In a significant pivot from previous strategies, Japan has unveiled a revised approach to artificial intelligence (AI) regulation, marking a notable shift towards more lenient frameworks compared to its global peers.
According to CSIS, an interim report released by the AI Policy Study Group on February 4, 2025, outlines Japan’s new stance, emphasizing reliance on existing sector-specific laws and encouraging voluntary risk-mitigation efforts by businesses, instead of imposing rigid AI-specific legislation. This approach, documented in a white paper from the Center for Strategic and International Studies (CSIS), suggests a strategic retreat from the ambitious regulatory measures considered in early 2024.
The white paper elaborates on Japan’s response to the global regulatory climate, including the so-called DeepSeek Shock, influencing its regulatory tactics. Unlike the stringent AI policies adopted by the United States and the European Union, Japan proposes a framework that integrates AI governance into existing legal structures, advocating for technological neutrality. The report also highlights a proposed government strategic leadership body tasked with coordinating AI policy and handling information on significant AI-related incidents, although it stops short of recommending legal penalties.
Japan’s AI Policy Study Group, acting under the auspices of the Cabinet Office, plays a central role in shaping the country’s overarching AI policy. This body’s cautious approach aligns with a broader international trend toward regulatory moderation, particularly in light of the Trump administration’s rollback of previous U.S. AI regulations.
The interim report acknowledges the complexities of AI risks, which often amplify existing threats rather than introducing new ones. This recognition has led to a proposed emphasis on enhancing existing legal frameworks and promoting industry-led initiatives to manage these risks effectively. The white paper further suggests that Japan’s strategic leadership body should focus on reducing the burden of AI implementation, particularly for startups and smaller enterprises that may lack adequate resources to ensure safe and effective AI usage.
This nuanced approach by Japan seeks to balance the need for innovation-friendly environments with the imperative for adequate oversight and risk management, positioning itself as a facilitator rather than a stringent regulator in the global AI landscape.
Investors
The following investor(s) were tagged in this article.