Navigating Japan's proposed APPI amendments: Key timelines, open issues and action points

Japan's Cabinet 7 April approved a bill to amend the Act on the Protection of Personal Information and submitted it to the Diet, where it is expected to be enacted during the current session.

These amendments aim to strike a balance. On the one hand, they promote broader use of data — including for artificial intelligence development. On the other hand, they introduce stricter rules to address risks such as biometric tracking, misuse of data and handling children's information.

A brief overview of the proposed APPI amendments

Promoting appropriate data use — deregulation. The most important change is a new consent exemption for the "Creation of statistical information, etc.," which includes certain AI developments. 

In certain cases, businesses can collect publicly available sensitive personal information and share personal information and personally referable information with third parties without the consent of the data subject, provided the purpose is limited to statistical use and is subject to strict prohibitions on repurposing or further provision of such data. 

The general consent requirements are also relaxed for processing that is necessary for the performance of a contract or that clearly does not prejudice the individual's rights.
Also, the academic research exception now explicitly covers hospitals and clinics. 

Risk-based regulatory measures. New rules target "Specific Biometric Personal Information," that is, facial recognition data, requiring notification to, or making the information readily accessible to, the data subject and granting the data subject an unconditional right to demand suspension of use.