5 Japanese Backed Companies in India

Introduction

India has steadily become a favourite investment destination for Japanese companies. As per the latest data from the Japan External Trade Organisation (JETRO), over 1,450 Japanese firms operate in India as of 2025, with combined investments exceeding ₹2.1 lakh crore. These investments span across automobiles, finance, electronics, and technology. For traders and long-term investors, Japanese-backed companies in India provide strong fundamentals, stability, and global expertise. Let’s look at the top 5 Japanese-backed companies in India and the stake of their Japanese partners.

1. Maruti Suzuki India Limited

Maruti Suzuki is the most recognised Indo-Japanese joint venture in India’s automobile sector. Founded in 1981, the company revolutionised India’s car market with affordable and fuel-efficient vehicles. Today, Maruti dominates the Indian passenger vehicle segment with a market share of around 42% (2025).

Suzuki Motor Corporation holds 56.37% stake in Maruti Suzuki India. This majority stake ensures that Maruti continues to bring Japanese technology, safety, and design expertise into India. Maruti’s recent investments in EV technology and hybrid models highlight its long-term growth potential.

Recently, Maruti Suzuki India Limited has signed a Memorandum of Understanding to promote innovation and assist business opportunities for startups from India and Japan.

2. Honda Motorcycle & Scooter India (HMSI)

Honda is a household name in India, especially known for its scooters like Activa and motorcycles like Shine and Unicorn. Honda set up its fully owned subsidiary, Honda Motorcycle & Scooter India, in 1999. Today, HMSI stands as the second-largest two-wheeler manufacturer in India.

The Activa alone sells more than 20 lakh units annually, making it one of India’s most trusted rides. Beyond scooters, Honda also has a strong presence in motorcycles with models like Unicorn and Shine.

Unlike many JVs, Honda Motor Co. (Japan) holds 100% stake in HMSI. Being a wholly-owned subsidiary allows Honda to directly implement Japanese R&D and product innovation in the Indian market. The company is focusing on electric scooters and premium motorcycles, opening a strong future growth opportunity.

3. Sony India Pvt. Ltd.

Sony entered India in 1994 and quickly became a leader in electronics, entertainment, and imaging products. From televisions and audio systems to the PlayStation console, Sony has a wide customer base in urban India. Despite stiff competition from Korean and Chinese brands, Sony maintains a strong market presence due to its focus on innovation and quality.

One interesting angle is Sony Pictures Networks India, which owns popular TV channels like Sony SAB, Sony MAX, and Sony LIV (its OTT platform). This media arm makes Sony not just a gadget company but also a major entertainment player in the Indian market.

Sony Group Corporation owns 100% stake in Sony India. With full ownership, Sony can directly channel global innovations into India. Its entertainment arm, Sony Pictures Networks India, is also merging with Zee Entertainment, creating one of India’s largest media companies. Traders and investors should keep an eye on Sony-Zee merger updates, which could reshape India’s entertainment sector.

4. SML Isuzu Ltd (SMLI)

SML Isuzu is a leading manufacturer of commercial vehicles, buses, ambulances, and customised transport solutions. It was the first company in India to supply fully built buses directly to customers.

Sumitomo Corporation owns 44%, while Isuzu Motors holds 15% stake in SMLI. With Japanese backing, SMLI has been able to bring world-class commercial vehicle technology to India. Strong demand for commercial vehicles due to BS-IV norms and India’s proposed scrappage policy is expected to boost sales. The company has posted a 53% CAGR profit growth in the last three years, which is a sign of robust fundamentals.

5. Toyota Kirloskar Motor (TKM)

Toyota entered India through a joint venture with the Kirloskar Group in 1997. Known for cars like Innova and Fortuner, Toyota is highly respected for its durability, safety, and fuel-efficient technology.

Toyota Motor Corporation holds 89% stake in Toyota Kirloskar Motor, while Kirloskar Group holds 11%. With a near-total stake, Toyota has a strong say in Indian operations, while the Kirloskar Group provides local market insights. Toyota is collaborating with Suzuki (Maruti) for hybrid and EV technologies in India, signaling a promising EV roadmap.

Toyota has also been a leader in hybrid technology in India, with models like the Camry Hybrid. As India gears up for electric mobility, Toyota is positioning itself as a pioneer with sustainable offerings.

Research Disclaimer