Toyota eyes full production at BD plant by 2029: PM
Toyota has informed the Bangladesh government of its plan to begin work on a vehicle manufacturing facility in the country, with full production targeted for 2029, Prime Minister Tarique Rahman said on Wednesday.
Speaking at the Bangladesh-Japan Economic Forum Dialogue at the Japan External Trade Organization (JETRO) headquarters in Tokyo, he said the government would provide all possible support for the initiative.
The forum was jointly organised by JETRO and the Japan-Bangladesh Committee for Commercial and Economic Cooperation (JBCCEC).
Tarique used the occasion to invite Japanese companies to invest in five priority sectors: automotive manufacturing, energy, technology and space, high-speed rail and logistics, and agro-processing.
He said around 350 Japanese companies operate in Bangladesh, but Japanese direct investment remains below $500 million. In the last fiscal year, Bangladesh exported goods worth $1.36 billion to Japan and imported $2.16 billion worth of goods from the country.
Under the recently signed first-ever Economic Partnership Agreement (EPA) between the two countries, 7,379 Bangladeshi products will enjoy duty-free access to Japan. Japanese goods, including steel, automotive parts and electronic components, will receive preferential access to Bangladesh.
Highlighting Bangladesh’s appeal, the prime minister pointed to a market of more than 180 million people, a young workforce with a median age of 27, and a growing middle class. He said Bangladesh is expected to become one of the world’s top 10 consumer economies by 2030.
He acknowledged Japanese companies’ concerns over reliable energy supplies, efficient infrastructure, and predictable customs clearance and taxation, saying the government is working to address them.
“I fully understand that businesses need certainty. Investors need confidence. Our job is creating the right environment to deliver both,” he said.
In the energy sector, Tarique invited Japanese firms to invest in liquefied natural gas (LNG) infrastructure, efficient gas-fired power generation and renewable energy.
He said Bangladesh has short-, medium- and long-term plans for its gas and electricity sectors, and cited cooperation with Japanese energy company JERA.
On technology, he said Bangladesh plans to establish a Bangladesh-Japan Technology Park focusing on artificial intelligence, cloud computing, robotics and electronics manufacturing, with the participation of Japanese companies, universities and investors.
He also called for cooperation with Japanese institutions in space science and satellite engineering.
The prime minister said Bangladesh plans to develop a nationwide elevated high-speed rail network connecting Dhaka, Chattogram, Sylhet, Rajshahi, Khulna and Barishal.
The government will prepare a national master plan, assess passenger and freight demand, prioritise routes and conduct feasibility studies. He invited Japanese institutions to invest in the initiative.
Tarique urged Japanese companies to explore food processing and agro-based manufacturing, particularly at the Bangladesh Special Economic Zone in Araihazar, which is being developed by Sumitomo Corporation to Japanese standards.
On people-to-people ties, he said Bangladesh wants to prioritise Japanese-language education so that millions of young people can learn the language alongside technical skills.
Skilled Bangladeshi professionals proficient in Japanese could help meet employment needs in both countries, he added.
Recalling Japan’s recognition of Bangladesh in February 1972 and its role as the country’s largest development partner for more than five decades, Tarique said the two countries should build on their long-standing friendship to create more opportunities for their people and achieve shared prosperity.
Prime Minister Tarique Rahman on Wednesday sought greater Japanese investment in Bangladesh to diversify the country’s exports, upgrade its ready-made garment (RMG) industry and expand trade and economic cooperation between the two countries.
During separate meetings with Japan External Trade Organization (JETRO) President Susumu Kataoka and Fast Retailing Chairman, President and CEO Tadashi Yanai in Tokyo, Tarique highlighted investment opportunities in advanced manufacturing, information and communication technology (ICT), renewable energy, agro-processing and sustainable apparel production, reports UNB.
The meetings also focused on technology transfer, skills development and the implementation of the Bangladesh-Japan Economic Partnership Agreement (EPA), according to the prime minister’s deputy press secretary Shahadat Hossain Shadhin.
