Japanese companies are accelerating their Global Capability Centre (GCC) expansion in India, with over 100 firms already operating GCCs in the country, according to Deloitte India’s report, India’s Strategic GCC Play for Japanese Enterprises. As the sector expands beyond established hubs to cities such as Ahmedabad, Jaipur, Coimbatore, Kochi and Indore due to their cost competitiveness, India’s GCC ecosystem is projected to generate a net economic impact of $470–600 billion by FY2030, contribute 2.2–2.8% to GDP, and create 20–25 million jobs.
With over 100 centres already established, Japan has emerged as the largest contributor to India’s GCC ecosystem in the Asia Pacific (APAC) region. These centres are rapidly evolving into strategic hubs for engineering, digital transformation and product innovation, spanning areas such as AI, embedded systems, cloud, advanced analytics and digital manufacturing, the report noted.
“India and Japan are entering a new phase of economic collaboration anchored in innovation, technology and long-term value creation. As Japanese enterprises expand their global capability networks, India is emerging as a strategic hub for Japan that combines scale, engineering talent and digital expertise,” said Rohan Lobo, Partner and GCC Industry Leader, Deloitte India.
“As digital and engineering mandates scale, these GCCs will unlock an estimated $470–600 billion in economic impact by FY2030, contribute up to 2.8 per cent to GDP, and create millions of high-skilled jobs—positioning India at the centre of global capability networks,” he said.
GCCs evolve beyond back-office roles into innovation and product development hubs
The report highlights a fundamental shift in the role of GCCs, from back-office support functions to multidisciplinary centres of excellence driving end-to-end product development, innovation and enterprise resilience. This shift is further reinforced by Japan’s need to address demographic challenges while accelerating its digital transformation by leveraging access to India’s deep STEM talent pool.
Keerthi Kumar, Partner, Deloitte India, said, “Japanese GCCs in India reflect a strong sectoral focus on engineering-led industries, with technology (20 per cent), industrials (15 per cent) and automotive and healthcare (11 per cent each) forming the core of the footprint. This highlights how Japanese companies are tapping into the Indian engineering ecosystem symbiotically, going beyond talent. India is expected to benefit from world-renowned Japanese engineering practices.”
The next phase of GCC growth is increasingly extending as cities such as Ahmedabad, Jaipur, Coimbatore, Kochi and Indore are gaining traction. Cost competitiveness, specialised talent pools and supportive state policies are emerging as key enablers of this expansion, the report noted.
Strong India–Japan bilateral momentum, including the JPY10 trillion ($68 billion) investment commitment, digital partnership initiatives and industrial collaboration frameworks, is further accelerating GCC expansion, the report said.
Looking ahead, the report underscores that the next phase of growth will be driven by future-ready talent strategies, deeper R&D and innovation mandates, stronger ecosystem partnerships and positioning India as both a strategic market and a long-term growth partner, it said.
