Japan eyes new tech law to fend off Chinese influence: report
- The Japanese government plans to introduce the bill in the ordinary Diet session and have it in effect by this summer
- China has said restrictions on Chinese technology could damage bilateral ties
Japan is planning a law to provide incentives for companies to use domestic parts in hi-tech equipment to increase local competitiveness and fend off Chinese influence in security-related infrastructure, the Yomiuri newspaper reported, without citing how it obtained the information.
The Japanese government plans to introduce the bill in the ordinary Diet session and have it in effect by this summer, according to the report on Wednesday.
The government sees the incentives initially being used with the introduction of 5G mobile network equipment and drones, the Yomiuri said.
Private companies can apply for tax subsidies or government aid when installing hi-tech equipment and will be judged on factors including safety, supply stability and international compatibility, the report said.
China has said restrictions on Chinese technology could damage bilateral ties, and Prime Minister Shinzo Abe will have to tread carefully as he looks to host President Xi Jinping for a state visit planned for the spring of this year.