Canada-Japan Corporate Co-innovation Program

Description

The National Research Council of Canada Industrial Research Assistance Program (NRC IRAP) has selected Japan as a market in which to assist Canadian small and medium-sized enterprises (SMEs) to engage in co-innovation partnerships to access global value chains. In Japan, much of the innovation activity and budget resides with its large corporations. As a result, NRC IRAP has developed a program to support Canadian SMEs to engage in a collaborative research and development (R&D) projects with Japanese multinational corporations. This program is designed to help Canadian SMEs adapt, validate and integrate their technologies with Japanese corporate partners. Canadian applicants must have an agreement with one or more Japanese partners to undertake a co-innovative proof-of concept project, in which case they may be eligible to receive NRC IRAP funding support to execute

1. Introduction

The National Research Council of Canada Industrial Research Assistance Program (NRC IRAP) has selected Japan as a market in which to assist Canadian small and medium-sized enterprises (SMEs) to engage in co-innovation partnerships to access global value chains. In Japan, much of the innovation activity and budget resides with its large corporations. As a result, NRC IRAP has developed a program to support Canadian SMEs to engage in a collaborative research and development (R&D) projects with Japanese multinational corporations.

This program is designed to help Canadian SMEs adapt, validate and integrate their technologies with Japanese corporate partners. Canadian applicants must have an agreement with one or more Japanese partners to undertake a co-innovative proof-of concept project, in which case they may be eligible to receive NRC IRAP funding support to execute the project.

2. Application deadlines

Canadian registration deadline: September 19, 2025

Proof-of-concept project submission deadline: October 3, 2025

Notification of results: October 17, 2025

Expected project start date: November 17, 2025

3. Sectors of focus

Although this call invites proposals related to any technological or market area, priority is being given to the following sectors:

• digital industries
• clean technologies
• advanced manufacturing
• natural resources and energy
• health and life sciences
• agriculture and food
• transportation

4. Eligibility requirements

In order to participate in this initiative, applicants must form a proof-of-concept collaborative R&D project that meets the following criteria:

4.1 Canadian applicant

• The Canadian applicant must meet all the following criteria:
  • be an incorporated, profit-oriented small or medium-sized enterprise (SME) in Canada (defined as having 500 or fewer full-time equivalent employees)
  • have been in operation for a minimum of 12 months prior to the project proposal deadline specified above
  • have a minimum of 5 full-time equivalent employees located in Canada (on your company payroll and issued a T4), excluding contract employees
  • pursue growth and profit by developing and commercializing innovative, technology-driven new or improved products, services or processes in Canada
  • have a differentiated and protectable technology with commercial potential in global markets
  • have the financial capacity (working capital, sales revenue, investment, etc.) and the operational capacity (personnel, expertise, resources, etc.) to undertake an international multi-year R&D collaboration while maintaining regular operations, and to subsequently commercialize the results
  • be committed to significant growth through international market expansion
• Preference may be given to SME applicants who meet the criteria below. If one or more criteria are unmet, a strong rationale must be provided in the Expression of Interest (EOI) form for possible consideration:
  • have a minimum of 15 full‑time equivalent employees located in Canada (on your company payroll and issued a T4), excluding contract employees
  • have commercialized one or more products internationally
  • have more than $500,000 CAD in annual sales revenue.

4.2 Consortium

• The project consortium must include at least:
  • 1 eligible Canadian SME*
  • 1 Japanese corporate partner
• The parties listed above must be unrelated parties (i.e., no direct, indirect, beneficial or constructive ownership interest between these parties)
• The project partners that form the consortium must agree on a plan addressing intellectual property (IP) rights and intent to commercialize
• Project partners who form the consortium and any individuals, organizations involved in the project activities must have no affiliation in any form with entities listed on the Named Research Organization list.

4.3 Project

• The project must focus on co-development, adaptation or validation of an innovative product, process, or technology-based service that has:
  • commercial potential and outcomes that can be realized within 2 to 3 years of completion of the project
  • quantifiable performance objectives
  • a civilian (non-military) purpose
• The project must demonstrate:
  • a complementary technological contribution from each partner
  • an obvious advantage and added value resulting from the cooperation between the participants
  • a balanced contribution between project partners and countries (i.e., no more than 70% of the effort contributed by any one partner or country)
  • benefits to Canada commensurate with the funding requested

4.4 Japanese eligibility requirements

The Japanese corporate partner will participate in this collaborative project on a self-funded basis. The ideal Japanese corporate partner must:

• be acknowledged as a leader in the target sector, have a dominant presence in the targeted geographic market with a wide international network or pathways to Global Value Chains
• have critical pain points and/or attractive market opportunities
• have a goal of commercializing or adopting new technologies resulting from the project
• provide in-kind contributions and/or additional financial resources (see section "5. Funding" below)
• must agree on a plan addressing intellectual property (IP) rights and intent to commercialize (including having a Non-Disclosure Agreement in place)
• have a defined structure to engage with Canadian SMEs
• have the support from senior management and/or operational business units (demonstrated via a Letter of Intent regarding the proposed project, signed by both parties)
• have a focus on collaboration and/or open innovation (the intent of the project is not company acquisition or technology procurement)
• any existing contractual sales and/or procurement contracts must be unrelated to activities in the proposed project.

5. Funding

Eligible Canadian SMEs may receive up to 50% reimbursement of eligible total project costs up to a maximum total funding amount of $75,000 CAD over 6 to 8 months. All selected projects must start after November 17, 2025.

Through this program, the Japanese corporate partner will be participating on a self-funded basis. In addition, they must provide in-kind resources to the Canadian applicants, such as:

• access to unique facilities in real-field-conditions for innovation testing
• use of internal services, expertise, knowledge, data-sets or equipment
• expertise and consulting to co-develop the innovation
• regulatory and legal guidance to ensure compliance in Japan and Internationally
• assistance in co-commercialization of product with relevant local business partners

Note: Canadian SME applicants must be eligible for funding as NRC IRAP clients before they can be considered for funding through this call for proposals. For more information on NRC IRAP eligibility and becoming an NRC IRAP client, please contact NRC IRAP at 1‑877‑994‑4727.

Note: Canadian SME applicants may apply to more than one NRC IRAP call for proposals simultaneously. However, NRC IRAP may limit the number of funded projects per applicant and/or the total amount of funding per applicant. Canadian SME applicants who are applying to more than one opportunity or who have ongoing NRC IRAP projects should speak to their NRC IRAP representative for more information.

6. Application process

The Japan Corporate Co-Innovation Program application process has 2 steps:

Step 1: Registration

Interested Canadian applicant must register using the Register button at the bottom of this page. Basic information about the applicant and the organization will be required upon registration.

NRC IRAP will review registrations for this call for proposals and contact applicants if more information is required. Applicants not immediately deemed ineligible will proceed to the next phase and be invited to submit a proof-of concept project form.

Step 2: Proof-of-Concept (PoC) Project

During this phase, each Canadian applicant seeking funding must submit a proof-of-concept (PoC) project form.

While completing the PoC form, Canadian applicants are encouraged to contact their NRC IRAP Industrial Technology Advisor (ITA), if one has been assigned, to discuss the project idea and receive guidance on preparing the submission.

It is recommended that applicants submit the PoC as early as possible. PoCs will be evaluated by the applicant's ITA and the NRC IRAP International Office.

The PoC project application package consists of:

1. a PoCProject form outlining the:
   • information about the Canadian SME
   • project idea
   • technology and markets
2. a Letter of Intent (preferably signed) containing descriptions of the following:
   • roles and responsibilities of each consortium member
   • demonstration of the Japanese corporate partner engagement in the project
   • a plan addressing IP rights and intent to commercialize
   • the Canadian SME's intention to apply for funding from NRC IRAP to support this project
3. a signed NRC Research Security Requirements Attestation form, in which the Canadian SME will certify that neither the consortium project partners nor any individuals and organizations involved have any affiliation with the entities listed on the Named Research Organization list.

Successful and selected Canadian SMEs will work with their NRC IRAP representative to prepare an NRC IRAP Proposal for Small Projects and Contribution agreement.

Following the successful completion of the PoC Project, Canadian applicants may be eligible for further funding to support a R&D Collaboration Project with the same Japanese corporate partner. All Canadian applicants will be required to complete the International Project Report (document will be provided). The International Project Report will be evaluated by the applicant's ITA and the NRC IRAP International Office. Qualifying applicants may be invited to submit a R&D collaboration project with their project partner.

7. Contacts