The Takaichi government chose policy continuity in its September reshuffle and stressed growth first at the October extraordinary Diet session. FY2027 ministry budget requests hit a record JPY 143tn, focused on AI and chips, economic security, energy/GX and healthcare digitalization.
What a Korean company can do now
Government · leader
Prime Minister Sanae Takaichi (head of state: Emperor Naruhito)
Key national agenda
- 'Strong and Prosperous Japan' investment framework: multi-year investment in 17 strategic fields incl. AI, chips and robotics
- Economic security and the defense industrial base
- Energy security and green transformation (GX)
- Digitalizing healthcare and government (AI, cybersecurity), standardizing local-government systems
- Addressing low birth rates and raising real wages
Government programmes
FY2027 budget requestsJPY 143tn (requests)
Fourth straight record; government draft due at year-end after MOF review
'Strong and Prosperous Japan' investment frameworkabout JPY 14.2tn (requests)
Special request window for multi-year strategic investment; about JPY 14.2tn requested government-wide
METI AI, semiconductor and robotics budgetabout JPY 1.99tn (request)
Of METI's JPY 7.79tn FY2027 request: about JPY 1.99tn for AI/chips/robotics, 1.55tn for economic security and defense industry, 1.98tn for GX
Healthcare DX, AI and cybersecurity
MHLW's JPY 36.58tn FY2027 request prioritizes drug discovery, drug supply and medical DX
JPY 180tn public-private R&DJPY 180tn (public-private target)
July 2026 growth strategy target for FY2026-2030
Business opportunities
AI-agent workflow automation PoCs for Japanese local governments (with local SIers)
🔒 Why-now and buyers — analysis member ₩19,800/mo
Buyer matching and localization consulting for Korean consumer-goods SMEs
🔒 Why-now and buyers — analysis member ₩19,800/mo
Open this week
Generative-AI productivity consulting for Japanese SMEs
Wage pressure and labor shortages push productivity improvements (estimate).
Japanese SME manufacturers and service firms
Korea-Japan joint ventures in content and food tech
🔒 Why-now and buyers — analysis member ₩19,800/mo
Free members get a human-reviewed summary by email for up to 3 countries a month (sent within 24h). BUILD members get them all.
Korean support schemes
- 2026 First Step to Exports Week (Japan among four focus markets) · KOTRA — Video meetings with Japanese buyers and logistics support for first-time consumer-goods exporters.
- KOTRA Academy Japan market-entry course · KOTRA — Year-round practical training on entering the Japanese market.
- MSS export voucher · Ministry of SMEs and Startups / KOTRA — Vouchers for overseas marketing, translation, certification and other export services.
Official notices
Digital Agency of Japan – Procurement
- 2026-10-23 Digital Agency tender: research on challenges in using AI agents
- 2026-10-06 Digital Agency tender: survey of government-AI deployment and needs in Global South countries
- 2026-10-05 Extraordinary Diet session opens; PM Takaichi's policy speech prioritizes growth
- 2026-09-17 Takaichi's first cabinet reshuffle (finance, foreign and defense ministers retained)
Disaster · conflict · epidemic
Watch 2026-11-07
M6.1 earthquake off eastern Honshu (6 Nov, GDACS) (single source) · High waves around the Ogasawara Islands as Typhoon In-fa approached (4–5 Nov) · M7.0 Bonin Islands earthquake (24 Oct), M6.0 (31 Oct, GDACS)
Defense Ministry reported suspected North Korean ballistic missile launch (10/29)
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