Defense Minister Shinjiro Koizumi said the government will draw up a new defense industry base strategy by the end of the year, aimed at strengthening the sector to meet what he called new ways of fighting that use AI and drones.
Koizumi said Russia's invasion of Ukraine has run for more than four years and consumed equipment and ammunition in large quantities, making clear how important it is to secure a sustained response capability. "Productivity and technological strength are now directly tied to response and deterrence, and every country is hurrying to prepare," he said.
The government plans to stress a "virtuous cycle between defense and the economy" in the three security documents it will revise by the end of the year, growing the defense industry to invigorate the economy.
Production capacity, exports and research
The strategy is expected to set out securing production capacity with an eye to contingencies, promoting exports of defense equipment and strengthening the research and development system. The government also plans to establish an independent administrative agency — a public body that carries out government policy — to handle these programs, and is making arrangements to submit related legislation to next year's ordinary Diet session.
The announcement places industrial policy at the center of Japan's military buildout rather than treating it as a matter of budget alone, with factory capacity, overseas sales and research folded into the same plan.