JAPAN Trends and Developments Contributed by: Keiji Tonomura, Minh Thi Cao Koike, Akira Komatsu and Yuki Matsumiya, Nagashima Ohno & Tsunematsu
Current State of AI Regulation in Japan Overview Japan does not currently have comprehensive, cross-sectoral legislation specifically dedicated to AI, but discussions are underway regarding possible legislation in the near future. Since May 2023, the government has been work - ing on a strategy to strengthen competitiveness and ensure safety in the field of AI, as outlined in the “Interim Summary of Issues Related to AI” (AI Strategy Council) and “Approach to AI Sys - tems” (AI Strategy Team), and the “Integrated Innovation Strategy 2024” (Cabinet Decision). In addition, in April 2024, the Ministry of Internal Affairs and Communications and the Ministry of Economy, Trade and Industry jointly released the “AI Business Operator Guidelines (Version 1)”, which set out their approach to the develop - ment, provision and use of AI systems. Further, in July 2024, the government established the AI Regulation Study Group under the AI Strategy Council to explore how AI should be governed, including whether legislation is necessary. The draft interim report drafted by the AI Regulation Study Group was released in December 2024 subject to the public consultation process. Outline of the draft interim report Basic framework for regulation The interim report envisions three primary actors that could be subject to regulation – “AI develop - ers”, “AI providers”, and “AI users” – and states explicitly that foreign-based entities are also subject to the regulation. With regard to AI, while it is necessary to promote innovation through support for research and development, the development of data and computing resources, and the development of human resources, it is also necessary to address the risks associated with AI, such as the generation of false informa - tion. While utilising existing laws (such as the
Personal Information Protection Act and the Copyright Act), it is necessary to establish the appropriate rules in case new risks emerge. The interim report proposes a policy that combines measures based on soft law (eg, guidelines) and legislation as appropriate to the situation, but the basic policy is to respect the autonomy of business and to limit measures based on leg - islation to those cases where it is not possible to expect appropriate measures based on the autonomous efforts of business. It also empha - sises alignment and interoperability with inter - national frameworks such as the Hiroshima AI Process and OECD AI Principles. Specific policy directions The interim report emphasises the importance of government as a “control tower” that can co- ordinate policy and develop a comprehensive strategy. Proposed measures include creating mechanisms for information sharing among businesses, exploring certification systems for AI solutions, and instituting government-led investigations and public disclosures when seri - ous incidents occur. It suggests that the government itself should take the initiative in using AI to promote its use in Japan. There is also discussion of clarifying procedures for the safe and secure use of AI by developing government procurement guidelines. Although existing legislation may cover certain areas – such as medical devices, autonomous vehicles, and social infrastructure – further development of regulation may be required as AI technology advances. The interim report also highlights the importance of preparing for sys - temic risk (arising from multiple interconnected AI systems), as well as exploring measures to address potential threats involving chemical,
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