Japan’s Ministry of Defence (MoD) has released a sweeping report outlining radical reforms to bolster the nation’s defence capabilities in response to evolving security threats. The “Fundamental Strengthening of Defence Capability” report, compiled by a panel of experts including economists and business leaders, presents six key recommendations spanning force posture, defence diplomacy, and industrial reforms. The report underscores the urgency of Japan’s defence modernisation amid Beijing’s rising military assertiveness and growing strategic alignment between China, Russia, and North Korea.
**Force Posture and Technological Modernisation**
Central to the report’s recommendations is the call for Japan to enhance its deterrence through potent counter-strike capabilities, including the acquisition of vertical launch system (VLS)-equipped long-range submarines. This has sparked speculation in Japanese media about a potential shift toward nuclear-powered attack submarines (SSNs), a proposal previously advocated by former LDP leadership contender Sanae Takaichi. While such a move would face opposition from pacifist factions, the report’s emphasis on long-range strike capabilities signals a significant departure from Japan’s traditional defence posture.
The report also highlights the need to address demographic challenges through digital transformation, artificial intelligence, and the “full-fledged introduction of unmanned assets.” This push for automation and autonomy is framed as a necessity to overcome chronic manpower shortages, particularly in light of Japan’s aging population. The integration of unmanned and autonomous systems is expected to drive cross-domain capabilities, particularly in cyber-security and space-based platforms, further modernising Japan’s defence infrastructure.
**Strengthening Security Partnerships**
The report reaffirms the US-Japan alliance as the cornerstone of Japan’s deterrence strategy but calls for greater initiative from Tokyo in reshaping the bilateral security partnership. It recommends closer engagement with Indo-Pacific partners to build a regional autonomous defence capability, drawing parallels with NATO’s European efforts. Additionally, the report advocates for relaxing Japan’s strict rules against arms exports, particularly for like-minded allies. It argues that joint technological development and equipment transfers would not only strengthen regional security but also expand Japan’s munitions and defence supply chain options in the event of conflict.
**Reshaping Japan’s Defence Industry**
Perhaps the most transformative recommendations pertain to Japan’s defence industrial ecology. The report suggests mobilising additional state resources to expand defence production capacity, including decentralising responsibility from the MoD to other ministries and agencies, such as the Ministry of Economy, Trade and Industry (METI). It also proposes strengthening government-industry collaboration to reduce economic dependency on foreign supply chains and enhance domestic manufacturing capabilities.
A novel suggestion in the report is the idea that no technology is unrelated to defence, implying a broader scope for defence-related state incentives to apply to civilian and commercial sectors. The report envisions a two-way flow between civil and military sectors, where defence technology could be repurposed for civilian use, and commercial parts could be adapted for military applications. This approach aims to facilitate rapid large-scale defence production in times of crisis while fostering economic growth through closer ties between the MoD, research institutes, and startups.
**A Path Forward**
The report’s recommendations, if implemented, would mark a significant departure from Japan’s traditional defence policies. By embracing long-range strike capabilities, unmanned systems, and deeper defence industrial reforms, Japan is positioning itself to meet the challenges of an increasingly volatile security environment. The push for greater defence diplomacy and industrial collaboration also signals a strategic shift toward a more proactive and integrated approach to regional security.
As Japan navigates these reforms, the success of its defence modernisation efforts will hinge on balancing domestic political sensitivities with the urgent need to adapt to evolving threats. The report’s vision for a more resilient and technologically advanced defence sector could set a precedent for other nations grappling with similar challenges, making it a pivotal moment in Japan’s defence evolution.