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Japan’s autonomous driving market to reach ¥1 trillion in 2027, research firm predicts
Market Research Center predicted that Japan’s autonomous vehicle market will reach ¥1 trillion in 2027.
What happened
Market Research Center released a report in August 2026 saying Japan’s autonomous vehicle market stood at about ¥760 billion in 2025 and would grow at a compound annual growth rate of 24.40% from 2026 to 2035. The firm forecasts the market will reach ¥1 trillion in 2027 and ¥6.74 trillion in 2035.
Why it matters
The research firm expects demand for Level 4 autonomous driving services to rise as Japan’s aging population and shrinking transportation options in rural areas make mobility a challenge for local governments and businesses. It also forecasts that fully autonomous vehicles will grow at an annual rate of 25.7%, while partially automated vehicles currently account for a large share of the market.
Sources
Translated from the Japanese original: /news/nippon-no-jidouunten-shijou-2027-nen-ni-1-chouen-kibo-he-maa-135f1d. The Japanese version is authoritative if they differ.