DistantNews
Support us
🇸🇬 Singapore /Conflict & Security

US defense firm Anduril in talks for Nissan plant to build drones in Japan, sources say

From The Straits Times · () English

Translated from English, summarized and contextualized by DistantNews.

At a glance

News Named sources New plan
  • U.S. defense firm Anduril Industries is in talks to acquire Nissan's Oppama assembly plant near Tokyo to build military drones.
  • The potential deal could transform the historic car factory into an arms-making hub amid Japan's push to expand defense manufacturing.
  • The move faces scrutiny over Japan's shift from pacifism and potential foreign control of defense production.

U.S. defense contractor Anduril Industries is reportedly in discussions to acquire Nissan Motor's Oppama assembly plant near Tokyo. Sources familiar with the matter told Reuters that Anduril aims to establish a military drone production facility in Japan.

If a deal materializes, it could signify a major transformation for the Oppama plant, one of Japan's earliest large-scale post-war automobile factories and a symbol of its industrial resurgence. It would become a hub for arms manufacturing.

The talks occur as Prime Minister Sanae Takaichi's government prioritizes expanding defense production capabilities. This initiative is driven by concerns over potential regional instability, particularly regarding Taiwan, and the need to replenish existing weapons stocks.

no decision has been made

— NissanNissan declined to comment whether it was in talks with Anduril, adding that no decision had been made on future ownership of the Oppama plant it plans to close in 2028.

However, such a transition could spark debate. Critics may question Japan's departure from its post-war pacifist stance and assess public support for converting civilian industries to defense purposes. Questions may also arise regarding foreign ownership of defense equipment production facilities in Japan, which are typically built under license by domestic companies.

Nissan has stated that no decision has been made regarding the Oppama plant's future ownership. The company plans to close the facility in 2028 as part of a broader strategy to reduce production capacity. Anduril declined to comment on "market speculation" but acknowledged exploring opportunities to strengthen local production in Japan.

market speculation

— AndurilAnduril said it would not comment on "market speculation", although it said it was working with Japan and "exploring opportunities to strengthen local production".
DistantNews Editorial

Originally published by The Straits Times in English. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

More Stories

From Our Blog