Automobile industry an emerging investment destination for Japan

The automotive industry in Bangladesh  could  be an emerging investment destination for Japanese entrepreneurs, Dhaka Chamber of Commerce and Industry's (DCCI) President Rizwan Rahman said yesterday.

Rahman said this in a bilateral business meeting with Japanese Ambassador to Bangladesh Ito Naoki held at DCCI office.

In fiscal year 2019-20, Bangladesh's bilateral trade with Japan stood at $2.92 billion when Bangladesh exported goods worth $1.2 billion and imported $1.72 billion worth of products from the East Asian island nation, he said.

But Bangladesh's export to Japan fell to $1.18 billion in 2020-21 fiscal year because of the Covid-19 pandemic, he said and expressed his hope that the amount would increase in the days to come.

He said 321 Japanese companies are now operating in Bangladesh and Japanese foreign direct investment in Bangladesh was $397.15 million in March 2021.

Stating that Bangladesh mainly exports garment products to Japan, he urged the ambassador to facilitate other promising products for export to Japan.

Mentioning the strong bilateral business relation Japan shares with Bangladesh, he thanked the Japanese government for providing the Covid-19 vaccine for the Bangladeshi people.

Naoki said Bangladesh has been able to send a strong message to the world and maintain a positive growth in gross domestic product even during the pandemic.

He also said the Japanese economic zone in Araihazar will be able to go for operation by next year and it will expedite Japanese investments in Bangladesh.

The Japanese ambassador said the governments of both the countries can sign free trade agreements.

Naoki also said the automotive industry in Bangladesh can be a good destination for investment.

Japan's Mitsubishi has completed their feasibility study and next year they will take decision on investment in Bangladesh, he added.