Nippon Express Group eyes 3x India business by 2028, flags India’s scale as a challenge

Japanese logistics major Nippon Express Group aims to triple its business in India by 2028 as India’s semiconductor ecosystem develops under Semicon 2.0, Katsuhito Kobayashi, CEO, South Asia & Oceania Region, Nippon Express Group, told ET AI during SEMICON India 2026.

“We have just started the business, but of course, under Semicon 2.0, it is expected to grow. So, I want to make it more ambitious in terms of business. I have a target. By the end of 2028, I want to make it three times the size of 2023,” he said.

The company is targeting revenue of $380 million from India by 2028.


However, India’s scale could prove to be both an opportunity and a challenge for Nippon Express. Kobayashi was of the view that the size and diversity of the Indian market meant logistics providers will need to work closely with companies and the government.

“India is very huge. It is a huge market with a huge population, and there is a lot of potential,” he said. “We have to work very closely because it is such a big market. It is not really easy, and there is a lot of variety, so I think this is one of the challenges.”

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Government support and improving infrastructure could help the company bring its overseas expertise to India, he added.

“I am quite confident because the government is providing a lot of support. Very soon, perhaps, the infrastructure will be developed, and we can bring our experience and expertise from overseas. Then we can build something solid in India,” he said.

India playbook

The expansion of semiconductor manufacturing in India is creating demand for specialised logistics infrastructure around fabs and other semiconductor facilities, particularly for moving, storing and installing sensitive equipment and components.

Kobayashi told ET AI that Nippon Express is already working with semiconductor manufacturers in India, including Tata Electronics, and is looking to expand its infrastructure and services as more fabs and semiconductor facilities come up.

“We already have business with some chip manufacturers. We are working with them, as well as with some US and Japanese companies,” he said. “Tata is also one of the most important partners. It is an Indian-origin company, and we are happy to work with them and create something in India.”

The company has secured land in Gujarat’s Dholera and is planning to set up warehousing assets to support semiconductor fabs. But Kobayashi said the company is also looking beyond Dholera.

“We have secured the plot, and are now planning to set up some warehousing assets to support fabs,” he said. “We are also working on future development, so not only Dholera, but maybe we will look at what else we can do in other states.”

The company’s semiconductor logistics plans also extend beyond individual warehousing projects. Under a memorandum of understanding signed with the India Semiconductor Mission (ISM) at SEMICON India 2026, Nippon Express and ISM will share information and hold discussions on semiconductor logistics requirements, logistics infrastructure and supply-chain resilience.

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The collaboration is intended to help identify and address logistics challenges as India builds out an ecosystem connecting semiconductor manufacturers, suppliers, logistics providers and global markets.

Nippon Express is also looking to use its international network as India’s semiconductor ecosystem develops.

“We also have global partnerships, including outside India. We have businesses in Japan, Taiwan, the US and other parts of Asia, so I think we can come to India together,” Kobayashi said.

India is also central to the group's broader Indian Ocean Rim strategy, under which Nippon Express has established an Indian Ocean Rim Strategy Office in Mumbai. The group has set a target of JPY 80 billion, or about $500 million, in revenue across the Indian Ocean Rim region by fiscal 2028.

Logistics to aid chip manufacturing

Nippon Express provides end-to-end semiconductor logistics, covering air and ocean freight, customs clearance, warehousing, domestic transportation, factory delivery, installation support and outbound logistics.

For sensitive semiconductor equipment, the company also offers specialised transportation with controls for vibration and shock prevention, as well as temperature and humidity management and cleanroom delivery.

At SEMICON India, the company showcased these end-to-end capabilities as part of its pitch to support India's semiconductor build-out.

ISM CEO Amitesh Kumar Sinha described Nippon Express as a specialised logistics company that could help address some of the challenges involved in building India’s semiconductor ecosystem.

“Nippon Express is a knowledge partner for ISM, and they will advise us on the different challenges and how we can effectively set up infrastructure, warehousing and other such facilities. That kind of knowledge will then be implemented on the ground,” he said during a press meet.

Electronics and IT minister Ashwini Vaishnaw said during the meet: “The feedback was about the logistics and customs issues, which was one of the questions we had earlier. Nippon Express is the answer to that.”