New Cities India

Investment Announcement

UP Unveils 500-Acre 'Japan City' in YEIDA Sector 5A with ₹3,195 Crore Manufacturing Commitments

Uttar Pradesh Chief Minister Yogi Adityanath announced plans to develop a dedicated Japanese City across around 500 acres at Sector 5A of the Yamuna Expressway Industrial Development Authority (YEIDA), alongside manufacturing investments worth over ₹3,195 crore by Escorts Kubota and Spark Minda Group. The announcement came on Wednesday, August 19, during the UP-Japan Investment Meet 2026 in New Delhi.

New Yamuna City — UP Unveils 500-Acre 'Japan City' in YEIDA Sector 5A with ₹3,195 Crore Manufacturing Commitments
Japan City Land AreaApproximately 500 acres in YEIDA Sector 5A
Combined Manufacturing Investment₹3,195 crore by Escorts Kubota and Spark Minda Group
Escorts Kubota Allocation154 acres for manufacturing facility in Sector 10; ₹2,029 crore investment; ~4,000 jobs
Escorts Kubota Production Capacity60,000 tractors annually, plus tractor and agricultural machinery components
Spark Minda Investment₹1,166 crore across Sectors 10 and 24; ~6,440 jobs; 2 million units annually
Spark Minda ProductsElectronic switches, sensors, USB chargers and automotive electronic components
Total Employment ExpectedMore than 10,000 jobs from combined Escorts Kubota and Spark Minda projects
Japan City PurposeIndustrial, commercial and residential facilities for Japanese companies and citizens
Event AttendanceMore than 200 industrialists, CEOs, business leaders and policymakers from Japan participating in UP-Japan Investment Meet 2026, held August 18-23

Japan City Announcement

Chief Minister Yogi Adityanath announced plans to develop a dedicated Japanese City across around 500 acres at Sector 5A of YEIDA, making it a proposed integrated industrial development designed to attract Japanese manufacturers and create a supporting industrial ecosystem.

Speaking virtually from Lucknow at the UP-Japan Investment Meet 2026 in New Delhi on August 19, CM Adityanath highlighted the state's expanding network of expressways, airports, industrial corridors and logistics infrastructure.

Escorts Kubota Manufacturing Facility

During the programme, Adityanath laid the foundation for Escorts Kubota Limited's proposed manufacturing facility in YEIDA's Sector 10. The company has been allotted 154 acres for the project, which will involve investment of around ₹2,029 crore and is expected to create approximately 4,000 jobs.

The facility is planned to produce about 60,000 tractors annually, along with tractor and agricultural machinery components.

Spark Minda Manufacturing Projects

A virtual groundbreaking ceremony was held for Spark Minda Group's manufacturing projects in YEIDA Sectors 10 and 24. With an investment of around ₹1,166 crore, the projects are expected to generate about 6,440 jobs and manufacture nearly two million units annually, including electronic switches, sensors, USB chargers and other automotive electronic components.

Strategic Sectors Identified

Adityanath identified green hydrogen, solar energy, electronics, medical devices, automotive manufacturing, semiconductors and advanced manufacturing as key areas for future India-Japan cooperation.

Union ministers Ashwini Vaishnaw and Shivraj Singh Chouhan attended the programme.

What This Means for the Region

The Japan City's proximity to Noida International Airport could further support manufacturing, logistics, and business operations. The development will be an integrated industrial base for Japanese companies along with their suppliers and ancillary industries, allowing an entire supply chain to be built up around large sectors.

The Japan City is part of UP's broader plan to attract global companies and support its ₹1 trillion economy goal.

Frequently asked questions

Where exactly is the Japan City being built?

The Japan City is a proposed 500-acre integrated industrial development in YEIDA's Sector 5A in Greater Noida.

What will Japan City offer?

The project is planned as an integrated industrial ecosystem for Japanese companies, their suppliers and ancillary industries.

How much are Escorts Kubota and Spark Minda investing?

Together, the two companies' projects represent ₹3,191 crore of proposed investment and could generate more than 10,000 jobs.

When will these projects be completed?

The announcement on August 19, 2026 included virtual groundbreakings, but specific completion timelines for all projects have not been disclosed in the available sources.

Who led the Japanese delegation?

The delegation was led by Yamanashi Prefecture Governor Kotaro Nagasaki.

What is YEIDA's role in this development?

YEIDA, established in 2001 under the Uttar Pradesh Industrial Area Development Act, 1976, is the nodal agency responsible for the planned and sustainable development of the region along the Yamuna Expressway.

Sources

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