JAPAN
N/A
Pillar Public procurement of ICT goods and online services |
Sub-pillar Signatory of the World Trade Organization (WTO) Agreement on Government Procurement (GPA) with coverage of the most relevant services sectors (CPC 752, 754, 84)
Lack of coverage of CPC 754 and CPC752 in the WTO Government Procurement Agreement (GPA)
Although the Japan Union is a signatory to the WTO Government Procurement Agreement (GPA), its coverage schedules do not include telecommunications-related services (CPC 754) and only partially cover telecommunications services (CPC 752), which are important service sectors for digital trade.
Coverage Telecommunications sector
JAPAN
Since December 1984, last amended in July 2020
Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade |
Sub-pillar Maximum foreign equity share
Act on Nippon Telegraph and Telephone Corporation (Act No. 85 of 1984) (日本電信電話株式会社等に関する法律 (昭和五十九年十二月二十五日法律第八十五号))
According to Arts. 4 and 6 of Act No. 85 of 1984, foreigners' aggregate ownership cannot exceed one-third of the aggregate voting rights of Nippon Telegraph and Telephone Corporation (NTT), which holds all the issued shares of NTT-East and NTT-West.
Coverage Telecommunications sector
JAPAN
Since March 2005
Since February 2006
Since February 2006
Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade |
Sub-pillar Nationality/residency requirement for directors or managers
Companies Act (Act No. 86 of 2005) (平成十七年法律第八十六号 会社法)
Ordinance for Enforcement of the Companies Act (Ordinance of the Ministry of Justice No. 12 of 2006) (会社法施行規則(平成十八年法務省令第十二号))
Ordinance for Enforcement of the Companies Act (Ordinance of the Ministry of Justice No. 12 of 2006) (会社法施行規則(平成十八年法務省令第十二号))
Under the Companies Act (Act No. 86 of 2005) and the Ordinance for Enforcement of the Companies Act (Ordinance of the Ministry of Justice No. 12 of 2006), residency requirements are imposed on the members of the board of directors of joint-stock corporations (Kabushiki Kaisha), which are considered the predominant entities in Japan. Specifically, at least one director and one executive officer with the right of representation must maintain an address and reside in Japan. This regulation pertains to joint-stock companies.
Coverage Joint stock companies
Sources
- https://web.archive.org/web/20241111185218/https://www.japaneselawtranslation.go.jp/en/laws/view/2705/en
- https://web.archive.org/web/20220208200239/https://www.japaneselawtranslation.go.jp/law/detail_main?re=01&vm=02&id=2841
- https://web.archive.org/web/20241111190222/https://www.japaneselawtranslation.go.jp/en/laws/view/2841/en
- https://web.archive.org/web/20221128021643/https://www.jetro.go.jp/en/invest/setting_up/section1/page2/
- https://web.archive.org/web/20211026022008/https://www2.deloitte.com/content/dam/Deloitte/global/Documents/Tax/dttl-tax-japanguide-2017.pdf?nc=1
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JAPAN
Since December 1949, last amended in November 2021
Since October 1980, last amended in May 2020
Since May 2020, last amended in May 2023
Since October 1980, last amended in May 2020
Since May 2020, last amended in May 2023
Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade |
Sub-pillar 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)
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.
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
Sources
- https://web.archive.org/web/20231107090607/https://www.cas.go.jp/jp/seisaku/hourei/data/FTA.pdf
- https://web.archive.org/web/20230925105342/https://www.mof.go.jp/english/policy/international_policy/fdi/Related_Guidance_and_Documents/20230519.html
- https://web.archive.org/web/20231211030928/https://investmentpolicy.unctad.org/investment-laws/laws/289/japan-cabinet-order-on-inward-direct-investment
- https://web.archive.org/web/20231209012245/https://iclg.com/practice-areas/foreign-direct-investment-regimes-laws-and-regulations/japan
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JAPAN
Since April 1959, last amended in May 2022
Pillar Intellectual Property Rights (IPRs) |
Sub-pillar 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) |
Sub-pillar Participation in the Patent Cooperation Treaty (PCT)
Patent Cooperation Treaty
Japan is a party to the Patent Cooperation Treaty (PCT).
Coverage Horizontal
JAPAN
Since May 1970, last amended in January 2022
Pillar Intellectual Property Rights (IPRs) |
Sub-pillar Copyright law with clear exceptions
Copyright Act (Act No. 48 of 1970) (著作権法(昭和四十五年法律第四十八号))
Japan has a copyright regime under the Copyright Act. However, the exceptions do not follow the fair use or fair dealing model, therefore limiting the lawful use of copyrighted work by others. Arts. 30-50 list the exceptions, which include which include quoting and thereby exploiting a work that has been made public. In such a case, the work must be cited consistent with fair practices and within a scope that is justified for the purpose of news reporting, critique, study, or another place in which the work is quoted; to broadcast or cablecast a work that has been made public, in broadcast or cablecast programming for schools that conforms to the curriculum standards provided for in laws and regulations on school education; among others.
Coverage Horizontal
Sources
- https://web.archive.org/web/20201020113716/http://www.japaneselawtranslation.go.jp/law/detail/?id=2506&vm=04&re=02
- https://web.archive.org/web/20231203173106/https://iclg.com/practice-areas/copyright-laws-and-regulations/japan
- https://web.archive.org/web/20220929025336/https://www.lexology.com/library/detail.aspx?g=7fa22bff-54ea-4512-9c81-29908ae28a9f
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JAPAN
ITA signatory?
I
II
Pillar Tariffs and trade defence measures applied on Information and Communication Technology (ICT) goods |
Sub-pillar Effective tariff rate on ICT goods (applied weighted average)
Effective tariff rate to ICT goods (applied weighted average)
0.25%
Coverage rate of zero-tariffs on ICT goods (%)
92.22%
Coverage: Digital goods
Sources
- http://wits.worldbank.org/WITS/
- https://www.wto.org/english/news_e/brief_ita_e.htm#:~:text=ITA%20participants%3A%20Australia%3B%20Bahrain%3B,%3B%20Jordan%3B%20Korea%2C%20Rep.
- https://www.wto.org/english/res_e/booksp_e/ita20years_2017_full_e.pdf
- https://web.archive.org/web/20220120054410/https://trade.ec.europa.eu/doclib/docs/2016/april/tradoc_154430.pdf
- https://www.wto.org/english/tratop_e/inftec_e/itscheds_e.htm
JAMAICA
Since 2000
Pillar Online sales and transactions |
Sub-pillar Adoption of United Nations Commission on International Trade Law (UNCITRAL) Model Law on Electronic Commerce
UNCITRAL Model Law on Electronic Commerce
Jamaica has adopted national legislation based on or influenced by the United Nations Commission on International Trade Law (UNCITRAL) Model Law on Electronic Commerce.
Coverage Horizontal
JAMAICA
Since 2006
Pillar Online sales and transactions |
Sub-pillar Adoption of United Nations Commission on International Trade Law (UNCITRAL) Model Law on Electronic Signatures
UNCITRAL Model Law on Electronic Signatures
Jamaica has adopted national legislation based on or influenced by the United Nations Commission on International Trade Law (UNCITRAL) Model Law on Electronic Signatures.
Coverage Horizontal
JAMAICA
N/A
Pillar Technical standards applied to ICT goods and online services |
Sub-pillar Self-certification for product safety
Lack of self-declaration of comformity (SDoC)
It is reported that the market approval of products with radio technologies in Jamaica is granted by the Spectrum Management Authority (SMA). The SMA certification is a national certification scheme, which is based on the specifications of a Conformité Européenne (CE), marking according to the Radio Equipment Directive (RED) and a Federal Communications Commission (FCC) certification. However, it is reported that typically one sample of the product is required for approval requests in Jamaica.
Tests and certificates that have already been issued for CE marking and FCC certification can be reused for SMA certification. Type approval for Radio Communication equipment in Jamaica is done by recognition of type approval test reports which are prepared according to international standards. However, technical documents must be reviewed and validated by the Bureau of Standards Jamaica.
Tests and certificates that have already been issued for CE marking and FCC certification can be reused for SMA certification. Type approval for Radio Communication equipment in Jamaica is done by recognition of type approval test reports which are prepared according to international standards. However, technical documents must be reviewed and validated by the Bureau of Standards Jamaica.
Coverage Cell phones, RFID equipment, Bluetooth devices, WiFi products, PSTN equipment
Sources
- https://web.archive.org/web/20231210233213/https://cetecomadvanced.com/en/news/access-for-the-jamaican-market-is-through-sma-certification/
- https://web.archive.org/web/20241211153826/https://360compliance.co/marketaccess/jamaica/
- https://web.archive.org/web/20220715011120/https://www.sma.gov.jm/wp-content/uploads/2018/06/Technical-and-Operational-Rules-for-Radio-Communication-Equipment-using-Licence-Exempt-Bands.pdf
- https://web.archive.org/web/20231206181233/https://www.larcg.com/where-we-work/jamaica/
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JAMAICA
Reported in 2021, last reported in 2023
Pillar Online sales and transactions |
Sub-pillar Threshold for ‘De Minimis’ rule
Low de minimis threshold
It is reported that the de minimis threshold, that is the minimum value of goods below which customs do not charge duties, is USD 50, below the 200 USD threshold recommended by the International Chamber of Commerce (ICC).
Coverage Horizontal
Sources
- https://web.archive.org/web/20231213145238/https://www.jacustoms.gov.jm/service/personal-importing
- https://web.archive.org/web/20220927152520/https://www.jacustoms.gov.jm/service/personal-importing
- https://web.archive.org/web/20230227012953/https://global-express.org/assets/files/GEA%20De%20Minimis%20Country%20information_4%20November%202021.pdf
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JAMAICA
Since April 2007
Since June 2005, last amended in Macrh 2019
Since June 2005, last amended in Macrh 2019
Pillar Online sales and transactions |
Sub-pillar Framework for consumer protection applicable to online commerce
The Electronic Transactions Act
The Consumer Protection Act
The Consumer Protection Act
The Electronic Transactions Act and The Consumer Protection Act provide a comprehensive framework for consumer protection that also applies to online transactions
Coverage Horizontal
JAMAICA
N/A
Pillar Online sales and transactions |
Sub-pillar Ratification of the United Nations (UN) Convention on the Use of Electronic Communications in International Contracts
Lack of signature of the UN Convention on the Use of Electronic Communications in International Contracts
Jamaica has not signed the United Nations (UN) Convention on the Use of Electronic Communications in International Contracts.
Coverage Horizontal
JAMAICA
N/A
Pillar Telecom infrastructure & competition |
Sub-pillar Presence of an independent telecom authority
Presence of independent telecom authority
It is reported that the Office of Utilities Regulation, the executive authority for the supervision and administration of services in the telecommunications sector, is independent from the government in the decision-making process.
Coverage Telecommunications sector