Japan's National Diet enacts the Act on Promotion of AI-Related Technology

Japan's National Diet passed the Act on Promotion of Research, Development and Utilization of Artificial Intelligence-Related Technology on 28 May 2025, making it the country's first dedicated AI law.

The Act was enacted on that date and came into full force on 1 September 2025.

What it is

The Act takes a pro-innovation approach, setting principles and a framework for the government to strategically promote AI research, development and use while mitigating risks rather than imposing detailed rules.

The legislation draws on the Hiroshima AI Process, which was launched at the G7 Hiroshima Summit held in 2023 under Japan's presidency, with the intent of promoting AI research and development with careful consideration of relevant risks.

Japanese officials have framed the approach as distinct from other major jurisdictions, noting that the European Union is formulating new legislation from the perspective of protecting human safety and fundamental rights, while the United States is advancing policies that in principle give priority to innovation and economic growth while addressing security-related risks.

Japan's approach to mitigating AI risks is to avoid excessive regulation, and the basic framework for mitigating risks relies on a combination of existing laws, such as the Penal Code, and guidelines.

What it requires

The Act provides for the establishment of an Artificial Intelligence Strategic Headquarters chaired by the Prime Minister, with all Cabinet ministers serving as members.

The Act also requires the formulation of an Artificial Intelligence Basic Plan, which will set out the government's basic AI policy.

The Act applies to all persons, including foreign business operators, who engage in business activities targeting Japanese business operators or citizens, such as conducting AI research, development, and utilization, in Japan.

Private sector organizations are required to comply with the basic principle of the Act, and while there are no penalties, use of AI that violates the rights and interests of others may be subject to administrative action.

The government is authorized to launch investigations and take countermeasures when citizen rights and interests are infringed by AI misuse.

What security leaders should do

Because the Act sets no binding technical requirements or penalties, security leaders operating in Japan should treat it as a signal of direction rather than a compliance checklist and instead track the Basic Plan and sector guidelines the Strategic Headquarters is tasked with producing. Teams with Japanese customers, users, or AI development activity should document how their systems align with the Act's emphasis on transparency and risk mitigation, since the government can investigate and act against AI use that infringes citizen rights even without a formal penalty regime. Given the extraterritorial scope described above, multinational organizations building or deploying AI that reaches Japanese users should assume the same obligations to cooperate with government guidance that apply to domestic operators. Security and legal teams should also watch for ministry-level guidelines issued under the Act's framework, since those are the mechanism Japan has chosen to translate its principles into day-to-day expectations for business operators.