Commentary: Japan lifts ban on arms exports – can it build the free world’s defence industry?

The Global Arms Vacuum: Why Demand is Surging

The world is currently witnessing a significant boom in the demand for weaponry. As democracies experience increasingly under threat, the urgency to secure defense capabilities has reached a fever pitch. This surge is compounded by a critical supply issue: existing manufacturers are struggling to keep pace while simultaneously trying to replace stockpiles that were depleted by the wars in Ukraine and Iran.

This vacuum has created a strategic opening for new suppliers who can provide high-quality, reliable hardware without relying on compromised supply chains.

Did you know? Japan is one of the few countries globally capable of producing advanced defense technology entirely on its own, potentially eliminating the demand for reliance on Chinese supply chains.

Japan’s Technical Edge: From Precision Engineering to Defense

Japan is increasingly viewed as a defender of Asia’s rules-based order. The nation’s reputation for excellence in heavy engineering and precision technology makes it an ideal candidate to fill the global arms gap.

From Instagram — related to Japan, Defense

A prime example of this capability was highlighted by Palmer Luckey, founder of Anduril Industries. Luckey showcased an advanced drone created using all-Japanese parts, proving that high-end defense tech can be built domestically in Japan.

The “Will” vs. The “Skill”

Industry experts argue that while Japan possesses the technical skill, the primary hurdle remains the political will. To fully transition into a leading defense supplier, the government may need to:

  • Co-promote sales to international partners.
  • Reconfigure procurement contracts to better encourage private investment.
  • Loosen restrictions on research and development (R&D) in critical sectors like drones.
  • Encourage firms to utilize their excess production capacity.

Exporting Security: The Mogami Class and Beyond

The potential for Japanese defense exports is already manifesting in high-profile interests. Australia’s multi-billion-dollar deal to acquire Mogami warships built by Mitsubishi Heavy Industries serves as a powerful advertisement for the sector’s capabilities.

This momentum is spreading across the region, with New Zealand and Indonesia expressing interest in purchasing the ships. Reports suggest that Tokyo may have eased restrictions on sharing warship blueprints with Taipei, signaling a shift in how Japan shares sensitive defense intelligence.

Pro Tip: For those tracking geopolitical shifts, monitor the revision of Japan’s three national security documents. These updates are expected to incorporate lessons from the conflicts in Ukraine and Iran to strengthen defense capabilities.

Strategic Pivots: Updating the Defense Playbook

Defense Minister Shinjiro Koizumi has emphasized that Japan is operating in the most severe security environment since the end of World War II. This reality is driving a major update to the nation’s defense strategy.

Strategic Pivots: Updating the Defense Playbook
Japan Defense Ukraine and Iran

Adapting to Modern Warfare

The way battles are fought has changed, particularly with the rise of standoff attacks, missiles, and drones. In response, Japan is taking concrete steps to modernize:

  • Drone Specialization: The Ground Self-Defense Force (GSDF) recently established two new drone-focused offices in Tokyo to integrate these technologies.
  • The “Southern Shield”: Japan is building up its “southern shield” as faith in traditional security covers fluctuates.
  • Information Sharing: Japan and the U.S. Are moving to expand the sharing of classified information to enhance defense cooperation.

Frequently Asked Questions

Why is there a global increase in arms demand?
Democracies feel more threatened, and existing manufacturers are constrained by the need to replace stockpiles used in the wars in Ukraine and Iran.

What specific Japanese defense products are attracting international interest?
The Mogami warships built by Mitsubishi Heavy Industries have seen significant interest from Australia, New Zealand, and Indonesia.

How is Japan changing its internal defense structure?
Japan is revising three national security documents, establishing drone-focused offices within the GSDF, and deepening discussions on defending against new types of threats.

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Japan Lifts Arms Export Ban in Historic Shift; Beijing Calls Move Reckless Militarisation | WION

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