1. The prior notification requirement under the Foreign Exchange and ForeignTrade Law applies to foreign investors who intend to make investments in aerial work business in Japan.
2. Permission of the Minister of Land, Infrastructure, Transport and Tourism for conducting aerial work business is not granted to the following natural persons or entities applying for the permission:
(a) a natural person who does not have Japanese nationality;
(b) a foreign country, or a foreign public entity or its equivalent;
(c) a legal person or other entity constituted under the laws of any foreign country; and
(d) a legal person represented by the natural persons or entities referred to in subparagraph (a), (b) or (c); a legal person of which more than one-third of the members of the board of directors are composed of the natural persons or entities referred to in subparagraph (a), (b) or (c); or a legal person of which more than one-third of the voting rights are held by the natural persons or entities referred to in subparagraph (a), (b) or (c).
In the event a person conducting aerial work business falls into a natural person or an entity referred to in subparagraphs (a) through (d), the permission will lose its effect. The conditions for the permission also apply to companies, such as holding companies, which have substantial control over the person conducting aerial work business.
3. A foreign aircraft may not be used for a flight between points within Japan.
42.
Sector: Transport
Sub-Sector: Air Transport (Registration of Aircraft in the National Register)
Industry Classification:
Type of Reservation: Market Access (Article 9.3) National Treatment (Articles 9.4 and 14.3) Senior Management and Boards of Directors (Article 14.8)
Level of Government: Central Government
Measures: Civil Aeronautics Law (Law No. 231 of 1952), Chapter 2
Description: Trade in Services and Investment
1. An aircraft owned by any of the following natural persons or entities may not be registered in the national register:
(a) a natural person who does not have Japanese nationality;
(b) a foreign country, or a foreign public entity or its equivalent;
(c) a legal person or other entity constituted under the laws of any foreign country; and
(d) a legal person represented by the natural persons or entities referred to in subparagraph (a), (b) or (c); a legal person of which more than one-third of the members of the board of directors are composed of the natural persons or entities referred to in subparagraph (a), (b) or (c); or a legal person of which more than one-third of the voting rights are held by the natural persons or entities referred to in subparagraph (a), (b) or (c).
2. A foreign aircraft may not be registered in the national register.
43.
Sector: Transport Customs Brokerage
Sub-Sector:
Industry Classification: JSIC 4899 Services incidental to transport, n.e.c.
Type of Reservation: Market Access (Article 9.3) Local Presence (Article 9.6)
Level of Government: Central Government
Measures: Customs Brokerage Law (Law No. 122 of 1967), Chapter 2
Description: Trade in Services
A person who intends to conduct customs brokerage business is required to have a place of business in Japan and to obtain permission of the Director-General of Customs having jurisdiction over the district where the person intends to conduct customs brokerage business.
44.
Sector: Transport
Sub-Sector: Freight Forwarding Business {excluding freight forwarding business using air transportation)
Industry Classification: JSIC 4441 Collect-and-deliver freight transport JSIC 4821 Deliver freight transport, except collect-and-deliver freight transport
Type of Reservation: Market Access (Article 9.3) National Treatment (Articles 9.4 and 14.3) Most-Favoured-Nation Treatment (Articles 9.5 and 14.4) Local Presence (Article 9.6) Senior Management and Boards of Directors (Article 14.8)
Level of Government: Central Government
Measures: Freight Forwarding Business Law (Law No. 82 of 1989), Chapters 2, 3 and 4 Enforcement Regulation of Freight Forwarding Business Law (Ministerial Ordinance of the Ministry of Transport No. 20 of 1990)
Description: Trade in Services and Investment
1. The following natural persons or entities are required to be registered with, or to obtain permission or approval of, the Minister of Land, Infrastructure, Transport and Tourism for conducting freight forwarding business using international shipping. Such registration shall be made, or such permission or approval shall be granted, on the basis of reciprocity:
(a) a natural person who does not have Japanese nationality;
(b) a foreign country, or a foreign public entity or its equivalent;
(c) a legal person or other entity constituted under the laws of any foreign country; and
(d) a legal person represented by the natural persons or entities referred to in subparagraph (a), (b) or (c); a legal person of which more than one-third of the members of the board of directors are composed of the natural persons or entities referred to in subparagraph (a), (b) or (c); or a legal person of which more than one-third of the voting rights are held by the natural persons or entities referred to in subparagraph (a), (b) or (c).
2. A person who intends to conduct freight forwarding business is required to establish an office in Japan, and to be registered with, or to obtain permission or approval of, the Minister of Land, Infrastructure, Transport and Tourism.
45.
Sector: Transport
Sub-Sector: Freight Forwarding Business (only freight forwarding business using air transportation)
Industry Classification: JSIC 4441 Collect-and-deliver freight transport JSIC 4821 Deliver freight transport, except collect-and-deliver freight transport
Type of Reservation: National Treatment (Article 14.3) Most-Favoured-Nation Treatment {Article 14.4) Senior Management and Boards of Directors (Article 14.8)
Level of Government: Central Government
Measures: Freight Forwarding Business Law (Law No. 82 of 1989), Chapters 2, 3 and 4 Enforcement Regulation of Freight Forwarding Business Law (Ministerial Ordinance of Ministry of Transport No. 20 of 1990)
Description: Investment
1. The following natural persons or entities may not conduct freight forwarding businesses using air transportation between points within Japan:
(a) a natural person who does not have Japanese nationality;
(b) a foreign country, or a foreign public entity or its equivalent;
(c) a legal person or other entity constituted under the laws of any foreign country; and
(d) a legal person represented by the natural persons or entities referred to in subparagraph (a), (b) or (c); a legal person of which more than one-third of the members of the board of directors are composed of the natural persons or entities referred to in subparagraph (a), (b) or (c); or a legal person of which more than one-third of the voting rights are held by the natural persons or entities referred to in subparagraph (a), (b) or (c).
2. The natural persons or entities referred to in subparagraphs 1 (a) through (d) are required to be registered with, or to obtain permission or approval of, the Minister of Land, Infrastructure, Transport and Tourism for conducting freight forwarding businesses using international air transportation. Such registration shall be permitted, or such permission or approval shall be granted, on the basis of reciprocity.
46.
Sector: Transport
Sub-Sector: Railway Transport
Industry Classification: JSIC 421 Railway transport JSIC 4851 Railway facilities services
Type of Reservation: National Treatment (Articles 9.4 and 14.3)
Level of Government: Central Government
Measures: Foreign Exchange and Foreign Trade Law {Law No. 228 of 1949), Article 27 Cabinet Order on Foreign Direct Investment (Cabinet Order No. 261 of 1980), Article 3
Description: Trade in Services and Investment
The prior notification requirement under the Foreign Exchange and Foreign Trade Law applies to foreign investors who intend to make investments in the railway transport industry in Japan. The manufacture of vehicles, parts and components for the railway transport industry is not included in the railway transport industry. Therefore, the prior notification under the Foreign Exchange and Foreign Trade Law is not required for the investments in the manufacture of these products.
47.
Sector: Transport
Sub-Sector: Road Passenger Transport
Industry Classification: JSIC 4311 Common omnibus operators
Type of Reservation: National Treatment (Articles 9.4 and 14.3)
Level of Government: Central Government
Measures: Foreign Exchange and Foreign Trade Law {Law No. 228 of 1949), Article 27 Cabinet Order on Foreign Direct Investment (Cabinet Order No. 261 of 1980), Article 3
Description: Trade in Services and Investment
The prior notification requirement under the Foreign Exchange and Foreign Trade Law applies to foreign investors who intend to make investments in the omnibus industry in Japan. The manufacture of vehicles, parts and components for the omnibus industry is not included in the omnibus industry. Therefore, the prior notification under the Foreign Exchange and Foreign Trade Law is not required for the investments in the manufacture of these products.
48.
Sector: Transport
Sub-Sector: Road transport
Industry Classification: JSIC 431 Common omnibus operators JSIC 432 Common taxicab operators JSIC 433 Contracted omnibus operators JSIC 4391 Motor passenger transport (particularly-contracted) JSIC 441 Common motor trucking JSIC 442 Motor trucking (particularly- contracted) JSIC 443 Mini-sized vehicle freight transport
Type of Reservation: Market Access (Article 9.3) Local Presence (Article 9.6)
Level of Government: Central Government
Measures: Road Transport Law (Law No. 183 of 1951), Chapter 2 Special Measures Law Concerning the Proper Management and Revitalization of the Taxi Business in Specified and Semi-specified Regions (Law No. 64 of 2009) (hereinafter referred to in this reservation as "the Law"), Chapters 2 and Trucking Business Law (Law No. 83 of 1989), Chapter 2
Description: Trade in Services
1. A person who intends to conduct road passenger transport business or road freight transport business is required to establish a place of business in Japan, and to obtain permission of, or to submit notification to, the Minister of Land, Infrastructure, Transport and Tourism.
2. In respect of common taxicab operators business, Infrastructure, Land, the Minister of Transport and Tourism may not grant permission to a person who intends businesses, or may to conduct the not approve a modification of the business plan of such businesses in the "specified regions" and in the "semi-specified regions" designated by the Minister of Land, Tourism. granted, Infrastructure, Such permission may be or such modification of the Transport and business plan may be approved with respect to "semi-specified regions" when the standards are met, including capacity of common businesses in that exceed the volumes set out in the Law those that the taxicab operators region does not of the traffic demand.
Such designation would be made when the capacity of common taxicab transportation businesses in that region exceeds or is likely to exceed the volumes of traffic demand to the extent that it would become difficult to secure the safety of transportation and the benefits of passengers.
3. In respect of common motor trucking business or motor trucking business (particularly-contracted), the Minister of Land, Infrastructure, Transport and Tourism may not grant permission to a person who intends to conduct the businesses, or may not approve a modification of the business plan of such businesses, in the "emergency supply/demand adjustment area" designated by the Minister of Land, Infrastructure, Transport and Tourism. Such designation would be made when the capacity of common motor trucking businesses or motor trucking businesses (particularly-contracted) in that area has significantly exceeded the volumes of transportation demand to the extent that the operation of existing businesses would become difficult.
49.
Sector: Transport
Sub-Sector: Services Incidental to Transport
Industry Classification: JSIC 4852 Fixed facilities for road transport
Type of Reservation: Market Access (Article 9.3)
Level of Government: Central Government
Measures: Road Transport Law (Law No. 183 of 1951), Chapter 4
Description: Trade in Services
A person who intends to conduct motorway businesses is required to obtain a licence from the Minister of Land, Infrastructure, Transport and Tourism. The issuance of a licence is subject to an economic needs test, such as whether the proposed motorway is appropriate in scale compared with the volume and nature of traffic demand in the proposed area.
50.
Sector: Transport
Sub-Sector: Services Incidental to Transport
Industry Classification:
Type of Reservation: Market Access (Article 9.3) National Treatment (Article 9.4) Local Presence (Article 9.6)
Level of Government: Central Government
Measures: Pilotage Law (Law No. 121 of 1949), Chapters 2, 3 and 4
Description: Trade in Services
Only a Japanese national may become a pilot in Japan.
Pilots directing ships in the same pilotage district are required to establish a pilot association for the pilotage district.
51.
Sector: Transport
Sub-Sector: Water Transport
Industry Classification: JSIC 451 Oceangoing transport
Type of Reservation: Market Access (Article 9.3) National Treatment (Article 9.4) Most-Favoured-Nation Treatment (Article 9.5)
Level of Government: Central Government
Measures: Law Concerning Special Measures Against Unfavourable Treatment to Japanese Oceangoing Ship Operators by Foreign Government (Law No. 60 of 1977)
Description: Trade in Services
Australian oceangoing ship operators may be restricted or prohibited from entering ports in Japan or from loading and unloading cargoes in Japan in cases where Japanese oceangoing ship operators are prejudiced by Australia.
52.
Sector: Transport
Sub-Sector: Water Transport
Industry Classification: JSIC 452 Coastwise transport JSIC 453 Inland water transport JSIC 4542 Coastwise ship leasing
Type of Reservation: National Treatment (Articles 9.4 and 14.3)
Level of Government: Central Government
Measures: Foreign Exchange and Foreign Trade Law {Law No. 228 of 1949), Article 27 Cabinet Order on Foreign Direct Investment (Cabinet Order No. 261 of 1980), Article 3
Description: Trade in Services and Investment
The prior notification requirement under the Foreign Exchange and Foreign Trade Law applies to foreign investors who intend to make investments in the water transport industry in Japan. For greater certainty, "water transport industry" refers to the oceangoing/seagoing transport, the coastwise transport (i.e. maritime transport between ports in Japan), the inland water transport and the ship leasing industry. However, the oceangoing/seagoing transport industry and the ship leasing industry excluding the coastwise ship leasing industry are exempted from the prior notification requirement.
53.
Sector: Transport
Sub-Sector: Water Transport
Industry Classification:
Type of Reservation: Market Access (Article 9.3) National Treatment (Articles 9.4 and 14.3) Most-Favoured-Nation Treatment (Articles 9.5 and 14.4)
Level of Government: Central Government
Measures: Ship Law (Law No. 46 of 1899), Article 3
Description: Trade in Services and Investment
Unless otherwise specified in the laws and regulations of Japan, or international agreements to which Japan is a party, ships not flying the Japanese flag are prohibited from entering ports in Japan which are not open to foreign commerce and from carrying cargoes or passengers between ports in Japan.
54.
Sector: Vocational Skills Test
Sub-Sector:
Industry Classification:
Type of Reservation: Market Access (Article 9.3) Local Presence (Article 9.6)
Level of Government: Central Government
Measures: Human Resources Development Promotion Law (Law No. 64 of 1969), Chapter 5
Description: Trade in Services
Some specific types of non-profit organization (the employers' organizations or federations thereof, general incorporated associations or general incorporated foundations, labour unions that are juridical persons, or other non-profit juridical persons) can supply the service. Any such organization which intends to carry out the vocational skills test for workers is required to establish an office in Japan and to be designated by the Minister of Health, Labour and Welfare.
55.
Sector: Water Supply and Waterworks
Sub-Sector:
Industry Classification: JSIC 3611 Water for end users, except industrial users
Type of Reservation: National Treatment (Articles 9.4 and 14.3)
Level of Government: Central Government