Changes in Japan’s defence industry
In December 2022, Japan adopted its National Security Strategy, along with the National Defence Strategy and the Defence Buildup Program. In these revisions, one of Tokyo's main focuses is the development of its domestic defence industry, which is an integral part of its defence capability.Japan has implemented various policies to develop its domestic defence industry. Tokyo has announced that it will increase its national security-related spending to 2% of GDP by 2027 and in October 2023 the government introduced the Basic Policy on Enhancing Defence Production and Technology Bases. Foreign cooperation is also part of Tokyo’s efforts to develop modernised technologies for the Japan Self-Defense Forces. In December 2022, Japan, the UK, and Italy announced the Global Combat Air Programme to jointly develop a next-generation combat aircraft by 2035. Despite these efforts, Japan’s defence industry faces challenges such as supply-chain risks and a number of companies exiting the domestic defence industry. In addition, export restrictions, including the Three Principles on Transfer of Defence Equipment and Technology, limit the competitiveness of Japanese defence companies in the international market.In this IISS webinar, the panellists will discuss Japan’s recent shift in defence industry policy and its implications for national security. It will also cover the challenges Japan faces in the international defence market to examine the outlook for Japan’s defence policy.Speakers: MICHISHITA Narushige, OUE Sadamasa, SUMOMO Sayako and Robert WARD.
