KOTRA Flags Japan Auto Supply Shift as Keiretsu Ties Weaken
Electrification and software shifts prompt Japanese automakers to diversify sourcing, opening a two-year supplier selection window through 2027 for South Korean electronics and parts makers.
The Korea Trade-Investment Promotion Agency issued a procurement report on Oct. 21, 2026, advising domestic auto parts makers to enter Japanese supply networks before a crucial 2027 model-selection window closes.
Japan has committed to a policy roadmap requiring 100% of new passenger vehicle sales to be electrified models by 2035. Japanese automakers require three to four years of development lead time to design and validate mass-market vehicle architectures.
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