Japan to introduce security clearance system

Japanese companies have been unable to participate in joint projects with the United States, Britain, and other countries because of the lack of a clearance system to allow access to sensitive information in the field of economic security.

The government will screen individuals and allow those who qualify to access sensitive information, such as that related to national security.

A person linked to a major electronics manufacturer who is involved in the defense industry said Japanese companies are treated unfavorably compared with U.S. and British companies in bidding conducted by foreign governments.

The global trend is for industry, academia and government to collaborate on dual-use research that can be used for national security and business purposes in cutting-edge fields such as artificial intelligence and space. If Japanese companies don't participate in international joint development, they could lose business opportunities.

The Japan Business Federation Keidanren and the Japan Association of Corporate Executives Keizai Doyukai published an opinion in February last year calling for the introduction of a security clearance system.

According to Keizai Doyukai Chairman Kengo Sakurada, the border between security and economy is becoming blurred, so it is inevitable to introduce such a system, he said at a press conference on February 28.

In the United States, new businesses have emerged in relation to the system, such as job information websites that specialize in hiring people with certain levels of security clearance.

There are also concerns that dual use can give business opportunities, but it may also expand the definition of sensitive information. If access to information is restricted too much, it may harm companies activities.

An official at a major electronics company said if it is unclear what information is to be protected, it will be difficult to participate in the system. Background checks are conducted in the United States and other countries on civilians who are authorized to access sensitive information. An official from another major electronics company said that many employees may be uncomfortable with this in Japan.

Kai Iwasaki, a consultant at The Japan Research Institute, Ltd., said that companies will have more opportunities to get in touch with a wider range of information with the introduction of the system. Information security must be ensured while also being used for corporate growth.