can access one-stop guidance for company setup, regulatory procedures, and incentive programmes, including regional subsidies and open innovation schemes. Japan’s national priorities — digital transformation, green growth, healthcare innovation, and regional revitalisation — mirror the UAE’s diversification goals and provide fertile ground for co-investment in cutting-edge sectors.

The Japan-UAE Coordination Scheme for Advanced Technology (JU-CAT) and other bilateral mechanisms have deepened partnerships in clean energy, hydrogen, recycling, and renewable solutions, while also opening pathways for collaboration in healthcare technology, medical devices, and biotechnology. In parallel, JETRO’s Japan Innovation Bridge (J-Bridge) and startup exchange programmes offer UAE venture capital and corporate investors access to high-potential Japanese startups in digital health, green tech, and smart manufacturing.

What are some of the key challenges faced by Japanese and UAE investors in each other's markets, and how does JETRO plan to assist in addressing these challenges?

Bilateral investment between Japan and the UAE has grown steadily, driven by mutual interests in, technology, innovation, healthcare, food and beverages. However, investors from both countries face several challenges when entering each other’s markets. JETRO plays a central role in addressing these obstacles and deepening economic ties.

Japanese companies investing in the UAE often encounter regulatory and operational complexities. Navigating ownership laws, licensing requirements, and the distinction between mainland and free zone jurisdictions can be time-consuming.

Additionally, finding reliable local partners and distributors remains a key hurdle, as does adapting to different business cultures and decision-making styles. Issues related to local hiring, visa procedures, and labour regulations further add to operational challenges. For UAE investors entering the Japanese market, language barriers, corporate governance standards, and regulatory procedures often pose significant difficulties. Japan’s foreign investment screening process, along with high operational costs and detailed administrative requirements, can discourage new entrants. Furthermore, understanding local business etiquette and identifying suitable regional investment locations and incentives are additional barriers to entry.

JETRO provides comprehensive support to both Japanese and UAE investors through a range of services and initiatives:

Advisory and One-Stop Support Centres: JETRO’s local offices in the UAE and its Investment Business Support Centers (IBSCs) in Japan offer guidance on regulations, licensing, taxation, and procedures to set up operations.

Market Research and Insights: Detailed sectoral reports, market surveys, and policy briefings help investors make informed decisions and identify growth opportunities.

Business Matching and Networking: JETRO organises trade missions, B2B meetings, and investment forums to facilitate partnerships between Japanese and Emirati companies.

As Japan and the UAE continue to strengthen their economic partnership under shared goals of diversification and innovation, overcoming these investment barriers will be vital. JETRO’s active engagement — through advisory services, research, and networking — continues to pave the way for more seamless, mutually beneficial investment flows between the two nations.

What digital initiatives or platforms JETRO is undertaking to promote Japanese products?

JETRO is increasingly turning to digital solutions to promote Japanese products. Two flagship initiatives are e-Venue and Japan Street, both designed to connect business across borders efficiently.

e‑Venue is JETRO’s global online business-matching platform, enabling Japanese companies to find international partners — including UAE firms — without the need for extensive travel. Companies can register, upload business proposals, search for partners, and communicate directly through the platform. Supporting multiple languages and serving over 150 countries, e‑Venue facilitates smoother connections in sectors ranging from technology and healthcare to food and machinery.

Japan Street functions as a curated digital catalogue showcasing Japanese products to overseas buyers. Participation is by invitation only and restricted to selected buyers, ensuring high-quality engagement. From food and cosmetics to industrial machinery, the platform allows UAE importers and distributors to discover and request meetings with Japanese suppliers. JETRO supports these interactions by arranging introductions, interpreters, and follow-ups, making Japan Street a bridge between Japanese SMEs and UAE market opportunities.

Together, these initiatives demonstrate how digital tools are reshaping bilateral trade, reducing barriers, and accelerating business collaboration between Japan and the UAE.

As innovation plays a vital role in enhancing trade relations, how is JETRO facilitating collaborations in technology and innovation between Japanese and UAE businesses?

As innovation becomes a cornerstone of global economic growth, the JETRO is taking steps to enhance cooperation between Japan and the UAE in the fields of technology and innovation. Through targeted initiatives and strategic partnerships, JETRO is building bridges that connect Japan’s advanced technological ecosystem with the UAE’s dynamic and rapidly growing digital economy.

Empowering Japanese Startups in the UAE Tech Ecosystem: In September 2025, JETRO launched a dedicated acceleration and immersion program in collaboration with Hub71, Abu Dhabi’s leading global tech ecosystem, and Elixir Capital, a Web3 venture studio. The programme aims to strengthen cross-border collaboration by supporting Japanese startups operating in sectors such as Web3, artificial intelligence (AI), blockchain infrastructure, and decentralized finance (DeFi).

A total of seven innovative Japanese startups were selected to participate in the initiative. The programme began with a three-day bootcamp in Tokyo in August, followed by an immersion program at Hub71 in Abu Dhabi in October. During this period, participants engaged directly with investors, regulators, and industry leaders in the UAE, gaining first-hand exposure to one of the Middle East’s most vibrant innovation ecosystems.

Building Pathways for Cross-border Innovation: Through its partnership with Hub71, JETRO provides Japanese startups with access to critical networks across the UAE and wider Mena region. The programme includes tailored introductions, community engagement activities, and participation in regional technology events such as GITEX Expand North Star 2025. These efforts enable startups to explore business opportunities, secure partnerships, and better understand the region’s market dynamics. Additionally, three AI companies exhibited at GITEX Expand North Star 2025, and the day after the exhibition, JETRO conducted a site visit to AI-related institutions in Abu Dhabi.

The participating companies represent a diverse range of technologies — from AI-powered creative tools and tokenised real estate platforms to Web3 financial solutions — reflecting the depth and versatility of Japan’s innovation landscape. Their participation supports the UAE’s ambition to position itself as a global hub for advanced technology and digital transformation.

In what ways is JETRO promoting sustainable practices in trade and investment between Japan and the UAE? Can you share any specific initiatives aimed at fostering sustainable economic growth in both countries?

JETRO’s role in connecting Japanese firms (including SMEs) with UAE projects in sustainability-driven sectors is crucial, JETRO helps both sides share technology, know-how, and access new markets — supporting both economic growth and environmental objectives.

JETRO Dubai organised a “Mena Hydrogen and CCUS Business Networking Event” in February 2025, bringing Japanese and UAE (and regional) companies together to explore the hydrogen and carbon-capture/utilization/storage (CCUS) sectors. In May 2025, an MOU was signed between the Abu Dhabi Chamber of Commerce & Industry (ADCCI) and JETRO to deepen collaboration in innovation, sustainability and advanced technologies — thereby embedding sustainability into the bilateral business-platform structure. In the UAE-Japan business forums (supported by JETRO), one of the stated core areas is the circular economy (waste-to-resource) alongside energy and health sectors.  The launch of the “Japan Food Export Platform” in Dubai (Feb 2025) by JETRO helps Japanese agricultural, forestry, fishery products expand in the UAE market — part of sustainable diversification of Japan’s export base and also UAE’s food-security/sustainable supply chain goals. JETRO-led workshop in Abu Dhabi on “Access to Space and Sustainability”, “Earth Observation and Remote Sensing”, etc., fosters cooperation in technologies which can contribute to environmental monitoring, climate applications, sustainable infrastructure.

As a part of the ongoing efforts, JETRO welcomed a delegation of Japanese business representatives to the UAE from November 17th to 20th. The delegation comprised of companies operating in sustainable industries, including waste management, wastewater treatment, recycling, green building and construction, renewal energy and related sectors. The delegation toured Dubai, Abu Dhabi and Sharjah to gain deeper insights into the UAE’s evolving business landscape and explore potential investment opportunities in each emirate. These visits were to UAE’s leading sustainability-focused facilities including Beeha Waste-to-Energy Facility, Sewa Desalination Plant, and Taqa facility, among others.

Muzaffar Rizvi

muzaffarrizvi@khaleejtimes.com

Muzaffar Rizvi is an accomplished financial journalist with more than 25 years of experience in the UAE and Pakistan. He has good writing skills, strong grip on production and an excellent news sense.