Berkshire Hathaway’s Growing Commitment to Japanese Trading Companies Tops $30 Billion

Warren Buffett’s berkshire Hathaway has substantially expanded its investments in five leading Japanese trading companies, with the total value surpassing $30 billion by late 2025. This surge underscores Buffett’s sustained confidence in these firms, as evidence points to ongoing acquisitions of additional shares.

From Modest Beginnings to Considerable Expansion

Berkshire Hathaway initiated its stake-building in these Japanese conglomerates well before publicly revealing the holdings on Buffett’s 90th birthday in August 2020. At that time, the combined portfolio was valued at roughly $6.3 billion. As then, it has experienced an extraordinary increase of nearly 400%, reaching an estimated $31 billion today. Individual stock gains range from 227% up to an extraordinary 551%, driven by both Berkshire’s incremental purchases and robust market performance.

Crossing Ownership Milestones: Stakes Above 10%

Recent disclosures indicate that Berkshire Hathaway now holds more than a 10% ownership share in some of these companies-a notable development given Buffett’s earlier commitment not to exceed this threshold without explicit approval from the firms involved. For example, Mitsui reported that Berkshire’s National Indemnity subsidiary owned over 292 million shares as of September 30, 2025, representing a stake of approximately 10.1%, valued near $7.1 billion-up from a previous holding of about 9.7% earlier that year.

Mitsubishi also confirmed an increase in Berkshire’s stake from around 9.7% in March to approximately 10.2%. Even though updates for Itochu, Marubeni, and Sumitomo have been less frequent recently, it is indeed reasonable to infer their stakes may have similarly crossed the critical ownership mark.

Eased Restrictions and Enduring Investment Horizon

Initially pledging not to raise stakes beyond the established limit without consent from each company, Buffett revealed in his latest shareholder letter that these firms have agreed to “moderately relax” this cap-permitting gradual expansion over time.

Buffett has consistently emphasized his long-term vision for these investments; during interviews throughout early-to-mid-2025 he highlighted attractive valuations relative to interest rates prevailing at purchase times as key motivators for entry into this sector. he reiterated his intention for berkshire Hathaway to hold onto these shares indefinitely-“50 years or forever”-reflecting a patient and value-driven investment philosophy.

The Strategic appeal of Japanese Trading Conglomerates

Japanese sogo shosha operate as highly diversified global conglomerates spanning industries such as energy resources, metals mining and processing, heavy machinery manufacturing, chemicals production, and food distribution networks-all under one corporate umbrella within Japan’s stable economic framework.

This contrasts with many Western trading companies which often focus narrowly on specific sectors; instead sogo shosha integrate supply chains both vertically (from raw materials thru finished goods) and horizontally (across multiple continents). This multifaceted approach proved resilient amid worldwide supply chain disruptions triggered since early-2020 events like pandemic lockdowns and geopolitical tensions.

Economic Backdrop & Real-Life Examples Driving Growth

The Japanese economy demonstrated steady momentum through mid-2025 with GDP growth around +1.8%, fueled by rising exports alongside recovering domestic consumption following pandemic-related slowdowns.The Tokyo Stock Exchange reflected this optimism:sogo shosha stocks frequently outperformed broader market indices during this period.

A concrete example is Mitsui’s recent push into renewable energy infrastructure across Southeast Asia-a strategic move aligning with global decarbonization efforts while positioning itself for sustainable long-term growth amid shifting energy paradigms worldwide.

Berkshire Hathaway Within Global Investment Landscape

Berkshire maintains substantial equity positions beyond Japan-including major U.S.-based corporations like Apple Inc., Bank of America Corp., along with significant holdings listed on Hong Kong exchanges-demonstrating diversified geographic exposure within its portfolio.The disclosed values reflect filings through June 30th 2025; however some transactions completed afterward may still be pending public disclosure due regulatory reporting timelines.

A Glimpse Into Buffett’s investment Philosophy In Practice

This strategy exemplifies disciplined value investing paired with strategic patience: deepening foreign market exposure only after thorough fundamental analysis rather than chasing short-term speculative trends common among many investors today.Berkshire’s growing presence within japan highlights confidence not just in individual company strengths but also broader macroeconomic stability supporting future returns over decades ahead.

Main Takeaways at a Glance

• Total investment by Berkshire Hathaway across five prominent Japanese trading houses exceeds $30 billion as measured late-2025;
• The portfolio has expanded nearly fourfold since initial public disclosure back in August 2020;
• Mitsui and Mitsubishi stakes now surpass previously agreed ownership limits following mutual arrangements allowing increased holdings;
• Sogo shosha buisness models provide broad diversification across multiple sectors globally via integrated supply chains;
• Berkshire intends maintaining positions long term based on intrinsic value assessments coupled with growth potential aligned toward multi-decade horizons;