Strengthens the rules to exercise control of critical technologies and goods

On 1 October 2017, changes to Japan’s rules on the review of inward foreign investment came into effect. The changes are based on a reconsideration of threats to national security, changes to the business environment and the spread of critical technologies, including dual-use technologies. The new rules: extend the review mechanism to acquisitions of non-listed companies, which were hitherto not covered by the rules, and introduce the post-investment administrative measures in case of breaches of the rules.

• Type:

  • Entry and establishment (Ownership and control)
  • Treatment and operation (Other)

• Industry:

  • Not industry specific

• Sources:

  • Ministry of Economy, Trade and Industry, Promulgation of the Cabinet and Ministerial Orders and the Public Notices for the Enforcement of the Revised Foreign Exchange and Foreign Trade Act, http://www.meti.go.jp/english/press/2017/0714_003.html, 14 Jul 2017
  • JD Supra, LLC, Japan Legal Update - Volume 28 | July 2017, http://www.jdsupra.com/legalnews/japan-legal-update-volume-28-july-2017-73532/, 01 Sep 2017