FY2026 Circular Design Leading Model Development Support Subsidy

1. Program overview: This Miyagi Prefecture subsidy supports businesses that develop leading circular economy models and help shift the region toward a resource-circulating society. It covers part of the costs for prototype development and related activities for environmentally considerate products based on circular design, meaning design that considers resource circulation from the outset. The program is not limited to ordinary equipment purchase or promotion; the project must be suitable as a leading model for other businesses, be publicized in cooperation with the prefecture, and aim for commercialization within three years after completion. 2. Eligible applicants: Applicants are corporations or other organizations with a business office in Miyagi Prefecture, or sole proprietors who file blue tax returns using a tax location in the prefecture, and whose principal business is manufacturing. Other organizations approved by the governor may also qualify. Applicants must have no unpaid prefectural taxes, must not have had a grant decision cancelled within the past three years, must not be subject to Miyagi procurement qualification restriction or construction contractor suspension, and must not be organized crime groups or related persons. Consortium-style or joint development projects are possible, but additional documents clarifying organization, roles, agreements, pledges, or similar arrangements are required. 3. Eligible costs and support: Eligible costs include materials and sub-materials, machinery and equipment, tools and instruments, outsourcing for design/manufacturing/analysis/inspection/surveys, technical guidance, joint development, and personnel directly engaged in the prototype development. Marketing and sales-channel development costs such as external guidance, clerical costs, venue setup and operation, publicity, surveys, analysis, and design development outsourcing may also be covered. Machinery costs and personnel costs are capped at one half of prototype development costs, and outsourcing for marketing is capped at one half of sales-channel development costs. Consumption tax, transfer fees, installment fees, interest, routine utilities, land acquisition or leasing, application preparation, filing costs, and other costs not directly necessary for the project are excluded. 4. Rate, cap, schedule, and application points: The subsidy rate is up to two thirds, and the subsidy cap is 10,000 thousand yen per project, i.e. 10 million yen. Even if a project spans two fiscal years, the total subsidy cannot exceed 10 million yen, and each fiscal year’s grant decision is also capped at 10 million yen. The eligible project period is within two fiscal years. The official page states that applications are accepted from April 1, 2026 until 5:00 p.m. on June 19, 2026, in principle through the electronic application system. Costs for contracts or purchases started before the grant decision are ineligible, so applicants should prepare the project plan, estimates, financial statements, tax certificate, and other attachments early because applications with defects are accepted only after correction.