Neo-Tokyo gets recreated after World War III simmers down, where Tokyo was destroyed. Instead of the peaceful Tokyo it once was, the country is hunted with gang-violence and terrorism. The main character, Shotaro Kaneda is the leader of a bosozoku gang, which is a biker gang, together with his close friend Tetsou Shima. When they fight against their enemies, Tetsou is harmed and acquires telekinetic psychic abilities when he crashes against another psychic.
The gang is taken by the Japanese Self-Defense Forces before they manage to run away with the help of Kei, a resistance member. It is revealed that Tetsou’s abilities are as strong as Akira’s, which is the person that destroyed Tokyo the last time. Tetsou is recaptured, as he is hallucinating and suffers from headaches. When Kaneda tries to help, but ends up attempting to fight Tetsou back, as he is unstable and aggressive.
Tetsou manages to escape and searches for Akira’s remains which is supposed to enhance his powers, which is located under the Olympic Stadium. Two members of the resistance tries to fight of Tetsou, yet he still manages to kill one of his former gang members, infuriating Kaneda. When the military and Kaneda reach Tetsou he overpowers them, though they manage to injure him in his right arm.
The military forces and Kaneda continue approaching, and Tetsou loses his control over his powers. He consumes all the masses and objects in proximity and grows. They decide to awaken Akira, who has the power to stop Tetsou. Akira sucks Tetsou and Kaneda into another dimension. Kaneda sees how he hnd Tetsou were close friends when they were younger, before the destruction of Tokyo.
The military forces manage to get Kaneda back from to the world where Tokyo is destroyed. They manage to survive, and Tetsou makes a big bang which makes him God in a parallel universe.