Rishi Sunak announced £18 billion ($22.5 billion) of new investment by Japanese businesses in the UK, mostly in clean energy, as well as a bilateral “semiconductor partnership” aimed at boosting supply chain resilience amid fears over Chinese interference in Taiwan.
A “Hiroshima Accord” seeks to deepen economic, security and tech cooperation between the two countries, the British premier said as he landed in Japan on Thursday ahead of the Group of Seven summit.
Stress testing and strengthening supply chains are a key aim of the leaders in the wake of Russia’s war in Ukraine and the Covid-19 pandemic, with their reliance on chips from Taiwan high on the agenda. The UK will unveil its long-awaited Semiconductor Strategy Friday.
Sunak said he and Japanese Prime Minister Fumio Kishida are “closely aligned on the importance of protecting peace and security in the Indo-Pacific and defending our values, including free and fair trade.”
Trading house Marubeni Corporation and its partners intend to invest some £10 billion in the UK over the next decade, largely in offshore wind, Sunak’s office said in an emailed statement.
Sumitomo Corporation will invest about £4 billion in offshore wind projects off the coasts of Suffolk and Norfolk, while Mitsubishi Estate and Mitsui Fudosan will invest £3.5 billion to build affordable housing and office space, it said.
Meanwhile, UK energy firm Octopus Energy said it would invest £1.5 billion in the Asia-Pacific energy market by 2027.
