Sri Lanka and Japan Advance Industrial Corridor Plan During Industry Minister’s Tokyo Visit
TOKYO / COLOMBO, 17 October 2026 — Japan has reaffirmed its commitment to a roadmap for a Sri Lanka–Japan Export-Oriented Industrial Corridor following talks with Industry and Entrepreneurship Development Minister Sunil Handunneththi in Tokyo this week. Japan’s Ministry of Economy, Trade and Industry (METI) said both sides would keep working closely together.
Minister Handunneththi met State Minister of Economy, Trade and Industry Takagi Kei on 15 October. According to METI, the two sides agreed to cooperate on implementing the corridor roadmap and on improving Sri Lanka’s business environment. They also exchanged views on industrial cooperation, including in the mineral sector.
“The proposed Sri Lanka–Japan Export-Oriented Industrial Corridor could open a new chapter in our economic partnership,” the minister said in a post on X on 16 October. He thanked State Minister Takagi and METI for their continued cooperation.
Japan commends reform progress
On the same day, the minister met Parliamentary Vice-Minister for Foreign Affairs Fujii Kazuhiro. Japan’s Ministry of Foreign Affairs said Mr. Fujii welcomed the visit and praised Sri Lanka’s steady recovery from the 2022 economic crisis, its economic reforms and its efforts to combat corruption. He said Japan would continue to support Sri Lanka.
Minister Handunneththi thanked the Government and people of Japan for their cooperation and friendship. He said he wished to strengthen cooperation with Japan in the business sector.
According to the Government Information Department, the discussions also covered an economic corridor and a special industrial zone. Both sides also discussed plans to mark the 75th anniversary of Sri Lanka–Japan diplomatic relations in 2027. The Japanese side reportedly commended the ViYASA National Business Facilitation Centre, which coordinates approvals for investors. It also offered support for Sri Lanka’s participation in EXPO 2027.
Mineral forum draws JOGMEC, JETRO and JICA
The visit opened on 14 October with a Sri Lanka–Japan Mineral Sector Forum in Tokyo, chaired by the minister. The forum was attended by Japanese government representatives, the Japan Organization for Metals and Energy Security (JOGMEC), the Japan External Trade Organization (JETRO), the Japan International Cooperation Agency (JICA) and Japanese investors.
The minister invited Japanese companies to invest in value-added processing of graphite, mineral sands, quartz and silica, rather than importing them as raw material. He said the new National Mineral Policy provides a framework for responsible investment. He also said the sector could contribute significantly to Sri Lanka’s target of US$36 billion in exports by 2030.
He recalled that commercial ties between the two countries began in 1962 with Sri Lanka’s first shipment of ilmenite to Japan.
Japan is already the leading buyer of Sri Lankan graphite, taking 45% of the country’s graphite exports in 2024, according to the US Geological Survey.
Background
METI drew up the corridor roadmap in consultation with the Sri Lankan government ahead of President Anura Kumara Dissanayake’s state visit to Japan in September 2025. It aims to integrate Sri Lanka into global supply chains and expand trade with neighbouring South Asian markets. The two governments relaunched their Economic Policy Dialogue in Colombo in February 2026, the first in almost ten years, and signed a memorandum of cooperation.
Sri Lanka exported goods worth US$187 million to Japan in 2025 and imported goods worth US$1.12 billion, according to the Export Development Board. Japan was Sri Lanka’s fourth-largest source of imports.
Around 60 Japanese-invested enterprises operate under the Board of Investment, with investment of about US$350 million and more than 12,000 jobs created.
Sources: METI, MOFA Japan, Minister Handunneththi on X, news.lk, Lanka C News, USGS, JETRO, EDB, The Morning.
