Japan moves to limit foreign investment in half of listed firms

TOKYO: Japan detailed an array of companies that will be subject to new rules restricting foreign investment, moving to protect industries it says are core to national security from the influence of foreign state interference.

The Foreign Exchange and Foreign Trade Act requires some foreign investors to report in advance when they plan to buy more than 1% stake in the designated firms, versus a previous threshold of 10%. The steps add restrictions to investments in more than half the listed companies in the country, though a series of blanket exemptions apply for registered investors, including most financial and asset management firms.