Japan Tightens Regulations on Foreign Investments in Semiconductor Sector

New rules require prior notification for foreign investments to safeguard supply chains and prevent technology leakage.

Foreign investors must now file prior notification for investments in Japanese semiconductor and advanced electronic component companies.
The regulations aim to secure stable supply chains and prevent commercial technologies from being diverted for military use.
Japan's expanded core business sectors list includes chipmaking equipment, machine tool components, and marine engines.
The move is part of Japan's broader strategy to rejuvenate its semiconductor industry with significant government funding and foreign collaboration.
Past efforts to revive Japan's semiconductor industry faced challenges due to lack of foreign collaboration.