Investment Barriers

   Japan basically welcomes foreign-affiliated firms' penetration, and maintains the open investment environment, where foreign direct investment (FDI) is, in principle, allowed without restriction.

   Japan has been aggressively promoting further improvement of the environment for FDI. In such process, U.S. suggestions expressed at the Investment and Buyer-Supplier Relationship Working Group, which was established under the Japan-U.S. Framework for New Economic Partnership, have been positively taken into consideration.

   The presentation in the NTE Report includes numbers of misunderstandings. For example, prior notification is not required for FDI in mining sector any more in Japan, which has already been redesigned as ex-post notification sector. And, the lowered interest rate of the Japan Development Bank is capable of wider application than described in the Report.