25 Major Companies in the Japanese Automotive Industry: A Thorough Explanation of History, Strengths, and Future Outlook

The Japanese automotive industry plays a vital role in the global economy, with numerous companies contributing to its development. This article carefully selects 25 major companies, including automakers, parts manufacturers, material manufacturers, and related organizations, providing a thorough explanation of each company’s history, strengths, achievements, and future outlook.

Automakers

Toyota Motor Corporation, as one of the world’s top automakers, boasts an overwhelming share in the domestic market. It attracts people worldwide with a wide lineup, including the pioneering hybrid car “Prius” and the luxury car brand “Lexus.” Founded in 1937 by Kiichiro Toyoda, the company has greatly contributed to the development of the automotive industry based on the philosophy of “contributing to society through automobiles.” Headquartered in Toyota City, Aichi Prefecture, it has production bases and sales networks around the world.

Toyota’s greatest strength is its long-standing commitment to technological innovation and quality. Through continuous improvement activities called “Kaizen” and thorough quality control, it achieves the production of high-quality, highly reliable cars. As a pioneer in hybrid technology, it has developed numerous hybrid vehicles, including the “Prius,” and leads the way in producing environmentally friendly cars. The luxury car brand “Lexus” is supported by wealthy people around the world for its high quality and sophisticated design.

It consistently ranks among the top in global sales volume and has greatly contributed to the spread of hybrid vehicles in particular. The “Prius” has become a huge hit, selling millions of units worldwide. It also actively participates in motorsports, contributing to improving its technological capabilities and brand image.

Toyota Motor Corporation is promoting business development beyond the framework of an automobile manufacturer, advocating a transformation into a “mobility company.” To respond to the transformation of the automotive industry called CASE (Connected, Autonomous, Shared, Electric), it is focusing on the development of technologies such as AI, autonomous driving, and connected cars. It is also actively promoting initiatives for the realization of a sustainable society, such as the utilization of hydrogen energy.

Nissan Motor Co., Ltd. is an automaker focusing on the development of electric vehicles, with popular models such as the “Skyline,” “Note,” and “Leaf.” It has always led the automotive industry with innovative technology and design. Since its establishment in 1933, it has developed numerous innovative technologies as “Nissan, the technology leader.” Headquartered in Yokohama City, Kanagawa Prefecture, it operates globally.

Nissan’s strengths are its innovative technological development capabilities and global business expansion capabilities. In particular, in the development of electric vehicles, it leads the industry by launching the world’s first mass-produced electric vehicle, the “Leaf.” It has also developed its own hybrid technology called “e-POWER,” contributing to the spread of electric vehicles. Sporty models represented by the “Skyline” are also popular, responding to a wide range of needs.

The launch of the “Leaf” significantly pioneered the electric vehicle market. The “Skyline” has also gained many fans as a representative Japanese sports sedan for many years.

Nissan Motor Co., Ltd. is promoting a business strategy centered on electric vehicles and electrification technology. It is expected to continue focusing on expanding its electric vehicle lineup and developing battery technology to contribute to the realization of a sustainable society. It is also actively developing autonomous driving technology, promoting initiatives with a view to the future mobility society.

Honda Motor Co., Ltd. is a diversified company that manufactures motorcycles and aircraft in addition to passenger cars such as the “Civic,” “Fit,” and “Vezel.” It has innovated mobility around the world with original technology and a spirit of challenge. Founded in 1948 by Soichiro Honda, the company has expanded its business from motorcycles to automobiles and aircraft, driven by “dreams.” Headquartered in Minato-ku, Tokyo, it operates globally.

Honda’s strengths are its original technological capabilities and a spirit of constantly challenging new things. The engine technology cultivated in the motorcycle business has been utilized in the automobile business, developing many highly efficient and environmentally friendly engines. Based on the design philosophy of “Man-Maximum, Machine-Minimum,” it manufactures human-centered cars. In the aircraft business, it developed the small jet aircraft “HondaJet,” bringing a new breeze to the aviation industry.

It has created many popular models such as the “Civic” and “Fit.” The “Super Cub” is registered in the Guinness Book of World Records as a globally beloved motorcycle. The “HondaJet” is highly evaluated for its innovative technology and has established a presence in the business jet market.

Honda is accelerating the development of electrification technology toward the realization of “2050 Carbon Neutrality.” In addition to developing fuel cell vehicles and electric vehicles, it is promoting initiatives for the realization of a sustainable society, such as the utilization of renewable energy. It is also focusing on fields such as robotics and AI, aiming to create new value.

Mazda Motor Corporation is an automaker characterized by car manufacturing with a focus on design and driving performance, such as the “Roadster” and “CX-5.” Pursuing “driving pleasure,” it attracts many fans with its unique technology. Founded in 1920 as Toyo Cork Kogyo, it entered the automotive industry in 1931 with the launch of Mazda-branded three-wheeled vehicles. It is headquartered in Fuchu-cho, Hiroshima Prefecture.

Mazda’s strengths are its “Kodo – Soul of Motion” design, which is full of vitality, and its unique engine technology “SKYACTIV TECHNOLOGY.” “SKYACTIV TECHNOLOGY” achieves both excellent fuel efficiency and powerful driving performance by maximizing engine combustion efficiency. It is also characterized by car manufacturing that pursues a sense of unity between driver and car, called “Jinba-ittai” (horse and rider as one).

The “Roadster” has received high praise around the world and is known as a representative lightweight sports car. The “CX-5” is gaining popularity in the SUV market for its sophisticated design and excellent driving performance.

Mazda has announced the “Sustainable Zoom-Zoom Declaration 2030” and is promoting initiatives for the realization of a sustainable society. In addition to developing electrification technology, it is promoting initiatives to reduce environmental impact, such as research on carbon-neutral fuels.

SUBARU is an automaker whose strengths are its unique horizontally opposed engine and AWD (All-Wheel Drive) technology, with models such as the “Impreza” and “Forester.” It has gained many fans with car manufacturing that emphasizes safety and driving performance. Founded in 1953 as Fuji Heavy Industries, it changed its name to SUBARU in 2017. Its unique horizontally opposed engine and AWD technology utilize technology cultivated in aircraft manufacturing. It is headquartered in Shibuya-ku, Tokyo.

SUBARU’s strengths are its unique horizontally opposed engine and AWD technology. The horizontally opposed engine achieves excellent driving stability due to its low center of gravity and low vibration. The AWD technology exhibits stable driving performance in all road conditions. The advanced safety driving support system called “EyeSight” is also evaluated for its high safety performance.

SUVs such as the “Impreza” and “Forester” are gaining popularity, especially highly regarded for their off-road performance on snowy roads and other rough terrain. It also actively participates in motorsports, contributing to improving its technological capabilities.

SUBARU is focusing on the development of connected technology and autonomous driving technology in addition to the development of electrification technology. It is promoting initiatives to further enhance safety and reduce environmental impact.

Mitsubishi Motors Corporation specializes in SUVs and pickup trucks, offering models such as the “Outlander” and “Delica D:5.” It has established a unique position with car manufacturing that excels in off-road performance and durability. It became independent from Mitsubishi Heavy Industries in 1970. It has been working on the development of four-wheel-drive vehicles from an early stage and has developed many cars with high off-road performance. It is headquartered in Minato-ku, Tokyo.

Mitsubishi Motors’ strength is its production of vehicles with excellent off-road performance, such as SUVs and pickup trucks. Its unique four-wheel drive system, called “Super Select 4WD,” achieves both off-road performance and stable driving performance. The “Outlander PHEV” is a plug-in hybrid SUV that balances environmental performance and driving performance.

SUVs such as the “Pajero” have received high praise both domestically and internationally. The “Delica D:5” boasts enduring popularity for its unique design and excellent off-road performance.

Mitsubishi Motors is accelerating the development of electrification and connected technologies through alliances. It is promoting the development of new models incorporating electrification technology while leveraging the strengths of SUVs and pickup trucks.

Suzuki specializes in Kei cars and small cars, with popular models such as the “Wagon R,” “Spacia,” and “Jimny.” It is supported by many people for the economy and ease of use unique to small cars. Founded in 1909 as Suzuki Loom Works, it changed its name to Suzuki Motor Co., Ltd. in 1954 and has been focusing on the development of Kei cars. It is headquartered in Hamamatsu City, Shizuoka Prefecture.  

Suzuki’s strength is its focus on manufacturing Kei cars and compact cars. It has pursued the economy and ease of use unique to small cars, supporting the lives of many people. Kei cars such as the “Wagon R” and “Spacia” are popular for their spacious interiors and excellent fuel efficiency. The “Jimny” has established a unique position as a Kei car with authentic off-road performance.

The huge hit of the “Wagon R” has led the Kei car market. The “Jimny” is highly regarded overseas, contributing to improving Suzuki’s brand image.  

In addition to developing electrification technology, Suzuki is strengthening its expansion into emerging markets such as India. It is developing new models incorporating electrification technology while leveraging the strengths of small cars and Kei cars.

Daihatsu Motor Co., Ltd. is a subsidiary of Toyota Motor Corporation, mainly manufacturing Kei cars. Representative models include the “Mira e:S” and “Tanto,” and it is familiar to many people for its car manufacturing that stays close to daily life. Founded in 1907 as Hatsudoki Seizo Co., Ltd., it subsequently focused on the development of Kei cars after manufacturing three-wheeled vehicles. It formed a business alliance with Toyota Motor Corporation in 1967 and became a subsidiary of Toyota Motor Corporation in 1999. It is headquartered in Ikeda City, Osaka Prefecture.  

Daihatsu’s strength is its focus on manufacturing Kei cars. It has sincerely addressed the challenges unique to Kei cars, such as technology to maximize limited space and technology to pursue fuel efficiency, creating numerous innovative technologies. The “Mira e:S” employs the low-fuel-consumption technology “e:S Technology,” achieving excellent fuel efficiency. The “Tanto” is characterized by its spacious interior and ease of use, and is popular mainly among families with children.  

It has greatly contributed to Japan’s motorization with Kei cars such as the “Midget” and “Hijet.” The “Tanto” is a popular model boasting top-class sales in the Kei car market.

Daihatsu is strengthening its cooperation with Toyota Motor Corporation, accelerating the development of electrification technology and expansion into emerging markets. It is developing new models incorporating electrification technology while leveraging the strengths of Kei cars. It is also considering providing new mobility services, such as transportation services for the elderly and those living in rural areas.

Overseas Manufacturers

Volkswagen is a German automaker that sells a wide range of models in Japan, including the “Golf,” “Polo,” and “Tiguan.” It is supported by people around the world for its high quality, practicality, and innovative technology. Founded in 1937, as its name meaning “people’s car” suggests, it has aimed to manufacture cars for the general public. It is headquartered in Wolfsburg, Germany, and has production bases and sales networks around the world.

Volkswagen’s strength is its high quality, practicality, and wide lineup. The “Golf” has been known as a bestseller car around the world for many years. SUVs such as the “Tiguan” are also popular, responding to diverse needs. It also actively introduces the latest technology and strives to improve environmental and safety performance.  

The huge hit of the “Golf” has established its position as a global automaker. It also boasts high popularity as an imported car in the Japanese market.

Volkswagen is actively promoting an electrification strategy and is focusing on expanding its electric vehicle lineup. It is expected to contribute to the realization of a sustainable society by promoting the introduction of electric vehicles in the Japanese market as well.

Mercedes-Benz is a German automaker that boasts high popularity as a luxury car brand in Japan. With its high quality, sophisticated design, and cutting-edge technology, it is an object of admiration for wealthy people around the world. Established in 1926 as Daimler-Benz, it was born from the merger of the companies of Carl Benz and Gottlieb Daimler, the inventors of the automobile. It is headquartered in Stuttgart, Germany.  

Mercedes-Benz’s strengths are its overwhelming brand power and cutting-edge technological capabilities. Its high quality and sophisticated design have been recognized as synonymous with luxury cars for many years. It is also actively working on the development of the latest technologies, such as autonomous driving technology and connected technology.  

It boasts a global share in the luxury car market. It also maintains top-class popularity as an imported car in the Japanese market.

Mercedes-Benz is promoting an electrification strategy and is expanding its electric vehicle lineup under the “EQ” brand. It is expected to lead electrification in the luxury car market by promoting the introduction of electric vehicles in the Japanese market as well.

BMW is a German automaker characterized by sporty driving performance and design, with many fans in Japan. Pursuing “sheer driving pleasure,” it attracts many people with its unique technology. Founded in 1916 as an aircraft engine manufacturer, it subsequently advanced into the manufacturing of motorcycles and automobiles, and is now known globally as a luxury car manufacturer. It is headquartered in Munich, Germany.  

BMW’s strengths are its sporty driving performance and sophisticated design. It achieves excellent dynamic performance with its unique engine technology and chassis technology. It also actively introduces the latest connected technology and driving support systems.

It also actively participates in motorsports, contributing to improving its technological capabilities and brand image. It also boasts high popularity as an imported car in the Japanese market.

BMW is promoting an electrification strategy and is expanding its electric vehicle lineup under the “i” brand. It is expected to lead the spread of sporty electric vehicles by promoting the introduction of electric vehicles in the Japanese market as well.

Audi is a luxury car brand of the Volkswagen Group, characterized by advanced technology. It attracts many people with its sophisticated design and innovative technology. Founded in 1909 by August Horch, it subsequently became a member of the Volkswagen Group after mergers with companies such as NSU. It is headquartered in Ingolstadt, Germany.  

Audi’s strengths are its advanced technology and sophisticated design. Its unique four-wheel drive system called “quattro” achieves excellent driving stability. It also actively introduces the latest driving support systems and connected technology.

It also actively participates in motorsports, contributing to improving its technological capabilities. It also boasts high popularity as an imported car in the Japanese market.

Audi is promoting an electrification strategy and is expanding its electric vehicle lineup under the “e-tron” brand. It is expected to lead the premium EV market by promoting the introduction of electric vehicles in the Japanese market as well.  

Ford is an American automaker that once manufactured cars in Japan but now sells only imported cars. It is characterized by American-style powerful car manufacturing, such as pickup trucks and SUVs. Founded in 1903 by Henry Ford, it introduced the mass production system and greatly contributed to the popularization of automobiles. It is headquartered in Dearborn, Michigan, USA.

Ford’s strength is its American-style powerful car manufacturing, such as pickup trucks and SUVs. The “F-Series” has been known as a bestseller car in the United States for many years. It also actively introduces the latest technology and strives to improve fuel efficiency and safety performance.  

The huge hit of the “Model T” led the popularization of automobiles. It also used to carry out knockdown production in the Japanese market, but now sells only imported cars.  

Ford is promoting an electrification strategy and is introducing electric vehicles such as the “Mustang Mach-E.” It is expected to promote the introduction of electric vehicles in the Japanese market as well and aim to develop a new customer base.  

Hyundai Motor Company is a South Korean automaker that has recently re-entered the Japanese market and is offering electric vehicles. It is attracting attention with its high cost performance and innovative technology. Founded in 1967, it has grown rapidly in the global market in recent years, establishing its position as a global automaker. It is headquartered in Seoul, South Korea.  

Hyundai Motor’s strengths are its high cost performance and car manufacturing with high design quality. It is also actively working on environmental technologies such as fuel cell vehicles and electric vehicles.  

It has grown rapidly in the global market in recent years, establishing its position as a global automaker. In the Japanese market, it once withdrew in 2001 but re-entered in 2022, introducing electric vehicles such as the “IONIQ 5.”

Hyundai Motor is actively promoting an electrification strategy, offering a diverse lineup of electric vehicles, such as the fuel cell vehicle “NEXO” and the electric vehicle “IONIQ” series. It is expected to focus on electric vehicles in the Japanese market as well and aim to develop a new customer base. It is also introducing new sales methods such as online sales and subscription services.

Renault is a French automaker known for its unique designs and innovative technologies. Through its alliance with Nissan Motor Co., Ltd., it operates globally. Founded in 1899 by Louis Renault, it is one of France’s leading automakers and actively participates in motorsports. It is headquartered in Boulogne-Billancourt, France.

Renault’s strengths are its unique designs and innovative technologies. It is particularly focused on the development of small cars and electric vehicles, with models such as the “Clio” (Lutecia in Japan) and “Zoe” gaining popularity. Through its alliance with Nissan Motor Co., Ltd., it is promoting the sharing of technologies and platforms.

Small cars such as the “Clio” are highly popular in the European market. The “Zoe” has become one of the best-selling electric vehicles in Europe.

Renault is promoting an electrification strategy and is focusing on expanding its electric vehicle lineup. It is expected to promote the introduction of electric vehicles in the Japanese market as well and aim to develop a new customer base.

Peugeot is a French automaker characterized by stylish designs and supple riding comfort. In recent years, it has also been focusing on the development of SUV models. Founded in 1810 as an iron foundry, it subsequently advanced into the manufacturing of bicycles and automobiles, and is now one of France’s leading automakers. It is currently a member of the Stellantis Group. It is headquartered in Paris, France.

Peugeot’s strengths are its stylish designs and supple riding comfort. In recent years, SUV models such as the “3008” and “5008” have been gaining popularity. It also actively introduces the latest driving support systems.

It also actively participates in motorsports, contributing to improving its technological capabilities. It maintains a certain level of popularity as an imported car in the Japanese market.

Peugeot is promoting an electrification strategy and is expanding its lineup of electric vehicles and plug-in hybrid vehicles. It is expected to promote the introduction of electric vehicles in the Japanese market as well and aim to develop a new customer base.

Automotive Parts Manufacturers

DENSO is a major automotive parts manufacturer within the Toyota Group and is known as a global supplier. It supports the evolution of automobiles in a wide range of fields, including engine control systems, car air conditioners, and advanced safety driving support systems. Founded in 1949 as Nippon Denso Co., Ltd., it subsequently changed its name to DENSO and operates globally. It is headquartered in Kariya City, Aichi Prefecture.

DENSO’s strengths are its wide range of products and high technological capabilities. It provides high-quality parts in all areas of automobiles, including engine control systems, car air conditioners, and advanced safety driving support systems. It is particularly focused on the development of environmental and safety technologies, greatly contributing to the evolution of automobiles.

It supplies parts to automakers around the world and greatly contributes to the development of the automotive industry. In particular, car air conditioners and engine control systems boast a world-leading share.

DENSO is focusing on the development of technologies such as AI, autonomous driving, and connected cars to respond to the transformation of the automotive industry called CASE (Connected, Autonomous, Shared, Electric). It is also actively promoting initiatives to reduce environmental impact.

AISIN is a major automotive parts manufacturer within the Toyota Group, mainly manufacturing drivetrain parts, brake parts, and body parts. It is supported by automakers around the world for its high quality and reliability. Founded in 1969 as Aichi Kogyo Co., Ltd., it subsequently merged with Aisin Seiki Co., Ltd., becoming the current AISIN. It is headquartered in Kariya City, Aichi Prefecture.

AISIN’s strengths are its wide range of products and high technological capabilities, including drivetrain parts, brake parts, and body parts. In particular, automatic transmissions and brake systems boast a world-leading share.

It supplies parts to automakers around the world and greatly contributes to the development of the automotive industry. In particular, automatic transmissions are used in many car models.

AISIN is focusing on the development of electric drive units and autonomous driving systems to respond to the transformation of the automotive industry such as electrification and autonomous driving.

Bosch is a global automotive parts manufacturer based in Germany, known for its wide range of products and high technological capabilities. It operates in a wide range of fields, including engine control systems, brake systems, and power tools. Founded in 1886 by Robert Bosch, it subsequently grew into an automotive parts manufacturer and is now a global corporate group. It is headquartered in Gerlingen, Germany.

Bosch’s strengths are its wide range of products, high technological capabilities, and global business expansion capabilities. It operates in a wide range of fields, not only automotive parts but also power tools and home appliances. It is particularly focused on the development of automotive safety and environmental technologies, greatly contributing to the development of the automotive industry.

It supplies parts to automakers around the world and greatly contributes to the development of the automotive industry. In particular, safety technologies such as ABS (Anti-lock Braking System) and ESP (Electronic Stability Program) are used in many car models.

Bosch is focusing on fields such as electrification, autonomous driving, and connected cars, aiming to lead the transformation of the automotive industry.

Continental is a global automotive parts manufacturer based in Germany, mainly manufacturing tires, brake systems, and interior parts. It contributes to the development of the automotive industry with its high technological capabilities and innovative products. Founded in 1871 as a rubber product manufacturer, it subsequently advanced into tire manufacturing and grew into an automotive parts manufacturer. It is headquartered in Hanover, Germany.

Continental’s strengths are its wide range of products and high technological capabilities, including tires, brake systems, and interior parts. In particular, tire technology and brake technology boast world-leading technological capabilities. It is also actively working on the development of autonomous driving technology and connected technology.

It supplies parts to automakers around the world and greatly contributes to the development of the automotive industry.

Material Manufacturers

Toray is a major Japanese material manufacturer that manufactures a wide range of materials, including fibers, resins, and films. In the automotive field, it provides carbon fiber composite materials and resin materials, contributing to weight reduction and high strength. Founded in 1926 as Toyo Rayon Co., Ltd., it subsequently changed its name to Toray and has been diversifying from the fiber business. It is headquartered in Chuo-ku, Tokyo.

Toray’s strengths are its wide range of material technologies and high development capabilities. In particular, carbon fiber composite materials are widely used in fields such as aircraft and automobiles as lightweight and high-strength materials.

Toray’s carbon fiber composite materials are used in aircraft structural members and automobile bodies, contributing to weight reduction and improved fuel efficiency.

In addition to developing high-performance materials such as carbon fiber composite materials, Toray is also focusing on material development for reducing environmental impact

Asahi Kasei is a major Japanese chemical manufacturer that operates a wide range of businesses, including chemicals, fibers, and housing. In the automotive field, it provides resin materials, synthetic rubber, and fibers, contributing to weight reduction, high functionality, and improved comfort. Founded in 1931 as Nippon Chisso Hiryo Co., Ltd., it subsequently changed its name to Asahi Kasei and has been diversifying. It is headquartered in Chiyoda-ku, Tokyo.

Asahi Kasei’s strengths are its wide range of business operations and high technological capabilities. In the automotive field, it provides a wide range of materials, including resin materials, synthetic rubber, and fibers. In particular, resin materials contribute to weight reduction and high strength, greatly contributing to improving vehicle performance.

Asahi Kasei’s resin materials are used in automobile interior and exterior parts, contributing to weight reduction and improved design.

Asahi Kasei is focusing on material development that contributes to reducing environmental impact and material development that realizes a comfortable in-vehicle space. Specifically, it is working on the development of recyclable resin materials and the development of composite materials that achieve both weight reduction and high strength. It is also promoting the development of sound-absorbing materials and heat-insulating materials to improve the comfort of the vehicle interior space.

Nippon Steel’s strengths are its advanced steelmaking technology and wide product lineup. In particular, high-strength steel sheets contribute to weight reduction and improved collision safety performance and are used by many automakers. Special steels contribute to higher engine efficiency and increased drivetrain strength.

Nippon Steel’s high-strength steel sheets are used in the body frames of many automobiles, contributing to weight reduction and improved safety performance.

Nippon Steel is focusing not only on developing steel sheets that achieve both weight reduction and high strength but also on developing steelmaking processes that contribute to reducing environmental impact. It is also developing new materials to support electrification

Automotive Industry Associations

The Japan Automobile Manufacturers Association (JAMA) is an industry association to which Japanese automakers belong. It conducts various activities for the purpose of the development and sound nurturing of the automotive industry. Established in 1945, it comprises Japanese automakers (passenger cars, trucks, buses, and motorcycles), aiming for the development and sound nurturing of the automotive industry and the strengthening of international competitiveness.

JAMA conducts a wide range of activities, including policy recommendations related to the automotive industry, promotion of technological development, international exchange, and public relations activities. Specifically, it works on reviewing automobile tax systems, promoting the development of environmental technologies, strengthening cooperation with overseas markets, and promoting the popularization of automobiles.

JAMA has greatly contributed to the development of the Japanese automotive industry. Through policy recommendations, it supports the sound development of the automotive industry, and through the promotion of technological development, it contributes to the evolution of automobiles.

The Japan Auto Parts Industries Association (JAPIA) is an industry association to which Japanese auto parts manufacturers belong. It conducts various activities for the purpose of the development and sound nurturing of the auto parts industry. Established in 1950, it comprises Japanese auto parts manufacturers, aiming for the development and sound nurturing of the parts industry and the strengthening of international competitiveness.

JAPIA conducts a wide range of activities, including policy recommendations related to the auto parts industry, promotion of technological development, international exchange, and human resource development. Specifically, it works on parts standardization, sharing technical information, strengthening cooperation with overseas markets, and providing human resource development programs.

JAPIA has greatly contributed to the development of the Japanese auto parts industry. It strengthens cooperation between parts manufacturers and supports the improvement of technological capabilities and the strengthening of international competitiveness.