AI National Strategy Takes Off: Key Points of the Basic Plan for Artificial Intelligence and AI Governance Guidelines
Artificial Intelligence (AI) technologies, including generative AI, are rapidly expanding their areas of application, evolving into autonomously operating AI agents and physical AI that controls robots in real-world environments. AI is increasingly being recognized not just as a tool for enhancing convenience but as a foundational technology for society and industry.
Against this backdrop, the Japanese government’s Artificial Intelligence Strategy Headquarters announced the “Basic Plan on Artificial Intelligence” and the “Guidelines for Ensuring the Appropriateness of Research and Development and Utilization of AI-Related Technologies” in December of Reiwa 7 (2025).
These initiatives are part of a national strategy formulated under the “Act on the Promotion of Research, Development, and Utilization of AI-Related Technologies” (hereinafter referred to as the “AI Act”), which was fully enacted on September 1, Reiwa 7 (2025). The strategy aims to make Japan the most conducive country in the world for AI development and utilization.
This article will organize and explain the core points of these two key elements that serve as guidelines for Japan’s AI national strategy.
Background of the Basic Plan for Artificial Intelligence in Japan
The formulation of this framework is driven by the structural challenges facing the Japanese economy and the national strategy to leverage AI as a catalyst for growth.
Stagnation of the Japanese Economy and AI Strategy
Currently, Japan is noticeably lagging behind major countries in terms of AI utilization and investment. Particularly, the relatively low investment in AI compared to the size of the economy is considered a significant concern for future industrial competitiveness.
Meanwhile, Japanese society is grappling with long-standing structural issues such as population decline, insufficient domestic investment, and stagnant wages.
The Japanese government identifies AI innovation as the key to overcoming these challenges. The aim of this plan is not only to enhance operational efficiency through AI but also to revitalize the Japanese economy by creating new businesses and addressing social issues.
There is a particular expectation that leveraging high-quality data from Japan’s strong sectors, such as manufacturing, healthcare, and research, will provide an opportunity to develop highly reliable AI.
Concerns Over International Rule Formation and Risks
Another backdrop to this plan is the response to international AI governance. Japan has been leading the “Hiroshima AI Process,” established at the G7 Hiroshima Summit in 2023, which aims to create international guidelines and codes of conduct for advanced AI systems. This is the world’s first comprehensive framework aimed at realizing Safe, Secure, and Trustworthy AI.
While Japan has been at the forefront of international rule formation through this process, there is an urgent need for concrete measures domestically. AI poses various social risks, including technical risks like hallucinations (plausible outputs that are factually incorrect), as well as the potential for bias and discrimination, criminal use, privacy violations, and the spread of misinformation.
To alleviate public concerns about these risks and enhance the social acceptability of AI, clear rules ensuring transparency, fairness, and safety are essential. The formulation of guidelines based on Japanese AI law aligns with the principles of the Hiroshima AI Process and aims to balance innovation with safety by encouraging voluntary efforts from businesses while appropriately managing risks.
The Basic Plan for Artificial Intelligence and Ensuring AI Appropriateness in Japan
The recently announced outline of the Basic Plan for Artificial Intelligence highlights the main policy directions the Japanese government is pursuing, focusing on promoting AI utilization and enhancing development capabilities.
Three Principles and Four Policies of the Basic Plan for Artificial Intelligence in Japan
The basic plan, formulated under the Japanese AI Law, is built on “three principles” and “four policies.” The government has set forth the principles of “balancing innovation promotion with risk management,” “agile response,” and “integrated domestic and international policy promotion” (three principles). Based on these, the following four measures are outlined:
- Accelerated Promotion of AI Utilization “Using AI”: The government will take the lead in introducing AI and support its dissemination to small and medium-sized enterprises and regional industries.
- Strategic Enhancement of AI Development Capabilities “Creating AI”: Infrastructure development, such as computing resources, semiconductors, and data centers, will be accelerated to build a unique Japanese AI ecosystem.
- Leadership in AI Governance “Enhancing AI Reliability”: While leading the construction of international governance, domestically, the AI Safety Institute (AISI) will be strengthened to conduct technical evaluations.
- Continuous Transformation Towards an AI Society “Collaborating with AI”: The development and reskilling of AI talent will be promoted, and an environment will be established to enhance “human capabilities” where people can demonstrate their value.
Key Points of the Guidelines for Ensuring AI Appropriateness in Japan
The “Guidelines for Ensuring the Appropriateness of Research, Development, and Utilization of Artificial Intelligence-Related Technologies” outline the common concepts for ensuring appropriateness for all entities and the matters that research and development institutions and utilization businesses should address.
The guidelines list the following as fundamental considerations:
- Human-Centric: Respect human dignity, with final decisions made by humans.
- Fairness: Avoid causing undue bias or discrimination.
- Safety: Ensure no harm to life, body, or property.
- Transparency: Ensure information disclosure and verifiability.
- Accountability: Build mechanisms to fulfill responsibilities considering social impact.
- Security and Privacy: Reduce risks of unauthorized manipulation and appropriately protect personal information.
Specific approaches emphasize “risk-based approaches” (measures according to impact), “active stakeholder engagement,” “comprehensive AI governance construction,” and “agile response” (rapid PDCA cycle rotation).
Corporate Responsibilities Under Japan’s AI National Strategy
Companies, particularly those classified as “Utilization Businesses” under Article 7 of the Japanese AI Act and “Research and Development Institutions” under Article 6 of the same law, are required to engage in responsible practices throughout the entire AI lifecycle.
Establishing Comprehensive AI Governance
Companies must develop an organizational management system with deep involvement from the executive level.
This includes establishing processes for identifying, assessing, and addressing risks, conducting education and training for employees, and ensuring appropriate information disclosure. While leveraging existing IT system governance, it is necessary to transition to an agile system capable of addressing the unique and evolving risks associated with AI.
Building Trust with Stakeholders
Ensuring transparency is a top priority. Companies need to strive to explain the sources of training data and the rationale behind AI outputs within reasonable limits. Additionally, they are required to actively provide users with information that enables proper use, such as the workings, limitations, and prohibitions of AI.
Technical Safety Measures and Risk Mitigation
Countermeasures against cyberattacks and fraud exploiting AI, as well as the suppression of hallucinations, are crucial, with particular emphasis on preventing the spread of false information. Companies have a duty to exert efforts to suppress inappropriate outputs using the latest knowledge and, when necessary, implement technologies such as digital watermarking and provenance management to identify AI-generated content.
Business Continuity and Consideration for Stakeholders
Companies are required to prepare a business continuity plan (BCP) in advance to ensure rapid recovery in the event of a system failure involving AI.
Furthermore, recognizing the importance of data as the foundation of innovation, companies are expected to maintain ongoing communication with data holders who possess intellectual property rights and cooperate in building an ecosystem for profit-sharing.
Conclusion: Consult Experts on Japanese AI-Related Laws
The recent announcement of the Basic Plan on Artificial Intelligence and related documents outlines Japan’s national strategy to enhance its international competitiveness in the AI sector.
For companies, it is crucial to perceive these guidelines not merely as regulations or prohibitions but as a foundation for achieving reliable AI utilization. Establishing a governance framework based on these guidelines not only reduces legal risks but also helps secure trust from customers and society.
When addressing these guidelines appropriately, it is important to seek advice from experts who are well-versed in both Japanese law and IT business.
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