On 8 April 2024, the AJBCC hosted a webinar to explore the newly released Japan-Australia Investment Report 2024, highlighting record-breaking Japanese investment into Australia and its contribution to the strength of our complementary economies.
Japan has invested $140 billion into Australia, making it our third-largest foreign direct investor. It is also our second-largest two-way trading partner. The discussion covered how Japan and Australia are building a resilient and sustainable economic partnership across sectors including clean energy, real estate, food and energy security, defense, and research and development (R&D).
Key Highlights
- Energy Security: Japan’s commitment to net zero by 2050 gives it a strong interest in critical minerals such as lithium (of which Australia is the world’s top producer), as well as in hydrogen projects.
- Real Estate: Japan is the second-largest source of investment in Australian real estate, with growing interest in how Japanese capital and construction expertise could help alleviate Australia’s housing crisis.
- Technology & R&D: Focus areas include cybersecurity, startup collaboration, and commercialisation of research, supported by government initiatives.
- Food & Defense Security: Australia helps supply agri-food to Japan, especially amid recent rice shortages. Military cooperation is growing, with Japan increasing its defense spending and viewing Australia as an ideal cyber safety partner.
- Economic Outlook: The panel discussed how close political ties, corporate governance reforms, and ongoing foreign investment are helping to strengthen bilateral drivers of growth.
Our speakers were report co-authors AJBCC Vice-President Ian Williams and Damien Roberts from Herbert Smith Freehills and Professor Shiro Armstrong from the Australian National University; with Austrade Tokyo’s Elizabeth Cox providing a view from on the ground in Japan. Their insights showed how Australia and Japan continue to align closely in shaping the region’s economic future.