Wed, August 10, 2022

international

Japan passes economic security bill to guard sensitive technology


Japan’s parliament on Wednesday passed an economic security bill aimed at guarding technology and reinforcing critical supply chains, while imposing tighter oversight of Japanese firms working in sensitive sectors or critical infrastructure.

According to the bill, measures in the legislation, which is primarily aimed at China, will be implemented over two years once it is enacted. It comes after the United States imposed restrictions on technology imports, such as semiconductors, amid growing tensions with Beijing.

The new law also arrives as Russia’s invasion of Ukraine continues – Moscow calls its actions “a special operation” – adding pressure on Japan to do more to protect supply chains and infrastructure from hacking and cyberattacks, and ensuring that technology critical to national security is not stolen.

The bill will give Japan’s government the power to order companies to notify it about software updates and vet some equipment procurement in 14 industries, including energy, water supply, information technology, finance, and transportation. It also establishes a system of secret patents kept in Japan to ensure technological breakthroughs are not used by other countries to develop nuclear weapons or other military equipment.

Published : May 11, 2022

By : Reuters