Aichi-Nagoya Asian Games hit by overseas contractor problems

NAGOYA – A series of problems have marred the early days of the Aichi-Nagoya Asian Games, which have relied on an overseas company for venue operations in the absence of domestic advertising giant Dentsu Group.

The Japanese branch of French company GL Events won a contract worth 63 billion yen (S$511.3 million) for the games despite concerns over its involvement from the outset.

Multiple subcontractors at the World Exposition in Osaka in 2025 said the company had not paid fees for the construction of pavilions, with some of the disputes escalating into lawsuits.

GL Events was selected because it was “overwhelmingly cheaper”, according to a source close to the matter. At the volleyball venue, however, 156 lights were damaged just before the opening due to excessive voltage caused by an error by GL Events.

The company also operated the men’s hockey venue where the national anthem of North Korea was mistakenly played before a South Korea match, according to the source, prompting an apology from the local organising committee.

At the Tokyo Olympics and Paralympics in 2021, Dentsu coordinated experienced contractors for the set-up of the venues and operations, but the company was later convicted of antitrust violations for manipulating the bidding process.

“(The committee) lacked expertise, financial resources and planning capacity,” Yasuhiro Nakamori, a senior official in the committee, said.

Local business groups were the main sponsors for the Asian Games, raising about 27 billion yen to meet the target, though Toyota Motor, the dominant company in host Aichi prefecture, did not formally say it would participate until September 2025.

Chinese sportswear maker 361 Degrees International became the first prestige partner announced in September 2024. Aichi Governor Hideaki Omura, who chairs the local organising committee, wore a jacket made by the company at the opening ceremony on Sept 19.

A local organising committee executive said the absence of secondees from Dentsu had been painful.

“If we endure this situation, many people will become capable of running events. It is the pain of creation,” the executive said. KYODO NEWS