METI Technology Innovation Strategy Survey Report (FY2024)

METI FY2024 Survey and Research Report 1000054 This report was prepared as part of the survey and research projects conducted by the Ministry of Economy, Trade and Industry (METI) in FY2024. It is presumed to compile the outcomes of research that conducted detailed current situation analysis and policy recommendations on policy issues toward strengthening Japan's industrial competitiveness and promoting economic growth. Purpose and Scope of the Survey The purpose is to examine the strategic direction of industrial policy amid significant environmental changes surrounding Japanese industries, including structural changes in the global economy, acceleration of technological innovation, and the necessity to respond to climate change. The survey targets a wide range of industrial sectors spanning manufacturing and service industries, conducting analysis from both macroeconomic trend and microeconomic corporate behavior perspectives. Main Analytical Content The current state and challenges of Japanese industries are comprehensively verified through quantitative analysis using domestic and international industrial data, detailed interviews with major companies, and comparative studies with overseas cases. Particularly detailed analysis is conducted on important policy issues such as innovation creation capability, international competitiveness, productivity improvement, and human resource utilization. Challenges related to social implementation of emerging technologies and diffusion of new business models are also examined. Policy Implications Based on the analytical results, policy recommendations toward strengthening Japan's industrial competitiveness are presented. Specific policy options are proposed in areas such as promoting research and development investment, reforming human resource development systems, reviewing regulations and institutions, and strengthening international cooperation. The necessity for measures toward strengthening cooperation among government, private sector, and academic institutions, and creating a virtuous cycle between regional and international economies is also pointed out. This report is scheduled to be utilized as important reference material for future industrial policy formulation.