Europe welcomes Japan’s shift to non-US arms suppliers

European defense companies indicate that Japan has been rapidly opening its doors to non-American military equipment suppliers since the election of US President Donald Trump.

According to the Financial Times (FT), Tokyo’s growing inclination to turn to suppliers outside its traditional defense partner was a focal point at Japan’s largest defense industry fair, held this month in Makuhari, near Tokyo.

This development follows Trump unnerving US allies worldwide by questioning Washington’s commitment to common defense.

Company representatives attending the three-day International Defence and Security Equipment Japan (DSEI) fair stated that Japanese politicians and officials have made it clear they are now more open to deals with companies outside the US, supported by plans to significantly increase national defense spending.

Lars Eriksson, Saab’s country manager for Japan, said, “In the past, this area was dominated by the US. But recently, doors have opened for other countries to take a larger slice of the pie.”

Paul MacGregor, managing director of the British sensor and information defense group Roke, also noted a change in Japan, indicating a sentiment among Japanese officials of “we love anything as long as it’s not American-made.”

Roke, owned by the UK-listed Chemring, supplied electronic warfare systems to Japan’s Self-Defense Forces for the first time last year and hopes to generate £100 million in revenue from the Japanese market over the next five years by expanding its relationship with local trading company Kaigai.

British, Italian, Scandinavian, Israeli, and German defense manufacturers echoed MacGregor’s enthusiasm, stating that the domestic arms market has completely changed following the war in Ukraine.

The war increased Tokyo’s awareness of “geopolitical uncertainties” and convinced policymakers to take more precautions against what they see as the strategic threat of an increasingly powerful and assertive China.

In 2023, Japan announced plans to increase its defense spending limit from approximately 1% of GDP, a level maintained since the 1960s, to 2% by 2027.

As a sign of the changing commercial landscape, 471 companies from 33 countries participated in the DSEI trade fair. This number represents an increase of over 60% compared to the previous event in 2023. Of these, 128 came from Europe, marking the largest participation to date.

James de St John-Pryce, business director for British armored vehicle manufacturer NMS UK, commented, “While Japan has hitherto had a much more US-centric approach, it now seems far more open to what the UK, Europe, and broader international allies have to offer. Amid mixed messages from the US, mutual cooperation between the UK and Japan has become much more meaningful.”

Robert Dane, CEO of Australian uncrewed marine vessel supplier Ocius, said that his company’s talks to supply the Japanese navy have “defied expectations since last October by moving at lightning speed.”

Dane added, “We were told this was going to take six years and involve a lot of sake.”

In a speech at the fair on Thursday, Prime Minister Shigeru Ishiba emphasized Japan’s inclination to open up to deeper partnerships with missile, drone, and fighter jet manufacturers.

Ishiba stated, “To ensure the peace and stability of Japan and the wider region, it is extremely important to promote cooperation in the transfer, joint development, and production of defense equipment.”

Japan’s most significant military collaboration is the Global Combat Air Programme (GCAP), a multi-billion dollar fighter jet project with the United Kingdom and Italy. The explicit aim of this program is to find state-of-the-art alternatives to US military technologies, which are often kept secret.

Andrew Howard, Future Combat Air director at Leonardo UK, one of four companies that will supply avionics systems for the fighter jet, added, “The essence of the GCAP program is freedom of action and freedom to modify for each nation. The desire to retain significant sovereign capabilities in each of the three nations… is reinforced by concerns over US behavior.”

The Trump administration is trying to alleviate Asian allies’ concerns about its commitment. US Secretary of Defense Pete Hegseth, who visited Japan at the end of March, praised Japan as an “exemplary ally” and said Washington and Tokyo were beginning to establish a “war headquarters.”

Hegseth noted that “America First” does not mean “America alone.”

In this context, attendees at the defense fair agreed that even if supply and joint development activities with Europe increase significantly, the US will remain Japan’s primary defense partner and supplier.