Database

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JAPAN

Since December 1949, as amended in April 2022, last amended in December 2023

Pillar Quantitative trade restrictions for ICT goods and online services  |  Indicator Export restrictions on ICT goods or online services
Cabinet Order on Export Trade Control (Cabinet Order No. 378 of 1949)
As amended in April 2022, under Art. 2.4 of the Cabinet Order on Export Trade Control, anyone wishing to export goods listed in Table 2-3 to Russia must obtain approval from the Minister of Economy, Trade and Industry, following the procedures established by the Ministry's Order. Table 2-3 includes several ICT goods, such as computers and their accessories, communication devices, cryptographic equipment, integrated circuits, semiconductor devices, electronic test equipment, analogue and digital recording devices, oscilloscopes, and components for microwave and millimetre wave equipment.
Coverage ICT goods including communication devices, cryptographic equipment, integrated circuits, semiconductor devices

JAPAN

Since August 2021

Pillar Cross-border data policies  |  Indicator Ban to transfer and local processing requirement
Guidelines on Security Management of Information System and Services Handling Medical Information (医療情報を取り扱う情報システム・サービスの 提供事業者にお る安全管理ガイドライン)
The Guidelines on Security Management of Information System and Services Handling Medical Information provide that information systems for the handling of medical data must be located in the territory of Japan so that in the event of an emergency, Japanese governmental authorities can enforce their power to collect information or issue administrative orders. Although this is not a mandatory requirement based on a specific law, it is reported that some medical institutions have requested that service providers maintain servers inside Japan to comply with these Guidelines.
Coverage Health sector

JAPAN

Reported in 2025

Pillar Cross-border data policies  |  Indicator Ban to transfer and local processing requirement
Reported local server requirement
It is reported that cloud service providers wishing to offer services to the Japanese government are required to locate their data servers within Japan.
Coverage Public sector

JAPAN

Since May 2003, as amended in September 2015, last amended in April 2022

Pillar Cross-border data policies  |  Indicator Conditional flow regime
Act on the Protection of Personal Information - Act No. 57 of 2003 (個人情報の保護に関する法律 - 平成十五年法律第五十七号)
Under Art. 28 of the Act on the Protection of Personal Information, the transfer of personal data to a third party in a foreign jurisdiction generally requires the explicit consent of the data subject. This requirement does not apply, however, in certain cases. One such case is where the recipient is located in a country or region designated by the Personal Information Protection Commission (PPC) as having a data protection regime that provides a level of protection equivalent to that of Japan, particularly in relation to individual rights and interests. At present, only member states of the European Economic Area (EEA) and the United Kingdom have received such designation. Another exception applies where the recipient has implemented a data protection framework that meets the standards prescribed by the PPC. Certification under the APEC Cross-Border Privacy Rules (CBPR) System, held either by the data sender or the recipient, may serve as evidence of such compliance.
Coverage Horizontal

JAPAN

Signed in March 2018, entry into force in December 2018
Signed in October 2019, entry into force in January 2020
Signed in October 2020, entry into force in January 2021
Signed in July 2018, as amended in January 2024, entry into force in July 2024

Pillar Cross-border data policies  |  Indicator Participation in trade agreements committing to open cross-border data flows
Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP)

Agreement Between The United States of America and Japan Concerning Digital Trade

Agreement between the United Kingdom of Great Britain and Northern Ireland and Japan for a Comprehensive Economic Partnership

Agreement between the European Union and Japan for an Economic Partnership
Japan has joined agreements with binding commitments to open transfers of data across borders. These include: the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP, Art. 14.11), the Agreement Between The United States Of America And Japan Concerning Digital Trade (Art. 11), the Agreement between the United Kingdom of Great Britain and Northern Ireland and Japan for a Comprehensive Economic Partnership (Art 8.84), and the Agreement between the European Union and Japan for an Economic Partnership (Art. 8.81).
Coverage Horizontal

JAPAN

Since May 2003, entry into force in April 2005, last amended in April 2022

Pillar Domestic data policies  |  Indicator Framework for data protection
Act on the Protection of Personal Information - Act No. 57 of 2003 (個人情報の保護に関する法律 - 平成十五年法律第五十七号)
The Act on the Protection of Personal Information provides a comprehensive regime of data protection in Japan.
Coverage Horizontal

JAPAN

Since December 1984

Pillar Telecom infrastructure & competition  |  Indicator Maximum foreign equity share for investment in the telecommunication sector
Act on Nippon Telegraph and Telephone Corporation, etc. - Act No. 85 of 1984 (日本電信電話株式会社等に関する法律 - 昭和五十九年法律第八十五号)
Ar. 4.1 of the "Act on Nippon Telegraph and Telephone Corporation, etc." stipulates that the government must at all times hold more than one‑third of the total number of issued shares in the telecommunications company Nippon Telegraph and Telephone (NTT).
Coverage Telecommunications sector

JAPAN

Since December 1984

Pillar Telecom infrastructure & competition  |  Indicator Presence of shares owned by the government in telecom companies
Act on Nippon Telegraph and Telephone Corporation, etc. - Act No. 85 of 1984 (日本電信電話株式会社等に関する法律 - 昭和五十九年法律第八十五号)
It is reported that the government holds one-third of the shares in the telecommunications company Nippon Telegraph and Telephone (NTT), as envisioned in Art. 4.1. of the "Act on Nippon Telegraph and Telephone Corporation, etc.", which requires the government to retain more than one‑third of the company’s issued shares at all times.
Coverage Telecommunications sector

JAPAN

N/A

Pillar Telecom infrastructure & competition  |  Indicator Functional/accounting separation for operators with significant market power
Requirement of accounting and functional separation for dominant network operators
It is reported that Japan mandates functional and accounting separation for operators with significant market power (SMP) in the telecom market.
Coverage Telecommunications sector

JAPAN

Reported in 2005, last reported in 2025

Pillar Telecom infrastructure & competition  |  Indicator Licensing restrictions to operate in the telecom market
Complaints about arbitrary spectrum allocation
Under the Radio Act (Act No. 131 of 1950) (電波法 (昭和二十五年法律第百三十一号), the allocation of the spectrum is at the discretion of the Ministry of Internal Affairs and Communication (MIC), based on consultation with the Radio Regulatory Council and consideration of plans submitted by the operators. The Act was amended in May 2019 to adopt what is called a "partial auction system," whereby the MIC considers the amount of special fees submitted by the applicant based on their own valuation of the spectrum, although it is not a decisive element. It is reported that the MIC's decision-making is arbitrary and opaque. Moreover, it reported that "several current spectrum allocations create bands unique to Japan (e.g., for self-driving vehicles) that prevent foreign technologies from functioning in Japan". On 30 August 2024, the MIC released a report from an advisory council on the use of a “conditional auction” mechanism for the allocation of underutilised millimetre wave bands or frequency bands that need to be shared with other wireless systems.
Coverage Telecommunications sector

JAPAN

Since April 1994

Pillar Telecom infrastructure & competition  |  Indicator Signature of the WTO Telecom Reference Paper
WTO Telecom Reference Paper
Japan has appended the World Trade Organization (WTO) Telecom Reference Paper to its schedule of commitments.
Coverage Telecommunications sector

JAPAN

N/A

Pillar Telecom infrastructure & competition  |  Indicator Presence of an independent telecom authority
Lack of an independent telecom authority
Japan does not possess a telecommunications authority whose decision‑making processes are institutionally independent of the government. Instead, the telecommunications and internet sectors are overseen by the Ministry of Internal Affairs and Communications (MIC), rather than by an autonomous regulatory commission.
Coverage Telecommunications sector

JAPAN

Since December 1949, last amended in November 2021
Since October 1980, last amended in May 2020
Since May 2020, last amended in 2024

Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade  |  Indicator Screening of investment and acquisitions
Foreign Exchange and Foreign Trade Act (Act No. 228 of 1949) (外国為替及び外国貿易法(昭和二十四年法律第二百二十八号))

Cabinet Order on Inward Direct Investment (対内直接投資等に関する政令(昭和五十五年政令第二百六十一号))

List of Classifications of Listed Companies regarding the Prior-notification Requirements on Inward Direct Investment (○本邦上場会社の外為法における対内直接投資等事前届出該当性リスト)
Japan has implemented foreign direct investment (FDI) screening mechanisms through the Foreign Exchange and Foreign Trade Act (Act No. 228 of 1949), supplemented by procedural regulations such as the Cabinet Order on Inward Direct Investment. Under this Act, foreign investors in "Designated Business Sectors" or "Core Business Sectors" are required to submit a prior notification to the relevant ministry. After reviewing the notification, the ministry may either approve, amend, or suspend the proposed investment.
According to the Cabinet Order on Inward Direct Investment, "Core Business Sectors" include industries where foreign investors (e.g., non-residents or foreign corporations) must file prior notification for direct investment, such as acquiring 1% or more of voting rights in a listed company or purchasing shares in an unlisted company. These sectors, considered highly sensitive, are generally not exempt from prior notification requirements due to national security concerns.
The List of Classifications of Listed Companies outlines core business sectors such as semiconductors and dual-use technologies, metal mining of significant mineral resources, cybersecurity-related services (e.g., network security monitoring and critical infrastructure protection), and telecommunications. Non-core business sectors include software, data processing services, and internet-use support businesses.
Coverage Horizontal

JAPAN

Since April 1959, last amended in 2024

Pillar Intellectual Property Rights (IPRs)  |  Indicator Practical or legal restrictions related to the application process for patents
Patent Act (Act No. 121 of 1959) (昭和三十四年法律第百二十一号特許法)
According to Arts. 8 and 184.11 of the Patent Act, the appointment of an agent is required if the applicant is not resident in Japan. Such an agent must be a resident of Japan or a firm registered to practice before the Japan Patent Office. In addition, pursuant to the Art. 184.4, translation of international applications is required into Japanese.
Coverage Horizontal

JAPAN

Since June 1970, entry into force in October 1978

Pillar Intellectual Property Rights (IPRs)  |  Indicator Participation in the Patent Cooperation Treaty (PCT)
Patent Cooperation Treaty
Japan is a party to the Patent Cooperation Treaty (PCT).
Coverage Horizontal

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