Japan to Tighten Semiconductor Export Regulations, Media Reports

TOKYO, Feb 5 – PRIME The Japanese government intends to submit draft amendments to legislation regulating the export control of technology and equipment for the production of semiconductors so that restrictions will come into force this spring, Kyodo reported citing informed sources.

Japan’s industrial exports are controlled by the provisions of the Foreign Exchange Control and Foreign Trade Act. It is expected that the decree will be amended with a list of specific types of technologies and products, the export of which will now require a special permit from the Ministry of Economy, Trade and Industry.

As expected, this measure will be aimed at ensuring that technologies and equipment that can be used for the production of semiconductors are not used for this purpose, including for military needs.

Kyodo notes that official Tokyo intends to hold consultations with companies involved in the export of such equipment in order to determine specific restrictive measures. The article also notes that when introducing amendments, Japan will refrain from direct reference to China.

In January, Bloomberg reported, citing sources, that the Netherlands and Japan were close to joining efforts by the administration of US President Joe Biden to limit technology exports to China. The agency noted that the Netherlands and Japan are key suppliers of equipment needed for the production of semiconductors, and that the prime ministers of these two countries in January discussed their plans with Biden at the White House.

The US Department of Commerce last October announced that Washington had limited supplies to 28 Chinese companies of products for the production of supercomputers and semiconductors. US President Joe Biden also signed into law a $52.7 billion bailout for US semiconductor manufacturers to strengthen its position in competition with China.