Both countries are reacting to the supply chain problems in the wake of the corona pandemic and the upheavals in the global economy by closing ranks between China and Russia against the West. Berlin and Tokyo are striving for more economic security without restricting free trade. Japan’s comprehensive strategy could serve as a model here: A law passed in May 2022 will better protect national supply chains, infrastructure and technologies. For this purpose, Kishida had appointed a minister for economic security. Now the state should organize a stable supply of strategically important goods, get involved in the development of new technologies and examine the use of capital and technology from abroad.
Also read: Do you know everything about your supply chain?
For example, the government can now instruct companies to provide information about software updates and inspect the procurement of technology and equipment in 14 sectors – including energy, water supply, information technology, finance and transport. In December, semiconductors, batteries and nine other items were classified as strategically critical materials. Japan is actively seeking alternative sources of supply for essential resources and products such as chips, pharmaceuticals and medical devices.