Takashimaya, a leading Japanese department store operator, has announced plans to open a new shopping center in Hanoi by 2026. This move marks the company’s first international expansion since it launched a store in Bangkok in 2018. The project, spearheaded by subsidiary Toshin Development, will feature a mixed-use complex including residential, office, and commercial spaces.
The investment for the department store is estimated at 2 billion yen ($12.9 million), positioning Takashimaya as the first Japanese department store chain to establish a presence in Vietnam’s capital. The Hanoi complex, spanning approximately 10,000 square meters in retail space, aims to cater to the city’s growing middle and upper classes, a demographic that Takashimaya views as its most significant growth market in the region.
However, the expansion into Hanoi brings stiff competition. South Korean conglomerate Lotte Group and Japan’s Aeon Mall have already established their presence in the city, enhancing the challenge for Takashimaya to carve out a significant market share.
Takashimaya’s strategy includes a strong emphasis on offering high-quality Japanese products, ranging from food and cosmetics to children’s clothing. The move is a bid to capitalize on Vietnam’s increasing standard of living, which is expected to boost demand for premium products.
The company also operates a retail center in Ho Chi Minh City, opened in 2016, which has seen steady growth and plans for future expansion. Beyond retail, Takashimaya is diversifying its investments in Vietnam, involving in educational projects and joint real estate developments, to bolster its overall earnings in the region.
This expansion is part of Takashimaya’s broader strategy to focus on overseas markets, particularly Southeast Asia, as its next significant growth area amid challenging domestic conditions in Japan. The company has committed 51 billion yen to its international commercial development efforts through February 2027, underscoring its commitment to enhancing its global footprint.
